New details have come to light regarding why Florida Governor Ron DeSantis’ Central Florida Tourism Oversight District abolished their Diversity, Equity, and Inclusion contracting programs, thanks to documents obtained by the Orlando Business Journal.
Why Central Florida Tourism Oversight District Eliminated Diversity Contracting Programs
In various documents obtained by OBJ, CFTOD’s attorneys had concerns that the Minority/Women Business Enterprise (M/WBE) and Disadvantaged Business Enterprise (DBE) contracting programs were “illegal,” and that “scrubbing them would ‘minimize the threat of future liability.’”
The dissolution of these initiatives was announced via press release on August 1, and District Administrator Glen Gilzean called the programs “illegal and simply un-American,” and the release stated that the programs “discriminated against Americans based on gender and race, costing taxpayers millions of dollars.”
One of the obtained documents was a memo sent from David Thompson, an outside attorney for the Central Florida Tourism Oversight District, to its Board Chair Martin Garcia, which reportedly “summarize[d] the attorney’s sentiment to end the program.” In the memo, Thompson summarizes emails between district staffers involving a bidding process, where said staffers allegedly question the contracting process and challenges caused while seeking the right company for various jobs based on the amount of the bid.
Regarding an unidentified $27.9 million contract, Thompson says district staffers ‘admitted, ‘I’m sure [the contractor] can offer a much lesser price if using their usual methods [if they were not forced to subcontract with MWBE/DBE.” Despite his recognition that ‘this whole program is an easy slippery slope,’ he nevertheless defended the scheme, and RCID paid above market rates to secure MWBE/DBE contracts.’
No exact number was given when OBJ asked how much the district was losing through these programs. A district spokesperson instead offered a statement that echoed the original August press release:
The program was ended because it was illegal and un-American. Any cost saving benefit would be an additional benefit. The district is shifting the contracting process to favor local and veteran-owned businesses.
Thompson’s memo goes on to refer to previous legal cases that support the ending of these programs, citing that they violate the Equal Protection Clause of the 14th Amendment of the U.S. Constitution.
Had [Reedy Creek Improvement District] conducted a statistical analysis and maintained supporting anecdotal evidence indicating historical or ongoing racial discrimination in the district’s contracting, their MWBE/DBE programs may have been able to withstand strict scrutiny.
David Thompson, in a memo to CFTOD Board Chair Martin Garcia
The Disney-DeSantis Feud
This is the latest installment in the overall, long-running feud between Disney and Florida Governor Ron DeSantis, who hand-picked members of the Central Florida Tourism Oversight District board when the Reedy Creek Improvement District was dissolved.
The Florida Governor and Walt Disney Company initially clashed over the corporation’s opposition to a much-debated and controversial Florida law regarding classroom instruction and discussion on sexual orientation and gender identity in public schools, alongside various other recent state laws and proposals in a similar vein.
Bob Chapek was Chief Executive Officer at the time and initially remained silent and passive on the issue — until massive internal criticisms from Cast Members, the LGBTQ+ community, and controversy over Disney’s practice of making hefty political contributions to campaigns and individuals allegedly against their own stated human principles came into focus.
In an apparent act of retribution over Chapek’s expression of dissent, the Governor moved forward with various verbal and legal assaults on Disney, including the dissolution of the Reedy Creek Improvement District and eventual transfer of power directly under his control. DeSantis argues he is attacking an incredibly vague perception of something he calls “woke politics,” allegedly invading the state — frequently stating his intention to put the people of Florida first through these actions and the newly-formed Central Florida Tourism Oversight District board:
Disney has gotten away with special deals from the state of Florida for way too long. It took a look under the hood to see what Disney has become to truly understand their inappropriate influence.
Every member of this governing body has been a handpicked ally of the Governor thus far, including a Christian nationalist and lawyer who donated $50,000 to the DeSantis gubernatorial campaign, among others. In May, an administrator for the district (Glen Gilzean) was also appointed, with a significantly increased $400,000 salary directly related to ongoing DeSantis-led legal fights regarding Disney and several other issues around the state. The legal expenditures made by the Governor are being funded by Florida taxpayers.
DeSantis has previously argued he is attacking a vague perception of something he calls “woke politics,” allegedly invading the state — frequently stating his intention to put the people of Florida first through these actions and the newly-formed Central Florida Tourism Oversight District board:
Disney has gotten away with special deals from the state of Florida for way too long. It took a look under the hood to see what Disney has become to truly understand their inappropriate influence.
DeSantis said in a CNBC interview that he has “moved on” from his battles with The Walt Disney Company, and wants the whole issue to be dropped.
Central Florida Tourism Oversight District Administrator Glen Gilzean Jr. resigned from his position as chairperson of the Florida Commission on Ethics last month, after it was discovered he had violated a rule of the Commission by taking the District job.
At the end of August, it was revealed that CFTOD had already ended the Walt Disney World Annual Pass program for their employees with no notice.
Disney is expected to foot both sides of the bill in its battles against CFTOD and DeSantis, as Disney and its affiliated properties pay about 86 percent of the district’s property taxes, from which is where the funds for its legal expenses are pulled.
Most recently, CFTOD filed a motion to dismiss Disney’s countersuit at the state level, stating multiple times in a supporting document that Disney has “unclean hands.”
What do you think of this new insight regarding DeSantis’ district board and the dissolution of these diversity contracting groups? Share your thoughts with us in the comments.
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