Arkansans For Compassionate Care has added a provision to its draft ballot language that would give the state and cities the power to collect tax revenue from medical marijuana sales.
Spokesman Chris Kell says his group estimates it would generate $10 million revenue for the state.
The measure failed in the November 2012 election by a narrow margin.
The group has since partnered with Americans For Safe Access, a pro-medical marijuana group that has chapters in other states.
Kell says he believes the momentum is on their side.
"I think more people are starting to see that it's a very good medication for people with some serious chronic issues," he said.
Activists intend to file their ballot language with the Secretary of State's office on Friday or Monday, he said.