Your argument from the point of waste suffers from a number of fallacies in this case. If the government deduces that there is no possible conclusion reached through the bidding process than the one it has selected, then holding the bidding process will only add to government waste -- the very thing you are arguing to prevent.
When the U.S. military started the off-the-shelf program and allowed less bidding and more self-determination, the days of the $300 hammer ended. Sometimes removing the bidding process is a good and logical thing.
"Taxation without representation is tyranny."
That's true. Fortunately for all of us here in Redmond, we have a representative republic in which we vote on the people who make these decisions. If the majority of stakeholders felt the way you do and elected a city council that opposed growth, then you wouldn't get the highway.
Since D.C. residents got the vote, I think you would be hard pressed to find many places in the U.S. anymore that are without representation. Just because your representation doesn't win all of the time, or because your representation represents the majority of the area you live in and not your personal views, doesn't make it tyranny.
According to all the latest reports, there was no truth in any of the earlier reports.