Midwestern July 2016 Issue by Autobody News

Midwestern Edition Illinois Indiana Iowa Kansas Kentucky Michigan Minnesota

Missouri Nebraska North Dakota Ohio South Dakota Wisconsin

YEARS

www.autobodynews.com ww ww.autobodynews.com

VOL. 5 ISSUE 10 JULY 2016

Tennessee Steering Lawsuit Against Progressive Insurance Dismissed

MS and IN Lawsuits Alleging Steering and Price Fixing by Insurers Ordered Closed by Judge

A lawsuit filed by a Tennessee body shop against Progressive Hawaii Insurance Corporation for alleged “steering” and underpayment of claims has been dismissed. In 2011, Price’s Collision Centers sued the insurance company for tortious interference of business relationships and breach of contract. A court date had been set for this fall. The case was dismissed in April with prejudice, which means it cannot be refiled. There was no reason given for the ruling, and William Ramsey of Neal & Harwell, the lead attorney for

A Florida judge has closed two related lawsuits brought forth by body shops in Mississippi and Indiana against insurers for alleged steering and price fixing. On May 27, Middle District Judge Gregory Presnell dismissed the state claims in Capitol Body Shop, et al, v. State Farm, et al, with prejudice, meaning they cannot be refiled. Two weeks later, on June 10, he made a similar ruling in Indiana Auto Body Association, et al v. State Farm, et al. Both cases are part of the multidistrict lawsuit that involves more than 500 shops across the country. The 24 lawsuits filed were eventually consolidated for pretrial purposes.

by Stacey Phillips

the Plaintiff, declined to comment on the case. Progressive Insurance also declined to comment. Each party will pay their own attorney fees and other costs related to the case. Based in Brentwood, Williamson County, TN, Price’s Collision Centers was established in 2000 and currently operates nine full-service collision center locations in Tennessee and Kentucky. Price’s Collision, owned by Bobby Price, originally filed the claim on behalf of two of its customers, Anne Crockett and Nicole Crosby. Both cusSee TN Lawsuit, Page 50

OEM Training Details for NACE | CARS Released

plimentary basis with the purchase of a conference or expo pass:

FIAT CHRYSLER AUTOMOBILES: Introducing the allnew 2017 Chrysler Pacifica—This class will provide you with information relative to the technical specifications, metal strengths, and repair procedures. John Hughes, MOPAR Collision Repair Responsible Service Engineering, TSO, Fiat Chrysler Automobiles.

FORD MOTOR COMPANY: Ford FSee OEM Training, Page 3

Change Service Requested

P.O. BOX 1516, CARLSBAD, CA 92018

NACE | CARS has announced the release of details for this year’s OEM programming. NACE | CARS 2016, taking place in Anaheim, CA August 9-13, will feature record involvement and expanded training from companies such as Audi, BMW, FCA, Ford, GM, Honda, Hyundai, Toyota, and more, who will provide information on their latest vehicles, materials and technology, how to address specific repairs, and on becoming a certified repair shop. Here is an overview of the training, which will be offered on a com-

by Stacey Phillips

According to industry reports, collision repairers across the United States are watching with anticipation to find out the national implications these recent rulings may have. A similar judgment was made in 2015 when Judge Presnell dismissed all claims in Florida’s A&E Auto Body et al, v. 21st Century et al, with prejudice. All three cases can be appealed to the Eleventh Circuit Court by Eaves Law Firm, the lead attorneys on the case. The Jackson, MS, law firm could not be reached for comment when Autobody News went to press this month. The body shops have accused insurance companies of violating the Sherman Antitrust Act and state laws See MS and IN Lawsuits, Page 36

Ray Fisher of ASA-MI Addresses Changes to Motor Vehicle Service Repair Act, Governor Vetos Bill by Stacey Phillips

A controversial bill that would have restricted aftermarket parts vendors to sell only certain types of parts on newer vehicles to licensed repair facilities in Michigan was vetoed by Michigan Governor Rick Snyder in June. House Bill 4344 would have required body shops to use new or used OEM parts or certified aftermarket parts on vehicles during their original factory warranty period or five years, whichever is less, unless they received written permission from a customer to use non-certified parts. The 62-page bill updated the 1974 Michigan Motor Vehicle Service(s) and Repair Act. “I am unable to sign this bill because it overreaches in the limitation of aftermarket parts negatively impacting consumers and creating the potential for negative consequences for Michigan’s automotive industry,”

Snyder wrote in his veto letter. “As Michigan continues its comeback and continues to be a leader in promoting new technology in the automotive industry, it is imperative that we ensure all components of that industry can remain strong, including Michigan’s robust aftermarket parts industry. I am concerned about HB 4344’s effect on market competition for replacement parts on motor vehicles.” House Bill 4344 was first introduced March 12, 2015 by Rep. Peter Pettalia of Presque Isle, who co-owns an automotive mechanical repair facility in Alpena, MI. On February 10, 2016, the bill passed in the House 84-22 in favor of the amended bill and was sent to the Senate. The bill was unanimously voted out of the Senate subcommittee with the understanding that modifications to the bill were necessary for See MI Bill Veto, Page 24

Presorted Standard US Postage PAID San Bernardino, CA Permit #2244

2 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

REGIONAL

ABRA Auto Body & Glass Enrolling Students

OEM Training

Auto Claims — The High Cost of Keeping

Pace with Technology. . . . . . . . . . . . . . . . 60

in Career Development Academy . . . . . . . . 9

AutoInc. Seeks Submissions for Top 10

Michigan Senate Committee Hearing

BASF Glasurit, R-M Automotive Refinish

ASA MICHIGAN Testifies on SB 991 at

to stop Sales Tax . . . . . . . . . . . . . . . . . . . 22

Websites Contest . . . . . . . . . . . . . . . . . . . 67

Products Get Global GM Approval. . . . . . . 46

ASA-Midwest Looking for VISION Presenters. . 14

CAWA/Auto Care Association Partner on

Collision Repair Education Foundation

Chief Introduces HD Collision Repair Line,

Barry Barrett To Tour ASA-Midwest In June. . . 8 Announces Fall Collision Career Fair

Schedule . . . . . . . . . . . . . . . . . . . . . . . . . . 9

Gerber Collision & Glass Opens New Repair

Location in Michigan . . . . . . . . . . . . . . . . . 8

Job Board . . . . . . . . . . . . . . . . . . . . . . . . 27

Koala Bench From Globaljig® . . . . . . . . . . 46

Collision Repair Education Foundation Helps Next Generation of Collision Repairers

