To add one more thing, the red tape itself adds non-negligible costs. I once worked for a sovereign native nation, and the community manager was explaining tha

To add one more thing, the red tape itself adds non-negligible costs. I once worked for a sovereign native nation, and the community manager was explaining that the amount of money that he got from the Feds for paving a road (IIRC maxed at $50K) was mostly eaten up in labor expended to cover their reporting requirements.