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

[lazyboy97o]

I have to admit ignorance that I haven’t read the latest version of this bill nor have I kept up with all the 405 pages of this discussion.

Typically when drafting this type of statuary language that type of experience (I.e. minimum bar threshold for years served, etc) would be a precursor even if the administration is given the ultimate latitude within the mandate to make the selection, but since this is a political exercise I recognize this is an atypical case.

For example I do know amendments to diversify the board experience with a mix of state and local expertise were shot down. But in that case I recall that one amendment allowed the localities to select some of the board members which would have been a nonstarter as it was perceived as being “insufficiently punitive”.

This is all highly unusual and antithesis of good governance.

To qualify for a board member, a person nor their family can have had a professional relationship with a company that owns or operates theme parks within the last three years. It's a very long list of qualifiers. It's reported as barring Disney employees from serving on the board, but it also prohibits someone who installs Xfinity.

The amendment you reference was really bad and shows the public perception challenges Disney faces. It called for placing the mayors of Orlando and Kissimmee, two cities that don't even share a border with the District, on a board overseeing the affairs of completely separate cities. It would be like giving the mayor of Orlando a seat on the Winter Park city commission. This is the big challenge Disney faces with the public perception around any action. How the District is actually set up and functions is rather nuanced (or convoluted if you will) and even those who oppose the actions of state Republicans don't necessarily understand the actual issues at play here. Eskamani's board amendment was ostensibly more reasonable than all members being appointed by the governor, but it still would have set an absolutely horrible precedent.

 

[BuzzedPotatoHead89]

To qualify for a board member, a person nor their family can have had a professional relationship with a company that owns or operates theme parks within the last three years. It's a very long list of qualifiers. It's reported as barring Disney employees from serving on the board, but it also prohibits someone who installs Xfinity.

The amendment you reference was really bad and shows the public perception challenges Disney faces. It called for placing the mayors of Orlando and Kissimmee, two cities that don't even share a border with the District, on a board overseeing the affairs of completely separate cities. It would be like giving the mayor of Orlando a seat on the Winter Park city commission. This is the big challenge Disney faces with the public perception around any action. How the District is actually set up and functions is rather nuanced (or convoluted if you will) and even those who oppose the actions of state Republicans don't necessarily understand the actual issues at play here. Eskamani's board amendment was ostensibly more reasonable than all members being appointed by the governor, but it still would have set an absolutely horrible precedent.

The broader problem you’re going to have is a general fear from the usual Florida interest groups including the FL Chamber, AFSCME, league of cities, etc. I think the perception seems to be that this is a uniquely “Disney” problem and “better them than me”.

Perhaps we may see some friendly amicus briefs filed by legal partners. But no one is going to want to risk going too far out politically and risk political retribution on this until the courts wade in more I’d presume.

 

[GoofGoof]

I wonder how this will affect bondholders and the credit ratingness of Reedy Creek or other entities in the state. The board can entirely choose to make decisions detrimental to bondholders and the only man who can tell them to stop is the governor.

Who knows. The district may never issue new bonds. That is entirely up to the board. Remember the Governor wanted to dissolve the district completely but a major roadblock were those pesky bonds getting dumped on the counties. As time goes on bonds get paid down and if you don’t issue new bonds eventually that’s not an issue anymore. Since the district would use bonds to pay for new projects that would mean halting most new projects that couldn’t be paid for out of current year tax dollars. Could be some lean years coming for the workers who depend on those projects for steady work

 

[Disstevefan1]

I wonder how this will effect road repairs and the ability to get from one place to the other "on property"

 

[ChrisFL]

people on twitter are funny, I keep seeing like "Disney should just move out of Florida"....yeah, 4 massive theme parks, 2 water parks, 23+ hotels and 60,000 employees should just move somewhere up north....amazing

 

[Wendy Pleakley]

people on twitter are funny, I keep seeing like "Disney should just move out of Florida"....yeah, 4 massive theme parks, 2 water parks, 23+ hotels and 60,000 employees should just move somewhere up north....amazing

Of course they can't just get up and move.

Hmm, it's as if that's one of the reasons they're being targeted.

 

[Cliff]

It seems to me that Universal can launch new rides and build new hotels and even build a giant new park…and not be hampered by “their” govt oversight.

Universal builds attractions two, three and four times faster than Disney does. They seems to have no problems with the city or Orange County trying to kill them.

What does Universal have that Disney doesn’t have? What is Disney afraid of?

 

[Vegas Disney Fan]

Another casualty of this may be RunDisney, they’ve had all kinds of issues in Anaheim closing city streets that they’ve never had to worry about in Florida.

Add that to the downsides list if this happens.

 

[MagicHappens1971]

It seems to me that Universal can launch new rides and build new hotels and even build a giant new park…and not be hampered by “their” govt oversight.

Universal builds attractions two, three and four times faster than Disney does. They seems to have no problems with the city or Orange County trying to kill them.

What does Universal have that Disney doesn’t have? What is Disney afraid of?

