Midwestern April 2016 Issue by Autobody News

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Tax Increase Would Worsen Auto Insurance Rates for Millions of MI Drivers, Says MI Chamber of Commerce The Snyder Administration and some state lawmakers are flirting with the idea of eliminating a tax credit that currently helps offset the costs associated with covering individuals who are hurt in accidents caused by uninsured drivers. This move would worsen already high auto insurance rates for millions of Michigan drivers and likely drive up the number of uninsured motorists, says the Michigan Chamber of Commerce. “This is an unfair targeting of an industry that provides thousands of good, stable jobs across the state and will result in a tax increase on Michi-

gan drivers that are actually following the law,” said Tricia Kinley, Senior Director of Tax & Regulatory Reform for the Michigan Chamber. “The State Legislature has failed to act on measures to address the underlying costs of high auto insurance premiums,” added Kinley. “The proposed car insurance tax hike will only make a difficult situation worse for Michigan’s motorists.” “The Michigan Chamber has strong concerns with this ‘car insurance’ tax hike,” noted Michigan Chamber President & CEO Rich Studley. See MI Auto Insurance, Page 9

MO House: Uber Must Insure Drivers At All Times

of only a few states not to have addressed this important insurance issue. “By the end of 2015, a total of 29 states had enacted laws to protect not only their drivers, but their passengers and the public, by closing insurance gaps that left drivers and the public vulnerable in an accident,” Shull said while presenting his measure on the floor. “This talks about the insurance issues to make sure the public is protected in case of an accident,” State Representative Bob Burns, who also supports the bill, said. The clarification was applauded by insurance agents, who have not had See Uber Insurance, Page 21

Change Service Requested

P.O. BOX 1516, CARLSBAD, CA 92018

A bill passed by Missouri’s House would make Uber liable for accidents not involving passengers. According to the legislation, ridesharing companies like Uber must provide their drivers with commercial coverage at all times when the company app is switched on. That means Uber is liable for accidents not involving passengers if the driver is actively looking for customers. Previously, a gap existed between personal insurance—which covers the time period before the app is switched on—and commercial insurance, which is triggered once a driver accepts a passenger’s ride request. In passing the bill, Noel Shull (R-Kansas City) said Missouri is one

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Indiana Moves Forward on GM-Written Bill To Close Auto Sales Loophole, Sponsor: “Not About Tesla” Indiana is seriously considering legislation that could lock Tesla out of the state—with a real possibility that Tesla will be prohibited from holding a dealer license in the state after 2017. The Indiana Senate Committee on Commerce & Technology recently held a hearing on the bill in question —HB1254/Amendment 3, authored by GM—and held a follow-up meeting on February 25th, at the Capitol building. The bill, authored by Rep. Kevin Mahan, R-Hartford City, could ban auto manufacturers from selling directly to consumers. The bill seems designed to shut down Tesla, the manufacturer of all-electric vehicles whose direct sales strategy runs counter to the traditional franchise dealer model. Tesla operates a showroom at the Fa-

shion Mall at Keystone. The House on Feb. 2 passed a version of House Bill 1254 that would send the issue to a study committee. But a proposed amendment to the bill would bypass a study. It “provides that a dealer license issued to a manufacturer expires after 30 months,” causing Tesla’s dealer license to expire in 2018. “It’s not about Tesla. It’s about a level playing field,” Mahan said. “Tesla just happens to be the only manufacturer in the state working under this situation. But the thing is, with the technology forthcoming, not only in the United States, you could have another manufacturer pop up any time. So I’m trying to close this loophole.” Indiana lawmakers are pushing the bill as Tesla is planning to unveil a See Indiana Loophole, Page 20

NABR Launches New VRS Labor Rate Survey for Luxury Brands and Special Vehicles

National AutoBody Research (NABR) announced in March the launch of the new VRS Labor Rate Survey for Luxury Brands and Special Vehicles. Intended for collision repairers who work on highline vehicles and have luxury brand manufacturer certifications, the online survey is free and is accessible on the NABR website. Through the survey and its VRS technology, NABR measures and reports the market-based labor prices collision repairers charge for working on luxury brand vehicles, such as Audi, Bentley, Mercedes, or Tesla, for example, as well as special vehicles such as the new Ford F-150 or Nissan GT-R. “This new survey fills a large gap in collision repair pricing information and enables a new level of pricing sophistication for repairers,” said Sam Valenzuela, president of NABR. “Previously, there was no easy way for a repairer to know what competitive market labor rates were for working on luxury and special vehicles, or to know whether their price was above or below market.”

“The significance of this new survey and new pricing data cannot be overstated,” said Eric McKenzie, director of body shop operations for Park Place Dealerships, which includes Park Place Bodywerks in Dallas, TX. “This is a real breakthrough for the industry, helping us all understand market prices nationwide for repairing highline vehicles. Intuitively, shops know they cannot charge standard door rates for repairing these luxury brands, given the tremendous investment required to achieve those manufacturer certifications. Yet, it is not really clear what the market price is either, so this new VRS survey will shine light on that topic, to everyone’s benefit.” Any collision repair owner or general manager may request a free, no-obligation demonstration of the VRS by contacting Sam Valenzuela, president, National AutoBody Research, 913-226-6550, Sam@National AutoBodyResearch.com. You can also visit www.National AutoBodyResearch.com for more information.

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2 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com

REGIONAL

ASA Midwest Chapter Meetings Highlight

Important Issues for Body Shops . . . . . . . 12

Cars, Careers & Celebrities Event Being Held at

LKQ to Acquire Pittsburgh Glass Works

NATIONAL

2016 Second Quarter Training Schedule Announced by The Martin Senour

Company . . . . . . . . . . . . . . . . . . . . . . . . . 38

Chicagoland Speedway in September . . . . . 9

3M and Festool Announce Collaboration

Families, Announces New Location in OH . 25

AASP-MN Updates: Association Annual Meeting

CARSTAR Donates Two Vehicles to Needy

Freedom High School Automotive Awarded

Grant . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

Gerber in IL Donates $50,000 to CREF . . . . . . 6

to Serve Collision Repair Industry . . . . . . . 63

& Leadership Conference; “Negotiation Tools

& Best Practices” Seminar With Axalta;

and New Venue for Annual Golf Outing . . . 28

IABA February Meetings Address Changes

ABA Connecticut Releases “Now What?”

IL Bill Would Impose Storage Requirements . . 9

AkzoNobel Reveals 2016 Distributor Council . . 47

to FLSA . . . . . . . . . . . . . . . . . . . . . . . . . . 39

Illegal Dumpers Leave Mess for

Kansas City, MO Church. . . . . . . . . . . . . . 17

Indiana Moves Forward on GM-Written Bill To

App for Consumers . . . . . . . . . . . . . . . . . 29

Alleged Admissions of ‘Price Fixing’ by

State Farm and Progressive Employees

Prompt New Filings in Multi-District Lawsuit . 27

Close Auto Sales Loophole, Sponsor:

Altra Products Supply, a Car-O-Liner Distributor,

Lonsdale Auto Works in MN Awarded AAA

Audatex: Seam Sealer is a Body Operation . . 60

“Not About Tesla”. . . . . . . . . . . . . . . . . . . . 1

Top Shop for Fifth Consecutive Year . . . . . 14

Celebrates 30-Year Milestone in Business . . 8

Auto Glass Academy Training Begins in April . 63

MO House: Uber Must Insure Drivers

Axalta's Custom Finishes Calendar

North Dakota Auto Body Association Annual

BASF Names N. America Distribution Director . . 63

Phillips - OH Auto Body Shop Benefits from

BMW Ramping Up in Autonomous Vehicle

Suspects Crash into Rockville, MN,

Google’s Self-Driving Car Hits Bus: No Injuries,

Meeting . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

Hiring & Training Students . . . . . . . . . . . . 30

Body Shop . . . . . . . . . . . . . . . . . . . . . . . . 29

Tax Increase Would Worsen Auto Insurance Rates for Millions of MI Drivers, Says

MI Chamber of Commerce . . . . . . . . . . . . . 1

Valley Forge, OH Automotive Repair Program Prepares Students to Get Right Out Into

the Workplace . . . . . . . . . . . . . . . . . . . . . 20

Vehicle Donated to South Central College

in MN, Proceeds Go Toward Scholarships. . 13

Vescio’s Customizing and Restorations Wins “Outstanding Paint” at Autorama

Detroit 2016. . . . . . . . . . . . . . . . . . . . . . . 24

Work changes for Dickinson’s Jay R’s

Auto Body in ND. . . . . . . . . . . . . . . . . . . . 16

COLUMNISTS

Attanasio - Body Tech in Montana Paints

Competition . . . . . . . . . . . . . . . . . . . . . . . 56

Best Practices Shared After CARSTAR Merger . 34 Space . . . . . . . . . . . . . . . . . . . . . . . . . . . 56

Team Expands, Google to Testify Before

Congress . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Larson Electronics Releases Two New

Products . . . . . . . . . . . . . . . . . . . . . . . . . 60

LKQ to Acquire Pittsburgh Glass Works . . . . . 3

Looking Outside of Industry Prompted Maaco

Partnership With Pep Boys . . . . . . . . . . . . 35

Mirka USA Introduces Aquastar® Abrasive . . 60 NABR Launches New VRS Labor Rate Survey

for Luxury Brands and Special Vehicles . . . 1

Nviro-Tech Launches Paint Facts Displays. . . 60

PDA Extends Expertise to Financial Services

Sector . . . . . . . . . . . . . . . . . . . . . . . . . . . 59

Portacool Introduces New Jetstream™ Coolers. 60

PPG MVP Conference Registration is Open . . 63

PPG’s Charley Hutton Delivers Another Ridler

Award-Winning Finish. . . . . . . . . . . . . . . . 14

a Second Career as an Artist . . . . . . . . . . 54

Recent Poll Finds Tie Between Car Driven and

Legislative Day on April 12th . . . . . . . . . . 22

Rotary Lift Introduces Video Series . . . . . . . . 39

Attanasio - CAA Takes on the Capitol at

Attanasio - The Little Things Go a Long Way

with Customer Service . . . . . . . . . . . . . . . 52

Luehr - How to Hold People Accountable . . . 40

Phillips - Female Shop Owner in NY Says Success is Due to Being Prepared &

Connecting With Customers . . . . . . . . . . . 36

Phillips - NY Body Shop Owner’s Weekly Radio Show Aims to Educate and

Presidential Candidate Supported . . . . . . . 30

Service King Launches Revitalized Website. . 24

Sherwin-Williams Automotive Finishes 2016

Second Quarter Training Schedule . . . . . . 56

The Body Shop of the Future. . . . . . . . . . . . . 44

Tsunami Compressed Air Solutions Launches

The Rove . . . . . . . . . . . . . . . . . . . . . . . . . . 8

VA Photo Bill Passes with WMABA’s

Suggested Amendments. . . . . . . . . . . . . . 38

Entertain Customers. . . . . . . . . . . . . . . . . 42

WACTAL Convention Receives Positive

Everyone Should Be a WINner . . . . . . . . . 50

WIN Announces 2016 Educational Conference

Value Claims . . . . . . . . . . . . . . . . . . . . . . 48

Women’s Industry Network Announces 2016

Sisk - Why WIN? Webinar Explains Why Wickert - A Primer on Diminution in

YYoswick - Mike Anderson in 1996, Incomplete Estimates, Feather Prime and Block,

PartsTrader . . . . . . . . . . . . . . . . . . . . . . . 58

Feedback from Attendees . . . . . . . . . . . . . 21

Content and Celebration of 10th Anniversary. 34

Most Influential Woman in Collision Repair

Award . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

solution to the North American collision repair industry by adding automotive glass to our product offerings. PGW is the largest pure-play provider in the $3.5 billion North American automotive glass market. This acquisition will expand our addressable market in North America and globally, and simultaneously offers tremendous distribution synergy opportunities with our existing network,” stated Robert L. Wagman, president and CEO of LKQ Corporation. Jim Wiggins, chairman and CEO, Pittsburgh Glass Works, LLC commented, “PGW transformed itself into a strong global competitor of automotive glass and enjoyed tremendous market and financial success under the stewardship of Kohlberg and PPG. We are excited to become part of the LKQ family, and expect that the company will continue on its growth and success trajectory under LKQ.” PGW’s revenue for the 12 months ended October 31, 2015 was approximately $1.07 billion, and LKQ expects the transaction to be accretive to its earnings in 2016. These projected results exclude restructuring and acquisition related expenses.

Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Assistant Editor: Stacey Phillips Online Editor: Victoria Antonelli Contributing Writers: Tom Franklin, John Yoswick, Janet Chaney, Toby Chess, David Brown, Rich Evans, Ed Attanasio, Chasidy Sisk, David Luehr Advertising Sales: Joe Momber, Sean Hartman, Bill Doyle, Norman Morano (800) 699-8251 Office Manager: Louise Tedesco Sales/Research Associate: Cass Heckel Art Director: Rodolfo Garcia

Indexof Advertisers

At All Times . . . . . . . . . . . . . . . . . . . . . . . . 1

LKQ Corporation announced on February 29 that it has signed a definitive agreement to acquire Pittsburgh Glass Works LLC from private equity firm Kohlberg & Company LLC and PPG Industries, Inc. for an enterprise value of $635 million. PGW is a global distributor and manufacturer of automotive glass products. PGW’s business comprises wholesale and retail distribution services, automotive glass manufacturing, and retailer alliance partnerships. PGW operates 120 distribution branches serving over 7,000 automotive glass retailer shops across North America. In addition, PGW operates 12 automotive glass fabrication facilities in North America, Europe and China. The transaction is expected to be completed in the second quarter of 2016 and is subject to customary closing conditions and necessary regulatory approvals. “We are excited to be partnering with PGW, and look forward to working with the existing core management team at PGW to continue to invest in and grow its business while continuing the high quality service to all its customers. PGW reflects LKQ’s commitment to provide a one-stop-shop

Abaris Training Resources, Inc. . . . 22 Audi Wholesale Parts Dealers . . . . 54 Axalta Coating Systems . . . . . . . . . . 2 Blue Springs Ford . . . . . . . . . . . . . . 35 BMW Wholesale Parts Dealers . . . . 59 Bob Hook Chevrolet . . . . . . . . . . . . 12 Car-Part.com . . . . . . . . . . . . . . . . . . . 8 Carcoon America Airflow Systems . 42 Certified Automotive Parts Association (CAPA). . . . . . . . . . . 41 Charles Gabus Ford . . . . . . . . . . . . 53 Chief Automotive. . . . . . . . . . . . . . . 15 Classic Chevrolet . . . . . . . . . . . . . . 49 Classifieds. . . . . . . . . . . . . . . . . . . . 62 Courtesy Subaru. . . . . . . . . . . . . . . 38 Dent Magic Tools . . . . . . . . . . . . . . . 6 Dominion Sure Seal, Ltd. . . . . . . . . 13 Eco Repair Systems of North America, LLC . . . . . . . . . . 20 Equalizer Industries, Inc. . . . . . . . . 39 Erhard BMW of Bloomfield Hills . . . 25 Erhard BMW of Farmington Hills . . 25 FBS Distribution Co., Inc. . . . . . . . . 28 Ganley Westside Hyundai . . . . . . . 50 Ganley Westside Subaru . . . . . . . . 31 GM Wholesale Parts Dealers . . . . . 61 Graham Auto Mall . . . . . . . . . . . . . . 29 Hall Volkswagen-Mazda . . . . . . . . . 43 Hendrick Automotive Group . . . . . . 23 Herkules Equipment Corporation. . 27 Honda-Acura Wholesale Parts Dealers . . . . . . . . . . . . . . . . . 32, 33 Hyundai Wholesale Parts Dealers . 56 Jake Sweeney Chevrolet . . . . . . . . 50 Kelly BMW . . . . . . . . . . . . . . . . . . . . 30 Kia of Des Moines . . . . . . . . . . . . . . 53 Kia Wholesale Parts Dealers. . . . . . 57

Serving Illinois, Iowa, Indiana, Kansas, Kentucky, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota, Wisconsin and adjacent metro areas. Autobody News is a monthly publication for the autobody industry. Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher. ©2016 Adamantine Media LLC. Autobody News Box 1516, Carlsbad, CA 92018; (800) 699-8251 (760) 603-3229 Fax www.autobodynews.com Email: news@autobodynews.com

Midwest

Contents

Killer Tools & Equipment Corp . . . . . 6 Kool Tools - SEMA 2015 Product Review . . . . . . . . . . . . . . . . . . 18-19 Larson Electronics, LLC.. . . . . . . . . 36 Laurel Auto Group of Westmont . . . 45 Luther Hopkins Honda . . . . . . . . . . 16 Maplewood Toyota-Scion . . . . . . . . 51 Mazda Wholesale Parts Dealers . . . 54 Midwest Parts Group . . . . . . . . . . . 10 Miracle System/Equipment Gateway, Inc. . . . . . . . . . . . . . . . . 9 Mitsubishi Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 63 MOPAR Wholesale Parts Dealers . . 37 Morrison’s Auto Parts . . . . . . . . . . . 52 Nissan of South Holland . . . . . . . . . 48 Nissan Wholesale Parts Dealers. . . 60 Orio . . . . . . . . . . . . . . . . . . . . . . . . . 21 Polyvance . . . . . . . . . . . . . . . . . . . . 26 Richfield-Bloomington Honda . . . . 40 Russ Darrow Automotive Group. . . 24 SATA Spray Equipment . . . . . . . . . . 7 Sherwin-Williams Automotive Finishes . . . . . . . . . . . . . . . . . 16, 17 Subaru Wholesale Parts Dealers . . 46 The Sharpe Collection of Automobiles . . . . . . . . . . . . . . . . 34 Toyota of Des Moines . . . . . . . . . . . 53 Toyota of Grand Rapids . . . . . . . . . 44 Toyota Wholesale Parts Dealers . . . 58 Valspar Automotive . . . . . . . . . . . . . . 5 VanDevere Kia-GM . . . . . . . . . . . . . 47 Volkswagen Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 55 Wesch Tools . . . . . . . . . . . . . . . . . . . 8 West Bend Insurance . . . . . . . . . . . 14 Zimmer Chrysler-Dodge-Jeep-Ram . 64

www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 3

Google’s Self-Driving Car Hits Bus: No Injuries, Team Expands, Google to Testify Before Congress

One of Google’s self-driving cars has collided with a public bus in Mountain View, CA, an accident report has revealed, in what appears to be the first instance of one of the company’s prototype cars causing an accident. The collision between the self-driving vehicle and a city bus was apparently caused by a software error on the part of the vehicle. The car pulled into the bus’ lane assuming that the bus was going to yield, but it didn’t. The collision happened on Feb. 14. Footage recorded by cameras on the bus shows a Lexus SUV, which Google has outfitted with sensors and cameras that let it drive itself, edging into the path of the bus that was rolling by at about 15 mph. Though it was a low-speed collision, the impact crumpled the Lexus’ front left side, flattened the tire and tore off the radar Google installed to help the SUV perceive its surroundings. The Lexus had to be towed. Neither the Google employee in the driver’s seat—who must be there under California law to take the wheel in an emergency—nor the 16 people on the bus were injured. The transit agency has concluded based on the footage that the bus driver was not responsible, spokeswoman Stacey Hendler Ross said. An independent claims adjustor has not yet determined liability, she said. El Camino Real is a busy six-lane boulevard with hundreds of intersections. The car was following a recent change to its programming, following “the spirit of the road” as well as the traffic code by hugging the far side of the right-turn lane to allow other cars to pass on the left. Images from the bus show two small, black sandbags on either side of a drain at the curb. The right lane was wide enough to let some cars turn and others go straight, but to avoid driving over the sandbags, the Lexus needed to slide to its left within the lane. The bus and several other cars that drove straight were to the left of the Lexus, in the same lane. When the light turned green, several cars ahead of the bus passed the SUV. Google has said that both the car’s software and the person in the driver’s seat thought the bus would let the Lexus into the flow of traffic. The Google employee did not try to intervene before the crash. “This is a classic example of the negotiation that’s a normal part of driving—we’re all trying to predict each other’s movements. In this case, we clearly bear some responsibility, because if our car hadn’t moved there wouldn’t have been a collision,” Google wrote of the incident, adding,

“That said, our test driver believed the bus was going to slow or stop to allow us to merge into the traffic, and that there would be sufficient space to do that.” The software that controls the cars is programmed to follow all traffic laws and to drive conservatively, the company said. The law-abiding algorithms that rule the SUV’s onboard computer make its decision to try and slip in front of the bus surprising. Footage from a forward-facing camera on the bus shows there was not much more than a full car length between the bus and the GMC Yukon in front of it. Google said it has tweaked its software to “more deeply understand that buses and other large vehicles are less likely to yield to us than other types of vehicles.” The DMV said that manufacturers of autonomous vehicles must report crashes, but “the DMV is not responsible for determining fault.” A spokesman for the U.S. National Highway Traffic Safety Administration declined to comment. The company also said it has reviewed this incident “and thousands of variations on it in our simulator in detail and made refinements to our software. From now on, our cars will more deeply understand that buses (and other large vehicles) are less likely to yield to us than other types of vehicles, and we hope to handle situations like this more gracefully in the future.” The Feb. 14 crash is the first in which Google has acknowledged its car made a mistake that led to a collision. The company has reported that between September 2014 and November, its prototypes drove themselves about 400,000 miles on city streets near its Silicon Valley headquarters without causing a collision. Its fleet has likely driven an additional 100,000 miles since then, though the company won’t be specific. According to Google’s accounting, its cars have been hit nearly a dozen times on the streets in or around its Mountain View headquarters since road testing began in spring 2014.