Find Jobs . . . . . . . . . . . . . . . . . . . . . . . . . 67

Grateful Ilinois Body Shop Owner Ready

CREF Launches Successful Pilot of Collision

IL Collision Repair Students & Shop Help

Department of Motor Vehicles in NV Inspects

Illinois-based Flex-N-Gate to Build Nearly

Eddie Gutierrez Takes Over Long-Time

Moorhead Auto Body Shop Owner Says

First Self-Driving Semi in U.S. Hits The Road

MS and IN Lawsuits Alleging Steering and Price

GM Manager Addresses State of Collision

to Give Back. . . . . . . . . . . . . . . . . . . . . . . 18

Repair Real Life Magic School Bus . . . . . . 10

$100M Detroit Facility . . . . . . . . . . . . . . . 14

Insurance Agents Using Illegal Tactic . . . . 16

Fixing by Insurers Ordered Closed by Judge . 1

Nagy’s Collision Centers in Wadsworth

Welcomes Brian Kauf . . . . . . . . . . . . . . . . 12

Preparations Underway for Fall Automechanika

Student Resume Database . . . . . . . . . . . . 64

Auto Repair Businesses For Proper Permits . 51

Car-O-Liner Distributor . . . . . . . . . . . . . . . . 6

—on top of Nevada’s Hoover Dam . . . . . . . 4

Repair Business; Considering Certification

Program. . . . . . . . . . . . . . . . . . . . . . . . . . 28

Gordon Michael Joins Spanesi Americas . . . 56

Greg Coccaro Sr. Passes Away at 66 . . . . . . 27

Chicago Commitment to Training Events . . 21

Hailstorm Brings Work for Billings, MT Roofers,

Elite Shop Management Award . . . . . . . . . 16

Labor Rates are the Foundation of Consumer

Motor Vehicle Service Repair Act, Governor

Maaco Says it Aims to Have Shops in Every

Ray Fisher of ASA-MI Addresses Changes to

Vetos Bill . . . . . . . . . . . . . . . . . . . . . . . . . . 1

Symach Announces new FixLine System for

Erie-LaSalle Body Shop in Chicago . . . . . . 12

COLUMNISTS

Auto Repair and Glass Shops . . . . . . . . . . 52

Care & Safety. . . . . . . . . . . . . . . . . . . . . . 48

State as Aggressive Growth Continues . . . 42

Martin Senour Launches New Industrial

Maintenance Coatings DTM Acrylic Enamel . 63

Mitchell Issues Second Quarter 2016 Industry

Trends Report . . . . . . . . . . . . . . . . . . . . . 50

Attanasio - Body Shop Office Manager

National Science Foundation Offers Grant for

Attanasio - New Collision Career Institute

Personal Safety Division Launches 3M Center

Attanasio - Origins of the California Autobody

PPG Foundation Awards Student Scholarships . 6

Racing Toward Her Dreams . . . . . . . . . . . 34

Launched for All the Right Reasons . . . . . 62

Association as it Celebrates 50 Years . . . . 54

Luehr - Lean Problem Solving. . . . . . . . . . . . 44

Phillips - Massachusetts Collision Center

Finds Multiple Benefits Hiring Students

in Family Business . . . . . . . . . . . . . . . . . . 47

Training Tomorrow’s Technicians . . . . . . . . 8

for Respiratory Protection. . . . . . . . . . . . . 63

PPG Introduces EC550 En-V® Ultra Gloss

Clearcoat . . . . . . . . . . . . . . . . . . . . . . . . . 64

Ray Evernham Leads Preservation of Iconic American Graffiti Impala With Axalta

Coatings . . . . . . . . . . . . . . . . . . . . . . . . . 59

Phillips - Tennessee “Steering” Lawsuit Against

Refinish Distributors Alliance Holds May

Sisk - ARA President Attends ARM’s Annual

Sherwin-Williams Announces Partnership

Yoswick - Retro News: Erick Bickett,

Sherwin-Williams’ 2016 3rd Quarter Training

Progressive Insurance Dismissed . . . . . . . . 1

Meeting . . . . . . . . . . . . . . . . . . . . . . . . . . 15

Progressive’s Concierge Program,

Crash Prevention, Allstate Compliance . . . 38 NATIONAL

10 Students Awarded Grants to Attend

Membership Meeting . . . . . . . . . . . . . . . . 12

with CARSTAR . . . . . . . . . . . . . . . . . . . . . 51

Schedule . . . . . . . . . . . . . . . . . . . . . . . . . 30

Some Shops Hate Him, but Consumers

Love Him: The Wreck Check Story . . . . . . 58

Spanesi Americas Continues Expansion

in Gulf States . . . . . . . . . . . . . . . . . . . . . . 56

SkillsUSA’s Conference. . . . . . . . . . . . . . . 35

Tennessee Steering Lawsuit Against

to CREF . . . . . . . . . . . . . . . . . . . . . . . . . . 64

The Throw Away Society . . . . . . . . . . . . . . . 40

ABRA Auto Body & Glass Donates $81,000

AkzoNobel Introduces New Color Software . . 64

ASA Announces New Advice Blog by

Industry Veteran Bill Haas. . . . . . . . . . . . . 30

Progressive Insurance Dismissed . . . . . . . . 1

WIN Accepts Sponsorship from AkzoNobel &

Presents ‘Cornerstone Award’ at WIN

AUDI OF AMERICA: Introducing the 2017 Audi Q7 Hybrid - Learn the material construction and repair methodology of the new 2017 Audi Q7 Hybrid. Mark Allen, Collision Programs and Workshop Equipment Specialist, Audi of America.

AMERICAN HONDA MOTOR CO.: 2016 Honda Pilot and Civic body technology and Honda’s Pro First Certified Collision Repair Facility

Conference . . . . . . . . . . . . . . . . . . . . . . . 30

GENERAL MOTORS: Focus on the customer and the importance of a safe repair & overview of Cadillac CT6 Repair Procedures - With a wide range of repair challenges facing the industry GM is focused on helping bodyshops access information to make quality, safe repairs. This class will cover “what’s new” at GM along with how to access new repair information. GM will also discuss the repair procedures for the all new aluminum unibody Cadillac CT6. John Eck, Manager, Wholesale Dealer Channel, General Motors. TOYOTA MOTOR SALES: Work

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

Indexof Advertisers

Probst Auto Body Receives Prestigious Master

Series Repair Information & Introducing the 2017 F-Series Super Duty—Join in on the discussion about Ford’s aluminum-body truck lineup. This repairability presentation will include specifics about the F-150 and the 2017 F-Series Super Duty, including Ford-approved repair procedures and a Q&A session for technicians to speak personally with Ford service engineers. Gerry Bonnani, Service Engineer, Paint and Body Repair, Ford Motor Company.

Program - Learn about Honda’s latest collision industry support activities and accomplishments. This class will include an overview of body technology on the 2016 Honda Pilot and Civic and the ProFirst Certified Collision Repair Facility Program. Gary Ledoux, Assistant National Manager, Collision Parts Marketing, American Honda Motor Co., Inc. Chris Tobie, Collision Business Specialist, American Honda Motor Co., Inc.

Audi Wholesale Parts Dealers . . . . 58 Axalta Coating Systems . . . . . . . . . . 5 Blue Springs Ford . . . . . . . . . . . . . . 50 BMW Wholesale Parts Dealers . . . . 63 Car-Part.com . . . . . . . . . . . . . . . . . . 12 Carcoon America Airflow Systems . 42 Certified Automotive Parts Association (CAPA) . . . . . . . . . . . 41 Charles Gabus Ford . . . . . . . . . . . . 57 Chief Automotive. . . . . . . . . . . . . . . 13 Classic Chevrolet . . . . . . . . . . . . . . 45 Classifieds. . . . . . . . . . . . . . . . . . . . 66 Courtesy Subaru . . . . . . . . . . . . . . . 47 Dent Magic Tools . . . . . . . . . . . . . . 16 Diamond Standard Parts . . . . . . . . 29 Eco Repair Systems of North America, LLC . . . . . . . . . . 39 ECS Automotive Concepts . . . . . . . 10 EMM . . . . . . . . . . . . . . . . . . . . . . . . 23 Equalizer Industries, Inc. . . . . . . . . 38 Erhard BMW of Bloomfield Hills . . . 35 Erhard BMW of Farmington Hills . . 35 Ganley Westside Hyundai . . . . . . . 28 Ganley Westside Subaru . . . . . . . . 53 GM Wholesale Parts Dealers . . . . . 65 Hall Volkswagen-Mazda . . . . . . . . . 21 Herkules Equipment Corporation. . 30 Honda-Acura Wholesale Parts Dealers . . . . . . . . . . . . . . . . . 32, 33 Hyundai Wholesale Parts Dealers . 44 Jake Sweeney Chevrolet . . . . . . . . . 6 Kelly BMW . . . . . . . . . . . . . . . . . . . . 22 Kia of Des Moines . . . . . . . . . . . . . . 57 Kia Wholesale Parts Dealers. . . . . . 61 Laurel Auto Group of Westmont . . . 49 Lusid Technologies . . . . . . . . . . . . . 31 Luther Bloomington Acura-Subaru. 15

See OEM Training, Page 22

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

Continued from Cover

Luther Hopkins Honda . . . . . . . . . . . 4 Maplewood Toyota-Scion . . . . . . . . 51 Mazda Wholesale Parts Dealers . . . 52 Mercedes-Benz . . . . . . . . . . . . . . . . 17 MINI Wholesale Parts Dealers . . . . 62 Mitsubishi Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 67 MOPAR Wholesale Parts Dealers . . 37 Morrison’s Auto Parts . . . . . . . . . . . 36 NACE / CARS Trade Show . . . . . . . 25 Nissan of South Holland . . . . . . . . . 40 Nissan Wholesale Parts Dealers. . . 56 O’Reilly Auto Parts . . . . . . . . . . . . . 19 Orio . . . . . . . . . . . . . . . . . . . . . . . . . 46 Polyvance . . . . . . . . . . . . . . . . . . . . 20 PPG . . . . . . . . . . . . . . . . . . . . . . . . . . 2 ProLine Tool & Supply . . . . . . . . . . . 9 Richfield-Bloomington Honda . . . . 18 Russ Darrow Automotive Group. . . 34 SATA Dan-Am Company . . . . . . . . . 7 Sherwin-Williams Automotive Finishes . . . . . . . . . . . . . . . . . 26, 27 Subaru Wholesale Parts Dealers . . 54 The Sharpe Collection of Automobiles . . . . . . . . . . . . . . . . 43 Tom O’Brien Chrysler-JeepDodge-Ram. . . . . . . . . . . . . . . . . . 8 Toyota of Des Moines . . . . . . . . . . . 57 Toyota of Grand Rapids . . . . . . . . . 24 Toyota Wholesale Parts Dealers . . . 48 U-POL US . . . . . . . . . . . . . . . . . . . . 14 Valspar Automotive . . . . . . . . . . . . . 11 VanDevere Kia-GM . . . . . . . . . . . . . 55 Volkswagen Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 59 Zimmer Chrysler-Dodge-Jeep-Ram . 68

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 3

First Self-Driving Semi in U.S. Hits The Road—on top of Nevada’s Hoover Dam

Autonomous semi-truck driving officially arrived in Nevada on the night of May 5, and it did so on top of the curved concrete edge of Hoover Dam. Daimler chose the world-famous location to introduce its Freightliner Inspiration Truck, the world’s first licensed autonomous truck, according to reports at Autoblog.com.

On the same day, at Las Vegas Motor Speedway, Nevada Gov. Brian Sandoval officially granted the first license for an autonomous commercial truck to operate on an open public highway in the United States to Daimler Trucks North America (DTNA). At the event, hosted by DTNA President & CEO Martin Daum, Gov. Sandoval took part in the inaugural trip of the Freightliner Inspiration Truck in autonomous mode with Dr. Wolfgang Bernhard, Member of the Board of Management of Daimler AG Daimler Trucks & Buses, at the controls. “Nevada is proud to be making transportation history today by hosting the first U.S. public highway drive for a licensed autonomous commercial truck. The application of this innovative technology to one of America's most important industries will have a lasting impact on our state and help shape the New Nevada economy,” said Gov. Sandoval. “The Nevada Department of Motor Vehicles has been closely monitoring the advancements being made in autonomous vehicle development and reviewed DTNA's safety, testing and training plans before granting permission for this demonstration of the Freightliner Inspiration Truck.” This is the first 18-wheel commercial vehicle to garner the designation (the state actually licensed two autonomous Freightliners), and the truck showed off its hands-free driving skill on top of the 80-year-old landmark. The truck, which is based on the Mercedes-Benz Future Truck 2025 that drove on the autobahn last year, was tested in Germany where, according to Daimler, it has covered more than 10,000 autonomous miles. Similar to the autopilot system in a passenger jet, Daimler’s Freightliner has “Highway Pilot,” which the truck driver engages. That’s how Daimler did it for the demonstration: A driver

