Volume I: Facts
Analyses of Arizona state government finance, using data of the Arizona Joint Legislative Budget Committee, and of the combined finances of all state and local governments within Arizona, using data of the U.S. Census Bureau. A historical perspective is provided for both datasets. For combined state and local government finance, comparisons are made to other states and to the national average. In addition, other measures of the tax burden by state are examined.

Volume II: Concepts and Issues
Addresses the conceptual and empirical relationships between taxes, government revenue, and economic growth. Also discusses current issues specific to Arizona state government finance. This is a revised version of the report "Tax Reductions, the Economy, and the Deficit in the Arizona State Government General Fund," incorporating new and updated material.

Volume III: Options for Managing the Arizona State General Fund
Presents options and offers recommendations for managing the Arizona state government general fund. The near-term budget deficit is addressed as well as ways to prevent budget deficits from recurring every time economic growth slows.

The purpose of the stabilization fund is to reduce the fluctuations in general fund revenue caused by the economic cycle. These fluctuations result in large budget surpluses in some years and large deficits in other years. Without considering the structural deficit, the budget stabilization fund almost certainly will not have the funding necessary to offset the cyclical reduction in revenue that will occur during the next recession.

The conference looked beyond the juvenile justice system proper to examine the roots and potential solutions to the over representation of minority youth in Arizona’s juvenile justice system. Through this important undertaking and the dedication of the Commission on Minorities, Arizona demonstrated once again its important role as a leader in shaping the future of the juvenile justice system.

Shortly after selecting Judge Roxanne Song Ong as Commission Chair and reconstituting its membership, Chief Justice McGregor directed the Commission to develop a strategic plan with projects that seek to enhance fairness and equity in the judiciary and present a report at the December 2006 meeting of the Arizona Judicial Council.

This report represent the efforts of the Commission since its reactivation under a new mandate in May of 1994. The goal of this work group is to develop policies and programs that will facilitate the growth of minority applicants seeking appointments as judges, commissioners, judges pro tempore, special masters, clerkships, and internships.

This report is a result of the "2002 Equitable Treatment of Minority Youth" report produced by the Arizona Supreme Court Commission on Minorities in the Judiciary. One of the recommendations issued in that report was to create an annual report card to assess progress on the reduction of over-representation of minority youth in the juvenile justice system. The decision has been modified to produce a report card every other year. The first report serves as a baseline for the second, third and fourth report cards. The intent is to illustrate the current situation, provide a basis for future comparison, highlight areas of special concern and compare these results with the prior report card.

For those interested in one of the most extreme state tax and expenditure limitations, TABOR – Colorado’s initiative that limits the funding of most expenditures to annual revenue growth restrained by the sum of annual population growth and inflation rates – would seem to be exactly the right choice. To some, the initiative simply limits government to spend within its means. However, the analysis in this paper reveals that, true to the language in the 1992 Colorado initiative, TABOR limits government growth, and over time the public sector, as a share of the overall economy, declines sharply – crowding out opportunities for investments in strategic initiatives or opportunities for tax reform that may be popular with large voter constituencies or the business community. Advocates point out that provisions in TABOR do allow for voter overrides, but these are costly in both time and money, and until the overrides take place, government is
hamstrung. A simpler, more efficient alternative would be to elect fiscally conservative legislators and hold them accountable for prudent fiscal decisions that strike the right balance between a tax base conductive to economic growth and strategic investments that provide public sector infrastructure, nurturing the business climate and promoting the health and well-being of the citizenry. The paper first outlines the TABOR amendment in Colorado and examines its fiscal consequences for that state. It then examines the potential impact of a TABOR in Arizona.

The condition of Arizona’s infrastructure has a direct impact on economic productivity and quality of life. As economic competition expands domestically and globally, and as the knowledge economy evolves, the importance of a strong infrastructure increases. Education, in particular, is of growing importance. Arizona’s infrastructure challenges will require commitment and creativity to meet the needs and potential of 10 million people and to ensure a positive future for the state.