T.M.
we live in indiana, and love it here!
bloomington indiana is a great city with lots of smart, well educated, diverse people because of the university, but no big city problems like traffic, crime, etc. we have good schools, it's about an hour away from indianapolis, and there are great city parks and kids programs. you could have a horse if you live just out of the city... tons of farms around here. i've heard people complain there is nothing to do around here... but with thousands of free concerts at the music school (ranked higher than julliard this year!!!), farmers market, great theater, a free art museum, a fantastic kids science museum, sports, and lots of parks programs and stuff we have never found it boring to live here. it's a great place to raise a family!
feel free to ask me more questions. i have been here for 12 years, and my husband is a native hoosier.
i also happen to have a friend in tucson who moved from bloomington; she misses it and really loved living here... maybe you could hook up with her! :)