Disney and the Central Florida Tourism Oversight District reached a settlement Wednesday regarding who controls the special governing district surrounding the Walt Disney World Resort, Fox Business reported.
The tourism organization, backed by Florida Gov. Ron DeSantis, approved the settlement to the lawsuit, which has lasted nearly two years.
“We are glad that Disney has dropped its lawsuits against the new Central Florida Tourism Oversight District and conceded that their last-minute development agreements are null, void, and unenforceable,” Bryan Griffin, DeSantis’ communications director, said in a statement. “No corporation should be its own government. Moving forward, we stand ready to work with Disney and the District to help promote economic growth, family-friendly tourism, and accountable government in Central Florida.”
Disney criticized Florida’s Parental Rights in Education Act – also known as the “Don’t Say Gay” bill. This criticism led the DeSantis administration to revoke the “special Disney-controlled tax district that gave the entertainment autonomy over its theme parks in the region,” Fox Business reported.
“The 2022 law bans classroom lessons on sexual orientation and gender identity in early grades and was championed by the Republican governor, who used Disney as a punching bag in speeches until he suspended his presidential campaign this year,” The Associated Press reported.
The board, appointed by DeSantis, replaced the Disney-controlled Reedy Creek Improvement District.
“This agreement opens a new chapter of constructive engagement with the new leadership of the district and serves the interests of all parties by enabling significant continued investment and the creation of thousands of direct and indirect jobs and economic opportunity in the state,” Jeff Vahle, president of Walt Disney World Resort, said.
“The Central Florida Tourism Oversight District was created to bring public accountability and transparency to one of Florida’s most important destinations,” the board’s vice chair Charbel Barakat told Fox Business in a statement. “We’re proud of the landmark work the District has accomplished and look forward to what lies ahead. With this agreement, we’re eager to work with Disney and other businesses within Central Florida to make our destination known for world-class attractions and accountable governance.”
tion. A federal judge dismissed that lawsuit in January.
Before control of the district changed hands from Disney allies to DeSantis appointees early last year, the Disney supporters on its board signed agreements with Disney shifting control over design and construction at Disney World to the company. The new DeSantis appointees claimed the “eleventh-hour deals” neutered their powersand the district sued the company in state court in Orlando to have the contracts voided.
Disney filed counterclaims that include asking the state court to declare the agreements valid and enforceable.
Under the terms of Wednesday’s settlement agreement, Disney lets stand a determination by the board of DeSantis-appointees that the comprehensive plan approved by the Disney supporters before the takeover are null and void. Disney also agrees that a development agreement and restrictive covenants passed before the takeover are also not valid, according to the settlement terms.
Instead, a comprehensive plan from 2020 will be used with the new board able to make changes to it, and the agreement suggests Disney and the new board will negotiate a new development agreement in the near future.
