Disney quietly shares a statement regarding Florida passing new law

You may be wondering why Disney has been so quiet regarding the new law passed by Florida. They have since shared a statement providing hope for the future of the district.

Fight with Florida

The state of Florida and Disney World have been in a heated match the last several weeks over House Bill 1557 – also called the Parental Rights in Education. You can read more about this in our story HERE.

The tension between the company and the state continue to get worse as state Republicans looked to repeal the Reedy Creek Improvement Act of 1967. Essentially, the law states that Disney is its own governing body in the two cities and land within Orange and Osceola counties.

They can make their own laws, zone their own land, and essentially do whatever they want within those limits. By stripping the company of those abilities, Disney would be regulated by Orange and Osceola Counties. Emergency services would now be responsible for calls on Disney property. Disney would also have to seek approval for new attractions, restaurants, and hotels.

Both the Florida Senate and House met last week and both voted on the bill to dissolve the Reedy Creek district. Then, it went to the Ron DeSantis’s desk, and he signed it into law. Shortly after, Disney stock dipped the lowest it’s been in a year.

Disney’s Statement

There is no doubt Florida rushed to pass this bill. According to the Miami Herald, in doing so they failed to notice a provision in state law that says the state could not do what legislators were doing — unless the district’s bond debt was paid off.

Disney, however, noticed and quietly sent a note to its investors to show that it was confident the Legislature’s attempt to dissolve the special taxing district operating the 39-square mile parcel it owned in two counties violated the “pledge” the state made when it enacted the district in 1967, and therefore was not legal.

The result, Disney told its investors, is that it would continue to go about business as usual.

This is the only official statement has shared. You can find it in its entirety HERE.

In short, Disney’s bond debt must be paid off before Florida legislators can attempt to dissolve the Reedy Creek Improvement District. We will continue to see how this plays out in the future.

What are your thoughts on the new law and Disney’s statement? Share your thoughts in the comments below and on Facebook, but please, keep them kind!