pulled the truck onto the road atop the Hoover Dam, and the truck’s Highway Pilot took over. Daimler’s truck has front radars that see the road over 800 feet in front of it, another radar to detect cars merging in front of the truck, and stereo cameras that analyze road markings to communicate with the steering mechanism. It knows the rules of the road and will brake and accelerate based on posted speed limits for semi-trucks. Daimler cautioned in its announcement, “In terms of on-highway commercial trucks, it is incorrect to refer to a vehicle in autonomous mode as a ‘driverless truck.’ Drivers remain the boss in their vehicle because the technology ... requires the presence of a qualified truck driver with valid commercial driver’s license in the cab and on the gauges.” In addition, there are numerous maneuvers the truck cannot make on its own, such as passing and lane changes. Plus, if the Highway Pilot senses particularly adverse driving conditions, like bad weather, it will ask the human driver to take over. Though only licensed for one state, autonomous freight trucks could not come at a better time. Driving a semi is tiring and dangerous work. A 2012 National Highway Traffic Safety Administration study noted that, in the U.S., “333,000 large trucks were involved in traffic crashes.” A 2009 Harvard School of medicine study on Drowsy Driving reported that “truck drivers are often chronically sleep deprived.” Those challenges may be leading to a dwindling number of commercial truck drivers. In 2014, the trucking industry reported nearly 35,000 unfilled jobs. Nevada was selected because it is one of four states, plus the District of Columbia, with laws regulating autonomous vehicle operation. Nevada legislation passed in 2011 and 2013 regulates the testing and operation of autonomous vehicles. The legislation includes commercial trucks and sets standards specifying the number of miles an autonomous vehicle must have been tested in certain conditions before it can be granted a license to be driven in Nevada. Daimler obtained a special permit from the Nevada Department of Motor Vehicles to operate the Freightliner Inspiration Truck on public roads near Las Vegas after supplying state officials with detailed information on the safety systems in the truck and the training program for the drivers. Smarter trucks that take some of the burden off commercial truck drivers and always follow the rules of the road could make the job of commercial truck driver more attractive again.

4 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

Celphy Channels the Wright Bros.

Luther Hopkins Honda

aCompetitive Pricing aFree and Fast Delivery aKnowledgeable Wholesale Parts Staff aLarge Inventory to Serve You Better Luther Hopkins Honda 250 5th Ave. South Hopkins, MN 55343

PH FX

952.908.8585 952.908.8581

Start something special. Mon-Th 7:00am-9:00pm Fri 7:00am-6:00pm Sat 8:00am-4:00pm

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 5

PPG Foundation Awards Student Scholarships

The PPG Foundation, working with the Collision Repair Education Foundation (CREF), recently awarded scholarships to four students who have demonstrated a career interest in automotive repair and refinish. The scholarships, worth $5,000 each, are awarded annually to full-time students attending a post-secondary school with a focus or degree program in collision repair. The funds may be used to assist the students with educational expenses such as tuition, books, tools and equipment. The winners of the 2016 PPG Foundation Scholarships are: Richard Arnold (Utah Valley University, Orem, UT), Julie Brain (College of Lake County, Grayslake, IL), BreaAnna Miller (Idaho State University, Pocatello, ID), and David Morales Brain (College of Lake County, Grayslake, IL). In addition, money was raised for the PPG MVP Industry Student Scholarship Fund during PPG’s 2015 Fall MVP Business Solutions Conference in Nashville, TN. The fund was able to award a $1,000 scholarship to Amanda Barefoot (Fayetteville Technical Community College, Fayetteville, NC). “PPG’s automotive refinish

business and the PPG Foundation continue to work closely with the Collision Repair Education Foundation to support future professionals and develop the educational facilities the collision industry requires,” said Domenic Brusco, PPG senior manager, industry relations, automotive refinish. “By taking an active role in the education of collision repair and refinish students across the country, we help grow a skilled workforce to meet the demand for highly competent technicians amid ever-evolving technology. We congratulate our 2016 scholarship recipients.” Industry members interested in working with CREF to support secondary and post-secondary collision repair students, instructors and school programs should contact Brandon Eckenrode, director of development, at (847) 463-5244 or Brandon.Eckenrode@ed-foundation .org. For information on how to donate to programs supported by CREF, visit www.CollisionEducationFoundation .org. To learn more about PPG, visit www.ppg.com. To learn more about the PPG Foundation, visit www.ppg communities.com.

Eddie Gutierrez Takes Over Car-O-Liner Distributor

Car-O-Liner, a global provider of collision repair solutions to the automotive aftermarket, welcomes Eddie Gutierrez, new owner and president of Car-O-Liner Distributor, Performance Tool & Equipment Inc. in Albuquerque, NM.

ship for this company,” stated Gutierrez. “The employees have been pretty positive throughout the transition. We have gotten comfortable and business is back as usual.” The distributor has 18 employees, including two added since the

Anti-Aftermarket Bill Close to Becoming Law in Michigan

Michigan’s H.B. 4344, a complex 62page bill that updates the 1974 Michigan Motor Vehicle Service and Repair Act, passed in the Michigan legislature and now heads to Govenor Rick Snyder for his signature. While the bill language makes reference to restricting use of “major component parts” (see page 6), the new restrictions only apply to sheet metal and body parts (see page 22, sec. 7G). However, the Auto Care Association has stated that they are extremely concerned with the bill author’s intent to restrict the vehicle repair community’s access to the broad range of nonOEM parts. Additional details from the legislation: -The period covered by the regulation is the term of the vehicle manufacturer’s original warranty, or during the first five years of the vehicle manufacturer’s original warranty; whichever is less. -The motor vehicle repair facility shall replace the major component part [certain sheet metal and/or body parts] with one of the following: (a) a new original equipment manufacturer part. (b) a used or recycled original

From OEM to aftermarket, see all the Collision Parts we have to offer! • Large Inventory • Exceptional Service

513.782.2829 Gutierrez, who spent 25 years in commercial banking, took over the company from Ben Padilla earlier this year. Gutierrez chose to purchase Performance Tool and Equipment after concentrating on the business’s financials. “My parents were small business owners, so when I was ready to move out of banking, I found that I wanted to do the same,” he said. “I concentrated on the business—it was strong and profitable and I thought it would be a good fit for me.” Padilla remains as a part-time employee and serves as Sales Manager. Gutierrez said that thus far, the transition has been smooth. “Ben staying onboard with sales has really made for a good partner-

change of hands. The distributor sells paint products, spray booths, fluid recovery systems, and frame and welding products produced by Car-O-Liner Company. “This has been a big learning curve,” Gutierrez said. “I’ve been learning the products and the equipment side and truly enjoying it. Ben’s been great with any questions I have. I’m looking forward to what the future holds.” For more information on Performance Tool and Equipment, visit perftool.com. For more information on Car-O-Liner, visit www.car-oliner.com.

www.autobodynews.com

6 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

equipment manufacturer part. (c) a part that meets any applicable federal motor vehicle safety standards established under 49 CFR 571, and meets the standards for parts recognized as OEM-comparable quality as verified by the Certified Automotive Parts Association, NSF international, or another nationally-recognized automotive parts testing agency. -The facility must be directed by the owner of the motor vehicle, in writing, for permission to install a part that does not meet subdivision (a), (b), or (c), [above]. According to the Auto Care Association, “Based on this language, it would not be difficult for vehicle manufacturers to lobby to extend these requirements to many other aftermarket parts, as we have seen attempted in other states. Such action would provide a clear competitive advantage for OEM parts over those sourced from the independent aftermarket.” The Auto Care Association encourages its members in the state of Michigan and those that do business in the state to contact the governor’s office at 517-373-3400 and request that he veto H.B. 4344.

513.782.2846 FAX

• Genuine Chevy Parts • Ready To Serve You Hours: Mon. - Fri. 7:30am - 6pm Sat. 8am - 12pm 33 West Kemper Rd., Cincinnati, OH 45246

www.jakesweeneychevy.com

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 7

National Science Foundation Offers Grant for Training Tomorrow’s Technicians Emphasizing the importance of advanced materials in automotive design, the National Science Foundation has awarded a Michigan community college $200,000 for lightweight vehicle manufacturing education. Awarded on May 10, the money will pay for Washtenaw Community College (WCC) curriculum related to making bodies-in-white and other auto parts out of lighter, stronger materials. The grant also will fund the addition of lightweighting as a consideration into a regional (Great Lakes) auto design challenge. The college is partnering with Wayne State University (WSU). The goal is to engage industry and educators in developing a talent pipeline and initial curriculum addressing the material properties as well as optimization and manufacturing processes associated with lightweight materials at the high school and community college levels to meet emerging industry needs for technicians in the manufacturing industry. A central element of this proposal involves the introduction of a new arrangement of course design and delivery. The manufacturing industry is shifting to a systems approach rather

than the traditional silo manufacturing practices. WCC will utilize this project to create a model for community college curriculum development utilizing this systems approach. The overview course will be multidisciplinary, project-based and designed around specific lightweight materials or categories of materials (aluminum alloys, plastics and polymers, carbon fiber composites, etc.) rather than focused on specific manufacturing disciplines. For each material or group of materials, the course will be arranged so that an overview of the material properties, applications, design for manufacturability, and manufacturing processes will be presented. As an introductory course, this will facilitate students identifying specific areas of interest in which to continue their studies. It will also provide a broader context for these students to build a systems approach into their study of advanced manufacturing or advanced transportation. A comprehensive evaluation is being developed to continuously enhance the project activities and provide opportunities for researching and evaluating the success of the project and its deliverables, as well as the sharing of best practices.

8 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

Barry Barrett To Tour ASA-Midwest In June!

