Summary: GAO discussed the administration's plan to reinvent government. GAO noted that: (1) the end of the Cold War has resulted in significant reductions in the U.S. military force; (2) the cost of health care under Medicare and Medicaid is the biggest cost driver among domestic government programs; (3) the federal budget deficit is the greatest obstacle affecting the nation's investment in its own future; (4) the government needs to create a results-oriented environment in which all federal agencies have clear-cut missions and reasonable goals; (5) the government's personnel system needs to accommodate an increasingly diverse work force; (6) the federal budget process needs to be overhauled; (7) financial management systems need to be updated so that managers are more informed about spending procedures; (8) federal procurement procedures need to be streamlined and more responsive to agency needs; (9) the federal government needs to place greater emphasis on contract management with third parties; and (10) the executive branch cannot begin to reinvent itself properly without a corresponding effort by Congress.