I think everyone that is taking this take has a gross misunderstanding of the differences between Disney & Universal. Disney owns and operates a land mass spanning twice the size of Manhattan. They operate 28 resort hotels, 4 theme parks, 2 water parks, a shopping district, and have over 60,000 employees. RCID supplies waste management, and other utilities to all of the properties, as well as manages road work, etc. RCID also does a myriad of other things that affect day-to-day ops of WDW. Aside from that this hostile governor creating a board that could now effectively cost Disney countless hours & money wasted when trying to make new developments. This also takes away RCIDs ability to repair their own roads, etc, when have you ever seen a pothole at WDW? This issue is not black and white and it’s not as simple as Disney VS Universal. You’re comparing apples to oranges

 

[lazyboy97o]

It seems to me that Universal can launch new rides and build new hotels and even build a giant new park…and not be hampered by “their” govt oversight.

Universal builds attractions two, three and four times faster than Disney does. They seems to have no problems with the city or Orange County trying to kill them.

What does Universal have that Disney doesn’t have? What is Disney afraid of?

You really don’t understand the difference?

 

[Dranth]

It seems to me that Universal can launch new rides and build new hotels and even build a giant new park…and not be hampered by “their” govt oversight.

Universal builds attractions two, three and four times faster than Disney does. They seems to have no problems with the city or Orange County trying to kill them.

What does Universal have that Disney doesn’t have? What is Disney afraid of?

Not really the same situation.

If the state removed RCID and let Disney deal with the local counties then it would be closer to what Universal has to do. Even then there are aspects that would make that more difficult for Disney. The size difference alone is massive and creates different challenges that Universal will likely never face.

 

[Tha Realest]

Wow based on this associated picture it looks like the Reedy Creek sheriff is already arresting people

 

[GoofGoof]

It seems to me that Universal can launch new rides and build new hotels and even build a giant new park…and not be hampered by “their” govt oversight.

Universal builds attractions two, three and four times faster than Disney does. They seems to have no problems with the city or Orange County trying to kill them.

What does Universal have that Disney doesn’t have? What is Disney afraid of?

Last I checked Orange County wasn’t run by a board hand picked by the Governor so let’s start with that.

 

[GoneViral]

What does Universal have that Disney doesn’t have? What is Disney afraid of?

Hilariously, Universal is about to have its own district that it manages, which the same Florida elected officials will allow.

StackPath

 

[lazyboy97o]

I'm not sure the Board of Supervisors can raise taxes without Disney's approval. From the FL constitution:

SECTION 9. Local taxes.—​

(b) Ad valorem taxes, exclusive of taxes levied for the payment of bonds and taxes levied for periods not longer than two years when authorized by vote of the electors who are the owners of freeholds therein not wholly exempt from taxation, shall not be levied in excess of the following millages upon the assessed value of real estate and tangible personal property: for all county purposes, ten mills; for all municipal purposes, ten mills; for all school purposes, ten mills; for water management purposes for the northwest portion of the state lying west of the line between ranges two and three east, 0.05 mill; for water management purposes for the remaining portions of the state, 1.0 mill; and for all other special districts a millage authorized by law approved by vote of the electors who are owners of freeholds therein not wholly exempt from taxation. A county furnishing municipal services may, to the extent authorized by law, levy additional taxes within the limits fixed for municipal purposes.​

Disney previously approved the mill rate that RCID currently collects. By writing the bill so that RCID continues, presumably this covers existing bonds as well any previously approved millage.

In addition, ad valorem taxes have to be spent within the district or on nearby transportation projects. From the bill:

Without limiting the district's authority to use ad valorem taxes and other unencumbered collected fees and revenues within the district, the district may use ad valorem taxes and other unencumbered collected fees and revenues to provide funding for public road projects, rail projects, and other regional transportation projects outside of the district's boundaries provided that such projects are within Orange County or Osceola County; improve a street, road, highway, interstate, or rail system that abuts or crosses into or through the district; serve or benefit the property owners in the district as determined by the board; and are performed, operated, governed, managed, or appropriated by the state or its agencies, Orange County, or Osceola County.​

My takeaway is that ad valorem taxes collected by the district are limited to projects either within the district or nearby (mostly) roads & bridges.

Taken together, I can't imagine this gives the board a blank check to raise taxes however much they like. The money will be spent on items that directly or indirectly benefit Disney, and any increases will be approved by district landowners.

Instead, as you mention:

For example, with the new board, I'm not sure the Splash Mountain to Tiana's Bayou Adventure retheming takes place because it's "woke".

The bill authorizes a tax up to 30 mills and an additional maintenance fee up to 10 mills.

