The Government Accountability Office’s 2025 High Risk List

Benefits Fraud and Improper PaymentsHouse Oversight and Government Reform · 2025-02-25 · 119th Congress
The House Oversight and Government Reform Committee convened this hearing on February 25, 2025 to review the Government Accountability Office's 2025 High-Risk List, a biennial report identifying federal programs vulnerable to fraud, waste, abuse, and mismanagement. Begins at 0:05:10
Transcript
Highlights

Title

GAO's 2025 High-Risk List: waste, fraud, and Doge cuts

Purpose

The House Oversight and Government Reform Committee convened this hearing on February 25, 2025 to review the Government Accountability Office's 2025 High-Risk List, a biennial report identifying federal programs vulnerable to fraud, waste, abuse, and mismanagement. Comptroller General Gene Dodaro, testifying in his final appearance before retirement, walked members through the 38 areas on this year's list, including a newly added disaster-assistance category, while much of the questioning focused on whether the Trump administration's Department of Government Efficiency (Doge) and Elon Musk's mass federal workforce cuts aligned with GAO's recommendations. Begins at0:05:10

Who spoke

Chairman (Rep. Comer, R-KY)0:05:10: Opened by praising Dodaro's tenure and framing the hearing around Doge's government-wide audit, citing DOD's seven consecutive failed audits0:08:12 and arguing Americans want action, not more reports0:09:13; later argued Democrats' outrage is "Trump derangement syndrome"0:55:44 and pressed Dodaro on Medicaid/Medicare improper payments exceeding $100 billion combined last year2:50:20.

Ranking Member Gerry Connolly (D-VA)0:09:13: Said IT modernization recommendations saved $31 billion0:09:43, cited improper payments near $281 billion/year and IRS uncollected revenue up to $1 trillion/year0:11:44; argued Doge's mass firings and resignations are a "wrecking ball" rather than a scalpel approach0:10:13.

Comptroller General Gene Dodaro, GAO0:14:47: Presented the 38-item high-risk list, noting $760 billion saved to date0:15:17, a new disaster-assistance category given $500 billion in FEMA spending over 10 years0:15:47, a $600 billion net tax gap0:16:48, and cybersecurity risks first flagged in 19970:18:19; repeatedly said indiscriminate firings are "doubtful" to solve high-risk problems1:25:002:40:09.

Dr. Debbie Lesko / Rep. Ghar (Arizona)0:19:49: Asked whether shuttered Bureau of Prisons facilities could be repurposed for ICE detention0:21:20; questioned FDA's approval of COVID vaccines versus ivermectin0:23:21.

Farah (GAO Healthcare Managing Director)0:23:51: Said GAO has not been asked by Congress to examine ivermectin or vaccine EUAs0:23:51.

Rep. Gerry Connolly (2nd round, as ranking member Q&A)0:24:53: Confirmed 20 of 38 high-risk areas have seen congressional action0:25:54 and discussed the CFO Vision Act and improper-payment incentive structures0:27:56.

Rep. Virginia Foxx (R-NC)0:30:28: Graded FEMA's Hurricane Helene response a "D-plus"0:30:28 and pressed for a FEMA "roadmap" for survivors0:31:29; also raised USPS's $16 billion loss over FY2023-24 and $181 billion in debts/liabilities0:34:00.

Chris Curry (GAO, Disaster Assistance expert)0:32:30: Said FEMA could avoid involvement in about 27 fewer disasters annually if it better evaluated state/local capacity0:32:30; later detailed FEMA's ~$150–188 billion in ongoing COVID-19 reimbursements1:57:20.

Dave (GAO Postal/Real Property expert)0:35:31: Said USPS network transformation caused service declines in Atlanta and Richmond rollouts0:35:31; later discussed federal real-property utilization data under the USE IT Act1:46:12.

Rep. Eleanor Holmes Norton (D-DC)0:36:32: Asked why staffing/skills gaps affect over half of high-risk areas, citing 17 veteran suicides per day0:37:33 and FDA inspecting only 22% of foreign drug manufacturers0:38:33; criticized Musk's "illegal scam buyout" offer and threats to fire employees who don't reply to an email0:40:05.

