The Grand Valley State University Board of Trustees voted on a new budget and set tuition rates for the academic year at its July 10 meeting held on the Allendale Campus.

GVSU's tuition will increase by 3 percent.

The tuition increase complies with the state's tuition cap and keeps Grand Valley's tuition in the bottom half of all Michigan universities.

Trustees voted to increase tuition by $163 per semester, bringing the annual tuition to $11,078 for a full-time undergraduate Michigan resident.

The budget includes $40.4 million in financial aid for students, an increase of more than $2 million to be awarded in the form of scholarships or grants. This results in financial aid increasing 6 percent.

"This budget reflects our deep concern for students searching for affordability and a quality education in the state of Michigan," said David Hooker, chair of the Grand Valley Board of Trustees.

The budget passed by the board also includes a 2.9 percent wage increase for faculty and staff members.

The university is expected to receive $65 million in state funding.

The state's share of Grand Valley's entire budget is 18 percent, meaning students and their families pay 82 percent. Trustees earmarked funding from the state to student financial aid, debt service, maintenance and utilities for classroom buildings.

President Thomas J. Haas said he is pleased lawmakers have begun linking performance to funding because that helps Grand Valley students.