When I bought my 30D 28 months ago it was bundled with the 17-85. I was happy using that lens as my only lens for a year before splashing out on a serious spending spree. I did buy a nifty for low light use during that year but just found it to be so horrible to use that it stayed in the bag. When I did upgrade it was for a 10-22, 17-55, 70-200 f/2.8 IS and a 100-400.
I agree with comments about significant barrel distortion at the wide end, which can be corrected in software, but I rarely suffered a problem with distortion that ruined a picture. People also complain about chromatic aberration, which again I've never had a problem with. From what I hear/read the new(ish) 18-55 IS does have superior IQ but my 17-85 served me well.
The real downside with a lens like this is (a) the aperture is not very fast, for low light shooting such as weddings; (b) the variable max aperture as you zoom in just a monumental PITA if you want to shoot (near) wide open with manual exposure, because each time you zoom the aperture changes. That's why I got the 17-55. The other lenses were just gravy

As of this week I've just added a further three lenses - all fast primes - to my collection, once again driven by the needs of (winter) wedding work.
For an all round travel lens, with decent light I think the 17-85 is still a good choice. The range is good, the IS is good, the fast, accurate, quiet USM focusing is good. At the long end the IQ is good too. The wide end is the weak point but it's still not bad. I've sold pictures taken with my 30D and 17-85 within two weeks of getting the camera (my first DSLR). I even managed to shoot an entire wedding with this one lens. It clearly can't be that terrible.
Reviews....
http://www.cameralabs.com/reviews/Canon1785EFS/
http://www.photozone.de/canon-eos/179-canon-ef-s-17-85mm-f4-56-usm-is-test-report--review
http://www.bobatkins.com/photography/reviews/ef-s_17-85_review.html
http://www.slrgear.com/reviews/showproduct.php/product/136/cat/11 (several end user reviews)
I have been hanging onto mine as a backup in case the 17-55 went tits up during a job, but have not had to use it since getting the 17-55.