Top executives at the Tennessee Valley Authority will soon stop accruing money in a special retirement plan the federal utility created to attract and retain its highest paid leaders.
The supplemental executive retirement plan was worth millions to the top leaders of the nation’s largest public power provider, which has been the target of criticism for years over executive compensation.
It provided retirement benefits higher than limitations imposed by TVA’s benefit plan and other federal retirement plan benefits.
TVA will phase out the plan Sept. 30, when its top executives will switch to a plan that allows certain leaders to accrue 401(k) benefits in excess of federal limits on contributions. The executives were not allowed to participate in both plans.