Lincoln University's Board of Curators on Thursday approved the general and auxiliary budget requests, giving administrators the authority to spend almost $41.4 million in the budget year that begins July 1.
But officials don't plan to spend all of the money, President Kevin Rome told the six curators at Thursday's meeting.
"We are very, very conservative with the budget," Rome said, "because the governor can withhold at any point. If we budget at 100 percent, and the governor withholds, for whatever reason, that means people have to be cut.
"That's why we tend to be much more conservative, anticipating that if something happens, we have it built in already, instead of it really having a devastating impact."
Chief Financial Officer Sandy Koetting said the 2015-16 general fund budget has "a little over $260,000" more than the 2014-15 budget that ends June 30 - with about $216,000 in state performance funding accounting "for a good portion of the increase."
Koetting said about 41 percent of LU's total spending will go for instruction, research and public service, while "our expense category for salaries and fringe benefits make up about 70 percent of our overall" general fund budget.
The auxiliary budget generally covers housing issues and other costs.
Koetting said the 2015-16 plan is only $403,120 more than Lincoln actually spent through the end of April.
Even though the experts say the 2008 recession has ended and the economy is improving, Rome told the News Tribune in an interview: "We're still operating as though things haven't changed. ... It would be very foolish of us to think, "Things may be a little better. We can start spending.'"
State government provides only about half of Lincoln's funding, with most of the rest coming from the tuition and fees LU charges its students, "and whatever resources we bring in from other endeavors that we're doing."
Some of that income is from the $75 per credit hour "dual credit" fee charged to high school students who take some college-level courses.
Curators Thursday agreed to charge the same $75 fee for high school students taking "dual enrollment" courses on the Lincoln campus.
College students pay higher tuition rates, but Said Sewell, LU's provost and Academic Affairs vice president, told the board charging more for high school students would be "unreasonable when they're not getting financial aid," which they can't receive under federal regulations.
Curators authorized administrators to add some fees, but only for services students actually would use - such as access to the university's technology.
Rome told a reporter the high school students are "getting a different rate, because they're not going to be able to use all the resources a student coming here full time is getting," and they won't be participating in student activities.
The board OK'd three objectives as LU faculty, staff and administrators continue working on a new strategic plan for the 2015-18 academic years that begin this fall.
The priority objectives are:
• Recruitment, enrollment, retention and graduation.
• Enhancing campus infrastructure.
• Enhancing campus culture.
Jerome Offord, Rome's chief of staff, said the committee members would provide the board with details for implementing those objectives at a future meeting.
Curators approved LU's more than $136.73 million "capital improvements budget request" for state officials to consider in future state budgets.
The list includes new science and academic classroom buildings, campus wide renovations and an addition to the Richardson Fine Arts Center.
But, Rome told the board, even though the state Higher Education department asks for the list each year, it's unlikely Lincoln will get any of the money.
He told the News Tribune: "We know that the state's not in a position to fund the things that are on there.
"We wish that they were, but we still have hope."