CHICAGO (AP) — An investigation by Illinois education officials has concluded that the financial condition of the Chicago Public Schools doesn’t warrant intervention by the state.

The Chicago Tribune reports that the Illinois State Board of Education determined that the school system is not in “financial difficulty” as determined by law.

Gov. Bruce Rauner had made overtures toward greater state control of the nation’s third-largest school district. The Republican ordered a review of the district’s finances in February when he called for a state takeover. The attorney general then decreed the state has limited authority over the schools’ spending.

Materials prepared for the state education board’s meeting next week indicate the district will cut $120 million next year and skirt a “negative operational budget.”