Legislation passed during the 2001 Iowa legislative session established the Student Achievement and Teacher Quality Program, Iowa Code Section 284.12(1). This legislation requires the Iowa Department of Education (DE) to annually report the statewide progress on the following: (1) student achievement scores in mathematics and reading at the fourth and eighth grade levels on a district-by-district basis; (2) evaluator training program; (3) team-based variable pay for student achievement; and (4) changes and improvements in the evaluation of teachers under the Iowa Teaching Standards. Sections in this report include: (1) Student Achievement Scores in Mathematics and Reading at the Fourth and Eighth Grade Levels on a District-by-District Basis: 2002-03 & 2003-04 Biennium Adequate Yearly Progress Report Percentage of Students Proficient (Iowa School Districts); (2) Evaluator Training Program and Changes and Improvements in the Evaluation of Teachers under the Iowa Teaching Standards; (3) Team-Based Variable Pay for Student Achievement; and (4) Professional Development. [For the 2003 annual report, see ED483734. For the 2005 annual report, see ED492969.]