Staffing each classroom with an effective teacher is the most important function of a school district. Doing so requires strategic personnel policies and smart practices. This analysis reviews the Seattle Public Schools' teacher policies linked most directly to teacher effectiveness. Ten policy goals frame the analysis. Each of these goals is supported by a strong rationale that is grounded by research and practitioner insight. This report examines four areas of teacher governance in which better policies--both state and local--could improve teacher quality. These areas are: (1) Compensation; (2) Transfer and Assignment; (3) Work Day; and (4) Developing effective teachers and exiting in effective teachers. "The Impact of Teachers' Advanced Degrees on Student Learning" (Metin Ozdemir, and Wendy Stevenson) is appended. (Contains 31 figures and 32 footnotes.) [Additional funding for this report was provided by a grant from the Alliance for Education.]