AZ SB1443

Establishes an Arizona performance based compensation system task force within the state board of education consisting of teachers, administrators, school board members, and private sector representatives to develop and evaluate teacher compensation systems.

Requires school districts to allocate classroom site fund monies as follows: 40% for teacher performance-based compensation increases, 20% for teacher base salary increases, and 40% for maintenance and operation purposes.

Mandates that beginning July 1, 2013, school district performance based compensation systems include elements such as statewide testing performance, academic progress measures, graduation/dropout rates, and teacher and student quality evaluations.

Specifies compensation formulas: for elementary teachers, 50% based on statewide testing, 25% on academic progress, and 25% on evaluations; for secondary teachers, 40% on testing, 25% on progress, 25% on evaluations, and 10% on dropout rates.

Requires the task force to submit written recommendations by December 31, 2012 that determine the pay increase scale, with copies provided to school district governing boards.