DeSantis strips Disney World of its self-governing power in Florida: 'There's a new sheriff in town'
- DeSantis has officially stripped Disney World of its self-governing status.
- He now gets to oversee the district that's housing Disney through a state-run board.
Republican Gov. Ron DeSantis abolished Walt Disney World's special authority on Monday, nearly 11 months after the company spoke out publicly against his controversial education agenda.
The new law, which gives the governor more power over Disney World, locks in a legislative win for DeSantis, who is expected to mount a 2024 presidential run in the months ahead.
The DeSantis-Disney battle marked one of the most prominent examples of how DeSantis has used the power of state government to overrule corporations and local entities, breaking with stated political philosophies of other conservatives.
The governor retaliated against the family-favorite resort and theme park, which is also the largest private employer in the state, after the company publicly pledged to work toward repealing a law employees and LGBTQ rights advocates called "Don't Say Gay."
"Today, the corporate kingdom finally comes to an end," DeSantis said during a press conference on Monday, held at a fire station on Disney property. "There's a new sheriff in town, and accountability will be the order of the day."
DeSantis also his new nominations for the board. They include Bridget Ziegler, who co-founded the conservative Moms for Liberty and is wife to Christian Ziegler, the new chair of Republican Party of Florida. He made lawyer Martin Garcia of Tampa, whose private investment firm contributed to DeSantis' election, the new chair.
DeSantis also appointed Seminole County attorney Michael Sasso; Ron Peri, CEO of The Gathering USA, a Christian ministry; and Clearwater attorney Brian Aungst to the board.
Under the law, the state senate has to confirm the new board members. They're set to meet next week, DeSantis said.
The end of Disney's special district
Disney's district previously was controlled under the name Reedy Creek Improvement District. Under the new law, the district is renamed to the Central Florida Tourism Oversight District. The board will have the power to control property taxes, issue bonds, and control services such as roads, sewer systems, parking, and fire protection.
Ever since Disney founded its Florida theme park in 1967, it got to pick most board members for its district because it owned a majority of the land. That gave Disney exceptional control over zoning and infrastructure, essentially giving the company the same kind of power that a county government would have.
Under the new law, board members cannot be employees, owners, or operators at Disney World.
DeSantis signed a bill into law to dissolve the district last year, but several questions were left unanswered about how the district would run, including how to pay off Reedy Creek's nearly $1 billion in debt. DeSantis said the new law, written by the legislature during a special session in February, would help ensure that Disney would pay the debt versus the residents of Orange and Osceola Counties.
Disney did not immediately respond to a request for comment from Insider.
DeSantis said several times during the press conference that Disney World now had to follow the same rules as other Florida theme parks. Universal Studios, for instance, didn't have the same arrangement with the state as Disney.
"These are decades of subsidies and benefits that have really accumulated to this one powerful company, and now we're basically just on an even playing field, and what's good for SeaWorld is good for Disney," DeSantis said.
Democratic state Rep. Anna Eskamani of Orlando criticized the governor in a statement, saying that the move from DeSantis "seals his hostile takeover" of the district and accused him of appointing "conservative cronies" to the new board.
"It's absolutely wild to see a self-proclaimed capitalist like DeSantis celebrate the government takeover of a private board," she said.
State Sen. Jason Pizzo, a Democrat representing parts of Broward and Miami-Dade, predicted this month that Disney was angling to challenge the law in court and then drag out the issue until DeSantis leaves office to run for president.
Criticism has also come from fellow Republicans. Former Vice President Mike Pence, who is also expected to mount a presidential run, said last week on CNBC's "Squawk Box" that he thought DeSantis went too far.
"Disney stepped into the fray, they lost, but then the taxing authority — that was beyond the scope of what I, as a conservative, limited-government Republican would be prepared to do," he said.
The origins of DeSantis taking on Disney
At the heart of DeSantis action against Disney is the company's public objections to Florida school laws colloquially known as "don't say gay."
Formally known as the Parental Rights in Education Act, the law bans teachers from instruction about sexual orientation and gender identity in kindergarten through third grade, though it also contains ambiguous language that such instruction in higher grades must be "age appropriate or developmentally appropriate."
Some Florida school boards have shown they're confused about how to follow the new rules about teachings, and critics have said they're worried about chilling the speech of LGBTQ teachers or parents, and about students being bullied or outed to families who don't accept them.
Disney's then-CEO Bob Chapek at first attempted to to remain on sidelines, but after bill's passage, Chapek emailed Disney employees apologizing for not opposing the bill, and promised to halt all political donations in Florida.
DeSantis divulges in his forthcoming book, "The Courage to Be Free," out Tuesday, that Chapek called him to complain about the "pressure" he faced from employees, according to an excerpt provided to Fox News.
His successor, Bob Iger, hasn't said how the company would fight Florida but told employees during a town hall leaked to CNBC that "one of the core values of our storytelling is inclusion and acceptance and tolerance."