<https://www.orlandosentinel.com/news/os-ne-disney-new-reedy-creek-board-
powerless-20230329-qalagcs4wjfe3iwkpzjsz2v4qm-story.html>

LAKE BUENA VISTA � Gov. Ron DeSantis� handpicked board overseeing Disney
World�s government services is gearing up for a potential legal battle
over a 30-year development agreement they say effectively renders them
powerless to manage the entertainment giant�s future growth in Central
Florida.

Ahead of an expected state takeover, the Walt Disney Co. quietly pushed
through the pact and restrictive covenants that would tie the hands of
future board members for decades, according to a legal presentation by the
district�s lawyers on Wednesday.

The Central Florida Tourism Oversight District�s new Board of Supervisors
voted to bring in outside legal firepower to examine the agreement,
including a conservative Washington, D.C., law firm that has defended
several of DeSantis� culture war priorities.

�We�re going to have to deal with it and correct it,� board member Brian
Aungst Jr. said. �It�s a subversion of the will of the voters and the
Legislature and the governor. It completely circumvents the authority of
this board to govern.�

Disney defended its actions.

�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,� an unsigned
company statement read.

Taryn Fenske, a DeSantis spokeswoman, called the move �last-ditch efforts�
to transfer �rights and authorities� from the 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,�
Fenske said in a prepared statement. �We are pleased the new governor-
appointed board retained multiple financial and legal firms to conduct
audits and investigate Disney�s past behavior.�

The previous board, which was known as the Reedy Creek Improvement
District and controlled by Disney, approved the agreement on Feb. 8, the
day before the Florida House voted to put the governor in charge.

Board members held a public meeting that day but spent little time
discussing the document before unanimously approving it in a brief
meeting.

<https://www.orlandosentinel.com/news/os-ne-disney-new-reedy-creek-board-
powerless-20230329-qalagcs4wjfe3iwkpzjsz2v4qm-story.html>

DeSantis replaced those Disney-allied board members with five Republicans
on Feb. 27, who discovered the binding agreement the previous board
approved.

DeSantis and Disney clashed over the corporation�s opposition to what
critics call the �don�t say gay� law, which limits classroom instruction
on sexual orientation and gender identity in public schools.

The new DeSantis-aligned board expressed dismay over the previous board�s
actions.

�This essentially makes Disney the government,� board member Ron Peri
said. �This board loses, for practical purposes, the majority of its
ability to do anything beyond maintain the roads and maintain basic
infrastructure.�

Among other things, a �declaration of restrictive covenants� spells out
that the district is barred from using the Disney name without the
corporation�s approval or �fanciful characters such as Mickey Mouse.�

That declaration is valid until �21 years after the death of the last
survivor of the descendants of King Charles III, king of England living as
of the date of this declaration,� if it is deemed to violate rules against
perpetuity, according to the document.

A development agreement allows Disney to build projects at the highest
density and the right to sell or assign those development rights to other
district landowners without the board having any say, according to the
presentation by the district�s new special legal counsel.

https://www.scribd.com/document/634713441/Disney-agreements#from_embed

Disney and its affiliates own the vast majority of the land in the
district, and other companies have operated there with the corporation�s
blessing.

The development agreement bars the board from regulating the height of
buildings, which would be solely under the purview of the Federal Aviation
Administration.

The previous board also agreed to give Disney vast authority over its own
buildings, according to its declaration. The agreement states that Disney
must review any exterior changes to the district�s buildings to ensure
consistent �theming� with Disney World.

Aungst said he is hopeful Disney will work with the board and correct the
agreement in a �very collaborative manner.�

But board members also approved hiring four outside law firms with
Chairman Martin Garcia citing a need for �lawyers that have extensive
experience in dealing with protracted litigation against Fortune 500
companies.�

One of those firms is Cooper & Kirk, which has gotten more than $2.8
million in legal fees and contracts from the DeSantis administration to
defend a controversial social media law, a ban on cruise ship COVID-19
�vaccine passport� requirements, and a restriction on felons seeking to
vote.

Cooper & Kirk�s lawyers will bill $795 an hour, according to the firm�s
engagement letter. The boutique firm�s roster of lawyers includes Adam
Laxalt, who roomed with DeSantis when he was training at the Naval Justice
School in 2005 and made an unsuccessful bid for U.S. Senate last year in
Nevada.

The firm�s alumni include Republican U.S. Sens. Ted Cruz of Texas and Tom
Cotton of Arkansas.

The board also approved bringing on Lawson Huck Gonzalez, a law firm that
was launched earlier this year. One of its founders is Alan Lawson, a
retired Florida Supreme Court justice.

The board approved two local firms as well � Nardella & Nardella and Waugh
Grant.

Outside legal help is needed because of the vast resources Disney has at
its disposal, Garcia said.

�What it looks like to me [is that] because Disney has the Magic Kingdom,
they thought they could be king for a day,� he said.

sswisher@orlandosentinel.com

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