Gov. Ron DeSantis (R-FL) escalated his fight with Disney when he ordered the state's chief inspector general to investigate the former Reedy Creek Improvement District board after it made an agreement with Disney that undermined the state's takeover of the district.
The letter from DeSantis requests the investigation look for any "any legal or ethical violations" by the board in relation to their conduct before the state takeover of the district.
DESANTIS MIGHT NOT HAVE SUPPORT FROM FLORIDA LAWMAKERS IN BATTLE WITH DISNEY
The investigation will focus on the district's "adherence to applicable Florida civil and criminal laws and ethics requirements," the qualifications of the board members, the "involvement of Walt Disney World employees and agents" in the actions of the district, and "any financial gain or benefit derived by Walt Disney World" as result of the work of the district.
It will also examine all Reedy Creek Improvement District "board, employee, or agent communications" related to the district's actions, the bill that restructured the district, the district itself, Orange and Osceola counties, and the new Central Florida Tourism Oversight District.
DeSantis's office says Disney is "again fighting to keep its special corporate benefits and dodge Florida law" but vows not to "let that happen."
The investigation comes days after state Attorney General Ashley Moody made a public records request to the Disney-appointed board members of the former Reedy Creek Improvement District.
In the letter, she requested texts, emails, and other public records regarding "documents discussing an intention or goal of circumventing, avoiding, frustrating, mitigating, or otherwise attempting to avoid the effects of anticipated actions of the Florida Governor and Legislature." The letter also warned of possible civil and criminal penalties if records were not turned over.
The investigation by the Florida government comes after DeSantis and the governor-appointed board of the new Central Florida Tourism Oversight District were dealt a major blow last week when it was discovered the previous board and Disney had come to an agreement that strips the new board of its power.
The agreement was signed on Feb. 8; the deal does not permit the board to make most changes without permission from the Walt Disney Company. The accord also was made to not last for the foreseeable through the Magic Kingdom's use of another monarch.
The "King Charles clause" ensures Disney has autonomy over the district, which includes the Walt Disney World Resort, 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."
DeSantis's office says the agreement is likely invalid and that all options remain on the table, including legislative action.
Disney CEO Bob Iger went after DeSantis at the company's annual shareholder's meeting on Monday, saying that it "seems really wrong" for the governor to go after the company for "exercising its constitutional right." Iger was alluding to Disney speaking out against the Parental Rights in Education Act last year under previous CEO Bob Chapek.
Iger then said the company would be investing $17 billion over the next 10 years into its Florida resort and would be adding 13,000 new jobs at the Walt Disney World Resort.
"Our point is, that any action that thwarts those efforts simply to retaliate against a position the company took sounds not only anti-business but anti-Florida," Iger said.
The battle between the governor and the company, which led to Disney's Central Florida district being restructured, stemmed from Disney denouncing DeSantis's push for the Parental Rights in Education Act last year. Disney had maintained full autonomy over the district since its creation in 1967.
The board of the Central Florida Tourism Oversight District announced last Wednesday that it had hired four outside law firms to work to void the agreement made under the previous board.
"There's a lot of little back-and-forths going on now with the state taking control, but rest assured, you know, you ain't seen nothing yet," DeSantis said at a speech in Georgia on Thursday. "There's more to come in that regard."
Republican lawmakers in the Florida legislature are supportive of the governor's vow not to back down when it comes to the Reedy Creek battle but are unsure of what they can do legislatively regarding the agreement.
“In terms of legislatively, I don’t know, but I’m fully supportive of the governor taking action," state GOP House Speaker Paul Renner said. "I think what’s happened is disingenuous, to say the least. The way it happened is frankly a lack of candor in terms of how they noticed it and how they went about it. I think they acted in bad faith. I think that’s pretty simple."
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Disney has defended its actions, asserting that all agreements were done lawfully.
"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," Disney said in a statement on Thursday to the Washington Examiner.