Arkansas Governor’s Trans-Bill Veto Raises Questions about Corporate Pressure

During an appearance with Fox News’ Tucker Carlson on Tuesday night, Arkansas Republican governor Asa Hutchinson vociferously denied that he had been in contact with corporate interests in his state about the “Save Adolescents from Experimentation (SAFE) Act” which bans transition surgery, as well as hormones and puberty blockers, for Arkansas minors.

“I answered that question and I said, ‘no, I have not.’ Do you have another question?” Hutchinson told Carlson, who admitted he was “skeptical” of the denial. The interview came one day after Hutchinson vetoed the bill, calling it “a vast government overreach,” only for the Arkansas General Assembly to override his veto on Tuesday, making the legislation the first of its kind to be enacted in the country.

The SAFE act is just one of a slew of LGBT bills to come to Hutchinson’s desk in recent weeks. In the last month, Hutchinson has already signed into law a bill that prohibits biological males from competing in womens’ high school and collegiate sports, as well as legislation —  which he opposed in 2017 — that protects the conscience rights of health-care professionals who object to providing “a particular health care service.”

But in the fallout from those bills, and in the buildup to the SAFE Act, Hutchinson admitted in a March 31 appearance on Fox News that “some major global corporations here in Arkansas” are “certainly worried about the image of our state.”

Katie Beck, communications director for Hutchinson, said in a statement to National Review that the comments were “a general statement that was an observation the Governor made based upon his 6 years as Governor of the state.”

Speaking to host Rachel Campos-Duffy on Fox News Primetime about the “Fairness in Women’s Sports Act,” Hutchinson was asked specifically whether “the Chamber of Commerce, for example, or any of the other business outlets and communities in your state, have you had any pushback from them?” On March 26, the Human Rights Campaign ran a 30-second ad, which aired during the Arkansas-Oral Roberts NCAA tournament game, criticizing Hutchinson and other Republican governors for “using their time and energy to attack LGBTQ kids.”

“Well, there’s a combination of bills that come through the legislature, and as a whole, if you — like our medical-conscience bill, that allows a physician or a medical provider to step away from coverage for religious or ethical reasons, from a particular kind of treatment, that’s gotten some criticism,” Hutchinson admitted to Campos-Duffy. “And we have to recognize, while that is appropriate for conscience reasons, to have that exemption, it is perceived as being against a particular community. It’s not designed for that.”

“We’re the home of some major global corporations here in Arkansas, they’re certainly worried about the image of our state,” he continued. “But we’re trying to send the signal that you can protect conscience, you can protect girls in sports, without being discriminatory, and trying to say ‘we’re not diverse and tolerant of different lifestyles.’ That’s important for us, as a state, and what we have to achieve as a nation.”

Campos-Duffy ended the interview by bringing up the SAFE Act, saying “I think a lot of moms are going to be supporting you on that as well,” which did not elicit a response from Hutchinson.

After Hutchinson’s veto of the bill, the Walton Family Foundation — a philanthropic organization started by Helen and Sam Walton, Arkansans and founders of Walmart — praised the governor’s actions in a press release.

“We are alarmed by the string of policy targeting LGBTQ people in Arkansas. This trend is harmful and sends the wrong message to those willing to invest in or visit our state,” Tom Walton — grandson of Helen and Sam Walton — said Tuesday. “We support Gov. Asa Hutchinson’s recent veto of discriminatory policy and implore government, business and community leaders to consider the impact of existing and future policy that limits basic freedoms and does not promote inclusiveness in our communities and economy.”

While it remains unclear whether the Walton family personally lobbied Hutchinson on the bill —Hutchinson’s office declined to comment on whether he had discussions with the Waltons, and the WFF did not return a request for comment — the two have ties. Per FEC records, the Waltons are longtime financial supporters of Hutchinson’s political career, as is Walmart. Sam Walton’s brother, Steuart Walton, is a current board member at Walmart and was tapped by Hutchinson last April to chair the state’s “Economic Recovery Task Force.”

It is also not the first time that the Walton-Walmart conglomerate has pushed Hutchinson on LGBT issues.

On April 1, 2015, Hutchinson reversed on his initial commitment to sign the Religious Freedom Restoration Act (RFRA) — which said “governments should not substantially burden the free exercise of religion without compelling justification,” and drew criticism from pro-LGBT groups for potentially allowing discrimination. Hutchinson asked the Arkansas legislature to make changes to the bill’s language, the day after Walmart CEO Doug McMillan said the law “threatens to undermine the spirit of inclusion present throughout the state of Arkansas and does not reflect the values we proudly uphold.”

Editor’s Note: This story has been updated with a comment from a Governor Hutchinson spokesperson.