How Disney World Became Its Own Government - YouTube

Channel: The Infographics Show

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In Disney, one mouse reigns supreme- and if you  step foot on their Disney World property, that  
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mouse is now your sovereign. This is the story  of how Disney World became its own government. 
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The mid-1950s were a turbulent time in America.  The Korean War had just ended, and it wouldn’t  
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be long before the US would find itself mired  in another in Vietnam. The US was also in the  
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middle of a Cold War with the Soviet Union that  looked like it could turn hot at any moment, while  
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Elvis Presley was shaking his hips on national  television, leading to millions of parents having  
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to cover their children’s scandalized eyes. It was right in the middle of this time of  
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upheaval that a man named Walter Elias Disney  opened his very own theme park in Anaheim,  
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California. It was a place where the public  could go to truly get away from it all and  
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see their favorite animated heroes from the screen  come to life. It was a place where their wildest  
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dreams could come true, for a price, of course. Disneyland was incredibly successful, so much so  
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that Walt was soon looking for a location for his  second park, one that he would make even bigger,  
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grander, and most importantly, more profitable.  Because even though the park had been a huge  
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achievement, Walt knew that it had a flaw. Surveys of visitors to Disneyland showed that  
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only 5% of the park’s guests were from the eastern  half of the United States. Apparently, even the  
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happiest place on earth wasn’t enough to convince  New York travelers to spend their hard-earned  
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dollars in California. This meant that Disneyland  was missing out on 75% of the nation’s population  
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and, with it, the largest pool of tourists in  the country, but Walt had a plan to fix that. 
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His big idea was an even grander park. A whole  self-contained world of happiness and whimsy,  
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all infused with that Disney magic, of  course. A Disney World, if you will. 
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But this place was going to be different from  the first park in Anaheim. Disney wanted far  
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greater control over the surrounding areas,  as he intensely disliked the businesses that  
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had popped up around Disneyland, which he felt  detracted from his vision of what the Disney  
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theme park experience should be. He needed  land, and a lot of it, but more importantly,  
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he needed it to be in a place where he  could wield ultimate authority and where  
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no pesky local officials would try to disrupt his  grand plan for the world’s greatest theme park. 
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Disney turned his eyes to Florida and found  what he considered to be the perfect location.  
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Sure, at the time, it was nothing  more than a stinky, steaming swamp,  
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but Walt could see past that and recognize the  potential for his Walt Disney World Resort. 
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He found a site inhabited only by skunk apes and  alligators, and which had the added benefit of  
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being very close to the planned Interstate 4,  as well as the Florida turnpike. In addition,  
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McCoy Air Force Base, which would become Orlando  International Airport, was also near the planned  
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construction site. This placed Disney World in  a spot with easy access to major transportation  
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hubs, which suited Disney's plans to bring that  other 75% of the country into his new resort. 
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There was just one problem. The 30,500 acres  of land Disney was eyeing was cheap - for now.  
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But if word got out that the Disney corporation  was looking to buy land to build a new resort,  
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prices would undoubtedly surge, potentially  adding tens of millions of dollars in costs  
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to the project. Thus, Disney World would have to  be planned in absolute secrecy. No one outside of  
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the organization could know about the park. That  meant that even internally, no one was allowed to  
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utter the words “Disney World,” and the project  was referred to in-house only as 'the Florida  
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project.’ Any leakers knew that they would face  the wrath of the most powerful mouse in the world. 
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In order to keep land prices down, the Disney  corporation created a slew of shell corporations  
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that it used to acquire the land in question.  These corporations bore exotic names such as  
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“Ayefour Corporation,” “Latin-American Development  and Management Corporation,” and “Reedy Creek  
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Ranch Corporation.” This tactic successfully kept  landowners and the government unaware of Disney's  
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slow takeover of 48 square miles of Florida- but  they soon ran into another problem. Mineral rights  
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in the area belonged to Tufts University, which  could invoke its right to mine for minerals at  
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any time and could force the removal of personnel,  equipment, even buildings. This was obviously not  
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going to work for Disney since Cinderella’s castle  isn’t exactly mobile. Luckily for Disney, they  
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eventually managed to negotiate the mineral rights  away from Tufts, acquiring them for just $15,000. 
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Now, with the land for the park secured, nothing  could stop Disney from making their dream come  
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true of building the place where dreams come true. Sadly for Walt Disney, he wouldn’t live to see his  
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dream fulfilled. He died in 1966 after a battle  with cancer, just one year after the public  
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announcement of Disney World. His brother, Roy O.  Disney, took over the park’s construction - and  
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he too would make sure that this wasn’t  your ordinary, run-of-the-mill theme park.  
