Title
A public hearing to receive public comment on economic development incentives for VinFast Manufacturing USA, LLC and vote on a request to approve economic development agreement.
Abstract
The Chatham County Board of Commissioners propose to appropriate and expend County funds for an economic development project pursuant to North Carolina General Statute 158-7.1. Specifically, the County intends to enter into an Economic Development Agreement (Agreement) with VinFast Manufacturing USA, LLC (Company) which will construct and operate an advanced electric vehicle manufacturing facility and other ancillary and related uses in southeastern Chatham County. The Company expects that the Project will include real property, buildings, fixtures, machinery, and equipment having an initial aggregate increased tax value of at least $4 billion dollars ($4,000,000,000.00), and commits to create at least seven thousand five hundred (7,500) full time equivalent jobs at an average wage exceeding or equal to that of the median average wage for Chatham County.
Under the Agreement, the County would make annual cash incentive grants to the Company for 20 years equal to a declining percentage of actual increased property taxes paid: 90% years 1-4, 80% in years 5-8, 75% in years 9-11, 60% in years 12-15, and 50% in years 16-20. In addition, the County would make cash payments over a period of years using increased property taxes to reimburse the Company for its costs in acquiring land for the Project. The County would fund the payments with available revenues in the County’s general fund. The Board of Commissioners believes this project will stimulate and stabilize the economy of Chatham County by increasing the County’s tax base and by creating new jobs in the County. A copy of the proposed Agreement is available from the Chatham County Clerk.