 

[GoofGoof]

I'm not sure the Board of Supervisors can raise taxes without Disney's approval. From the FL constitution:

SECTION 9. Local taxes.—​

(b) Ad valorem taxes, exclusive of taxes levied for the payment of bonds and taxes levied for periods not longer than two years when authorized by vote of the electors who are the owners of freeholds therein not wholly exempt from taxation, shall not be levied in excess of the following millages upon the assessed value of real estate and tangible personal property: for all county purposes, ten mills; for all municipal purposes, ten mills; for all school purposes, ten mills; for water management purposes for the northwest portion of the state lying west of the line between ranges two and three east, 0.05 mill; for water management purposes for the remaining portions of the state, 1.0 mill; and for all other special districts a millage authorized by law approved by vote of the electors who are owners of freeholds therein not wholly exempt from taxation. A county furnishing municipal services may, to the extent authorized by law, levy additional taxes within the limits fixed for municipal purposes.​

Disney already approved the mill rate that RCID currently collects. By writing the bill so that RCID continues, presumably this covers existing bonds as well any previously approved millage.

In addition, ad valorem taxes have to be spent within the district or on nearby transportation projects. From the bill:

Without limiting the district's authority to use ad valorem taxes and other unencumbered collected fees and revenues within the district, the district may use ad valorem taxes and other unencumbered collected fees and revenues to provide funding for public road projects, rail projects, and other regional transportation projects outside of the district's boundaries provided that such projects are within Orange County or Osceola County; improve a street, road, highway, interstate, or rail system that abuts or crosses into or through the district; serve or benefit the property owners in the district as determined by the board; and are performed, operated, governed, managed, or appropriated by the state or its agencies, Orange County, or Osceola County.​

My takeaway is that ad valorem taxes collected by the district are limited to projects either within the district or nearby roads & bridges.

Taken together, I can't imagine this gives the board a blank check to raise taxes however much they like. The money will be spent on items that directly or indirectly benefit Disney, and any increases will be approved by district landowners.

Instead, as you mention:

For example, with the new board, I'm not sure the Splash Mountain to Tiana's Bayou Adventure retheming takes place because it's "woke".

You are assuming the FL constitution even matters anymore . I wouldn’t put it past them to raise taxes anyway and “let the courts decide”.

Even if they ultimately can’t raise taxes they can still indirectly cost Disney more money by cutting services currently paid for by RCID that Disney values and forcing them to either do without or pay out of pocket. For example, they can charge patients who are treated or transported by RCID EMTs whatever they want. If Disney wanted to avoid injured guests being slapped with that bill then Disney would have to eat the cost. Same goes for the free parking in the garages. As far as the money collected being spent on projects within the district that is true, but can also be exploited. For example, they can hire their cousin’s company to pick up trash or pave roads at 5Xs the current cost which will burn through the district’s budget. They could also authorize expensive surveys, and lengthily legal reviews of all kinds of things and guess who performs those services…..you guessed it….”friends of the program”.

As far as rides and construction in the parks, I agree. There could be an attempt to control projects and content there as well. They cannot do it overtly, but it would be easy enough to find fault somewhere and delay or block things. Hopefully it doesn’t come to that but if it does that will likely result in Disney investing less and less in WDW. New attractions will go elsewhere. There’s no way to move WDW and it’s not going to close, but there’s no guarantee they keep investing as heavily in the parks either and most of us around here feel they haven’t invested nearly enough already. Could result in a dark period for WDW until the winds of change blow in and the Government power shifts.

 

[JoeCamel]

With the language in this bill I expect WDW lawyers to be at the court's door as it is signed.

 

[Cliff]

I think everyone that is taking this take has a gross misunderstanding of the differences between Disney & Universal. Disney owns and operates a land mass spanning twice the size of Manhattan. They operate 28 resort hotels, 4 theme parks, 2 water parks, a shopping district, and have over 60,000 employees. RCID supplies waste management, and other utilities to all of the properties, as well as manages road work, etc. RCID also does a myriad of other things that affect day-to-day ops of WDW. Aside from that this hostile governor creating a board that could now effectively cost Disney countless hours & money wasted when trying to make new developments. This also takes away RCIDs ability to repair their own roads, etc, when have you ever seen a pothole at WDW? This issue is not black and white and it’s not as simple as Disney VS Universal. You’re comparing apples to oranges

Five years from now, maybe this WILL be the Amagedon that some might think it is. But I'm confident that Nobody "really" knows how this will play out when the dust settles.

I have a funny feeling that five years from now, the "front facing" aspects of the parks and hotels will look exactly as it does today. Park guests wont see the closed door fighting that could go on behind the scenes but the rest will basically look the same.

Only time will tell though.....

 

[lazyboy97o]

Five years from now, maybe this WILL be the Amagedon that some might think it is. But I'm that Nobody "really" knows how this will play out when the dust settles.

I have a funny feeling that five years from now, the "front facing" aspects of the parks and hotels will look exactly as it does today. Park guests wont see the closed door fighting that could go on behind the scenes but the rest will basically look the same.

Only time will tell though.....

There is absolutely no reason to do this if it is to result in the status quo.

 

[BuddyThomas]

It is none of that ghoul’s business how awake or asleep a ride in a theme park might be. I like my rides awake, but regardless, it will be as “woke” as The Princess and the Frog”, which should offend absolutely no one….,,,,,, except maybe bigots. I