I think the clear answer, at least for Christian colleges, is to change the recognition to a lifetime achievement award based on whatever published criteria the school may have. They should have every right to honor those that, in their opinion, accomplished great things in the ministry both as fulltime servants or laymen.
This shifts the weight of the award from academic achievement, which an earned doctorate signifies, to recognition for a life’s work and service for the Lord and humanity. It removes the title "Doctor" which is confusing enough with non-medical PHD's let alone pastors and is replaced it with acknowledgment of one’s life work.
No more Dr. so and so and if someone wants to introduce a Pastor, evangelist, or missionary as the recipient of a Bob Jones University or Hyles Anderson Lifetime Achievement Award then more power to them. Degrees and titles have never meant much to me, show me what they have done, what they have built, the people they have influenced. The mark a person has made and the things they leave behind when they are gone is what matters to me.