There's been a lot of discussion about the need to shift how we compensate teachers from the traditional "steps and lanes," which rewards teachers for length of service, to performance-based pay systems that reward teachers for results.

Minnesota's foray into this arena happened through "Quality Compensation for Teachers" or Q Comp, which was proposed by Governor Pawlenty in January 2005 and approved by the State Legislature in July 2006.

At the time Q Comp was passed, Parents United expressed concern about two ongoing issues: 

1. It’s not being made clear to taxpayers that a significant portion of Q-Comp funds come from non-voter approved local levies in the participating districts; and
   
   
2. No firm plans were made for how to evaluate the success or failure of the Q-Comp program. 

In short, it's not clear how this effort can be endorsed until research demonstrates a correlation to increased student achievement.

Two recent studies, one by the Minnesota Office of the Legislative Auditor and the other by the Minnesota Department of Education, fail to demonstrate this correlation.

The Two Studies

February 3, 2009 - Q Comp: Quality Compensation for Teachers - The Minnesota Department of Education has not been consistent in its administration of Q Comp.  It has held different applicants to different standards and has not provided regular oversight of all participants.  The report includes several recommendations to improve the program’s administration, Minnesota Office of the Legislative Auditor (Minnesota Department of Education response ; Minnesota 2020 response).

February 2, 2009 - Quality Compensation for Teachers: Summative Evaluation - This evaluation was designed "to study how Q Comp works and whether it works as intended. It also analyzes to what extent Q Comp contributes to student performance and teacher quality." Even so, the report fails to demonstrate a correlation between Q Comp and increased student achievement. In the end, we're left with three "feeling" statements (student achievement increases when school administrators and teachers "feel" this or that), and a statistically significant correlation between increased student achievement and not including the standards in professional development.

Specifically, the report identified the following four variables as contributing to "test score variance in all three years":

1. When school administrators feel that their teachers consider
   Q Comp to be successful in their school (Ala).
2. When teachers feel that someone other than the principal is responsible for conducting Q Comp teacher evaluations/ observations (T6a).
3. When standards-based lessons are not the main topic of professional development activities and discussions, but other topics are addressed (T21e).
4. When teachers feel that the addition of multiple career paths in their school will encourage them to remain  in the teaching profession longer (T16b-a).

As a side note, one of the key findings of the report was "in all cases examined, public school districts performed better on average than charter schools. The mean differences between charter and public school districts are statistically significant," Hezel Associates, LLC for the Minnesota Department of Education (to the tune of $181,000). Read the release; review Parents United's original concerns about the state's failure to set forth clear evalutation plans when the program was adopted.

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September 11, 2009 - School taxes proposed to drop again - Property taxpayers in Forest Lake School District 831 can expect a break in the taxes the school district plans to collect next year. For the second year in a row, property taxes in ISD 831 are headed downward... A major factor in the reduction of school property taxes can be found in a decision by teachers earlier this year to not participate in the Quality Compensation program. The teacher improvement program is funded by a combination of state and local dollars, Forest Lake Times.

May 12, 2009 - Governor Pawlenty's Q-Comp Tax Hike - It is ironic and quite disappointing that the same folks who cry "No New Taxes" are the same who want to raise your property taxes, Minnesota 2020.

March 17, 2009 - Q Comp gets mixed reviews - It's encouraging that Gov. Tim Pawlenty is reaching out to President Obama (Star Tribune, March 14) regarding educational reform. But before we put all of our eggs in the governor's Q Comp basket, let's take an honest look at his favorite "pay for performance" program, which he touted in an open letter to Arne Duncan, the president's education secretary. Three reports last month, including one by the governor's own Department of Education, showed that Q Comp so far has not proven to be the magic formula for improving student achievement, Star Tribune.

