HARRISBURG -- A deeply divided House yesterday agreed to a plan to fix highways and bridges and to improve mass transit using a menu of taxes and fees, including tolls on Interstate 80.

The bill, which passed 105-96, with most Democrats in favor and Republicans opposed, now heads to the Senate.

It would provide about $700 million in transportation funding for the fiscal year starting July 1, and then $750 million in 2008-09 and $800 million in 2009-10. Funding would increase by roughly $20 million each subsequent year.

That's not enough to satisfy Gov. Ed Rendell.

"The governor has been consistent in his call for a least $1 billion in transportation funding this year," said his spokesman, Chuck Ardo. "He remains committed to that level of funding."

Allegheny County's Port Authority, which would see $48.5 million in additional state funding this year under the plan, also was hoping for more, said CEO Steve Bland. The current state allocation is $142 million, with the rest of the authority's $325 million budget coming from fares, advertising revenue, Allegheny County and the federal government.

The increase in state funding would help prevent service cuts set for September but would not allow the authority to restore the 15 percent reduction in routes the Port Authority made last week, Mr. Bland said. It also is unlikely to prevent a fare increase anticipated for January, he said.

Harrisburg Democrats are looking to increase the amount of funding available by considering different bonding options.

"This is far from over," House Appropriations Chairman Dwight Evans, D-Philadelphia, told Capitol reporters after yesterday's vote. "The first thing we need to do is pass something. It's a starting point."

It is unclear when the Senate will take up the bill, although Mr. Rendell and House Democrats have threatened to hold the state budget hostage pending final action on transportation funding. The General Assembly is constitutionally required to pass a budget by June 30, an annual deadline that lawmakers have not met since Mr. Rendell became governor in 2003.

Senate leaders previously said they wouldn't address transportation until the fall but now are more satisfied with the House-approved bill than with previous iterations.

With yesterday's action, the House moved far away from the governor's proposal to fund infrastructure improvements by privatizing the Pennsylvania Turnpike and taxing oil company profits.

"Those are both very positive steps," said Erik Arneson, spokesman for Senate Majority Leader Dominic Pileggi, R-Chester. "We understand the need for prompt action, but I cannot give any specific time frame at this point."

House Minority Leader Sam Smith, R-Punxsutawney, who opposed the transportation plan, said the Senate's time would be better spent on the budget. Transportation can be addressed later, he said.

Lawmakers "are engaged in the transportation issue now. It's not something that's going to evaporate," he said. "We're serious about it. We're willing to do it ... but I don't think it should keep us from getting the budget done."

The House transportation bill -- which was sponsored by Majority Whip Keith McCall, D-Carbon -- calls for floating bonds and repaying them with toll revenue from the Pennsylvania Turnpike plus new tolls of 6.5 cents per mile on I-80. The I-80 component would require federal approval, which Democrats expect to come easily because the Federal Highway Administration already has recommended making it a toll road.

The legislation would prevent bus, trolley and train fare increases, prevent mass transit service cuts and repair highways and bridges, Mr. Evans said.

Funding distribution would be contingent on city and county governments increasing local transportation funding and transit authorities meeting ridership and revenue benchmarks.

Currently, local governments pay an average of 13 percent toward mass transit costs. Under the McCall bill, that would gradually increase to an average of 20 percent.

Counties could generate matching funds by increasing sales, use, hotel or vehicle-rental taxes. Municipalities could raise their share through increases in earned income or vehicle rental taxes.

State Rep. Dan Frankel, D-Squirrel Hill, wants Allegheny County to have even more flexibility. He introduced a bill, which has not yet been discussed at the committee level, that would allow the county instead to institute taxes on alcoholic beverages or rental cars.

Allegheny County and its municipalities would have to generate another $1.35 million annually through the new taxes -- on top of the $25 million they already provide -- to leverage $48.5 million in state funding, Port Authority officials said.

Outside the Capitol, reaction to the House transportation bill is mixed.

Critics say local government officials won't want to increase taxes and, if they don't, no additional state money will be released in areas that need the most infrastructure help.

Environmental groups, though, say the legislation will prevent transit fare increases and service decreases.

"Vibrant public transportation [is] absolutely critical to Pennsylvania's fight against air pollution and global warming," said Nathan Willcox, of the group PennEnvironment.