In keeping with the theme of this special issue, “Looking back, Moving forward,” the present article describes how Iowa is moving forward with its Teacher Leadership and Compensation (TLC) System. First implemented in school districts in the 2014–2015 year, the TLC System is designed to attract and support new teachers; make available meaningful teacher leadership roles, for which teachers receive supplemental salary; and provide high‐quality professional development. Today, every school district in the state of Iowa has a teacher leadership program in place with one of every four Iowa teachers holding a well‐defined, compensated leadership role. In order to participate fully in the new school culture created by the TLC System, it is imperative that teachers have agency, the ability and initiative to direct their own professional growth, and the opportunity to contribute to the growth of colleagues. Teacher education programs can advance preservice teacher agency by cultivating a growth mindset, implementing a dialogic pedagogy, and devoting attention to the construction of teacher identity.