The Board of Trustees voted Friday to approve the University’s budget for next fiscal year, which will top $1 billion for the third consecutive year.

About $315 million of the operating budget will be allocated toward financial aid – an increase of roughly $18 million from last year’s $297 million budget.

Officials said in February that the Board would increase the financial aid pool to compensate in part for increases to student dining plans.

The budget also includes funds supporting investments in University President Thomas LeBlanc’s five strategic initiatives and recruitment of faculty and staff, Ellen Zane, the chair of the finance and audit committee, said.

The Board also approved a reduced capital budget for the third year in a row, cutting the amount of money spent on construction and renovation projects to $53 million. The funds will be used to upgrade classrooms, improve infrastructure and launch initial plans for a new residence hall and “long-overdue” Thurston Hall renovations, Zane said.