Google Expands Self-Driver Team Google’s self-driving car team is expanding and hiring more people with automotive industry expertise, underscoring the company’s determination to move the division past the experimental stage. The operation now employs at least 170 workers, according to a Reuters review of online profiles. Google has advertised nearly 40 new positions on the team, and many are related to manufacturing. The team

4 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com

Bus Fails to Yield.

currently has six people with such experience, including purchasing, supplier development and supply chain management. Google has said previously that it intends to ready the technology for a marketable self-driving car by 2020, but it may never manufacture vehicles itself. Analysts say self-driving technology has several profit channels including licensing mapping database and vehicle control software, as well as an integrated package of software, sensors and actuators that would form the backbone of a self-driving vehicle. Google to Testify Before Congress The director of the Google X self-driving car project, Chris Urmson, and other auto industry executives will testify before Congress the week of March 13 on efforts to develop safe and effective autonomous cars. Senator John Thune, who chairs the Senate Commerce Committee, said that Chris Urmson would appear on March 15. Urmson will testify alongside executives from General Motors Co (Mike Abelson), Delphi Automotive PLC and Joseph Okpaku, VP of privately held ride-hailing service Lyft

Inc., to talk about “advancements in autonomous vehicle technology and its anticipated benefits for Americans,” the committee said. The director of Duke U’s Humans and Automony Lab, Mary Louise Cummings, will also testify.

The committee wants witnesses’ views “on the appropriate role of government in promoting innovation including removing unnecessary hurdles, and their strategy to grow consumer adoption of this new technology.” Major automakers and technology companies are racing to develop and sell vehicles that can drive themselves, but they have complained that state and federal safety rules are impeding testing and ultimate deployment of such vehicles. In January, NHTSA said it may waive some vehicle safety rules to allow more driverless cars to operate on U.S. roads as part of a broader effort to speed up development of self-driving vehicles. Safety regulators will write guidelines for self-driving cars within six months, Transporation Secretary Anthony Foxx said in January.

www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 5

Gerber in IL Donates $50,000 to CREF The Collision Repair Education Foundation (CREF) announced a $50,000 donation from Gerber Collision & Glass for the company’s participation in a number of 2016 collision career fairs and other collision student hiring initiative-related projects. Through the monetary support from donors, companies such as Gerber Collision & Glass, the Education Foundation is able to provide support to high school and college collision school program, instructors, and students. Tim O’Day, president of Gerber Collision & Glass noted, “Gerber Collision & Glass has been a long-time supporter of the CREF. I am confident that our contribution is helping to attract the right students to the collision repair high school and post high school programs, and ensuring that they receive the education and experience needed to take on the entry level jobs that we have available. New entrants to our industry are the key to our future success.” CREF Director of Development Brandon Eckenrode noted, “On behalf of the collision school instructors and students that we support, I would like to thank Gerber Collision & Glass for not only their continued support but also increasing their involvement with us. In

addition to their participation in many career fairs next spring, we will be collaborating on several additional projects that revolve around connecting collision students with employment opportunities. Only through our industry supporters are we able to address the issue of training high school and college collision students and helping to place them into the industry. Gerber Collision & Glass is a strong industry partner that is helping make that happen.” The CREF’s collision career fairs are open to all industry members to participate and those seeking to meet high school and college collision students are encouraged to contact the education foundation for sponsorship and participation information. Sponsorship funds raised through these career fairs assist the organization’s efforts to ensure that collision school programs have the needed tools, equipment, and supplies to graduate qualified and skilled entrylevel employees. For information on Gerber Collision & Glass, visit www.Gerber Collision.com. Industry members interested in participating in the career fairs can view information online and contact Eckenrode at Brandon.Eckenrode@ed-foundation.org or 847463-5244.

6 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com

Women’s Industry Network Announces 2016 Most Influential Woman in Collision Repair Award

The Women’s Industry Network (WIN) The MIW award recognizes woannounced this year’s honoree for the men who have enriched the collision reMost Influential Women (MIW) of the pair industry with their leadership, vision, collision repair industry for 2016. After and commitment to excellence. “Each reviewing nominations and interviewing year, women from different facets of the a number of women, one inspirational collision repair industry are selected for industry leader was selected to their passion and commitment receive MIW honors: Michelle to progressive and positive Sullivan, regional vice presievolution of the industry,” dent, Finish- Master Inc., Indistated Denise Caspersen, anapolis, IN. WIN chair. “With so many op“The 2016 MIW nomiportunities for women to have nees highlighted the georewarding careers, the sky is graphic, functional and sector the limit for those with talent, diversity of women who are Michelle Sullivan inspiration and a strong work influencing the collision repair received the 2016 ethic.” industry today,” stated Sandra Most Influencial The MIW program’s charHerron, owner of MiddlEdge, Women in Collision ter a-ligns with WIN’s mission Repair Award Inc. “I was inspired by each to “enhance the role of women nominee’s industry involvement, pro- in the industry.” Established in 1999 by fessional accomplishments, mentoring AkzoNobel, WIN acquired stewardship of others and community service. Mi- of the Most Influential Women program chelle’s record of creating value for in 2013. companies, developing industry talent, When the 2016 WIN Educational and championing charitable causes in Conference convenes in Tampa, FL May her community stood out as exemplary.” 2-4, past and current MIW honorees will Herron’s firm was contracted as a third- be celebrated during a gala awards recepparty entity to interview the nominees tion. Registration for the conference and and select this year’s honoree based on dinner will open mid-March. For inforspecific criteria established by the board mation, go to www.womensindustrynetof directors. work.com and click on “Conference.”

www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 7

Tsunami Compressed Air Solutions Launches The Rove

Tsunami Compressed Air Solutions, a company that specializes in providing compressed air filtration and dryer products, announced a new product in its line of clean air solutions. The company, based in Minnesota, said The Rove was created to provide the industry with a versatile filtration and drying system that can be easily wheeled across a shop or transported to another location where dry air is required. “Its unique quick-connect design makes the system extremely user friendly and provides waterborne-ready air for point-of-use applications,” said Steve Thompson, sales manager, PBE. He said that depending on the facilities air consumption, The Rove can provide down to -80° dew points for the entire facility. Developed for release in March of 2016, Steve Thompson, said that The Rove is changing the way body shops deliver dry air to their applications. The company’s other products include the Ultra Drying System, Moisture Minder Automatic Drain, and Ultra-flo Spray Hose. For information, contact Chase Marshall, cmarshall@gosuburban.com, 800-782-5752 or www.tsunami.us.com.

North Dakota Auto Body Association Annual Meeting

The 2016 North Dakota Auto Body Association held its annual meeting March 12, at Spirit Lake Casino & Resort at St. Michael, ND. Guest speaker, Jim Lovejoy, shared his personal experiences in the collision repair industry. Lovejoy is a services consultant for AkzoNobel Coatings and is in his 17th year with the company. His experience includes co-facilitating performance groups, teaching educational classes, conducting onsite consulting, and providing numerous other services and tools to his body shop customers. Lovejoy also assists shops in implementing lean and related processes as described in the Intro to Process Centered Environment (PCE) program. He earned a bachelor’s degree from Mankato State University with dual majors in Business Management and Personnel Management. In addition, Lovejoy has 12 years of General Manager and MSO Area Manager experience.

Altra Products Supply, a Car-O-Liner Distributor, Celebrates 30-Year Milestone in Business

Car-O-Liner®, a global provider of collision repair equipment to the automotive aftermarket, announced that Car-O-Liner distributor, Altra Products Supply Inc., is celebrating 30 years in business.

Richard Post, owner of Altra Products

Altra is owned by Richard Post and opened on March 1, 1986, in Wayland, MI. The 10,000-square-foot facility provides products such as Car-O -Liner measuring, welding and holding products, Garmat USA paint booths and booth products and Col-Met powder coat booths and ovens. “I opened Altra because I wanted to help people,” Post said. “This is a very technical industry, and we wanted people out in the field to know the right ways to correct damaged vehicles.” Altra began selling Car-O-Liner products in 2011, and Post said sales of

these products have really taken off locally. “We chose to work with Car-OLiner because they are a local company with great products,” he said. “They have a great local facility. Our customers recognize that Car-O-Liner is top notch in the industry. They like that we are supporting them so they are supporting us through that as well.” Post is a 1975 graduate of the Kent Career Center in Grand Rapids and holds an Associate’s Degree from Ferris State University’s auto body program. He has been married for 30 years and have four children. Post said support from family has been vital in the success of his business. His sister, Rose Wiers, has been the controller for Altra for 20 years. He also credits his employees for their continued hard work and support of the customers and their business. “Our employees here are second to none. They work very hard to take care of the customer and to make sure things are right for them,” Post said. “I couldn’t do it alone. I am very pleased to have these top notch people to do what we have done for the past 30 years. They have helped establish an honorable relationship with our customers. We’re looking forward to the next 30 years!”

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Cars, Careers & Celebrities to be at Chicagoland Speedway in September

As a follow up to the 2015 Cars, Careers & Celebrities event that brought together over 400 high school and college collision students from 10 states, the Collision Repair Education Foundation (CREF) announced that the second annual event will take place at Chicagoland Speedway in Joliet, IL on Friday, September 16 in conjunction with the first race in The Chase for the NASCAR Sprint Cup. Hundreds of students are anticipated to attend and they will have the opportunity to meet industry employers, view demonstrations, hold initial/mock interviews, potentially meet race car drivers, and more in the Chicagoland Speedway’s hospitality Continued from Cover

MI Auto Insurance

“Ironically, just last year, many lawmakers went overboard to provide hundreds of millions of dollars in tax breaks to a Las Vegas company to locate to Michigan, despite the fact that few, if any, jobs would be created – but now want to impose a car insurance tax on stable Michigan job providers and law-abiding motorists.”

village area. There is no charge for high school and college collision students, instructors and administrators to attend. CREF Director of Development Brandon Eckenrode noted, “We are excited to bring this event back to the Chicagoland Speedway as our 2015 event was an incredible success. This event helps showcase the various career opportunities for high school and college collision students and keeps them motivated to stay within the industry. We will help bring hundreds of students to the event and we ask that industry companies participate as sponsors to highlight their career opportunities and/or products.” “On the heels of a widely success-

“This proposal is not necessary and does not deserve to see the light of day,” Kinley said. “Too many drivers in Michigan are driving illegally without insurance and the State does a poor job of enforcing the law.” “Law-abiding drivers should not be forced to pick up this tab,” Kinley concluded. The Michigan Chamber of Commerce is a statewide business organization representing approximately 6,800 employers, trade associations

ful inaugural Cars, Careers & Celebrities event, we are excited to showcase this year’s event at Chicagoland Speedway in conjunction with what’s arguably NASCAR’s most anticipated race of the year, the first race in The Chase for the NASCAR Sprint Cup,” said Chicagoland Speedway president, Scott Paddock. “For students aspiring to join the automotive industry, there is no better place to kick start their career than the Cars, Careers & Celebrity event at Chicagoland Speedway.” Those interested in participating in the 2016 Cars, Careers, & Celebrities event should contact Eckenrode at Brandon.Eckenrode@ed-foundation .org/ 847-463-5244.

and local chambers of commerce. The Michigan Chamber represents businesses of every size and type in all 83 counties of the state. Michigan Chamber member businesses provide jobs to 1.5 million residents. One of every 2.6 employees in Michigan works for a Chamber member firm. The Michigan Chamber was established in 1959 to be an advocate for Michigan’s job providers in the legislative, political and legal process.

IL Bill Would Impose Storage Requirements

Illinois State Representative Ron Sandack, R-81, has introduced House Bill (HB) 6169. The bill would require vehicle storage providers to send a certified letter to the vehicle lien holder stating their rates prior to imposing fees. It also states that the lien holder must have the opportunity to inspect the vehicle on the premises. Under HB 6169, the responsibility for identifying the lien holder would fall on the Illinois Secretary of State. The Automotive Service Association (ASA) said this would cause an increase in cycle time for shops, create unnecessary paperwork, form recordkeeping burdens and would fail to address the root problem of holding the vehicle owner responsible for his/her automobile. ASA is also concerned that the state government infrastructure is not in place to perform such a task. ASA opposes Illinois HB 6169 and asks Illinois repair shops to visit ASA’s legislative website, www .TakingTheHill.com, and to send a letter to their state legislators in opposition to the legislation.

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Freedom High School Automotive Awarded Grant

Freedom High School (FHS) Automotive in Wisconsin has been awarded a $10,000 education grant from the Hagerty Education Program at America’s Car Museum. Freedom High School was chosen from a nationwide pool of applicants for this year’s award. The grant will play a key role in funding the replacement of Freedom High Schools paint booth. FHS Automotive has been fundraising for years to replace the booth that has served the program for over 40 years, but is in need of an update. The paint booth is an important piece of equipment for the program, which is the only one of its kind in Wisconsin able to do full collision, refinishing, and restoration at the high school level. More information on this ongoing project is expected to be released over the next few months. To learn more about this partnership, contact Jay Abitz at 920-7887940 or by email: jabitz@freedom schools.k12.wi.us.

ASA Midwest Chapter Meetings Highlight Important Issues for Body Shops ASA Midwest Springfield Chapter Meeting Training on Hiring for Keeps It was a full house at Pasta Express in Springfield, Missouri on Tuesday, February 9 when the ASA Midwest Springfield chapter held its monthly training class. Mike Davison from Parkway Auto Services taught a live training via webcast on Hiring for Keeps. Davison described how to accurately evaluate two key attributes of every superstar: their attitude and their self-initiative. Dustin Atwood, president of the ASA-Midwest Springfield chapter, stated, “To sum up the training would be—take time to find the right people and the rest will take care of itself. The discussion and interaction between Mike and all the attendees was really positive. This is another great and successful training event for ASA-Midwest Springfield chapter.” ASA Midwest Wichita Meeting Focused on Hidden Maintenance Sales On Tuesday, February 9, Wichita High School North opened its doors to host an ASA Midwest Wichita chapter training event. Jeremy O’Neal, owner of AdvisorFix, pre-

sented a live webcast training called Treasure Hunt. O’Neal taught attendees how to build and sell hidden

Midwest profitable maintenance sales for the next generation of vehicles. “This training was just what we needed. It was informative, and brought up items that have been forgotten about and a great reminder of what we are not charging for our services and should be. We had a great turn out for this class,” stated Mark Guerrero, ASA-Midwest Wichita chapter president.

ASA Midwest St. Louis Chapter Presented Hands-On Alignment Training Hunter Engineering opened its doors on Tuesday, February 9 to host an ASA Midwest St. Louis chapter train-

ing event. Doug Felt, Hunter Engineering’s training manager, addressed many topics including how to perform a proper pre-alignment vehicle inspection, a description of alignment angles and how they affect tire wear and vehicle handling. NAPA provided food for the event.

OSHA Updates During ASA Midwest Northwest Arkansas Chapter Meeting On Tuesday, February 9, the Northwest Arkansas chapter Meeting met at AQ Chick House for an Occupational Safety and Health Administration (OSHA) update. Monty Cole, U.S. Department of Labor, presented OSHA updates. Doug Vlastuin, ASA Midwest Northwest Arkansas secretary, stated, “Monty Cole did a great job. We learned a lot about what OSHA expects if they would do an inspection of our facilities. Also, how much it could cost us in fines if they found certain things wrong. The food and fellowship was great. Overall it was a great meeting.”

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Vehicle Donated to South Central College in MN, Proceeds Go Toward Scholarships

The accident occurred when a 2007 Pontiac G6 was in a front-end collision. Thankfully, there were no serious injuries, but the vehicle had a lot of damage. Accident, indeed. Fortunately, this car crash created an opportunity for 26 auto body and collison technology students at South Central College (SCC) in Minnesota. Snell

Pontiac G6 and its potential. “To the current owner, it was time for a new car; however, I saw a project that had many technical components that would make a great class project at SCC,” he said. In September 2015, Blickem and the Snell Motors leadership team delivered the car to SCC on a trailer. Since then, instructors have been using the vehicle as a

Snell Motors arranged for South Central College to use a Pontiac as a project car

Motors purchased the Pontiac from its owner, and arranged for SCC to use it as a project car. Snell Motors plans to ultimately sell the restored vehicle and donate the proceeds to SCC’s scholarship program; they also donated the parts necessary to restore the vehicle. Josh Blickem, a graduate of SCC, is the collision center manager at Snell Motors and is an advocate for future technicians. Blickem was one of the first Snell Motors employees to see the 2007

training tool. From creating a customer estimate to facilitating parts replacements, the repair work is taking shape. During the first week of March, the students drove the car into SCC’s paint booth, and with a lot of skill and hard work, gave the car a factory finish. “Snell Motors has generously provided a unique opportunity for our students today and in the future,” said Jay Winters, SCC auto body & collision technology instructor. “We love the fact

in·teg·ri·ty:

that this project creates a practical application for current students to test their knowledge and an opportunity for future students to benefit with a legacy scholarship fund being created with its proceeds.” The goal is to restore the car to factory condition by the end of the semester, when the Snell collision center technicians will give it a complete inspection. It will then be put into Snell Motors’ inventory to be sold, and it will meet up with another SCC alumnus, Jeff Wondra. Wondra, a graduate of SCC’s Business program, is now the sales manager at Snell. “Our sales team will do our best to find the perfect new owner for this car. They’ll find satisfaction in not only having a quality car, but also knowing that 100 percent of their purchase price is being donated to SCC as a scholarship fund for future students,” he said. When Snell Motors donates the sale price to South Central College North Mankato Campus Foundation, along with additional donations from the dealership, an endowed scholarship fund for SCC Automotive students will be established. Todd Snell, owner of Snell Motors, said, “Building upon our relationship with South Central College, we’ve been fortunate to attract and retain talented employees who are alumni of the school and their different programs. To

be able to create teachable moments in the classroom not only benefits the students, but also the profession and our industry as a whole. We look forward to the impact that establishing an endowment will make as we encourage future students to pursue their dreams.”

Students are working to restore the car to factory condition by the end of the semester

South Central College North Mankato Campus Foundation provides more than $250,000 in student scholarships each year. “The foundation is extremely grateful for the support it receives from regional businesses, like Snell, as well as the many individuals who contribute to the success of our students with their annual contributions,” said Tami Reuter, SCC North Mankato Foundation executive director. Thank you to The Dickinson Press for reprint permission.

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PPG’s Charley Hutton Delivers Another Ridler Award-Winning Finish

A 1939 Oldsmobile convertible sporting a custom-mixed metallic PPG ENVIROBASE® High Performance finish by Charley Hutton won the 53rd annual Ridler Award at the recent 2016 Detroit Autorama held at Cobo Hall. The Ridler Award is presented to the most outstanding custom car or truck making its debut appearance at the Autorama, an event—now in its 64th year—held every winter in the “Motor City.” It was Hutton’s fourth

The 1939 Oldsmobile convertible “Olds Cool”

Ridler honor. Previous wins came in 2005, 2007 and 2013. It was also the fourth time in nine years that an entry painted with PPG Automotive Refinish products took the prize. Nicknamed “Olds Cool,” the custom build is owned by Bill and Debbie Thomas of Georgetown, Texas. The car was constructed over four years by

Harold Chapman and his team at Customs & Hot Rods of Andice, also of Georgetown. Hutton painted Olds Cool at his shop, Charley Hutton’s Color Studio, in Nampa, Idaho. Hutton is well-known for his ability to select and mix colors to match a car’s style and character, giving it a distinctive look. In this case, the car’s custom color, Kona Brown, was personally created by Hutton. He used PPG Envirobase High Performance waterborne products and the GLOBAL REFINISH SYSTEM™ brand D8152 Performance + Glamour Clearcoat to give Olds Cool its finish. “The Olds is beautiful, and the key to our success has been working with PPG’s Envirobase High Performance waterborne basecoat,” said Hutton. “Using Envirobase High Performance products made it possible to create the exact finish we wanted. When mixing a custom color, Envirobase High Performance paint always exceeds my expectations; the colors that we’re able to achieve are so clean and brilliant.”

