Fact Sheet: President Donald J. Trump Promotes Fiscal Responsibility in Compensation Practices at the Tennessee Valley Authority

PROMOTING FISCAL RESPONSIBILITY AT THE TVA: Today, President Donald J. Trump signed a Presidential Memorandum directing the Tennessee Valley Authority (TVA) Board of Directors to implement reasonable compensation limits for all TVA employees, including the CEO, to ensure fiscal responsibility, restore public trust, and align with public-sector standards.

• The Memorandum instructs the TVA Board to establish a maximum total annual compensation limit of $500,000 for all TVA employees, including salary, bonuses, incentives, benefits, and all other remuneration, if consistent with its annual compensation survey results.
• These reasonable compensation limits are recommended for all new compensation arrangements.
• Compensation for Board members is limited to the statutory minimum.

RESTORING ACCOUNTABILITY TO AMERICANS: President Trump is ending excessive executive pay at the TVA, where CEOs have received millions in compensation, far exceeding salaries paid elsewhere in the Federal government.

• The TVA, as a wholly owned corporate agency of the Federal government, must steward public resources responsibly; multi-million-dollar CEO packages undermine that duty and public trust.
• TVA's seven-figure compensation packages are inconsistent with other public sector leadership roles, where the President of the United States is paid $400,000 annually and the highest-paid governor in the nation earns roughly $254,000. This action brings the TVA's leadership pay into alignment with comparable positions in the Federal government.
• Implementing reasonable compensation limits ensures taxpayer dollars-and ratepayer funds-are used for the benefit of the American people, not excessive payouts to executives.

PUTTING TAXPAYERS FIRST: President Trump continues to demand fiscal discipline and accountability across the Federal government.

• The Trump Administration has focused on rooting out fraud, waste, and abuse, and ensuring that the Federal government uses tax dollars wisely to benefit all Americans.
• President Trump delivered the largest tax cut in American history through the Working Families Tax Cuts Act, putting more money directly into the pockets of hardworking American families, workers and businesses.
• He has cut unnecessary bureaucratic bloat and redirected resources to priorities that directly benefit the American people.