The Automotive Service Association (ASA) of the Midwest announced that Barry Barrett will be presenting Question Based Selling for the Service Advisor during several chapter meetings during the month of

June. During the tour, Barry Barrett will deliver some very valuable information for Service Advisors on how to strengthen sales through questionbased selling. Learn the 12 reasons why repairers should ask questions. Attendees will also gain knowledge on the basics to questioning, including what questions to start with and the two different types of questions to ask customer. Every attendee will leave with a step-by step plan that can be implemented immediately in order to increase sales the very next day.

Gerber Collision & Glass Opens New Repair Location in Michigan

The Boyd Group Inc. (the “Boyd Group”) has announced the opening of a collision repair center in Kalamazoo, Michigan. The center previously operated as part of the Seelye Ford car dealership. “Adding this location to our other two centers in Kalamazoo gives us coverage in the southern part of the city to better serve new customers and our insurance partners,” said Tim O’Day, president and COO of the Boyd Group’s U.S. operations.” Additionally, this repair center being co-located with a car dealership gives us a prime opportunity to introduce dealership customers to our high level of quality and service. We’re also pleased to announce that Kevin Hopp, who has managed this location for the past two years, will continue to lead the center,” added O’Day. The Boyd Group is continuously looking to add new collision repair locations to its existing network in Canada and the U.S. For more information, contact Kim Allen, director of business development, at (847) 410-6003.

Collision Repair Education Foundation Announces Fall Collision Career Fair Schedule HOFFMAN ESTATES, IL – May 24, 2016 –

Due to the Collision Repair Education Foundation’s (CREF) successful spring high school and college collision career fairs that took place in 10 cities, the organization announced May 24, six additional career fairs during the upcoming fall school semester. The spring career fair events averaged over 200 students and provided opportunities for local collision students to meet industry employers, distribute resumes, see product demonstrations, and network with other schools. Collision Repair Education Foundation Director of Development, Brandon Eckenrode notes, “We look forward to bringing these career fairs to additional markets in the fall and introducing these students to the local industry who are interested in their future. For many of these events we are working close with local industry associations and I-CAR volunteer committees to help communicate to the local industry contacts.” Fall 2016 Collision Career Fair Schedule

● Chicago, IL – Friday, September 16th – Chicagoland Speedway – NASCAR Sprint Cup Weekend (Joliet, IL) ● St. Louis, MO – Friday, September 23rd – Gateway Motorsports Park (Madison, IL)

● Boston, MA – Wednesday, October 5th - Assabet Technical College (Marlboro, MA) ● Atlanta, GA – Thursday, October 20th – Maxwell High School of Technology (Lawrenceville, GA)

● Columbus, OH – November 16th – Fort Hayes Metropolitan Education Center (Columbus, OH)

● Minneapolis, MN – Date & location TBD

Companies interested in participating in these upcoming career fairs can contact Education Foundation Director of Development, Brandon Eckenrode at 847-463-5244 or Brandon.Eckenrode@ed-foundation .org.

ABRA Auto Body & Glass Enrolling Students in Career Development Academy

ABRA Auto Body & Glass, a national damaged vehicle repair company, announced that it is now enrolling students into its state-of-the-art Career Development Academy. The Academy, located in Eagan, Minnesota, is set to open later this summer. ABRA is launching the Career Development Academy in response to an industry-wide shortage of auto body technicians. An aging population and a shift in career choices over past decades has left the industry challenged to find creative ways to attract new talent. ABRA’s Career Development Academy is one of them. According to ABRA, there is no cost to students attending the Career Development Academy, one of many perks turning heads in the industry. Prospective students can now apply for the ABRA Springboard™ Apprentice Program, the first of many planned offerings at ABRA’s Career Development Academy. Students will receive five weeks of paid training, earn multiple I-CAR® certifications, and, upon successful completion, will be provided immediate employment

in an ABRA repair center.

David Kuhl, chief people officer at ABRA, noted that there are a lot of misconceptions about a career as an auto body technician, something ABRA is on a mission to dispel. “Today’s vehicles are becoming more and more advanced, requiring a technical aptitude and specific repair procedures. ABRA Springboard students can look forward to an incredibly rewarding career in a stable industry, with significant earning potential.” Interested students should contact the ABRA Career Development Academy at (763) 585-6362. Students can also apply online at www .abracda.com.

SEARCH FOR US ON

LINKEDIN :

Autobody News

SPECIAL LIFTING JOBS REQUIRE SPECIAL LIFTS.

IT’S REALLY THAT SIMPLE. • Designed to be used by one operator for fast, easy removal and installation of pick up boxes, toppers, car doors and hoods with no human lifting. • Superior rugged design is safe and simple engineered to save you time thus increasing productivity and proﬁts. • Safety system protects the product and operator at all times. • 100% Guarantee and Warranty on all Products.

• Patented lift tool w/superior load stability that requires no power or fuel and minimum maintenance. • Tilt the box upward for under box repairs, rust prooﬁng, customizing, restoration and painting. • Attachments available to perform diﬀerent lifting functions - can be switched and changed in seconds.

CALL TODAY FOR SPECIAL SALES PRICING WHILE INVENTORY IS AVAILABLE See us at

989-315-8033

NACE booth

Fax: 989-803-5992

Made in the USA

# 653

rparks@prolinetoolsupply.com www.prolinetoolsupply.com 210 Pigeon Rd., Bad Axe, MI 48413 www.autobodynews.com | JULY 2016 AUTOBODY NEWS 9

IL Collision Repair Students & Shop Help Repair Real Life Magic School Bus by Amanda Blain, Olney Daily Mail

The Big Blue Book Bus aims to help students keep their reading skills sharp during the summer, preparing them for success during the school year. “As a school district, we fight the summer reading lapse all the time. Kids come back to us having dropped reading levels all the time, so any way we can get books in their hands over the summer is better for us too because they’re coming back to us more prepared and ready to start the next school year,” said RCES Intermediate Principal Andy Thomann. The book bus started last year. As part of RCCU’s summer reading program, the district partnered with Rotary Club of Richland County to staff the bus. Last year, a standard yellow school bus was used. The school district provided the bus and stocked it with books, while members of the Rotary provided volunteers to work on the bus. The service area included Musgrove Park and TrustBank on Main Street. The bus checked out approximately 850 books to 150 kids. RCES discussed the initial success of the book bus with Superintendent Larry Bussard.

In the interest of keeping books in the hands of children during the summer months, Bussard decided to retire the old bus and donate it for use as the this year’s book bus. “You can’t always get to a library. ... With the bus, we can take the books to them,” Thomann said. There is no cost for students to check out books. They can check out three books at a time. When they bring the books back, they’re permitted to check out additional items. If a child loses a book, then he or she is encouraged to simply bring a book donation to the school bus, and will thereby be permitted to continue to get books. Community members are also encouraged to donate to the book bus. “We’re hoping that it goes great this year ... people start to see it and start to recognize the bus, it might be an opportunity for people to donate in the future. The more money we have, the better the books we have,” Thomann said. The Big Blue Book Bus will be serving Claremont and Noble in addition to Olney this year. “Moving forward, we’ve just been trying to make it bigger and better. This year we’re expanding ... there’s really

Maaco Steers Expansion Plans Towards Louisville

With the average car on the road reaching a record high age of 11.5 years, Maaco has announced plans to grow its brand presence to Louisville by bringing five new shops to the market over the next two years. To jumpstart the Louisville development, Maaco executives are seeking single and multi-unit franchise partners, requiring no prior automotive experience. The franchise offers new owners comprehensive training programs and continued operating and marketing support, as well as supplying $100 million in fleet accounts for its franchise system. According to the company, the growth of Maaco shops in Louisville will bring seven or more jobs per location and the opportunity for neighboring business owners to benefit from a franchise that provides great services at a low price with a quick turnaround. With more than 470 nationwide locations and 43 years of paint and collision experience, Maaco is responding to the growing consumer demand in Louisville for experienced, reliable auto body paint and repair shops. Louisville was chosen for its increasing population and number of registered vehicles, and this targeted

expansion is part of Maaco’s overall national projections to double the size of the company over the next three years. “With Louisville’s lack of trusted paint & collision shops compared to the rising number of vehicles across the U.S., we have found substantial room for growth potential and a heavy demand for our services,” said Rob Cambruzzi, vice president of Maaco Franchise Development. “Maaco offers a great lifestyle for franchise owners, boasts one of the best item 19s in the industry and isn’t limited to those with automotive experience. We’re looking for entrepreneurs with a wide variety of backgrounds.” The franchise plans on adding 60 new franchisees over the next year to achieve an overarching goal of becoming a $1 billion brand. For more information, please visit www.maaco.com

INSTAGRAM :

@autobodynews

10 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

no limit to what we can do as long as we can staff it,” Thomann said. People interested in donating to the Big Blue Book Bus may contact RCES to do so. The improvements to this year’s book bus are the result of community partnership and donations including: Mark Fitch and students of the OCC Collision Repair Technology class provided the paint job. Rylan Rusk and students of the RCHS Building Trades class built the book shelves. Terry’s Body Shop provided the space to paint the bus. Tim Musser of Wal-Mart DC assisted to make possible a $2,500 grant to help pay for the paint, book shelves, and books. Brian Woods of Woods Autobody donated time and materials for the bus’s vinyl graphics. RCCU and Rotary Club provided volunteers for service hours. This year the book bus stops are provided by the Village of Noble, TNT Store of Claremont, City of Olney, Musgrove Park, and TrustBank. If this year is a success, Thomann says they may expand the service area to more northern and southern areas of Richland County in future years.

The Big Blue Book Bus schedule is: ■ 3-7 p.m. Tuesdays, May 24-June 21, at Musgrove Park; ■ 3-7 p.m. Tuesdays, July 5-July 26, at TrustBank;

■ 3:30-4:30 p.m. Thursdays, May 26July 28, at Noble Village Park;

■ 5-6 p.m. Thursdays, May 26-July 28, at TNT Store in Claremont;

■ Noon-1 p.m. Saturday, June 11 at Olney City Park for BBBS Picnic.

