Even without building a 4th Hotel, Disney would be Subjected to the Anaheim Living Wage Initative if passed in November

Darkbeer1

Well-Known Member
Original Poster
A very interesting development was discovered this morning by many....

https://www.ocweekly.com/how-will-a...ney-over-subsidies-affect-november-elections/

Even with four seats up for grabs, the composition of the seven-member council isn’t the only question before Anaheim voters in November. They’ll also be deciding whether the Anaheim Resort adopts a living wage measure for subsidized companies like Disney. Under its provisions, the ordinance would immediately raises wages for applicable workers to $15 an hour next year. By the time Disney hoped to open its new luxury hotel in 2021, the wage floor would rise to $17 an hour. They’d see a final dollar-a-year annual increase to $18 an hour in 2022 before cost of living adjustments take over.


“It could be that if the hotel goes forward without a subsidy, it wouldn’t fall under that provision of the initiative,” says Mike Lyster, city spokesman, “but we do not have any final determination on that.”


Disney’s three hotels in the resort–the Disneyland Hotel, Paradise Pier and Grand Californian–all were built without bed-tax subsidies, but that’s not the only form of incentive in play under the ordinance. The Grand Californian came about as part of a ’96 Anaheim Resort Expansion deal that included a Disney gate tax moratorium, presumably making it applicable even under the stingiest interpretation of the living wage measure.


But there’s no ambiguity for UNITE Here Local 11 about the new hotel’s fate or that of the others under the ballot initiative since Disney is a resort-area company that’s received subsidies–including an extension of the entertainment tax moratorium in 2015 for up to 45 years. “Regardless if this hotel is built without bed-tax subsidies, the living wage is moving forward and it will be applicable to all Disney employees,” says Ada Briceño, UNITE Here Local 11 co-president.


That is, of course, if it’s approved by voters. See you in November! <<

So let's look at the actual wording of the ALWI.

https://www.anaheim.net/DocumentCenter/View/21954/InitiativeMeasureText

>>.030 A "City Subsidy" is any agreement with the city pursuant to which a person other than the city has a right to receive a rebate of transient occupancy tax, sales tax, entertainment tax, property tax or other taxes, presently or in the future, matured or unmatured.<<

So it comes down to the agreement the City and Disney made in regards of Disney spending over a Billion Dollars To build Galaxy's Edge and other things.

https://www.anaheim.net/DocumentCen...ent-Tax-Policy-fact-sheet-October-2015?bidId=

>>The 1996 financing agreement, which enabled this extensive public/private investment in our Resort area, contains a provision that will soon be expiring. The provision at the time provided economic certainty for Disney while it was completing the substantial capital investment in their Anaheim assets and for an additional period of fifteen years. Specifically, the provision requires, that if any entertainment taxes (as defined in the 1996 agreement) are enacted, the sum equal to the amount required to be remitted to the City by Disney would be returned to Disney. To date, there has not been any tax enacted that has required a reimbursement from the City to Disney.<<
 

Hatbox Ghostbuster

Well-Known Member
tenor.gif


I...uh...I'll be really glad when this is all figured out...
 

TP2000

Well-Known Member
But if there is no city tax that Disney gets a rebate on, then Disney doesn't qualify.

There has never been a ticket tax levied by Anaheim, and the 2015 agreement codifies that for 45 years that Anaheim won't levy a ticket tax. Since there is no ticket tax, and never has been, there is no tax rebate and no qualification that Disney must comply with.

As Anaheim's own official website states... "To date, there has not been any tax enacted that has required a reimbursement from the City to Disney."

So I'm not sure why Ada Briceno from UNITE Here Local 11 is so confident that the $18 wage ballot measure still applies to Disney???
 

Darkbeer1

Well-Known Member
Original Poster
OK. Go read the ALWI section .030. Substitute "right" with promise or a contract that gives that right.

Entertainment Tax is clear.

In the future, matured meaning currently collecting OR unmatured, meaning the possibility in the future.

Even the Disney Lawyers can't make that read anything different.

Now, can Disney sue to reverse the ALWI if passed?

Yes, breach of contract is a good option.
 
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