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

[flynnibus]

He didn't seem to care 2 years ago. Wonder what changed?

Not the same example on the table

 

[flynnibus]

The government never had any viable, legitimate reason for interfering in Disney's business so there's no reason to believe the district won't go back to being handled the way it was all those years. The only difference may be in rewarding connected politicians with lucrative, but powerless, appointments.

That line of thinking is defeated by the district’s own ‘audit’ which claims all kinds of intermingling- which they claimed to have stopped. So how could it all be ‘as it was’ and also no impact?

 

[lazyboy97o]

The reason this whole thing started no longer exists. The government never had any viable, legitimate reason for interfering in Disney's business so there's no reason to believe the district won't go back to being handled the way it was all those years. The only difference may be in rewarding connected politicians with lucrative, but powerless, appointments.

The underlying motive absolutely does exist. If anything, Disney is hedging that they need to show compliance.

 

[Surferboy567]

If Disney wiggles its way back in to have control of their business, I guess that would be a win and back to their old situation, which worked fine for 50 years.

Correct, I doubt that’s the case though.

I have a feeling they had input in the new chain and administrator. Felt they were people they could work with. I could obviously be wrong.

I hope so, it just seems so weird they would be willing to play ball with them all of a sudden?

There is almost zero concessions to Disney here… this looks like Disney just laying down its sword and taking the knee.

I have to agree with this.

Change in leadership in the District amidst all of this being announced? Sounds like both parties are ready to move on and put the theatrics in the past. Back to business as usual.

I hope so, but that’s up to the district

And Disney gets to move ahead with the MK, DHS, and AK work without artificial delays from the board.

I hope that’s the case, but again would the district be willing to play ball with Disney? After all they have done to undermine them?

Except the board was prevented from accessing their most direct means of creating delays. Now they get to move forward with changing the comprehensive plan and development regulations, opening up that very ability to meddle.

Correct

The development regulations can now be modified to require more approvals. This was the mechanism by which such censorship would have been pushed and is now available.

Correct

The timing of Gilzean and Garcia leaving just before everything changes can't be ignored. I would assume that is part of a backroom handshake agreement and not the official changes enacted now with the new members.

Definitely possible

Thought I’d just stick all the responses in one big post, to keep things neat.

Side Note: This also can set a really bad precedent.

 

[tissandtully]

The underlying motive absolutely does exist. If anything, Disney is hedging that they need to show compliance.

A pretty pessimistic take on this, but I get it. I just don't see a mutual settlement being set up this way.

 

[Chi84]

That line of thinking is defeated by the district’s own ‘audit’ which claims all kinds of intermingling- which they claimed to have stopped. So how could it all be ‘as it was’ and also no impact?

Your interest in this issue is totally different from the interest that caused the government to interfere in the way the district was run. If you're saying something happened that could result in an ancillary benefit to good government, I won't dispute it but I doubt Disney will face any future interference on an actual as opposed to theoretical basis.

 

[Tha Realest]

The giving up on the developer agreement I don’t see an issue with. That was always a maneuver to just hinder the new gov board. But trying actions of the fed suit into this settlement just seems like a total capitulation by Disney.

There is almost zero concessions to Disney here… this looks like Disney just laying down its sword and taking the knee.

Yes. Alternatively, can’t imagine the recent changes to the composition and leadership of the board were an accident.

 

[flynnibus]

Yes. Alternatively, can’t imagine the recent changes to the composition and leadership of the board were an accident.

But I don’t think either of those things would drive the whole thing either. Both those guys are pawns who had zero independence or sustainable power without their puppet master.

It’s a nice toss in if disney said ‘they gotta go’… but disney would not make that the win to settle for. They just aren’t the decision drivers - they are implements with zero ability to go rouge.

 

[Surferboy567]

If Disney gets what they want in a new developer agreement agreed on by both parties they’ll drop the federal lawsuit. Which is the only lawsuit I can see them winning. State lawsuits are really tough because it’s handled by the state and that’s…

If they don’t they keep rolling on that federal lawsuit but cannot reference any past activity by Reedy Creek. That’s what I think all the points can be summed down to am I understanding this correctly?

 

[Surferboy567]

It's over. Think back to the way things were before it started. All of this was for nothing.

That’s not true. Let’s say for argument sake all lawsuits are dropped from both parties and they “make up” with one another.

Disney still has to deal with a new board puppeted by a man who doesn’t like them very much. It’s entirely possible this new board may try to be fair to Disney but track record seems to indicate this not be the case. It really comes down to what this new agreement entails as well as the board’s action.

 

[tissandtully]

Never back down. But maybe settle a little.

 

[Splash4eva]

It's over. Think back to the way things were before it started. All of this was for nothing.

