Teacher competency tests are being used more frequently to assess the knowledge and skills of prospective teachers. Educational policymakers face the dilemma of setting passing standards for these tests which will satisfy the desire for meaningful quality standards for teachers while meeting the necessity for making available a reasonable number of teachers to staff the schools. Several standard-setting studies were carried out by IOX Assessment Associates. These studies were designed to assemble information for use by standard-setters such as boards of education or high level educational officials. Preference data and performance data are necessary to establish realistic standards. The methods of data collection and recommendations for use of the information are discussed. (DWH)