DeSantis wants state investigation into Disney power play

TALLAHASSEE, Fla. — Florida Gov. Ron DeSantis, apparently outflanked by Disney in a tug-of-war over the control over the thousands of acres that’s home to the Magic Kingdom and other theme parks, is now ordering an investigation into how the dynamic shift happened.

The Republican governor on Monday requested a “thorough review and investigation” by state officials into an agreement reached earlier this year by the outgoing Walt Disney Co. board aiming to stymie Florida’s efforts to grab greater authority over the entertainment giant’s special land district near Orlando. That deal swung power away from the new leadership board installed by the governor and created just months ago by the Legislature.

With state lawmakers uncertain of a legislative fix, the move by DeSantis could be his administration’s best shot at wrestling control back from Disney.

“These collusive and self-dealing arrangements aim to nullify the recently passed legislation, undercut Florida’s legislative process, and defy the will of Floridians,” DeSantis wrote in a letter to Melinda Miguel, Florida’s chief inspector general.

The move by Disney blindsided DeSantis and his allies and undercuts a talking point that DeSantis had used frequently during his reelection campaign and in recent stops across the country. The governor has repeatedly talked about how he bested Disney after the company came out publicly against the state’s parental rights in education bill, also called the “Don’t Say Gay” bill by critics.

News about Disney’s maneuver has also sparked criticism from allies of former President Donald Trump.

“President Trump wrote ‘Art of the Deal’ and brokered Middle East peace. Ron DeSantis got out-negotiated by Mickey Mouse,” Taylor Budowich, the head of a pro-Trump super PAC, wrote on Twitter.

Florida lawmakers, at the request of DeSantis, earlier this year passed legislation to overhaul leadership of the Reedy Creek Improvement District, the entity that has allowed the company the ability to operate its own government-like functions for more than 50 years in central Florida.

That legislation came nearly a year after lawmakers pushed through a measure to dismantle Reedy Creek during a special session. But before the new DeSantis-backed board could assume control of Reedy Creek — or the governor signed the legislation, the outgoing board passed a series of agreements to ensure that Disney keeps power, such as the company having the final say on alterations to the property.

The DeSantis administration contends Disney’s action suffers from “serious legal infirmities” such as inadequate legal notice and ethical violations.

DeSantis wants both the chief inspector general, along with the Florida Department of Law Enforcement, to investigate the legal validity of the outgoing board’s moves and any financial gain the company could gain from such a decision.

Republican leaders also have expressed a willingness to pursue legislation to combat the Disney power play, but it's unclear what that would look like. House Speaker Paul Renner (R-Palm Coast) tweeted Monday that "all legislative options are now back on the table."

"What’s happened is disingenuous to say the least," Renner told reporters Friday.

Disney, however, has stood by its actions, saying in a statement last week that all agreements between the company and Reedy Creek board were “appropriate” and “discussed and approved in open, noticed public forums in compliance with Florida Government in the Sunshine law.”

CEO Bob Iger on Monday called Florida’s retaliation “anti-business” and “anti-Florida.”

“The company has a right to freedom of speech just like individuals do,” Iger said at Disney’s annual shareholders meeting, as reported by CNN. “The governor got very angry about the position that Disney took, and it seems like he’s decided to retaliate against us… in effect to seek to punish a company for its exercise of a constitutional right.

"And that just seems really wrong to me — against any company or individual, but particularly against a company that means so much to the state that you live in.”

In his memoir released earlier this year, DeSantis described how he undertook a stealth operation in 2022 to draw up the initial bill that targeted Disney. “We need the element of surprise — nobody can see this coming,” his book quotes him telling then-House Speaker Chris Sprowls.

Gary Fineout contributed to this report.