Republicans included $121 million in the state budget to set up a program for performance pay for teachers. Now the News & Observer reports that Rep. Bryan Holloway (R-Stokes) says it’s not likely to happen in the short session because it’s complicated to set up. I don’t doubt he’s correct on that score. However, performance pay should be a priority. Compensating teachers based on their ability to produce results is key to differentiating between mediocre performers and the stellar teachers we want to retain, and to focusing teacher incentives on outcomes that lead to higher student achievement, not inputs such as tenure and degrees that may or may not do the same.