This report evaluates the Grand Rapids Public School (GRPS) experience with performance contracting. The report describes the first two years of the GRPS performance contracting experience, assesses the accomplishments of those two years, and describes the third year (1972-73) program. The author concludes that the contracts were successful and presents the reasons given by Grand Rapids personnel for labeling them successful. As a result of the findings, the Contract Learning Projects Office strongly recommended the development of a teacher support program that will couple the student needs assessment with student learning patterns to prescribe an individualized course of study for students. (JF)