The testimony is based on a body of the U.S. General Accounting Office's (GAO's) work on terrorism and emergency preparedness and policy options for the design of Federal assistance, as well as on GAO's review of many other studies. It also draws on ongoing work for the Subcommittee; pursuant to its request, GAO has begun a review of the preparedness issues that are confronting State and local governments in a series of case studies. The review will examine the State and local perspectives on these issues, so as to help the Congress and the executive branch to better design and target programs and strategies. This testimony reiterates GAO's call for the development of a national strategy that will improve national preparedness and enhance partnerships between Federal, State, and local government in guarding against terrorist attacks. The creation of the Office of Homeland Security (OHS) under the leadership of Tom Ridge is an important and potentially significant first step. The President, in his proposed 2003 budget, has announced that the OHS will later this year propose a national strategy for defending against terrorism. The GAO recommends that key aspects of this strategy include a definition and clarification of the appropriate roles and responsibilities of Federal, State, and local entities; the establishment of goals and performance measures to guide the Nation's preparedness efforts; and a careful choice of the most appropriate tools of government, so as to best implement the national strategy and achieve national goals. The challenge is to build upon the Federal Government's response to terrorism since the attacks of September 11th in further improving the Nation's preparedness in a sustainable way that creates both short-term and long-term benefits. A list of 46 related GAO products