"Straight A's: Public Education Policy and Progress" is a biweekly newsletter that focuses on education news and events both in Washington, DC and around the country. The following articles are included in this issue: (1) State of American Business: U.S. Chamber of Commerce Says U.S. Could Face a "Severe Worker Shortage" Unless It Produces Better-Educated Workers; (2) Separate and Unequal: Report Finds Growing Segregation in American Schools; (3) State of the State Addresses: Now Enjoying Budget Surpluses, Governors Begin Giving Back to Education; and (4) Houston School Board Approves Pay for Performance for District Teachers.