Drawing on GAO's high risk series (GAO-01-241 to GAO-01-263), this testimony discusses major government programs prone to waste, fraud, abuse, and mismanagement. This testimony focuses on (1) the range of governmentwide challenges and opportunities the 107th Congress and the new administration face to enhance performance and accountability of the federal government, (2) the major management challenges and program risks facing three key agencies--the Departments of Defense, State, and Veterans Affairs, and (3) whether these departments are meeting performance and accountability goals and measurements that are required under the Government Performance and Results Act of 1993.