We thank the Olney Daily Mail for reprint permission.

To advertise call Advertising Sales at:

800-699-8251 e-mail:

advertising@autobodynews.com

www.autobodynews.com

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 11

Nagy’s Collision Centers in Wadsworth Welcomes Brian Kauf

Nagy’s Collision Centers, based in Orrville, OH, has welcomed Brian Kauf as production manager at their Wadsworth location. Brian has 20 years of experience in production management and resides in Orrville. According to the company, Nagy’s offers unique services such as Autowatch, an online viewing of repair completion, as well as e-Estimates, which enables customers to receive estimates without leaving their home or office. Brian Kauf “Nagy’s Collision Centers’ mission is to repair vehicles back to pre-loss condition efficiently, effectively and with the highest quality while maintaining a strong moral integrity,” the company said. Nagy’s has locations in Ashland, Doylestown, Green, Hartville, Orrville, Millersburg, Wadsworth and Wooster. For more information, visit www .nagys.com or call (330) 642-1012.

Symach Announces new FixLine System for Erie-LaSalle Body Shop in Chicago

In May, Bob, Jim and Jay Gottfred, principals at Erie-LaSalle Body Shops, announced the addition of a third Chicago location. Erie-LaSalle is a family-owned and operated multishop repair center that was founded in 1934.

Erie-LaSalle’s new facility is located in the River West neighborhood of downtown Chicago. It will the first shop in the United States to employ the Symach European repair process. The company said that this process integrates precise scheduling, repair planning, state-of-the-art repair and refinish procedures enhanced by patented gas catalytic [Drytoronic] robotic drying. The 12,000-square-foot shop estimates producing 65 vehicles per week, all of which will be fully automated with the Symach FixLine system. The system includes a conveyer-type production process and five robots. According to Symach, “These robots

Refinish Distributors Alliance Holds May Membership Meeting Refinish Distributors Alliance (RDA) held their monthly membership meeting May 16–18 at the Hilton Inn at the Ballpark, St. Louis Missouri. All seg-

ments were held at the Administrative Offices in Bush Stadium Baseball Park. The three days included speakers and interactive presentations. In keeping with the baseball theme, RDA had Jim “The Rookie” Morris present on his journey to the Big Show at the age of 35 and how he finally fulfilled his childhood dream. John Mozeliak, vice president and general manager of the Cardinals, closed out the first day’s meet-

Free

ings by answering questions from members and manufacturers before the group moved to a luxury suite for a reception and dinner to watch a game between the St. Louis Cardinals and Colorado Rockies. RDA executive director Robert McKenzie Jr. said, “We appreciate the support of our members and manufacturers. We are privileged to have them attend our meetings and will continue to find ways to elevate the content so we provide relevant information and takeaways that everyone can implement and will make a difference for them personally and in their businesses.” RDA has 19 members, representing over 200 locations and servicing over 4,000 collision centers throughout the United States. For more information on RDA/IMPACT, visit www.rda-impact.com

4x Monthly E E-Newsletter -Newsletter

www.autobodynews.com

12 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

drastically reduce drying times of all substrates, body filler, primer, paint and clear, guaranteeing rapid cycle delivery time and a flawless finish.” In addition to the FixLine system, a dedicated ‘FixStation’ will be employed to complete three to five smaller express repairs per day. This can provide customers with one-day service for a process that may take three to four days in conventional body shops. Symach specializes in building automated body shops around the world using a new repair process called FixLine. “This is the first body shop we are implementing in the U.S. market,” stated Osvaldo Bergaglio, CEO of Symach. “I have personally projected the shop considering efficiency, quality, volume of production and aesthetic design. My international team will install and conduct training for the staff and managers of the new shop, guaranteeing success for Bob, Jim and Jay.” “We have always prided ourselves on being a leader in technology within our industry,” said Bob. “When we decided to open another repair fa-

cility, we wanted to offer our clients and insurance repair partners something better-something no one else had offered, providing the very finest in

service, speed, and accuracy. We feel that our employees and customers deserve the very best. We have dedicated ourselves to invest more in order to give more.” For more information, contact info@symach.com or visit www.symach .com

www.autobodynews.com CHECK IT OUT!

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 13

Illinois-based Flex-N-Gate to Build Nearly $100M Detroit Facility An expansive and strategically located parcel of vacant land on Detroit’s eastside will gain a major new tenant in the ongoing campaign to attract manufacturing jobs to the city, Gov. Rick Snyder and Mayor Mike Duggan announced May 25. Flex-N-Gate owner Shahid Khan said his company will invest $95 million in construction and capital costs for a facility that will supply parts to Ford Motor Company. Potential additional investment could push the project to at least $100 million. Khan said the project will create at least 400 and up to 650 new jobs in Detroit over the next three years. At full capacity, up to 750 total jobs could be added. Flex-N-Gate has committed to meeting Detroit-based hiring and contracting thresholds outlined in Executive Orders 4 & 5 (2014) and to develop a comprehensive hiring plan in conjunction with the City’s Human Rights Department and Detroit Employment Solutions, Corp., to help ensure jobs for Detroit residents. Flex-N-Gate is an auto supplier of exterior trim components, aluminum and steel modular stamped body in white and chassis assemblies, lighting and other OEM automotive products.

“We’re proud that Flex-N-Gate is investing in Detroit, and in the people of Detroit,” Snyder said. “Detroit’s resurgence is an important part of the Michigan comeback. Companies around the world recognize that our state is the global leader in automotive, and with good reason. We have a talented workforce that is passionate about keeping our state at the center of the industry for generations to come.” Khan expressed his enthusiasm over the project. “Our news today from Detroit is further evidence that the United States auto industry is strong, promising and experiencing exceptional growth,” said Khan. “Building a new plant from the ground up within the Detroit city limits will be a milestone moment for Flex-N-Gate, made possible thanks to our partnership and collaboration with Ford, the City of Detroit and the State of Michigan.” Ford also praised the new partnership. “We are proud to work with FlexN-Gate, the City of Detroit and State of Michigan, to bring good paying jobs to the city. We value our relationships with suppliers, and appreciate the commitment Flex-N-Gate has made to Ford Motor Company and the local area,” said Hau Thai-Tang, Ford group vice president, global purchasing. This new multi-layered invest-

14 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

ment is the culmination of a collaborative effort among the city of Detroit, Detroit Economic Growth Corporation and the Michigan Economic Development Corporation (MEDC), which administers incentives and programs on behalf of the MichiganStrategic Fund. “The expansion of Flex-N-Gate’s presence in Michigan demonstrates the broad range of productive possibilities for private investors and job creators when local and state economic development teams work with one of the state’s bedrock automotive companies and a privately owned auto supplier,” said MEDC CEO Steve Arwood, who noted that Flex-N-Gate is among 81 of the top global auto suppliers that have North American headquarters or tech centers in the state. From 2009 through the second quarter of 2015, automakers and auto suppliers have made $16 billion investments into Michigan, accounting for about 20 percent of auto-industry investment in North America. According to the Center for Automotive Research, from 2009 to 2015, 175,000 manufacturing jobs have been created in Michigan. Designation of a Renaissance Zone for Flex-N-Gate is expected to be addressed at the August meeting of the Michigan Strategic Fund board.

ASA-Midwest Looking for VISION Presenters

ASA-Midwest is seeking presenters for the 2017 VISION Hi-Tech Training & Expo, taking place in Kansas City at the Overland Park Convention Center March 2-5. The VISION Training Committee is seeking management and technical training course proposals for the event. The 2017 schedule will include 3, 6, and 8-hour sessions to be held in classroom, live-car, and hands-on settings. The deadline to submit courses is July 30. The submission form is available at http://submissions.vision kc.com. In addition to the courses, VISION also features a 60,000 squarefoot exhibit hall showcasing the latest tools, equipment and technology for today’s automotive service professional. For more information, please contact Sheri Hamilton at (816) 781-5801 or sheri@visionkc.com.

National Associations

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.

ARA President Attends ARM’s Annual Meeting with Chasidy Rae Sisk

Swift also shared information On May 12-14, the Automotive Recyabout ARA’s 2016 Hill Day, clers of Michigan (ARM) which took place on April 19 held its Annual Road Show Business Networking Conin Washington, D.C, allowing automotive recyclers to ference at the Highway Auto meet with Members of ConParts Yard in Roseville MI, gress to garner support for one of the busiest yards in the legislation that would require Detroit Metro area. Mike OEMs to provide access to Swift, President of the AutoMike Swift, comprehensive OEM parts motive Recyclers Association President of ARA data. In December 2015, leg(ARA), was in attendance to remind participants how important islation was signed into law to require automotive manufacturers to provide these types of events are to the industry. Swift encouraged attendees to this information for recalled parts. speak to other automotive recyclers who do not take the time to attend about “the importance of sharing information and ideas within the industry. We are all busy, but when you miss these events, you are missing out on a potential customer or idea to help you make more sales,” Networking opportunities during ARM meeting said Swift.

During the event, Swift and ARM member Schram Auto and Truck Parts members met with Michigan legisla- in Waterford, MI and U Pull and Save. tors, including Representative Ken They also toured Middleton Auto Goike (R-33); Zvonko Blazevski, Parts in Fraser, MI, a late-model fawho serves as legislative aide to Representative John Chirkun of the 22nd district; and Elizabeth Weier, an analyst in the Business Regulation Section of the Business Licensing and Regulating Division in the MI Department of State, as well as three of her colleagues from within the Division. Additionally, ARM con- The ARM meeting was held in Roseville MI, in May ducted a roundtable discuscility with pre-dismantled parts. sion about the need to share what’s Swift will attend the Iowa Recyhappening in the industry with legislators. Swift pointed out, “If recyclers do clers Association meeting on June 3-4 in Mason City, IA, which will include not speak up, lawmakers won’t know or understand how some legislation a visit to Wilken & Sons in Kensett. might affect the industry in their state.” ARM members then toured sevwww.autobodynews.com eral nearby yards. They visited ARA

Luther Bloomington Acura

Luther Bloomington Subaru

Our parts. Your peace of mind.

