Emanuel establishes bonuses for principals

Chicago Mayor Rahm Emanuel is establishing a $5 million fund to provide merit pay to Chicago Public School principals.

Emanuel says the fund will reward the best-performing principals. Emanuel said Monday four Chicago families are providing the money over five years.

Venture capitalist Bruce Rauner and his wife, Diana, are contributing $2 million. Groupon co-founder and executive chairman Eric Lefkofsky and his wife, Liz; Penny Pritzker and her husband, Chicago Park Board President Bryan Traubert, and Paul and Mary Finnegan, are giving $1 million each.

Chicago Principals Association President Clarice Berry says her organization will cautiously take a look at what the mayor is proposing.

Schools CEO Jean-Claude Brizard says principals stand to earn annual bonuses of between $5,000 and $10,000 if they meet the achievement guidelines.