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Spartan Chassis Inc. has received a tax credit grant from the Michigan Economic Development Corp. (MEDC) so it can expand its motorhome and fire-truck chassis assembly operation in Charlotte, Mich.
Spartan Chassis, subsidiary of Spartan Motors Inc., plans to invest $7.3 million to expand its operations in Charlotte because it recently signed new diesel-pusher motorhome chassis supply contracts with Fleetwood Enterprises Inc.’s RV Group and Newmar Corp., and because of its strong fire-truck chassis orders, according to Richard Schalter, president.
Earlier this month, Spartan Chassis was named the exclusive chassis supplier for three of Newmar Corp.’s diesel-powered motorhome product lines for the 2005 model year and five of Fleetwood RV’s diesel-powered motorhome product lines beginning Aug. 1.
The Michigan tax credit grant will allow Spartan Chassis to create 415 jobs over the next five years. Meanwhile, MEDC is predicting that an additional 641 jobs will be created at other Michigan companies by 2009 because of the increased economic activity created by the Spartan Chassis expansion.
“These expansions along with the others we most recently announced indicate that manufacturing is still alive and well in Michigan,” said Michigan Gov. Jennifer M. Granholm.
Spartan currently employs 438 people in Michigan and an additional 275 at its fire-truck chassis and emergency vehicle assembly plants in South Carolina, South Dakota and Pennsylvania.
Spartan Chassis had considered a site in Kentucky, but Michigan’s Single Business Tax credit, worth $4.3 million, convinced the company it should expand in its home state. An economic analysis by the University of Michigan estimates that nearly $603 million in new personal income will be generated from the project over the life of the agreement.
“We are proud to be a Michigan manufacturer and pleased this grant will allow us to grow our business within the community of Charlotte,” Schalter said.