Tennessee is one of five states that largely relies on a pay-as-you-go model, budgeting for projects with available funds instead of taking on loans or issuing transportation bonds. The approach avoids some debt costs, but candidates say the state’s growth and infrastructure backlog have put pressure on the system.

Independent candidate David Hatley said he prefers pay-as-you-go but would consider borrowing when it makes financial sense. He called for a 25-year infrastructure plan shaped by engineers before the state decides which projects to finance.

Hatley said population projections are available by county, but the state has not matched them with a long-term infrastructure plan. He cited Nashville-area traffic and recurring roadwork as signs that the state needs to plan for future demand. He also said longer-lasting roads could reduce repeated construction disruptions.

Republican candidate Marsha Blackburn said the state should first look for waste in its budget and consider alternatives such as building new roads rather than adding lanes. She argued that population growth has kept Tennessee behind on road projects despite efforts by previous governors.

Blackburn rejected a gas tax increase, saying it would not pass in Tennessee, and said she favors finding money within the existing budget rather than legalizing marijuana or pursuing new revenue. She also pointed to congestion, high-speed internet access, ports and railroads as areas the state should address.

Democratic candidate Jerri Green called for investment in public transportation alongside roads, including exploring passenger service on rail corridors that now carry freight. She said rail and transit could reduce car traffic while supporting union jobs.

Green said the state’s funding choices reflect its priorities. She argued that redirecting money from other programs and corporate incentives could free resources for infrastructure, while saying she would prefer to avoid both tax increases and new debt. She also cited Memphis transit initiatives, including free bus service and the purchase of 56 buses with grant funding.

Independent candidate Lauren Pinkston said Tennessee needs bonded contracts to make progress on its backlog. She opposed raising taxes, but said low-interest loans could expand infrastructure while keeping the state budget balanced. Pinkston said poor road conditions are adding costs for families through vehicle damage and repairs.

The candidates’ proposals highlight a central question for the next administration: whether Tennessee’s traditional cash-first approach can keep pace with population growth and infrastructure needs, or whether the state should take on more financing to move projects forward sooner.