Disney's Special Governance Targeted By DeSantis Over 'Don't Say Gay'

FLORIDA — The legislature should expand the scope of this week's special session to consider revoking Disney World's special district status, which gives the Magic Kingdom the right to self-govern, Gov. Ron DeSantis said Tuesday.

In addition to hammering out a congressional reapportionment plan for the next 10 years during the session that began Tuesday, DeSantis will ask lawmakers to consider stripping Disney World of the autonomy it has enjoyed for the past 55 years.

The Disney vs. DeSantis showdown is over the so-called "Don't Say Gay" bill, which goes into effect July 1.

DeSantis has been embroiled in a battle with Disney World over the passage of House Bill 1557 last month. The ambiguously worded bill would prohibit or restrict classroom instructors for kindergarten through third grade from discussing sexual orientation or gender identity "in a manner that is not age appropriate or developmentally appropriate for students in accordance with state standards."

Critics say the Parental Rights in Education bill is an attempt to ban LGBTQ topics and force teachers and students to conceal their sexuality. Activists say it sets a dangerous precedent.

Just as youngsters are becoming more comfortable with the idea of being gay or identifying with a different gender, activist groups like Equality Florida said the law will force these students back into the closet, causing depression, confusion and suicidal behavior.

Additionally, gay and transgender teachers feel the law will inhibit their freedom to be themselves for fear they will lose their jobs, thus the derogatory nickname for the law, "Don't say gay."

"Over time and continuing today, our nation has strived to make good on its promise that everyone is entitled to be treated with equal dignity under the law," said attorney Roberta Kaplan, who has filed a federal complaint in the United States District Court for the Northern District of Florida challenging Florida House Bill 1557.

"With the passage of HB 1557, Florida has not only taken a giant step backwards, but it has done so at the expense of our children, the most vulnerable members of society," Kaplan said. "It is hard to imagine anything more offensive to our constitutional system than treating one group of school kids as second class based solely on who they are or who their parents are. This law cannot be allowed to stand."

The lawsuit was filed on behalf of Equality Florida and Family Equality, as well as students, parents and a teacher.

"By design, HB 1557 constructs a statutory scheme in which any rational person who discusses or acknowledges any aspect of LGBTQ identity must fear running afoul of the law," Kaplan said. "The effect of HB 1557 is thus to chill the rights of teachers, students and school officials, who, like any rational person, will avoid the danger zone created by a state-mandated censorship code."

Following the signing of by DeSantis last month, Disney World issued a statement condemning the bill.

“Florida’s HB 1557, also known as the ‘Don’t Say Gay’ bill, should never have passed and should never have been signed into law," said Disney World in a statement to Patch. "Our goal as a company is for this law to be repealed by the Legislature or struck down in the courts, and we remain committed to supporting the national and state organizations working to achieve that. We are dedicated to standing up for the rights and safety of LGBTQ+ members of the Disney family, as well as the LGBTQ+ community in Florida and across the country.”

Criticized for failing to react to the bill before it was too late, Disney CEO Bob Chapek also sent out a personal apology to LGBTQ employees and the LGBTQ community at large.

"Thank you to all who have reached out to me sharing your pain, frustration and sadness over the company’s response to the Florida 'Don’t Say Gay' bill," Chapek wrote. "Speaking to you, reading your messages and meeting with you have helped me better understand how painful our silence was. It is clear that this is not just an issue about a bill in Florida, but instead yet another challenge to basic human rights. You needed me to be a stronger ally in the fight for equal rights and I let you down. I am sorry."

He said the global entertainment company should have used its influence to do more to promote inclusion and support the LGBTQ community.

"Our employees see the power of this great company as an opportunity to do good. I agree. Yes, we need to use our influence to promote that good by telling inclusive stories, but also by standing up for the rights of all," he said.

He vowed to fight similar legislation in other states.

"We are hard at work creating a new framework for our political giving that will ensure our advocacy better reflects our values," Chapek said. "And today, we are pausing all political donations in the state of Florida pending this review. I missed the mark in this case but am an ally you can count on—and I will be an outspoken champion for the protections, visibility and opportunity you deserve."

