In Part I of this report, educational accountability is viewed as being composed of three types. They are: goal, program, and outcome accountability. In addition, three accountability schemes which are considered exemplary of the kinds of proposals presently made and which cover a broad range of accountability types are also discussed. The schemes are: the voucher plan, performance contracting with an external contractor, and performance contracting with a teacher. In Part II, it is suggested that traditional methods of evaluating teachers are not adequate. For example, it is felt that principals' judgments are usually too subjective to provide valid data while standardized tests are often too insensitive to student performance on the specific goals and objectives of a given educational program. It is suggested that student performance on relevant measures be used as the primary basis for a teacher evaluation system. The steps needed for instituting two potentially effective systems--an objectives-based approach to outcome accountability and performance tests--are described along with their advantages and limitations. The difficulties of implementing any kind of an evaluation system are considered as well as how these difficulties might be overcome if the focus of the approach is on the improvement of teacher skills and educational practices. (Author/JS)