Chapter 67-1104 of the Laws of Florida, incorporating the
City of Bay Lake, was signed into law by Governor
Claude R. Kirk, Jr. on May 12, 1967, the same day he also signed chapters 67-764 (creating the
Reedy Creek Improvement District, or RCID), also known as the
Reedy Creek Improvement Act, and 67-1965 (incorporating the
City of Reedy Creek). It was and still is located fully inside the RCID, and all its duties have been taken care of by the RCID. As fully described in
Reedy Creek Improvement District, the city has always been controlled by
the Walt Disney Company and has allowed them powers that other area attractions have not had. Chapter 69-836 of the Laws of Florida, which became a law on July 3, 1969, without the governor's approval, redefined the city boundaries to exclude the easternmost part of Bay Lake. 69–1527, which became a law the same day, completely moved the city of Reedy Creek, with the land given up by Bay Lake included in the new city. Since then, Bay Lake has expanded to fill the original RCID west of Bonnet Creek, but the Reedy Creek Improvement District has expanded to include new land not in the city. The RCID had all the powers of the city and more, raising the question of why cities were incorporated inside of it.
Walt Disney's original plans for the site included at least one futuristic living area, a planned "
community of the future". This was never built, but some of the ideas were incorporated into the
EPCOT theme park. The later
Celebration, Florida was deannexed from the city and the RCID in 1994 so
the Walt Disney Company would not lose control of the district. The city is exclusively inhabited by Disney employees and their immediate families, residing in a community on the north shore of Bay Lake (on Bay Court). The only landowners are wholly owned subsidiaries of The Walt Disney Company, rights-of-way for state and county roads, and five five-acre (2.0 ha) parcels owned by senior Disney employees to grant them voting power in the Reedy Creek Improvement District. ==Geography==