State-tribal relationships, response to the Sunset Review Audit process, and legislative proposals to strengthen Commission programs are the major issues addressed in the Arizona Commission of Indian Affairs 1985 report. Proposed solutions to state-tribal relationship issues include development of a statewide Indian policy statement consonant with federal policies and tribal goals, tribal involvement in state government planning of policies which affect Indian tribes, and seminars for state officials on aspects of federal Indian law and tribal culture and history. The report summarizes 18 projects completed during the year including hosting ceremonies; communicating with government leaders about Indian concerns such as Indian inmates, veterans' benefits, and Johnson O'Malley funding; publishing directories of tribal leaders, and establishing information exchange networks with other Indian Commissions and with state legislators. The report lists Commission publications for the year and the annual financial report details allocation of $136,600. A draft of proposed legislation to strengthen Commission programs and Commission resolutions dealing with Indian inmates, imitation Indian arts and crafts, and coverage of Indian history and culture in public school curriculum comprise the appendix. A Commission membership roster, map of Indian reservations in Arizona, and population/acreage figures of Arizona reservations are included. (LFL)