Disney and Florida Governor Ron DeSantis have settled their conflict with a newly approved development deal for Walt Disney World over the next two decades. Disney requested the dismissal of a federal lawsuit against DeSantis following the approval of the agreement by his appointees on the board of the Central Florida Tourism Oversight District that governs Disney World. The settlement reached in March had stipulated that the future of the lawsuit depended on the development agreement between Disney and the DeSantis appointees, which was approved on Wednesday night.
As part of the 15-year agreement, Disney committed to investing $17 billion into Disney World over the next two decades, while the district pledged to make infrastructure improvements on the theme park resort’s property. The district, which provides municipal services such as firefighting and planning, was previously controlled by Disney supporters before the takeover by DeSantis appointees last year. Disney President Jeff Vahle expressed optimism about the deal, stating that it would support the growth of the resort and contribute to the Florida economy, allowing for more memorable experiences for guests.
Under the terms of the deal, Disney has been granted approval to build a fifth major theme park at Disney World and two more minor parks, such as water parks. The company can also expand the number of hotel rooms on its property and increase retail and restaurant space. In exchange, Disney will donate up to 100 acres of its 24,000-acre property for infrastructure projects controlled by the district. Additionally, Disney must award at least half of its construction projects to Florida-based companies and allocate $10 million for affordable housing in central Florida.
The agreement between Disney and the DeSantis appointees followed a detente in March, ending nearly two years of litigation that began with DeSantis’ takeover of the district in response to Disney’s opposition to a law banning classroom lessons on sexual orientation and gender identity. The law, championed by DeSantis, led to a legal battle between Disney and the governor, with Disney claiming its free speech rights were violated. The settlement in March halted the litigation and set the stage for a new development agreement and comprehensive plan by next year.
Prior to the change in district leadership, Disney supporters on the board had signed agreements with the company granting control over design and construction at Disney World. The new DeSantis appointees contested these agreements, claiming they limited their authority. The district subsequently filed a lawsuit to void the contracts, which Disney countered by seeking validation and enforcement through state court. The dismissal of these state court lawsuits was part of the settlement reached in March, ultimately leading to the recent development agreement between Disney and the DeSantis appointees.
