This Week In Waste – October 16, 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.
Citizens Against Government Waste Releases $5.6 Trillion in Prime Waste-Cutting Recommendations
On October 15, 2025, CAGW released Prime Cuts 2026, the latest edition of the group’s comprehensive recommendations to eliminate waste, fraud, abuse, and mismanagement in the federal government. CAGW President Tom Schatz noted, “The only way to rein in excessive and inefficient government spending and reduce the deficit and debt is for elected officials to reduce waste, fraud, abuse, and mismanagement. Prime Cuts 2026 is not only required reading for taxpayers, the media, and legislators, but also a roadmap for the bold action needed to restore fiscal sanity and help prevent a financial disaster.” Read more here.
OneGov Saves Billions, but Discounts Won’t Last
The General Services Administration’s OneGov procurement initiative has generated $1.62 billion in taxpayer savings since April 2025 by consolidating federal software purchases. The initiative helps agencies negotiate better prices directly with software manufacturers, addressing wasteful purchases. However, $1.4 billion, or 86.4 percent of OneGov’s savings come from temporary AI software discounts. GSA should increase the use of OneGov to secure lower prices in the long term to ensure more savings for taxpayers. Read more here.
Fifth Circuit Rules Against FCC Creation of USAC
The Federal Communications Commission (FCC) created the Universal Service Administrative Company (USAC) following passage of the Telecommunications Act of 1996 to administer the Universal Service Fund and allowed USAC to set the quarterly contribution factor assessed on telecommunications services to pay for the programs within the USF. On October 15, 2026, the U.S. Court of Appeals for the Fifth Circuit ruled that Congress did not authorize the FCC to create the USAC, and the agency violated the Government Corporation Control Act in doing so. The court granted the petition for review in the case, vacated the fourth quarter 2025 contribution factor, and remanded the case for further proceedings. Read more here.
NTIA Estimates Up to 1 Million Locations May Need Broadband Funding
The National Telecommunications and Information Administration (NTIA) estimates that up to 1 million locations may still lack broadband service, as the agency prepares to identify areas that could qualify for additional federal funding. NTIA is waiting for the Federal Communications Commission to provide an updated coverage map before working with states to determine which locations remain unserved. Read more here.
Trump Administration Delivers Second Year of Savings by Stopping Taxpayer Payments for Duplicate and Deceased Enrollees in Obamacare
In 2026, the Centers for Medicare & Medicaid Services (CMS) identified 189,000 people who received subsidized Affordable Care Act marketplace coverage despite also having Medicare, Medicaid, or Children’s Health Insurance Program coverage, or being deceased. By ending these improper subsidies, CMS estimates that taxpayers saved approximately $1.5 billion for fiscal year 2027. CMS also restored Obamacare enrollment checks after a Biden-era pause, ending duplicate subsidies for approximately 551,000 ineligible enrollees. Read more here.
Washington’s new income tax faces a repeal vote under I-645
Washington’s 9.9 percent income tax on household earnings above $1 million, adopted in March 2026, risks discouraging investment, driving wealthy residents and businesses to other states, and undermining economic growth. If adopted, ballot initiative 645 on the November 2026 ballot would repeal this costly tax. Read more here.
