A dispute over an enrolment scheme between the Ministry of Education and a Dunedin High School is over.
The Ministry had threatened to appoint a limited statutory manager at King's High School if it failed to establish an enrolment scheme in early August.
The ultimatum was in response to concerns about the school's roll increasing.
In a statement, the school and Ministry said a new enrolment scheme would take effect from 2017, capping the roll at 1035 students.
If the roll climbs faster than projected, the scheme will start sooner.
The Ministry said no more school buildings will be provided to the school.