URBANA, Ill. (WCIA) — The University of Illinois Board of Trustees announced on Thursday that it approved a new operating budget for the current academic year.

The budget for all three universities in the system is $7.65 billion, a 6.5% increase from last year’s $7.18 billion budget. This is the second consecutive year of increased financial support for the university system.

“This new budget and a second year of prudent increases backed by state investment in the U of I System reflects a high degree of confidence in the world-class education that students and families know they will find at our universities,” said U of I system President Tim Killeen. “Our collaboration with our elected leaders and this decision by trustees to increase funding across our campuses means that we can maintain our forward momentum and continue serving the people of Illinois with certainty and confidence.”

The new budget includes general operating funds of $2.63 billion made up primarily of $1.48 billion in tuition and fees, a $669.4 million state appropriation and scholarship spending of $516.6 million. These operating funds will support academic, research, economic development and public-service activities.

The remaining $3.54 billion is made up primarily of funding for the university hospital, employee benefits and other restricted funds.

The budget will cover the fiscal year that runs through June of 2023.