I
103D CONGRESS
1ST SESSION
H. R. 1129
To direct the President to develop a plan for transferring all real property,
facilities, and equipment of the Tennessee Valley Authority to public
and private entities, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
FEBRUARY 24, 1993
Mr. SANTORUM (for himself, Mr. INGLIS of South Carolina, Mr. DOOLITTLE,
and Mr. ZIMMER) introduced the following bill; which was referred to the
Committee on Public Works and Transportation
A BILL
To direct the President to develop a plan for transferring
all real property, facilities, and equipment of the Ten-
nessee Valley Authority to public and private entities,
and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Tennessee Valley Au-
thority Power Privatization Act of 1993’’.
SEC. 2. SENSE OF CONGRESS.
It is the sense of Congress that—
(1) the power generation and transmission fa-
cilities of the Tennessee Valley Authority should be
privatized; and
(2) the transfer of all property of the Tennessee
Valley Authority remaining after such privatization
should be made to other Federal, State, and local
agencies in an orderly and expeditious manner.
SEC. 3. PURPOSES.
The purposes of this Act are—
(1) to achieve the intention of Congress set
forth in section 2 by requiring the President to de-
velop a plan—
(A) for the sale of the power generating
and transmission facilities and equipment of the
Tennessee Valley Authority to the private sector
in groupings that will introduce competition
into the generation and sale of electric power;
(B) for the transfer of the National Fer-
tilizer and Environmental Research Center to a
public or private entity which will carry out the
functions of such Center;
(C) for the transfer to other governmental
entities of all property of the Tennessee Valley
Authority remaining after the sales and trans-
fers described in subparagraphs (A) and (B);
and
(D) for the orderly termination of the Ten-
nessee Valley Authority after the completion of
such sales and transfers; and
(2) to provide a method for reducing the na-
tional debt through the use of the income derived
from such sales and transfers.
SEC. 4. TVA PRIVATIZATION PLAN.
(a) IN GENERAL.—Not later than September 30,
1994, the President shall develop and transmit to Con-
gress a plan for transferring, by sale or otherwise, of all
real property, facilities, and equipment of the Tennessee
Valley Authority to appropriate public and private entities.
(b) CONTENTS.—The plan to be developed under sub-
section (a) shall include, at a minimum, recommendations
(including legislative recommendations) of the President
concerning each of the following:
(1) TRANSFER
OF
POWER
FACILITIES
AND
EQUIPMENT.—Transfer by sale of the power genera-
tion and transmission facilities and equipment of the
Tennessee Valley Authority, including real property
used in connection with such facilities and equip-
ment, for the purpose of maximizing proceeds from
such sales. Such transfers may provide for the sale
of generating equipment and facilities to persons
other than the persons to whom transmission facili-
ties are sold. Such transfers shall be subject to the
following conditions: Former customers of power
from the Tennessee Valley Authority will continue to
be served and reliability of service will be ensured by
establishing control areas in cooperation with sur-
rounding control areas. Such transfers may provide,
to the extent practicable, for the grouping of facili-
ties utilizing different sources of power (including
coal-fired, nuclear, and hydroelectric generating fa-
cilities) and provide for access to the transmission
grids of the Tennessee Valley Authority by such
groupings to ensure availability of power from dif-
ferent sources and to enhance competition. All out-
standing loans associated with such facilities and
equipment shall be assumed by the purchasers.
(2) TRANSFER OF NATIONAL FERTILIZER AND
ENVIRONMENTAL
RESEARCH
CENTER
FACILITIES
AND EQUIPMENT.—Transfer by sale of real property,
facilities, and equipment used by the National Fer-
tilizer and Environmental Research Center of the
Tennessee Valley Authority to a public or private en-
tity which agrees to continue to carry out the func-
tions of the Center for at least 5 years after assum-
ing ownership. If such sale cannot be arranged, such
transfer may be by donation to an appropriate entity
subject to agreement that the functions of the Cen-
ter will be continued for at least 10 years.
(3) TRANSFER OF JURISDICTIONAL AUTHORITY
OVER
REAL
PROPERTY.—Transfer to appropriate
governmental departments and agencies, including
the National Park Service, of jurisdictional authority
over real property which is controlled by the Ten-
nessee Valley Authority and which is not transferred
under paragraphs (1) and (2).
(4) TRANSFER
OF
CERTAIN
FUNCTIONS.—
Transfer to appropriate Federal departments and
agencies of functions of the Tennessee Valley Au-
thority which are not related to power generation.
(5) TERMINATION OF TVA.—Termination of the
Tennessee Valley Authority after the transfers under
paragraphs (1), (2), (3), and (4) have been made.
(c) ADDITIONAL REQUIREMENTS.—The plan devel-
oped under subsection (a) shall include—
(1) a step-by-step procedure to carry out the
sales and transfers described in subsection (b);
(2) a timetable for implementation of each step
of the plan;
(3) an estimate of the amount of anticipated
net proceeds from the sale of assets of the Ten-
nessee Valley Authority; and
(4) an estimate of the cost of implementing the
plan.
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