14 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com

Lonsdale Auto Works in MN Awarded AAA Top Shop for Fifth Consecutive Year

He added that the AAA Club usually recognizes 20 top shops each year, Business integrity, professional stan- but this year lowered it to just 15; a dards in automotive repair, outstand- number he’s glad to be a part of. ing customer service and community AAA requires Top Shop facilities involvement are all qualities held by to demonstrate the highest level of Lonsdale Auto Works, earning them commitment to its customers by havtheir fifth Top Shop award from AAA ing a staff member certified: ASE Clubs of Minnesota. Master A1-A8, ASE Advanced Engine Lonsdale Auto Works, located at Performance L-1, ASE Certified Serv616 Industrial Dr. SE, is owned by ice Advisor C-1. Scott Pelava. Currently, more than 100 Each year, the AAA orauto dealers and independganization recognizes a select ent facilities in Minnesota number of their Approved participate in AAA’s AAR Auto Repair (AAR) facilities. program. To qualify, a repair In Minnesota, 15 shops earned facility must meet AAA’s the Top Shop honor for 2015. strict criteria for technician The 18th annual Top Shop certification and customer Scott Pelava, awards are given to those resatisfaction. pair facilities that last year had stands next to a The shop must be certified the required number of online plaque he and his in four categories of expertise customer satisfaction surveys staff were awarded including engine performance, with an excellent rating of 95 for earning AAA Top minor engine repair, brakes Shop recognition percent or above. and electrical systems. In adThe customer evaluations five years in a row. dition, the shop must employ are monitored and processed Credit: Lori Nickel / Automotive Service ExcelNews-Review by AAA throughout the year. lence (ASE) certified techni“This is pretty cool because win- cians, maintain an excellent performance ning it consecutive years means we record and a good community reputamust be doing something right,” Pelava tion. said. “This year they raised the criteria, We would like to thank Lonsdale and we still made the cut.” NewsReview.com for reprint permission. by Lori Nickel, LonsdaleNewsReview.com

www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 15

Work Changes for Dickinson’s Jay R’s Auto Body in ND

“Most of the employees are local guys and our guys have stayed around.” The business provides a variety of services to industries, as well as to individuals. Oil-related industries and agribusiness are the two biggest categories of clients. The oil boom was a blessing to Wanner. “Oil gave us the ability to do this,” he said. “Oil pointed us in the direction.” Wanner said there has been no changeover in the services they provide because of the slowdown in the oil business. But they have had to make adjustments. “Some work we were doing is now non-existent,” he said. Jay Wanner, owner of Jay R’s Auto Body and Sandblasting, “We used to work on fracking works in his office in the north Dickinson industrial park. equipment, and the fracking (Jackie Hope/The Dickinson Press). Thank you to The just turned off the switch.” Dickinson Press for permission to reprint this article The body shop repairs vehiwith the physical plant. Thirteen peo- cles that have been damaged in acciple now work in the shops and offices. dents, that have work-related wear and Wanner said he has a loyal workforce, tear, and that need cosmetic touchand has had little turnover during the ups. It is a full-service body shop. The oil boom and recent downturn. workers are able to rebuild, restore “I have not had to let many work- and repaint anything that is brought ers go (due to the downturn),” he said. into the shop. junction of Highway 22 and 32nd Street West. The business complex now covers three buildings. The main building houses the offices, and a body shop with five bays. A second building, north of the main building, also has five repair bays. The third building is used for sandblasting, and houses four bays. Jay R’s staff has grown, along

by Jackie Hope, The Dickinson Press

A school bus that encountered a pole sits in the parking lot, awaiting repairs. An oilfield truck, with a brand new hood, sits on the opposite end of the parking lot, ready to be picked up by its owner. And in one of the body shop bays, a pickup that was “jackknifed into” is in the midst of extensive repairs. “This is the 21st year we have been doing that,” owner Jay Wanner said. “We are specialists in semis, and we are the only ones who do that. We’ve repaired and restored semis that have been in accidents out on the highway.” Wanner was born and raised in Dickinson, and after high school he attended Wyoming Tech in Laramie, WY. He returned to Dickinson in 1994 and opened a body shop in the industrial park on the south side of town. That first shop had one 30-foot stall where he did all his repairing, restoring and repainting work. By 2001, the business had outgrown that one stall and Wanner opened a new shop north of Dickinson, at the

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Before the vehicles or equipment are repainted, they are often sandblasted. Wanner said the sandblasters do not like to stop in the middle of a project, so their days can last 14 to 15 hours. There is even a 50-foot-long paint booth, completely equipped to handle big equipment. Wanner said they use a forklift to move the larger vehicles and equipment into the repair bays. One of the bigger pieces of equipment they have dealt with is a backhoe that was damaged on the job. Its hoe was crashed into a wall numerous times during a job, and needed repairs and repainting. “We had to repaint the whole thing, to make the paint match,” Wanner said. When the shop first opened, they did a lot of automobile restorations. But with the oil boom, the focus of the business has shifted more toward heavy equipment. Now, instead of restoring entire automobiles, they sandblast and repaint car and truck parts for do-it-yourselfers who need a little help. Greg Stephens does body work and painting at Jay R’s. He has been

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working on the “jack-knifed into” pickup. He estimates the job will take 60 hours to complete. But his eighthour days are not comprised of working straight through on a single vehicle, because it takes time for repair work to set and for paint to dry. A semi truck repaired recently took more than 170 hours to complete. “This is what we do,” Wanner said. “The really big projects are our forte.” Vehicles aren’t the only things Wanner has been called upon to sandblast and repaint. He has restored antique beds, lawn furniture and cream cans. He was even asked to clean and paint antique toy shovels. “The cream cans and those antique shovels were the weirdest things

we’ve worked on,” he said. Tank coating is another service that Jay R’s offers. They spray a protective epoxy coating on the inside of tanks that are used in the oil industry. Crude oil and salt water are especially corrosive, so the coating is essential to extend the life of the tanks. In addition to coating the inside of industrial tanks, the shop can put foam insulation into the tanks. There’s also a mobile unit which is used to go out to new construction sites, and “shoot in” foam insulation. Wanner said the foam insulation workers usually work straight through on a job, sometimes taking up to 15 hours to complete the task. For many years, Wanner’s mother was his office manager. But she retired

two-and-a-half years ago and Amy Tysver was hired as her replacement. “It was fine with mom when there were four guys here,” he said. “Then the crew grew, so we hired Amy.” Tysver works as the office manager and bookkeeper, and she also manages the employees. “I wrangle the boys,” Tysver said, “I was a farm girl, so I can handle them.” Wanner is not sure what the future will bring for his business. Jay R’s has grown, along with other industries in southwest North Dakota. He continues to work with many of those new industries, as well as with long-standing businesses and farmers in the area. Wanner said his aim is, “Just to keep busy and keep things going good.”

Illegal Dumpers Leave Mess for Kansas City, MO Church by KMBC-TV/KMBC.com

Household garbage and trashed car parts are just some of the junk getting dumped on the city’s east side, including on a church’s grounds. When the Rev. Brendan Mims’ congregation at Greater Metropolitan Church of Christ bought a vacant church two months ago, he never imagined it becoming an illegal dumpsite. His church is becoming one. “It’s a landfill. It’s a dumping ground and no one cares about it,” said Mims. A lot of the trash is old car parts. There’s a small mountain of used tires. “It appears that local auto body shops and tire places have found a local dumping ground,” Mims said.

Instead of feeding needy families, church money gets spent cleaning the grounds. He said the church was expecting to pay up to $5,000 just to dispose of the tires. Mims said he tried going to the city for help. “They said to me, ‘Well, until you occupy the building, there’s nothing we can do to stop it,’” Mims said. He got dumped on again. Someone abandoned a 90-foot mobile home that will cost thousands to remove. “I opened the back door and I saw this and I could not believe my eyes,” Mims said. Rev. Wallace Hartsfield said illegal dumping is a plague on the east side. “It’s just so much that this is going on,” he said. Mims is praying for help with the mess. “This is our home. And we have to clean up our space if we want someone else to take us seriously,” he said. Hartsfield said people who dump trash need to get back to one basic Biblical lesson. “Do unto others as you would have them do to you,” he said. If local body and tire shops are responsible for the dumping, they’re making money off the mess because they charge customers a tire and car part disposal fee. Community leaders on the east side, including the Kansas City Police Department, are discussing a community-wide cleanup project this spring. Anyone with information on who is dumping or anyone who’d like to help Greater Metropolitan Church of Christ clean up can send an email to news@kmbc.com Thank you to KMBC-TV/KMBC .com for reprint permission. www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 17

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Continued from Cover

Indiana Loophole

product that will compete with a new all-electric vehicle from General Motors. Tesla earlier this month announced it will begin accepting pre-orders for its Model 3 car on March 31, with an expected delivery of late 2017. Existing law allows any manufacturer to apply for a dealer license without the use of independent franchised dealers. Despite having a lawfully granted license to sell Tesla vehicles directly since 2014 at the Fashion Mall at Keystone; despite contributing over $42M to the state through the purchase of parts and components from Indiana suppliers; and despite plans underway to construct a 26,000 square foot Tesla Service facility that will employ approximately a dozen Indiana residents.

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Valley Forge, OH Automotive Repair Program Prepares Students to Get Right Out Into the Workplace by Mark Holan, cleveland.com

The Automotive Repair program at Valley Forge High School is the oldest vocation program in the Parma City School District.

Jordan Kopin, left, and Ryan Morris work on an engine in the Valley Forge automotive repair class. Credit: Mark Holan, special to cleveland.com

Instructor Gary Mitchhart has been teaching the program for 10 years, and he has anywhere from 35 to 50 juniors and seniors in the program at any time. “Most of the kids don’t have any rudimentary knowledge of cars or engines or how to fix them when they

first start the program,” Mitchhart said. “When they’re finished with the class, they can work on brakes, suspension, do a tune-up amongst other basic car maintenance.” By the time they finish the program, the students will be certified in the Automotive Service Excellence program. Mitchhart boasts a 100 percent passage rate amongst his students. Many of them will get a job in automotive repair right out of high school. When a student gets through with the program, he or she is ready to go out into the workplace. Students learn to diagnose, adjust, overhaul, repair and replace mechanical and electrical parts of a vehicle. During the junior year, students are trained to do a complete engine overhaul and to repair most parts of the chassis of an automobile. During the senior year, students learn chassis and alignment, automatic transmissions, advanced electrical, heating and air conditioning. They don’t do body work on vehicles. That program is at Parma Senior High School.

Joshua Milam, for example, wants to be a motorcycle mechanic

Joshua Milam, a senior at Normandy High School, works on a cam shaft. Credit: Mark Holan, special to cleveland.com

and own a Harley-Davidson motorcycle. He remembers watching his father and uncle working on their vehicles and learned a little from them. “I’ve always loved to tinker with engines,” Milam said. “It’s fun, and I like doing it.” We would like to thank cleveland.com for reprint permission.

www.autobodynews.com C

20 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com

WACTAL Convention Receives Positive Feedback from Attendees

Continued from Cover

The Wisconsin Auto Collision Technicians Association Ltd (WACTAL) held its 2016 Convention and Trade Show at the Ho-Chunk Conference Center in Baraboo, WI on February 26 and 27. According to event coordinator Susan Peterson, “Educational seminars were well-received, and feedback was positive. Attendance numbers were consistent with the 2014 Convention and Trade Show.” The Convention began on Friday morning with “Predicting Influences on Your Business,” presented by SCRS Executive Director Aaron Schulenburg. In “Building Relationships,” Bill Morrison spent an hour before lunch focusing on customer relationships, and the second session explored building vendor and team relationships. On Friday afternoon, Fox Valley Web Design’s Gary Arndt discussed “Dealing with Complaints on Social Media.” A WACTAL membership meeting at 4 pm preceded the evening’s trade show, and during the membership meetings, WACTAL officers were elected. Larry Terrien was reelected as president, with Mark Williams continuing as vice president, and Ron-

direction on how to insure clients who work as Uber drivers. While a bevy of new products purporting to address this coverage gap exist, there was not explicit instruction as to whether they were necessary in the state. Missouri’s House voted to clear up that grey area and require ride-sharing services to be liable for accidents between rides. “By the end of 2015, a total of 29 states had enacted laws to protect not only their drivers, but their passengers and the public, by closing insurance gaps that left drivers and the public vulnerable in an accident,” said Shull as he presented his measure on the floor. “This talks about the insurance issues to make sure the public is protected in case of an accident,” said State Rep. Bob Burns (D-Affton), who also supports the bill. Uber was not immediately available for comment.

by Chasidy Rae Sisk

nie Goss serving another term as secretary. The association’s newly elected treasurer will be Sue Black. Friday’s festivities concluded with a hospitality event. Saturday morning

Foams (FOM01). Saturday morning’s offerings included Vehicle Technology and Trends 2016 (NEW16) and Cycle Time Improvements (CYC01), and in the afternoon, I-CAR presented Hazardous Materials, Personal Safety and Refinish Safety (WKR01) and Aluminum Exterior Panel Repair and Replacement (APR01). During the event, the WACTAL Foundation Inc. held a bucket raffle with proceeds benefitting the WACTAL Scholarship program. Raffle buckets were donated by Auto Paint & Supply in Waukesha, Dean’s Auto Body Attendees networked with exhibitors at WACTAL’s in Sheboygan, Gross Auto trade show Body in Menasha, Kolosso began with a presentation entitled “Is Toyota in Appleton, MJ Collision CenYour Shop on a Collision Course with ter in Green Bay, Williams Auto Body OSHA and EPA Compliancy?” by in Green Bay, and the Ho-Chunk GamNick Hardesty, KPA. Attendees not ing Wisconsin Dells. enrolled in an I-CAR training course WACTAL is also grateful for then had several hours to explore the the generosity of their event spontrade show. sors: AkzoNobel, Body Shop Supply, WACTAL’s 2016 Convention Broadway Automotive, West Bend also offered six separate I-CAR train- Mutual Insurance, Auto Paint & Suping courses for those who wished to ply, BASF, Dentsmart, New Marketregister in advance. On Friday after- ing Group, Morrison’s Auto Parts, noon, I-CAR presented Corrosion Motors Service & Supply, and PPG Protection (CPS01) and Automotive Industries.

Uber Insurance

www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 21

Western Associations CAA Takes on the Capitol at Legislative Day on April 12th with Ed Attanasio

Every year, the California Autobody Association co-hosts its ASCCA/CAA Joint Legislative Day and this year it takes place on April 12, 8 am to 3 pm at the Capitol Event Center, located at 1020 11th Street in Sacramento. The CAA gears up for this event every year as the organization partners with the Automotive Service Councils of California (ASCCA), the largest independent automotive repair organization in California, to hold this event. With more than 800 members, the ASCCA has been representing all areas of the automotive repair industry, including mechanical, auto body, supplier and educators in the automotive technology field for the past 76 years. CAA Executive David McClune is ready to lead these two groups as they take on the Capitol. “This is our big moment every year when we can meet with our political representatives,” he said. “We can influence these bills before they become laws and provide valuable feedback for our key decision makers, so we tell our members to seize the moment and make the most of it. Most importantly, we can provide them with a look into how our CAA State President members run their Don Feeley is businesses and all encouraging more of the factors that body shop owners can affect them and to attend the their livelihoods.” ASCCA/CAA Joint By strategically Legislative Day on April 12 in scheduling appointSacramento ments throughout the Capitol’s offices all day long, AS CCA/CAA members break into smaller groups to cover as much territory as possible. With major concerns about bills that can greatly impact their businesses, collision and mechanical repair companies come from all over the state every spring to meet with their local legislators and discuss “hot button” bills. Although this year’s slate of speakers at Legislative Day was not yet finalized, past speakers have included: The Chief of the Bureau of Automotive Repair; Governor’s Small Business Advocates, the Governor’s Economic Adviser; Chair of the Select

Committee on Career Technical Education and Workforce Development; the author of AB 2289 (Smog Check), and Chair of the Senate Transportation and Housing Committee. To kick off the day, everyone is briefed by Jack Molodanof, the lobbyist for both organizations, who instructs the members about the correct protocol for meeting with their legislators or their representatives. Molodanof always opens with a joke or amusing anecdote, but then he’s all business. Coaching the members of ASCCA/CAA about how to approach their local representatives is always crucial and that’s why Molodanof always sets down the rules first. In the handbook that every member gets from Molodanof at the start of Legislative Day, the lobbyist ably summarizes the day’s purpose. “Not only can one person make a difference, but one person can also make others change their perception of an issue. You have the power in that you have firsthand experience as it relates to issues that are most important to you. Let the lawmakers know how you feel about these issues. You must be heard to make a change. John F. Kennedy once said, ‘One person can make a difference and every person should try.’” Molodanof was happy with last year’s turnout, he said, and is hoping to see more body shop owners at the Capitol in 2016. “We’re pinpointing proposed bills here at the State Capitol and raising awareness about possible future laws that can directly impact the collision industry. It was wonderful to see so many new faces at last year’s Legislative Day and I’m hoping to see even more on April 12.” Don Feeley is the CAA State President and a highly-respected name in the collision industry, especially in southern California. He has served CAA at the state level for more than 21 years, holding each of the seven positions available on the board an unprecedented three times. So, when Feeley talks about the importance of events such as CAA Legislative Day, people listen. Feeley said that body shop owners should attend Legislative Day for many reasons. “Some years, we have

22 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com

Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.

bills that impact the collision repair market greater than others, but we always need to be vigilant, because there are many issues that affect collision repairs such as environmental and governmental regulation changes not to mention insurance companies who are always working on their best interest at the State Capitol,” he explained. “One of the problems of leg day attendance is that a lot of body shop owners like many Americans are turned off by politics in general and don’t feel their voices will be heard so why bother. They figure, CAA has a great lobbyist in Jack Molodanof, and that’s true, but he can’t do it all alone.” Feeley said that showing up at the event is more than halff the battle. “We need collision repairers here physically, so that our representatives can see that Jack Molodanof and David McClune and our board have some numbers behind it. When they see that we are a significant group, it adds credibility to the

work that the association is doing for its members and the collision industry. So, by showing up, we can emphasize our role and show our strength.” Ideally, getting a body shop owner in office in California would have been a great way to give CAA a much-needed voice at the legislative level. Unfortunately, recent attempts have fallen short. However, Feeley still thinks that CAA’s current methodology, with the help of its members, is the best way to tell their story and educate their elected officials on the collision repair environment. “A few years ago, Kelly McCarty, a shop owner ran for the 64th Assembly District in the Inland Empire and although it was a close race, we lost,” Feeley said. “Having a voice is a big deal and getting someone in office would be nice, but in the meantime we need to mobilize our members and get more new members to assist us. I look forward to seeing our members at the state Capitol on April 12th.”

