Republican Senator John Thrasher sponsored the bill, also known as the merit pay bill.
With the spring legislative session ending in two weeks, the veto likely kills the plan until next year.
Gov. Crist said after listening to an outpouring of feedback on the bill, he became convinced it was not in the best interests of Floridians.
The governor's office received about 120,000 calls, e-mails and letters on the issue, and virtually all of it was opposed.
The governor said the bill was rushed through the Legislature. He compared it to the health care legislation in Washington, which he described as being jammed down people's throats.
Crist also said the bill infringed on the authority of local school boards, did not accommodate the needs of special education students and used arbitrary methods to determine a teacher's effectiveness.
"So let me be clear: I veto Senate Bill 6 because this bill is contrary to my firmly held principle to act in the best interests of the people of Florida. I am confident that my decision today is the right one because I know it is the right thing to do for the people of Florida.
"Senate Bill 6 places teachers in jeopardy of losing their jobs and their reaching certificates without a clear understanding of how gains will be measured and without taking into account circumstances beyond the teacher's control.
"Finally I veto this bill because of the process by which it was passed. This legislation sped through committees without meaningful input of parents, teachers, students, superintendents, and school boards. It was troubling to learn that the bill would not be amended after it passed in the Senate, particularly when more and more concerns were coming to light."
"I would like to applaud Governor Crist for standing up for teachers all over the state of Florida with the veto of Senate Bill 6," said Jacksonville Democrat Rep. Mia L. Jones. "Governor Crist made the right decision today, and sent a clear message that the democratic process still works. To our teachers and students who became actively involved in this process, I commend each of you. To the people of the State of Florida who stood up for what they believed in and made sure their voices were heard, I urge you to remain engaged in the process. I believe that this bill included a number of things that would undermine the success of the public education system resulting in its ultimate demise. It is my hope that now all of the stakeholders can come together to create legislation that will be beneficial to our teachers and children for many years to come."
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