Totally agree there pretty much what everyone kinda knew was gonna end uo happening in the end sadly…

 

[Chi84]

That’s not true. Let’s say for argument sake all lawsuits are dropped from both parties and they “make up” with one another.

Disney still has to deal with a new board puppeted by a man who doesn’t like them very much. It’s entirely possible this new board may try to be fair to Disney but track record seems to indicate this not be the case. It really comes down to what this new agreement entails as well as the board’s action.

Disney has deferred the federal lawsuit pending new negotiations and development agreements. It won't be dropped until those unspecified negotiations and new development agreements are completed.

 

[Batman'sParents]

In hindsight, was the appointment of the new admin a possible of thawing? The difference between them and former admin is night and day when it comes to experience with running a municpal govt.

 

[James Alucobond]

Disney has deferred the federal lawsuit pending new negotiations and development agreements. It won't be dropped until those unspecified negotiations and new development agreements are completed.

This. I suspect they became tired of the swirl around the state lawsuit and the board’s unwillingness to cooperate in even the slightest measure, so they pushed for this leadership change and a re-writing of the disputed agreements to still ultimately be in their favor, with a potential revival of the federal suit as a means of keeping the content of the new agreements in check. I’ll be interested to see how they actually turn out.

 

[Surferboy567]

Disney has deferred the federal lawsuit pending new negotiations and development agreements. It won't be dropped until those unspecified negotiations and new development agreements are completed.

Correct, that’s why I mentioned in the post the hypothetical situation that both parties “make up”.

 

[Chi84]

Correct, that’s why I mentioned in the post the hypothetical situation that both parties “make up”.

Those detested lawyers will ensure that the parties "make up" in a way that precludes unfair interference by the board. That's just what those hated, money-grubbing folks do.

 

[WoundedDreamer]

So, Disney has jettisoned the contract agreement? It's good to see. I suggested they abandon it amicably back in February before the courts could throw it out.

The CTFOD seems like it's going to get the contract thrown out. Once that's completed, Disney will be forced to the bargaining table. This will probably not result in outcomes that Disney would like. By drawing up a new contract they have hope of finding a new path with CTFOD that will emerge out of a non hostile process. Either way this agreement is toast. Might as well conduct a tactical retreat rather than a hasty withdrawal.

This is Disney's tactical retreat.

Florida may actually be an indirect beneficiary of Peltz's proxy fight. Iger is trying to signal he's "quieting the noise." Whatever made this possible, this is a win for both the state and Disney. This is a little humbling for Disney, but it's better for both parties to move on.

 

[Stripes]

The fact of the matter is it was highly unlikely for Disney to come out on top with regard to the agreements. Disney didn’t sue CFTOD in state court. CFTOD sued Disney. And there’s a reason Disney‘s lawyers tried to get the CFTOD suit dismissed.

There’s been some leadership changes at the district including Garcia leaving who definitely seemed to be the most passionate about using the district’s power to undermine the “bubble” and curtail Disney’s development. I have no doubt that him leaving is part of how this was made possible. I also think the board was getting worried about Disney’s discovery efforts and their public records lawsuit. Disney still has the federal suit which, in my view, Disney is more likely to win despite the nonsensical ruling by Judge Winsor. And Disney will hang that federal suit over CFTOD‘s head until they get what they want from the development agreement.

 

[mikejs78]

I thought these agreements were untouchable and Disney was going to win in all their lawsuits?

Just because that may be the case doesn't mean that DIsney didn't have incentive to settle. Disney has plans to develop and expand WDW in the next few years. The outcome of lawsuits are years away, and that can affect those development plans. If they can get development agreements that meet their goals, that is motivation for them to settle even if they have a strong case. Settlement doesn't mean that one side or the other has a stronger case.

Yeah but at the same time that is making a deal ghey can’t enforce and betting on the gov keeping his word

It's a deal they can enforce. If the governor or the board violates the terms of the settlement, all bets are off.

Yeah, the person on X who posted it was referring to the Disney fans who are trying to spin this into a big win, even though in any good settlement, neither side comes out happy. This one is certainly no exception.

One thing's for sure though: the lawyers always end up as #1.

I think it's much more nuanced than saying whether Disney is a winner or loser in this. We heard CFTOD's side, which is obviously going to be slanted. There may be more details that we haven't heard about yet.

At the end of the day, this gives Disney a shorter path to certainty in growing and managing their business - which, for them, may be a huge win given their expansion plans. Many of us may not like it, given the Injustice of what was done, but the reality is Disney has a business to run and they have to do what's best for their business. If an opportunity presented itself that gave Disney that certainty and the ability to deal with a less combative board, I could see why Disney would jump at the chance, as much as I wish they didn't.