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Vescio’s Customizing and Restorations Wins “Outstanding Paint” at Autorama Detroit 2016

Valspar Automotive announced in March that Vescio’s Customizing and Restora-

was updated by Dan Weber and Weber’s Custom Interiors. The truck sports a factory Ford Cinnamon 2010 series color, painted with Valspar Refinish 999 Basecoat and finished with Valspar AC4400 HS Clearcoat. “We’ve been using Valspar Refinish for the past five years,” Vescio said. “We have used many other products, but nothing compares to the cost point and quality from Valspar. We’re comfortable using this product

hear people talk about your build and how much they like it is really rewarding,” he said. “There were 600 entries, so to win ‘Outstanding Paint’ is a dream. We feel pretty honored, and our client is very happy.” “National car shows, such as Autorama, offer master refinishers like Bo Vescio an opportunity to show how dedication and hard work can create a true work of art,” said Laura Yerkey, marketing director—Americas. “We

tions in Rogers, MN, has won “Outstanding Paint” at Autorama Detroit 2016 with its 1947 Ford pickup truck. The vehicle is finished exclusively with Valspar Refinish products. The big farm truck with a wood box was in a state of disrepair before the owner partnered with Vescio’s to refurbish the vehicle. “Originally, we were just going to fix it up and make it useful, but as we started digging in, we decided to make it a show car,” said owner and operator, Bo Vescio. “We had The “Outstanding Paint” winner at Autorama Detroit 2016 was a 1947 Ford pickup truck using exclusively Valspar products a couple ideas, and saw some that had been done with finished boxes on our customer’s vehicles and they are proud to have Vescio’s Customizing and Restorations use our products and realized that was the way to go.” love it.” Vescio and his team took it from 2016 was Vescio’s seventh year and are excited to see where they go there, completing the project in two at Autorama Detroit. He said having from here.” For information, visit www.valspar years. The truck features a rebuilt rear the chance to participate in the show auto.com and www.vescioscustomizing frame, new steel box, custom nickel was an exceptional experience. plating and chrome work. The interior “Just being able to stand back and .com.

24 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com

Service King Launches Revitalized Website

Service King Collision Repair Centers® recently unveiled a revitalized look and experience to its consumer-facing website—www.ServiceKing.com The website was designed and developed by award-winning, fullservice digital agency Blue Fountain Media. “We place a priority on providing customers and business partners a cutting-edge, user-friendly digital experience,” said Jeff McFadden, Service King president. “The new Service King homepage was rebuilt from the ground up to enhance the repair experience for our customers and provide an engaging platform to connect with our brand.” “We’ve very pleased to have provided Service King with a website that takes their online presence to the next level,” said Gabriel Shaoolian, VP of digital services, Blue Fountain Media. “The site’s focus on providing cutting-edge design that drives measurable results will help their brand continue to establish itself as an industry leader while also making the collision repair process even more convenient and hassle-free for their customers.”

CARSTAR Donates Two Vehicles to Needy Families, Announces New Location in OH CARSTAR Crystal in Lenexa, KS donated a 2010 Mazda 3 to a single mother of two on February 16. On hand for the donation were Olathe Mayor Mike Boehm and CARSTAR U.S. former president Dan Young.

(l to r) Walt Jost, Farmers; MJ Alaga, general manager of Crystal CARSTAR; Aubree Ridley, Safe Home Kansas, Dan Young, former president of CARSTAR, Mike Boehm, Mayor of Lenexa KS

The vehicle was donated by Farmers Insurance, and had been restored by CARSTAR and several local businesses as part of the National Auto Body Council’s (NABC) Recycled Rides® program. Christian Brothers in Olathe donated an oil change, mechanical services and an alignment. Keystone Auto and Northtown Mazda donated parts. BASF donated paint and KC Dent Master donated paintless dent repair services.

CARSTAR All Line Auto Body in Illinois also donated a 2008 Honda Odyssey to a deserving family as part of the National Auto Body Council’s (NABC) Recycled Rides® program. The donation took place at the Bolingbrook facility on February 25. Many in the community turned out for the event. Bolingbrook Deputy Mayor Leroy Brown was on hand to present the keys to the family, and U.S. 99.5’s Ramblin’ Ray was also there for the presentation. “This is our fourth Recycled Ride,” said Teresa Kostick, owner of CARSTAR All Line. “Every time we donate a vehicle, it’s all about community involvement. We have several Bol-

The refurbished 2008 Honda Odyssey

ingbrook businesses that have been supportive by donating things like gas cards, hotel stays and more to the recipient.” The Honda Odyssey was donated

by State Farm and was a former fleet vehicle for the company. CARSTAR All Line refurbished the vehicle. Enterprise and Community Service Council were sponsors for the event. CARSTAR Auto Body Repair Experts announced on March 4 that CARSTAR Bexley joined their network. CARSTAR Bexley is located at 2836 E. Main St., in Columbus, Ohio. It is owned by Thom Moore and Jack Lewis. Moore, who serves as CFO and vice president, has some 37 years in the collision repair industry and is ASE and I-CAR certified. Lewis is president, formerly worked with GEICO Insurance and has spent 23 years in the collision repair business. Rob Kuhn is the general manager for the shop. “CARSTAR brings the operational resources, insurance relationship and strong brand awareness with consumers that we need to be competitive,” said Moore. “We can improve our efficiency, save money on purchasing and expand our work with insurance companies, all which help us be more successful in the future.” CARSTAR Bexley is housed in a 6,000-square-foot facility, which is outfitted with tools, frame machines and equipment, a heated downdraft paint booth and an estimating system. In ad-

dition to collision repair, they also offer towing, professional detailing, free shuttle for pickup and delivery, and rental cars. All technicians are ASE certified.

CARSTAR Bexley owners in Columbus, OH

“With experienced leaders like Thom and Jack at the helm, CARSTAR Bexley is a great new member of the CARSTAR family and our Ohio network,” said Michael Macaluso, president, CARSTAR North America. “We are excited to welcome them and expand our offering of the industry’s highest quality collision repair for Ohio drivers.”

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Alleged Admissions of ‘Price Fixing’ by State Farm and Progressive Employees Prompt New Filings in Multi-District Lawsuit by Stacey Phillips, Assistant Editor

In light of new evidence in the multidistrict lawsuit, on March 2 Eaves Law Firm filed a motion to reconsider the dismissal of the Mississippi antitrust complaint by Judge Gregory Presnell. Allison Fry of Eaves Law Firm pointed out that at the time the amended complaint was filed a year ago, they did not have access to the information they do now. This includes two statements, one from a State Farm representative and one from a Progressive representative where Fry said they admit to price fixing. “We have direct admissions of price fixing and other illegal acts,” said Fry, the litigation director and designated plaintiffs’ liaison counsel at Eaves Law Firm. On February 22 of this year, the trial court issued an order dismissing the plaintiffs’ claims for price fixing and boycotting under the Sherman Antitrust Act with prejudice, which means they cannot be refiled.

Fry explained there are very limited grounds in which a court can reconsider an order. These include (1) an intervening change in controlling law; (2) the availability of new evidence; and (3) the need to correct clear error or manifest injustice. Therefore, the new information acquired by the Jackson, MS firm is grounds for reconsidering the case,

agreed upon at these meetings,” according to court documents. “This representative even identified when the next such meeting was going to occur.” In addition, a State Farm representative provided the following statement in court documents: “State Farm intentionally suppresses and fixes body shop labor rates, and that State Farm’s labor

“We have direct admissions of price fixing and other illegal acts” — said Allison Fry, the litigation director and designated plaintiffs’ liaison counsel at Eaves Law Firm.

she said. “Specifically, plaintiffs obtained a statement from a Progressive employee who stated unequivocally that body shops have no say in the setting of their own labor rates, that the insurance companies ‘get together at big meetings’ to set body shop labor rates, and that the insurance companies uniformly apply the labor rates

rate survey is a sham to justify its intentional fixing of labor rates.” The anti-trust lawsuit was first filed in Mississippi by 20 auto repair shops in February 2014 against 39 insurance companies. Eaves Law Firm subsequently filed more than 20 others. The lawsuits were eventually consolidated for pretrial purposes and the law firm now represents 500 shops across the country. In the lawsuits that have been filed, the plaintiffs allege that the defendants, “engaged in an ongoing, concerted and combined intentional course of action and conduct to improperly and illegally control and depress automobile damage repair costs to the detriment of the plaintiffs and the substantial profit of the defendants.” The plaintiffs also claim that the defendants engaged in price fixing, compulsory use of substandard parts and boycotting shops that refuse to comply. Eaves Law Firm plans to file the same motion to reconsider in IN, MS, TN and Utah, citing the new evidence obtained. Meanwhile, the court is going through the claims on a rolling basis. “What is unusual about the current crop of orders is that the court has made a separation,” said Fry. “Other than the very first order two years ago, the court has handed over to the magistrate [Judge Thomas Smith] the duty to prepare a report and recommendation for all of the claims, state and federal.” Magistrate Smith has prepared the report and recommendation on the state law claims and District Judge

Gregory Presnell entered an order on the federal claims, which Fry said is a break from their previous habit. The next step is to wait for the court to rule on the motion to reconsider, which Fry said can happen at anytime because there isn’t a specific deadline set. “If he does agree to reconsider and reverse itself on dismissal, then we will move forward with ordinary practices of litigation,” she said. “If he does not, we will appeal it to the 11th circuit.” In March of this year, Eaves Law Firm filed an objection to the magistrate’s report and recommendations in both Mississippi and Indiana. Fry pointed out that in the MS case, the court did not dismiss four of the tortious interference claims. “At this moment they are alive,” she said. “Unfortunately there is no final answer on that at this moment because of the very unusual nature where they separated the claims, federal vs state.” Tortious interference occurs when a person intentionally damages the plaintiff’s contractual or other business relationship. Although the report and recommendations issued by the magistrate judge stated that there are sufficient facts to move forward, Judge Presnell will still make the final ruling. Eaves Law Firm plans to file an amended complaint in the states that the judge hasn’t dismissed yet, in order to include the new evidence. Fry wants shops to know that “…there is still a great deal of life to go here. We will be pursuing each and every avenue that is required, whether that is an appeal or additional motion to reconsider.” State Farm provided the following statement to Autobody News magazine: “Our court filings speak for themselves; we believe that the allegations made by the plaintiff are without merit. We will ask the court to deny the motion for reconsideration. We have nothing further to add at this time.”

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AASP-MN Updates: Association Annual Meeting & Leadership Conference; “Negotiation Tools & Best Practices” Seminar With Axalta; and New Venue for Annual Golf Outing Annual Meeting & Leadership Conference The Alliance of Automotive Service Providers of Minnesota (AASP-MN) announced that its Annual Meeting and Leadership Conference will be held April 14, at the Ramada Plaza Hotel, 1330 Industrial Blvd., Minneapolis. This year’s event, with a theme to “Lead the Way,” offers a line-up of seminars that are specifically geared for mechanical and collision repair shop owners and managers and are presented by some of the industry’s top trainers. In addition to the agenda of educational programming, there will be ample opportunity for attendees to network and socialize with their peers and industry vendors as they showcase new products and services during happy hour.

8 – 10 a.m. Mastering the 5 Skills for Effective Leadership, Richard Flint, Richard Flint International 10:15 – 11:15 a.m. Help - My Industry is Consolidating!, Brad Mewes, Supplement! 11:30 a.m. – 1:15 p.m. AASP-MN Membership Meeting

&Keynote Address: “No More Excuses, It’s NonNegotiable,” Sam Silverstein, Sam Silverstein, Inc. 1:30 – 2:15 p.m. Building Your Accountable Organization, Sam Silverstein, Sam Silverstein, Inc. 1:30 – 3:30 p.m. Increase Your Diagnostic Labor Sales, Kelly Bennett, Business Training International 1:30 – 3:30 p.m. Collision Workflow: Better Scheduling = Greater Success, Kent Carlson, Collision Resources, Inc. 2:30 – 3:30 p.m. Authentic Persuasion: Communication That Moves Others to Action, Josh Dye, Convene, LLC 3:45 – 4:45 p.m. Networking Roundtable 4:45 – 6 p.m. Social Hour & Vendor Showcase 6:30 – 9 p.m. Group Outing

“Negotiation Tools & Best Practices,” Seminar AASP-MN and Axalta Coating Systems are announced they will co-host “Negotiation Tools & Best Practices,”

28 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com

on Thursday, June 2. The program will take place from 10 a.m. – 4 p.m. at the Radisson Minneapolis/St. Paul North, in Roseville, Minnesota. The seminar, presented by industry expert Mike Anderson, Collision Advice, focuses on the negotiation process between an insurer and a collision repair facility. Using real-world examples, such as extending clear beyond the natural breaking point, applying gravel guard, R & I electronics near weld zone areas and other common friction points, this seminar shares proven methods for shops to get paid for what they are owed. Attendees will learn how to justify getting paid for not-included operations and materials using the four negotiation questions: 1. Is it required? 2. Is it included? 3. Is there a pre-determined time? 4. What is it worth? In addition, Anderson will present results from the “Who Pays for What?” survey. Those who attend will walk away with more knowledge about what insurers will and will not pay for (by region and DRP vs. non-DRP) and how to use these survey results to negotiate

and justify their estimates. This is the information needed to be able to counter the frequently-heard company line, “No one else charges for that.” Space is limited and the program is expected to sell out.

New Venue for Golf Outing The association will hold its 22nd Annual Golf Outing, June 14 at Keller Golf Course in Maplewood. “After 21 years hosting the outing at Tartan Park Golf Club, we were disappointed to hear of its closing,” said Judell Anderson, executive director of AASP-MN. “However, we believe we have chosen another great course to host the event for years to come.” Over 150 AASP-MN members, employees, vendors, and insurance industry representatives are expected to enjoy the day of golf and socializing. Play will begin at noon, followed by a social hour and awards presentation. The cost to participate is $100 per golfer or $400 per foursome. Golf holes are also available to sponsor for $350 each. For additional information on any of these events, contact the AASP-MN office at (612) 623-1110 or 800-852-9071 or visit www.aaspmn.org.

Suspects Crash into Rockville, MN, Body Shop

The Stearns County Sheriff’s Office is investigating after a hit-and-run incident in Rockville the morning of Feb. 22. According to the sheriff’s of-

fice, a driver of a Chevrolet Trailblazer drove into the parking lot of Jeff’s Auto Body at 25950 Highway 23 and ran into the building before leaving. The incident caused an unspecified amount of damage to the building. Anyone with information on the identity of the individuals or Trailblazer pictured is asked to contact the sheriff’s office at 320-251-4240.

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ABA Connecticut Releases “Now What?” App for Consumers For over 50 years, the Auto Body Association of Connecticut (ABAC) has been dedicated to protecting consumer safety. In February 2016, they took their mission a step farther by releasing the “Now What?” app which coaches consumers through the proper steps to take after a car accident. Tony Ferraiolo, President of ABAC, noted, “Our app is free, easy to use and assists consumers by navigating easily through what would normally be a stressful and hectic process. Our app provides consumers with the convenience of having a guide readily available to lead them through the process of documenting the accident.” Downloading ABAC’s “Now What?” app enables consumers to gather information, take photos, hare the report with others (including their collision repair facility), find an ABAC shop in their area, and file a complaint with the Department of Insurance. One app function advises the consumer to obtain needed information from the other driver, including their name and numbers, insurance company and policy number, as well as the car year, make and model. All this information can be entered and stored within the app or sent to themselves, another person or body shop.

Photos can also be attached through the app. The app’s homepage allows the consumer to call 911, learn about their rights, file an insurance complaint, locate an ABAC shop, read about the as-

sociation or access its YouTube channel. Choosing “File an Insurance Complaint” will direct the user to the Connecticut Insurance Department’s website where they can upload photos and attach them to the complaint they submit electronically. The “Know Your Rights” feature includes comprehensive advice about

what to do after an automotive accident, covering everything from what to do at the scene, how to handle injuries and what to know about legal representation. This information was compiled by the Law Offices of Buckley & Wynne for their booklet, “Auto Accident Rights and Responsibilities.” By clicking “Find an ABAC Shop,” the consumer will be directed to an interactive map showing nearby member shops as well as contact information and a link to the shop’s website. Ferraiolo stated, “The steps and resources provided give consumers confidence knowing their accident was properly documented, ensuring the repair process goes smoothly. Our app also provides the body shop with information needed to help customers file the insurance claim. Not only does our app provide a checklist for customers. It also provides valuable information and resources informing them of their rights and responsibilities. We encourage CT shops to invite customers to download the app and utilize the great features provided!” ABAC’s “Now What?” app is available for download at www.aba conn.org by clicking the “get the app” tab.

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Shop Strategies OH Auto Body Shop Benefits from Hiring & Training Students with Stacey Phillips - ASSISTANT EDITOR

In business for more than 56 years, Brown’s Body Shop in Zanesville, Ohio has 15 employees, including two students who work on a part-time basis. Autobody News spoke to Dusty

2007. I wanted to get involved in order to help train young people coming into the field the correct way. In 2010, I hired another student who is now our head painter.

partment where he disassembles incoming vehicles. Both are paid positions.

Q: One major benefit of hiring stuA: dents is the fact that they have not developed any bad habits. A chalWhat is the benefit and challenge of hiring students?

lenge is that they require a lot of hands-on instruction and supervision.

What is your advice to other body shops considering using students to help out in their facility?

Located in Zanesville, Ohio, Brown’s Body Shop has 15 employees, including two students who work there part-time

Brown, the owner of the auto body shop, about the benefits of hiring students to assist with their collision repair work.

When did you first begin hiring students and what prompted your decision?

We first hired a student from Mid Ohio Vocational School in A: East

a great way to train them the proper way.

How often do the two students Can you tell us about the reQ: work at Brown’s and what are Q: cent relocation of your shop their primary responsibilities? They work every day after A: school and all day on days that school is not in session. One student

My father started the business A: in 1960 in a shop the size of a two-car garage. I took over the busi-

ness in 1996 when we built an 8,000-square-foot shop. In September of 2015, we moved into our new 19,000-square-foot state-of-the-art facility.

The new shop has two Nova Verta 31 foot heated downdraft with wind system paint booths; four Car-O-Liner frame machines with computerized Car-O-Tronic measuring systems; three phase-resistant welders; and drive-through estimating. It is also a complete Sikkens Autowave water collision repair center. Dusty Brown, owner of Brown’s Body Shop, can be reached at 740454-1655.

works in our paint department prepping cars, masking parts and doing final clean up before paint. The other student works in our tear down de-

Recent Poll Finds Tie Between Car Driven and Presidential Candidate Supported

Prius owners were more likely to support Ted Cruz and Hilary Clinton than the general population, while Dodge owners favored Donald Trump, and Honda Fit and Subaru Forrester enthusiasts “Feel The Bern,” according to data generated by car-shopping site BestRide and nationally syndicated radio program CarTalk. The findings stem from a poll of more than 10,000 respondents, who were asked what car they drive and which presidential candidate they backed. In a report issued February 23, the following results were determined: Toyota Prius owners were 40% more likely to support Clinton than the general population. Prius owners were 126% more likely to support

I would encourage them to do A: so. It is hard to find good quality technicians in this field and this is

and some of the new technologies that you added?

Cruz than the general population. Dodge owners favored Trump 50% more than the general population. Bernie Sanders and Clinton supporters registered the highest EPAestimated fuel mileage, tied at 28.5 MPG. Republican candidates had the lowest average, with Trump supporters at just 23.6 MPG, and Marco Rubio and Cruz-backers tied at 24.7. As for highest MSRP, supporters of Green Party candidate Jill Stein drive cars averaging almost $40,000. They’re also the least likely to drive what most Americans do, with a paucity of Honda Accords, Ford Fusions and Toyota Camrys. Among electric car owners, 86% of responses supported a Democrat and 14% supported a Republican.

