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DeSantis says he's considering adding new taxes and tolls at Disney World to punish the company over its power play

Apr 7, 2023, 22:18 IST
Business Insider
Republican Gov. Ron DeSantis of Florida warned on April 6 that his battle with Walt Disney World wasn't over.Andrew Lichtenstein/Corbis via Getty Images and Joseph Prezioso/Anadolu Agency via Getty Images
  • GOP Gov. Ron DeSantis acknowledged Disney had "tried to pull a fast one" over control in Florida.
  • Speaking in Michigan, he warned more acts of retaliation were ahead.
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Republican Gov. Ron DeSantis of Florida has pledged he isn't done with trying to control Walt Disney World.

During a book tour stop in Midland, Michigan, on Thursday, DeSantis acknowledged that Disney had "tried to pull a fast one on their way out the door" by quietly creating a loophole to retain power over its land. He pledged that the company, which had benefitted from a special carve-out for decades, would eventually pay its debts and taxes.

"All I can say is: That story's not over yet," DeSantis said. "Buckle up. There's going to be more coming down the pike."

The governor expanded on his remarks on Thursday evening, in a separate event at conservative Hillsdale College. DeSantis said the legislature would void Disney's actions and also consider taxes on hotels, new tolls, and developing properties. He said even more actions would come over the next month or two.

"We are going to win on every single issue involving Disney," he said.

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The DeSantis-Disney feud first began in early 2022. Disney drew DeSantis' ire after its leaders said publicly that the company would work to repeal the Parental Rights in Education Act, the legislation LGBTQ rights groups and Democrats have derided as "Don't Say Gay," because it limits classroom instruction about gender identity and sexual orientation.

DeSantis worked with the legislature twice to punish the company by targeting a provision long on the books that gives Disney special self-governing privileges in Florida — privileges that many other businesses, including rival theme parks such as Sea World and Universal Studios, don't have.

First DeSantis signed a bill into law in April 2022 to dissolve the Reedy Creek district that oversees Disney. But when it was revealed the measure could have resulted in residents taking on a sizeable amount of debt through higher taxes, the legislature sent DeSantis a new bill in February 2023, during a special session, that would allow the governor to appoint a board to control the district.

Disney, however, had written in a loophole that allows it to keep the majority of its power, virtually in perpetuity, and that renders the board mostly toothless.

The DeSantis administration appeared to have been caught by surprise over the maneuver, and quickly began demanding information about what happened.

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Last week, Florida Attorney General Ashley Moody requested texts, emails, and other public records from the former board members of the Reedy Creek Improvement District. DeSantis this week asked the state inspector general to look into Disney's power play, including by assessing whether the mega-corporation's executives, staff, or agents were involved.

"One powerful corporation should not be outside the contours of the law," DeSantis said in Michigan. "They need to be held accountable, and we are going to make sure that happens."

The governor's appointees to the board, who were intended to oversee Disney, are consulting with four different law firms over the matter, according to the Orlando Sentinel. Disney has said its move was "discussed and approved in open, noticed public forums."

DeSantis' promotional book tour is widely viewed as a soft campaign to lay the groundwork for an official 2024 presidential run, one that would pit him against former President Donald Trump, who tops national polls by a wide margin.

On his book tour stops, DeSantis frequently boasts about taking on Disney over the Parental Rights bill, which he said was necessary to protect children. Should he fail to come out on top in the battle, opponents such as Trump could use the saga to undercut DeSantis' image of himself as an effective leader.

On Thursday morning, DeSantis portrayed confidence over the feud.

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"It may have been the case that Disney ran the state of Florida in the 60 years prior to me being governor," DeSantis said, "but they do not run it as long as this sheriff is in town."

April 7, 2023: An initial version of this story ran on April 6, and it has been updated with remarks Florida Gov. Ron DeSantis made at Hillsdale College.

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