Walt Disney World has issued a subpoena for former Reedy Creek Improvement District (RCID) Administrator John Classe seeking various documents and information from his tenure with the District.
John Classe was the District Administrator for almost a decade. When RCID became the Central Florida Tourism Oversight District (CFTOD), Classe stayed on for the transition.
The new Board of Supervisors chose Glen Gilzean Jr. to replace Classe. When Gilzean took over the position in May, Disney added him as a defendant in their lawsuit against the District and Florida Governor Ron Desantis.
Classe signed a 1-year contract to stay on as a Special Advisor but it was later terminated and he ceased work with the District by July. He was removed from Disney’s lawsuit.
Now Disney is seeking documents from Classe concerning the preparation and any analysis of the 2022 Comprehensive Plan, 2023 Development Agreement, 2023 Restrictive Covenants, and the Land Development Regulation Amendments, as well as documents related to the District’s authority to enter into those agreements, any decision to provide or not provide public notices for the Agreements, whether the Development Agreement impacted property owners, and communications with property owners about the Development Agreement.
The CFTOD Board attempted to declare these agreements null and void, which is what led Disney to file their federal lawsuit against DeSantis and the District.
Disney is also looking for documents about the financial impact of their future development activities, concerning the appointment of the District Board of Supervisors, and various communications between Classe, CFTOD, and third parties.
The subpoena calls for John Classe to appear with the documents and testimony on October 31, 2023.
The Central Florida Tourism Oversight District (CTFOD) board, now in charge of the former Reedy Creek Improvement District, has publicized emails that they claim show illegal action by Disney.
Before following Republican Governor Ron DeSantis’s orders to dissolve the district in February, Reedy Creek quietly rushed a development agreement that effectively rendered the board powerless. Beyond municipal maintenance, most of the former board’s power went back to Walt Disney World Resort. CTFOD is forbidden from using Disney-owned trademarks or making significant changes until 22 years after the death of the last current living descendant of King Charles III.
DeSantis bashed Disney in response, promising legal action, threatening increased tourism taxes, and suggesting he would build a state prison just steps from Walt Disney World Resort. Amidst consulting with legal counsel, the CTFOD board leaked emails between Disney lawyers and Reedy Creek board members.
First obtained by FOX News, the emails allegedly show Walt Disney World Resort chief counsel John McGowan attempting to hide The Walt Disney Company’s involvement in the last-minute scheme against DeSantis.
“My name is currently at the top of the document as a drafter,” McGowan allegedly wrote. “And I am comfortable having my name on it, but from an optics perspective that is not ideal and it would be better to have a non-Disney employee be the drafter.”
McGowan’s name was later removed from the document, which DeSantis claimed was “designed to usurp the authority of the CFTOD board.”
During its meeting on Wednesday, DeSantis’s hand-picked board voted to eliminate the former Planning Board and appointed itself to the task. After officially taking over, board members introduced agenda items like forbidding COVID-19 vaccine and mask mandates on Reedy Creek property.
Have we seen a potential run for the White House implode before it has even gotten started? We have been tracking this situation very carefully and agree with alot of the sentiment in the following article. While we agree that former CEO of Disney Bob Chapek handled their stance terribly, and that we would love to see Disney stay out of politics altogether, Governor DeSantis’ response has just been anti-free speech and anti-business.
The following article was written on DisDining.com by Jill Bivins and lays out a very common sense and nonpartisan approach to this whole situation between Disney and Governor DeSantis. Take a read and decide whether you agree or not.
“It seems someone forgot to tell Governor Ron DeSantis that buying is wrong. It also seems that someone forgot to tell him that the only thing harder to fight than city hall is a beloved American institution with an army of the best lawyers money can buy. Despite this, DeSantis keeps doubling down on his fight with Disney.
Thus far, Disney has remained in the shadows. They have been making moves without causing a ruckus. Their position seems to be, “We don’t want to fight, but you’re not going to Railroad us.” DeSantis, on the other hand, seems to be intent on destroying Disney at all costs.
When Disney first opposed the Parental Rights in Education Act, DeSantis had a fit. He vowed to make them pay, yet whenever he thinks he has them cornered…they find a way to circumvent him (see: “No Records Exist” Disney Outsmarts DeSantis AGAIN). Rather than accepting defeat with dignity or even acting like the career politician he is and spinning it (“this was my idea all along”), he has publicly melted down.
