clear
Wednesday August 15th, 2018 12:45PM

Trump plan would study sale of federal utility's assets

By The Associated Press

NASHVILLE, Tenn. (AP) — The infrastructure plan outlined by President Donald Trump on Monday suggests studying whether the nation's largest public utility should sell its transmission assets, which Tennessee Republican Sen. Lamar Alexander called "a looney idea" with "zero chance of becoming law."

Tennessee Valley Authority spokesman Jim Hopson said the federal utility is still evaluating what the plan would mean for it. The utility plans to work with the Office of Management and Budget to help understand the full implications of the proposal, Hopson added.

"TVA was created by an Act of Congress in 1933; and Congress has always had the power to change the role or structure of TVA," TVA CEO Bill Johnson said in a statement. "Implementing the stated proposal in the President's 2019 budget of selling TVA's transmission assets would require Congress to act legislatively."

An outline of the White House's plan says the federal government owns and operates certain infrastructure that would be more appropriately owned by state, local or private entities.

"Federal ownership of these assets can result in sub-optimal investment decisions and create risk for taxpayers," the plan outline says.

Alexander said the idea of selling TVA's transmission lines keeps popping up, regardless of who is president.

He cited his opposition to then-President Barack Obama's similar, failed 2013 plan.

"When President Obama proposed this in 2013, all it did was undermine TVA's credit, raise interest rates on its debt, and threaten to increase electric bills for 9 million Tennessee Valley ratepayers," Alexander said in a statement.

Republican Sen. Bob Corker of Tennessee added that he thinks "selling TVA is a very unlikely outcome."

TVA is the 1930s product of President Franklin Roosevelt's New Deal and aimed to help the region recover from the Great Depression. Its coverage area carves through seven Southern states.

  • Associated Categories: Associated Press (AP), AP Online Headlines - Washington, AP Online Congress News, AP Business, AP Online - Georgia News
© Copyright 2018 AccessWDUN.com
All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
Stocks power higher after a dreadful week; Dow jumps 500
Stocks are powering higher as the market claws back some of its massive losses last week, when it slumped into a 'correction' for the first time in two years
2:19PM ( 14 minutes ago )
Bar brawl? McConnell, Schumer at odds over the best bourbon
Add bourbon to the list of things Sens. Mitch McConnell and Chuck Schumer can't agree on
2:19PM ( 15 minutes ago )
The Latest: Retired generals, vets urge against US aid cuts
More than 150 retired U.S. general and admirals and more than 1,200 veterans are urging the Trump administration against steep cuts to the State Department, foreign aid and other overseas programs
2:17PM ( 16 minutes ago )
Associated Press (AP)
Oxfam's deputy chief executive resigns in Haiti scandal
Oxfam's deputy chief executive has resigned amid the scandal involving sex abuse in Haiti after the 2010 earthquake
1:55PM ( 38 minutes ago )
The Latest: Trump budget calls for building 65 miles of wall
The first stage of President Donald Trump's proposed border wall in Texas' Rio Grande Valley would be 65 miles (or 104 kilometers) long, costing an average of $24.6 million a mile
1:51PM ( 42 minutes ago )
$88.2B price tag for rebuilding Iraq after Islamic State war
$88.2B price tag offered at Kuwait conference for rebuilding Iraq after Islamic State war
1:51PM ( 42 minutes ago )
AP Business
AP Online - Georgia News
Stocks power higher after a dreadful week; Dow jumps 500
Stocks are powering higher as the market claws back some of its massive losses last week, when it slumped into a 'correction' for the first time in two years
2:19PM ( 14 minutes ago )
Bar brawl? McConnell, Schumer at odds over the best bourbon
Add bourbon to the list of things Sens. Mitch McConnell and Chuck Schumer can't agree on
2:19PM ( 15 minutes ago )
The Latest: Retired generals, vets urge against US aid cuts
More than 150 retired U.S. general and admirals and more than 1,200 veterans are urging the Trump administration against steep cuts to the State Department, foreign aid and other overseas programs
2:17PM ( 16 minutes ago )
Air bag danger: Ford, Mazda add pickups to do-not-drive list
Ford and Mazda are adding more than 35,000 pickup trucks in North America to a list of vehicles that should not be driven because they have Takata air bag inflators with a high risk of exploding
2:16PM ( 17 minutes ago )
Trump's $4.4 trillion budget moves deficit sharply higher
President Donald Trump unveils a $4.4 trillion budget for next year that heralds an era an $1 trillion-plus federal deficits
2:13PM ( 21 minutes ago )