The bill proposes the addition of a new section to chapter 13-13 of South Dakota law, allowing for merit pay to be included as part of teacher compensation. Specifically, it states that, in addition to the salary determined by the school district's board, teachers will be eligible to receive merit pay as determined by the board.

This change aims to provide school districts with the flexibility to reward teachers based on performance, thereby potentially enhancing the quality of education by incentivizing effective teaching practices. The introduction of merit pay is intended to complement existing salary schedules rather than replace them.