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

Figgy1

Well-Known Member
RCID/CFTOD

That's the primary reason they are planning on raising taxes. They can't run a deficit so they have to come up with the attorney's fees somewhere.
Yes but there's probably going to be an injunction so I don't see how they can raise taxes when they have no power and how can RC be held accountable for the bills if the district is restored
 

mkt

When a paradise is lost go straight to Disney™
Premium Member
https://www.washingtonpost.com/business/2023/04/26/desantis-disney-lawsuit/

Disney sues Gov. Ron DeSantis, alleging political retaliation​

The Florida governor is working with the legislature to overturn the entertainment giant’s latest oversight agreement

Walt Disney Co. is suing Florida Gov. Ron DeSantis (R) over what it calls a “relentless campaign to weaponize government power” — a major escalation of the year-long clash between the entertainment giant and conservative governor.

The lawsuit filed Wednesday in U.S. District Court for the Northern District of Florida came the same day the governor’s handpicked board declared a Disney-friendly deal null and void. Disney and DeSantis’s office have been tussling privately for the past year, but the frequency and intensity of their sparring has intensified dramatically in recent days.

The standoff, which could have major political and economic consequences, began in early 2022 when Disney leaders criticized a controversial education bill advanced by DeSantis and other Florida Republicans. Disney’s resorts in Florida are some of the state’s prime attractions, but DeSantis expressed outrage that the company dare criticize the education bill, and he began attacking the company, saying it had received preferential treatment for too long.

DeSantis, whom many consider a top presidential contender, has repeatedly turned to the state’s Republican-controlled legislature to help him rein in Disney. The first effort came in a special session in April 2022, when lawmakers dissolved the special taxing district created in 1967 to help the company develop and control its vast property near Orlando.

But that move quickly caused concerns about what would happen with Disney’s tax and debt burden. Local government officials called it “a $1 billion debt bomb” and said they could have been forced to raise taxes on property owners to pay for what Disney’s district used to fund, such as roads and other services.
DeSantis ordered another special session in February to address that issue by keeping the tax district, but replacing the board selected by Disney — called the Reedy Creek Improvement District — with a new panel. DeSantis chose the five new board members and called the agency the Central Florida Tourism Oversight Board. When the new board held its first meeting in March, members said they discovered that the outgoing Disney board had handed over most of their power to Disney. That’s what they voted to overturn on Wednesday.

Local business owners who run cafes and restaurants on Disney’s property, and nearby residents pleaded with the new board Wednesday to end the feud. They said they can’t afford to pay higher taxes that the board said will be necessary to pay legal fees, and that ideas floated by the governor — such as new toll roads within Disney’s property — would be a burden on their employees.

Mark Gibson, who owns three businesses at Disney, said he’s voted for DeSantis twice but finds the battle with Disney worrisome.
“This dispute has continued for more than a year. There’s already been a lot of negative publicity that we have to deal with, with guests and with our customers,” Gibson said. “Ultimately, we’re concerned about the repercussions for our restaurants and our employees.”

Debra McDonald said she and her family have lived at Celebration, a town built by Disney within the Reedy Creek district, for more 26 years. The company provides utilities, including electricity, to its more than 11,000 residents.

“People are afraid of losing their homes,” McDonald said. “Many people in our community are afraid. Uncertainty, fear, and controversy are not good.”
The standoff “has hurt us deeply,” she said. “It’s not just between the governor and Disney. It’s affecting everyone around you.”

Disney’s Magic Kingdom location near Orlando is considered the busiest theme park in the world, drawing nearly 13 million visitors in 2021. Its Animal Kingdom resort is also a top draw, attracting more than 7 million people that year, according to AECOM and the Themed Entertainment Association.

In its legal complaint, Disney accused DeSantis of punishing it for protected speech, threatening its business operations, jeopardizing its economic future in the region and violating its constitutional rights.

“Having exhausted efforts to seek a resolution,” the complaint said, “the Company is left with no choice but to file this lawsuit to protect its cast members, guests, and local development partners from a relentless campaign to weaponize government power against Disney in retaliation for expressing a political viewpoint unpopular with certain State officials.”

A DeSantis spokeswoman called Disney’s lawsuit “another unfortunate example of their hope to undermine the will of the Florida voters” and circumvent state law.

“We are unaware of any legal right that a company has to operate its own government or maintain special privileges not held by other businesses in the state,” said Taryn Fenske, communications director for the governor’s office.

What started with criticism over a controversial education bill has turned into a high profile tug-of-war between two of the state’s most powerful entities: Disney, which employs more than 75,000 people, and DeSantis, who is expected to announce his bid for the GOP presidential nomination in the coming weeks.
Meanwhile, business goes on as usual at the Magic Kingdom.