30 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com

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WIN Announces 2016 Educational Conference Content and Celebration of 10th Anniversary

The Women’s Industry Network (WIN) announced details of the 2016 Annual Educational Conference, scheduled to take place in Tampa, FL, May 2-4 at the Tampa Downtown Hilton. “Power of the Past-Force of the Future,” is the theme for the 10th annual conference. Olympian, Shannon Miller is the featured keynote speaker who will take main stage on May 3. Her message “The Gold Medal Mindset” will be heard by attendees from all segments of the collision repair industry. “I was there to see her claim the gold medal and now we will hear about her incredible journey to that professional accomplishment,” explained Yolanda Sandor, BASF, and co-chair of the Conference Planning Committee. Additional guest speakers include David Leuhr, Elite Body Solutions; Laurie Altman, VP 3M; Susan Lombardo, Sr. VP Vehicle Acquisitions – Enterprise Holdings; Collette Bruce, owner, Team Safety, LLC; Karen Fierst, principal, KarenOr Consultants; Jeff Peevy, president, Automotive Management

Best Practices Shared After CARSTAR Merger

grow the franchisee network in Canada to more than 240 centers. “He has CARSTAR’s U.S. and Canadian op- worked in multiple roles and we’re erations have merged and Michael very excited to give him the opportuMacaluso has assumed the top lead- nity to lead both enterprises,” said ership role for CARSTAR North Costa. America. Macaluso, former presiCARSTAR’s top initiatives, acdent of the Canadian entercording to Costa, will focus prise, will now lead approon growing insurance relaximately 500 CARSTAR tionships, franchisee proflocations. itability and further exThis follows the Februpansion. “We always knew ary 25 resignation of Dan that Canada had a strong Young, head of CARSTAR business, much stron-ger U.S. Young was named presthan the U.S. and this gives ident during Driven Brands’ us the opportunity to let the acquisition of CARSTAR in Michael Macaluso Canadian infrastructure perwas named November 2015. meate the U.S.,” he said. president of Autobody News spoke to “We’re going to absorb the CARSTAR North Jose Costa, Driven Brands Canadian best practices into America paint and collision group presthe U.S.” ident, about the recent changes at the Costa explained that Canada company. supports its field structure differently “The merger was planned later than the U.S. with a head of developon but with Dan Young’s resigna- ment, head of operations and head of tion we had to accelerate some of insurance by territory. Upcoming our plans,” said Costa. “We respect plans also include hiring more field Dan’s decision and thank him for support in the U.S. being an invaluable asset during Dean Fischer, head of U.S. operthese pivotal months of on-board- ations, and Arlo Johnson, head of U.S. ing.” insurance, will both report to Macaluso. Macaluso has been with the CAR- No other changes were made to the exSTAR brand since 2008 and helped ecutive team. by Stacey Phillips, Assistant Editor

Institute (AMI), Kristen Felder, Engage Target Media and Mark Claypoole, chairman and CEO of Optima Automotive. In addition to the professional development that will be presented, attendees will also have an opportunity to participate in the annual WIN Scholarship Walk that benefits the WIN Scholarship Fund and hear from some of WIN’s founding members during a Q&A panel. The WIN Gala and Most Influential Women Reception will be held on May 2 to celebrate past recipients as well as the 2016 Most Influential Women Award Recipient, Michelle Sullivan, regional vice president of FinishMaster, Inc. Members registering before April 1 will receive a discounted rate of $400. For member registration after April 1, the rate is $450. Nonmembers may attend at a rate of $650 and attendance for the Most Influential Women Reception is $75 per person. For more information and to register, visit www.womensindustry network.com.

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Looking Outside of Industry for New Ideas Prompted Maaco Partnership With Pep Boys

Costa said it’s a fraction of the cost to set up a satellite location beShortly after Maaco announced a na- cause the repair is still done in one of tional partnership with Pep Boys in Maaco’s main facilities. “It’s basically March and the opening of two GA satel- a concierge service,” explained Costa. lite locations, Autobody News inter- “You write the estimate, you get a loaner viewed Jose Costa, the group president for the consumer and you take the keys of the paint and collision divithere. Then we transport the sion for Driven Brands, which vehicle to the production faowns Maaco. We asked Costa cility, which is usually three what it takes for a body shop to five miles away.” to think outside of the box Over the last 18 months of and continually advance their testing, they have averaged business. about eight to 10 cars a week, His advice is to do a lot generating about $275,000 to of reading. “I encourage our $300,000 incremental to the Jose Costa team to read and learn as production facility. much as they can and to be inquisitive The first two Maaco shops opened and learn from other industries,” said in March in existing Pep Boys locations Costa. Many people just look at their at 1531 Cobb Parkway S, Marietta, GA competitors and their industry. There and 5000 Highway 138, Union City, is so much learning that other indus- GA. Plans are in place to open additries can teach the aftermarket auto- tional locations in Los Angeles, CA. motive industry.” The shops offer full-service autoCosta said the satellite model has motive services, including auto paintbeen implemented in other industries ing, collision repair, insurance claims, with much success. fleet and industrial services, paintless Maaco spent the last two years dent repair, scratch repair, detailing, testing the concept, opening 18 loca- trim insulation and decaling, with the tions. They currently target affluent support of nearby Maaco production female consumers who spend more shops. money in car repair and visit a shop Costa said they plan to use a momore regularly. bile estimating platform in some of by Stacey Phillips, Assistant Editor

the Pep Boys’ satellite locations as well as digital merchandising boards, with the intent of saving space and enhancing the customer experience. “The footprint varies from location to location so where we have more space we can have more merchandising,” said Costa. “Easy access to Maaco’s services will be a great addition for our customers,” said Joe Cirelli, SVP Real Estate & Construction for Pep Boys. “Maaco has a reputation for quality work, and Pep Boys’ customers now have a truly full-service automotive maintenance shop for all of their needs.” “It was a great fit,” said Costa, referring to the partnership. “They have a lot of foot traffic that they bring to their stores. They don’t offer the type of service we offer so it was complementary. Our consumers are very similar so it made sense to develop this partnership with Pep Boys.” The goal is to open 25 to 50 satellite locations a year. CARSTAR, also owned by Driven Brands, uses a similar model in Canada. “We’re very excited about this concept and we feel it puts our brand in front of the consumer,” said Costa. A fan of the franchise model, Costa said it helps the middle-Amer-

ica small business owner take their company to the next level. “There are incredible benefits to being a franchise owner,” he said. “I call franchisees ‘light entrepreneurs’ because you get a playbook and you are getting a support structure from a national brand so it’s a lot easier to play within the guardrails of the brand versus being a small independent.” He said it also gives an owner more purchasing power and access to technology and marketing. Maaco invests more than $25 million in marketing. “There is no way a small independent can do that,” said Costa. “Our training arm—with Maaco University and CARSTAR University—are best-in-class schools for technicians.” Maaco currently has more than 490 locations in the U.S. and Canada and plans to have 1,000 by 2020. “A lot of people gave us a hard time when we first joined because we didn’t have automotive experience, but we brought a very fresh perspective and that’s where those ideas, like our partnership with Pep Boys came from,” said Costa. “We like to be pioneers and we hope that we can help the industry and help raise the tide for everyone.”

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Shop Strategies with Stacey Phillips - ASSISTANT EDITOR

Female Shop Owner in NY Says Success is Due to Being Prepared & Connecting With Customers Autobody News spoke to Audra Fordin, owner of Great Bear Auto Repair in Flushing, New York about the body shop she has run since 1997. Fordin began working with her father at Great Bear at a young age and ultimately fell in love with the industry. She prides

other ways to help in the meanwhile. Service writing and telemarketing come to mind. I’m a big extrovert and love to meet new people. Talking to drivers is my favorite thing about this job. Chatting with customers has taught me more about the auto industry than market research ever could. Leading workshops is another favorite. It’s fun and fulfilling to help women understand how cars work.

Q: The auto industry changes fast. I A: remember working on carburetors and fuel injection. Now, engines are con-

What changes have you seen in the industry?

Audra Fordin, owner/operator of Great Bear Auto Repair and Auto Body Shop in Flushing, NY

herself on running her shop differently than most, and said that a successful business requires being prepared and establishing a relationship with customers and the community.

you please share the history Q: ofCanGreat Bear? Great Bear was established by A: my great grandfather in 1933. He ran the business with his four sons. Once

upon a time, there was another business called “Great Bear” that sold brake pads. My family loved the name and asked if we could use it. They said yes. There used to be 72 Great Bear auto shops in the family franchise. Today, there are about 10 left. They’re all individually owned, so I can’t speak for those businesses. Eight employees work at my shop. I’m the last of the Mohicans. No other Fordins own or operate an auto shop anymore. My dad ran my shop until I took over in 1997. Now he’s a snow bird, living in Florida. I was jealous during the recent blizzard!

How did you get started in the Q: business and what do you enjoy most?

trolled by a computer. Auto bodies used to be made of steel and iron. Now it’s fiberglass and plastic. All of this happened within decades and bigger changes are coming. Today, we’ve got hybrid and electric cars, not to mention the upcoming rise of self-driving cars. This presents several problems. First and foremost, it’s hard for mechanics to keep up with technology. Within months of graduating trade school, significant changes could occur. Second, this gives an unfair advantage to mechanics who work with big car dealers. Automakers tend to monopolize information. Thank goodness for the Right to Repair Act. There are also organizations like I-CAR and ASA that offer training programs for mechanics. I do my best to stay on top of the latest trends. In the mid ‘80s, check engine lights became a feature. My dad and I didn’t know what to do at first. I remember him shrugging and giving the cliche advice of, “Just put some black tape over it.” At this point, I decided to enroll in automotive trade school. I’ve also been certified with ASE, I-CAR, the NYS DMV, and other organizations. I expect the same from my staff. All of my mechanics have a minimum of two certifications, plus we hold mandatory training twice a year.

I got started when I was super A: young. At age eight, I could help What is it like running the busifile papers. As soon as I learned to Q: ness as a woman business owner count, I could keep track of inventory. in this industry and what advice do you

When I developed enough strength and dexterity, I started to use power tools. I was excited to repair cars, but it took some time to develop that skill. I found

have for others in a similar situation?

First, let me give newbies a pep This is an awesome indusA: talk.

36 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com

try. Don’t let your friends or family discourage you. People might be surprised you want to go into an industry known to be a boys’ club. That’s okay. I feel empowered when I help a driver get back on the road. Know the feeling? Make no mistake. You will be judged and stereotyped. Men have doubted my expertise many times. Once, a male driver didn’t trust my diagnosis, and asked to speak with a “real mechanic.” I found my janitor (a man) and told him exactly what to say. The customer trusted him without question. You’ll also have to deal with defensive customers. Often, cars break down or malfunction due to neglect. No one wants to believe they’re at fault. In reality, it’s hard to blame drivers. Marketing hasn’t done a great job of educating the public about what it takes to keep a vehicle in good shape. Here’s my advice: Brace yourself for negative situations. I’m not implying you should worry or stress out. In-

stead, consider the common objections you might hear from drivers. If you’re a female mechanic or business owner like me, there might be questions about your credentials. How will you handle them? Write down a response and say it out loud until you feel confident. Do the same for buyer objections. You’ll close more sales when you’re prepared to manage the situation.

What sets your collision repair Q: facility apart from others? My shop is an extension of my A: home. The setting is quite cozy. It invites people to relax and stay

awhile. I want people to feel comfortable. It comes down to remembering names, greeting people with a smile, and addressing their concerns compassionately. We offer snacks and drinks (not alcoholic ones); plus, there are bar stools lined up at the counter, like in the See Female Shop Owner, Page 40

www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 37

VA Photo Bill Passes with WMABA’s Amendments

by Chasidy Rae Sisk

In January, VA Senate Bill 193 was presented to allow photos of collision damage to be used during the appraisal process, creating a stir among industry advocates who feared its passage could pose potential risks to consumers and collision repair professionals in VA. The Washington Metropolitan Auto Body Association (WMABA) quickly went to work to negotiate a compromise, and according to WMABA’s Executive Director Jordan Hendler, “The bill passed with our suggested amendments, which was great.” The original verbiage in VA Senate Bill 193 did not seek to remove the requirement for vehicle appraisals to be based on physical inspections, but it would have permitted an initial appraisal based on photos to be used as the final appraisal. This provision caused Hendler to fear that consumers would cash out a claim without a physical inspection, which could reduce the value of their vehicles since over 90 percent of VA estimates require a supplement. Because WMABA also saw potential benefits for consumers and shop owners from the proposed legislation, Hendler focused on refining the language in Senate Bill 193 to minimalize the possible risks. Attempts at compromise were successful, ensuring that the physical inspection receives precedence over pho-

tos provided when writing the appraisal. The original proposed amendment to VA Code 38.2.510 stated, “Notwithstanding the requirement that an appraisal be based upon a personal inspection, the repair facility or the insurer making the appraisal may prepare an initial, which may be the final, repair appraisal on an automobile that has been damaged as a result of a covered loss either from the representative’s personal inspection of the vehicle or from photographs, videos or electronically-transmitted digital imagery of the automobile; however, no insurer may require an owner of an automobile to submit photographs, videos or electronically transmitted digital imagery as a condition of an appraisal.” This verbiage was revised to include: “Supplemental repair estimates that become necessary after the repair work has been initiated due to discovery of additional damage to the motor vehicle may also be made from photographs, videos or electronically-transmitted digital imagery of the motor vehicle, provided that in the case of disputed repairs, a personal inspection is required.” WMABA is pleased that the bill passed with their suggested amendments which place emphasis on the physical inspection and promotes consumer safety by allowing the collision repair professionals to determine what is necessary to properly restore these vehicles to their pre-loss condition.”

2016 Second Quarter Training Schedule Announced by The Martin Senour Company

The Martin Senour Company announced its 2016 second quarter training schedule, with courses running from April 19 to May 19. Training courses emphasize painter certification and maximizing shop profits, and will be held at training facilities nationwide. Martin Senour Automotive Finishes Director of Sales Jeff Hartl noted the brand’s training sessions are designed to help shop owners, managers, and technicians better execute environmentally-responsible practices, as well as improve their repair techniques and knowledge of today’s new innovative painting systems – particularly the brand’s popular Pro//BASE™ refinish system. In addition, customized classes are being held for NAPA Jobber professionals on specific Martin Senour product and process knowledge to help them better service to their NAPA collision shop customers. In particular, Martin Senour professionals will teach the following courses during the second quarter of 2016: ● Color Adjustment and Blending ● Fleet FPG

● Jobber Level 1 ● Painter Certification ● Pro//BASE™ Refinish System Painter Certification

Training Schedule: Atlanta // 04/19/2016 // Painter Certification // 3days

Atlanta // 04/26/2016 // Color Adjustment and Blending // 3 days

Atlanta // 05/03/2016 // Jobber Level1 // 3 days

Chicago // 05/10/2016 // Jobber Level 1 // 3 days Chicago // 05/16/2016 // Color Adjustment and Blending // 3 days

Chicago // 05/19/2016 // Pro//BASE™ Refinish System Painter Certification // 2 days Dallas // 05/02/2016 // Fleet FPG // 3 days

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IABA February Meetings Address Changes to FLSA by Chasidy Rae Sisk

In February, the Indiana Auto Body Association (IABA) held five chapter meetings to present upcoming changes to the Federal Fair Labor Standards Act (FLSA). These presentations were delivered through the association’s Virtually Live (VLive) training initiative. According to IABA Executive Director Tony Passwater, these meetings were held to discuss “new regulations coming from the federal government over the next two to four months. The government will be making some major changes to the FLSA.” Currently, an employee must make a salary of $23,000 to be considered exempt, but the government is discussing raising that requirement to $50,000. Passwater predicts, “Shops will need to convert employees to hourly wages, making them eligible for overtime, or raise their salary over $50,000. Even if an employee makes the minimum amount, they’re still unlikely to pass the duty test that requires them to have direct reports to qualify for exempt status; 90% of positions within the collision repair industry don’t meet this requirement.” Passwater also discussed the importance of employee handbooks, re-

minding attendees that it’s not complete once it’s put together. “It must be legally correct, and shops must update their handbooks regularly because they will be held to it. Most importantly, the handbook must include arbitration clauses, or court costs could rise into the hundreds of thousands.” In addition to qualifying as a service business, a shop must pay its employees at least one-and-a-half times the minimum wage for them to be exempt. Shops must also require employees to clock in and out, even if they work on commission. “Many shops don’t do that which can allow employees to go to the labor board and say they’re working 5060 hours weekly,” Passwater warns. “The employee is always right if there’s no documentation.” Passwater also talked to attendees about protecting themselves in terms of liability, and he predicts that these new requirements will cause much concern in the next few months. The New Albany chapter held their meeting on Monday, February 8 at Tuckers, and the next day, the Bloomington chapter’s meeting took place at the Crazy Horse Food and Drink Emporium. The Fort Wayne chapter held their meeting at the Lucky Moose on Wednesday, and on Thursday, February 11, the Indiana NW

chapter held a morning meeting at Gino’s Steakhouse in Merrillville, IN, with the Indianapolis chapter holding their meeting that evening at Rick’s Boatyard and Café. Passwater said attendees responded well to the information shared, but attendance fluctuates drastically. While he believes there’s a lot of value in attending meetings and networking with peers, it is not necessary for shops to receive the education they need. The VLive concept was created because of the difficulty of finding speakers to travel to five locations in one week, so Passwater has begun interviewing industry speakers remotely or acquiring permission to use content which can be distributed electronically to IABA’s five chapters. Since meetings generally last no more than two hours, the VLive system also contains an online training portal that is free to members. Here, Passwater posts the full content of the educational sessions, giving industry professionals a chance to learn more at their convenience. Non-members ca purchase access to this useful information. Passwater says, “We want to create more value for our membership. We’re trying to get this information out there, regardless of attendance, and I see virtual learning as the future for all of IABA’s meetings.”

Rotary Lift Introduces Video Series

Rotary Lift is drawing on its more than 90 years of experience designing and manufacturing vehicle lifts to answer frequently asked lift operation, maintenance and installation questions in a new video series dubbed “90 Second Know How.” These short videos cover light-duty and heavy-duty lifts, including twopost lifts, four-post lifts and inground lifts. “Rotary Lift’s customer service team gets more than 190,000 phone calls a year,” says David Fischmer, Rotary Lift marketing director. “Our customers are busy, and when they need help, time is money. But when a customer isn’t standing at the lift when calling, verbal explanations can be difficult to convey and hard to understand. This new video format is like being in the customer’s shop to demonstrate the answer—in just 90 seconds.” The first six videos are online, with additional releases scheduled monthly. The videos are currently available at www.rotarylift.com/ training-videos. To learn more, contact your local Rotary Lift distributor, visit www.rotarylift.com or call (800) 640-5438.

www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 39

Lean Operations

How to Hold People Accountable with David Luehr

If you struggle getting people to do what you want them to do, it may be time to learn a few new accountability skills. Many collision shop leaders are frustrated that people seem to ignore them when asked to perform simple tasks such as picking up after themselves, or living up to quality standards. This disregard for the rules may come across to leaders as a lack of respect, and sometimes it could be, but very often these indiscretions are a result of insufficient leadership skills. There is a lot to know about motivating and keeping an engaged work force. Here are some tips that will get you started in the right direction and keep your team doing the right things in order to win:

Don’t assume your team knows what you expect Much of the frustration felt by my clients are brought on by themselves because they don’t have written standards. Standards take on a whole new level of seriousness when in writing. I highly recommend creating a simple written “playbook” to document how you want repeatable actions performed in your collision center. Once this information is in writing you can sit down with your staff and clearly communicate what the expectations are. Some of the best collision companies even ask their staff to take a short test to prove they understand what is exContinued from Page 36

Female Shop Owner

sitcom Cheers. “Everybody knows your name. And they’re always glad you came.” We also prioritize driver’s education. For example, we’ve got a tire pressure gauge in the waiting room. Customers are welcome to read the instructions, take it outside, and check their pressure while they wait.

Is there anything else you would like to share with our readers in the collision repair industry?

In the Great Recession of 2008, my shop hit a sales slump. Lots of folks lost their jobs and didn’t have a rea-

David Luehr is the owner of Elite Body Shop Solutions, LLC, a collision business consulting firm based in Nashville, Tennessee. He is a 30 year veteran of the collision repair industry. David is an expert in Body Shop Operations and specializes in Lean, and Theory of Constraints methods. Email him at dluehr@msn.com

pected of them. Again, don’t make the assumption that your team knows what is expected of them, you have to overcommunicate what you expect.

Know how to hold an accountability conversation One of the things that leaders hate the most is, unfortunately, having those little talks with people that aren’t living up to expectations. Leaders need to learn to become comfortable being uncomfortable and go ahead and have that talk! If you have done a good job letting people know what is expected of them, these conversations are much easier to have. Especially if the standards are in writing. What makes these “coaching” conversations difficult is when the discussion is based on the arbitrary, such as “Dan, I don’t think you are communicating with your customers well enough.” The conversation is much easier and effective when you are explaining a gap in the employee’s current performance versus a known standard. “Dan, our company values excellent customer communication as you know, and you know our standard is to contact our customers every two days as outlined in our playbook. Dan, please explain to me why this behavior is not taking place?”

ing or auditing their systems and standards pay huge dividends. Many of the world’s fastest growing MSOs have found regular periodic audits to be the real secret sauce to standards being consistently met. Once deviations are discovered, you should provide immediate feedback through employee coaching or holding a company meeting to reinforce the standards. Again, you must over-communicate the standards and what is expected.

Why consistency is the key Most people actually prefer structure. Like children, many of us may not like being held accountable at first, but almost everyone learns to appreciate the consistency and healthy structure of a company that lets people know what they are supposed to be doing and how they should be doing it. Far too many leaders simply hire people and stick them in a position with the full expectation that all the experience they have

accumulated over the years at other body shops will translate into meeting the expectations at your company. This rarely works well! You have the choice to run your business or let the employees run it their way. Consistency also means that you have to quit turning your head the other way when standards are not being met. If you choose to keep stepping over your employee’s pile of tools and parts laying on the shop floor instead of correcting the behavior immediately, you will have a difficult time getting anyone to take you serious as a leader. Your job is to be a leader, not a buddy! Take back control of your business by setting clear expectations, and holding people accountable in a professional way! If your company would like help with leadership training or creating and documenting standards please contact us today. Visit www.elitebodyshopsolutions.com for more information.

