Frequently Asked Questions About the Quality Compensation Program
QUALITY COMPENSATION FOR TEACHERS PROGRAM
“Q COMP”
FREQUENTLY ASKED QUESTIONS (FAQ)
PLEASE NOTE: Questions and responses will be added to this document as the Department of Education receives inquires not answered previously on this document. This document was last updated on Monday, October 17, 2005.
For more information, please contact:
Minnesota Department of Education
1500 Highway 36 West
Roseville, MN 55113
http://education.state.mn.us/mde/Teacher_Support/QComp/index.html
Policy Questions:
Linda Trevorrow
(651) 582-8871
Kristie Anderson
(651) 582-8860
Finance Questions:
Terri Yetter
651-582-8868
Bob Porter
651-582-8851
Q COMP – FREQUENTLY ASKED FINANCE QUESTIONS
How much is available for districts entering into Q Comp?
Districts, schools, and charter schools with an approved Q Comp application for the 2005-06 school year will receive $260 per student in state aid and $190 per student in state aid and $70 per student in a partially equalized levy for the 2006-07 school year and beyond.
Districts and schools with an approved Q Comp application for the 2006-07 school year will receive $190 per student in state aid and $70 per student in a partially equalized levy for the 2006-07 school year and beyond. Charter schools with an approved Q Comp application will receive the state average in aid (likely to be slightly less than $260 per student) depending on how many school districts choose the levy the maximum amount available, and how many choose to levy less than the maximum. Charter schools do not have the authority to impose levies.
Is a school district required to levy the $70/student in order to receive $190/student in state aid?
No, school districts and schools will receive the $190 per student in state aid regardless of the amount levied for Q Comp.
What happens if a district does not “pre-certify” its levy prior to September 30, 2005?
If a district does not include the Q Comp levy on its proposed property tax certifications prior to truth in taxation, then the district cannot levy funds for Q Comp for Pay 2006. However, the district may elect to “double levy” in Pay 2007 to make up for the difference.
What happens if a district “pre-certifies” a levy for Q Comp but does not submit a Q Comp application prior to the final levy certification?
If a district does not submit its Q Comp application to the Department of Education prior to the final levy certification, the Q Comp levy will be deleted from the levy limitation report, and the district cannot levy for Q Comp for Pay 2006. However, the district may elect to “double levy” in Pay 2007 to make up the difference. If the district double levies in Pay 2007, the levy for Pay 2007 will be recognized as revenue by the district in FY 2008. The Q Comp aid for FY 2007, including the levy equalization aid, will be recognized as revenue by the district in Pay 2007.
What happens if a district submits a Q Comp application and certifies a Q Comp levy for Pay 2006, but the application is not accepted and the district does not qualify for Q Comp revenue in FY 2007?
If the final decision to not accept the district’s Q Comp application is made early enough to adjust the Pay 2006 levy, the Q Comp levy will be deleted from the Pay 2006 levy. If not, the Pay 2007 levy will be adjusted to offset the amount levied for taxes payable in 2006.
Is the levy equalized?
Yes, the levy is partially equalized, with an equalizing factor of $5,913 Adjusted Net Tax Capacity (ANTC) per pupil unit.
How much money is available?
The Q Comp law provides funding for approximately 48 percent of students. This program essentially starts up in the second year and is intended to be a phased-in program. The advantage of starting this program in the second year is we can examine the demand for the state funds and come back next year and request a supplemental budget appropriation if the demand exceeds the funding that is available.
Won’t the large districts take all the money anyway?
There will be plenty of money available for other districts. If the three largest school districts in Minnesota decided to enter the program – Minneapolis, St. Paul and Anoka-Hennepin – they would spend about $22.9 million of the $79 million available (or 22 percent of the total available).
Furthermore, the Department of Education is required to distribute funding on a geographical basis for the 2006-07 applications until July 1, 2006. The metro area is defined as school districts residing within the seven county metropolitan area and the rural area is defined as school districts residing in counties that are not within the seven-county metropolitan area. Distribution is based on a student population in those two areas. After July 1, 2006, the Department of Education may distribute remaining funds on a first come, first served basis.
