New Report Exposes How the DeSantis Feud Slowed Magic Kingdom’s Expansion

Disney’s battles with the state of Florida may have impacted the theme parks more than we know. The years-long struggle first kicked off back in 2022, and it has changed some major things about Disney.

The battle with the state, and most notably Governor DeSantis, also led to the dissolution of the Reedy Creek Improvement District. Now, it seems the Magic Kingdom expansion was slowed down due to issues with the governor.

According to Florida Politics,  there is an untold story behind the Magic Kingdom expansion. In recently obtained court documents, several new pieces of news were revealed, including Disney’s use of Holtzman Vogel, a law firm that previously worked for the DeSantis administration. According to the documents, Disney executives felt “future theme park expansions were in jeopardy” during the ongoing battle between the company and the state.

The records also noted that Disney’s leaders chose to slow down expanding Magic Kingdom because they were “hesitant about working with a DeSantis-controlled board.” After the dissolution of Reedy Creek, DeSantis created a new governing board that serves as the governing jurisdiction and special taxing district for the land owned by Walt Disney World Resort.

There were several revolutions in the newly released documents, including Disney’s hesitancy about expanding the theme parks. John McGowan, Chief Counsel of the Walt Disney World Resort’s legal department, said, “Everybody understood that we were on the cusp of Reedy Creek being overtaken by a board that we assumed, turns out correctly, was going to be a hostile board.” McGowan’s comments came during a February 2024 deposition.

To help avoid the hostel board, Disney planned to secure the Reedy Creek board’s approval that would grant Disney development rights in the future. This plan had to be approved and passed before DeSantis appointed his new board members. Reedy Creek’s attorney, Ed Milgrim, and McGowan both agree this move was “the right thing to do.” Regarding the obligation to quickly get the board’s approval, McGowan said, “The obligation to protect Disney and Reedy Creek from a hostile board,” McGowan said.

Todd Rimmer, a Master Planner Executive with Disney Imagineering, shared that the uncertainty of the new board made the company feel uncertain when it came to land developments “in a timely fashion.” This agreement, with the board’s approval, would lock Disney’s development options into place. The proposal was that Disney could sell land for fair market value to its governing board, which would allow it to “build the public infrastructure needed for Disney’s expansion.” This would prevent the upcoming board from seizing Disney’s land by eminent domain. In the end, the outgoing board voted in favor of the agreement, so Disney’s goals were met.

According to reports, the incoming board was “furious when they realized what agreement had been passed. DeSantis noted Disney’s “arrogance” and signed legislation that would void Disney’s agreements in 2023. McGowan testified in 2024 that Ray Treadwell, the Chief Deputy General Counsel in DeSantis’s Office, was aware of the documents before they were approved by the board, despite what DeSantis and his team claim. The tensions led to the board stripping Disney of control of Reedy Creek, which they then renamed the Central Florida Tourism Oversight District.

Rimmer shared that this uncertainty, created by the new board, led Disney to slow down the Magic Kingdom expansion that had yet to be publicly announced. Rimmer said, “The use of the wetland credits creates the developable land on which the development will sit. We’re turning wetlands into uplands to put a theme park on it. So if we can’t get that approved, then we can’t go forward. When we’re looking at billions of dollars of investment, we want to be certain that we can proceed.”

Now, years removed from the high tensions, Disney has moved forward with the Magic Kingdom expansion, including new lands like Piston Peak and Villains Land. Disney commented on the story, saying, “These matters are in the past, and our development plans are moving full speed ahead with the support of the Central Florida Tourism Oversight District. We have more projects underway at Walt Disney World than at any other point in our history, creating jobs and positive economic impact for Floridians.” We’re eagerly awaiting more updates on Disney’s Magic Kingdom expansion and will continue to follow this story. Be sure to keep following AllEars.

This UPDATE Is Making Us SO Excited for Magic Kingdom’s Piston Peak To Open

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