Could a feature that is critical to how Disney World operates be in jeopardy? Well, the threat against it has certainly become more real.
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Not too long ago, we shared about how a Florida representative had indicated that some meetings had been held regarding the potential repeal of the Reedy Creek Improvement District — the district that essentially lets Disney act as its own county and govern its own land. Governor Ron DeSantis of Florida then indicated that he would be open to suggestions on this idea of a repeal, and we shared how a repeal of the District could significantly impact Disney World’s operations. Now, what started as an idea and meetings has turned into something much more real.
According to the Orlando Sentinel, Governor Ron DeSantis has indicated that he will be expanding the special session of the Florida Legislature, which started Tuesday. What exactly will Governor DeSantis be expanding the special session to include? Well, during the special session the Legislature will now be able to consider “eliminating the Reedy Creek Improvement District.”
If you’re unfamiliar with it, the Reedy Creek Improvement District (RCID) is a special district that was created back in 1967. It is crucial to how Disney operates in Florida. In essence, it allows Disney to operate as its own county government when it comes to controlling the land it owns in Florida on which it operates its theme parks.
Florida Governor Ron DeSantis ©Deadline
One political analyst indicated that the repeal of the RCID would be “a disaster for Disney.”
You can click here to see our FULL post on the RCID and what a repeal would mean for Disney.
Governor DeSantis said, “I am announcing today that we are expanding the call of what they are going to be considering this week…so yes, they will be considering their congressional map. But they also will be considering termination of all special districts that were enacted in Florida prior to 1968. And that includes the Reedy Creek Improvement District.” (Orlando Sentinel)
DeSantis also gave his thanks to House Speaker Chris Sprowls and Senate President Wilton Simpson for their efforts in “stepping up and making sure that we make the sunset or the termination on those special districts happen, which I think is very important.” (Orlando Sentinel)
In addition to congressional reapportionment, this week's special session will include termination of legacy special districts and removal of exemptions from the big tech accountability law. pic.twitter.com/67sF4E113I
— Ron DeSantis (@GovRonDeSantis) April 19, 2022
All of this follows the conflict experienced between Disney and DeSantis when it comes to Florida’s “Don’t Say Gay” Act (the Parental Rights in Education Bill). When the bill was signed into law, Disney issued a statement indicating that the bill never should have been passed or signed, and that their goal would be for the bill to be repealed. Disney also paused all political contributions in the state. Governor DeSantis indicated that Disney’s response to the bill, specifically their comments that they would be working to repeal the law, “crossed a line.”
©Fox10 News | Florida Governor Ron DeSantis
Will Florida’s legislature ultimately be successful in repealing the Reedy Creek Improvement District? It’s unclear. As we had previously shared, Senator Linda Stewart, a Democratic Senator in the Florida Senate, has said “I don’t see how in the world he’s going to be able to dismantle it…It would never get through the Senate and it’s unlikely to get through the House.” (WFTV 9 ABC)
Former Republican State Representative Bobby Olszewski also said “This seems like saber rattling in order to draw some headlines…I can tell you they [meaning Disney] have done a lot for our state and for our local community, so it is surprising that this is something that is coming up right now.” (WFTV 9 ABC)
Suitability Ratings Map ©Reedy Creek Improvement District
We’ll be keeping a close eye on this situation and will share more news with you.
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It’s about time Disney supports the property tax base of our counties equal to the tax burden other business are assessed and pay. For those trying to convince you that this will raise our taxes your absolutely wrong. The fact is Disney controls their own assessments, the counties will do assessments at fair value increasing our tax base. It is time that Disney contributes to the local tax base, be assured that the property values will more than cover all services taken over by the county.
And what happens when the people realize that what Disney once paid for will now be paid by an increase in taxes?
It will be interesting to see what comments people add for this article.
This is a runaway freight train and Bob Chapek is at the throttle. The only way I see it going away is if Disney recants on this topic and takes a less “in your face” stance on LGBTQ advocacy. I see neither happening, so my bet is Disney loses the Reedy Creek Improvement District. It helped Disney and Florida for 50 years. Its probably OK if it sunsets now.
