Cockermouth School Governors have voted against applying for academy status after a two month consultation.
The school will continue to be funded by the Department for Education via Cumbria County Council.
The governors say the vote to stay under local authority control was decisive, but the head teacher says it will mean less funding for the school.
Head teacher Geoff Walker said: "We are committed to work in the best interests of the pupils and the community."
Chair of Governors Len Cockcroft said: "Governors have consulted widely over the past few weeks and consultation meetings have been held with pupils, parents, staff and the community."