R TER NTE YOUR SUBARU CAR PARTS CEN

800.451.5078 Toll Free 952.887.0600 Parts Direct 952.881.1787 24 Hour FAX parts@bloomingtonacura.com www.bloomingtonacura.com

• Free Local Delivery and Shipping • Experienced Parts Professionals • Extensive OEM Parts Inventory at Competitive Prices

PARTS DEPT. HOURS Mon. 6:30am - 6pm Tue.-Fri. 6:30am - 9pm Sat. 8am - 4pm 7801 Lyndale Ave. South Bloomington, MN 55420

Large Inventory of Genuine Subaru Parts Quality Tested Dedicated Wholesale Staff Committed to Service Order Parts On-line 24/7 www.bloomingtonsubaru.com parts@bloomingtonsubaru.com

Luther Bloomington Subaru Hours: Mon: 6:30 - 6; Tue-Fri: 6:30 - 9; Sat: 8 - 4 7801 Lyndale Ave. South // Bloomington, MN 55420 Toll Free: Parts Direct: 24 Hr. FAX:

800-451-5078 952-887-0600 952-881-1787

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 15

Moorhead MN Auto Body Shop Owner Says Insurance Agents Using Illegal Tactic by Angie Wieck, Forum News Service

MOORHEAD, Minn. — The owner of Lloyd’s Auto Body in Moorhead is fed up with “steering” — when customers are advised, or coerced, by their insurance agent to use a preferred vendor after an accident. Steering is against the law in Minnesota, but Lloyd Van Raden says it still happens. He wants insurance policyholders to know they have the right to choose where their auto repairs are made. Insurance companies agree to refer clients to preferred shops through what is known as a Direct Repair Program. In exchange for referrals, these shops often agree to complete repairs at discounted prices determined by the insurer. Van Raden is opposed to DRPs because he said they can encourage shop owners to take shortcuts or use inferior parts. That’s why he says it’s important policyholders know they have a choice. “It is what it is and it’s always going to be. We’re never going to fix this, but we can try to let the public know they’ve got rights,” he said. Policyholder rights: Judell Anderson, executive director of the Al-

liance of Automotive Service Providers in Minnesota, said insurance companies doing business in the state are required to provide the following statement to

company cannot make further attempts to convince him or her to use a certain shop, Anderson said. The Minnesota Department of Commerce relies on tips from policyholders and repair shops to enforce the law. The department recently imposed a civil penalty of $150,000 against the Auto Club Group for failing to provide the required notification and using a number of steering tactics such as informing policyholders they may not receive a warranty for work performed by non-preferred Lloyd Van Raden uses a pneumatic tool to drill out a spot glass vendors. Laws against insurance weld on a truck body he is repairing at his shop, Lloyd’s steering do not exist in North Auto Body Inc., Wednesday, May 18, 2016, in Moorhead. Dakota. Credit: Dave Wallis, Forum News Source A preferred vendor relationpolicyholders once a claim is made: ship does not necessarily mean inferior “You have the legal right to parts or service. Anderson suggests choose a repair shop to fix your vehi- policyholders do the homework as they cle. Your policy will cover the reason- would before making any other major able cost of repairing a vehicle to its purchase. pre-accident condition no matter where “Check out reviews and that type you have repairs made. Have you se- of thing. Just because an insurance lected a repair shop or would you like company recommends a shop doesn’t a referral?” mean that shop is the only or the best If the policyholder replies that he shop to undertake those repairs,” she or she has selected one, the insurance said.

Probst Auto Body Receives Prestigious Master Elite Shop Management Award

Probst Auto Body recently received the Management Success! Master Elite Shop Management Award during the Spring 2016 Convention. Management Success! is an au-

Probst Auto Body Staff

tomotive, collision, and truck repair consulting and training group. The Management Success! Master Elite Shop Award has only been given to seven shops since its inception four years ago. Criteria to receive this award involve extensive training in all areas of auto body shop management, including apprenticeships. The shop must also be actively demonstrating that they are applying the tools of management at the

highest level of performance. Owner Mark Probst compiled 138 documents and a 20-minute video to qualify for this award. Probst and his sister Karla attended the Management Success! convention in Scottsdale, Arizona, on April 8, where he was presented the award among his fellow shop owners. When asked about the award, Probst said, “Receiving the award was nice, but it was never just about the award. It has allowed me to create a better family life. I have been able to offer more to my employees and it has allowed me the extra time to get involved in the community and make a difference.” Probst Auto Body has been owned and operated by Mark Probst since 2003. For more information, visit www .probstautobody.com.

www.autobodynews.com

16 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

State Farm maintains a Select Service program, but spokesperson Holly Anderson said policyholders are informed they’re free to choose where repairs are made. “A vibrant, profitable auto collision repair industry is in the interest of State Farm. At the same time, we are advocates on behalf of our customers for reasonable repair costs,” Anderson said. “We believe repairer profitability and quality auto repairs that are reasonably priced can both be achieved.” Common phrases used to influence policyholders, provided by the Alliance of Automotive Service Providers in Minnesota: ▪ The shop you chose is not on our list.

▪ We can’t guarantee the repairs if your vehicle is repaired at the shop you chose.

▪ Your repairs could be delayed if you don’t use the shops on our list.

▪ You may be responsible for additional costs if repaired at the shop you chose. Thank you to Angie Wiecks and Forum News Source for reprint permission.

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 17

Grateful Ilinois Body Shop Owner Ready to Give Back by Ed Attanasio

Jose Esquivel, the owner of Midwest Auto Body in Melrose, IL, entered the collision repair industry at the top— as an owner. Without any experience except for working on his friends’ vehicles, Esquivel had to learn the intricacies of the body shop world fast. He

Jose Esquivel, the owner of Midwest Auto Body in Melrose, IL has survived and thrived by working with family, embracing education and stressing customer service above all

was 24 and exiting the furniture business to enter an industry where he knew the odds were stacked against him. Instead of being scared or letting naysayers dissuade him from pursuing his dream, Esquivel took on all of the challenges headfirst and with a smile. The timing was not ideal to open a shop, especially when you are a rookie in a competitive market, Esquivel explained. “We opened in 2007, and then here comes the recession. Some people thought I was bold, but I think others figured I was just crazy! Many small shops like us do not make it through their first year, so it was a little frightening to be honest. But by working hard and becoming better every day, we made it through that rocky period.” Now 33, Esquivel looks back and credits a supportive family for his success. “My father came into the business that first year and he was a great help,” he explained. “But he didn’t share my passion for this business, so he stepped away and is now semi-retired. When we first opened, my entire staff consisted of family members. I had my father and my two brothersin-law, Juan and Fernando, working here. Now Juan and Fernando work for other shops and they are I-CAR

Platinum, so it has turned out to be a good career for both of them. Most everything they know was taught to them here and I am proud of them both.” Working exclusively with family offered Esquivel many advantages in those early years. “There were some weeks where I could not make payroll, I have to admit it,” Esquivel said. “But because they were family, it was not as if they were going to quit or come knocking at my door. They trusted me, and of course, I felt the same, so having them working here gave me many benefits. It just made everything a lot easier, and now we are doing very well, so payroll is never an issue.” Today, Midwest Auto Body employs six collision professionals, including George, another brother-in-law who runs the shop’s front office. With a 5,000-square-foot shop and another 3,000 for storage, they maintain one DRP and rely heavily on their reputation for honesty, quality and a family environment. “We are roughly 70% non-DRP and we’re repairing 50-55 cars every month,” Esquivel explained. “By not being totally dependent on the insurance companies, we built this business on referrals. We also have done some community service and we plan on doing a lot more in that regard.” One downside of not working with multiple DRPs is steering, something that Esquivel has said is a constant burr in his side. “We encounter it all the

and want to do a quality job on their vehicle,” he said. “I tell them that our repairs are always guaranteed and we will give them a warranty for the vehicle, for as long as they own it. Once they can see that we’re more into doing a good job than making a lot of money, they relax and the car usually stays right here.” How was a 24-year-old able to learn the collision industry without any previous training? “I went to every class I could—I-CAR, the classes sponsored by the paint companies and anything else I could find,” Esquivel said. “I had to learn every aspect of this business, because we had a small crew and we all had to multi-task to succeed. We were all learning on the job, but we never compromised any repairs and that is why we’re still here and flourishing now, I believe.” To learn more about collision repair from a different perspective, Esquivel worked part-time for another body shop until Midwest Auto Body was up and turning a profit. “Yes, those were long days and I was basically married to this business for the first three years,” he said. “I would

work at the other shop from 4:30 am to noon and then I would run right over to my shop. I would work there

Shop Foreman Jose Zumaya came onboard at Midwest Auto Body in 2011 and Esquivel calls him “my right hand man.”

until the work was done, which meant until around midnight, in most cases.” Esquivel has always had a goal to help his community in the village of Melrose Park, a suburb of Chicago. He mentored and trained 30 young people at his shop to introduce them to collision repair a few years ago. “We started a mentoring apprenticeship program See Ready to Give Back, Page 27

Richfield - Bloomington Honda The crew at Midwest shares Esquivel’s philosophy of working hard but never forgetting to help the community as well

time,” he said. “They’re all doing it, but some are more obvious than others. A customer will bring a car here and everything is going along fine, until they call their insurance company. Then, someone comes here and tows or drives the vehicle away.” By handling this common scenario adroitly, Esquivel is able to retain most of his non-DRP customers and vanquish the evil steering specialists. “I tell the customers their rights and let them know that we’re honest

18 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

At Richfield - Bloomington Honda we maintain a comprehensive inventory of high quality, Honda Genuine parts. Our Honda Parts professionals are here to answer your questions. Overnight parts ordering available.