I don’t live in Florida but it seems to have worked for the past 55 years. I’m not following this and don’t know all that’s going on, but it seems someone in an authority position got their feelings hurt and didn’t like someone else’s opinion. So when then happens, you use your position to get back at them to “show them”. Childish behavior. (shaking my head)
This guy is a dictator. Preaches freedom of speech, but only if you agree with him. Such a narcissist.
Disney should not be able to self govern themselves.
Tax breaks should not be given to Corporate Giants like Disney.
Is Universal self governing? No it is not. Tired of the BS that the Senate and House creates against the people and the Power they push up against us while in contrast they serve us. We do not serve them while they receive a salary of over $200K. It needs to stop
If the state ends Reedy Creek they will need to purchase Disney’s infrastructure. That would cost local taxpayers $billions! Great political stunt by the Gov…but if they really go though with it, he will not win reelection.
So DeSantis got his feelings hurt by Disney so now he’s lashing out at the states largest employer. That does not make a whole lot of sense to me.
It’s simple, make the Disney World just like the rest Florida. The party is over!
Disney is the only theme park that gets special privileges. How is that fair to other theme parks. It may have helped in the 60’s as the park was starting up but now it’s time to end it. Fair business practices are good for all. Also, I love the readers that comment not even knowing the facts of the story. DeSantis is not a dictator. He’s for the people and not big corporations who think they can dictate and control. Read and listen to the facts and not the propaganda.
Some think Florida will have to purchase Disney’s infrastructure, that want be necessary, intImate will in-forced.
If DeSantis gets his way it’s only going to hurt Floridians. It’ll be inconvenient for Disney, yes, but the taxpayers will now be responsible to front the cost of all the infrastructure (road maintenance, fire, EMS, police, etc.) which Disney was handling on their own. That’s going to be a HUGE tax increase for people living in FL. If this goes through it’s not going to hurt Disney as much as it will hurt everyone else that lives in the state.
Wow! Just…WOW! When you get right down to it, push aside all the debates, all the political arguing on the bill, push aside the protesting, just look at the nuts and bolts of why Disney is in this humongous mess, it’s just one name..BOB CHAPEK. If he simply would have checked his ego, concentrated on fixing the Disney mess he created with all changes, and just stayed out of the big political and social issues as a company, none of this would have happened. Investors have to be just irate over his meddling and where this is heading.
If he wanted to make a statement he should have resigned as ceo. He can have his own views, I’m not saying he can’t. And if he wanted to take a stand on social issues and politics he has every right, as an American. But when he opened his mouth and spoke on behalf of one of the largest American employers, he opened the entire company up to the exact consequences now being considered.
Also he should have considered the consequences of picking a side with regards to employees. He never considered those employees who agree with the bill only with those who disagreed with the bill. He alienated himself from all those employees by siding with the other employees. Big management mistake!
And for those of you who say this will all blow over and Desantis will drop it…you don’t know our Governor very well. He has Disney in his sights and he will not give up.
Chapek was good at his original job within Disney. No question about it. But not everyone is meant for every job. And because you may be very good and excel at one job doesn’t mean you have the knowledge, expertise and ability to excel at another. Evidence simply is overwhelming! Factual evidence, he has failed and got Disney into a horrible mess.
Disney needs to get this man off payroll. Immediately. Before he does something else to dig Disney into a deeper hole, deeper if that’s possible then where their at already.
No Corporate conglomerate should be able to have it’s own government, period! Live by the rules for apply to all!
If Disney would stick to its product and stay out of political and social activism it wouldn’t be an issue. I can imagine Walt turning over in his grave at this ridiculous leadership
Can’t we all just get along. Good, bad, indifferent, think back as to what Disney brought to a sparsely population region half underwater and swamp like. We now have a paradise to live in and with a very diverse workforce and vibrant economy.
In a country that is politically divided any company that chooses one side over the other side is taking a huge risk and this is more proof of that.
Disney opened their mouth and inserted their foot. This should be a lesson to other companies that the corporate welfare that they are receiving could end once they choose sides.
Disney owns a total of about43 square miles of land in 2 Florida counties. The impact fees and other fees that Disney is going to have to pay every year will be record setting is their exemption is repealed
In the beginning, when Disney suggested taking over control of their property, Florida officials were thrilled. That meant Florida was not responsible for maintaining the roadways, sewers, etc. Disney wanted control and Florida was happy to give it to them.
