Disney strips DeSantis' district oversight board of power
Florida lawmakers targeted Disney after it publicly clashed with DeSantis over a law restricting discussion of LGBTQ issues in classrooms
Florida Gov. DeSantis to install state control over Disney's land
Fox News' Brian Kilmeade discusses Florida Gov. Ron DeSantis' fight with Disney and the impact on shareholders.
Disney has landed the latest punch in the fight between the company and Florida Gov. Ron DeSantis concerning Walt Disney World's special taxation district.
Board members picked by the governors to oversee the governance of the former Reedy Creek Improvement District have had their powers muted as the board's predecessors passed restrictive covenants.
The board created by DeSantis is considering legal action.
Florida lawmakers passed a bill in February giving the governor effective control over a board overseeing municipal services and development in a special district encompassing the Walt Disney World resort.
DESANTIS' NEW DISNEY WORLD BOARD HOLDS FIRST MEETING
Florida lawmakers targeted Disney after it publicly clashed with Gov. Ron DeSantis over a law restricting discussion of LGBTQ issues in classrooms. (Jeff Bottari/Zuffa LLC / Getty Images)
But before the takeover by DeSantis' appointees, Disney pushed through changes to the special tax district agreement that limited the board's action for decades, according to the Orlando Sentinel.
FOX Business has reached out to The Walt Disney Company for comment.
Governor DeSantis' office supplied the following statement.
"The Executive Office of the Governor is aware of Disney's last-ditch efforts to execute contracts just before ratifying the new law that transfers rights and authorities from the former Reedy Creek Improvement District to Disney. An initial review suggests these agreements may have significant legal infirmities that would render the contracts void as a matter of law. We are pleased the new Governor-appointed board retained multiple financial and legal firms to conduct audits and investigate Disney's past behavior."
FLORIDA BILL REVOKING DISNEY'S SELF-GOVERNING STATUS HEADS TO DESANTIS' DESK
State Republicans last year targeted Disney after it publicly clashed with DeSantis over a law restricting discussion of LGBTQ issues in classrooms.
Theme park guests walk near a statue of Walt Disney and Mickey Mouse in front of the Cinderella castle in the Magic Kingdom at Walt Disney World in Lake Buena Vista, Fla. (AP Photo/John Raoux, File / AP Images)
Disney's then-chief executive officer, Bob Chapek, publicly voiced disappointment with the measure, saying he called DeSantis to express concern about it becoming law.
Chapek stepped down from the position in November, with former CEO Bob Iger returning.
Bob Iger has returned to Disney as CEO, replacing Bob Chapek. (ROBYN BECK/AFP via Getty Images / Getty Images)
FLORIDA MAY REVERSE DECISION ON DISNEY’S REEDY CREEK DISTRICT: REPORT
The legislation ended Disney's virtual autonomy in developing 25,000 acres in central Florida where its theme parks are located.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| DIS | THE WALT DISNEY CO. | 112.43 | -0.51 | -0.45% |
That district allows Disney to tax itself to cover the costs of providing water, power, roads and fire services in the area.
Reuters contributed to this report.