Title
Business Location and Expansion - Scout Motors, Incorporated
Action
ACTION:
1) Open public hearing to receive comments on a proposed Business Investment Program grant to Scout Motors, Incorporated
2) Close public hearing
3) Adopt a resolution approving a Business Investment Program grant to Scout Motors, Incorporated for a not-to-exceed amount of $12,800,000 and authorize the County Manager to negotiate and execute the contract
Staff Contact: Clay Andrews, Economic Development Manager, Office of Economic Development
Presentation: Yes
BACKGROUND/JUSTIFICATION:
Scout Motors, Incorporated is an American startup that is backed by the Volkswagen Group of Germany. They will manufacture and market off-road electric vehicles. They are seeking to locate a headquarters that will serve as the central hub for Scout’s nationwide network of talent and operations, including its production center in South Carolina, Innovation Center in Michigan, and the planned national retail, distribution, and service operations.
Scout Motors, Incorporated’s proposed project meets all the following grant guidelines for a 15-year Business Investment Grant, specifically:
• A taxable investment of $206,974,180 to be completed in the next five years.
• Creation of 1,200 new jobs with an average wage of $179,771 (which is equal or greater than 100% of the average SOC codes for each job position for the Charlotte-Gastonia-Rock Hill M.S.A.).
• There is competition for this project from Tyson’s Corner, VA, and Charleston, SC.
The general terms and conditions of this grant include:
• A portion of the grant must be repaid if the company moves this investment from Charlotte within 10 years of the end of the grant term.
• Actual grant payments are based on the value of the investment as appraised by the Mecklenburg County Tax Office.
• All property taxes due from the company must be paid before a grant payment is made.
The Board of County Commissioners indicated its intent to approve this grant in a closed session on 10/07/25.
PROCUREMENT BACKGROUND:
N/A
POLICY IMPACT:
N/A
FISCAL IMPACT:
Business Investment Grant Account: first estimated payment would be in FY29.