UNIVERSITY CENTER, Mich. -

Saginaw Valley State University's board has approved a 3.9 percent tuition increase for in-state undergraduates.

The university said Monday that a Michigan undergraduate taking a full load of 30 credits for the 2012-13 academic year will pay $8,120 in tuition and mandatory fees. That's up from $7,815 in the year just ended.

Even with the increase, Saginaw Valley State says its tuition and required fees are lowest in the Michigan public university system.

The board also has voted to increase university-funded scholarships and financial aid by about $800,000 to $11.2 million. The school's general fund budget for the 2013 fiscal year is $113.4 million.