Won’t the money for Q-Comp just go away in a few years?
The program is structured as a categorical aid program that is part of general education revenue, not as a grant program. This was done to create a permanent commitment to performance pay. The bill creates the categorical aid program as a permanent funding program. However, funding is always a decision of the current and future legislatures.
Is there enough money to implement Q Comp?
School districts are implementing performance pay plans for amounts ranging from less than $100/student in additional funds to $500/student in additional funds. The districts participating in the Minnesota Alternative Teacher Compensation Program under previous legislation receive $150/student in state aid. The Q Comp legislation provides for $260/student in revenues.
Some districts have plans that are more expensive than Q Comp. However, many of those districts have included school personnel other than teachers, which will drive the cost of performance pay.
How are Q Comp funds distributed by the Department of Education?
For the first year, FY 2006 that started on July 1, 2005, Q Comp funds are distributed on a first come, first served basis. For the second year, FY 2007 that begins on July 1, 2006, Q Comp funds are distributed based on student population between the metro and rural areas until July 1, 2006. After July 1, 2006, the available funds are distributed on a first-come, first-served basis. The metro area is defined as seven county metropolitan area. The rural area is all other counties. Additionally for FY 2007, Q Comp funds allocated to charter schools are limited to $3,374,000 until after August 1, 2006.
What student count is used to determine Q Comp revenue?
The Q Comp law requires the Department of Education to use the prior year October 1 student count. This is similar to other categorical funding, specifically compensatory. If there are unusual situations in a school or school district, an appeal can be filed with the Department of Education, Attn: Tom Melcher, Director of Program Finance Program Finance Division, 1500 Highway 36 West, Roseville, MN 55113.
What is the status of the five school districts that are participating in the Minnesota Alternative Teacher Compensation Pilot Program?
In 2001, the Minnesota Legislature appropriated funds to begin a alternative teacher compensation pilot program called the Minnesota Alternative Compensation Program. Currently, five school districts receive $150/student to participate in the program. These five districts have two options: (1) remain in the program for up to two additional years and receive $150/student; or (2) enter into the Q Comp program by an approved application and receive $260/student. After FY 2007, funds will no longer be available for the Minnesota Alternative Compensation Program.
Q COMP – FREQUENTLY ASKED POLICY QUESTIONS
What support will Minnesota Department of Education offer districts, schools and charter schools planning to transition and implement Q Comp?
The Minnesota Department of Education will provide regional training sessions during the months of October and November. More information can be found at
• http://education.state.mn.us/mde/Teacher_Support/QComp/index.html
Do school districts, schools, and charter schools need to implement all components of Q Comp?
Yes, school districts, schools, and charter schools entering into Q Comp are required to implement all components of Q Comp in order to receive approval and state revenues.
When are school districts, schools and charter schools required to implement
Q Comp?
School districts, schools and charters schools are required to implement Q Comp on October 1 of the school year they are entering into the program and submitting an application.
What is the deadline for submitting the letter of intent if a school district is interested in implementing Q Comp during the 2006-07 school year?
There is NO deadline for submitting a letter of intent. However, in order for a school district to certify its levy for the 2006-07 school year, the Department of Education will need a letter of intent by September 30, 2005. If a school district does not submit a letter of intent by September 30, 2005, the district may “double levy” the following year.
What is the difference between a letter of intent and an application?
An application is a formal submission requesting approval to begin implementation of a Q Comp program. A letter of intent is a notification process to the state that the district and the local teacher union are planning to submit an application and undertake planning processes to develop a Q Comp plan. The letter of intent does not bind a district to submit a Q Comp application to the Minnesota Department of Education.
Does Q Comp require a teacher vote before submitting the letter of intent to the Minnesota Department of Education?
No, the Minnesota Department of Education does not require a teacher vote for the letter of intent, only the signature of the president of the local teacher’s union and either the board chair or the superintendent of the school district. However, a school district and local teacher union may decide to require a teacher vote. This is local decision.
