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Florida Legislators Want To Remove The Reedy Creek Improvement District

GoofGoof

Premium Member
Excuse me but I prefer to believe my uninformed unconfirmed information thank you.
That’s the best way to always be right👍😜

At the end of all of this it seems highly unlikely to me that it will be tolerated that a bunch of Orange and Osceola County taxpayers end up footing the bill for municipal bonds used to pay for stuff at Disney World. It’s also highly unlikely that Disney just agrees to pay off the bonds (there’s no legal way to make them do it) and may not even be possible as some of the bonds have a clause that prohibits early redemption. The only viable solution I can see is to allow RCID to continue and/or be replaced with a similar district. Disney and the state or local counties would need to agree, but that’s a win/win for everyone.
 

Thelazer

Well-Known Member
Once RCID goes away, isn't Orlando / Florida free to then spend the hotel tax money on ANYTHING they like, instead of the current agreement that says it must be spent on advertising? Could this tax revenue be redirected to pay the bonds? Would there STILL be leftover funds to improve orange county schools etc?

Old link from the Slantial..
(Which BTW, seems to indicate to me how "unfair" the Slantial thought this whole RCID guise was...was in 2019... but in 2021, MY GOD they have changed there viewpoint eh?..)

 

peter11435

Well-Known Member
Once RCID goes away, isn't Orlando / Florida free to then spend the hotel tax money on ANYTHING they like, instead of the current agreement that says it must be spent on advertising? Could this tax revenue be redirected to pay the bonds? Would there STILL be leftover funds to improve orange county schools etc?

Old link from the Slantial..
(Which BTW, seems to indicate to me how "unfair" the Slantial thought this whole RCID guise was...was in 2019... but in 2021, MY GOD they have changed there viewpoint eh?..)

I don’t believe RCID’s existence had anything to do with dictating how those funds were spent. Whatever agreements and political power existed that contributed to that arrangement is separate from the Reedy Creek Act
 
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Sir_Cliff

Well-Known Member
I’ve noticed that too, it’s almost like they don’t want people to notice they also donate to a lot of these politicians
It surprises me no-one has brought this up. Why do other companies get such a free pass? It seems the media could also do some more digging on the policies other big entertainment companies are funding in Florida.
 
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GoofGoof

Premium Member
Once RCID goes away, isn't Orlando / Florida free to then spend the hotel tax money on ANYTHING they like, instead of the current agreement that says it must be spent on advertising? Could this tax revenue be redirected to pay the bonds? Would there STILL be leftover funds to improve orange county schools etc?

Old link from the Slantial..
(Which BTW, seems to indicate to me how "unfair" the Slantial thought this whole RCID guise was...was in 2019... but in 2021, MY GOD they have changed there viewpoint eh?..)

Haha yeah, good luck getting that to fly. Tourism is still the number 1 industry in the state and travel and tourism companies donate a whole lot of money to local and state politicians. Don’t bite the hand that feeds you. No way will these politicians agree to do that.

In theory that could happen, but imagine being Comcast/Universal or some other player in the industry and the government tells you that in order to pay for our political stunt we are going to divert hotel tax dollars that always went to help your industry. Again, it’s the top industry so it’s critical to the state economy. Not a great idea to pull back, this great economy won’t last forever and even now FL has to continue to fight for tourist dollars. Lots of options for places for people to spend their money.
 

mikejs78

Premium Member
Once RCID goes away, isn't Orlando / Florida free to then spend the hotel tax money on ANYTHING they like, instead of the current agreement that says it must be spent on advertising? Could this tax revenue be redirected to pay the bonds? Would there STILL be leftover funds to improve orange county schools etc?

Old link from the Slantial..
(Which BTW, seems to indicate to me how "unfair" the Slantial thought this whole RCID guise was...was in 2019... but in 2021, MY GOD they have changed there viewpoint eh?..)

Did you read the article?
* It heavily referenced both Universal and Disney
* That bill has nothing to do with Reedy Creek. It's a law that says what hotel taxes can be used for.
* The article didn't mention Reedy Creek at all, nor did it advocate against Reedy Creek. Instead, it criticized the heavy lobbying influence that both Disney and Uni have, which is a completely separate issue and has absolutely nothing whatsoever to do with Reedy Creek.
 

GoofGoof

Premium Member
I don’t believe RCID’s existence had anything to with dictating how those funds were spent. Whatever agreements and political power existed that contributed to that arrangement is separate from the Reedy Creek Act
It doesn’t. I think he was just saying that the hotel tax money could in theory be used to pay for the bonds once RCID is dissolved if they went to Orange County. It’s not the best plan, but better than a 25% tax increase for actual taxpayers.
 

mikejs78

Premium Member
It doesn’t. I think he was just saying that the hotel tax money could in theory be used to pay for the bonds once RCID is dissolved if they went to Orange County. It’s not the best plan, but better than a 25% tax increase for actual taxpayers.
So that means Uni would also be paying for Reedy Creek's debt.

But the legislature would have to pass that first, and it would mean angering Uni, Sea World, etc. Not just Disney.
 

GoofGoof

Premium Member
So that means Uni would also be paying for Reedy Creek's debt.

