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What was the Bridge to Nowhere?

A proposed bridge from Ketchikan, Alaska to Ketchikan International Airport on Gravina Island, Alaska. It would replace the ferry and was projected to cost about $400 million. It was proposed in 2005 and was cancelled by Palin in 2007, indicating the funds could be better used elsewhere.

According to Wikipedia

The project was canceled in 2007 by bridge supporter Alaska Governor Sarah Palin, who changed her view after Congress forced the funds to be used elsewhere.

That is hardly Sarah Palin canceling it because she thought the funds could be better spent.  Congress was embarrassed by the scandal and told the state they had to spend the money elsewhere.  With the federal money removed, Palin then decided that the state shouldn’t spend their own money on the bridge and cancelled the project (arguably saying state funds could be better used elsewhere, but they had never actually been allocated to the project in the first place).