Massachusetts Waste: Taxpayer Funds Squandered on Extravagant Grants

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City of Lynn, Massachusetts
City of Lynn, Massachusetts receives federal grants.

Federal funds used for renovations
Federal funds used for various city renovations.

Topline: In 2010, officials in Lynn, Massachusetts found a way to enhance their city without burdening local taxpayers. They used federal grants, shifting the financial load to taxpayers in other regions.

The city invested $2.8 million in projects including a goldfish pond renovation and a Mexican restaurant, funded through various grants and awarded via no-bid contracts. This was documented in the “Wastebook” by the late U.S. Senator Dr. Tom Coburn, known for exposing federal fraud and misuse of taxpayer money.

Dr. Coburn, the renowned “Dr. No” from Oklahoma, was famous for blocking pork-barrel projects in the Senate. Those he couldn’t halt, he exposed in his Wastebook reports. The 2010 edition featured 100 instances of reckless spending exceeding $11.5 billion, highlighting Lynn’s extravagant spending, now valued at $4.2 million.

Key facts: Funds for Lynn’s projects originated from Community Development Block Grants provided by the Department of Housing and Urban Development. Despite a prior renovation in 2005, residents desired further improvements to the goldfish pond. Lynn officials opted for a nonprofit over cheaper private bids for this and more projects.

Downtown businesses in Lynn received up to $4,000 each to spruce up their facades, benefiting establishments like a vacuum cleaner store and a video rental outlet. A local official remarked on the cost-effectiveness of using federal grants as a subsidy.

Additional projects included a gazebo, water play area, and boat dock. Today, Lynn uses its own funds generously, with 26 public employees earning over $200,000 in 2023, as reported by OpenTheBooks.com.

Explore all public sector salaries and spending with the AI tool, Benjamin, at OpenTheBooks.com.

Summary: All public funds ultimately impact the American taxpayer, a reality some politicians prefer to overlook. The #WasteOfTheDay is highlighted by OpenTheBooks.com’s forensic auditors.

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