Become a TVA Supplier Ella Clark Supplier Diversity & Relations Manager Supply Chain, TVA

1. Become aTVA SupplierElla ClarkSupplier Diversity & Relations ManagerSupply Chain, TVA

2. Getting to Know TVA… • Federal Corporation—Nation’s largest Public Power Provider. Nine Member policy-making Board • $10.4 billion in revenue, 80,000 square mile service area • 158 customers, 9 million residents and 650,000 businesses and industries in the seven-state TVA service region. Nearly 60 directly-served large industrial and federal customers • Original Mission: energy, the environment, and economic development • The 21st century mission: Power Provider, Valley Steward, Developmental Catalyst …supporting and improving the quality of life in the valley

3. Getting to Know TVA… • Power Mix--Three nuclear, 11 fossil, 29 hydroelectric, six combustion-turbine, one wind-energy site & methane gas facility • Fossil-fuel plants produce 60 percent, nuclear plants 30 percent, and hydropower dams about 10 percent of TVA’s power. Green power contributes to the generation mix • TVA’s integrated management of the nation’s fifth largest river system blends flood control, power production, transportation, water quality, recreation, and land use

4. TVA’s Buying Power • TVA is a $10 Billion dollar corporation • TVA buys over $2.8 billion in goods and services each year. • In FY 2008, TVA spent about $92 million with minority suppliers, $87 million with women-owned suppliers, and $472 million with small businesses.

5. How TVA Chooses Suppliers • Supply Chain follows a comprehensive and rigorous competitive-bidding process designed to achieve TVA’s objectives of lowering costs and improving operational efficiency. • TVA seeks suppliers that are innovative, flexible and can add value while reducing cost. Factors considered in making awards: • Overall valve and Pricing • Depth and breadth of inventory and just-in-time delivery • Technical capability, industry expertise & demonstrated, specialized experience • Customer satisfaction/Safety Record/Financial stability • Capacity (foot-print) and infrastructure • Valley Presence • May involve NRC requirements, clearances and QA and safety related requirements for Nuclear work

6. Supply Chain Focus Areas • Manages over $2.5 billion of annual spend for materials and services an over $375 million in inventory. • Strategic Focus: • Leveraging Strengths • Fleet-wide management of supply chain • Collaborative relationships • Centralized strategic contracting • Enhanced competition through planning & supplier development • Pricing predictability • Financial risk management of spend • Supply Chain Governance

7. Supplier Diversity Accountability • TVA recognizes the power of maintaining diversity in its supplier base. Provides diverse suppliers access and opportunity for procurement awards • Identifies and provides opportunities for qualified small, valley, minority & woman-owned businesses • Holds prime suppliers accountable to extend subcontracting opportunities to diverse suppliers • Promotes joint ventures, partnerships, and subcontracting relationships • TVA offers economic development programs/loan funds to assist qualified small, woman-and minority-owned businesses in the seven-state region

8. Outreach and Partnership Activities Mid south Minority Business Council Events Tennessee Minority Supplier Development Council Events Mentoring Program (20 – 25 companies) Business Matchmaking Events Promote Supplier Alliances Economic Development Loans Matchmaking with Other Utilities

9. Key Suppliers • TVA Wide • GE—Comb-Steam Turbines & Nuclear Steam System • BlueCross BlueShield—Employee Benefits • Merck-Medco--Employee Benefits • Porter Walker--Industrial Supplies • Nuclear • Stone & Webster—Maintenance & Modifications Services. US Enrichment Corp—Nuclear Fuels • Westinghouse—Nuclear Equipment and Services • Sargent & Lundy primary source for Nuclear Engineering • Bechtel—Turnkey project for engineering, procurement & construction for Watts Bar Unit 2. Subcontracting: Bill Goodman, wgoodman@tva.gov, Bechtel Site Supply Chain Manager for WBN Unit 2.

