THE VIRGINIAN-PILOT
Copyright (c) 1994, Landmark Communications, Inc.
DATE: Monday, August 29, 1994 TAG: 9408290206
SECTION: LOCAL PAGE: B2 EDITION: FINAL
SOURCE: ASSOCIATED PRESS
DATELINE: MANASSAS, VA. LENGTH: Medium: 57 lines
Walt Disney Co. officials are refusing to pledge to Prince William County that the company's planned theme park won't secede from the county and become part of an independent city.
Five of the county's eight planning commissioners said they would vote against the entertainment giant's planned $650 million history-based park and real estate development unless they got such a pledge.
The issue, which emerged Saturday during the commission's six-hour work session with Disney officials, came two weeks before the panel is to vote on the proposal for the Disney's America park and surrounding development.
``I'm gravely concerned,'' Commissioner Donald Poe said of the possibility that Disney could secede, thereby stripping the county of its taxing power over the project.
County officials project $12 million in tax benefits from the project in 1998, growing to $29 million by 2010.
Dana Nottingham, real estate director for Disney's America, cited the potential tax savings as his reason for refusing to say the company would never seek annexation.
``We have no intention of seeking de-annexation or creating a special district ... but we can't promise we will never pursue that option,'' he said. ``There may be conditions beyond the power of any person in this room.''
Nottingham said he would consider a pledge lasting as long as 20 years, but even that would require clearance from senior executives.
A majority of Prince William planning commissioners said that would not be long enough, since the project is not slated to be fully built until 2010.
Poe said the effect of Disney's planned development, which include a park, 2,281 houses, 1,340 hotel rooms and 1.9 million square feet of office and shopping, would go on ``forever.''
``What you're asking for is permission to build this theme park, all the retail facilities, all the residential facilities,'' Commissioner Frank Milligan said. ``But we need to know we're getting the bang for the buck to take all risk of letting all this traffic and all those people in. Otherwise, why in the world would we want to do this?''
The commission cited a precedent in Disney's practice in Florida, where the state legislature authorized it to create a special taxing district for its 30,000-acre Walt Disney World operation near Orlando. The vote enabled the company to virtually carve out its own government.
Prince William planning commissioners have scheduled a final public negotiating session with Disney for Sept. 7, three days before they are to hold a public hearing and vote on the matter.
The county's supervisors can disregard the planning commission's vote, but a negative recommendation could pose an unexpected political obstacle.
KEYWORDS: DISNEY AMERICA by CNB