The Florida court's ruling that the Orange County Appraisers office improperly valued one Disney resort could lead to millions in tax refunds.
Disney has been engaged in a years-long battle with Orange County over valuation methods utilized by former appraiser Rick Singh. At issue are tax bills from 2015 and 2016 which rose sharply when Singh attached intangible value to the property which Disney argued was improper. Ninth Circuit Court Judge Thomas W Turner this week ruled in Disney's favor, claiming that the valuation methods were "unconstitutional and invalid."
The suit specifically addressed Disney's Yacht and Beach Club Resorts, with Orange County Tax Collector Scott Randolph confirming to the Orlando Sentinel that Disney may be due a refund of $2 million for 2015-16. Singh's valuation method saw the assessed value of the property more than double in one year from $154 million in 2014 to $336 million in 2015.
The suit is viewed as a bellweather for the handling of other Disney resorts. According to Randolph, Disney could be due a total refund of $80 million across all of its properties.
A large portion of the refund would come from the Orange County Public School system. According to the Sentinel, Randolph previously warned school leaders that a ruling may favor Disney. Money has reportedly been budgeted to resolve the matter.
Singh lost his reelection bid in 2020 to current appraiser Amy Mercado. The county is considering whether or not to appeal the ruling.
Disney Vacation Club members are responsible for property taxes on their ownership interests. Taxes make up about 15-20% of the annual dues. Should Disney receive a refund on 2015 and 2016 taxes, a portion would presumably be passed-on to DVC owners who were included in the overbilling.
