«Pot for Potholes»: Tennessee wants to use cannabis tax revenues to repair roads

Tennessee lawmakers have relaunched their campaign linking cannabis legalization and road maintenance. This initiative, called «Pot for Potholes» (cannabis for potholes), proposes legalizing cannabis for adults and allocating a large portion of the tax receipts thus allocated to the repair of highways, bridges, and transportation infrastructure.

Led by Democratic lawmakers Heidi Campbell and Aftyn Behn, this campaign supports a new bill aimed at creating a regulated cannabis market while helping to address the state’s growing transportation funding shortfall.

A proposal to legalize and regulate cannabis

The bill—the Pot for Potholes Act – would legalize cannabis for adults aged 21 and older in Tennessee. Under this bill, adults would be allowed to possess up to 60 grams of cannabis flowers and to cultivate up to 12 plants per household for their personal use. The bill would also establish a regulated system for the the cultivation, testing, distribution, and retail sale of cannabis-based products.

Retail sales of cannabis would be subject to a excise tax of 15%, the majority of whose revenue would be allocated to the state highway fund, as well as grants to counties and administrative costs associated with the program.

«Let’s not kid ourselves—Tennesseans are already buying cannabis products. They’re just making those purchases across the state line, with our state reaping no benefits. It’s time to modernize Tennessee’s marijuana laws. Let’s rebuild our crumbling roads and bridges and invest in transportation solutions by taxing legal cannabis.»

A campaign focused on infrastructure funding

The «Pot for Potholes» campaign» combines legislative advocacy with a public awareness campaign. Lawmakers have launched a dedicated website, a petition, and a series of short promotional videos designed to highlight the potential economic benefits of legalization.

The message highlights an urgent problem: the backlog in Tennessee's transportation infrastructure. According to estimates, the state is facing $58 billion in road and bridge projects that remain unfunded.

«Our highway funding law is completely failing, and the ruling party has no concrete plan to fix it,» said Representative Behn. «The Pot for Potholes Act provides us with a new, sustainable source of revenue that boosts our agricultural economy, deprives dangerous black-market traffickers of their profits, and allows for the release of people incarcerated for nonviolent offenses. It’s time for Tennessee to enter the 21st century.»

According to government officials, Traffic jams alone cost residents about $420 million a year, which further underscores the need for new sources of funding.

Learning from Other States

Supporters of the proposal often cite the example of Massachusetts, which has a population similar to that of Tennessee. In 2025, Massachusetts generated $289 million in tax revenue from cannabis, part of which helps fund public services and infrastructure.

In the United States, cannabis taxes have become a a major source of government revenue. Since the opening of the first regulated markets for adults in 2014, the states collectively generated tens of billions of dollars thanks to cannabis sales.

These figures are often cited by reform advocates to argue that legalization can bring both economic and regulatory benefits, while diverting funds from the illicit market.

A tough legislative battle

Despite this new push, the proposal faces political obstacles. Tennessee remains one of the few U.S. states not having a comprehensive medical cannabis program or legalizing adult use, although the hemp-derived products with low THC content be permitted.

Campbell and Behn had introduced a similar bill in 2025, but that bill had failed to pass the legislative committees. The previous proposal had been rejected by the House of Representatives’ Subcommittee on Criminal Justice.

Supporters hope that this new campaign—launched alongside the Cannabis Day at the Capitol, an awareness-raising event held at the State Legislature—will help garner broader public support and put pressure on lawmakers to reconsider cannabis reform.