(1) There is hereby created in the department the alternative teacher compensation plan grant program to provide funding to school districts to support the design and development of an alternative teacher compensation plan that is tailored to the particular school district. (2) (a) The department shall administer the grant program as provided in this article and pursuant to the rules established by the state board. (b) A school district may apply to the department, in accordance with procedures and time frames established by the state board, to receive grant moneys for the design and development of an alternative teacher compensation plan. (c) The criteria for awarding grants, at a minimum, shall require that: (I) The final alternative teacher compensation plan be designed and developed collaboratively with teachers through the school district-adopted procedures for setting compensation, administrators, parents, and the school district board of education; (II) The final alternative teacher compensation plan be open to all teachers who meet the established performance criteria without regard to grade level, subject area, or assignment; and (III) The school district seek a stable, sufficient, and sustainable source of new revenue to fund the alternative teacher compensation plan on an ongoing basis. (d) The state board shall utilize the research and resources of the P-20 council in establishing any additional criteria for school districts seeking grant moneys. (3) Moneys awarded to a school district pursuant to the grant program shall be used by the school district to support the creation of the school district's alternative teacher compensation plan. Support may include, but need not be limited to: (a) Identifying overall goals and objectives for the school district's alternative teacher compensation plan; (b) Identifying various methods of assessing student achievement and teacher effectiveness; (c) Creating data systems needed for an alternative teacher compensation system; (d) Forecasting the future costs of the alternative teacher compensation system to ensure sustainability; (e) Linking the alternative teacher compensation plan with the overall school district instructional improvement strategy and the state's educational goals; (f) Aligning the school district's human resources, curriculum, and professional development structures with the pay structure specified in the alternative teacher compensation plan; (g) Establishing outreach and on-going communications within the school district and to the community regarding the alternative teacher compensation plan; (h) Strategies for recruiting and supporting highly effective teachers in struggling schools; and (i) Strategies for recruiting and retaining high-quality teachers in subject areas that are difficult to staff. (4) A school district's final plan for an alternative teacher compensation system shall: (a) Provide compensation in addition to existing pay schedules; (b) Be transparent with respect to how a teacher qualifies for additional compensation and how much additional compensation a qualifying teacher may receive; (c) Contain broad, multi-dimensional criteria for assessing performance within the system; (d) Include all of the additional compensation in a teacher's retirement or pension calculations; (e) Include a procedure for challenging adverse decisions under the system to ensure fairness; and (f) Contain a process for continual evaluation of the system that shall, at a minimum, address the following: (I) How the alternative teacher compensation system will demonstrate measurable effectiveness; (II) How the alternative teacher compensation system will measure and demonstrate a decrease in the school district's dropout rate; (III) How the alternative teacher compensation system will help to close the achievement gap; and (IV) How the alternative teacher compensation system will help to increase students' attainment of postsecondary degrees and certificates. (5) The department shall make available to each school district that receives a grant pursuant to the grant program the research and other materials concerning alternative teacher compensation plans collected by the P-20 council. (6) Each school district that receives a grant shall submit a copy of its final alternative teacher compensation plan to the department, along with a summary of the key components of the plan and the mechanism for funding the plan. (7) Nothing in this article shall be construed to require a school district to participate in the grant program or to modify the terms of an existing teacher compensation plan or contract.
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