(a) The commissioner by rule shall establish and shall administer a comprehensive appraisal and professional development system for principals.
(b) The commissioner may establish a consortium of nationally recognized experts on educational leadership and policy to:
(1) assist the commissioner in effectively researching and developing the comprehensive appraisal and professional development system described by Subsection (a); and
(2) evaluate relevant research and practices and make recommendations to the commissioner to improve the quality of the training, appraisal, professional development, and compensation of principals.

(c) If the commissioner establishes the consortium, the commissioner shall select a presiding officer of the consortium. The presiding officer:
(1) must be an expert on educational leadership and policy;
(2) must have a demonstrated ability to lead a statewide school leadership reform initiative; and
(3) may not be employed by a school district in this state.
(d) The commissioner shall establish school leadership standards and a set of indicators of successful school leadership to align with the training, appraisal, and professional development of principals.
(e) In carrying out the commissioner’s powers and duties under this section, the commissioner may use only money available from private sources that may be used for that purpose.
(f) In appraising principals, each school district shall use either:
(1) the appraisal system and school leadership standards and indicators developed or established by the commissioner under this section; or
(2) an appraisal process and performance criteria:
(A) developed by the district in consultation with the district-level and campus-level committees established under § 11.251; and
(B) adopted by the board of trustees.
(g) Each school district shall appraise each principal annually.