Disney, Florida settle lawsuits over tourism district
Gov. Ron DeSantis’ allies and Disney settled lawsuits on Wednesday over who controls Disney World’s governing district, with both sides signaling they’re ready to end a two-year feud.
The Central Florida Tourism Oversight District board voted to accept Disney’s settlement offer, which ends much of the litigation between the company and state officials.
The settlement says development agreements and covenants approved by a Disney-friendly board shortly before the state takeover in February 2023 are null and void. Disney also agreed to drop a lawsuit seeking public records and withdraw its requests.
A 2020 comprehensive plan will be in effect, and the district agreed to “consult with Disney” while reviewing and amending the plan.
DeSantis, who on the presidential campaign trail accused Disney of trying to sexualize children, hinted at reconciliation. He suggested the state would work with Disney on new projects to draw more tourists to Florida.
“A lot of what happened with parents’ rights in education … was really driven by Burbank,” he said, referring to Disney’s corporate headquarters in California. “It was not driven by Orlando. … I think that there is a desire to move forward.”
Jeff Vahle, president of Walt Disney World Resort, said he was “pleased to put an end to all litigation pending in state court” between the DeSantis-backed board and Disney.
“This agreement opens a new chapter of constructive engagement with the new leadership of the district and serves the interests of all parties by enabling significant continued investment and the creation of thousands of direct and indirect jobs and economic opportunity in the state,” he said in a statement.
Disney recently announced it will invest $60 billion into its cruise lines and theme parks around the world, setting off speculation that the entertainment giant could be eyeing a fifth Orlando theme park. Disney’s competitor, Universal Orlando Resort, is set to open a fourth theme park, Epic Universe, in 2025.
A separate federal lawsuit is pending. That suit alleges that DeSantis and state officials engaged in political retaliation after the corporation opposed a 2022 law that critics called “don’t say gay,” which limited classroom instruction on gender identity and sexual orientation.
A federal judge dismissed that lawsuit in January, but Disney is appealing that decision.
The two sides are moving forward with new top leadership at the district.
The board voted to offer Stephanie Kopelousos the $400,000-a-year district administrator job, opting not to launch a wider search. DeSantis recommended her for the position.
Her resume includes stints as the governor’s legislative affairs director, county manager of Clay County and secretary of the Florida Department of Transportation. She also served as a senior adviser on DeSantis’ presidential campaign.
Kopelousos, who has decades of government experience, will replace Glen Gilzean. DeSantis appointed Gilzean interim supervisor of elections in Orange County earlier this month.
In a letter to the board, Kopelousos wrote that her background in county management, strategic planning and infrastructure development made her well-suited for the role leading the Disney district.
While serving as legislative affairs director for DeSantis, she brokered a legislative carve-out that exempted Disney from a bill seeking to crack down on Big Tech censorship.
In another move, DeSantis on Tuesday put Orlando entrepreneur Craig Mateer on the district board, filling a spot left open after Chairman Martin Garcia’s resignation. Mateer, the founder of the baggage-handling company Bags Inc., has worked with Disney in his business dealings.
The special district has played a starring role in DeSantis’ nationally watched battle with Disney. Formerly known as the Reedy Creek Improvement District, Disney used it for decades to effectively self-govern its Central Florida theme parks and resorts. A 1967 arrangement allowed Disney to elect the district’s five-member board, giving it control.
But last year, the Legislature upended that arrangement and gave the governor the power to appoint the district’s five board members. In February 2023, DeSantis replaced five Disney loyalists with Republican allies.
When the new DeSantis-aligned board members took over, they discovered their predecessors had approved agreements and covenants limiting the new board’s authority over development. That sparked a power struggle and led to the lawsuit seeking to undo the agreements.
DeSantis appoints Craig Mateer to Disney oversight board
DeSantis touted the deal as a victory that showed the state had been “vindicated” on its actions.
“A year ago, people were trying to act like that all these legal maneuverings were all going to succeed against the state of Florida,” he said at a news conference in Orlando. “The reality is here we are a year later, and not one of them has succeeded. Every action we have taken has been upheld in full, and the state is better off for it.”
The state settled a separate lawsuit stemming from the law limiting classroom instruction on sexual orientation and gender identity. That deal made it clear that students and teachers could discuss those topics as long as they weren’t part of formal classroom instruction.
The district’s board, too, expressed it was ready to move on from the dispute.
“With this settlement, which is complete and significant, we are eager to work with Disney,” said Charbel Barakat, vice chair of the Central Florida Tourism Oversight District’s Board of Supervisors.