His latest temper tantrum involves threatening to build a state prison next to Disney. He’s also done everything he can to thwart the company’s growth (see: DeSantis makes Disney’s 5th theme park illegal). These moves are shockingly anti-business and anti-free speech coming from a Republican.
With rumors swirling that he has his eye on a Presidential bid, one would think he would be a little more politically savvy than he has been. It’s hard to say you’re the best candidate for the GOP when you’re actively flying in the face of two of the party’s major platforms. The President is sworn to uphold the Constitution, including freedom of speech, and bringing down the full force of government on a business for daring to disagree isn’t a good look for someone with their eye on the Oval.
While he could be commended for standing by his convictions in the face of opposition to his Parental Rights in Education Act, his reaction to Disney’s stance on it has been entirely uncalled for. He is behaving like a bully, not like a president. This type of behavior won’t go well for him if he hopes to become Commander in Chief. The American people want someone they can rely on to be level-headed and diplomatic in the face of adversity. He is proving himself to lack both characteristics.
There was a time when I was all for a DeSantis presidency. Now…not so much. When you occupy high political office, you look out for your constituents, not your ego. Having a tantrum that threatens the largest employer in your state isn’t looking out for anyone, not even DeSantis himself, because he is committing political suicide.
Is it too late to right the wrongs he’s done and woo back the would-be voters he has lost due to petulance? Perhaps. Only time will tell, but he’d be foolish not to try. He needs to focus on improving his state and leave behind this silly war he will not win. He needs to remember his ego takes a back seat to keeping the citizens of his state employed. He needs to prove he has the maturity required to occupy the position he currently holds, as well as any future position he has his eye on. His temper tantrums make for an amusing spectacle, but in this arena, the Mouse will always outmaneuver him because he is playing a game he is vastly underqualified for. Entertainment is Disney’s wheelhouse, not his.”
The Central Florida Tourism Oversight District will have a busy meeting on April 19, during which they will discuss their resolution for “Superior Authority” and meet with legal counsel regarding Disney and Reedy Creek Improvement District’s last-minute agreements.
The meeting agenda includes a report from the board’s general counsel and a presentation by the litigation counsel. The board has hired lawyers Cooper & Kirk, whose proposed costs were $795/hour, and Lawson, who was $495/hour. There will also be a presentation by the Public Resources Advisory Group (PRAG) and a presentation regarding state oversight.
New business includes “Direction to District staff and PRAG to cooperate with Inspector General’s investigation.” Florida Governor Ron DeSantis ordered Melinda Miguel, Chief Inspector General of the State of Florida, to investigate potential civil and criminal violations of Walt Disney World and the previous Reedy Creek Improvement District Board of Supervisors.
Resolutions No. 638 and No. 639 are on the public hearings portion of the agenda. Resolution No. 630 creates “rules and procedures for the Board of Supervisors and governing procedures, conduct and decorum for meetings of the board; providing for severability, conflicts and an effective date.”
Resolution No. 639 is the one previously reported on that would amend article 6, chapter 6-90 and article 7, chapters 7-20 and 7-30 of the RCID Land Development Regulations. These amendments ensure the new board has authority over the “reviewing, processing, evaluating, commenting on and approving, approving with conditions or denying applications for development orders throughout the District, including within the jurisdictional limits of City of Lake Buena Vista and the City of Bay Lake.”
A second reading and public hearing are set for April 26, 2023. Experts say this resolution may not be effective in taking control from Disney.
Also as previously reported, the Board of Supervisors is planning to replace the current Planning Board. “Remove from office and terminate all Planning and Zoning Board members and appoint the Board of Supervisors to serve as the local planning agency” is on the agenda, assuming Resolution No. 639 will pass. This means the Board of Supervisors would be “the final decision-making authority for the District” and that “no further administrative appeal is available” after the board has made a decision. The members of the Planning Board have term limits of three years, but the Board of Supervisors plans to remove term limits.
Following that agenda item is “Discussion and potential action regarding the selection of an urban planning firm to assist the District in the review and evaluation required by the District’s enabling act.”
Business also includes adding a Fourth Amendment to the Tide Bay Solar Facility PPA and “Board discussion and potential action regarding direction to District staff and legal counsel and priorities of the Board for future agendas.”
Other business is an executive session on union negotiations, which is a closed meeting.
DeSantis v. Disney
While tensions cooled between Governor DeSantis and Disney as last year came to a close, the spark reignited once again earlier this year when Disney passed several laws which restricted the power of his newly-appointed Central Florida Tourism Oversight Board, designed to replace the Reedy Creek Improvement District. The new board was designed as retaliation for Disney’s outspoken response to a bill last year which restricted educators from teaching any LGBTQ+-related concepts to students.
