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for school improvements currently called for in fourteen states' statutes represent one, albeit limited, form of PBSF. These reward strategies typically provide relatively small appropriations as an add to state funds, and thus they remain outside of state equalization programs. This article examines financial rewards in four states and makes policy recommendations for improving performance-based accountability systems that include statewide standards, assessments, rewards and sanctions. Results-based rewards have been advanced as potentially effective policy strategies in entrepreneurial restructuring1 and the new educational accountability.2 These models of statelocal-school governance consist of indicators of school success with an emphasis on measured student performance, standards
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