https://www.wsj.com/articles/in-disneylands-hometown-once-warm-relations-have-frozen-1537801201
>>“It’s as if somehow we should feel fortunate that Walt Disney chose Anaheim,” said city council member Jose Moreno, who was elected in 2016 as part of what locals call the first “anti-Disney” majority. “Maybe we should, but they should be grateful for a city that has helped them grow.”<<
>>The tipping point in Anaheim came after the city attorney told Disney in August that its decision to move a planned luxury hotel’s location by 1,000 feet disqualified it from a previously approved 20-year, $267 million tax rebate. Disney saw the relocation as a technicality, but the city council wouldn’t renegotiate, so the company suspended construction.
Rather than keep fighting, Disney tried to quell the political hostility by asking the city to end two major incentive deals because they had become “a flashpoint for controversy and dissension in our community,” Disneyland Resort president Josh D’Amaro wrote in a letter to the city. Anaheim officials voted to terminate both subsidies a week later on Aug. 28.
Still, Disneyland executives warn that tax deals were critical to the resort’s multibillion-dollar expansions this century and that the recent political volatility puts future investment at risk.
“The evolving environment in Anaheim makes it difficult for us to set and execute long-term strategies,” Mr. D’Amaro said in a statement. “We will always invest in the Disneyland Resort, but what’s at stake now is the level of that investment, particularly relative to other cities where the business climate is more stable.”
Disneyland, which opened in 1955, drew nearly 28 million visitors last year and employs 30,000 people. Hotel tax revenue, driven largely by Disney visitors, more than tripled in the past 20 years to $155.6 million and accounts for nearly half of the city’s general fund.
Tom Daly, who was Anaheim’s mayor at the time of a key 1996 financing agreement with Disney, said mutual investments transformed the city into a global tourist destination. The city’s current leadership, he said, “inherited very healthy revenues, and now they are critiquing the source of those revenues.”<<
>>Council member Lucille Kring, who voted to cancel the agreements to avoid conflict with her colleagues, said she hopes incentives like the hotel subsidy will be restored under new leadership. “Even those who supported this are going to rue the day this happened in Anaheim,” she said<<