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Home Most Shared

Disney Loses Florida Special Tax Status Amid ‘Don’t Say Gay’ Clash

by Nick Erickson
April 21, 2022
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Disney Loses Florida Special Tax Status Amid 'Don't Say Gay' Clash
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The company’s clash with Florida is the latest example of how speaking out on social and political issues could bring companies into conflict with some lawmakers. Last year, Georgian politicians threatened to raise taxes on Delta Air Lines after the company spoke out against the state’s restrictive voting laws. More recently, Texas lawmakers have said they would prohibit Citigroup from accepting municipal bonds in the state unless the bank repeals its policy of paying workers who leave the state for abortions, which are severely restricted there.

The clash between Mr. DeSantis and Disney began on March 9, when the company – under acute pressure from its employees – spoke out against parental rights legislation, or what detractors call the “Don’t Say Gay”- called law.

More than 150 companies, including Marriott and American Airlines, had already signed a letter from the Human Rights Campaign against the legislation. However, Disney had avoided taking a public position, with its CEO, Bob Chapek, explaining to employees in an email on March 7 that he did not want the company to become “a political football.”

Two days later, when Disney was under pressure to condemn the legislation, Mr. Chap that. He also announced that he had called Mr. DeSantis “to express our disappointment and concern that if the legislation becomes law, it could be used to unfairly target gay lesbian, non-binary and transgender children and families.”

“The governor heard our concerns and agreed to meet with me and LGBTQ+ members of our Florida senior team to discuss ways to address them,” said Mr. Chapek.

That seemed to excite Mr. DeSantis, leading to a tit-for-tat between his press secretary and a Disney spokesperson. When Mr. DeSantis signed the bill on March 28, Disney renewed his criticism. “Our goal as a company is to have this law repealed by the legislature or overturned by the courts,” Disney said in a statement at the time, “and we remain committed to supporting the state and state organizations working to make that happen.” .”

Florida lawmakers then began threatening to repeal Disney World’s special tax district.

The Florida legislature met this week for a special session on congressional realignment. mr. DeSantis issued a proclamation Tuesday allowing the Republican-controlled body to also abolish special districts created before 1968. Almost all were founded after that date, with Disney being the big exception.

Stephen Gandel reporting contributed.

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