On April 13, 2015, the Governor signed Education Law §3012-d to establish a new evaluation system for classroom teachers and building principals. The new law requires teachers and principals to be evaluated based on two categories: the Student Performance Category and the Observation/School Visit Category, each of which are explained in further detail throughout this document. Under the new law, New York State continues to differentiate teacher and principal effectiveness using four rating categories –Highly Effective, Effective, Developing, and Ineffective. Education Law §3012-d requires APPRs to result in a single composite teacher or principal effectiveness rating that incorporates multiple measures of effectiveness. As in the past, the results of the evaluations shall be a significant factor in employment decisions, including but not limited to promotion, retention, tenure determination, termination, and supplemental compensation, as well as teacher and principal professional development (including coaching, induction support, and differentiated professional development). Section 30-3.1 further clarifies the unfettered right to terminate a probationary teacher or principal for any statutorily and constitutionally permissible reason.