10. Key Suppliers • Fossil & Hydro • G-UB-MK Constructors—Operation, Maintenance & Construction • ADVATECH- Support on Clean Air Projects • Day & Zimmerman, NPS—Operation, Maintenance & Construction • TVA Wide Engineering Contracts • Mesa, Inc • Sargent & Lundy, LLC • WorleyParsons • Burns & McConnell • The Washington Group

11. Key Suppliers • TVA Wide Staff Augmentation • ACRO Service Corporation • CDI • Barlett Holdings • G.D. Barri • Johnson Service Group • TFE, Inc. • Volt • Zycron Computer Service

12. Major Contract Opportunities • Valley-Wide Leverage • Pipes, Valves & Fittings • Target RFP October 2009___Anticipated Award: April 2010 • Electric Motor Repair • Target RFP Fall 2009___Anticipated Award: December 2009 • Water Sampling Equip, Turbine Oil Filtration Equip • Target RFP Fall 2009___Anticipated Award: December 2009 • Tube Fittings • Target RFP March 2010___Anticipated Award: August 2010 • Fisher Control Valves • Target RFP Oct 2009___Anticipated Award: January 2010 • Scaffolding Rental • Target RFP Sep 2009___Anticipated Award: December 2009

13. Major Contract Opportunities • Valley-Wide Leverage • Gases Bulk, Industrial • Protocol Gases, Calibration • Gases, Industrial, Non-Bulk • Gases, Bulk & Cylinder, Industrial Pipes, Values & Fittings • TVA-Wide Corporate • Communication Services • Creative Marketing--- Fall 2009 • Promotional Items ---Fall 2009

14. Major Contract Opportunities • Facilities Management • Furnishings—Panels, components and Miscellaneous • Target RFP Fall 2009___Anticipated Award: Winter 2009 • Area Engineering Services for Facilities Mgmt • Target RFP Fall 2009___Anticipated Award: December 2009 • Paving & Repair of Roads and Parking Areas • Target RFP Spring 2010___Anticipated Award Summer 2010 • Information Technology • Computerized Security Monitoring Services • Target RFP March 2010___Anticipated Award: April 2010 • Cellular Phone Services • Target RFP Dec 2009___Anticipated Award: Spring 2010

15. Major Contract Opportunities • Nuclear • Valve & Hydro motor/ASCO/QA0/TVA—Nov-Dec 2009 • Protective Coatings/Ameron/QA/NUC—Nov-Dec 2009 • Power System Operations • Disconnect Switches 69K thru 500kV including Vertical Reach Switches • Transmission System Construction Services including Transmission Lines, Substations and Related High Voltage Construction

16. Major Contract Opportunities • Kingston Recovery Project • TVA is committed to making things right. Working diligently to clean up the site. Public health and safety are our top priority. Water & air quality meet government standards. Working with residents to meet their needs. Working at the site as quickly and safely as possible. • Update on Contract opportunities: • Jacobs Engineering awarded contract for oversight, of corrective action/dredging plans and project management, engineering, environmental and construction management –subcontracted with RCI, woman-owned firm for environmental & testing services • Sevenson Environmental Services, Inc awarded contract to provide manpower and equipment for Phase I dredging of the Emory River and Ash Processing • Phase II may offer general construction contracts depending on legislative actions and EPA decisions

17. Major Contract Opportunities • Fossil: $5.5 billion commitment to emission reductions: • URS Washington Division (WGI) awarded turnkey contract for engineering, procurement, construction, startup and commissioning services for environmental improvement (clean air) projects throughout TVA’s system • WGI will use numerous subcontractors to procure major materials, equipment and construction installation services required to provide major components • WGI Clean Air Projects Contact: • URS Washington Division • Rich Pepe • Project Procurement Manager • Phone: 303-843-2688; Email: rich.pepe@wgint.com

18. Major Contract Opportunities • Fossil—Combined-cycle Plant • WGI—awarded a turnkey contract to WGI for engineering, procurement, construction, startup and commissioning services for combined cycle and simple-cycle gas turbines projects throughout TVA’s system • WGI will use numerous subcontractors to procure major materials, equipment and construction, installation services required to provide the make components. • First project planned at TVA’s Lagoon Creek Combustion Turbine Plant located near Brownsville, Tennessee • WGI Contact for Gas Turbine Projects: • URS Washington Division • Robert J. Bosch • 609-720-2448 at Robert.Bosch@wgint.com

19. Keys to Success • Gain knowledge of TVA, procurement requirements, opportunities and resources available to pursue them • Focus on quality performance and have a well-designed plan • Understanding your core competencies and the niche you are capable of filling • Develop networking skills-Create marketing materials • Be capable of competing for regional/valley-wide large contracts. Have a Proven track Record • Be Patient, Persistent Prepared and willing to Pursue Contractor & Subcontracting Opportunities

20. Getting started • Go to supplier.tva.gov and follow the “learn” link to instructions and the form for becoming a registered Vendor • Submit the completed vendor registration form to vendor2@tva.gov • Network with TVA and our prime contract partners to understand requirements and build relationships • Send information to: TVA Supplier Relations GAC 1A-C 1101 Market Street Chattanooga, TN 37402