Where can districts, schools, and charter schools find an application and letter of intent?
Q Comp application and the letter of intent can be found on the Department’s website at http://education.state.mn.us/mde/Teacher_Support/QComp/index.html
How are applications accepted by the Department of Education?
Q Comp applications received by the Department of Education will be date stamped and sent for review. At that time, the funding needed for that school district will be reserved until a final resolution as to the application’s status is completed. The application process must be completed within 30 days upon receipt of an application. If the Department of Education disapproves an application, the school district, school or charter school has 30 days to change its application. During this 30-day time period, the school district, school or charter school funding allocation remains intact until the 30-day time period allow for changes to the application has expired.
How will a district, school and charter schools’ Q Comp application be reviewed by the Department of Education?
Once an application is received by the Department of Education, it is read and scored by review committees and then submitted to the Commissioner of Education or her designee for final approval. This process must be completed within 30 days upon receipt of an application. If the Department of Education disapproves an application, the school district, school or charter school has 30 days to change its application. During this 30-day time period, the school district, school or charter school funding allocation remains in tact until the 30-day time period allowed for changes to the application has expired.
Does Q Comp require a teacher vote before submitting an application to the Minnesota Department of Education?
No, a teacher vote is not required before submission of a Q Comp application. However, the application must contain the signatures of the president of the local teacher’s union and either the school board chair or the superintendent. It should be noted that final ratification of a master agreement and contract require a teacher vote under the parameters set in the district’s collective bargaining agreement with its local teacher union. Local districts and local teacher unions should check their bylaws to ensure compliance with collective bargaining processes.
Why doesn't the Q-comp law provide more details for districts?
This plan provides a framework that has been shown to work. However, it also allows locals to tailor the program to their specific situation. There are specific goals in
Q-Comp, but the way districts reach those goals is determined on the local level, allowing each district to tailor the program to fit the needs of their students and teachers.
What is the framework for Q-Comp?
Under Q Comp, a district that collectively bargains and approves an alternative teacher compensation plan based upon state criteria and approved by the Department of Education will be eligible for funding. The state aid for the alternative compensation program will be a component of the general education formula. Districts and charter schools are eligible for up to $260 per student, including $190 per student of state aid and an additional levy of up to $70 per student.
Approved plans must meet the following state criteria:
Component #1, Multiple Career Paths:
In recognition that individual teachers have different strengths and abilities, the program provides new opportunities for teachers to develop and use their skills. Those teachers who are highly skilled and have high levels of student performance and talents in teaching must have opportunities to move into, for example, master and mentor teaching positions and essentially help their peers increase capacity. These additional responsibilities are rewarded by additional compensation. This allows teachers to continue to progress and develop new career opportunities within the teaching profession.
Component #2, Ongoing, Job-Embedded Professional Development:
The program must utilize best practice research to create staff development options for teachers in schools. The staff development must also be integrated, collaborative, and provide for regular site-based and teacher-led professional growth activities.
Component #3, Performance or Professional Pay for Teachers:
Performance or professional pay for teachers must introduce changes to the compensation system for participating schools in order to allow administrators some flexibility to reward teachers for high levels of student performance, and to offer competitive salaries for teachers, particularly in hard to staff subject areas or high need schools. The performance pay must “untie” compensation from the more traditional schedule that relies on years of service and education credits and use rigorous evaluations, school achievement gains, and student achievement gains for performance bonuses.
Component #4, Teacher Evaluation System:
The performance pay system must involve a comprehensive standards-based professional review system for teachers that utilize input from a variety of sources. The review system must be based on scientifically based education research. Peer reviewers, such as master and mentor teachers, along with principals, will evaluate each teacher’s performance at several points in time during the school year. The evaluations must be one consideration for teacher bonuses.
Component #5, New Salary Schedule for Teachers:
Performance pay for teachers must reform the step and lane salary schedule and implement a new, 21st-century based system that recognizes teachers as professionals. A new salary schedule must “untie” compensation based solely on seniority and education course credit system and move to one that is performance-based. The design of the new salary schedule is done locally between the district and local teacher union.
