Florida legislature approves bill revoking Reedy Creek development deal

TALLAHASSEE, Fla. — In a mostly party-line vote Thursday, Florida senators approved a bill to dissolve a development agreement struck between Disney and the former Disney-controlled Reedy Creek Improvement District board that handed much of the district’s powers to the company.

The two-part agreement gave Disney maximum development rights on its own land for 30 years, and granted the company veto power over changes to other properties within the district for roughly the next century.

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SB1604 never mentioned Disney specifically, but didn’t hide what it was designed to do – the governor even mentioned that during a press conference previewing the bill in April.

“An independent special district is precluded from complying with the terms of any development agreement… which is executed within 3 months preceding the effective date of a law modifying the manner of selecting members of the governing body of the independent special district from election to appointment or from appointment to election,” lawmakers wrote.

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On paper, Reedy Creek’s new board can resume business as usual once DeSantis puts his pen to the bill, but legal analysts say in practice that won’t be the case.

First, Disney will most likely use the courts to block any actions the new board tries to take, whether it be donating land to a competing theme park or telling the company it can’t build whatever it wants. There are two lawsuits currently at play, one filed by each side. This bill was already cited in Disney’s federal lawsuit claiming unconstitutional government retaliation.

Second, while the government has the power to override development agreements, lawyers say it doesn’t have the authority to target one specific document.

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“It’s something that governments and corporations do all the time,” attorney Jacob Schumer said.

Third, attorneys agree Florida’s government doesn’t have the power to override restrictive covenants, which are the official name for the restrictions Reedy Creek bound itself to for the duration of King Charles’ descendants’ lives, even though SB 1604 made an effort.

The governor has not indicated when or where he will sign the bill. Disney representatives did not return a request for comment Thursday.

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