Congressmen Criticize Pay Raise For TVA Executive

Posted:

TVA Raises CEO Kilgore's Compensation

KNOXVILLE, Tenn. (AP) -- Two Tennessee congressman said a $500,000 pay raise for the top executive at the Tennessee Valley Authority is excessive.

The TVA board on Thursday agreed to increase President and CEO Tom Kilgore's bonus-driven compensation package next year from a potential $2.7 million to $3.27 million.

The decision comes just weeks after the TVA put into effect its largest electric rate hike in three decades.

U.S. Rep. Zach Wamp of Chattanooga said under the circumstances the pay raise "defies common sense" and U.S. Rep. John Duncan of Knoxville says it's "excessive."

TVA Chairman Bill Sansom, however, said the pay package is needed to keep the federal utility competitive for utility executive talent and is still far less than many investor-owned utilities pay.