House and Senate negotiators have reached agreement on a transportation finance bill that includes an increase in gasoline and cigarette taxes in Massachusetts.

The measure would close a projected $118 million deficit in the MBTA and provide funds to modernize the state's aging transportation system.

In a joint statement Tuesday night June 25th , House Speaker Robert DeLeo and Senate President Therese Murray called the compromise bill a "responsible and efficient use of revenues that will solve the current transportation funding gap."

The bill now faces an up or down vote in both chambers, possibly as early as today.

The bill would raise about $500 million in new revenues, including a 3 cent hike in the gasoline tax to 24 cents a gallon, and a $1 increase in the cigarette tax.