MOBA Museum of Bad Art.

Opening in 1994, MOBA's permanent gallery of about 400 pieces only shows 20-40 pieces at a time. It is the world's only museum dedicated to bad art. This fantastic institution is location in Dedham, Massachusetts, in the basement of an old building, lit by a single fluorescent light.
They even have a MOBA Rejection Collection Auction where you can buy some shitty art along with a certificate saying it was officially rejected by the Museum.
http://www.museumofbadart.org/index.html