How are career ladders for teachers defined and provided?
The specifics are defined locally, but the bill language states that teachers in a career ladder facilitate the professional development for the other teachers. They are anticipated to be members of the evaluation team. Teachers in a career ladder are expected to provide support for new teachers and teachers that need assistance. These teachers spend a great deal of time in the classroom, and are not considered administration. The number of positions that are provided is up to the district to decide.
Is there enough time to prepare and implement Q-comp?
Funding is ramped up in the second year of the biennium. Some districts have been planning and may be able to negotiate their contracts to start this fall. Most will need more time and will negotiate their contracts and be ready to come online during the 2006-07 school year.
How does Q-comp or performance pay work? Isn’t it difficult to measure teacher performance?
Teacher performance tied to pay is measured in the following way:
• A locally selected evaluation team would develop a common set of skills to be measured, and measure them with a common rating scale. This tool would by used by ALL evaluators.
• Agreed upon gains in student performance.
• Local districts can set goals to be met and add other components.
Doesn’t Q-Comp and performance pay systems create competitive environments for teachers and schools?
Participating TAP schools have found the model supports collegiality. According to the Milken report, The Teacher Advancement Program Report Two: Year Three Results from Arizona and Year One Results from South Carolina TAP Schools, 2004, in Arizona, teacher collegiality remained high throughout the TAP program implementation period (staying within the 70% range over the three years).
How do we know that a program like Q-Comp will work?
The study referenced above reported gains in student achievement.
• In 2001, 3 of the 4 Arizona TAP schools performed significantly better than their control schools - 9 to 29 point percentile rank differences.
• In 2002, 3 of the 4 Arizona TAP schools performed significantly better than the control schools - 14 to 46 point percentile rank differences.
• Results in 2003 for South Carolina were similar - In math 4 of the 6 TAP schools performed significantly better than the control schools - 14 to 27 point percentile rank differences.
• In 2005, Waseca Public Schools and the three schools in Minneapolis Public Schools participating in TAP showed significant gains on the Minnesota Comprehensive Assessments (MCAs).
• If a school’s professional development focuses on the “most effective or needed” instructional practices, student achievement can increase as much as 20% .
Wenglinsky, Harold (May 27, 2003). The effect of classroom practice on student achievement. Educational Testing Services. ASCD Brief.
Could there be multiple plans within a district?
The proposal requires that a full district OR a full school site apply. In a large district, it is possible that different school sites may have programs that vary.
How will the evaluation system work within Q Comp – will it be biased?
An evaluation tool will be locally agreed upon and all teachers will be measured on the same agreed upon skills.
An evaluation in a performance-based Q Comp model will be:
• Effective, fair, and provide even accountability for teachers;
• Rigorous and clear procedures, standards and performance rubric;
• Support for growth for all teachers;
• Better support for deficiencies;
• Peer evaluations completed by master and/or mentor teachers (depending on district set up and plan) approved by building principal;
Does professional development for teachers lead to increased student achievement?
If focused and integrated, professional development will assist with teacher effectiveness in the classroom that will lead to increased student achievement. The TAP study found there was a positive relationship between implementing all the principles listed in
Q-Comp and increased student achievement. In Waseca, although standardized test data has not been completed, early results from classroom level pre- and post-testing of students at Hartley Elementary show that students – particularly at the low performing level – have made significant gains in the areas that TAP professional development targeted. The NWEA test results for the targeted strand of word recognition, which was once one of the lowest scoring areas, showed the most growth of any of the reading strands – an increase of 5.3 scale scores.
What is the state law requirement under the Q Comp program regarding staff development and the 2% set aside?
For districts entering into Q Comp, the transition year allows districts to set aside “up to 2%” for staff development. The district or school that is in transition is only required to submit the amount of funds it is setting aside for Q Comp. This information is included on the letter of intent.