A 2019 study found that Disney dominates the central Florida tourism industry and is Florida’s biggest political power. The company produced $75.2 BILLION annual economic impact for central Florida. 463,000 jobs. $5.6 BILLION in additional tax. In 50 years, Osceola and Orange counties have grown from 370,000 people to 1.8 million.
DeSantis feels his ego has been bruised and is using his power as governor to hurt Disney. He should be wary of biting the hand that feeds him.
For those concerned about the outcome, I’ve read that it would take years and years of paperwork and legal motions before anything could happen. By then, DeSantis will be long gone from Florida. He has bigger aspirations.
As angry as I am about Disney’s ever rising costs, I am with them on this issue.
Tax all corporations equally.
If Walt Disney World falls under the control of the counties it is located, I assume they would have to abide by the fireworks rule…fireworks only around the 4th of July? Interesting.
How will this affect the DVC owners?
Can anyone explain how Disney’s RCID is different than the 17 special purpose districts at The Villages ?
about time disney fails to obey many state laws
Disney does not have a police force; Orange County Sheriff’s Office provides that. Other utilities? You mean like water, electric (Disney has acres of solar panels that help Disney run more cost-effectively. The McDonalds on property runs a surplus of electricity due to it’s entire roof is solar panels) that are already in place? Those who live in or near RCID or in celebration would pay for those things.
Neither Universal nor Sea World run their own government. For those of you who are all about “Fairness” how do you defend Disney’s leg-up on it’s competition? Disney is NOT “paying it’s fair share” of taxes. I thought that was “Not OK” with the Leftist crowd?
If Chapek keeps running his mouth, he’s going to have to make a new movie called “Recanto.”
Thank the Lord for Governor DeSantis.
Disney should have stayed out of politics. As small business owners, we keep our political beliefs to ourselves as to not make families feel alienated. In all honesty, the last time we visited Disney, the caliber of cast members left much to be desired. Not only that, I had a Yeti and Apple Watch stolen from our room.
Have read about the RCID years ago. It was a sweetheart deal for Disney set up decades ago which no other theme has in Florida. That alone may need to be evaluated.
RCID does not have their own police force but do have Orange County Sheriff deputies on the property. Note the ones who check your bags are security and some may have been in law enforcement at one time, but they cannot act as police. Local news reported some incidents of pursuits on the property which shouldn’t be done by security.
They have lawyers negotiate lowering the current taxes paid to Orange County. Likely the same is done with Osceola County and the state. There may have been some other deals in regards to elected officials which would likely be an overstep if it’s true. This has been mentioned over the years on local media.
I remember Disney threatening to leave Georgia where it filmed Black Panther and Endgame in regards to certain law changes which impacts families. So this isn’t the first time a Disney CEO has suggested changing laws.
When you live in the present Florida this is what you can expect if you dare to have an opinion other than Mr. DeSantis. The Legislature has abdicated any of it’s job to the Governor’s wishes (He vetoed any Voting districting maps except what he wants and the Legislature majority didn’t even bother to work up another one, they will just accept his.) What people don’t realize who don’t live here is that all of the services (fire, ambulance, etc. ) as well as responsibility for maintaining roads, etc. will fall to the two towns that formed Reedy Creek (population very small) and the rest of the tax payers in the area. That includes any outstanding bonds, etc. If you don’t live there I guess it’s easy to think that this won’t hurt the taxpayers….wrong. This is just another example of what is happening here with this Governor. I’m not a member of either party. The Governor had no problem with Disney when it was to his advantage but because they dared to not think like he does and question a law that many Floridians are questioning (contrary to what you may read online) it is a bit “tit for tat” governing. Before deciding to bring a business or relocate to Florida i would advise anyone to get their hands on the many bills and laws that have been “pushed” through so they can make an informed decision. I’m not being negative but one should know what you might face as an educator, college student or business owner. If you feel comfortable then that’s great. However you should be aware of the possible penalties if you find yourself not in agreement with some of these edicts.