Rep. Clay Higgins (R-LA)0:42:36: Questioned whether the 1970 Postal Reorganization Act already gave USPS the autonomy and break-even mandate it has failed to meet0:43:06.

Rep. Stephen Lynch (D-MA)0:48:10: Entered an IG report into the record on VA staffing shortages of 2,959 positions, with 82% of facilities reporting shortages0:50:11, and cited a VA disability claims backlog of 250,000 cases0:52:43.

Jess Farb (GAO Healthcare Managing Director)0:52:13: Said VA staffing shortages will worsen an already long-standing timeliness problem for veterans' care0:52:43.

Chairwoman (subcommittee chair, cyber/IT)0:54:13: Cited Obama's 2011 executive order on waste/fraud and asked about software-purchasing duplication across agencies0:56:14.

Carol Harris (GAO IT Director)0:57:15: Said $100 billion/year goes to IT, with 80% sustaining legacy systems some coded in COBOL and up to 50 years old0:57:45; cited 700 open IT recommendations0:58:46.

Rep. Robert Garcia / "Mr. Conor" (D)0:59:16: Called for Elon Musk to testify before the committee and pressed Dodaro on whether OMB's funding pauses violate the Impoundment Control Act1:00:46, asking for a decision timeline1:01:16.

Rep. Brian Jack / "Mr. BS" (R)1:04:48: Discussed hypothetical impoundment scenarios and reviewed Medicaid's $50.3 billion in FY2023 improper payments1:06:49 and GAO's pandemic-era fraud estimate of $233–521 billion1:08:19.

Rep. Jasmine Crockett (referenced later) / Miss Danbury (R)1:10:51: A former OMB official, walked through the 38 high-risk areas and confirmed indiscriminate cuts could worsen, not fix, identified problems1:12:52; criticized Musk's CPAC chainsaw appearance and tied the hearing to a same-day tax-package vote1:14:22.

Rep. Michael Cloud (R-TX)1:16:24: Questioned the report's treatment of interest payments, climate-disaster linkage, and EV mandate losses of $7.5 billion1:19:26; asked about Medicaid savings options that don't affect eligible beneficiaries1:19:56.

Rep. Robert Garcia (2nd Q&A round)1:24:29: Got Dodaro to confirm GAO never recommended firing probationary workers, FAA safety inspectors, USDA bird-flu trackers, NNSA nuclear-stockpile staff, or a Yosemite locksmith1:25:30; cited proposed $880 billion in Medicaid cuts and that Medicaid covers 41% of U.S. births1:28:31.

Rep. Marjorie Taylor Greene (R-GA)1:29:31: Cited $60 billion in unemployment insurance fraud1:31:33 and DOD's failed seventh straight audit on an ~$850 billion budget1:33:34; cited 72% public approval of Doge1:32:33.

Rep. Shontel Brown (D-OH)1:36:36: Noted Trump fired 17 inspectors general in week one who had identified nearly $100 billion in savings1:36:36, and cited a Wall Street Journal finding that Doge's claimed $55 billion in savings was actually $2.6 billion1:38:07.

Rep. Scott Perry (R-PA)1:42:40: Noted seven agencies failed to report improper payment estimates in FY20231:53:48 and questioned FEMA's ongoing COVID-19 spending, which Curry said could reach $188 billion by FY20261:58:21.

Rep. Suhas Subramanyam (D-VA)1:58:51: Cited a New York Times report that Doge deleted its five biggest claimed spending cuts after errors were found1:59:53; got Dodaro to confirm GAO has not met with Musk and federal payroll is under 10% of federal spending2:01:23.

Rep. Eric Burlison (R-MO)2:03:54: Discussed the debt-to-GDP ratio nearing 100-123%2:04:24 and interest costs rising roughly $200 billion year-over-year2:05:55; asked about Medicare/Medicaid savings via site-neutral payments, which CBO scored at $151 billion over 10 years2:09:27.

Rep. Yassamin Ansari (D-AZ)2:10:57: Cited polling showing 49% disapproval of Musk's role2:12:28 and got Dodaro to confirm GAO was not consulted on firing decisions2:14:00.

Rep. Brian Maguire? / Mr. Maguire (R)2:16:02: Cited the $36 trillion national debt and defended Doge's efficiency record, including a 95% drop in border crossings2:18:03.

