DAYTON – A federal judge lifted a desegregation order yesterday after the city agreed to spend at least $30 million to improve public schools, ending more than 25 years of cross-town busing designed to achieve racial balance in the schools.

The district of 20,800 students was the only school system in Ohio still operating under a desegregation order.

U.S. District Judge Walter Rice lifted the order during a hearing attended by representatives of the Dayton school system, the state Education Department and the NAACP.

The parties reached a settlement over the weekend to spend more money on improving academics. The case had been scheduled to go to trial yesterday.

Under the agreement, the city will spend $30 million to $35 million over the next five years on programs to improve academic achievement. The National Association for the Advancement of Colored People, which filed the original 1972 lawsuit, had originally wanted nearly $100 million.

“It’s time to move on from the remedies of the past – such as busing – and focus on improving academic achievement of all students in all schools,” said Steve Puckett, assistant state education superintendent.

Attorney Michael Sussman, who represented the NAACP in the talks, said all sides wanted resolution.

“Every party put first the desire to move the community forward and put second their desire to win,” Sussman said.

The school board asked the judge last year to lift the busing order. But the NAACP said children still suffer from the effects of years of segregation.

The city began busing students to racially balance schools in 1976. School officials said they would begin to phase out the court-ordered busing in the fall.