Florida Senate Passes Bill To End Disney’s Tax Privilege And Self-Government Status

Earlier this week, the Republican-led Senate in Florida passed a measure that would abolish Walt Disney’s Tax Privilege, which has enabled it to self-govern its property since it was established in 1971.

After Republican Gov. Ron DeSantis declared on Tuesday that legislators would “consider termination of all special districts that were announced in Florida prior to 1968 — and that includes the Reedy Creek Improvement District” the Florida House is also anticipated to vote in support of the proposal.

Disney’s tax privilege

Disney has complete control over the local police and fire agencies in the Orlando area thanks to a special tax district. According to a source familiar with the firm’s finances, it presently saves the corporation tens of millions of dollars a year in exemptions from numerous rules, taxes, and fees.

The Reedy Creek Improvement District was established in 1967 to help with “economic growth and tourism within District limits” by “supporting and administering” several areas. Aside from running and maintaining public roads and bridges under the deal, Disney has been in charge of environmental regulations.

Disney’s tax privilege

The Senate voted 23-16 in favor of the bill, which would end the agreement in June of 2023. About six districts throughout the state will be affected. According to the Journal, Reedy Creek is the only one tied to a well-known corporation. The Post’s request for comment from Disney was not immediately returned.

Disney’s tax privilege

It is the latest volley in the continuing battle between DeSantis and Disney over the newly adopted law limiting education relating to gender identity or sexual orientation for children in kindergarten through third grade. Critics, notably Disney, contend that the rule discriminates against the LGBTQ+ population, despite its proponents’ claims that it protects minors from improper sexual content.

“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,” Disney said in a statement late last month.

Our goal as a company is for this law to be repealed by the legislature or struck down in the courts, and we remain committed to supporting the national and state organizations working to achieve that.

The statement added that the company is “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.”

DeSantis told reporters earlier this month that “Disney has alienated a lot of people now,”  when he first raised the prospect of removing the special tax area.

“And so the political influence they’re used to wielding, I think has dissipated,” the governor added. “And so the question is, why would you want to have special privileges in the law at all?”

The governor added: “And I don’t think that we should.”