Bills that are trying to strip rights away from members of the LGBTQ community are continuing to hurt Iowa and its efforts to retain and attract top talent, owners of small businesses in Valley Junction said recently in a letter opposing the legislation.

It’s the second straight year that businesses in the West Des Moines neighborhood have signed a letter in opposition to the legislation. At least 15 such bills have been introduced during the 2024 session. Those are in addition to many more that were introduced last year and although not approved, have carried to the current session.

In the letter, the business owners urged other business owners to “stand up and speak out now” against the bills, citing the “potential exodus of talent from Iowa.”

“The proposed legislation is not only a moral issue but an economic one as well,” Val Veiock, owner of Bings gift store, said in the letter. “For years, business leaders have shared the detrimental business impacts of policies that exclude LGBTQ+ people from full participation in daily life, including negative impacts on workforce, recruitment, productivity and bottom lines.”

Felicia Coe, owner of Cirque Wonderland Studios, said the bills “make Iowa unwelcoming for young talent, which leads to a loss of talent, creativity and expertise that our state desperately needs.”

Some of the bills include House File 2082, a bill that was defeated in subcommittee on Jan. 31. It would have stripped gender identity from the Iowa Civil Rights Act. A public hearing was held on Monday for House File 2389, called the Trans Erasure Bill, which would define woman, girl, mother, father, boy and man in Iowa code and issue special birth certificates to indicate a transgender person’s status.

That measure passed the House Education Committee and is eligible for debate by the full House.

Another measure, Senate File 2095, would allow religious exemptions for groups to decide which laws they will follow based on their religious beliefs. The bill is now eligible for debate in both chambers.

The measures are among those that are gaining traction at the Statehouse at a time when statewide business groups list workforce as one of their chief priorities during the session, raising the importance of Iowa doing more to attract and retain talent.

Several business groups and companies have come out against some of the bills, such as the religious exemption measure and the bill that would have stripped gender identity from civil rights protections, but have remained mum on the trans erasure bill.

The Business Record reached out to some of the organizations for further comment. It did not receive a response from the Iowa Association of Business and Industry and the Technology Association of Iowa.

The United Way of Central Iowa and the Iowa Chamber Alliance declined comment. The Greater Des Moines Partnership sent a one-sentence email response that read: “We continue to monitor legislation at the statehouse to learn about how it affects the workplaces of our investors and members.”

Joe Murphy, president of the Iowa Business Council, which came out against the bill that would have stripped gender identity from the state’s civil rights law, issued an email statement saying the organization’s priorities for the 2024 session are “designed to promote a thriving and inclusive economy focusing on a competitive tax landscape, enhanced workforce initiatives and modernized economic development tools.

“We look forward to continuing our work with policymakers throughout the duration of the legislative session, and beyond, to promote opportunity and success for every Iowan,” he said.

Principal Financial Group and the Krause Group LTD have come out against the religious exemptions bills, the lobbyist declarations show.

Courtney Reyes, executive director at One Iowa, said there has been some reengagement by the business community this year on issues affecting the LGBTQ community because of attempts to strip those residents of their civil rights.

One Iowa lists all the LGBTQ bills on its website. In all, more than 40 bills have been introduced over the past two sessions that target the rights of Iowa’s LGBTQ community.

Reyes said attempts to strip rights of LGBTQ residents is “sending a very clear message that they do not want folks like me in our state.”

“So that’s the first issue,” said Reyes, who leads the advocacy group that works to preserve and advance the rights of LGBTQ Iowans. “We’re not the talent they want to retain. That puts the business community in a tricky situation because they have to play in that power balance, but at some point, something has to give that the business community is willing to take the risk and stand up for all of their employees and their families.”

Reyes said, “It’s a mistake and shortsighted solution to not engage on this type of legislation, in my opinion.”

“It’s imperative for the business community to step up and use their power and privilege to help fight for the lives of their employees and their families,” she said.

Reyes said attacks on the LGBTQ community affect everyone.

“When you start restricting someone’s health care, you are attacking health care on its face because who knows where they stop,” she said. “Do you want your health care taken away based on a certain characteristic of you? It’s making sure that everyone has access to the health care that they need. It’s access to public education. As we dismantle these systems more and more it impacts more than just the LGBTQ community. When you make a policy that is discriminatory in public education, you’re impacting that entire public education system. People are not going to want to move here, come here, stay here because all of our systems are being dismantled. Why would you want to live in a state that is continuously taking away people’s rights?”

The bills moving through the Legislature are sending a state that was once at the forefront of civil rights back in time, Reyes said.

“People are mistaken if they think this is just an attack on the LGBTQ community. This is an attack on Iowans in general.”

“If you do not believe this legislation impacts you or your family, you are mistaken,” Reyes said. “It is not the value of the Iowa that I was raised in that we’re taking away the rights of other Iowans, and this is not the Iowa I want to be a part of.”

Friday marks the first funnel deadline for this year’s Iowa Legislature. Bills must pass out of a committee in one of the chambers to move on this session. The next funnel deadline is Friday, March 15. This year’s session is scheduled to adjourn on April 16, the final day per diem payments are made to lawmakers.

Related coverage:

• Belonging Series: Part 1; Part 2; Part 3
• East Village, Valley Junction businesses speak out against bills they say hurt ability to attract workers