meritpay

When one treats educational change as a contractual relationship between innovators and teachers, teachers are regarded as full partners in the enterprise, partners whose cooperation is necessary to make any significant change. Teachers are seen not as compliant functionaries or selfless saints, but rather as people who must pay some significant costs for educational change to occur and who will want something back for their efforts. In other words, they are pretty much like anyone else in any enterprise. Change cannot be cost free, according to transaction cost economics. The issues then are what the costs will be, how costs can be minimized, who will bear them, and how they can be managed.

The three key attributes common to parties in contractual relationships are bounded rationality, opportunism, and the holding of specific assets. Parties can-not be expected to know everything or foresee everything. They cannot be ex-pected to be totally free of opportunistic motivations, whether opportunism is manifested in pursuing subgoals not covered by the agreement or their own inter-ests. And over time participants may be expected to develop assets specific to the situation in which they work. That is to say, both teachers and students develop knowledge and skills specific to each other, their peers, and the specific context. One might consider such knowledge and skills as assets, assets born of investing in learning on the job. Often these assets are overlooked or underappreciated.

The idea of an incentive pay plan for teachers is that an equitable, well-managed incentive pay plan has a positive impact upon teaching and learning. Incentive pay needs no other justification than the intent to improve classroom instruction; however, an incentive pay plan that works also encourages quality teachers to remain in the profession, and it is an important factor in attracting high quality persons to the teaching profession.

The goals, therefore, of this teacher incentive pay plan are

     (1) to retain excellent teachers in the profession;
     (2) to encourage individual teachers to develop and implement innovative projects;
     (3) to self-evaluate to identify areas to strengthen or improve; and
     (4) to enhance professional growth.

This incentive model has three levels designed to occur over a 3-year period. Each level has its own objective and criteria. Each is an annual award.

A teacher on Level 1, which is the first year of the teacher incentive pay plan program, receives a stipend of 5% of the teacher's regular salary, exclusive of fringe benefits and extra-duty pay.

After the teacher has completed Level 1 successfully during the first year, the teacher is then eligible for the second year or Level 2. A teacher on Level 2 of the program receives a stipend of 10% of his/her regular salary, exclusive of fringe benefits and extra-duty pay.

Any teacher who has successfully completed Levels 1 and 2 during the first two years is eligible for the third year of the program or Level 3. Teachers on level 3 will be eligible to receive a stipend of 20% of their regular salary, exclusive of fringe benefits and extra-duty pay.

Objective: Level 1 is designed to provide entry-level opportunities to any classroom teacher who wants to participate in the local teacher incentive pay plan. The objective for Level 1 is based on the assumption that teachers choosing to participate at this level are competent professionals seeking to strengthen or to improve particular aspects of their performance through a professional growth process. The objective is to allow teachers to improve teaching skills by developing their own performance objectives that serve as a basis for their evaluation. Teachers choosing to participate are eligible for a stipend of 5% of their regular salary exclusive of fringe benefits and extra-duty pay if they meet the/following eligibility criteria:

Criterion 1:
Candidates wishing to participate at Level 1 must be employed by an Oklahoma school district in a full-time certified position. A full-time Certified position means members of a faculty or teaching staff who are employed for a majority of their time in direct instruction of students. Teaching administrators are not eligible.

Criterion 2:
Eligibility also constitutes continuing contract status and at least teaching experiences in an Oklahoma public school prior to consideration.

Criterion 3:
To participate at Level 1 incentive, a candidate must have been evaluated as 15errorming at a level which is considered to be above average by the district on their most recent evaluation. Teachers who have not completed a successful evaluation with the district may appeal for a second evaluation. (See appeal process)

Criterion 4:
All candidates must have an attendance record of no more than days absence (out of 180-day contract year) during the year of consideration. Days spent out of the classroom to participate in district-authorized professional leave or service activities are not considered as absences. An absence for military duty, jury duty or a work-related court ordered appearance shall be excused when such duty deferred to a time other than the regular school year. Failure to successfully complete this requirement results in candidate disqualification.

