Bournemouth, Christchurch and Poole (BCP) Council said it is planning to remove the monument temporarily for its protection on police advice.
It said it recognised that some aspects of Baden-Powell's life "are considered less worthy of commemoration".
Baden-Powell, a British Army officer who started Scouting in 1907, has been accused of racism and of being a Nazi sympathiser.
Locals have told Sky News they are against the statue's removal, which comes amid anti-racism Black Lives Matter protests over the death of George Floyd in the US that have sparked calls for the removal of monuments of controversial historical figures.
"This gentleman has helped the lives of 54 million children. His statue is here because it overlooks Brownsea Island, where the Scouts were founded.
"His history has nothing to do with the removal of this statue."
Asked if he wanted it to stay, he replied: "Absolutely."
The 52-year-old said his son has launched a petition to save the monument, which has been in the area since 2008.
"It has had more than 5,000 signatures since last night," he said.
"We don't want that statue going anywhere. If the police can't protect it, we will. It is not coming down. Shame on the council for being weak and giving in to thuggery."
His sentiments were echoed by another Poole resident, Len Banister.
"I will fight you!," said the 79-year-old, raising his arms - a walking stick in each.
Asked if the statue should be removed, he said: "No, it should not be. I'm here, I will fight for him."
He added: "I'm absolutely livid, I'm quaking I am so livid. He did so much for so many. I've come down to get a selfie before they remove the statue."
"It's history, isn't it," said a woman stood behind him.
Sharon Warne suggested controversial statues should have information panels about the figures they depict.
The 53-year-old said: "He had a bad past but he was the founder of the Scouts which today is a great organisation and it's ridiculous to get rid of him."
Rover Scouts Matthew Trott and Christopher Arthur travelled from Cwmbran, Wales, to show their support for the statue.
Mr Trott, 28, said: "I'd rather see the statue placed in a box in a warehouse for the moment rather than at the bottom of the harbour.
He said Baden-Powell "started the foundation I love", adding: "Scouting is my whole life so he is my hero."
Dorset Police said the statue had been identified as "a potential target" and the council was made aware, but added the decision on whether to remove the monument "was not one for the police and no advice was given to remove it".
"We appreciate the local council has a difficult decision, taking into account the various opposing views held by members of the public," the force said.
"We will continue to monitor intelligence and work with all our partners to reduce crime, prevent disorder and ensure public safety."
Baden-Powell's statue is on an activists' target list of monuments they want to see removed.
A Scouts spokesperson said the organisation operates "in almost every nation on Earth, promoting tolerance and global solidarity".
They added that the movement "is resolute in its commitment to inclusion and diversity, and members continually reflect and challenge ourselves in how we live our values".