Matt Roseboom, the editor and publisher of Attractions Magazine, which covers Disney and other theme parks, said the Disney-DeSantis feud hasn’t impacted visitors to the Florida park. “The average guest that’s coming to Disney probably has heard something about the feud, but it’s really not affecting anything.”

The new board said it may have to raise taxes on Disney to pay for attorneys to fight the company in court. DeSantis has floated the idea of building another theme park on Disney property, or even a state prison.

But the notion seems far-fetched, Roseboom said.

“I think everybody’s pretty confident that Disney is not going to have to have a prison in the Magic Kingdom,” he said. “I think people are just more making a joke out of it right now.”
 

Dranth

Well-Known Member
I think Disney opened a bigger Pandora's Box by being sneaky to keep control of RCID. They acted like they were going accept it and than tried to keep it last minute with clever wording. I may be wrong but I don't think much would have changed if they had lost control of RCID. Now Disney has made DeSantis even more determined to crush The Mouse. It will probably cost Disney millions in lost revenue due boycotting company wide.
Ah yes, the sneaky tactic of having publicly noticed, open to anyone meetings before the new bill had even been introduced.

I think your definition of sneaky is very different than mine.
 
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Sirwalterraleigh

Premium Member
I think Disney opened a bigger Pandora's Box by being sneaky to keep control of RCID. They acted like they were going accept it and than tried to keep it last minute with clever wording. I may be wrong but I don't think much would have changed if they had lost control of RCID. Now Disney has made DeSantis even more determined to crush The Mouse. It will probably cost Disney millions in lost revenue due boycotting company wide.
It’s rare that Disney can so completely complain to be “the victim”. That’s tough for any large corporation

They can do that here. 100%
Read the lawsuit. Here's the link: https://www.documentcloud.org/documents/23789600-file-stamped-disney-complaint1

Also, given how busy the parks have been, they're clearly not suffering.
Yup
 

AEfx

Well-Known Member
They also just announced $17 billion in investments in Florida over the next 10 years. Unreasonable to think that juries won’t side with Disney, aside from the reasons based in law.
Well, no - I don't think it's unreasonable to expect the jurors to make their decision based solely on the law - I mean, they are going to take a legal oath pledging to do just that.

That said, I don't think that argument would hold as much sway as you think it would. I mean, a single mother working two jobs just to keep a one-bedroom apartment running, or a single person who can just barely afford to live with roommates who's big dream is to get an apartment of their own some day, etc. - I don't think they are going to be swayed with "Hey, Disney says they are going to spend billions in the next ten years, surely my life will improve if they do!"
 

JoeT63

Well-Known Member
I think Disney opened a bigger Pandora's Box by being sneaky to keep control of RCID. They acted like they were going accept it and than tried to keep it last minute with clever wording. I may be wrong but I don't think much would have changed if they had lost control of RCID. Now Disney has made DeSantis even more determined to crush The Mouse. It will probably cost Disney millions in lost revenue due boycotting company wide.
Gawrsh, I hope the WDW boycott starts in early June. We get there June 16th!!
 

flynnibus

Premium Member
I may be wrong but I don't think much would have changed if they had lost control of RCID.
Did you not see the state moving to redefine regulation of transportation... the agendas on Disney content... the completely irrelevant COVID regulation... etc?

Ron and his cronies were not satisfied with just taking over Disney's authority - they set out to enforce their will on Disney as well. The outright said so, even BEFORE they knew about the contracts. So no, I don't agree with you that much would have changed if Disney just let RCID go without any other actions.
 

Brian

Well-Known Member
I'm not shocked but somewhat surprised the lawyers for Florida and the board didn't have a response ready to go even if it was "we're not going to comment on pending litigation at this time"
Why are you surprised? The state (DeSantis, legislature, and the various people advising them) have been reacting in real time throughout this entire venture. They've yet to exhibit any semblance of anticipating the "opponent's" next move.
 

flynnibus

Premium Member
Yes but there's probably going to be an injunction so I don't see how they can raise taxes when they have no power and how can RC be held accountable for the bills if the district is restored
The injunction wouldn't prevent the district from operating... it would constrain their actions - most probably around the actions defined in the contracts in dispute. And considering the new board is already in place and has already transitioned, it's unlikely the court would force them to go back in time and put the old board back. At best you might get some sort of receivership/proxy leadership while it's in dispute. But I think even that is far-fetched. I would expect any injunction to scope just the board from messing with the existing land management plan and force them not to pass any new resolutions that would be considered targeting disney specifically.

The court isn't going to shutdown the government - it will find some sustaining operating point if it got involved at this point.
 

Figgy1

Well-Known Member
Why are you surprised? The state (DeSantis, legislature, and the various people advising them) have been reacting in real time throughout this entire venture. They've yet to exhibit any semblance of anticipating the "opponent's" next move.
The administration yes, the 800 per hour lawyers not so much
 

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