SEATTLE (AP) - Gov. Chris Gregoire, legislators, Puget Sound regional leaders and transportation agencies said Wednesday there are more questions than answers in the aftermath of the defeat of an $18 billion fix to the region's traffic woes.

Proposition 1, supported by most of the state and regional political establishment, was defeated 56 percent to 44 percent with about half of the total vote counted Wednesday. Road and transit projects would have been financed through higher sales and car-tab taxes in King, Snohomish and Pierce counties.

The Legislature had hoped regional voters would help pay for big-ticket roads and bridges. With the defeat, leaders said tough conversations will begin right away.

"There is no Plan B," said Senate Transportation Chairwoman Mary Margaret Haugen, D-Camano Island, a sentiment expressed over and over by key leaders.

Olympia will have to consider financing mega-projects with tolls or by raising transportation taxes higher in Western Washington, she said in an interview.

Some transit advocates said a fresh proposal could be on the ballot in the region by next year, but others were more skeptical.

Gregoire, who called it "a tough vote," said she wants to work on a plan to replace the aging State Route 520 floating bridge across Lake Washington. The bridge would have gotten about $1 billion from the tax vote.

Her Republican challenger for re-election, Dino Rossi, said the vote is "evidence the public is ready for new leadership to address traffic congestion and regional transportation issues."

The Legislature will have to consider whether transit and road projects should be kept together, rather than allowing separate ballot measures. Sound Transit chief Joni Earl said the agency and its board will regroup and think about whether to pursue bold expansion of light rail anytime soon.

Motorists in crowded central Puget Sound have long complained about irritating and time-gobbling traffic tie-ups, but regional voters rejected the proposal and what foes called "the biggest local tax increase anywhere in America, ever."

The measure failed in all three counties that voted on the measure: King, Snohomish and Pierce. Foes declared victory Tuesday night and supporters conceded Wednesday.

Although a large vote remains untallied, Aaron Toso, spokesman for the proponents, said: "It would be tough to turn the tide. It would take something short of a miracle to turn things around."

Toso said voters clearly were voting their pocketbooks, even while worried about safety of the aging roads and bridges and wanting to improve transit.

"We know cost is a big issue with folks, and this was a very comprehensive package," he said in an interview.

The plan, the most ambitious and expensive transportation package ever placed on a Washington ballot, included $7 billion for more than two dozen highway and bridge projects and $11 billion for expanding light rail and other transit in the region.

It included a sales tax hike of six cents per $10 purchase, costing the average household an estimated $150 a year, and an increase in the car-tab tax by $80 per $10,000 of vehicle value.

Mark Baerwaldt, spokesman for the opponents, said: "It cost too much and did too little and took too long. People weren't buying the proponents' sales pitch."

He said challengers will happily come to the table to help craft a "Plan B" fallback position.

"Some points to consider: Fix what we have first, before starting any new projects," Baerwaldt said. "Sound Transit must complete, operate and validate what they promised in 1996 before asking for any new expansions or new taxes.

"Fund transportation projects with user fees, like the gas tax, HOT lanes (tolls for single-occupancy vehicles to use the car pool lane), and congestion pricing, but do not use the regressive sales tax. Reform governance with transparency and direct accountability."

The election was the first key test vote of a regional approach to help pay for expensive "mega-projects" such as freeways and bridges, and to expand light rail and transit.

The proposal called for building 186 miles of road, including a $1 billion down payment for a new 520 bridge, $900 million for widening of Interstate 405 between Bellevue and Renton, extending Highway 167 from Tacoma to Puyallup and expanding the highway capacity in south King County; 50 new miles of light rail; 12,000 new park & ride slots; and expanding commuter rail and regional bus service.

Sound Transit is building 16 miles of light rail between downtown Seattle and the Seattle-Tacoma International Airport. The proposal was to extend east across Lake Washington, south to Tacoma and north to beyond Lynnwood.

The road portion was divided to provide $4 billion for King and roughly $1.5 billion apiece for Snohomish and Pierce counties. Most of the transit spending, $10 billion, was earmarked for light rail.