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Disney has settled a lawsuit over the governance of Orlando’s theme parks stemming from last year’s takeover of the district’s board of directors by Ron DeSantis, governor of the US state of Florida.
The agreement with the board, known as the Central Florida Tourism Oversight District, resolves one of the major legal conflicts that followed DeSantis’ decision to end the company’s 50-year right to effectively run its own government around Walt Disney World amid a dispute over the state’s so-called Don’t Say Gay law.
Jeff Vahle, president of Walt Disney World Resort, said the company is “pleased to bring to an end all litigation pending in Florida state court.”
The dispute between DeSantis and Florida’s largest private employer began when Disney expressed opposition to the Parental Rights in Education Act, dubbed the “Don’t Say Gay” by its opponents in 2022, which limited discussion of orientation sexual and gender identity in schools. The governor championed his fight against “woke Disney” during his failed presidential bid.
After Disney’s statement, DeSantis moved to take control of the powerful Disney-controlled board of directors that oversaw zoning, mosquito control and other government affairs in the area around the park.
But before the DeSantis-appointed board was in place, Disney allies neutralized the new body’s ability to oversee the area. They also blocked a new 30-year development plan for the park.
The deal announced Wednesday will make those last-minute changes null and void. Instead Disney pledged to negotiate with the new board, which has been revamped in recent weeks, on a revised development plan.
The settlement does not affect any lawsuits arising from the brawl. Disney vowed to appeal the First Amendment case related to the law after that lawsuit — which accused DeSantis of “weaponizing the power of government to punish private business” — was dismissed by a Florida judge in January.
At the same time, the state has moved to blunt the law’s impact. Earlier this month the state of Florida reached a deal with opponents of the law that will allow discussion of sexual identity and gender orientation in public schools as long as it does not occur as part of classroom instruction.
DeSantis also shook up the five-member board that governs the area around Florida’s Disney theme parks. Earlier this month the board’s chairman, Martin Garcia, who was a critic of the company, resigned. Craig Mateer, the founder of Bags, a company that delivers bags to hotels, will be the new board member on Wednesday.
Disney’s Vahle said the deal “opens a new chapter of constructive engagement” and will lead to “continued significant investment” in Florida. Last fall, Disney CEO Bob Iger pledged to double Disney’s investment in its theme parks globally to $60 billion over the next ten years.