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Billion in investment in the new headquarters locations and a total of 50,000 jobs paying an average of $150,000 perrier. the cities that applied offered all sorts of financial incentives like tax breaks and free land. 25,000 jobs going to long island city, 25,000 jobs going to arlington. a new jobs center will open in nashville. the company will have 5,000 employees there. spending $5 billion on these new facilities. in return, they got incentives, that's taxpayer money, as you know. new york is giving amazon $1.85 billion worth of stuff. virginia, $819 million. nashville, $102 million. a lot...

Workers. here's where the rubber hits the road. amazon said it will invest $5 billion in the new facility in return negotiated $2.8 billion in incentives from new york, virginia and tennessee. here's the state-by-state breakdown of what they're getting -- $1.85 billion from new york, virginia gave $819 million, nashville $102 million in incentives. this leaves many people wondering about the tech giant's decision for this contest-like approach, pitting 238 cities against one another in a search that only resulted in choosing the two obvious east coast hubs. now that they've settled on location...

We've had people -- i know one guy, he had 12 phones. had a gentleman in florida said they had one gentleman had over 30 phones. and they were receiving. this was one way to try to cut down on the fraud. >> brian: right. what you're doing is you want to charge $5 per phone and so far in terms of the numbers, they're staggering. $819 million for this program. there has got to be a way to crack down on it. five dollars for a phone sounds reasonable. >> well, seems reasonable to me. but it's not just a consumer that we have the problem with. like i said, some of the cell phone companies. we had o...

I'm going to put up on the screen some real costs. it went from 819 million in 2008. it has ballooned to 2.2 billion last year, pretty unbelievable. so you want, as i understand it, not necessarily to end the program right away, but to rein in some of the fraud. >> what i want to do is take the lifeline program back to what it was before the cell phones were added. what that means is these folks that are eligible can get a landline. you did not have much waste, fraud and abuse when it was just landlines. obviously, people weren't interested in having ten, 20 landlines in their home the way the...

Tax dollars. we are so backwards in what we do. we give to people at the end of day and we forget the people that have done amazing things for our country. look, you know this administration is trying to get everybody kind of under the old obama fold here. on our folks and medical care and everything under the sun and we can take care of you. >> eric: nanny state on steroids? >> there is no accountability. fcc went in and looked at all of those that were on the cellphone program receiving these free cellphones and 41% could not prove eligibility. this is government wasted dollars and the gover...