Shots Across the Bow: DeSantis Requests Investigation Into Disney Over Reedy Creek Shenanigans

AP Photo/Ron Johnson

Last week, I shared the news that Disney is still trying to play hardball with Florida. The outgoing board of the Reedy Creek Improvement District (RCID) — the quasi-governmental agency that for decades allowed Disney to manage its own properties without government oversight — enacted a series of development agreements and covenants on its way out the door that purported to allow Disney to retain control.

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These last-minute machinations happened right before the board of the new special use district that the state of Florida set up was prepared to take office. That board, whose members serve at the behest of the state government, hired a cohort of high-powered attorneys to examine the agreements and covenants for loopholes or weaknesses that can invalidate the actions.

The same day, the office of the Florida Attorney General filed a Freedom of Information Act (FOIA) request for any communication between the RCID board members and any information which that board used in making its decisions.

“Please limit your search to documents discussing an intention or goal of circumventing, avoiding, frustrating, mitigating, or otherwise attempting to avoid the effects of anticipated actions by the Florida Governor and Florida Legislature,” an email from James H. Percival, chief of staff for Florida Attorney General Ashley Moody, to the RCID board members read.

It’s obvious that Disney has underestimated who it’s messing with, and Gov. Ron DeSantis has fired yet another shot across the bow by requesting an investigation into Disney’s RCID shenanigans.

Related: Pop Some Popcorn: Florida Files FOIA Request for Info About Disney’s Reedy Creek Maneuvers

PJ Media received a copy of a letter from DeSantis to Florida Chief Inspector Melinda Miguel requesting that her office investigate the RCID board’s actions. The letter reads in part:

Recently, the new [Central Florida Tourism Oversight District (CFTOD)] board members informed the public that they had uncovered that, immediately before the enactment of House Bill 9-B, the RCID Board of Supervisors attempted to enter into last-minute development and restrictive covenant agreements with Walt Disney Parks and Resorts U.S., Inc. (Walt Disney World), designed to usurp the authority of the CFTOD board. These collusive and self-dealing arrangements aim to nullify the recently passed legislation, undercut Florida’s legislative process, and defy the will of Floridians. In addition, based on initial observations of counsel, the RID board’s actions appear to suffer from serious legal infirmities, including, among other things, inadequate notice, lack of consideration, improper delegation of authority, and ethical violations, such as conflicts of interest and self-dealing.

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DeSantis gives no quarter in the letter’s rhetoric — I’m a little jealous of his team for coming up with the phrase “collusive and self-dealing arrangements” — and he’s specific about what he expects the investigation(s) to cover:

  • RCID’s adherence to applicable Florida civil and criminal laws and ethics requirements;
  • The qualifications of RCID’s prior Board of Supervisors and the legal validity of their actions;
  • The involvement of Walt Disney World employees and agents in the execution of RCID’s actions;
  • Any financial gain or benefit derived by Walt Disney World as a result of RCID’sactions and RCID’s justification for such actions;
  • All RCID board, employee, or agent communications related to RCID’s actions, including those with Walt Disney World employees and agents; and
  • All RCID board, employee, or agent communications related to House Bil 9-B, Reedy Creek Improvement District, Orange, and Osceola Counties, and the CFTOD.

The letter concludes with the governor’s instructions to turn the results of any investigations over to the proper authorities.

“The agreements the prior RCID board attempted to shove through at the 11th hour are likely invalid, and all legislative options are back on the table,” said Deputy Press Secretary Jeremy Redfern in an email (emphasis in the original).

“Disney is again fighting to keep its special corporate benefits and dodge Florida law. We are not going to let that happen,” Redfern added. “As Governor DeSantis recently said, ‘You ain’t seen nothing yet.'”

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Last week I suggested that you pop some popcorn. Now it’s time to find your favorite butter or caramel to drizzle on it, too, because this movie is going to run a little longer than Disney wants it to.

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