Parts Dept. Hours Mon.-Thu. 6:30am - 9pm Fri. 6:30am - 6pm Sat. 6:30am - 5pm Phone:

612.866.8197

Fax: 612.866.9915

Start something special! 501 West 77th St. • Richfield, MN 55423

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 19

20 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

Preparations Underway for Fall Automechanika Chicago Commitment to Training Events

Automechanika Chicago and its organizers Messe Frankfurt and UBM Americas | Automotive Group (formerly Advanstar Communications, Inc.) had more than 100 automotive professionals attend their inaugural single-day training program at Washtenaw Community College in Ann Arbor, MI. Preparations are underway for two fall events in cooperation with technical colleges in select markets to help support automotive repair professionals in the service repair and collision repair markets. According to Automechanika, the series of free training programs began in May as part of a new “Commitment To Training” initiative supported by the generosity of industry sponsors. Top instructors from both the mechanical and collision repair industries presented their classes to full rooms. Automotive professionals from as far away as New York, New Hampshire, Illinois, Ohio, Virginia and Ontario, Canada attended the event. Attendees received certificates toward continuing education credits, including AMi and NATEF certifications. The facility hosted the inaugural event as part of the initiative aimed at training today’s automotive professionals while providing them with a

network to learn from peers. “I’m very excited by the response to our first one-day training event,” said Pete Meier, director of training for UBM’s Automotive Group, which includes Motor Age and ABRN magazines. “The professionals who attended

G Jerry Truglia of Technicians Service Training educates auto shop technicians about proper diagnostic techniques during May’s Automechanika Chicago Commitment to Training event at Washtenaw Community College in Ann Arbor, Mich. Credit: PRNews Foto/UBM Americas)

the event really understand the need to continue learning about the changing technology and procedures needed to repair vehicles today. I think they all took away lessons they can use immediately in their shops around the country.”

Mike Rowe, a technician at H&I Expert Auto Care in Rochester Hills, MI, learned about the event through Motor Age Training and while studying to become ASE certified. “I want to be better at what I’m doing and have answers for questions from customers,” he said, adding he was excited to learn from Meier and his electrical and scope class. “I’ve seen him on YouTube, and seeing him in real life was a lot of fun and very informative.” Trainers for the sessions included Mike Anderson of Collision Advice; G. Jerry Truglia of ATTS and TST; Larry Montanez of P&L Consultants; Brad Mewes of Supplement, and Meier. In additional to his two educational sessions, Anderson presented an industry keynote during breakfast and representatives from the Advanced Transportation Center at Washtenaw Community College introduced attendees to the program that focuses on connected vehicles and the associated infrastructure. Attendees toured the facility following a catered lunch. The event at Washtenaw Community College was the first of three nocost live events scheduled for 2016. Events are scheduled for Oct. 15 at Fox Valley Technical College in Appleton,

WI and Nov. 19 at Joliet Junior College in Joliet, IL. Details of the events will be available once registration begins later this summer. The Commitment to Training program is made possible by support from manufacturer sponsors Carquest Technical Institute, Delphi, Garmat USA, Abaris Training, Mitchell 1, PPG, Polyvance, Pico Technology, Schaeffler Automotive Aftermarket, Mitchell International, Motor Age Training, Axalta and GFS. “We’re very fortunate to have the involvement of leading companies in the service repair and collision repair market as we continue our ongoing efforts to properly train shop owners, managers, technicians and educators,” said Jim Savas, vice president of UBM Americas, Automotive Group. “This program, in partnership with vocational colleges in Michigan, Illinois and Wisconsin will feature instructors known for providing outstanding content that can help shops keep pace with changing vehicle technology.” The initiative culminates at Automechanika Chicago 2017, scheduled for July 26-29 in Chicago. For more information, visit http://automechanika .searchautoparts.com/commitment-totraining.

One of the Largest VW Dealerships Deale in Wisconsin for Wholesale Parts Business

Largest Wholesale Parts da Dealership in Wisconsin Mazda

Fast & friendly parts staﬀ

dly parts staff to quickly fill your part needs Fast & friendly

Trust the Experts!

• PParts arts t ordered ord dered d by by 3:00 3:00 00 PM will wilillll b be e sh shipped hipped sam same day • Overnight Free delivery available to our rout routes in the Quad Cities, Illinois, Minnesota, & Wisconsin • Premium user in: , Repair Lin Link & Parts Trader Hours:

M-TH 7:30AM - 7PM F 7:30AM - 6PM S 8AM - 4PM

Parts Dept.

888.420.4255 FAX 414.778.0539

19809 W. Bluemound Road, Brookfield, WI

• Parts ordered ed by 3:00 PM will be shipped same day • Overnight Free delivery available to our routes in the Quad Cities, s, Illinois, Minnesota, & Wisconsin • Premium user ser in: , Repair Link, Parts Trader & Mazda Wholesale Parts Advantage Parts Dept.

888.420.4255

FAX 414.778.0539

Hours:

M-TH 7:30AM - 7PM F 7:30AM - 6PM S 8AM - 4PM

19809 W. Bluemound Road, Brookfield, WI www.autobodynews.com | JULY 2016 AUTOBODY NEWS 21

ASA MICHIGAN Testifies on SB 991 at Michigan Senate Committee Hearing to stop Sales Tax on Core Charges that are Exchanged/Returned – Voted in favor, bill to go before Senate “I believe that we are the only state that requires sales tax to be paid on core charges regardless of whether the core was kept, returned or exchanged,” said Ray Fisher of ASA-MI. ASA Michigan is working to reverse a decades old bill that has caused numerous challenges over the years when returning or exchanging cores. Michigan Public Act 167 of 1933 requires a repair facility or customer to pay sales tax on the parts core regardless of whether the core is kept, returned for refund or exchanged at time of sale. Ray Fisher, President of ASA Michigan stated in his testimony “I believe that we are the only state that requires sales tax to be paid on core charges regardless of whether the core was kept, returned or exchanged.” In his testimony and to give clarity to the issue, Fisher provided the following examples: NOTE: Since sales tax only pertains to “Parts” and not labor, for the sake of examples below we have not included labor to keep it simple. PURCHASE: Repair facility buys a remanufactured starter for $325.00 that has a core charge of $50.00. Current sales tax rate is 6%.

Continued from Page 3

OEM Training

Smarter. Not Harder. New Skills For Repair Challenges! - James Meyer will demonstrate how Toyota’s Fix it Right the First Time philosophy pays off. Hence our claim that Toyota Collision Repair & Refinish doesn’t cost, it pays. This will be accomplished through a presentation on a typical non-structural/structural repair challenge, in which some repairers might guess at the right thing to do instead of planning the repair using skill and information resources learned during instructor-led training. James Meyer, Technical Training Administrator, Sr., Toyota Motor Sales.

SERVICE READY: HONDA - Join Honda’s Valerie Sullivan and her team as they show service repair shops how to be Service Ready for their brand. From Service information, Scan Tools, Key and immobilizer codes learn what is available and how you can utilize these resources to make your shop more successful when servicing American Honda vehicles. Valerie Sullivan, Parts & Service Communications, American

Starter Sales Tax on Starter $ 19.50 Core Charge Sales Tax on Core Charge Total Transaction – charged to customer

$325.00

$ 50.00 $ 3.00 $397.50

EXAMPLE 1: Repair facility returns old starter for refund on Core Charge. What does the customer receive off their invoice? MICHIGAN: • $50.00 deducted for the Core Charge, State keeps Sales Tax OTHER STATES: • $53.00 deducted for the Core Charge & Sales Tax on Core Charge

EXAMPLE 2: Repair facility has the old starter off of the vehicle and hands it to the parts delivery person when the remanufactured starter is delivered – core is exchanged. What is the final invoice to the customer? MICHIGAN: Starter Sales Tax on Starter Core Charge Sales Tax on Core Charge

$325.00 $ 19.50 $ 0.00 $ 3.00 –

Honda Motor Co. “The support and participation of the car manufacturers is significant to the show’s development. Although NACE | CARS received support in the past, the industry has never before experienced this level of OEM involvement. Service and repair professionals will benefit from attending and learning directly from the car manufacturers on how to repair the cars of today and tomorrow,” said Dan Risley, ASA president and executive director. According to NACE, “No other event offers this level and diversity of repair training while bringing together all facets of the automotive industry like NACE | CARS. Targeting business owners, management and technicians, this conference and exposition brings together all market segments for the latest and most comprehensive repair solutions, services, education, products and technology.” For more information, visit www .NACEexpo.com or www.CARSevent .com.

22 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

NOT REFUNDED: Total Transaction – charged to customer

$347.50

OTHER STATES: Starter Sales Tax on Starter Core Charge Sales Tax on Core Charge REFUNDED: Total Transaction – charged to customer

$325.00 $ 19.50 $ 0.00 $ 0.00 – $344.50

The bill analysis done in the Senate states that the bill would potentially reduce sales tax revenue by $7.5 million dollars annually. These figures were calculated by the Department of Treasury based off of total parts sales, assumed percentage of core charges within those sales and assumes sales tax on those cores. “I believe the numbers to come in closer to $2.5 to $5 million”, Fisher continued in his testimony, “because I did a survey of repair facilities as to what they did in 2015, and for the most part, they are the higher volume facilities here the State.” Michigan is one of the States also

requiring an automotive repair facility to be licensed, so Fisher refers to the documentation, “According to the Secretary of State’s office, we have 9051 licensed repair facilities in the State. Based on data from their licensing fee structure, nearly 5500 of those license repair facilities are doing less than $340,000 annually in total sales (parts, labor, sublet, supplies, etc.), so the math doesn’t add up. We would have to have almost $83,000,000 in core charges alone to validate the $5 million that they speak of, and at the end of the day 49 other states do not tax their core returns/exchanges.” The bill was voted on by the Finance Committee and passed by with six affirmative votes and one ‘pass’. The bill is expected to move to the Michigan Senate for a vote shortly after the summer break and then into the House.

