This Week In Waste – January 9, 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.

Open Architecture and Faster Timelines: Fixing Pentagon Procurement

The Pentagon’s contractor-dominated procurement system is ill-suited for modern warfare where technologies like drones evolve in weeks, not decades.  Recent moves to accelerate acquisition and prioritize commercial, modular solutions are a welcome shift that could help to curb the high costs associated with the F-35 Joint Strike Fighter and the failed M10 Booker tank.  Read more here.

First Year of Trump Presidency Achieves Dramatic Cuts in Federal Regulations

The Trump administration’s aggressive deregulation push finalized 646 deregulatory actions while adopting only five new rules during fiscal year 2025, a ratio of 129:1.  These dramatic cuts in red tape will save taxpayers $211.8 billion and make goods and services more affordable.  Read more here.

Senate Hearing Scrutinizes Small Business Administration (SBA)

On December 10, 2025, the Senate Committee on Small Business and Entrepreneurship held a hearing on “Running Government Like a Small Business: Cut Waste, Crush Fraud.”  Testimony provided by Open the Books CEO John Hart noted that SBA loaned $312 million to borrowers listed as 11 years old or younger and $105 million to private country clubs and beach clubs.  With an estimated $30 billion flowing through SBA annually and documented funding abuse across 22 agencies, an SBA audit is crucial to cutting wasteful spending.  Read more here.

California Ditches Fight with Feds for High-Speed Rail Funds

California dropped its lawsuit over approximately $4 billion in canceled federal grants for its high-speed rail project.  After years of delays and ballooning costs following voter approval in 2008 for a $33 billion system, the most recent estimated cost of the rail project is now $128 billion, an increase of 288 percent.  This boondoggle will remain a case study in waste, fraud, abuse, and mismanagement.  Read more here.

Minnesota Fraud Scandal Is Gaining Traction

Minnesota is facing a sprawling fraud scandal affecting taxpayers nationwide, which sources estimate to be at least $9 billion and perhaps up to $18 billion.  Federal prosecutors have charged at least 78 people for the $250 million “Feeding Our Future” scheme alone and are still uncovering additional abuses in housing, autism services, and daycare programs.  Years of lax oversight allowed fake vendors and no-show services to siphon billions in taxpayer funds.  Read more here.