But the legislature would have to pass that first, and it would mean angering Uni, Sea World, etc. Not just Disney.
Not Uni directly. The hotel tax is paid by all the tourists staying in the hotels. It’s not that the other companies would be paying RCID debt it’s more that the money that usually goes towards general tourism promotions would be wasted on punishing Disney. It would hurt tourism overall, including Disney, but it’s a huge price to pay for a petty grudge.
 

Sirwalterraleigh

Premium Member
The problem with these kinds of polls is that when you ask something in the abstract people say one thing, but when you poll on a specific issue people say something completely different.
1000%

“Do you think Disney should be able to set their own government rules in Florida?”

“Do you think it’s right for Florida to rescind a district that Disney occupies, passed by law that was set up prior to the construction of wdw and who’s dissolution could transfer hundreds of millions of infrastructure debt onto the neighboring counties to pay off?”

I just asked the “same question”…it just depends on who’s paying me to ask the question.
 

Sirwalterraleigh

Premium Member
Once RCID goes away, isn't Orlando / Florida free to then spend the hotel tax money on ANYTHING they like, instead of the current agreement that says it must be spent on advertising? Could this tax revenue be redirected to pay the bonds? Would there STILL be leftover funds to improve orange county schools etc?

Old link from the Slantial..
(Which BTW, seems to indicate to me how "unfair" the Slantial thought this whole RCID guise was...was in 2019... but in 2021, MY GOD they have changed there viewpoint eh?..)

The economy of Orlando is almost entirely dependent on tourism…no matter what the locals say…

Why would they want to do this?
 

flynnibus

Premium Member
It doesn’t. I think he was just saying that the hotel tax money could in theory be used to pay for the bonds once RCID is dissolved if they went to Orange County. It’s not the best plan, but better than a 25% tax increase for actual taxpayers.
The whole topic makes no sense because rcid existence has nothing to do with how much of this tax is collected or how it’s spemt. They are completely unrelated things with no influence on each other.

The counties aren’t going to stop their normal tourism spend and get the state to let them use that to pay off rcid municipal debt.
 

GoofGoof

Premium Member
The whole topic makes no sense because rcid existence has nothing to do with how much of this tax is collected or how it’s spemt. They are completely unrelated things with no influence on each other.

The counties aren’t going to stop their normal tourism spend and get the state to let them use that to pay off rcid municipal debt.
I don’t disagree. It won’t happen. That’s just what the other guy was suggesting.
 

lazyboy97o

Well-Known Member
It surprises me no-one has brought this up. Why do other companies get such a free pass? It seems the media could also do some more digging on the policies other big entertainment companies are funding in Florida.
Disney is unique in the cultural cache of its brand. People don’t really talk about going to see a “Universal movie” the way they do a Disney movie. Even more all of their gains, Universal parks are not cultural icons like Disneyland, Walt Disney World or EPCOT Center.

Comcast is one of the most hated companies in the country. They rebranded their primary services and everyone assumed it was to get their name off the product.

Disney also way outspends everyone else when it comes to donations.
 

Chip Chipperson

Well-Known Member
It doesn’t. I think he was just saying that the hotel tax money could in theory be used to pay for the bonds once RCID is dissolved if they went to Orange County. It’s not the best plan, but better than a 25% tax increase for actual taxpayers.

In reality, hotel tax revenues cannot be the source of repayment even though it is a type of tax. The reason for that is because a very specific type of tax was pledged - property tax revenues. Hotel tax revenues are susceptible to economic downturn. Even if the economy tanks and housing values decline, the amount of property taxes levied doesn't decrease uess the taxing authority chooses to lower them (and they are obligated to levy enough taxes to pay the debt). If they switch the source of repayment then they are shifting the risk and increasing the odds of defaulting on the debt.

I honestly don't understand why some posters keep grasping at these straws when the suggestions are impossible. It's like people (not you) are rooting for Disney to lose and are trying to come up with ways to make it okay. The ad valorem tax bonds can only be paid with property tax revenues. The utility revenue bonds can only be paid with utility revenues. Anything else is a breach of the terms of the bonds.
 

Sirwalterraleigh

Premium Member
In reality, hotel tax revenues cannot be the source of repayment even though it is a type of tax. The reason for that is because a very specific type of tax was pledged - property tax revenues. Hotel tax revenues are susceptible to economic downturn. Even if the economy tanks and housing values decline, the amount of property taxes levied doesn't decrease uess the taxing authority chooses to lower them (and they are obligated to levy enough taxes to pay the debt). If they switch the source of repayment then they are shifting the risk and increasing the odds of defaulting on the debt.

I honestly don't understand why some posters keep grasping at these straws when the suggestions are impossible. It's like people (not you) are rooting for Disney to lose and are trying to come up with ways to make it okay. The ad valorem tax bonds can only be paid with property tax revenues. The utility revenue bonds can only be paid with utility revenues. Anything else is a breach of the terms of the bonds.
Tribalism…unleashed by morons.

Living is now a team sport. Don’t fumble or you’ll lose the game.


We’ve stumbled on what can get Disney fanatics at each other’s throats even when it negatively impacts Disney.
 

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