Rep. Maxwell Frost (D-FL)2:22:06: Noted 32,000 veterans in his district and raised VA staffing effects on mental-health and suicide-prevention care, citing 17 veteran suicides a day2:24:06.

Rep. Craig Goldman / "Mr. Gil" (R-TX)2:27:36: Defended Doge as "altruism," alleged EPA gave $2 billion to a group with only $100 in revenue2:30:09, and cited a Biden-era IRS data leak affecting taxpayer records2:31:10.

Rep. Jimmy Gomez / "Mr. Min" (D)2:44:46: Argued Doge's data access and program terminations are unconstitutional under Article I2:45:47, and got Dodaro to confirm eliminating the entire discretionary budget wouldn't reach $2 trillion in claimed savings2:47:17.

Rep. Jared Moskowitz / closing questioner (Chairman, 2nd round)2:49:20: Pressed on Medicare/Medicaid improper payments exceeding $100 billion combined last year2:50:20 and argued Medicaid became a de facto entitlement due to pandemic-era continuous enrollment2:51:53.

Rep. Ayanna Pressley (D-MA)2:56:27: Traced the "Doge" name to a joke cryptocurrency Musk promoted for profit2:57:57, and noted the administration tried to un-fire nuclear-stockpile and bird-flu staff2:59:29.

Rep. Jasmine Crockett (D-TX)3:06:33: Noted 166,000 people in the chairman's district and 120,000 in the Doge subcommittee chair's district could lose Medicaid under the GOP budget3:09:04; pressed Dodaro on Musk's federal contracts and potential conflicts of interest3:11:36.

Rep. TBD (Del. Norton follow-up) / "Miss TB"3:01:00: Described 28 VA hospital workers laid off at the John Dingell VA including surgical-equipment cleaning staff, and asked Dodaro to confirm patients died there due to unclean equipment3:05:02.

Key moments

Dodaro said the 38 high-risk areas involve programs where full adoption of GAO recommendations could save "upwards of $200 billion a year"0:26:55.

GAO's fraud estimate for federal programs from 2018-2022 was $233 billion to $521 billion annually, spanning pre-pandemic and pandemic years1:08:19.

Medicare improperly paid roughly $51 billion and Medicaid about $50 billion last year alone, over $100 billion combined2:50:20.

Rep. Connolly asked Dodaro whether the pause on automatic federal payments violates the Impoundment Control Act; Dodaro said GAO has sent letters to the administration and will rule on it, is prepared to go to court, but declined to commit to a firm deadline1:00:46.

Rep. Garcia got Dodaro to confirm on the record that GAO never recommended firing FAA safety inspectors, USDA bird-flu trackers, National Nuclear Security Administration staff, or probationary employees broadly1:25:30.

Dodaro confirmed 17 inspectors general were fired without the legally suggested 30-day notice, calling it "unfortunate" and a loss of institutional knowledge, while not disputing the president's authority to fire them1:52:162:26:07.

Rep. Subramanyam got Dodaro to confirm GAO has not met with Elon Musk, has only had staff-level contact with Treasury on general-fund audits, and does not know how much Doge has actually saved1:59:22.

Dodaro confirmed total federal payroll is less than 10% of federal expenditures, and eliminating the entire discretionary budget (~$917 billion) would still fall far short of Musk's claimed $2 trillion savings target2:01:232:47:17.

A member described 28 layoffs at the John Dingell VA Medical Center including surgical-equipment cleaning staff; Dodaro confirmed a prior GAO audit found deaths tied to a similar sterilization problem at the VA3:05:02.

Dodaro highlighted two bipartisan fixes: making permanent the Treasury's use of the Social Security death master file to stop payments to deceased people2:42:16, and extending the unemployment insurance fraud statute of limitations from five to ten years before it expires1:35:052:43:16.

Metadata

CommitteeHouse Oversight and Government Reform
Chamber / CongressHouse · 119th Congress
Date2025-02-25
TypeHearing
Witnesses
The Honorable Gene Dodaro — Comptroller General, Government Accountability Office
Videoyoutube
Transcript374 caption blocks · 31,219 words · 3:14:19 runtime
EventCongress.gov 117922