In a significant development, the board appointed by Governor Ron DeSantis to oversee Disney's former special taxing district has voted unanimously in favor of a settlement with the entertainment giant. The Central Florida Tourism Oversight District board's decision drops most of the legal wrangling between Disney and the Republican governor, bringing an end to all pending litigation in state court.

Jeff Vahle, the President of Walt Disney World Resort, expressed optimism about the agreement, stating that it opens a new chapter of constructive engagement with the new leadership of the district. He emphasized that the settlement serves the interests of all parties involved by enabling continued investment, creating thousands of direct and indirect jobs, and fostering economic opportunities in the state.

The settlement marks the latest turn in a long-standing legal dispute between Disney and DeSantis. The conflict initially erupted in 2022 when then-CEO Bob Chapek spoke out against Florida's controversial "don't say gay" law, known officially as the Parental Rights in Education bill. The legislation prohibits the discussion of gender identity and sexual orientation in public classrooms, sparking criticism from Disney.

In response, DeSantis sought to dismantle the Reedy Creek tax district, which has overseen the 25,000-acre area encompassing Walt Disney World for many years. Critics viewed the governor's actions as a retaliatory power move against the company. Disney countered by filing a lawsuit, alleging that DeSantis was attempting to infringe on its free speech rights, jeopardizing its business operations and violating its constitutional rights. However, a federal judge dismissed the lawsuit in January.

The newly appointed Disney World oversight board, chosen by DeSantis, criticized the actions of its predecessor, accusing them of diminishing the new board's powers and giving Disney greater control over the amusement park. These actions included granting the company veto powers over property improvements or changes and enforcing a perpetual "royal lives" clause. The board challenged these actions in state court, and the recent settlement declares them "null and void."

Charles Barakat, Chairman of the Central Florida Tourism Oversight District board, expressed satisfaction with the settlement. Additionally, Disney has dropped its efforts to obtain public records from the DeSantis board as part of the agreement.

The political feud between Disney and the Florida government evidently impacted the company's investment plans in the state. Disney CEO Bob Iger hinted that uncertainties surrounding corporate investments in Florida due to the dispute could put them at risk. Consequently, Disney canceled a planned development at Lake Nona Town Center in Orange County in May and shut down an immersive "Star Wars"-themed hotel in Orlando less than two years after its opening.

Spokespeople for Governor DeSantis have refuted claims that the canceled investment at Lake Nona was solely due to the political feud, suggesting that business failures on Disney's part were also a contributing factor.

Overall, the settlement between Disney and the Central Florida Tourism Oversight District board brings an end to a protracted legal battle, clearing the way for future collaboration between the entertainment giant and the state government.