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As Walt had himself said before he died, Disney  World would only stop growing when imagination ran  
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out. Such a massive planned theme park would  require more than just hotels, restaurants,  
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bathrooms, and even transportation- it would  need all the same services as a small city.
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But for the Disney corp, trying to negotiate and  plan the administration of city services on such a  
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massive scale with the Florida government wouldn't  just be a bureaucratic nightmare, it would also  
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add dramatically to operational costs. And it  would mean Disney wouldn't have near-absolute  
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authority over its own massive property- something  that the mouse couldn’t and wouldn't tolerate. 
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To successfully control their own land, Disney  would need to negotiate with Bay Lake and Lake  
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Buena vista municipalities, essentially taking  over the role of government. Disney sought to  
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effectively govern itself free of any outside  influence - but it’s no surprise that this  
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idea came with a fair number of detractors.  Critics of the plan argued that if Disney was  
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granted absolute sovereignty, it could for  all intents and purposes regulate itself,  
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dictating things like the local minimum  wage and even what is, or isn't legal. 
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Disney pushed ahead though and petitioned  hard for the creation of a special district  
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that would essentially be under its control.  While landowners in both Bay Lake and Lake  
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Buena Vista would still be able to vote on  governance within the 'Disney District',  
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as a major landowner itself, Disney would have  incredible power to enact statutes and measures.  
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Finally, after persistent lobbying, Disney got  its wish, and suddenly Disney World was free  
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of the restraints foisted upon your Average  Joe Theme Park owner in the rest of America. 
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Well, not quite. Disney did win the right to  control its own infrastructure, largely free of  
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state-wide regulations and any associated fees for  public services. This meant that Disney would be  
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allowed to build its own sewage and water systems,  as well as roads. However, the company would still  
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have to follow federal safety guidelines  and environmental regulations - you know,  
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if they felt like it, because honestly,  nobody was really checking for a long time. 
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This special Disney District would be named  the Reedy Creek Improvement District. It is  
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governed by a five member board of supervisors  which are elected by landowners of the district.  
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Since Disney is by far the largest landowner,  it's no surprise that senior Disney executives  
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are routinely elected in landslide victories.  Reedy Creek Improvement District is a democracy  
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like the rest of the US, only here every choice  is Disney. The district is completely free of  
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county and state control, except in the payment  of property taxes and elevator inspections. 
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For this though, Disney would need to provide its  own fire, medical, and environmental services.  
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In addition, while it operates a small army of  security staff, Disney must still rely on county  
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law enforcement and the Florida Highway Patrol to  make arrests. Disney is free however to enact its  
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own building codes, and ensures its buildings are  able to withstand 110 mph winds due to Florida's  
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habit of getting in the way of hurricanes. For utilities, Disney uses a subsidiary,  
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Reedy Creek Energy Services, to collect and  manage wastewater, as well as dispose of its  
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own trash and generate its own electricity.  While Disney basically owns the district,  
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most roads in the district are still public, save  for a small number of minor and dead-end roads  
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which lead to Disney attractions. The Reedy Creek  Fire Department, basically subsidized by Disney,  
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is responsible for responding to fire and  medical emergencies throughout the district,  
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though Disney also keeps a large number  of onsite medics for park emergencies. 
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Disney World has been a huge economic boon to the  area though. It employs 62,000 people at the park  
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itself, not to mention the millions and millions  of dollars that get brought to the area and spent  
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at other businesses by the millions who visit the  park each year. However, it's believed that the  
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Disney corporation owes the Florida government  untold millions in property taxes. By pumping  
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money into the election campaigns of officials who  promise to keep taxes low, Disney has managed to  
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evade large sums in tax revenue for the state.  Recently, however, Disney World property has  
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been reassessed, and the company's tax bill has  increased enough to warrant a slew of challenges  
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and lawsuits filed by Disney corp against Florida. Disney's self-regulating special district  
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is pretty unprecedented, and as the  company continues to grow and expand,  
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it might be looking at similar strategies in other  places around the country. So you never know,  
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one day you might wake up to find the mouse  planting his flag on your front lawn, and with  
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his trademark giggle, he’ll inform you that you  and your whole family now belong to Disney too. 
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Now go watch the video Disney doesn't want  you to see- Totally messed up things that  
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have happened at Disney World, or click this  other video instead. Vive la mouse resistance!