Inspect what you expect Many of my clients find that inspectson to drive. Others held onto their jobs, but took a bus or taxi to save money. Business wasn’t good. This is what inspired me to host auto awareness workshops for women. We taught them how to do basic repairs like polishing headlights, checking auto fluids, and changing bulbs and wiper blades. We collected donations from participants and local businesses. The proceeds covered the cost of repairs for single working moms. I’m sharing this story because it illustrates the power of community. People want to feel connected to the businesses they work with. Providing workshops (or any kind of educational event) is a great way to do that. If you can find a way to serve your community in a way that people notice, you’ll make a difference and drum up new business.

40 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com

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www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 41

Shop Strategies with Stacey Phillips - ASSISTANT EDITOR

NY Body Shop Owner’s Weekly Radio Show Aims to Educate and Entertain Customers Nick Orso’s Body Shop and Service enforcement. We talk about school bus safety and DWI (driving-while-intoxiCenter in Syracuse, New York will celebrate their 62nd anniversary cated) awareness. We have won awards for our participaon April 15. Autobody News spoke to Mike Orso, the tion and effort to promote owner of the shop, about the highway safety, and stop radio show he has run for the DWI programs, the “Move past five years and his recent Over Law” campaign, workinvolvement as president of zone safety, texting and agthe NYS Auto Collision Techgressive driving risks. Mike Orso, owner nicians Association. Orso also We have business people of Nick Orso’s that want to talk about their own’s Nick’s Garage, Inc. Body Shop and Service Center commitment to consumers and What prompted you to and president of NY best business practices. We begin recording the State Auto Collision have an insurance agent, acciTechnicians Nick Orso radio show and dent attorneys, political candiAssociation can you tell us about the topdates, law enforcement, NYS ics you cover? State Police, county Sheriff’s departments, police departments, the district atWe felt we had more to say and torney’s office, doctors and health care the 60-second radio spots we professionals and officials, highway were doing needed to tell the rest of safety experts, restaurants and delis, inthe story, to be more effective. vestment bankers, home builders, funeral We have guests from all areas of directors, tire dealers, service garages, business and legal, political and law damage appraisers, senators and assem-

Q: A:

blymen, college sport coaches, coast guard, travel agents, and heating and air conditioning. March 5th marked our 257th show.

What type of advertising do Q: you focus on and what are the main benefits you have found?

Wreck Check Post Repair Inspections, an in-house 40 car-truck-SUV rental fleet, in-house council, advertising, radio shows, 100-car capacity, and NO DRP conflicts of interest.

We do consumer-based informational commercials. Most A: people know we can repair a damaged

car and our commitment to repair integrity. What they don’t know is their rights after a claim. AND that’s what we tell them. Help is available.

What are the primary areas of Q: focus at your shop and what environmental initiatives have you

taken?

Our resume includes a list of A: eight manufacturer-sponsored certifications. Our services include:

Nick Orso’s collision repair shop is located in Syracuse, New York and was established in 1954

In addition to using waterborne paint, LED lighting and a modulating air system, we completed one of the largest installations of solar power electrical-producing panels in Central New York in 2011. We are Syracuse’s only solar-powered body shop. We get

Th The Carcoon A W Features: tttur The T Th he C Carcoon Ca C arcoon America arco Amer Am A America eriiica ca Workstation W Workstation orkk ork ksttati kst ati tiion io i nF Fe F ea e eat atures: a tu es: tures: es

• A massive 179 square feet of filtration area. • Two huge input filters (over 36sf ) clean the air going through the Workstation.

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• Four large clear windows provide ample lighting. • Additional stand lights can be placed outside the booth.

42 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com

A Smart Solution. The The Carcoon Car arco co oon on America Am A meric rica Workstation Wo orksta atio on works work wo orks ks the the he same sam sa me and and just ju ust as effectively eff ffecctivvely as as a cross-flow ccrros rosss--fl flow flo fl w paint paiint booth. ootth The Th T he Carcoon Ca C Carrco oon America oo Am me erricca Workstation Work W Work kstation kst ation n is is EPA E A Certified. Cer fi C fie ed Ideal Ideall for fo or the the busy bus b sy body b dy bod dy shop-mobile sh p-m mob bile technician/smaller techn tech hn nician/smaller nici ian n/sma aller shop sh hop ho p with w th limited lim l mited facilities. fa facil cilliti ities. es

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80 percent of our electrical energy from the sun. There are 280 solar panels on our roof. We are the most environmentally-friendly body repair shop in upstate NY. We received a New York State Assembly Citation from the legislature in November 2012 for our efforts in clean energy as the largest private solar installation in the Syracuse area.

Can you update us on the $3 Q: million lawsuits that were filed in 2012 against insurance companies

they do not know the intricacies of automobiles or have accidents often enough to be experienced. We do it so that we can repair the vehicle to the best of human ability while settling the cost of repairs efficiently – IF the insurance company involved is inclined to negotiate and settle the claims.

citing capping and short pays?

I am at liberty to say: A: Most of the suits were “resolved.” There are a few? that are still in

litigation. We now use in-house council that handles the day-to-day collections and interacts to negotiate and settle repair costs on claims.

What is the assignment process Q: you use to collect short pays? We take assignments from consumers who authorize us to act A: on their behalf to negotiate a repair

settlement. Most consumers are illequipped to handle repair claims since

In 2012, Orso received a New York State Assembly Citation from the legislature for “unparalleled work ethic.” Orso was recognized for his shop’s accomplishments, which included the installation of solar panels in 2011 (l to r) Assemblyman Bill Magnarelli, Mike Orso and Assemblyman Sam Roberts

Some companies, however, will not negotiate and use a take-it or leaveit offer. Those cases are typically handled by our attorney. We explain to our customers that some of the companies are not acting in the consumers’ best interest. We then have been putting our

customers in touch with independent agents who sell insurance for companies we know will settle claims and treat customers fairly. We average four to five customers a week? who are changing companies, dropping the companies that typically will not settle claims fairly-promptly or that show any anti-consumer tendency. We constantly hear that they save money, get more insurance coverage and it’s from companies that will settle claims fairly. I think it sends a message consumers will not stand for behavior that gives them less than they had prior to the loss.

What is the importance of Q: being part of an association and what is your current involvement with the NY State Auto Collision Technicians Association?

This is my 16th year as president of the NYS Auto Collision Technicians Association. I feel the most important part is the sharing of information and experience. The cohesiveness of a committed group of individuals is much stronger than a single person trying to do it alone. During our annual Lobby Day, we

visit the NY State Capital, legislators, NYS Insurance and Financial Department and the NY Attorney Generals office. We keep them apprised and invested in our efforts to best serve consumers.

Is there anything else you Q: would like to share with readers?

We have found that being comA: placent and accepting whatever is offered has no reward. Most of the

drive-in estimates we see are 100 to 1,000 percent below what it takes to properly repair a vehicle. We have thousands of loyal customers built from over 60 years of collision industry knowledge and experience. We are a tough competitor.

The Nick Orso Radio Show plays Saturdays on 105.9 FM from 9 to 10 a.m. EST. It streams live during show times at http://www.therebelrocks.com/thenick-orso-show/ Mike Orso can be reached at 315471-8521. For information about Nick Orso’s Body Shop and Service Center, visit nickorso.com, and on Facebook and Twitter.

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19809 W. Bluemound Road, Brookfield, WI www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 43

The Body Shop of the Future

Mike Anderson shares tips on how to “thrive and not just survive” by Stacey Phillips, Assistant Editor

What will it take for an auto body shop to prosper in the future? Industry expert Mike Anderson shared tips on what shops need to do in order to “thrive, not just survive,” during a recent California Autobody Association’s chapter meeting. It was held in March at Mitchell International in San Diego, CA. Regardless of the type of business, Anderson said a company needs to focus on three specific areas: marketing, production, and finance human resources.

Sales & Marketing Currently, if a vehicle owner does not have a shop in mind to go to after an accident, the insurance company will make a referral to a DRP (direct repair program) shop. Anderson said that moving forward, OEMs will become more involved in this process. In the future when someone is in a collision, Anderson said the technology in the vehicle will automatically notify the OEM about the drivability of the car. This will give the OEM an opportunity to direct where the car will be repaired, also known as “virtual steering.” During his presentation, Anderson showed CAA members a Collision Hub video released in 2015 titled, “Virtual Steering The Future Of Automotive Collision Claims.” https://www.youtube.com/watch?v= MWqYWDdRvu4 Several OEMs have already incorporated this technology into their vehicles and are in the process of building vehicle networks. Meanwhile, insurance companies are in discussions with OEMs to be their preferred carrier of choice. Anderson shared information from Erica Schaefer at Chrysler: “Statistics have shown that 60 percent of consumers who have to return their car back to a body shop for a problem no matter how minor, will sell or trade that car in within one year. Sixty-three percent of that number will change vehicle brands when they sell or trade in their vehicle.” “At the end of the day, the OEMs want to protect their brand,” said Anderson. “DRPs are not going away; however, I do believe that as shops we need to set ourselves up to win and this OEM trend needs to be clearly

considered.” performance indicator) that insurance tact the customer, they can be assured He said in the past a prosperous companies are now tracking and that they are losing work,” he said. shop was either part of a DRP or had should be monitored – Assignment Another factor affecting CSI is high-end OEM certifications. This is no Received to Estimate Start Date. This whether the vehicle is delivered on longer the case, according to Anderson. is the time period that insurance com- time. “The number one thing that “The shop of the future that is going to panies measure a shop from the time contributes to on-time delivery being thrive and not just survive, is they send an assignment at missed is that we give them a false going to be a blend of both,” FNOL (First Notice of Loss) date to start with,” said Anderson. Alhe said. “If you have not on a customer’s car until the though shops often feel pressured to started down the path of OEM body shop actually begins give customers a date, one of the certifications, you have alwriting the estimate. things Anderson said he learned from ready started to lose the race.” The industry average is Cheryl Hart at 3M was to change our In addition to pursuing currently 5.5 days. “Insurword tracks with customers and let OEM certifications, he said it ance companies want it to be them know that we will be able to Mike Anderson from Collision is critical to monitor and less than 1.6 days because provide a more accurate date once the Advice gave maintain your shop’s online they see a direct correlation car has been disassembled, the shop CAA San Diego presence. He talked about enbetween the time it takes has received full authorization from members tips on suring your business presence from FNOL to when the shop the insurance company and find out how to run a is consistently representing contacts the customer and bewhen the parts are available. successful business your brand. Regardless of the gins writing that estimate,” He stressed the importance of ensearch engine used – Google, Yahoo, said Anderson. “The longer the period suring vehicles are repaired properly Facebook, Bing, white pages or yelp – between FNOL and a shop beginning the first time and suggested using the having a consistent and accurate listan estimate impacts what they pay on asTech Scan technology from Collision ing is critical to success. Anderson adbodily injury claims.” Diagnostic Services to identify issues vised having the shop’s logo, shops Some of the MSOs he works with with a vehicle. After being hooked up hours and website link accurate across have call centers that contact the ve- to the car, the vehicle is connected to the board. hicle owner within seven minutes of an OEM SCAN Tool in Dallas, Texas Websites such as www.yext.com when they receive an assignment. “If where they have factory-trained techcan provide information on how con- shops are taking up to 5.5 days to conSee Body Shop of the Future, Page 46 sistent your shop ranks in regards to your online presence. In order to “thrive and not just survive,” Anderson noted that the following are important to consumers – trust, empathy and direction (TED), while insurance carriers are looking for service, speed and accuracy. To meet these needs, Anderson recommended that shops focus on the • Dedicated Wholesale Staff three Cs – CSI, closing ratio and cycle • Competitive Wholesale Prices time.

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44 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com

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Continued from Page 44

Body Shop of the Future

nicians who use OEM scan tools to provide relevant information. Another idea he shared is having an after-hours emergency number for customers. The recording should include information about whether the shop is open or closed; if it has a towing service and provide the phone number; the address of the shop as well as a nearby landmark; and where the key drop is.

Closing Ratio Anderson discussed the advantage of devising sales scripts to use when contacting customers. “The day after you deliver the vehicle, call the customer so you can ensure if there is a problem, you can head it off before the CSI survey is completed,” he said. He also recommended following up with customers after writing the estimate to ask if they have any questions as well as conducting sales training with staff. Anderson said that every good business does what he called “corporate espionage” to find out what their competitors are doing well and what

they are struggling with. He encouraged attendees to conduct a SWOT analysis, checking the Strengths, Weaknesses, Opportunities and Threats of their business as opposed to the competition. This may include looking at their Facebook page, website, online reviews, what OEM certifications they have and how they rank with insurance companies.

Cycle Time A year ago, Anderson said he would have recommended that in order to be successful in cycle time, a shop needed to repair vehicles at least two days faster than the market average, based on Enterprise’s Length of Rental ARMS Reporting. “Today, you need to be four days better than the industry average because everyone else has gotten that much better,” said Anderson. “Having a complete and thorough understanding of Enterprises ARMS reporting is critical to a shop’s success.”

Production In regards to production, Anderson said it will be necessary for shops to retain more labor gross profit in order to pay for OEM certifications and training. Otherwise, they won’t be able to afford

it. “The body shop of the future is going to have to retain 65 to 70 percent gross profit unloaded without benefits,” said Anderson. This can be accomplished through bonus-based pay plans, a team system, a tiered approach and labor rate increases. Adding more non-included operations to an estimate will also help a shop’s sales mix, said Anderson. One of his recommendations to improve additional labor hours per estimate is to utilize Automotive Service Association’s (ASA) not-included chart. The free reference chart highlights the “non-included” operations when installing new replacement parts. He also encouraged the use of estimatescrubber.com, which analyzes an estimate and shows what NOT included operations may have been overlooked on the estimate. It costs $25 per month for unlimited use. “The shop of the future is going to have to focus on more repair versus replace opportunities,” said Anderson. “We’ve got to look at some repair opportunities when we know we can do a quality repair. More labor equals more gross profit.” Anderson recommended purchasing a nitrogen welder for plastic repair

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Finance & HR In order to be successful, data will continue to remain key. “Data is going to be very critical to you as an OEM-certified shop,” said Anderson. “If you don’t measure it, you can’t manage it.” The body shop of the future will use an accrual accounting system rather than cash, said Anderson. This means that they will adjust their work in process each month and reconcile prepayments with receivables. “Shops need to know how to manage cash flow and determine their ROI [Return

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since insurance companies are currently tracking repair versus replace on front and rear bumpers. In 2013, the industry average for rear bumpers was about 42 percent repair versus replace; front bumpers were 29.86 percent. That metric has since changed. Shops are now closer to 45 percent for rear bumpers and 32 percent for front bumpers. He encouraged shops to stay upto-date and educated as estimators. Some of the websites he has found helpful include www.boronextrication .com; www.drivealuminum.org; www .worldautosteel.org; and www.intlmag .org.

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on Investment],” said Anderson. He said that although he hopes he is proved wrong, he believes that parts price matching will no longer be available in a year or two because OEMS are realizing a decrease in their profits. “This system is not working,” said Anderson. “It is a band aid for an issue that is not being discussed.” It is for this reason he said parts discounts will continue to shrink. Therefore, he recommends shops focus on making more gross profit on labor. “If you want to maximize your gross profit, you need to focus on the 30-2020 sales mix to achieve the maximum gross profit,” said Anderson. This equates to 30 percent of sales coming from body, frame and mechanical labor; 20 percent of sales on paint labor; 10 percent of sales on paint materials; 36 to 38 percent on parts; and two to four percent on sublet. “If you hit this sales mix, you will make a 46 to 48 percent gross profit unloaded [without benefits], said Anderson. However, most shops are 26 to 28 percent body, frame and mechanical labor; 13 to 15 percent paint labor; 7 – 9 percent paint materials; 40 to 42 percent parts; and the remainder on sub-

let. This amounts to 43 percent gross profit. “If you do $100,000 a month in sales, that three percent difference is $3,000. If you do $300,000 a month in sales, that is $9,000 additional money to your bottom line,” said Anderson. He suggested looking at the possibility of bringing in some of a shop’s sublet in-house. “If your sublet is more than two percent of your sales, you need to ask yourself, ‘what can I bring in-house?’” This might include looking at more repair versus replace opportunities; more non-included operations to bump up the sales mix; more refinish operations and if the paint materials percentage is low, an invoicing system. While taking steps to become a successful body shop in the future, Anderson recommended aligning yourself with people who will help you grow. “Surround yourself with people who are positive, not negative, and have the same vision and hope,” he said. “In my opinion, it’s a bright future in the industry,” said Anderson. “I don’t think our industry is doom and gloom. It’s one of the most exciting times I’ve ever seen in my life.” For more information, visit www .collisionadvice.com.

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AkzoNobel’s Vehicle Refinishes announced on February 24 the members of its 2016 Distributor Council. The Distributor Council is a legacy activity of Vehicle Refinishes that spans its 30-year history in North America. Over this period of time, Vehicle Refinishes has looked to advisory bodies drawn from its distribution network to assist AkzoNobel in establishing frameworks for business practices as well as provide inspiration for creating new polices, products and programs. Those advisory bodies have gone under various names; however, the purpose of the group has remained constant….provide counsel.

Council Members are: Paul Fus – PF3 Paint Supply, Wixom Michigan Robbie Brinkley – C&D Auto Paint & Body, Thomasville, Georgia Doug Richau – Auto Color and Industrial Supply Peter Kilkenny – Providence Lacquer & Supply Centre, Cranston, Rhode Island Layla Maus – Gladwin Paint, Austin, Texas Kim Snyder – Body Parts Store, Inc. Des Moines, Iowa Peter DeLuca – Industrial Finishes

& Systems, Inc., Salt Lake City, Utah Don Treschak – Treschak Enterprises, Ltd., Welland, Ontario “The council, comprised of eight representatives throughout North America, is a visible and proactive sign that AkzoNobel’s Vehicle Refinishes business in North America is dedicated to distribution as our primary method of going to market,” said Dave Recknagel North America customer services manager. “As a result, we are constantly striving to innovate. This includes Go-To-Market business models which ensure that we are engaging, evolving and advancing practices and processes that enhance current relationships as well enable growth and expansion to create new.” Council members are asked to serve as ambassadors to other members of the AkzoNobel distribution network within specific geographic market sectors to ensure that information is received, delivered and comprehended in as equitable a manner as possible. The council physically meets three times a year with intermittent conference calls to help bridge time gaps or address critical and immediate issues. For information, call Bill Orr at 770- 441-8973.

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The Legal View

A Primer on Diminution in Value Claims with Gary Wickert

One of the recurring questions Matthiesen, Wickert & Lehrer, S.C. (MWL) is called on to answer involves when and under what circumstances the insured suffering automobile property damage, or his or her subrogated automobile insurer, may recover for diminution in value of a damaged automobile. This article is intended to provide a global answer to many of the questions we have been asked on this subject. When a vehicle is damaged in an accident and then repaired, the resale value may be less than a comparable vehicle that has not been damaged. In other words, the damage results in a reduction or “diminution” in the market value of the vehicle, even after competent repairs have been completed. An insured’s claim for this reduction in value may be made against a third party that negligently caused the damage to the insured’s vehicle, or it may arise from a first-party claim against the physical damage coverage under the insured’s own automobile policy. The term “diminished value” can be confusing. There are three types of diminished value: 1. Immediate Diminished Value: This is the loss in value that results immediately after an accident before any repairs are made. It is the difference in market value immediately before and after an accident caused by a negligent tortfeasor. In many states, this is the measure of damages for injury to personal property.

2. Inherent Diminished Value: This refers to the loss in value of a vehicle that remains after it is completely and professionally repaired. It is the loss of value that results from the simple fact that the vehicle has been in an accident. This type of diminished value is also known as “stigma damage.” Given two identical vehicles on a car lot, the one which hasn’t been involved in an accident is preferable to the one which has been damaged and repaired.

