Disney’s Special Autonomous District argues that Florida’s decision to remove authority over its vast theme park area is not legal unless its bond debt is paid.
In a statement to investors, the Reedy Creek Improvement District said that the dismantling of the special tax district would violate a promise made by Florida to bondholders. Under the law that created the congressional district, the state promised that it “would not in any way change the tax exemption provided for in the Reed Creek Act until all such bonds have accrued interest and all costs and expenses associated with any act or proceeding.” . For such holders or on their behalf, he is fully satisfied and released”.
Referring to the deal, Reed Creek said it “looks forward to exploring its options as it continues its current operations.” Disney does not say whether to file a lawsuit against a bill signed in Florida last Friday that violates its special constituency in June 2023.
A statement to municipal securities regulators last Thursday was Disney’s first response since Florida lawmakers began retaliating against the company for its alleged bankruptcy. “Don’t say gay” in relation to the law. Governor Ron Desantis asked state lawmakers in April to vote to disqualify Disney’s special government privileges in a modified special session. Critics say the Disney bow shooting was also intended to divert attention from the revamping of Congressional maps, which destroyed a majority of two black voters.
Special self-contained enclosures that were established before 1968 and have not been renovated since will be phased out. The law has a provision that allows restoration after the dissolution of districts.
Reedy Creek functions as a local government, including issuing bonds for money on infrastructure projects. The question of what will happen to the district’s estimated bond debt of more than $1 billion has been thrown into the air. States are required to maintain a tax authority that allows them to pay bonds after local government issuance.
Under the 1967 law that created the county, Reed Creek argues that Florida cannot intervene in its tax authority until it pays off its bond debt.
The bill passed for taxpayers and the countries that would oversee Reed Creek, with virtually no review. Disney and Orlando residents currently own the land to cover the costs of maintaining the area, including paying for emergency care and waste management services.
While Disney’s Special Tax District exempts you from many regulations and certain taxes and fees associated with emergency services and road maintenance, you still need to pay property taxes. Disney, Central Florida’s biggest taxpayer, pays nearly $300 million a year in neighboring Orange and Oceola, plus about $250 million in other state taxes.
“If we have to take the first answer, the public safety components of Reed Creek, without new revenue, will be catastrophic for our budget,” Orange County Mayor Jerry Demings said at the Regional Economic Summit April 21. “This will place an additional burden on other Orange County taxpayers to make up for that shortfall.”
A statement from Oceola County said: “It is unclear what tax liability will be incurred after June 2023” and “estimates any changes in costs”. He added, “Disney has been a strong partner with the community and we look forward to continuing that relationship as we work together on a transition plan.”
Source: Hollywood Reporter
Camila Luna is a writer at Gossipify, where she covers the latest movies and television series. With a passion for all things entertainment, Camila brings her unique perspective to her writing and offers readers an inside look at the industry. Camila is a graduate from the University of California, Los Angeles (UCLA) with a degree in English and is also a avid movie watcher.
