The manual describes the differences between low-inference observation and rating scales when evaluating teachers. Procedures for observing are set forth. The body of the manual defines and exemplifies the 115 items used on the observation instrument as well as the use of two other instruments used before and after the observation, i.e., the Conference Data Collection form and the Post-Observation form. The manual was revised after the norming study in preparation for the full-scale implementation of the Career Incentive Project. Copies of the three instruments are included. (Author/JD)