News Reedy Creek Improvement District and the Central Florida Tourism Oversight District

Disstevefan1

Well-Known Member
Even if this really resulted in a tax break for TWDC it still probably doesn’t move the needle for their stock. Even if Disney saved $100M in taxes as a result that’s a few pennies on EPS. 1 season of Kenobi cost twice that to make. With the size of TWDC it’s just not much of a story financially either way.
Well the potential savings on the bonds could be 1 to 2 Billion. At very least we know it won't hurt the stock price. Also I just wanted to complain again about the loss of RCID; it won't change anything, I just like to complain about it ;)
 

Brian

Well-Known Member
With rising interest rates the home equity loan market is quickly drying up and CC interest rates will be short to follow. We may see less borrowing as a result whether people want to or not. That’s a far greater threat to Disney than any financial implication from RCID. A recession combined with less consumer borrowing is bad news for a company where the majority of products and services are non-essential, luxury items.
Indeed.

The family vacation is the first thing to go when the budget is tight. Streaming services and movie theatre outings are usually not too far behind.
 

Disstevefan1

Well-Known Member
Indeed.

The family vacation is the first thing to go when the budget is tight. Streaming services and movie theatre outings are usually not too far behind.
That’s for families on the edge and I sincerely feel bad for these families, I feel most badly for the daily car commuter who needs to go back and forth to work everyday, knowing the gas costs are skyrocketing, talk about a pay cut!

The parks are not for these folks.

Disney can’t worry about these folks. The parks are an expensive activity for folks and only folks with enough disposable income to afford it and there will be plenty of those folks to get them through 2024 when things can be turned around possibly.
 

GoofGoof

Premium Member
That’s for families on the edge and I sincerely feel bad for these families, I feel most badly for the daily car commuter who needs to go back and forth to work everyday, knowing the gas costs are skyrocketing, talk about a pay cut!

The parks are not for these folks.

Disney can’t worry about these folks. The parks are an expensive activity for folks and only folks with enough disposable income to afford it and there will be plenty of those folks to get them through 2024 when things can be turned around possibly.
I would half agree with this. The key demographic for WDW targets higher income families but that’s not to say they are the exclusive customers. In the past few years there has been a lot of stimulus and other government money floating around plus very low interest rates and very liberal credit extended. So a family who may not have the recurring disposable income to visit WDW annually could have put together the money to visit based on this. all of that is likely to change in the next year or 2. So yes, a large number of WDW customers are less likely to be greatly impacted by a recession to the point of not going, but not all. A recession would hurt the parks in the short term. It’s also possible that with rising gas costs and rising airfare as well people decide to stick closer to home for the short term.

On the flip side a recession will eventually kill inflation and perhaps cool off the job market as well making it cheaper for WDW to buy materials, food and other raw products as well as cheaper to pay employees and could even result in cheaper electricity and fuel for buses.
 

Tonto

Well-Known Member
Disney is a entertainment industry the people at the top running should keep out of
politics if they don’t the share holders should vote to have them removed from their position
Come on now. It's deeper than that. Stop oversimplifying it to make your point.
To be fair Disney is damned if they do or damned if they don't.
They are getting it from both sides. The right and left.
 
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HauntedPirate

Park nostalgist
Premium Member
That’s for families on the edge and I sincerely feel bad for these families, I feel most badly for the daily car commuter who needs to go back and forth to work everyday, knowing the gas costs are skyrocketing, talk about a pay cut!

The parks are not for these folks.

Disney can’t worry about these folks. The parks are an expensive activity for folks and only folks with enough disposable income room on their credit cards to afford it and there will be plenty of those folks aren't nearly enough of those people who are willing for fork over $10k for a WDW vacation during a recession to get them through 2024 when things can be turned around possibly.

FTFY. A bit of a generalization, I realize, but... it's not far off. Recessions hammer the travel industry. You only have to go back to 2008-2010 to see an example. Bob & Josh are going to **** their pants (or skinny jeans, in the case of Josh) when the next one hits, because Bob's favorite cash cow could be pretty dry. The picture you're painting makes it sound like WDW is a playground for the rich already.
 

flynnibus

Premium Member
Leaving all politics aside, considering how little the RCID the past forty years has lived up to the goals for which it was instated, I can't be too upset.
what goals are those?

Because it seems to have done a fine job of creating the environment for WDW, insulating the counties and state, all while boosting the prosperity of Florida. In fact, several studies have all come to the same conclusion. So what gem do you bring that differs?
 

mikejs78

Premium Member
what goals are those?

Because it seems to have done a fine job of creating the environment for WDW, insulating the counties and state, all while boosting the prosperity of Florida. In fact, several studies have all come to the same conclusion. So what gem do you bring that differs?
Which is the exact goals that were laid out in the Reedy Creek charter.
 

