Disney strips DeSantis’ district oversight board of power

Disney has landed the latest punch in the fight between the company and Florida Governor Ron DeSantis concerning Walt Disney World’s special taxation district.

Board members picked by the governors to oversee the governance of the former Reedy Creek Improvement District have had their powers muted as the board’s predecessors passed restrictive covenants.

The board created by DeSantis is considering legal action.

Florida lawmakers passed a bill in February giving the governor effective control over a board overseeing municipal services and development in a special district encompassing the Walt Disney World resort.

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Florida Governor Ron DeSantis (Photo by Jeff Bottari/Zuffa LLC / Getty Images)

But before the takeover by DeSantis’s appointees, Disney pushed through changes to the special tax district agreement that limited the board’s action for decades, according to the Orlando Sentinel.

FOX Business has reached out to The Walt Disney Company and Governor DeSantis’ office for comment.

“All agreements signed between Disney and the district were appropriate and were discussed and approved in open, noticed public forums in compliance with Florida’s Government in the Sunshine law,” Walt Disney World resort said in a statement to Reuters.

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State Republicans last year targeted Disney after it publicly clashed with DeSantis, over a law restricting discussion of LGBTQ issues in classrooms. 

Theme park guests walk near a statue of Walt Disney and Mickey Mouse in front of the Cinderella castle in the Magic Kingdom at Walt Disney World in Lake Buena Vista, Fla.  (.(AP Photo/John Raoux, File) / AP Images)

Disney’s then-chief executive officer, Bob Chapek, publicly voiced disappointment with the measure, saying he called DeSantis to express concern about it becoming law.

Chapek stepped down from the position in November, with former CEO Bob Iger returning.

Bob Iger has returned to Disney as CEO, replacing Bob Chapek. (ROBYN BECK/AFP via Getty Images / Getty Images)

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The legislation ended Disney’s virtual autonomy in developing 25,000 acres in central Florida where its theme parks are located.

That district allows Disney to tax itself to cover the costs of providing water, power, roads and fire services in the area. 

Reuters contributed to this report.