An inspection report in May revealed unsatisfactory performance at Ysgol Maesydre junior school in Welshpool.
Action plans will now be produced by both the school and the council, detailing steps to be taken to address the shortcomings.
Education body Estyn will now monitor the school on a termly basis.
There are 191 pupils between seven and 11 at Ysgol Maesydre which teaches in both English and Welsh.
Although the inspection report highlighted some good features, a significant number were found to be only adequate or unsatisfactory.
Poor behaviourInspectors said the special measures were required in relation because of "poor standards overall".
They found many pupils failed to reach the expected levels of national curriculum attainment in core subjects and standards were unsatisfactory in Welsh second language teaching.
The report also said the school's leadership and management were "ineffective in halting the decline in standards".
The poor behaviour of a minority of pupils was having a detrimental effect on teaching and learning, it said.
Inspectors concluded the school's performance and its capacity to improve were both unsatisfactory.
A project team of senior officers from Powys and neighbouring authorities will be set up.
Coun Stephen Hayes, cabinet member for learning and leisure, said: "We will be working with the school's governing body to identify the reason for the inspection outcome and to ensure we achieve rapid improvements at the school.
"Providing quality education for all of our youngsters is absolutely vital and we are confident that with hard work and the co-operation of the school, staff and governing body we can deliver the improvements demanded by Estyn."
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