JANE D. HULL

Arizona faces many challenges ahead. None is more important or more pressing than passing a new state budget.

Government cannot be all things to all people.

Arizona now has one of the most innovative systems of financing school construction in the nation.

Right after the tragedy, President Bush asked Americans to get on with their lives and we did.

In a single moment, we witnessed the worst of human behavior. And in the next, the very best of human behavior. And even more, we witnessed the tremendous spirit of Americans.

It is time to maximize and prioritize our health care dollars.

We emerged from the events of September 11 more steadfast in our beliefs, more courageous in our actions and more determined to protect our values than ever before.

We're helping those children who cannot help themselves and giving a push to those who can. We've done it by working together for a common purpose. I see no reason to stop now.

While I have some regrets that this is my last opportunity to deliver a State of the State address, I appreciate and am humbled by the opportunities this great state has given me.

When completed, the budget must provide the services we have promised to our constituents.

During the last regular session and the most recent special session, measures that I see as little more than Band-Aids were applied to three health programs in the state.

The Growing Smarter laws now in place compel every community to plan their future growth and allow every citizen the right to be heard when those decisions are made.

Arizona is a national leader in school choice with both charter schools and tuition tax credits giving parents and their children more school choices than ever before.

Despite Arizona's remarkable growth in recent years, we have met the current federal health standards for ozone pollution and the Environmental Protection Agency recently approved our dust control plan.

I often say that Arizonans should decide what's best for Arizona.

At the end of the day, the most overwhelming key to a child's success is the positive involvement of parents.

No other country on earth could have provided such tremendous opportunities and we should never take the privilege of our citizenship for granted.

Within minutes of the attack, your Department of Public Safety mobilized its Operations Center, headed by a national expert on weapons of mass destruction.

Safety on our highways has improved significantly, with the help of the Legislature and the media.

I realized then that the generations may change but the strength of our nation remains solid.

Where else but in America could a schoolteacher from Kansas City end up the governor of her adopted state?

I also want to thank Arizona citizens for their efforts at conserving energy last summer.

Yesterday the flame of the Olympic torch was carried through our great state on its way to Salt Lake City.

We improved the environment in which our children live, learn and play by decreasing crime and clamping down on abuse and violence in the home and on the streets.

The attack and our response show just how vital Arizona's military bases are to the defense of our country. We need to do everything we can to protect them.