Chapek's comments ruffled DeSantis' feathers.

“For Disney to come out and put a statement and say that the bill should have never passed and that they are going to actively work to repeal it, I think, one was fundamentally dishonest but, two I think that crossed the line,” DeSantis said Tuesday.

“They have gotten essentially this one corporation put on a pedestal and treated differently, not only than other businesses, but even than other theme parks,” DeSantis said.

DeSantis' response to Chapek's statement was to flex the state's muscles by suggesting Florida take away Disney World's status as a independent taxing district.

Disney World's Special Governance

It was Disney Co. founder Walt Disney himself who first went before the Florida Legislature before his death in December 1966 to establish the special taxing district for the Reedy Creek area, which eventually became Disney World.

Throughout Florida, more than 1,800 active special districts provide more than 80 specialized governmental functions, such as water management, soil and water conservation, building roads and making drainage improvements, preserving conservation lands and providing fire protection.

The special districts can levy taxes, issue bonds, elect officers and set standards for development.

Reedy Creek Improvement District, created in 1967 by a special act of the Florida Legislature and governed by its own charter, oversees economic development and tourism within Disney's 25,000 acres in Orange and Osceola counties.

This includes four theme parks, two water parks, one sports complex, 175 miles of road, 67 miles of waterway, the cities of Bay Lake and Lake Buena Vista, an environmental science laboratory where water quality is monitored, an electric power-generating and distribution facility, a natural gas distribution system, water and wastewater collection and treatment facilities, a solid waste and recyclables collection and transfer system, plus more than 40,000 hotel rooms and hundreds of restaurants and retail stores.

The Reedy Creek Improvement District also oversees land uses and provides public services including fire protection and emergency medical services.

If the district is dissolved, as DeSantis proposes, Disney World would be subject to the state and county laws of any other developer and would lose the authority to make its own decisions regarding architectural standards, expansion plans, fire protection, waste collection and water treatment facilities.

Disney World would also lose certain tax exemptions and be subject to impact fees, which could cost the theme park millions.

That's fine by state Rep. Spencer Roach (R-Fort Myers). He tweeted March 30 that legislators should take away the tax breaks Disney World has been receiving from the state for attracting jobs and tourism, estimated at $21 million a year.

"Yesterday was the second meeting in a week with fellow legislators to discuss a repeal of the 1967 Reedy Creek Improvement Act, which allows Disney to act as its own government," he said in his tweet. "If Disney wants to embrace woke ideology, it seems fitting that they should be regulated by Orange County.

Disney's Economic Affect On Florida

However, in a 2009 Florida State University Law Review of the Reedy Creek Improvement Project, author Chad D. Emerson said stripping Disney World of its independent taxing district could have serious consequences for the state.

If not for the tourism dollars generated by Disney World, he said Florida taxpayers would pay an average of $476 more in taxes a year.

Emerson noted that, back in 1967, Disney commissioned a study of the theme park's potential financial impact on the state and found that Disney World would generate more than $6.6 billion in new wealth for Florida. Visitor expenditures would exceed $3.9 billion, payrolls would be $2.2 billion and the theme park would generate $243 million in sales taxes.

Adjusting for inflation, those numbers today increase to more than $51 billion in new wealth, $33.5 billion in visitor expenditures, $19 billion in payrolls and $2 billion in sales taxes.

Moreover, said Emerson, the National Wildlife Federation lauded Disney's Reedy Creek project for “many innovations designed to solve a host of current environmental problems."

Those innovations include:

• Seventeen dams and an extensive dike system to protect the project’s conservation area
• A compressed-air trash removal system that delivered trash to a central management area
• A storm water and waste water system developed in conjunction with University of Florida experts designed to “render sewage harmless and even profitable”
• Power generation techniques designed to reduce thermal pollution
• Alternative pest control methods designed to limit the use of certain chemicals.

Disney wouldn't have the freedom to pursue these innovations without the special district.

His paper concluded that Disney provides a lot more benefits to the state of Florida than the state provides to Disney World.