Interestingly from what I understand, Chapek entered the top job as a decidedly apolitical person who wanted to keep the long-standing company policy of staying out of cultural and political issues…..unlike his predecessor. Yet when push came to shove, he caved and was cowed into taking a side by a small but noisy contingent of his employees. It’s was a crucial mistake by a man with no backbone and the company he leads will pay a price.
Those of us who appreciate that Disney is for inclusiveness, kindness, and respect for all will continue to support the company with our patronage. We and our children and grandchildren will continue to watch the Disney channel and Disney+. We will take them to WDW at every opportunity. And I won’t worry about them being “groomed” for anything other than kindness towards others.
I can only hope that most people know deep down all this “grooming” and “woke” talk is a bunch of baloney meant to stir up negative feelings in a segment of the voting public. I prefer those that stir up the positive, which is one reason we are WDW passholders. We feel good when we are there and are glad that everyone is accepted for who they are.
There are plenty of other companies that throw their weight around on both sides of the aisle. It’s too bad that this has turned into a giant you-know-what show just so one person can get the attention he craves. Let’s hope the chips fall where they should when it’s all said and done a year or two from now.
The Disney company is responsable for providing family entertainment. Not for preaching political and social activism! Too many companys are picking sides. We do not want to hear your stance. This goes for the holloywood elitists also.
Ron DeSantis is a VINDICTIVE Man. If you speak out against Ron DeSantis as Disney did, he will attempt to hurt you because he can. Disney has helped to lower taxes on Residents Of Florida long before Ron DeSantis and will continue long after he is gone. Ron DeSantis is acting like a CHILD and I hope the residents of Florida realize it and VOTE HIM OUT OF OFFICE AND CERTAINLY NOT CONSIDER HIM FOR THE PRESIDENCY. A good man or women needs to have FEELINGS EMOTIONS, SYMPATHY AND EMPATHY. Ron DeSantis has NONE .
When Chapek decided to drag a resort and amusement park into the political arena, overlook at least half the employees that work there and the people in Florida itself, then there are consequences to every action. The Disney empire is just figuring that out. In my eyes they deserve whatever they get, and if it hurts? Maybe they will think twice before they do something so stupid without considering the consequences. We have cancelled our D23 membership, Disney + subscription and are letting our annual passes sunset. The only thing that will change that is Disney admitting they should not interfere with politics and backing down, and probably firing a really bad CEO – maybe half the board as well. Am I angry? yes. Disney used to be my goto place to get away from the craziness, I’m so fed up with all of this.
I’m in my 60s and don’t live in Florida – Disney World use to be one of my favorite places to go. Usually 2 or 3 times per year. But so many changed in the last few years, I no longer go, even though I still have 4 days left on one of my tickets,
This current situation is just a continuation of Disney’s spiraling down.
When Corporate conglomerates stick their noses into political and social activism, they need to have it bitten off!!!
Good for Ron DeSantis!! Disney is the only theme park that gets special privileges – This should have been done years ago. It’s past time that Disney pays it’s fair share of taxes!
Chapek needs to resign. He fiducially failed his customers, Employees and Shareholders. He put Reedy Creek in jeopardy when it was unnecessary. He needs to go.
From what I read – cast members were urging Chapek to speak out against the bill. He finally did. Now he’s being blamed. I’m certainly not defending him. I hate what he’s done to Disney. He shouldn’t have spoken out against it.
If the governor, in all his lack of wisdom, pulls off this childish publicity stunt, the people in the Disney counties are going to be paying for it. Who does the governor think is going to pay for the entire infrastructure – police, firefighters, water usage, roadwork, etc. etc. etc.
From everything I’ve read, the bill doesn’t even say what people think it says. And the ridiculous name it’s referred to as isn’t what it’s about at all. Hopefully, the democrats will start voting and get the governor out of office.
Disney should have stayed well out of this topic. There are many people who whilst not entirely happy with the bill understand some of the impetus behind it.
There is a fine line between progressiveness and indoctrination and I think some in the LGBT community have been moving more to the latter. When you push people too far particularly concerning young children you will get pushback which is only going to hurt the LGBT community in the long run. This is being seen in the UK as well as the US.
On the other hand DeSantis is an idiot who will burn down everything around him to satisfy his ego.