February 10, 2009 - Governor's Q-Comp Whitewash - While the state faces a revenue shortfall of up to $5.5 billion and school districts are laying off teachers to make ends meet, the Department of Education spent $181,000 on a rosy report on Governor Pawlenty's pet education project. The report's timing was suspect, released less than 12 hours before an independent review from Minnesota's Office of the Legislative Auditor, Minnesota 2020.

February 8, 2009 - Students win with Q Comp - When teachers succeed, they do too. Studies show that after parents, teachers have the biggest impact on student success. That's why we are transforming Minnesota's system of education in order to recruit, retain and retrain the best teachers, Alice Seagren, Star Tribune.

February 6, 2009 - Who wins with Q Comp? Students - Studies show that after parents, teachers have the biggest impact on student success. That’s why we are transforming Minnesota’s system of education in order to recruit, retain and retrain the best teachers, Alice Seagren, Star Tribune.

February 5, 2009 - For now, Q Comp gets an incomplete - It hasn't been a good week for Q Comp, but the important Minnesota education initiative still holds promise. Q Comp (Quality Compensation) is a voluntary program designed to link pay raises for teachers to their success with students. About 72 of nearly 500 schools districts and charter schools statewide signed up to develop their own adjusted pay plans, with participants receiving an extra $260 per student annually. Since its inception in 2005, the state has spent about $140 million on the program, Star Tribune.

February 3, 2009 - State auditor can't say whether Q Comp works - There's not enough evidence to know if Minnesota's program linking teacher pay with performance affects student achievement, according to a report released Tuesday, and that has DFL legislators promising that Gov. Tim Pawlenty's push to expand it statewide will be met with resistance, Star Tribune.

February 3, 2009 - Audit: Q Comp effect on student performance inconclusive - One of Gov. Pawlenty's education goals this year is to expand Q Comp to all public and charter schools. Q Comp is currently voluntary. It combines merit pay for teachers, professional development, and increased state funding for participating schools. A new audit Tuesday says there's no way to know whether Q Comp has improved student achievement and that conclusion has some lawmakers wondering whether expansion is such a good idea, Minnesota Public Radio.

February 3, 2009 - Q Comp: Shouldn't There Be More To Show For It? - After nearly four years, Minnesota has little to show for its investment in Q Comp, according to a report issued Tuesday by the non-partisan Office of the Legislative Auditor. The report poses the question: If there's little to show for Q Comp, why is the governor requesting we push the program statewide, Minnesota 2020.

February 1, 2009 - Is it 'merit pay' if nearly all teachers get it? - Pawlenty's program was meant to reward teachers who improve student performance. But nearly everyone gets the pay raise, Star Tribune.

January 2009 - Trickle-down Education? - How Governor Pawlenty’s “Pay for Performance” education funding proposal has potential to widen Minnesota’s academic achievement gap, Citizens Committed to Terrific Teaching (PDF file).

April 2007 - The Promises and Pitfalls of Alternative Teacher Compensation Approaches - Policy Brief warns policy makers against simplistic solutions, Education Policy Research Unit (EPRU) at ASU and Education and the Public Interest Center (EPIC) at CU-Boulder.

March 9, 2007 - Will better pay for teachers improve school quality? Gov. Pawlenty says Minnesota schools will enact reforms, like incentive pay for teachers, if provided grants. Two guests on Midmorning say schools across the country are experimenting with how to pay certain teachers more, and students appear to benefit, MPR Midmorning.

January 2006 - A Better Bargain:  Overhauling Teacher Collective Bargaining for the 21st Century, Program on Education Policy & Governance, John F. Kennedy School of Government, Harvard University.

November 2005 - Unintended Consequences: The Case for Reforming the Staffing Rules in Urban Teachers Union Contracts, The New Teacher Project (Press Release).

June 2005 - Innovating With Competitive Teacher Pay - State and local leaders are beginning to show a greater willingness to pay creatively, experimenting with knowledge and skills-based, performance, and differential pay for teachers, Democratic Leadership Council.