Bass, Berry & Sims successfully represented the Metropolitan Government of Nashville and Davidson County in defending the legality of its $3.1 billion transit improvement plan, following a voter-approved referendum. The plan, funded by a sales tax surcharge, faced a legal challenge from opposition group “Committee to Stop an Unfair Tax,” which alleged the plan violated the Tennessee IMPROVE Act and misled voters.
The case was initially heard in Davidson County Chancery Court, where Chancellor Anne Martin dismissed the claims, confirming the referendum’s compliance with state law and upholding Metro’s authority to proceed with the plan.
The Committee appealed the Chancery Court decision to the Tennessee Court of Appeals, and, on April 15, 2025, a three-judge panel upheld almost all of the original transit plan. Pending any additional legal challenges, Metro can now move forward with its transformative 15-year transit expansion plan, which includes new transit centers, enhanced bus corridors, and significant infrastructure upgrades across the city.
Our team, led by Bob Cooper and Jeff Yarbro, collaborated with Metro Law Director Wally Dietz and Associate Director Lora Fox to advocate for the program’s legality throughout the legal proceedings. Jeff Yarbro argued the case in Chancery Court and the Court of Appeals.
The appeals court carved out 1% of the plan related to land for affordable housing and parks connected to transit centers, saying the transit plan funds could not be applied for those initiatives. Metro Law Director Wally Dietz called the latest ruling “an overwhelming victory” and said the affordable housing and parks costs “can be financed as needed from non-transit funds.”
In a statement Mayor Freddie O’Connell said, “I’m pleased that once again a court has sided with the people of Nashville who overwhelmingly approved Choose How You Move. The court’s ruling today, once again, stands with the will of Nashvillians and allows us to implement all elements of the plan as outlined in the transit improvement program, which references the purchase of land explicitly for the construction of transit centers and related infrastructure.”
The case received extensive coverage from the Nashville Business Journal, Nashville Post, Tennessean and other publications.