3. Repair-Related Diminished Value: This refers to the additional loss in value to a vehicle which results from incomplete or poorly-performed repairs. It could include simple cosmetic dam-

ages that remain after repair or major mechanical or structural deficiencies. The most common and widelyused form of diminished value is inherent diminished value. There are two types of inherent diminished value claims, both of which are discussed in this article:

1. First-Party Claims: These are claims made by the vehicle owner/policyholder against his or her own insurance company to recover the difference in the value of the vehicle before the collision and value of the vehicle after the damage caused by the collision had been repaired. This type of claim is usually governed by contract law and the terms of the insurance policy. When a vehicle is damaged, a policyholder generally expects to be “made whole” by its first-party property insurer, but an insurer is legally responsible only to pay according to the terms of the policy.

2. Third-Party Claims: These are claims made by the owner of a vehicle against a third-party tortfeasor (person other than the insured and insurer) for negligently causing damage to the owner’s vehicle. This type of claim is governed by tort law.

First-Party Claims With regard to first-party claims, the Insurance Services Office (ISO) contract language (specifically the Limit of Liability Condition) arguably appears to cover only the Actual Cash Value (ACV) of the damage or the actual cost to repair the damage. There is often nothing in the policy language that would contractually cover any reduction in market value, even if the insured were able to prove the amount of reduction in value. On the other hand, the policy clearly allows the insurer to deduct for “betterment” or depreciation, although the burden of proof is on the insurer to demonstrate such depreciation or betterment. In physical damage claims, the policy allows the carrier to deduct for an “improvement” in value (i.e., betterment) due to repairs with newer parts, but will not compensate the insured for a reduction in value due to the same accident. There is a disparity among the var-

48 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com

Gary Wickert is an insurance trial lawyer and a partner with Matthiesen, Wickert & Lehrer, S.C., and is regarded as one of the world’s leading experts on insurance subrogation.

ious states regarding recovery of diminution in value in first-party cases. Insurance claims professionals should be aware of when and how the laws of each state deal with diminution in value. Georgia is in the minority of states which require insurers to pay the diminished value as well as the cost of repair of a vehicle even if the insured does not make a claim for the diminished value.

Third-Party Claims In third-party claims for property damage to automobiles that are the result of a collision for which a third party was at fault, the measure of damages is traditionally, but not always, the difference between the market value before and after the collision (“diminution in value”) or the reasonable repair value, whichever is greater. Such third-party diminution claims have generally been found by the courts to be covered by automobile insurance since the measure of damage in tort claims (which the

insurer promises to pay) is the difference in the value of the property before the loss and the value of the property after the loss. The Restatement of Torts § 928 states as follows: Where a person is entitled to a judgment for harm to chattels not amounting to a total destruction in value, the damages include compensation for: (a) the difference between the value of the chattel before the harm and the value after the harm, or at the plaintiff’s election, the reasonable cost of repairs or restoration where feasible, with due allowance for any difference between the original value and the value after repairs. It should be remembered that diminution in value of a vehicle after repairs have been conducted can be difficult to prove and, in some states, the burden is quite high. In some cases it may be necessary to actually sell the vehicle in its damaged condition in order to establish its post-crash market value See Primer on Diminution, Page 51

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National Associations with Chasidy Rae Sisk

Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@chasidyraesisk.com.

Why WIN? Webinar Explains Why Everyone Should Be a WINner On Thursday, February 18, the Women’s Industry Network (WIN) hosted “Why WIN? An Introduction to the Women’s Industry Network” to explain WIN’s mission, how WIN engages women, why the industry needs WIN and how to get involved. The informative webinar was conducted by Michelle Sullivan and Mary Kunz, cochairs of WIN’s membership committee, who expressed the desire for all participants to learn something new about WIN. WIN was founded in 2006 by a small group of women who had made significant contributions to collision repair. They began the organization to support and encourage women in all segments of the industry. Sullivan explained that WIN provides great leadership opportunities through their Board of Directors and various committees, plus their annual educational conference offers plenty of developmental and breakout ses-

sions. WIN also awards scholarships for students and professionals, and recognizes exceptional women in the collision repair industry through their Most Influential Women (MIW) program. WIN is very involved nationally and engages in its targeted campaign through the association’s leadership, which is comprised solely of volunteers who donate their time and talents to growing the organization. There are a variety of ways to get involved with WIN, according to Sullivan. If members want to help advance the organization’s strategy and further its direction, they can join one of the following committees: scholarships, industry outreach, membership, communications, sponsorship, strategic planning, governance and conference planning. Kunz explained, “Most committees have a monthly call, but there are no required time commitments. It’s what you can contribute and where

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your talents best fit. Joining a committee is the best way to engage with this organization and get the most out of your membership.” WIN also offers opportunities on their Board of Directors, and the organization is looking to bring new people and ideas in. The deadline for this year’s Board of Directors has been extended through the end of February. The deadline for scholarship applications has also been extended through the end of the month. WIN offers scholarships for high school students, as well as post-secondary/continuing education students to allow recipients to further their development and help women advance in the industry. Scholarship recipients receive WIN memberships, and some are selected to attend WIN’s annual conference where they’re given the opportunity to network with women in the collision repair industry. Schol-

arships recipients are mentored by MIWs and board members. WIN’s website also features an employment center for job postings and resumes. Sullivan noted, “There’s a lot of talent in this industry and getting involved with WIN helps industry engagement and improves retention.” Over the past few years, WIN has increased its visibility by attending a lot of national events. This year will be the first time WIN makes an appearance at AASP/NJ’s NORTHEAST Conference and Tradeshow. Kunz said, “WIN is looking to constantly be visible in the industry and really engage women.” WIN’s “There’s a Place for You” campaign focused on educating women about all the different opportunities in the industry and allowed them to open a dialogue about the various career paths available. As part of its efforts to create a recognizable brand, WIN has created brochures and other marketing

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materials which are available to members for distribution. Sullivan and Kunz are proud of WIN’s MIW awards which they took over from AkzoNobel in 2013 to honor women who have “enriched the collision repair industry with their vision, leadership and commitment to excellence.” Nominations are collected each fall and then reviewed and selected by an independent third party; MIW honorees are acknowledged at the MIW Gala during WIN’s annual conference. “Why does the industry need WIN?” Sullivan asked. “What does the face of your business look like, and how is your organization positioned for growth? Looking at diversity and sustainability, we need an organization like WIN whose mission is to engage

women. For years, shops have struggled with a shortage of technicians; our scholarship program sees a number of women entering that segment of the industry.” Sullivan continued, “Join WIN, join committees and encourage others to join. There are still people who don’t know about WIN, but membership is beneficial and provides great networking opportunities. Become a corporate sponsor or donate individually as a Friend of WIN to support our scholarship fund. Even better, attend WIN’s annual conference - we’re always looking for people to share their experiences!” Kunz said, “It’s a unique experience to be in a room filled with women from this industry. The camaraderie is

Continued from Page 48

.claimsjournal.com

Primer on Diminution

or, at a minimum, engage an expert appraiser to provide a detailed report. A comprehensive summary of how first-party and third-party inherent diminished value claims are treated in all 50 states can be found at www

Gary Wickert is the author of several subrogation books and legal treatises and is a national and international speaker and lecturer on subrogation and motivational topics. He can be reached at gwickert@mwl-law.com. Thank you to the Claims Journal for permission to reprint this article.

great. I got hooked at my first conference and have been a member ever since. It’s been a wonderful opportunity to grow myself professionally and personally. Attending a WIN conference will serve you well.” When WIN was founded in 2006, the organization had 140 members. Thanks to their membership drive, they ended 2015 with 478 members, the highest number to date, which represents a 29 percent increase over 2014. Going forward, WIN plans to enhance its member profiles in order to focus conference sessions on specific segments of the industry. Sullivan and Kunz encouraged participants to save the date for WIN’s 2016 Educational Conference to be held May 2-4 in Tampa, FL. The

theme, Power of the Past and Force of the Future, will include appearances from some of the organization’s founders. The conference will begin Monday after lunch, proceed through Tuesday with the MIW Gala in the evening, and conclude Wednesday by noon. This popular format features several keynote speakers for all attendees as well as a few breakout sessions. WIN is finalizing the agenda for the conference and plans to release details in early March, WIN members will receive advance notice and discount pricing. WIN memberships run from January through December and are available online for $75 annually. Kunz and Sullivan “encourage you to join and to spread the word about WIN.”

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Media and Publicity for Shops The Little Things Go a Long Way with Customer Service with Ed Attanasio

Nancy Friedman is known throughout the country as the Telephone Doctor, but she is also a keynote speaker for large automotive companies and a customer service consultant for big corporations. She takes businesses of all sizes that are dropping the ball when it comes to basic customer serNancy Friedman (aka “The Telephone vice and turns them into thoroughbreds. Doctor”) works with automotive Her clients include companies to CCARSTAR, Big improve their O Tires, Goodyear, customer service Tire Pro, Midas, and many other well respected automotive companies around the country. We sat down with the doctor recently to discuss customer service in the collision repair industry and ask her why so many shops are ailing and need a little CSI therapy.

How can a company and its employees turn bad customer service into great customer service?

It takes practice like anything A: else. But if your shop can embrace an atmosphere where the cus-

tomer is #1 without exception, it will quickly become part of the culture and ingrained in your company. But they have to buy into it and you have to create an environment that encourages and rewards good customer service.

One of your cardinal rules of Q: customer service is called “People Before Paperwork”. Can you elaborate?

As we all know in the collision industry, the insurance companies started insisting that the shops do the lion’s share of the paperwork required with every repair. This has added 2-10 more hours to the process on each and every car, depending on whom you talk to. Now, this deluge of paperwork can be a problem for employees who aren’t adept at multi-tasking. I heard one estimator say, “I wanted to deal with the customer but I felt as though I needed to finish the pa-

perwork on this other job first.” Well, that’s a big mistake. Multi-tasking is part of the job and it’s unacceptable to ever make a client wait due to paperwork. Don’t ever tell a customer, “Sorry, this paperwork has to go out right now.” Another mistake. You’ve just told the customer that you’re not a priority. If you’re under the gun with a looming deadline, how is that the customer’s concern? In the corporate world, they call it “job shifting” and it’s something I teach people how to avoid. When someone walks into your place of business, or calls you while you’re working on something, drop everything for that person. Remember, paperwork can wait, people should not. We’ve all been abused when we go shopping and get ignored by clerks, so we know how that feels. Let’s not abuse our own customers and live by this simple rule: People Before Paperwork.

In a busy body shop environment, some estimators and oQ: ther office people make mistakes by

Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.

Ever get a report from a comA: pany and not understand it? Some companies have jargon that

makes the CIA wonder what’s up. Granted, today’s customers are much more savvy about cars and collision repair. But focus groups prove that most of your clients don’t know what severity is or the difference between an OE and an aftermarket part. So, always be very careful not to use your own company jargon on your customers. You and your employees may understand it very well, but the customer may not. And you’ll only cause a lot of unnecessary confusion. Spell things out for your customers. Don’t abbreviate. Remember, don’t use collision industry language on civilians, because in most cases, it will only confuse them.

And whatever happened to all Q: of the little things that used to go such a long way when it came to

customer service? Like saying thank you and smiling?

It’s so true! We need to remember that ‘Thank you’ and ‘You’re A: welcome’ are beautiful words. The cus-

tomer cannot hear them too often. However, if you’re telling your customers to “have a nice day,” please say it with meaning! I recently had a checkout clerk tell the floor to have a nice day. She wouldn’t look at me. Make eye contact when you’re saying something nice. Also, smiling goes a long way and can really make a customer comfortable quickly. Lead with a smile and you can’t go wrong and you’ll stand out from all of the frowners out there! It will also earn you many classic customer service points as a result. The customer needs to know that you want to work with them, no matter who they are, so smile and be friendly with everybody through the door and watch how positively they will respond.

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hurrying. Plus, they make the customers feeling uneasy, with all of the rushing around. How do you teach people to stay calm even when they’re overloaded?

It’s human nature. We rush when A: we’re busy and that’s when we make mistakes. By being short with

customers or rushing them through the process, even if you do a good job, they will be left feeling intimidated and you won’t see them coming back. Take it easy. Remember, speed is not success! Trying to be “done” with a customer as quickly as possible is seen as being rude and uncaring. Take your time with each and every contact. Hey, everyone’s busy! That’s what it’s all about. Being busy does not give you carte blanche to be rude. Remember, you meet the same people coming down, as you do going up. They’ll remember you. (What’s worse than being busy? NOT being busy.)

Another problem is when body Q: shop people talk to customers using industry terms that they can’t possibly understand. How can that be fixed?

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Day Job/Night Job Body Tech in Montana Paints a Second Career as an Artist with Ed Attanasio

Mark Robbins, 57, has been a body technician most of his life and he loves every aspect of it, but his real passion is art—from airbrush cre-

Twenty-five artists were chosen to paint these five-feet-tall Grizzlies for the city of Cody, WY and Mark Robbins, a body tech at Blue Body & Paint in Billings, MT was honored to be involved

ations to elaborate tattoos and all the way to painting sculptures of some of the West’s most beloved wildlife. Working at Blue Body & Paint in

Billings, MT, Robbins calls himself a “starving artist,” although he has sold some of his work and has a few pieces on display in art galleries, as well as on people’s bodies in the form of tattoos. Robbins found his artistic muse all on his own and has never taken an art class. “Everything I’ve learned in my life is self-taught,” Robbins explained. “I wanted to learn how to do airbrushing, so I just started doing it. I love to paint different things and explore new methods, because that’s the part I really enjoy. The art is a great release for me and therapy, in a way. Every time I get an idea about how to paint something, it’s exciting, and then when I see the finished product, it’s very satisfying.” In the old days, all of the work was done by hand, but now technology has changed that, Robbins said. “When I first started airbrushing, it was very popular and everyone was

Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.

either doing it or trying to do it. It was time-intensive and projects might take days or weeks. But, now with stencils and vinyl graphics, they can do it in hours. The finished product isn’t any-

Preparing a Grizzly Bear for paint

where as good, because it lacks depth and ends up looking like a decal. For people who want fast and inexpensive that works, but I tell them I don’t do that.” Robbins will paint anything— trucks, muscle cars, classic vehicles, vans, motorcycles, even furniture and

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t-shirts, just to name a few. He also does glass etching for local businesses in Billings and there are also a few people walking around town with tattoos that he designed. Robbins said he always “messed around with oil paints” and enjoyed drawing as soon as he was old enough to pick up a crayon. But, doing murals on cars didn’t happen until a school buddy asked him to put a medieval scene on his ride. “He had a 1967 Pontiac LeMans and it was turquoise,” Robbins said. “I painted a dragon with a castle in the background on the big hood of that car and after I finished it, I said wow—I can do this. After that, I go a lot of offers and started doing murals for people all over town. I did a lot of El Camino tailgates back then with scenes with pirates and castles in the clouds, for example.” After refining his processes, Robbins’s creations became more involved Audi Genuine Parts

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and intricate. “I free-hand the illustration, then outline the entire image in white paint. Then, I fill in the colors and the details by misting colors over

Robbins was also commissioned to paint four sculptures of Big Horn Rams for the National Bighorn Sheep Interpretive Association in Dubois, WY

the top of it. It really stands out and the colors pop, because of the white undercoat. That’s how I get that 3D effect that people really seem to like.”

Robbins has always been enamored with the art of the late artist Frank Frazetta, who was an American fantasy and science fiction artist, noted for comic books, paperback book covers, paintings, movie posters, LP record album covers and other media. Best known for painting dragons, muscle-bound warriors and semiclad women, Robbins has done his share of Frazetta-inspired art over the years. After tasing some success with his art, Robbins got hooked and now he hopes to make it part of his eventual retirement plan. “I’m not really thinking about retiring right now, but when I do, I at least have something to do with my spare time. The art has changed my life, because now whenever I look at any piece of art, I see things that I did not see before, like certain colors or shading or shapes, whatever.” With five grown children and five grandchildren and a wonderful wife who supports his art, Robbins is happy, but he still wants to take his art career further, if he can. “I’ve been married for 35 years now and my wife Robyn has supported me every step of the way,” he said. “She

always encourages me to do more art and take chances with it. I have sold a few pieces and now I want to sell more. Every time I do a mural or a

Robbins loves trying new things, including window etching for his friends and customers

tattoo, I get excited. Seeing the finished product is so satisfying—it’s just like painting a car and knowing that you did a great job!” In 2012, Robbins was able to use his artistic skills for a higher cause when he was asked to paint three sculptures of Bighorn Rams. “They gave us the money for the paint and supplies and then let me go at it. It’s great knowing that one sits in the National Bighorn Sheep Interpretive Association in Cody, WY. Then later, I did the same for a series of Grizzly Bears for an art collective project that also took place in Cody, WY. Twenty-five artists were chosen to paint these five-feet-tall

Grizzlies, so it was an honor to be included.” These animal creations brought Robbins some national acclaim and his role as the painter in each case was satisfying, he said. “If I can use my artistic abilities to help the community in any way, I’m willing to do it. “It has been a great experience painting these sculptures, so who knows what’s coming next?” Whatever the future does hold for Mark Robbins, it will undoubtedly combine collision repair, art, philanthropy and more for this Renaissance man. “I want to keep doing everything and creating art is a big part of that,” Robbins explained. Maybe one day he will be able to shed the title of “starving artist” and replace it with “full-time professional artist,” so stay tuned.

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www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 55

Axalta’s Custom Finishes Calendar Competition

Axalta is once again on the hunt for the very best in custom cars to feature in its annual Custom Finishes Calendar. Collision repair professionals, hot rodders and artists compete to appear in the custom calendar that Axalta Coating Systems has produced annually since 1993. If your car was painted with Axalta’s coatings, it might just

make the cover. Axalta is looking for motorized passenger vehicles including automobiles (imported or domestic), motorcycles and aircraft or watercraft that are finished with Axalta’s custom Cromax, Nason, Spies Hecker, Standox brands, or with Hot Hues products. The Axalta Custom Finishes 2016 Calendar Competition officially began at 12:01 a.m. EST on Monday, March 7 and ends at 11:59 p.m. EST on Tuesday, May 31. Entrants must own or have finished the vehicle they enter into the competition

and must provide two photographs of the vehicle. To enter online, visit the contest website, then select “Call for Entries,” and complete the registration form in its entirety. Properly submitted entries that meet all eligibility requirements are subject to the official rules of the contest. Judging will be based on “best use of color” including finish quality, technical difficulty, design originality and artistic merit. Twelve winners will be selected on or before Monday, August 1. One grand prize winner will receive $1,000, a complimentary professional onsite photo shoot of the winning vehicle, cover position on the 2016 Custom Finishes Calendar, one calendar page highlight and 35 copies of the 2016 calendar. Eleven first place winners will each receive $500 cash, a complimentary professional onsite photo shoot of the winning vehicle, one in-calendar page position and 35 copies of the 2016 Calendar. For more information on Axalta’s Custom Finishes 2016 Calendar Competition, including how to enter, visit axaltacalendars.com. The official rules are available at axaltacalendars.com/ competition/content-conditions.php.

BMW Ramping Up in Autonomous Vehicle Space

Klaus Froehlich, BMW’s board with Mercedes Benz and Volkswagen member responsible for research and to buy Nokia’s HERE, a digital map development, told a remaker company. The porter from Reuters at idea was to create a platthe Geneva Auto Show form for cars to share that “it is a core compedata on road conditions. tence to have the most BMW has already reintelligent car.” cently hired 200 people During the interto work on digital innoview, Froehlich devation at its facility in scribed plans for an Chicago. Even with overhaul of the comthese hires, BMW will pany. This includes an likely need to increase its enormous boost in the number of soft- knowledge base substantially to comware and computer professionals on pete with others in the autonomous vethe payroll. Currently, software engi- hicle space. neers make up just 20 perAccording to the report cent of 30,000 people that filed by Reuters, Froehlich work on research and develindicates that the company opment for BMW. needs to improve its knowl“If I need to get to a edge of cloud computing ratio of 50:50 within five and analysis of data gathyears, I need to get manered by the vehicle’s senpower equivalent to ansors. other 15,000 to 20,000 “Our task is to preserve Klaus Froehlich, people from partnerships our business model withboard member with suppliers and elseout surrendering it to an responsible for where,” Froehlich said to Internet player,” Froehlich research and Reuters. told Reuters. “Otherwise development The news that BMW we will end up as the Foxat BMW will be developing an auconn for a company like tonomous vehicle doesn’t come out of Apple, delivering only the metal nowhere. Last year, BMW partnered bodies for them.”

