Disney Decides Not To Fight DeSantis Takeover of Special District in Orlando

Disney We will not oppose a bill that grants Gov. Ron DeSantis After the bill was passed by both houses of Florida’s Legislature, it now has broad powers over Orlando’s theme parks.

The bill creates a new District to take over the powers of the Reedy Creek Improvement DistrictSince its inception in 1967, Disney has been the controlling shareholder of the. The Central Florida Tourism Oversight District is the new entity. It will be run and managed by five members appointed by DeSantis. They were confirmed by the State Senate.

Disney released a statement saying that they are “ready to work within this new framework,” The legislature indicated that it will not attempt to challenge the law before the courts. After Disney came out against Parental Rights in Education, which was criticized by critics, the Legislature sought to disband Reedy Creek. “Don’t Say Gay” bill.

Some observers believed that Suggestion Disney could file a First Amendment lawsuit to contest the takeover. various Other reasons

In a statement, Jeff Vahle, president of Walt Disney World Resort said that the company would adapt to the new reality.

“For more than 50 years, the Reedy Creek Improvement District has operated at the highest standards, and we appreciate all that the District has done to help our destination grow and become one of the largest economic contributors and employers in the state,” Vahle said. “We are focused on the future and are ready to work within this new framework and we will continue to innovate, inspire and bring joy to the millions of guests who come to Florida to visit Walt Disney World each year.”

The legislation was ahref=”https://variety.com/2023/biz/news/desantis-disney-reedy-creek-improvement-district-bill-1235514601/”>introduced Monday. It passed the state House of Representatives On Thursday, 82 votes were cast with 31 Democrats and 81 Republicans voting “yes.” All 31 “no” Votes came from Democrats. The Senate of the State Friday’s party-line vote approved the bill with 26 Republicans supporting it and nine Democrats opposing. It now goes directly to DeSantis for signature.

The Reedy Creek Improvement District holds broad authority over zoning regulations, infrastructure, and firefighting. It covers an area of approximately 40-square-miles in Osceola, Orange, and Orange counties. The entity imposes taxes upon Disney and issues tax-exempt bonds in support of infrastructure projects. Disney is the largest landowner in the district and has been able to elect five members of the Board of Supervisors.

The Legislature retained almost all its powers in establishing the new district. Although the legislation removes the ability to build a nuclear power station and an airport, those powers were never used.

Practically, the effect of the change may be negligible. Visitors and employees at parks will not notice any difference. DeSantis, and future governors, will have ample power to make Disney’s lives difficult if necessary.

“It’s like Disney is operating in a low-security prison, where they can still do what they want to do but there’s guards around them at all times,” Rep. Anna Eskamani of D-Orlando was among the most vocal critics against the state takeover. “They can’t speak up against the governor ever.”

But fighting the law in Court would have had its downsides. The lawsuit could have been a long-running one, leaving no clear picture of who was in charge of the district. This would make it difficult for the staff to execute projects. It could have further embroiled it in the local culture war it has been trying out to end. It was not certain that it would succeed, as many observers pointed out that the Legislature has wide latitude to remove authority it has given previously.

Disney was a significant source of contributions to Florida’s campaigns in the past. Last March, the company withdrew all contributions to both political parties. “Don’t Say Gay” controversy erupted. These contributions have not been reactivated as of yet.

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