Though they were publicly available, Reedy Creek and Disney’s final agreements shocked DeSantis and his board, who expressed disbelief at Disney’s actions and retained multiple law firms to fight the agreement in court. DeSantis later ordered a criminal investigation into Disney and the old board.
At the time, the Executive Office of the Governor reached out to WDWNT with this statement from Communications Director Taryn Fenske:
“The Executive Office of the Governor is aware of Disney’s last-ditch efforts to execute contracts just before ratifying the new law that transfers rights and authorities from the former Reedy Creek Improvement District to Disney. An initial review suggests these agreements may have significant legal infirmities that would render the contracts void as a matter of law. We are pleased the new Governor-appointed board retained multiple financial and legal firms to conduct audits and investigate Disney’s past behavior.”
Disney responded with their own statement:
“All agreements signed between Disney and the District were appropriate, and were discussed and approved in open, noticed public forums in compliance with Florida Government in the Sunshine law.”
At Disney’s annual shareholder meeting, CEO Bob Iger accused Gov. DeSantis of punishing Disney for exercising their right to free speech. “We love the state of Florida,” he said, citing the company’s various investments in the community over the years and saying he respected and appreciated what the state has done for Disney in the past. “Any action that thwarts these efforts simply to retaliate is anti-business and anti-Florida.”
DeSantis also promised to double down on his efforts to punish Disney through methods both in the Legislature and the Central Florida Tourism Oversight Board. Notably, he promised to hike Disney’s hotel taxes and institute tolls on the roads around Walt Disney World Resort property now administered by the CFTOB.
In an interview with Time, Iger said, “If the governor of Florida wants to meet with me to discuss all of this, of course, I would be glad to do that.”
The Walt Disney Company CEO Bob Iger was named one of Time’s most influential people of 2023 and sat down for an interview with the magazine. During the interview, Time asked Iger about Disney’s ongoing feud with Florida Governor Ron DeSantis, sparked by Disney’s denouncement of Florida’s Parental Rights in Education bill last year.
Time asked Iger, “Did you checkmate Ron DeSantis?” referencing the recent reveal that the Reedy Creek Improvement District had, just before DeSantis’ board took over, passed a number of restrictive covenants which handed most of the District’s power to Disney for a period of at least thirty years.
“Disney World opened just over 50 years ago,” Iger said. “It was the vision and the dream of Walt Disney, probably the most ambitious thing he ever did—turning swampland in Central Florida into a business that employs over 75,000 people, that is visited by tens of millions of people every year, that is a major tourist destination in the United States, and for the state of Florida, that creates huge value for our company and its employees, and for the state of Florida itself. Our sole goal in Florida is to continue creating that value for all those constituencies. All we want is a relationship with the state that enables us to continue to do that. We have the wherewithal and we have the desire to continue to invest there to grow that business so that we can hire more people so that we can increase our attendance, and so that we can basically increase more value for the Walt Disney Company and for the state of Florida. It’s that simple.”
Time continued, “Usually, you’re very much a let’s-sit-down-and-get-past-our differences guy, and much less a let’s-go-to-the-mattresses guy. Is there no trying to meet with the governor?”
“I do not view this as a going-to-mattresses situation for us,” Iger said. “If the governor of Florida wants to meet with me to discuss all of this, of course, I would be glad to do that. You know, I’m one that typically has respected our elected officials and the responsibility that they have, and there would be no reason why I wouldn’t do that.”
Earlier this month at Disney’s annual shareholder meeting, Iger accused Gov. DeSantis of punishing Disney for exercising their right to free speech. “We love the state of Florida,” he said, citing the company’s various investments in the community over the years and saying he respected and appreciated what the state has done for Disney in the past. “Any action that thwarts these efforts simply to retaliate is anti-business and anti-Florida.”
Reedy Creek’s final moves shocked DeSantis and the Central Florida Tourism Oversight District board, who expressed disbelief at Disney’s actions and retained multiple law firms to fight the agreement in court. DeSantis ordered a criminal investigation into Disney and the old board.
DeSantis also promised to double down on his efforts to punish Disney through methods both in the Legislature and the Central Florida Tourism Oversight Board. Notably, he promised to hike Disney’s hotel taxes and institute tolls on the roads around Walt Disney World Resort property now administered by the CFTOB.
