The original documents are located in Box C16, folder “Presidential Presidential Handwriting, 3/28/1975 (2)” of the Presidential Handwriting File at the Gerald R. Ford Presidential Library. Copyright Notice The copyright law of the United States (Title 17, United States Code) governs the making of photocopies or other reproductions of copyrighted material. Gerald Ford donated to the United States of America his copyrights in all of his unpublished writings in National Archives collections. Works prepared by U.S. Government employees as part of their official duties are in the public domain. The copyrights to materials written by other individuals or organizations are presumed to remain with them. If you think any of the information displayed in the PDF is subject to a valid copyright claim, please contact the Gerald R. Ford Presidential Library. 7/'),r/?.r THE WHITE HOUSE WASHINGTON March 24, 1975 MEMORANDUM FOR THE PRESIDENT THROUGH: DONALD RUMSFELD \_ FROM: WILLIAM N. WALKE~ SUBJECT: Tennessee Valley Authority Attached is the memorandum on this subject which we discussed on Friday. You selected James Hooper of Mississippi. In addition to the support for Hooper reflected in the memorandum, I advised you that he was supported by a unanimous joint resolution of the Mississippi State Legislature and also by the Republican National Committeewoman in Tennessee. I have been in communication with Congressman Jack Edwards' office on a couple of occasions and also Congressman John Buchanan came to see me Friday morning. Both of them are supporting an individual named Thomas Longshore, who is one of those on the memorandum and was, at least in my mind, the runner-up candidate. Digitized from Box C16 of The Presidential Handwriting File at the Gerald R. Ford Presidential Library THE WHITE HOUSE WASHINGTON March 21 , 1 9 7 5 MEMORAl\TDUM FOR THE PRESIDENT THROUGH: DONALD RUMSFELD FROM: WILLIAM N. WALKER SUBJECT: Director, Tennessee Valley Authority, Level IV (PAS) The attached memorandum has evoked the following responses: Hooper - Vice President, Hartmann, Buchen, Baroody, Lynn, Morton, Smith, Cannon. Hooper or Longshore - Rhodes. Gibbons - Marsh. Approves all Candidates - Scott. No Cornm.ent - Seidman. THE WHITE HOUSE WASHINGTON MEMORANDUM FOR THE PRESIDENT THROUGH: DONALD RUMSFELD FROM: WILLIAM N. WALKER SUBJECT: Director, Tennessee Valley Authority, Level IV (PAS) The TVA is a corporation created by an Act of Congress in 1933 for the purpose of conducting a unified program of resource conservation, development and use to advance the economic development of the Tennessee Valley region. This mandate has been dominated by the need for the development of electric power for the region, and conse­ quer:tly the TVA'e primary function is as the wholesale power supplier for 160 local municipal and cooperative electric systems serving nearly two a_I?:cl_ one-half million customers in parts of seven states. All functions of the TVA are vested in the three members of the Board of Directors appointed by you, confirn1ed by the Senate, and who serve for nine-year terms. THE ISSUES The major issues confronting the TVA stem mostly from over-ambition. There is a growing controversy over how nmch more development is nocessary and to what extent the Federal Government should continue to participate Jn guaranteeing bond issues for further expansion. In 1976 their budget for new power generating facilities will be $935 mil­ lion. The appearance of government subsidy, however indirect, is manifest by the fact that the cost of electricity sold by the TVA is 30 to 60o/o cheaper than in some regions of the Country. Also, there is a growing concern from environmental groups about the environmental impact of new coal-fired and nuclear generating plants and a general concern of the citizenry of the region that the Board of Directors has been a closed and unresponsive group dominated by Tennesseeans. - 2 - CANDIDATES The following is a presentation of individuals, listed in order of preference, who wish to be considered for this appointment. In this forced z:anking, I have taken into consideration the candidates' ability to contribute substantively, their political support, as well as the personal qualifications that would indicate success in the atmosphere of a three-man commission. James F. Hooper, III, age 60, a Republican, of Mississippi, (resume at Tab A), is a 1938 graduate of Auburn University in Industrial Engineering. He was a pilot during WWIJ., and subsequently an entre­ preneur in farming, food processing, cattle, real estate, tree farm­ ing, and farm equipment leasing. He has been very successful in these endeavors and an extremely active and interested citizen. He bas been a member of the Mississippi State Republican Executive Committee for ten years, Chairman of the Lowndes County Republican Party, and is the husband of the Republican National Committeewoman from Mississippi. During ou:r interviews we found Hooper to be well informed on the issues facing the TVA and a proponent of more devel­ opment for the northern Mississippi region. Hooper is a positive and forceful individual, politically conservat~ve, and would make a first­ rate director. He is supported by State Republican Chairman Clarke Reed, Trent Lott, Thad Cochran, Gillespie Montgomery, Jamie Whitten, David Bowen, the RNC, Governor Bill Waller, Senators Stennis and Eastland, and Georgia State Republican Chairman Robert Shaw. Zack Thompson, age 44, a Republican, of Alabama, (resume at Tab B), is currently Assistant Chief Engineer for the Marshall Space Flight Center, NASA, in Huntsville, Alabama. He is a life-long Republican, and has been active in Republican affairs during times when he was not restricted from doing so under the Hatch Act. He is a graduate iu Electrical EnginE:;e:t:<ing from the University of Tennessee in 1957, and ten years later received a Masters Degree in Engineering, also from the University of Tennessee. He would be in favor of more development in the Valley because "· •• people are entitled to as much energy as they need and can afford ••• " From a personal qualities standpoint, he would be suitable to serve on the Board of Directors. He is supported by Congressmen John J. Duncan, Butler Derrick, and Senator Strom Thurmond. Dr. John H. Gibb<?~' age 46, a Republican, of Knoxville, Tennessee, (resume at Tc-.b C), is a 1949 graduate of Randolph Macon College and - 3 - received his Ph. D. in Physics from Duke University in 1954. He was an employee of the Oakridge National Laboratory for almost 20 years until he left to become the Director of the Environment Center at the University of Tennessee. In September of 1973, he was re­ cruited by the Department of the Interior to be the Director of the Office of Energy Conservation, and shortly after FEA absorbed that function, he returned to Tennessee. Dr. Gibbons has spent 20 years in the TVA region and describes himself as a loyal critic concerned about the expansion of TVA's facilities when demand growth is uncer­ tain. He wants TVA to be more responsible to the public, be more sensitive to land use planning-, and be a leader rather than a follower in the efficiency of power generation. He is on good terms with the environmentalists of the region and is supported by Senator Brock. Thomas L. Longshore, age 43, a Republican, of Alabama, (resume at Tab D), is currently the Department Head of Special Projects for the Alabama Power Company •. J-Ie is a graduate of the University of Alabama with a B.S. in Commerce and Business Administration and also holds an LLB from that University. He has been an active Repub­ lican for many years, supporting campaigns of his father and brother arid serving as Secretary/Treasurer of the Jefferson County Young Republicans. He believes the TVA has still much developm~nt poten-:.­ tial in northern Alabama. During our discussions, we sensed that his feel for the issues facing the TVA were not good. He is supported by Congressmen Caldwell Butler, Jack Edwards, and John Duncan, Senator John Sparkman, and Alabama State Party Chairman Richard Bennett. H. Maynard Layman, age 68, a Democrat, of Alabama, (resume at Tab E), is currently the Circulation Manager and Farm Editor for The Decatur Daily newspaper. He has spent thirty-five years with this employer and has had a distinguished record of local community service. He is definitely a developmentalist for the northern Alabama region, and has only a shallow grasp of the issues and problems facing the TVA. He is supported by Congressman Robert E. Jones and Senator John Sparkman. He is clearly not a good candidate. RECOMMENDATION An appointment of James Hooper has the greatest benefit politically. The Mississippi party complains bitterly that they have been totally - 4- overlooked. for patronage positions in government. Also, for the first time in recent history there is a chance to elect a Republican governor to the State of Mississippi. The northern part of the State is important to that election and the visibility of a home state appointee to the TVA would be most desirable. Hooper is also strong enough substantively to be a good appointment. I recommend that you nominate Hooper to replace Donald 0. McBride, whose term expires May 18, 1975 and who does not seek reappointment. -----Agree ----- Disagree JAMES FULLERTON HOOPER, III 800 8th Street North Columbus, Miss •• Education: Engineering Graduate, Auburn University Armed Services: ~ajor, Air Force - Pilot, Training Command; Engineering Research and_Development, Wright­ Patterson Business: ~Anufactur1ng, Real Estate, Farming, waterways Resource Development: Charter Member, President, Chairman of the Board, Miss. Rivers and Harbors Assc. Charter Membe~: Tombigbee Valley Authority Charter Member, Vice... Chm.: Tombigbee Water r:anagement Author! ty ,· :·: Water Resource Advisory Bo!l~e .- '~· 1960 Cand~date ~~~on appointed 1964 Candidate Goldwater appointed 1968 Candidate Nixon appointed Political: Member State Executive Committee - ten years Lowndes County Republican Chairman Chairman State Candidate Recuitment Comm.