The Indiana Senate has endorsed a proposal backed by Gov. Mike Pence that aims to boost highway funding by drawing down the state's cash reserves and borrowing money.
Senators voted unanimously Wednesday to advance the bill to the House, even though Democrats questioned its lack of additional money for local projects.
The Senate plan would help implement Pence's proposal to increase highway funding by $1 billion over the next four years. The Senate measure has received support from some conservative groups because it wouldn't raise taxes.
House Republicans have pushed what they call a long-term road funding plan that would increase the cigarette tax by $1 per-pack and the 18-cent gasoline tax by 4 cents. It also includes a 5 percent income tax reduction over eight years. The House voted 64-33 Tuesday to send the bill to the Senate for consideration.