Another method of controlling this situation is to require that any objective have a minimum achievement level. For example, in an objective for a 10% increase in students meeting or exceeding standards there would have to be at least a 7.5% increase in order to qualify for 75% of the bonus amount. An increase of less than 7.5% would not yield a payout bonus. If there is an increase of 12% or more, then the maximum payout would be limited to 120% of the bonus amount.

Specific objectives for the performance incentive program need to be tailored to your district with participation of the superintendent. We also suggest consultation with OSBA for assistance in developing program specifics. The setting of specific objectives should be part of a collaborative process with the board and the superintendent. Particularly in the early years of the program it is important to review the goal setting process results to motivate sustained performance. Board members should receive inservice training on these processes as well as the workings of performance incentive programs.

A performance incentive program is a legal contract that is binding but some flexibility for yearly goal review and renewal. Both the board and the superintendent need to understand the relationship between incentive measures and outside forces necessitating changes in direction. Goals and objectives may change from year-to-year depending upon new legislation, changes in the revenue stream, or a changing student population, and other external forces. These changes should be expected by the parties.