Pot for Potholes Act Proposes Marijuana Legalization to Fund Tennessee Roads

9 March 2026

Tennessee lawmakers have relaunched an effort to legalize adult-use marijuana through the Pot for Potholes Act (HB0703/SB2440), a proposal that would direct cannabis tax revenue toward transportation and infrastructure projects. The initiative, introduced by Senator Heidi Campbell and Representative Aftyn Behn, was announced alongside a public campaign aimed at building support for cannabis reform.

The legislation would establish a regulatory framework for marijuana cultivation, processing, and retail sales, overseen by the Tennessee Department of Agriculture. Adults aged 21 and older would be permitted to:

• possess up to 60 grams of marijuana
• grow up to 12 plants for personal use, subject to restrictions on public consumption and other regulatory conditions.

Under the proposal, cannabis sales would be subject to a 15 percent excise tax. Most of the revenue, specifically 75 percent, would be directed to the state highway fund, with 20 percent allocated to counties and 5 percent used for administrative costs. The bill also outlines the creation of a cannabis community reinvestment fund intended to support communities affected by past marijuana enforcement.

The renewed legislative push follows an earlier version of the proposal that failed to advance during the previous session. Lawmakers supporting the measure say it could help address transportation funding challenges while creating a regulated market for cannabis in Tennessee.

The campaign coincides with advocacy efforts such as Cannabis Day on the Hill, where supporters are expected to engage lawmakers on reform proposals. As debate continues, the outcome of the legislation may influence how Tennessee balances infrastructure funding priorities with evolving cannabis policy discussions.

For consumers, businesses, and policymakers, the proposal represents a potential shift in the state’s approach to cannabis regulation. While recreational marijuana remains illegal and medical cannabis laws remain limited, the Pot for Potholes Act could introduce a comprehensive framework if adopted by the legislature.