Gov. Ron DeSantis has ordered Florida’s chief inspector general to investigate whether a now-defunct board controlled by the Walt Disney Co. broke any laws by transferring key regulatory powers over to Disney.
In an action just before the Reedy Creek Improvement District (RCID) was phased out as a result of the signing of House Bill 9-B, the board passed “development and restrictive covenant agreements” with Disney, according to a letter the governor sent to Chief Inspector General Melinda Miguel. The purpose of these actions was to usurp power from the newly created Central Florida Tourism Oversight District (CFTOD), DeSantis said.
“... Based on initial observation of counsel, the RCID board’s actions appear to suffer from serious legal infirmities, including, among other things, inadequate notice, lack of consideration, improper delegation of authority and ethical violations, such as conflicts of interest and self-dealing,” the governor’s letter says.
Bryan Griffin, DeSantis’ press secretary, said the RCID’s actions show that Disney continues to dodge Florida laws as it tries to keep its previous corporate benefits.
“The agreements the prior RCID board attempted to shove through at the 11th hour are likely invalid, and all legislative options are back on the table,” Griffin told the Florida Record in an email.
Though the governor has ordered an investigation into whether the RCID actions have violated either criminal or civil laws, Disney has defended its options.
“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,” the company said in a statement.
DeSantis urged the chief inspector general’s investigation to include finding out whether Disney employees were involved in the agreement’s execution and whether the company will see economic gains as a result of the agreement.
HB 9-B was signed into law by the governor on Feb. 27. It changed the name of the district and how board members are appointed, and the bill removed the district’s ability to spend public funds to advertise businesses, facilities and attractions within its borders, as well as other reforms.