Criterion 5:
All candidates must demonstrate evidence of self improvement through advanced training. As a result, candidates are required to complete at least 1 self improvement activity from the following list of approved advanced training options:

     1. Graduate study
     2. District curriculum/school improvement committees
     3. Successful completion of district staff development requirements

Criterion 6:
Candidates meeting all of the requirements for Level 1 participation must make application to a teacher incentive evaluation committee for validation of eligibility and for recommendation to the local board for approval. Decisions by the local board are final.

The contract plan process is normally defined as an approach in which the teacher and the evaluator cooperatively work through formative goal setting in the following format design.

Teacher performance is reviewed in a formative setting.
     a. Review of past performance is based upon teacher evaluation as it is related to district objectives and teacher responsibilities stated within the district's job descriptions.

     b. Past performance, evaluations may be from current or past years only.

II. In a formative setting, priority areas for action plans are identified.

     a. Teachers participate in developing individual action plans within established district based performance criteria.

Process:
     1. Teachers are to review their performance as it relates to their job description and rate themselves on each item in which individual improvements are desired.

     2. After completion of the self evaluation, priority areas for improvement must be identified. Improvement areas are identified on the basis of individual personal judgment.

     3. After priority areas of improvement have been identified, the teacher can proceed in developing a draft performance contract in each criterion reference of his/her choice. The teacher drafts his/her own contract for improvement.

When a contract is mutually agreed upon by the teacher and his/her administrator/supervisor, the teacher is awarded the Level 1 stipend of 5% of the teacher's regular salary, exclusive of fringe benefits and extra-duty pay.

An action plan containing performance objectives is developed and submitted for each priority area, and a contract plan agreement is finalized. An action plan is a contractual agreement between the teacher and district which describes the teacher's and district's intent through performance objectives, plan of action, and procedures for evaluation.

Performance Objective: a statement of (a) the area needing improvement, (b) the rationale for focusing on this area, (c)the outcome or product the teacher hopes to accomplish in this area.

Plan of Action: a description and schedule of activities revelant to accomplishing the objectives. A time line must be agreed upon; the time for completion of the action plan cannot exceed one year.

Procedures for Evaluation: These are procedures to be used to evaluate 'progress toward the achievement of performance objective. (NOTE: There are two types of possible performance objectives which can be identified as: (1) student performance objectives or educational outcomes expected of students or (2) what teachers themselves are going to do to facilitate expected outcomes.)

IV. The action plan is implemented and monitored.

Once the action plan is agreed upon, consensus should be reached about other components of the performance contract, such as activities that teachers will pursue in relation to each objective and the procedure for monitoring progress toward as well as for accomplishing each objective.

Evaluation: The impact of the improvement plan on teacher performance is evaluated.

The process is normally determined by a mutually agreed frequency of monitoring set by the teacher and district. Normally the frequency (2 or 3 suggested) is established in a time line of activities which serves as a point of reference for goal accomplishments. Teachers may have the flexibility to design their own time line and be subject to monitoring as individual goals are accomplished. Example: Teacher may state that an objective will be completed by the last day of (month), thus requesting a formative monitoring process which will include a pre-conference, observation, and post-conference setting.

Objective: Level 2 is designed to encourage teachers to develop and implement innovative projects to improve student achievement. An innovative project is defined as something beyond the scope of what is normally expected or done in the classroom.

Teachers eligible to participate at Level 2 must meet the following eligibility criteria:

Criterion 1: Teachers entering into Level 2 incentive pay plan must fulfill all requirements for candidacy prior to Level 1 and have fulfilled all requirements for entering Level 1 contract plans. Teachers participating at Level 2 will be eligible to receive incentive pay awards of 10% of their regular salary exclusive of fringe benefits and extra-duty pay.

Criterion 2: Teachers wishing to participate at this level will be required to submit an innovative project proposal to the district teacher incentive plan committee.

Teacher proposals are to be submitted under the following recommended guidelines:

1. How the proposed innovative project will meet the needs 'of the students or goals of the district;

2. A description Of the project including program design, goals to be accomplished, activities, and evaluation design; and

3. A statement to what degree students will achieve at the end of project completion.

4. Appeal is heard and adjudicated by the district chief administrative officer.

5. Appeal is heard and adjudicated by the local board of education. The decision at this level shall be final.

Individuals may appeal the interpretation of data and/or the procedures used to determine award recipients. However, appeal decisions must remain within the plan requirements.