Disstevefan1

Well-Known Member
FTFY. A bit of a generalization, I realize, but... it's not far off. Recessions hammer the travel industry. You only have to go back to 2008-2010 to see an example. Bob & Josh are going to **** their pants (or skinny jeans, in the case of Josh) when the next one hits, because Bob's favorite cash cow could be pretty dry. The picture you're painting makes it sound like WDW is a playground for the rich already.
I remember 2008. Disney stock was $14 dollars. This is NOT that. The disney parks will be just fine.
 

The Empress Lilly

Well-Known Member
EPCOT isn’t even really alluded to in the Charter. The authoritarian motivation should be incredibly upsetting, even if the District wasn’t doing much.
EPCOT the city might very well be ignored in the charter itself. But it was used extensively in the lobby to get the district established. A disingenuous act. Or, giving Disney the benefit of the doubt and presuming there was still intent to build a city, an act that should be reversed.

For the actual motivation behind the attempted repeal I have no sympathy.
 

peter11435

Well-Known Member
EPCOT the city might very well be ignored in the charter itself. But it was used extensively in the lobby to get the district established. A disingenuous act. Or, giving Disney the benefit of the doubt and presuming there was still intent to build a city, an act that should be reversed.

For the actual motivation behind the attempted repeal I have no sympathy.
If given the choice between WDW of today or EPCOT the city, the Florida legislature of 1967 would have chosen the WDW of today
 

The Empress Lilly

Well-Known Member
If given the choice between WDW of today or EPCOT the city, the Florida legislature of 1967 would have chosen the WDW of today
That's actually a very nice thought experiment.

Which I shall do tomorrow during my morning shower. 💦 For now, on quick intuition, I think you might be right. But I'm not sure. Fifty-five years is a long time, the world was different back then.
 

flynnibus

Premium Member
EPCOT the city might very well be ignored in the charter itself. But it was used extensively in the lobby to get the district established.

They approved it for the tourism and jobs - not because they wanted a new city. They knew they were getting a disneyland east and a promise to redevelop the property in ways that would benefit the entire area - not just disney. And for that rcid has served it’s charter well. Which is why it has received praise each time it was studied.
 

JoeCamel

Well-Known Member
EPCOT the city might very well be ignored in the charter itself. But it was used extensively in the lobby to get the district established. A disingenuous act. Or, giving Disney the benefit of the doubt and presuming there was still intent to build a city, an act that should be reversed.

For the actual motivation behind the attempted repeal I have no sympathy.
They may have not built what the concept art showed but I would argue they did build a city just not in the prototype style. WDW has all the elements of a similar sized community out in Bettendorf
 

Karakasa

Well-Known Member
Yes we can. 😀

I understand the politics behind this all, but that's for another day. I have long since felt that no private commercial enterprise needs this level of autonomy. Call me an old-fashioned socialist hardliner.
It's hard because it's true Disney, or any corporation, shouldn't have this much power. I absolutely agree and think so. But the right thing can be being done for the wrong reason and, in the process, do more harm than good - both immediate, and as precedent. Disney should not be losing this because they used their First Amendment rights. You can't simply examine it materially outside of the political reasoning, as the reasons for it will have material effects going forward as well. It'll say: if a politician doesn't like something someone (like it or not- I sure don't- corporations are considered persons by the law) says, they can indirectly punish them for that in some other way with no backlash or checks. That sort of precedent-setting is as important in the executive branch as it is in courts or legislature - especially if the person behind it is eying the presidency.

And you certainly understand the motivation isn't proper as you said yourself. So, that's, well that. Some things can't be divorced from the politics behind them, especially when, you know, the government's involved.

There's the way it's being done, as well, and immediately saddling Floridians with 2b in extra taxes for the express upkeep of WDW's out-of-park infrastructure is... not great. I'm sure there's a way to dissolve it and make Disney foot the bill still. But it's clear DeSantis is doing this entirely as "punishment for supporting LGBT rights" reasons to show-off to his constituents and potential presidential candidacy voters, and not the "corporation oligarchy bad" reasons you or I think it should be done. So as a result, he's just going ahead and, well, doing it. It certainly mirrors a lot of the other bills he's backed, knowing they likely will get struck down in court, but looking tough on "wokeness" or what have you is more important for his ambitions.

I hope I haven't gotten too political here, incidentally, but like I said, I think this is one issue you just can't talk about without examining the politics behind it. Plenty of others around WDW that you can connect to politics but needn't bring them up, but this isn't one of them. I also hope I haven't come across as incindiary, I really am just trying to explain things as best I can, and I apologize if I seem too mean or preachy.
 

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