Federal COVID-19 funds used to make snow, rent band, reveals wasteful-spending report

Sen. Joni Ernst (R-IA) used her monthly “award” for wasteful government spending on Monday to highlight wasteful spending of federal coronavirus aid by state and local governments. 

One Utah county spent half a million dollars of relief funds to create a snow hill for skiing, all of which was approved by a single county commissioner, rather than returning what remained to the state. Money was also directed to the businesses of local politicians’ families, prompting outrage from other local businesses that had been denied relief. An audit concluded the spending was characterized by “a perceived disregard for federal grant requirements.”

Officials in West Haven, Connecticut spent their allocations on Christmas lights, Halloween party decorations, and a 20-person marching band for a Memorial Day Parade, among other things. The city is already at the center of a financial scandal, with the FBI arresting two employees for allegedly funneling more than $636,000 in federal aid money to a shell company they controlled.

“I have a message for those even thinking of taking advantage of the financial support provided by the Coronavirus Aid, Relief, and Economic Security (CARES) Act for personal grift and graft: ‘You better watch out! I’m telling you why. Your days of playing Santa with taxpayer dollars are over, so don’t even try!’” the Iowa Republican said in a statement announcing the December Squeal Award.

Sen. Ernst has cultivated a reputation for exposing government waste with flair. The “Squeal Award” is a reference to a 2014 campaign ad where she promised to make big government spenders in Washington squeal like the pigs she castrated growing up on her family’s farm.

Congress allocated $500 billion dollars directly to state and local governments to alleviate the impact of COVID on local economies. But many states saw higher tax revenue than forecast despite the pandemic, leaving officials with more unspent federal money than they knew what to do with.

Many states have announced they will use the federal funds to run tourism campaigns. Some have proposed more specific solutions, like Wisconsin and Louisiana’s plans to boost struggling movie theaters.