Disney has stated that Reedy Creek was it's own entity and was NEVER a "puppet govt" of the company. (As they should) So how is the state disolving Reedy Creek a first Ammendment "attack" on Disney? Disney swears that Reedy creek is/was NOT an agent of Disney.
Because the state took away Disney's *representation* in regards to taxation, and put in place a board that has stated publicly that they intend to use the board to influence Disney's content, and are doing things that aren't in the best interest of the *district* which the law requires.
There's no question RCID was a benefit to Disney - it gives Disney a degree of autonomy so they can get certain municipal projects done that they need without the red tape. It also was a benefit to the taxpayers - rather than having the taxpayers foot the bill for roads, fire services, medical services, etc, Disney does. That would not be possible without RCID. Finally, it was of huge benefit to the state by significantly growing the tourism industry and economy in central Florida.
So it was a benefit to Disney, but that doesn't mean it was a puppet of Disney. The FL supreme court already ruled it wasn't. Reedy Creek had a real reputation of being very stringent in enforcing the EPCOT building codes, which are more stringent than the state of FL building codes. If something was off, Reedy Creek enforced it. Would a puppet do that?
The 1 billion in bonds floating out there is a potential massive problem for Disney...if...Reedy Creek was not it"s own TRULY seperate entity.
Not at all. Disney has no ownership of the bonds. They are municipal bonds and belong to Reedy Creek. If Reedy Creek had been dissolved as originally planned, the bonds would have been divided between Orange and Osceola counties. There's also the possibility that the dissolution would have caused the bonds to default. This is why the plan changed and the district was not dissolved, it was instead kept intact and placed under state control, because they couldn't figure out what to do with the bonds. The bonds are paid for over time by property taxes, which Disney pays the vast majority of within the district.
They are public bonds so there is no way they could transfer to a private corporation.
No...they are public bonds on the property. The Central Florida Tourism whatever it's new name is...will levi LEINS on the property in WDW if the bonds are called in and not paid. The counties will not pay that. The "property" is the collateral
They are not. The collateral on any municipal bond is the revenue and taxing authority of the bond issuer. Private property cannot be used for collateral in a municipal bond. That is illegal.