CHAPEL HILL, N.C. — The University of North Carolina at Chapel Hill Board of Trustees approved a plan Wednesday afternoon to increase tuition and fees at the university, which would generate about $5 million in new revenue.

Under the proposed increase, in-state tuition for undergraduates would increase $250 and out-of-state tuition $1,100. In- and out-of-state tuition for graduate students would increase $500.

Student fees would also increase $170 for undergraduates and $166 for graduate students. The proposal includes a $50 athletic fee increase, which students had opposed.

The increase is contingent on approval of the UNC Board of Governors, which governs all 16 of the state's public universities, in February. If approved, the increase would go into effect in the fall.

The board also voted to be more consistent and predictable in its long-term plans for tuition and fee increases, starting next year. The trustees will try to draft multiyear guidelines about how much tuition could rise.

The additional $5 million a year from the increases would be used for financial aid, faculty salary increases, reduced class sizes and better pay for graduate student teaching assistants.

This is the fourth tuition increase within the system in the last five years, with the most recent at UNC-Chapel Hill in 2004.

Late last year, UNC system leaders formed a task force to work on a new formula to decide who will control tuition increases at all campuses in the university system.

UNC-Chapel Hill was recently ranked first, for the fifth consecutive year, among the best values at the top 100 public universities in the nation by Kiplinger's Personal Finance magazine.