I can see both sides here. IMHO
On one hand if the state named had been Idaho then the unintended offense / insult would have been lessened to Outlaw cuz it wasn't 'close to home'.
On the other hand, because the state named was one in the American South with all the unfortunate negative history attached, it hit a sore spot with Outlaw.
It's also a case of overwhelming Political Correctness in our country that ANYthing off color is 'offensive'.
Again this is MHO