Disney’s District Legal Fees Expected to Triple in 2024, Fuelling Growing Feud with DeSantis
Disney’s tax district is facing a significant increase in legal fees, with estimates indicating that the expenses will more than triple in 2024. This surge in costs is a result of ongoing lawsuits involving Disney and the newly appointed board by Governor Ron DeSantis. The proposed budget includes approximately $4.5 million allocated to legal fees, a sharp rise from the current $1.9 million and well above the district’s average annual fees. Glen Gilzean, the district administrator, expressed his regret over the increase, attributing it to what he referred to as Disney-induced expenses.
At present, there are two lawsuits in progress concerning Disney. The company initiated legal action against Governor DeSantis and his board, alleging a targeted campaign of government retaliation following Disney’s criticism of the controversial Don’t Say Gay law. In response, the board counter-sued Disney. These legal battles have played a significant role in driving up the district’s legal expenses. Prior to the dispute, the district’s annual legal fees stood at approximately $1.25 million. Gilzean, who recently resigned from his position as chair of Florida’s ethics commission, cited a lack of awareness regarding a conflict of interest between his roles on the commission and the district board.
Beyond the lawsuits, legal advice sought by the new board members for implementing new policies has also contributed to the increase in expenses. Consequently, the board is proposing an overall expenditure increase of $12.4 million. However, it aims to cut $2.5 million from the budget that was typically allocated to Disney perks and discounts for district employees.
This conflict between DeSantis and Disney is not new. In March, the DeSantis administration engaged two external law firms to challenge Disney’s move that curtailed the authority of the governor’s Central Florida Tourism Oversight District board. In response to Disney’s opposition to the Don’t Say Gay law, DeSantis terminated the company’s longstanding special zoning agreement and removed its control over the Reedy Creek Improvement District surrounding Walt Disney World. However, Disney astutely struck an agreement with the previous board, allowing it to maintain a significant degree of autonomy.
DeSantis’s legal challenges in response to this agreement have already cost taxpayers millions of dollars, with fees reaching as high as $1,300 per hour. This further adds to the expense of defending DeSantis’s contentious agenda in court. Last year in June, The Orlando Sentinel reported that the state had already accumulated at least $5.8 million in legal bills from just five cases.
Florida state Senator Tina Polsky criticized the administration for spending taxpayer funds on defending laws that she deemed unconstitutional and seemingly designed to elevate DeSantis’ political profile ahead of a potential presidential bid. Polsky called into question the principles of fiscal conservatism, asking where the values lie when knowingly passing bills that are bound to be challenged in court.
The surge in legal fees for Disney’s tax district has become a cause for concern, particularly amidst the ongoing legal disputes involving the company and Governor DeSantis. As the feud intensifies, it remains to be seen how these mounting legal costs will impact both parties involved and how they will navigate the complex legal landscape moving forward.