The sad thing is before they started getting involved in such topics I had always thought that Disney was actually pretty effective at bringing people together. I’ve been to WDW many times and it seems to be the one place were the vast majority of people seem pretty happy and rub along together regardless of socioeconomic status, political persuasion, ethnicity, sex, sexual orientation, disability and age.
For all of you who claim the residents of Osceola and Orange Counties will pay for Disney’s infrastructure: NO.
If/When the RCID goes away, Disney will have to pay taxes and for service on for the utilities that they built. Insult to injury, and well deserved by Disney. They will be paying for water, electricity, sewage, etc. that they use, just like any other business. Local residents WILL NOT be paying for Disney’s operations; Disney will be paying for everything that they have NOT been paying for all along.
From the legislators that I have heard explain all of this, this is going to be a slam-dunk for Florida. Disney is going to be paying even more for it’s own operations, as well as taxes being paid INTO Orange & Osceola counties AND The Free State of Florida.
Don’t California My Florida!
For those that are ok with the fact that this is occurring, and live in FL, you need to do your research about what this is ACTUALLY going to mean for you. Disney has over a billion dollars that will now be the responsibility of the two counties they are part of. It’s already been reported on CNN that it is estimated that every person in those two districts alone will now be responsible and have their taxes go up between $2,300 and $2,800 a year. Disney already was paying taxes, more then their neighbors, now they won’t be required to pay as much, because they are labeled differently. They were also contributing to the communities in many ways. DeSantis got his ego bruised and now Floridians are going to be paying the price. So happy we never moved there. This is going to hurt the state FAR more then it will hurt Disney.
Disney is too big to fail, so this won’t have too much of an impact on them. The bad thing is that the counties where Disney Property’s exist will now have to absorb the all the debt RCID has and they will now have to pay for all infrastructure cost and maintenance which will probably mean tax increases for residence and business’s. Yeah they make some of it back with new Disney taxes, but it won’t be enough to do what Disney does to maintain the infrastructure. All this because a little man acting like a spoiled child got mad because someone didn’t agree with him.
“Make Disney like the rest of Florida”? We’ve all seen the rest of Florida…that would not be an improvement.
For those that live in FL and don’t think this is actually going to effect you and think that this will mean that Disney will pay more…. this is what the Orange County Tax Collector even said to that account:
According to Orange County Tax Collector Scott Randolph, dissolving the Reedy Creek Improvement District would be a financial burden on local residents with no gain. If RCID is dissolved, “it’s zero revenue, but [Orange County taxpayers] take on the obligations,” Randolph said in an interview with WKMG-TV (Orlando’s CBS affiliate). “If Reedy Creek is dissolved, my guess would be Orange County would have to raise property taxes 15 to 20%,” Randolph stated. Orange and Osceola residents would take on the burdens of fire fighting, wastewater, power, road maintenance, and more at Walt Disney World, all that without additional revenue. Randolph said that it would “punish” local taxpayers more than Disney.
By dissolving Reedy Creak, they will also now not be responsible for the FULL cost of fire protection, emergency medical services, potable water production, treatment, storage, pumping & distribution, reclaimed water distribution, chilled and hot water systems, wastewater services, drainage and flood control, electric power generation & distribution, and solid waste and recyclables collection & disposal. The counties they reside in will be. The residents in those counties will absorb the FULL cost.
This also does not even start to address that the RCID also has $1 billion to $2 billion in bond debt. This debt is NOT Disney’s… it’s the communities. This debt will now ALSO be dispersed to the local communities to help pay off.
FL-Dad: the legislators you have heard from are a bit biased. Disney has paid a fair share of taxes. They pay property tax on their land to the county like any other landowner. They pay extra taxes in the millions to RCID for infrastructure upkeep. If RCID goes away so does the millions in taxes Disney pays to RCID but Disney would still pay the hefty property tax on 40 square miles of property. Without RCID the county would “service” the disney property without the extra tax that Disney paid RCID plus inherit the bond debt RCID has for the property. Sounds like a win win for disney and a loss for the taxpayers. I believe that RCID will be gifted back to Disney at the local county level not the state level because the county doesn’t want the nightmare to deal with….no extra revenue and much more expense.