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Ron DeSantis has once again delivered a powerful message to the Disney corporation. Go woke, go broke.
Several months ago, when Florida enacted their Parental Rights in Education bill, Disney went nuts.
First the company declined to comment, before woke employees pressured former CEO Bob Chapek into denouncing the legislation.
The bill, which protected children in third grade from inappropriate education, had overwhelming support among the public.
But Disney went after it anyway, thanks to misinformation from Very Online liberal activists.
DeSantis responded, announcing he would take away Disney’s special tax status that they’d enjoyed since building Walt Disney World.
The “Reddy Creek Improvement District” had benefitted the company tremendously over the years. Financially with tax benefits, as well as with oversight, as Disney essentially operated its own city.
But when they got involved in trying to overturn legally passed legislation, they paid the price.
And that price is so substantial that one stockholder recently sued them for hurting the company’s bottom line.
When the Florida Governor made his announcement, some in the media made it out like Florida taxpayers would suffer as a result.
On Friday though, DeSantis released his plan and it both hurts Disney and protects taxpayers.
DeSantis Beats Disney Again
Essentially, DeSantis is proposing that a state run board will oversee the district, ending Disney’s self-governing powers.
Communications Director Taryn Fenske told Fox News that the move will ensure they pays their taxes and are responsible for their debts.
“Under the proposed legislation, Disney will no longer control its own government, will live under the same laws as everyone else, will be responsible for their outstanding debts, and will pay their fair share of taxes.”
With Disney accumulating $700 million in unsecured debt, those outstanding obligations are quite substantial.
Importantly, members of the board will likely be appointed by the governor, ensuring that Disney faces strict oversight.
This is a masterstroke of policy and a warning to other corporations.
Disney announced their intention to interfere in the legislative process while benefitting from special treatment.
Now that special treatment is over, and their stock price is down over 40% in the past year. “Lightyear” bombed in spectacular fashion, then “Strange World” bombed in even more spectacular fashion.
Disney’s turn to the left has done nothing but hurt them. But they were pressured into commenting on a popular, common sense bill regardless.
They did so knowing that for years, there has been virtually zero consequences for corporations blatantly advancing a left wing agenda. As a result, activist executives have acted out of fear of offending the left, knowing that the right will make empty threats and promises that go nowhere.
That’s not Ron DeSantis.
Disney vastly underestimated who they were up against. And now they’ve lost, in spectacular fashion. Couldn’t happen to a better company.