Tennessee Valley Authority

The Tennessee Valley Authority ("TVA") is a corporate agency and instrumentality of the United States, created in 1933 by federal legislation. TVA was established to improve navigation on the Tennessee River, reduce flood damage within the Tennessee River system and downstream on the lower Ohio and Mississippi Rivers, further economic development in its southeastern U.S. service area, and sell electricity from its facilities. Today, TVA operates the nation's largest public power system, supplying power to approximately 10 million people. TVA also manages the Tennessee River, its tributaries, and certain shorelines for year-round navigation, flood damage reduction, and affordable, reliable electricity. Additionally, TVA manages the river system and public lands for recreational opportunities, water supply, improved water quality, cultural and natural resource protection, and economic development, cooperating with other federal and state agencies. The TVA Board of Directors is advised by the Regional Resource Stewardship Council and the Regional Energy Resource Council on stewardship and energy resource activities. While initially funded by federal appropriations, direct appropriations for TVA's power program ended in 1959, and for its stewardship, economic development, and multipurpose activities in 1999. Since 1999, TVA has funded nearly all operations from electricity sales and power system financings, primarily through the sale of bonds, notes, or other evidences of indebtedness, and secondarily through alternative financings like lease arrangements. As a wholly-owned government corporation, TVA cannot issue equity securities.