The Guardian reported the Religious Freedom Restoration Act was passed by the Arkansas House of Representatives on Tuesday despite criticism of a similar bill in Indiana that became law on Monday.
Protests took place at both state capitals and the Arkansas law has received criticism from a range of organisations from Walmart to the American Civil Liberties Union.
Governor, Asa Hutchinson speaking to Guardian, said: "I don't believe in workplaces that discriminate and I will express that view in an executive order when it's prepared."
His son even asked the governor to veto the legislation, he said: "My son Seth signed the petition asking me, dad, the governor, to veto this bill.
"And he gave me permission to make that reference, and it shows that families - and there's a generational difference of opinion on these issues."
Opponents said it will encourage those who want to discriminate. The governor of Indiana has already promised an amendment to his state's religious freedom law after national criticism and protests.
If Governor Hutchinson does not veto the bill it will pass into law in five days and take effect immediately.