Disney and Central Florida Tourism Oversight District propose a settlement agreement bringing lawsuits to an end

Mar 27, 2024 in "Reedy Creek Improvement District"

Posted: Wednesday March 27, 2024 10:10am ET by WDWMAGIC Staff

The board of the Central Florida Tourism Oversight District has announced that the Walt Disney Company and the Central Florida Tourism Oversight District have proposed a settlement agreement that will potentially see both sides drop their respective lawsuits.

The critical points of the agreement from Disney's perspective are that the district commits to reviewing and potentially amending the 2020 Comprehensive Plan, with consultations involving Disney, and that the subsequent negotiations for the new development agreement are linked to Disney pursuing or halting its federal lawsuit against CFTOD and Florida Governor Ron DeSantis.

The highlights of the agreement as presented by CFTOD litigation counsel Paul Huck include:

  • The development agreement and restrictive covenants previously under lawsuit are to be considered null and void.
  • Disney will not challenge the district's view that certain comprehensive plans and land development regulations adopted in January of the previous year are invalid, recognizing the 2020 Comprehensive Plan as the current operative plan.
  • The district commits to reviewing and potentially amending the 2020 Comprehensive Plan, with consultations involving Disney and other relevant parties.
  • Both parties agree to dismiss with prejudice the claims and counterclaim in the ongoing state court lawsuit.
  • Disney will also dismiss with prejudice a separate state court litigation regarding public records and withdraw its pending public records request.
  • The labor services agreement between the district and the Reedy Creek energy services would be amended so that the term would expire in 2028 rather than 2032, and its automatic renewal provisions removed.
  • Disney asserts ownership of certain long-term mitigation credits, with the district agreeing not to interfere with their use. These credits stem from permits issued by multiple agencies, with Disney having funded their creation.
  • Concerning a federal court case Disney filed, which is currently on appeal, both parties will seek to defer briefing on the appeal while negotiating a new development agreement.
  • Both entities agree not to contest each other's actions prior to a specific date, with certain exceptions related to the content of the settlement agreement and potential defenses in the federal lawsuit.
  • Finally, the agreement includes mutual releases by both parties.

The agreement appears to be an abrupt change in direction from Disney, which, as recently as January, said, "This is an important case with serious implications for the rule of law, and it will not end here. If left unchallenged, this would set a dangerous precedent and give license to states to weaponize their official powers to punish the expression of political viewpoints they disagree with. We are determined to press forward with our case."

In a brief statement this morning, Walt Disney World President Jeff Valle said, "We are pleased to put an end to all litigation pending in state court in Florida between Disney and the Central Florida Tourism Oversight District. 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."

Speaking at today's CFTOD board meeting, vice chair Charbel Barakat said, "We are eager to work with Disney. I'm certainly eager to work with Disney and all other businesses to make the country's tourism destination famous for a second reason, which is good government. I'd like to thank publicly thank the district's general counsel for their Herculean efforts on this front as well as our as well as our outside counsel."

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tissandtully18 days ago

Yeah, apparently she should be done on Feb. 26th, but who knows what Ronnie has in mind.

JoeCamel18 days ago

She still there? Thought she was busy with her OF

tissandtully18 days ago

Glances over at Bridget.....

lazyboy97o20 days ago

You’re so out of touch with the times. Institutional knowledge isn’t based. The terms are clearly part of the facade of propriety. The posts are minor patronage and an example of “new” ideas of executive power. People can rotate through and they get to pad their resume because the board only needs to exist, not overtly act, at this time. So long as Disney remains compliant anyone can provide the rubber stamp. Who has remained is quite telling.

LAKid5320 days ago

Because the originals work is done.

mmascari20 days ago

How normal is it for boards roughly like this one to change members this often disconnected from their terms? I keep wondering what the point of terms even is, if we're just going to replace members whenever anyway.

lazyboy97o23 days ago

This is not normalcy nor should we lie and pretend it is. Development and building are local concerns and this structure remains abnormal and completely outside the construct of what are supposed to be legal taxing authorities. The threats remain clear, even if they’re just more loudly coming from others at the moment, and Disney is actively complying.

JoeCamel24 days ago

I think I would like to know Gilbert's campaign contribution history he seems to fit the bill of a Florida real estate salesman. Those and car dealers seem to gravitate to being politicians. Oh and lawyers too. I guess I yearn for the days of citizen service where the motives were clear but the money is way too high a bar for most.

Stripes24 days ago

These seem like decent appointments. Certainly better than the departing board members. With these appointments, it would seem to me that the new board will have members that are all qualified to be there. With the showdown over, things have returned to normalcy.

DCBaker24 days ago

Ron DeSantis has appointed 3 new members to the Central Florida Tourism Oversight District Board of Supervisors: TALLAHASSEE, Fla.—Today, Governor Ron DeSantis announced the appointment of Alexis Yarbrough as Chair, John Gilbert, and Scott Workman to the Central Florida Tourism Oversight District. Alexis Yarbrough Yarbrough is the current Chair of the Broward College District Board of Trustees. She previously served as Chair and Commissioner on the Fourth District Court of Appeal Judicial Nominating Commission. Yarbrough earned her bachelor's degree from the University of Miami and her juris doctor from Nova Southeastern University. John Gilbert Gilbert is the Executive Managing Director at Stream Realty Partners. He was recognized as the 2007 and the 2012 Orlando Office Broker of the Year by the National Association of Industrial and Office Parks, Commercial Real Estate Development Association. Gilbert earned his bachelor's degree in real estate from Florida State University. Scott Workman Workman is the Owner of Workman Transportation and Owner and President of Workman Travel. He has been active in the transportation industry in Orlando for over 25 years. Workman attended the University of Iowa. These appointments are subject to confirmation by the Florida Senate. https://www.flgov.com/eog/news/press/2025/governor-ron-desantis-appoints-three-central-florida-tourism-oversight-district

lazyboy97o27 days ago

The FCC is investigating Comcast over their internal corporate practices that have nothing to actually do with broadcasting. Make no mistake, this is why Iger capitulated.

JKick95Jan 25, 2025

Do we have any updates on what this plan entails?