Sherwin-Williams Automotive Finishes 2016 Second Quarter Training Schedule

Sherwin-Williams Automotive Finishes announced its second quarter 2016 collision repair industry courses taking place nationwide at training sites from April 4 through June 27. Participants will learn through a combination of classroom, digital and hands-on settings at various metropolitan Sherwin-Williams Automotive Finishes training centers, according to Rod Habel, Sherwin-Williams Automotive Finishes director of training operations. “In today’s constantly changing industry, training has become more important than ever for a customer to be successful in business,” Habel says. “For instance, with today’s new factory finishes, our Color Adjustment and Blending class is a great way for technicians to stay ahead of the curve.” He also noted that special hands-on, paint and processes application-based courses will be offered during the second quarter featuring the brand’s AWX Performance Plus™ Waterborne Refinish System, as well as painter certification classes. 2016 Second Quarter Training: Atlanta / 04/04/2016 / AWX Performance Plus™ / Waterborne Basecoat

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56 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com

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www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 57

Historical Snapshot

—John Yoswick is a freelance writer based in Portland, Oregon, who has a body shop in the family and has been writing about the automotive industry since 1988. He is the editor of the weekly CRASH Network (for a free 4-week trial subscription, visit www.CrashNetwork.com). Contact him by email at jyoswick@SpiritOne.com.

Mike Anderson in 1996, Incomplete Estimates, Feather Prime and Block, PartsTrader with John Yoswick

20 years ago in the collision repair industry (April 1996) “We are our own worst enemy. Every day I try to collect for color sand and buff or other procedures, only to be told that now one else charge for them. You may say I am a fool when I tell you that I believe insurers when they say this, but you are a bigger fool if you do not believe them. This industry is made up of cowards, people who talk the talk but don’t walk the walk. Wise up. Insurance companies are only going to pay for what they are asked for or what the industry demands. “State Farm is not necessarily our industry’s worst enemy. Take payment of claims, for example. Does State Farm stretch your receivables out over 30 days? I’m not saying State Farm pays better than all other companies, but let’s give credit where credit is due. “If you want to get angry with someone, get angry with the guy down the street who doesn’t charge for the items you do and should charge for. The guy who tapes up door handles, doesn’t know the P-pages, doesn’t know his cost of doing business, doesn’t charge for colorsand and buff. “We need to clean up our act and look inward for solutions to our problems, not outward where place blame on a third-party.” —From an April editorial in Hammer & Dolly by Mike Anderson, at that time the second-generation owner of a body shop in Virginia and the president of the Washington Metropolitan Auto Body Association. Anderson sold his collision repair business in 2010 and founded Collision Advice, a training and consulting firm. Among his projects: Quarterly “Who Pays for What?” surveys asking shops about how frequently they bill for and are paid for not-included labor operations.

15 years ago in the collision repair industry (April 2001) A call to define some total loss vehicles as ‘unrepairable’ was among the resolutions passed at the National Industry Issues Forum held recently in Minneapolis, MN. The event, sponsored by the Society of Collision Repair Specialists, was designed to give collision repair-

ers an opportunity to discuss issues “without outside interference or fear of retribution” from other segments of the industry that participate in most other industry events and discussion. Shop owners and representatives of SCRS state affiliate associations attending the event voiced support for three “resolutions” created during the meeting. Attendees unanimously voiced support, for example, for efforts to declare total loss vehicles “unrepairable” and salable only to dismantlers if they are less than 8 years old and have damage exceeding 100 percent of their value. Auto recycler Herb Lieberman said his industry has introduced such legislation nationally but the bills have never moved out of legislative committees. “Of the vehicles declared total losses and removed from repair facilities to salvage pools and sold as total loss vehicles, our industry is only purchasing 30 percent of those vehicles, and that has an adverse effect on all of us,” Lieberman said. In 2001, Nebraska He and others at shop owner Boyd the meeting pointed Dingman said out that the current incomplete initial estimates impact situation results in cycle time and higher prices and overall costs for lower availability shops and insurers, and quality of salessentially advovage parts; surgical cating for the process known stripping of vehitoday as “blueprint- cles, VIN swapping ing.” Dingman’s and other fraud; infamily now opersurers re-insuring ates four shops poorly-rebuilt total purchased by unsuspecting consumers; and high salvage values that result in more vehicles being totaled. National Industry Issues Forum attendees also urged insurers to consider how the accuracy and completeness of initial estimates impact cycle time and overall shop and claims costs. “We have some insurers that ask us not to write a complete estimate,” said Boyd Dingman, owner of Dingman’s Collision Center in Omaha, NE.

58 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com

“They say, ‘Let’s not put blend time on there,’ or ‘Let’s not put R & I trim on there.’ Then they want cycle time. The car comes in and we don’t have blend time or the R & I time on the sheet. All of a sudden we went from the 15-hour job to a 25-hour job. That certainly slows our cycle time down because we didn’t schedule for 25 hours. They’re hurting our cycle time by asking us to write a short-sighted estimate.” —As reported in The Golden Eagle. Little has changed in terms of total loss vehicles in the 15 years since the Forum was held, but shops and insurers have for the most part come to realize the value of “blueprinting,” fully documenting all vehicle damage up front to reduce delays and expense created by the supplement process. Dingman continues to operate four shops in Nebraska. Lieberman is an industry liaison for LKQ Corporation.

10 years ago in the collision repair industry (April 2006) The “gap” has been defined. One of the long-simmering debates among shops and insurers involves when body work ends and paint work begins. The transitioning processes, which is called different things including “feather, prime and block,” are a frequent source of conflict in terms of whether and how shops should be compensated. The Collision Industry Conference (CIC) Estimating Committee has spent much of the past year holding panel discussions and working to craft a written statement that “defines the gap” in order to try to bring some clarity to the issue. At the CIC held in Portland in April, the committee received a nearly unanimous vote in favor of its ninth version of the feather / prime / block explanation. “The repair process associated with damaged painted body panels

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typically involves multiple operations: body repair, feather, prime, block, and refinish,” the statement reads. “The body repair process includes metal finishing and/or the use of body fillers to return the body panel to its undamaged contour. The repaired area is finished to 150 grit and free of surface imperfections. Feather, prime and block are not-included refinish operations that complete the process from 150 grit to the condition of a new undamaged panel. The refinish process starts at the condition of a new undamaged panel and is outlined and documented in printed and electronic time guides. The body / paint labor and materials necessary to prepare the repaired area from 150 grit to the condition of a new undamaged part is a valid and required step in the process. The labor and material allowance for these operations requires an on-thespot evaluation of the specific vehicle and damage.” —As reported in The Golden Eagle. Despite the adoption of this definition, “feather, prime and block” continues to be a matter of some debate within the industry. A 2015 “Who Pays for What?” survey (www.collision advice.com/survey) of more than 900

shops nationwide found that two-thirds of them reported receiving body labor, rather than paint labor, for this operation—yet less than 14 percent said this work was performed solely by body technicians. In fact, well over half said the operation is performed solely by the paint department.

5 years ago in the collision repair industry (April 2011) State Farm says in the coming months it will develop a new electronic parts ordering system for its Select Service shops. In a video message to those shops, State Farm’s Gregg McDonald said the insurer will work with all segments of the industry to develop a system to “reduce the amount of time and effort needed to search for, source and order all part types,” and “to give suppliers a better view of the process, and access to complete parts orders.” McDonald said that the system will include a review tool to allow shops and vendors to provide feedback on the parts ordering experience. “Supplier choice and decisions regarding which parts are best suited for the individual repair will remain in your hands,” McDonald tells Select Service shops in the video.

In 2009, State Farm halted an electronic parts ordering test it had rolled out in California and Indiana, saying it had no plans to implement such a program nationally, but that it had found that electronic parts ordering “has value.” The Select Service agreement that participating shops must sign gives the insurer the right to require electronic parts ordering. —As reported in CRASH Network (www.CrashNetwork.com), April 11, 2011. The system State Farm was referring to was PartsTrader, which it began requiring Select Service shops to use in 2012, rolling it out nationally by mid-2014.

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PDA Extends Expertise to Financial Services Sector

Property Damage Appraisers (PDA) is spreading the word about one of its core business practices—financial services. PDA’s appraisal services can be utilized by banks, credit unions and leasing companies that hold liens and forceplaced insurance on vehicles. PDA inspects vehicles anywhere in the country and estimates damages in the event of an accident or total loss. “At PDA our work is quite versatile. From vehicle estimates to financial services inspections, we want companies to think of our appraisers as an extension of their team that they can rely on when workloads are heavy,” said Ken Loose, COO, PDA. “We complete estimates quickly to help get customers back on the road or get better returns on your repossessions.” “With more than five decades of experience, we’ve got the expertise to deliver high quality, accurate estimates in less time. That means you can control your costs and higher returns for your repossessed and lease turn-in vehicles,” Loose said. Visit http://www.pdacorporation.com/financialservices.php.

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www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 59

Audatex: Seam Sealer is a Body Operation

SCRS has pointed out that Audatex states in DEG inquiry number 1157 that seam sealer is a body operation. “The Audatex database includes the labor for seam sealing where required per the OEM manufacturer service procedures and this labor is allotted in the body repair allowance not the refinish allowance. The cost of body materials are not addressed within the Audatex database.” The Audatex time for replacement of a panel includes the labor to apply the seam sealer, but does not included the removal of the existing seam sealer per DEG inquiry 2951. The estimating databases are all intended to be used as a GUIDE ONLY—it is important to remember that the auto body professional performing the repair is in a position to thoroughly inspect, diagnose and identify the methodology and their unique cost of the vehicle damage repair. You can view this tip and others on the DEG website: http://www .degweb.org/ For more information about SCRS visit www.scrs.com, or call toll free 1-877-841-0660.

Portacool Introduces New Jetstream™ Coolers

The new Portacool Jetstream™ series of portable evaporative coolers is engineered to generate airflow and provide cooling options for a variety of hot working environments. The Portacool Jetstream™ 240, 250, 260 and 270 are equipped with KUUL Comfort™ evaporative media to provide maximum cooling comfort, according to a company press release. Available in four sizes, there is a Jetstream portable evaporative cooler option that ranges from 1,125 to 5,625 square feet. Some of the features include: ● Equipped with KUUL Comfort™ evaporative media, the highestquality evaporative media available and made in the USA exclusively for Portacool products. ● Liquid level indicator with automatic pump shut-off ● Large drain allows for easy, effective cleaning ● Built-in handles for easy mobility; heavy-duty casters ● Comes with Portacool Protect™ lifetime warranty on evaporative cooler housing against manufacturing defects; three year warranty on all electrical components Visit www.portacool.com.

Larson Electronics Releases Two New Products

Larson Electronics recently announced the release of a 120-watt self-contained LED light tower. The WAL-BP-3XLED-CPR rechargeable LED light tower from Larson Electronics light assembly consists of three light heads attached to a circular bracket and center support.

Larson LED Strip Light

“This new portable light tower is a self-contained lighting solution designed to be easily deployed for applications such as emergency rescue, fire, police, and utility maintenance,” said Rob Bresnahan, CEO of Larson Electronics. “For storage and transport, the light assembly and tower can be stored within the wheeled case, aiding in mobility and providing operators with a compact lighting solution when storage space is of the essence.” Larson Electronics also announced the release of a four-watt

Class 1 Division 2 LED strip light equipped with a 20-foot cord terminated with a standard two wire flying lead. The HAL-6-IPS-LED-20 hazardous location LED strip light from Larson Electronics is designed for applications where Class 1 Division 2 compliance is required. “Featuring a low profile design, this fixture provides optimal light output for applications requiring hazardous location classifications,” said Bresnahan. “The adjustable moun-ting brackets make this hazardous area LED light versatile and is a perfect solution for applications with common exposure to wetness or dusty conditions.” To learn more about Larson Electronics, visit www.Larsonelectronics .com or call 1-800-369-6671. Larson Electronics will be attending the 2016 OTC show in Houston, Texas from May 2-5. Visit them at booth 6716 to inquire about their lighting solutions for many industrial applications.

60 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com

Mirka USA Introduces Aquastar® Abrasive

Mirka USA recently introduced Aquastar® to their abrasives product line. Aquastar is a film abrasive providing flexibility, and durability for hand sanding, either wet or dry, accoding to a company press release. Aquastar® was developed with a pattern consisting of multiple abrasive zones surrounded by interconnected channels. This channel system provides flexibility while minimizing the amount of water used in the sanding process, allowing debris to flow freely away from the abrasive, according to a company press release The pattern design also allows Aquastar® to be used in any direction. Aquastar® can be used for wet sanding of clear coats and primers, automotive OEM applications, mold and plug sanding in Marine applications, dry sanding small areas and spot sanding. For more information, visit: www .mirka.com/en-US/us/

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Nviro-Tech Launches Paint Facts Displays

Nviro-Tech, LLC has launched eco-tools and custom training and education programs for the collision industry. “Collision Paints Facts” Office Shop Display, available in 3 sizes: ● 11” X 17” framed wall mount model ● 8.5” X 14” table/desk model with plexiglass stand ● 6” X 9” table / desk model with plexiglass stand The Collision Paint Facts Office Display was created in 2015 by Michael Mettinger to educate customers on color matching. It explains to the customer that the shop is responsible for bumper and trim color variances and how to remedy the problem before it begins. Nviro-Tech, LLC also provides the following products and educational tools: ● 6H Source Rule Compliance ● EPA Painter/Refresher Compliance ● Customized Shop Curtains ● CTR “Cycle Time Reduction” Inflatable Spray Booths Contact Matthew T. Mettinger, mattm@nvviro-tech.com, (561) 3365463.

Shift into Genuine Nissan and Infiniti OEM Parts

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ILLINOIS

Al Piemonte Nissan, Inc. Melrose Park 708-343-6669

(708) 343-0706 Fax M-F 7-7; Sat 8-5 chrisk@apnissan.com www.apnissan.com

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Eden Prairie Nissan Eden Prairie 952-567-2150

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LEXINGTON

859-263-5022 859-263-8527 Fax

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ROSEVILLE

651-639-2120 651-639-2192 Fax M-Th 7 am - 8 pm F 7am - 6pm Sat 8 am - 4:30 pm

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Michigan

Alma Chevrolet Buick GMC ALMA

888-229-2336

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North Dakota

Gateway Chevrolet Cadillac

Mills Parts Center WILLMAR

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Classic Chevrolet MENTOR

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800-476-0760

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Jake Sweeney Chevrolet

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CINCINNATI

VanDevere Chevy

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AKRON

330-836-4064 330-836-4074 Fax

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chevyparts@vandevere.com

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Sweeney Chevy Buick GMC

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FARGO

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Minnesota

Ohio

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Ivan Gandrud Chevrolet GREEN BAY

800-242-2844

920-468-3658 920-468-3673 Fax M-F 7 am - 7 pm Sat 7 am - 2 pm

parts@gandrud.com

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www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 61

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PPG MVP Conference Registration is Open Registration is now open for PPG’s annual spring MVP Business Solutions Conference April 24–26 at the JW Marriott Camelback in Scottsdale, AZ. This MVP Conference venue in the desert is slated to provide advanced business strategy and innovative solutions to PPG customers. The conference has a notable lineup of prominent keynote speakers, meaningful seminars and interactive workshops all focused on aiding attendees with improving their collision center performance. The conference is structured to give participants exposure to fresh approaches for advancing their competitive capabilities. “PPG remains committed to supporting our customers with training, consulting and value added programs that help position our customers as winners in the industry. As their needs evolve our services evolve and as they grow we grow” says Jim Berkey, PPG, Director, MVP Business Solutions. “A working partnership around performance has never been more appropriate.” The comprehensive conference schedule is highlighted by prominent keynote speakers: Josh Linkner, Jim Carroll, and David Avrin

The conference commences on April 24 with leisure actives that include the Randy Dewing Memorial Golf Tournament or relaxing at the JW Marriott spa or pool and followed by a welcome reception. Some of the breakout sessions include: • “Fusion Marketing – 2020 Marketing & Beyond” • “Servicetopia -The Ultimate Customer Service Experience” • “Predictive Hiring?!” • “The Secret Weapon to Get Results!” • “Handling Public Relations when the Negative News is Looking at You” • “Getting the Most from Your Parts Vendor Relationships” • “Your First Aluminum Estimate, Are You Ready?” • “Effective Non-Verbal Communication -Body Language” The conference is open to owners and managers of collision centers using PPG Refinish products. Prospective attendees are encouraged to visit http://ppgmvp.com/Conferences /Welcome.aspx for complete conference information and registration details.

Parts You Need. People You Trust.

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OHIO

Waikem Mitsubishi MASSILLON

800-225-0281

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BASF Names N. America Distribution Director

Paul Whittleston, VP BASF Automotive Refinish North America, announced the appointment of Denise Kingstrom as the North America distribution director in Southfield, MI. “In line with our strategy to grow market share, Denise and her team are accountable to execute our North America distribution strategy. This includes enhancing the compelling value proposition distributors gain when partnering with BASF and growing their sales. Strategic leadership of ColorSource®, the BASF single line distributor program, and of the National Distribution Accounts are also part of her responsibilities,” said Whittleston. Kingstrom began her career with BASF in 1999 with assignments in New Jersey and Mexico. In 2003, she joined the coatings OEM team as a field technical sales representative. In 2010, Kingstrom joined the refinish business, leading both key and strategic account teams. For more information, visit www.basf.com.

www.autobodynews.com

Auto Glass Academy Training Begins in April

Equalizer has announced the opening of its Auto Glass Academy. Auto Glass Academy provides instructordriven, hands-on technician training to the auto glass and body industries. The four-day course focuses on technical training, time-management, customer service and safety using Equalizer® brand products. Auto Glass Academy instructors are AGRSS/AGSC certified. “When Gilbert Gutierrez, global education director, began his career at Equalizer in 1992, he created a training process to support our products,” said Eric Asbery, president of Equalizer. “Gilbert has now expanded that service that we have provided our customers over the years into the Auto Glass Academy. This is an accredited Auto Glass Safety Council (AGSC) program, and is a registered I-CAR® Industry Training Alliance Member.” Auto Glass Academy utilizes a hands-on, small-team style instruction at their three national campuses to serve areas across the USA. To enroll and/or learn more, contact info@autoglassacademy.com, toll free USA & Canada: 800-2130136, international: 512-387-5785.

The source for timely information that every 3M™ and Festool Announce Collaboration to shop Serve needs! Collision body Repair Industry CHECK IT OUT!

3M Company and TTS Tooltechnic Systems AG & Co. KG, maker of Festool brand products, announced on February 29 a strategic collaboration to provide customers in the global automotive collision To repair industry a new and advertise comprehensive surface preparation and call Advertising at: finishing system. TheSales collaboration brings800-699-8251 together 3M’s abrasives, global sales and distribution capabilities with e-mail: Festool-branded power tool and dust advertising@autobodynews.com extraction technologies. 3M’s Automotive Aftermarket Division (AAD) will www.autobodynews.com eventually become the exclusive supplier of 3M and Festool Automotive Systems products in the automotive aftermarket. The new system is expected to launch in the U.S. and Canada later in 2016, with additional countries to be added. “Our collaboration with Festool Automotive 3M’s Be SeenSystems by Ourcombines Readers! leadership in abrasives technologies CALL Advertising and Festool´s premium Sales power at: tools, dust extraction technologies and service to deliver customers an unparalleled solution for complete dust extraction advertising@autobodynews.com needs,” said Laurie Altman, vice president and general manager, 3M’s AAD. www.autobodynews.com “With this agreement, customers in the automotive aftermarket will now have access to one of the most comprehen-

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sive portfolios offerings in the inCALL of800-699-8251 dustry from one provider.” “We are proud to enter into this collaboration 3M to offer a preMailwith Subscription mium surface treatment system for body shops,” said Christian Oltzscher, chief sales officer, TTS Tooltechnic Systems AG & Co. KG. “With the combined world-class portfolios of tools and abrasives, and the expertise and extensive distribution capabilities Register Y of 3M sales and service professionals, we will be able to serve customers in the automotive aftermarket even better. Our goal is to make body shops more profitable.” 3M’s Automotive Aftermarket Division spans the globe, serving the automotive collision repair industry through more than 70 subsidiaries. 3M Register abrasives, including new 3M™ Cubi- Yo tron™ II Abrasives, will now be offered 4 Times in conjunction with Festool Automotive Systems surface prep tools, dust extraction capabilities and services. For 90 years, Festool has been a manufacturer of power tools, including pneumatic and electric sanders, polishers and backup pads, vacuums and surfaceprep workstations. The company also continues to develop a new line of connected “smart tools.”

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64 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com