Gov. Bill Haslam's proposal to boost transportation funding is now on equal footing in the Tennessee House and Senate.

The measure that would include the state's first gas tax hike since 1989 was advanced by the House Local Government Committee on Tuesday. That means the measure is now before the finance panels of both chambers - the final standing committees before full floor votes.

Under the latest version of the bill, the state would increase the tax on each gallon of gas by 6 cents over three years, and diesel by 10 cents. The measure would also cut the sales tax on groceries, corporate taxes paid by large manufacturers and the tax on earnings from stocks and bonds.

Haslam argues that the proposal represents a net tax cut for Tennesseans.