In 1996, ASU’s Morrison Institute for Public Policy began asking residents and leaders in Greater Phoenix, “What does quality of life mean to you, and how do you measure it?” After an 18-month process, the first volume of What Matters was published in September 1997, creating a baseline of opinion and data about “quality of life” and what it means to the people who live here. The report was quickly recognized both within the region and nationally among indicator projects for its simple, yet unique presentation of public perception (survey) data and regional statistical, or indicator, data.

St. Luke's Health Initiatives and the Flinn Foundation strive to make Arizona a better place to live for all of its residents. Despite our state's assets, Arizona has many issues to address, with health and poverty among the most important. Our organizations have been pleased to sponsor the state capacity research that provided the background and impetus for "More Promises to Keep: Sustaining Arizona's Capacity for Welfare and Health Reform." St. Luke's Health Initiatives and the Flinn Foundation view the information and analysis provided in this report as a good way to stimulate discussion of health and welfare policy options and community actions. Research and dialogue are essential steps in the process of constructive change, as is communication with the public. We urge readers to consider the ideas presented in this paper and to continue to work together to improve the health and welfare of all Arizonans.

Despite all of the spending reductions, fund transfers, and other techniques used to balance the budget in the preceding few years, Arizona’s general fund faces a massive deficit. This issue of Policy Points poses an important question: Are you content with the historically low expenditures being made from the general fund and satisfied that the current low level of public services will be permanent?

This report both updates statistics and perceptions and adds new features. Thus, readers may look at quality of life based on how residents feel or on the trend lines revealed in the numbers. What Matters reports what people think about Greater Phoenix, how they view their own lives, and whether they believe the region is on the right or wrong track. The sections are presented in the order of importance assigned to them by the survey rankings (i.e., Education appears first, Public Safety and Crime second, etc).

What Matters is intended to support decision-making on public issues and to provide a reference for policy makers, civic and business leaders, community activists, and other residents. In response to feedback on previous issues, this edition includes additional indicators for healthcare and more information on higher education. Price and income data have been adjusted for inflation, and more information has been added where appropriate for a fuller picture of trends. Different approaches or completely new sources of data were required in some of this issue’s indicators because of changes in data sources. While every effort was made to choose items that would be stable, there is no way to control for how data are collected or reported over the years. On the whole, however, the 1997 baseline remains intact.