Question – How does City of Phoenix rank in the valley with respect to coast of living?

On February 17, 2011 City of Tempe published a Comparative Cost of Services report.  The following is from this report.

COMPARATIVE COST OF SERVICES (Excludes Sales Tax)

As of January 2011

1. Combined primary and secondary property tax rate. Rate per $100 assessed valuation. Based on median single family home with a 2010 Full Cash Value of $175,000 per Maricopa County Assessor.
2. Based on residential customer, once per week collection, 90‐gallon container
3.  Based on residential customer, once per week collection, 90‐gallon container
4. Based on average monthly residential water customer's consumption for most recent calendar year
5. Based on three month winter average for residential customers during most recent calendar year

COMPARATIVE COST OF SERVICES (Includes Sales Tax)

As of January 2011

1. Combined primary and secondary property tax rate. Rate per $100 assessed valuation. Based on median single family home with a 2010 Full Cash Value of $175,000 per Maricopa County Assessor.
2. Based on residential customer, once per week collection, 90‐gallon container
3.  Based on average monthly residential water customer's consumption for most recent calendar year
4.  Based on three month winter average for residential customers during most recent calendar year
5. The tax rate listed represents the overall City tax rates. The tax rate for specific taxable activities may be higher or lower. Annual cost based on median family income of $67,809 per the 2009 American Community Survey. The portion of income spent on taxable activities is approximately 48% based on Consumer Expenditure Survey, U.S. Bureau of Labor Statistics, October 2010.

Is the City of Phoenix an inexpensive place to live?  The cost of living within City of Phoenix is higher than any other city in the valley. 

How can this be when, accordingly to City of Phoenix, we have the best rune City in the nation?