There were some changes made to the staff development law during the 2005 Special Session, and Q Comp requires that the district and school’s Education Improvement Plan and Staff Development Plan be aligned with their Q Comp application and plan.
Are school districts required to ratify their master agreement and contract before submitting an application?
No, school districts are not required to ratify their master agreement and contract before submitting an application. A school district or school may submit an application under a “pre-approval” process. Under this process, an application is submitted prior to ratification and the Department of Education then approves or disapproves the application. If the application is approved, the school district then proceeds to a teacher vote and state revenues are made available to the district once the master agreement and contract have been ratified. Local districts and local teacher unions should check their bylaws to ensure compliance with collective bargaining processes.
What if a school district has settled their master agreement – can it be re-opened for Q Comp?
Yes, Minn. Stat. 179A.20 allows school districts to re-open their master agreement for the sole purpose of negotiating a Q Comp plan and application.
Do we need to negotiate a new contract/master agreement before we can implement Q Comp?
Yes, if you request the funding. The pay system would be restructured and the contract/master agreement negotiated to implement for Q-Comp program. PELRA does not allow contracts to be re-opened; however, the Q Comp law does provide that districts who settled contracts before enactment of this program may re-open their contract for the purposes of Q-Comp.
Will teachers lose seniority, pay, and tenure under Q Comp?
Teachers will not lose seniority, pay, or tenure. The local district negotiates with the exclusive representative of the teachers the pay schedule and it is expected that no teacher will lose pay or seniority under Q Comp. Teacher tenure is defined in state law and Q Comp does not affect teacher tenure.
Does Q Comp change PELRA?
Q Comp provides for two changes as it relates to PELRA. Both changes are optional and only available to districts that enter into Q Comp.
Districts that have settled a master agreement prior to enactment of Q Comp would be allowed to re-open the contract for the purposes of Q Comp only. Second, districts are only allowed to enter into two-year contracts. Q Comp districts would be allowed to settle a contract for two or four years. The idea around this exception is to allow school districts and teachers more time to transition into a new system and salary schedule.
Does Q Comp apply to administrators or other school personnel?
Q Comp does not apply to administrators or other school personnel. However, Q Comp or state law does not prevent districts from developing performance pay models for administrators or other school personnel. In fact, many school districts have implemented performance pay for administrators.
What is a program review and how will it be conducted?
Once a school district, school, or charter school’s Q Comp application has been approved, the Department of Education will work over the course of the school year and conduct a program review. The program review will be more defined shortly, but will involve a “peer review” system working with other Q Comp districts, schools, and charter schools.
Q COMP – FREQUENTLY ASKED QUESTIONS THAT RELATE TO CHARTER SCHOOLS ONLY
Note: All of the questions and answers above apply to charter schools except for the collective bargaining questions, questions related to levies, and questions related to the 2 percent set aside for staff development.
Are charter schools going to become unionized because of Q Comp or any of its requirements?
No, charter schools are not required to unionize in order to enter into the Q Comp program. The charter school board is only required to ensure its teachers have been notified and provided an opportunity to have input. The charter school board must certify that 70% of teachers have approved of their Q Comp application.
How much is available for charter schools entering into Q Comp?
Charter schools will receive state aid based on the state average that school districts will receive under Q Comp. This will likely be very close to $260 per student. Charter schools receive their funding in state aid because they do not have the authority to impose local levies.
Does the Q Comp law impose any financial limits or caps for charter schools?
Charter schools are subject to the same cap in funding as school districts and schools. Funding will be limited to approximately 48 percent of the student population in charter schools, or $3,374,000 until August 1, 2006. If there is additional funding after August 1, 2006, the Department of Education may lift the financial cap for charter schools.
Do charter schools need to set aside 2% for staff development if they have an approved Q Comp application?
Charter schools, under state law, are exempt from a number of state mandates. Charter schools are not required to set aside 2 percent for staff development; however, Q Comp requires job-embedded staff development as one of the components and charter schools will be required to comply with this component, along with the other requirements of
Q Comp, in order to receive state funding.
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