Public finance—taxes and other revenues collected by government and the expenditure of those revenues—always has been somewhat controversial because of wide philosophical differences among residents regarding the role that government should play in providing public services and in collecting taxes and fees from its residents. Recently, public finance in Arizona has become a prominent public issue due to the need to resolve the deficits that afflict state government and most county and municipal governments in Arizona.

More than one in 10 Arizona public high school students have disabilities. One-third of these youth remain unengaged in work or education following graduation, creating a significant public policy challenge for the state. Why is this so? This report shares findings from 2014 surveys and focus groups conducted with youth and families as well as interviews with education leaders across the state. These responses highlight how Arizona schools and families are preparing these youth, and what the state still needs to do to ensure youth with disabilities have a role to play in Arizona’s job market.

Arizona is emerging from one of the worst state budget crises in the nation. Entering 2003, its projected deficit, measured as a percentage of the general fund, was the fifth largest in the country.1 The state had slashed spending in 2002 in the face of a $900 million deficit, but still faced a $400 million shortfall for fiscal year 2003 and an estimated $1 billion deficit in fiscal 2004. Although improved revenues have reduced the anticipated gap, fundamental underlying problems remain concerning the ability of lawmakers to control the budget. Some observers consider this a revenue problem, others a spending problem. Our concern in this paper is whether state lawmakers have enough control over either revenue or spending.