This Week In Waste – February 20, 2026

Welcome to This Week in Waste, a series by Citizens Against Government Waste (CAGW) that highlights how taxpayer dollars are being wasted in the federal, state, and local levels of government and efforts to fight back against this spendthrift behavior.

CAGW Names Virginia Governor Abigail Spanberger February 2026 Porker of the Month

Virginia Gov. Abigail Spanberger (D) is CAGW’s February 2026 Porker of the Month for instigating massive tax increases on Virginians despite her campaign pledge of “affordability.”  Her call for new taxes led to the introduction of 50 tax hike bills on services like dry cleaning, home and vehicle repairs, and dog walking and grooming.  As neighboring states lower their taxes, Gov. Spanberger’s taxes are driving Virginians out of the state.  Read more here.

How Employee Retention Credit Became a Target for Fraud

A February 10, 2026, Government Accountability Office report found serious flaws in the $283 billion Employee Retention Credit created by the Coronavirus Aid, Relief, and Economic Security Act and later expanded by the American Rescue Plan Act.  With 86 percent of claims filed on amended returns and no improper payment estimate from the Internal Revenue Service, taxpayers remain exposed to waste, fraud, and mismanagement.  Read more here.

Washington State Democrats Consider Retreat on Estate Tax, Fearing Wealth Exodus

Worried about losing residents due to high taxes, Washington State Democrats are moving to roll back the 2025 estate tax hike after boosting the top rate to 35 percent, making it the highest in the nation.  The state is losing households with incomes greater than $200,000 to states like Florida, Nevada, and Texas.  The estate tax is only one factor in the exodus, as income tax increases and a tax on “excess compensation” are also pushing out entrepreneurs and other high-tax earners.  The estate tax reduction passed the Senate and is now before the House of Representatives.  Read more here.

Federal Communications Commission (FCC) Proposes More Lifeline Vetting

The FCC voted on February 18, 2026, to seek comments on reforms to the Universal Service Fund’s Lifeline program after the FCC Office of Inspector General found $5 million in payments to 117,000 deceased subscribers over five years, 80 percent of which were in California.  Read more here.