By David Madden    

CHESTER, Pa (CBS) — All signs on Thursday were pointing to a potential settlement of a lawsuit filed several months ago by the Chester Upland School District against the Pennsylvania Department of Education.

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The district, the commonwealth and the Chester Community Charter School have been in court since January, fighting over Chester Upland’s mounting debt which, at one point, threatened the future of the district itself.
Now, Chester Upland’s solicitor, Leo Hackett says a federal judge has been advised that a deal may be near.

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“The parties, in substance, have reached the terms of an agreement,” says Hackett. “And the formalities of the writing and execution of them are still to be completed.

Assuming they can get everything down on paper, the settlement could be final by mid-August. This comes as Chester Upland awaits the likely appointment of a chief recovery officer accountable to Harrisburg, allowed under a new state law covering distressed school districts. In effect — another state takeover.

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