INSTAGRAM :

@autobodynews

KELLY BMW

Original BMW Parts & Accessories

Large Inventory Competitive Pricing Experienced Staff Phone: 614.471.2277

Parts Direct: 614.337.3090

Original BMW Parts

Parts Fax: 614.476.2488

bmwusa.com

www.kellybmw.com Hours: M-F 8am-6pm; Sat 9am-2pm 4050 Morse Rd • Columbus, OH 43230

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 23

Continued from Cover

MI Bill Veto

compromise. The amendments were made and voted on in the Senate with a 33-4 vote in favor of the amended bill and returned to the House. On May 31, Rep. Pettalia reintroduced an amendment to the bill that provided the opportunity for the vehicle owner to authorize in writing the use of non-certified aftermarket parts during a repair. The House then voted on the bill with 86-23 in favor and sent to the Senate for concurrence to the changes, which did occur. It also received an affirmative vote of 33-3 the next day with one Senator being absent. The following amendment was added to House Bill 4344: If a motor vehicle repair facility that is subject to this act replaces a major component part described in section 2A(A)(iii) to (xiv) during the term of the vehicle manufacturer’s original warranty, or during the first 5 years of the vehicle manufacturer’s original warranty, whichever is less, the motor vehicle repair facility shall replace the major component part, and a person that is an owner or operator of the motor vehicle repair facility shall ensure that the major component part is replaced with 1 of the following: (A) A new original equipment manufacturer part; (B) A used or a recycled original equipment manufacturer part; (C) A part that meets any applicable federal motor vehicle safety standards established under 49 CFR 571, and meets the standards for parts recognized as OEM comparable quality as verified by the Certified Automotive Parts Association, NSF International, or another nationally recognized automotive parts testing agency. (D) A part that does not meet subdivision (A), (B), or (C), if the facility is directed by the owner of the motor vehicle in writing to install that part. “On its face, this policy seems to be intended to protect consumers and ensure vehicles are safely repaired. That is a laudable goal,” Snyder wrote. “The Insurance Institute for Highway Safety indicates that some structural parts, such as bumpers, do impact a consumer’s safety. However, the Institute also points out that some parts, such as fenders, grills, door skins, bumper covers, etc. are primarily cosmetic and ‘are irrelevant to crash safety.’ This bill doesn’t

sufficiently delineate between the two types of parts, thereby limiting the use of safe, high-quality aftermarket parts designed specifically for particular vehicles.” In his veto letter, Snyder also voiced concern that HB 4344 would negatively affect auto insurance prices in Michigan. “ReRay Fisher quiring OEM parts file photo when a perfectly suitable and safe aftermarket part is available at a lower price will result in higher costs to insurers; higher costs which will be passed on to consumers in the form of increased premiums, deductibles, or both,” he said. “Those increased costs would be directly attributable to artificially limiting competition by requiring OEM parts when less expensive aftermarket parts are available.” The Auto Care Association (ACA) issued a press release on June 3 voicing the association’s concerns over the bill being passed and urged members in Michigan to contact the governor’s office and request that he veto the bill. ACA said the new restrictions using “major component parts” only apply to sheet metal and body parts. “The Auto Care Association is extremely concerned with the bill author’s intent to restrict the vehicle repair community’s access to the broad range of non-OEM parts,” ACA wrote in the press release. “Based on this language, it would not be difficult for vehicle manufacturers to lobby to extend these requirements to many other aftermarket parts, as we have seen attempted in other states. Such action would provide a clear competitive advantage for OEM parts over those sources from the independent aftermarket.” The ACA applauded the governor’s veto. “We had a tremendous effort from the industry to communicate directly with the governor’s office and I have to thank everyone who took the time to personally write the governor,” said Bill Hanvey, president and CEO of ACA. “We worked hard to sit down with the stakeholders early on in this process, but those efforts did not produce the compromise we were seeking, and we are very grateful that Governor Snyder had the astute ability to get to the heart of the matter and send this bill back to the legislature.”

24 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

Ray Fisher of ASA-MI Responds Autobody News spoke to Ray Fisher, executive director of ASA-Michigan, about House Bill 4344. Fisher has been on a mission to update the state law in order to ensure that all parts used in collision repairs are certified.

What is your reaction to GovQ: ernor Rick Snyder’s veto of HB 4344?

It is disappointing, but we remain optimistic and focused A: on our cause. There was a great deal

of misinformation that circulated that was never part of HB 4344 and created fear. I could spend time contesting various statements, but what good would that serve? The governor, by law, had only 14 days to respond or it became law, so his window of opportunity to be completely informed on the issue with so many other things going on was limited – keep in mind we have the Flint water crisis and the challenges of the Detroit Public Schools needing his attention. Our objective remains that it is the right thing to do and we will continue forward with our goal accordingly.

Can you give us some backQ: ground about The Motor Vehicle Service Repair Act and how you became involved in helping to update it?

Michigan is one of multiple A: states that with a few exceptions, requires an automotive repair

facility and its technicians to be registered/licensed under the Motor Vehicle Service and Repair Act (Act 300 of 1974). Technicians must also identify the specialties they employ. The act has had very few updates since its inception. Upon taking over as executive director of ASA-Michigan in January 2010, I began working with the secretary of state’s office to update the bill. Off and on for the previous 10 years it was discussed but really did not seem to get anywhere outside of a few meetings. We began with our collision and mechanical division committees here in Michigan, met with key personnel at the secretary of state’s office and also held meetings at a grass root level with some of the legislators, both in the House and Senate. We stayed focused on the issues and continued on our path. See MI Bill Veto , Page 26

TOYOTA OF GRAND RAPIDS Your Customers Deserve Genuine Toyota OEM Parts. • Dedicated Wholesale Staff • Competitive Wholesale Prices • Exceptional Customer Service

Parts Dept. Dept Hours: Ho rs Mon., Wed.: 7:30 am - 8 pm Tue.,Thurs., Fri.: 7:30 am - 6pm, Sat.: 8am - Noon

Phone:

877-703-5932

www.toyotaofgrandrapids.com 2555 28th Street SE • Grand Rapids MI 49512

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 25

Continued from Page 24

MI Bill Veto

In 2014, a state representative had a constituent that had been taken advantage of in the Metro Detroit area and the representative was surprised about some of the “holes in the system” that had occurred over the past 40 years. Unfortunately, it took a victim to prioritize this task, but we were already there and working on things, so it began moving quickly.

Q: A bill was first introduced in A: 2014, but it had little time for the 60 plus pages of revision. In the

When was House Bill 4344 introduced?

spring of 2015, it was resurrected with the new term and the bill was introduced. It weathered multiple meetings, went through the sub-committee with a few changes and onto the House floor where it was delayed – basically because what has been deemed “controversy over aftermarket parts.” In a section of the rules from 1974, under the definitions of fraud and misrepresentation, the verbiage of “merchantability of parts” was used. Over the past decade or more, I was hearing more and more from the collision repair industry about the quality of some of the aftermarket parts they were being asked to use. Due to today’s vehicles having multiple airbag systems, seatbelt tensioners and other safety devices on their vehicles, I could no longer accept the vagueness of the term “merchantability of parts,” so I sought to define it and took props as I did – my job was to protect my independent repair facilities and they in turn, their customers!

What were some of the changes Q: incorporated into the bill? Keep in mind that this applies A: to mechanical and collision repair facilities here in Michigan, so

many of the changes were to update the law; a lot has changed in 42 years. Picture for a second a 1974 Chevrolet Impala and a 2016 Chevrolet Impala…I would say the vehicles and technology have changed a little. Paraphrasing the law as it currently stands from 1974, anything $20 or more had to have a written estimate before work could be performed and if any additional work was needed, the work

could not exceed $10 or 10% of the original cost, whichever was less. In 1974, we could buy and install a headlight for under $20! What changed were things not applicable back in 1974. Since 1974, we have all come up with “best practices” that may have us start with a “zero” dollar amount and providing a written estimate before any work is performed, but still, we needed to update the “what if” scenarios. I took in a chart with a calculation using the consumer price index (CPI) calculator and showed that $20 then was like $83 now. I wanted to get mechanical facilities to at least get their costs covered if they were to spend a little time using a scanner. The same holds true on the additional amounts. Unfortunately, we had to compromise logic during the process as I was seeking to raise it to $100, but the language as it is written in the bill allows for $50 or more, requiring a written estimate and then additional costs were increased to 10% or $50, whichever is less. There are quite a few changes that brought the rules over into law as well, taking “interpretation” out of the equation. It also has laid some groundwork for better use of technology as we move forward. A lot has been accomplished in the bill that doesn’t get talked about as much because of the addressing of the merchantability of parts.

stated that recycled or used OEM parts could also be used. As the bill continued, many compromises were made but were never “good enough” to opposing parties, so we went as far as we were willing to bend. The final language is not what I had originally intended, but it was the best compromise while meeting the objective.

What are the implications for collision repair shops in Michigan if the bill is passed?

26 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

metal parts because we believe it was the right thing to do, but as compromise was required, we remain 100% supportive of this legislation as it is written.

What is the general consensus Q: from collision repair shops in the state about the use of aftermarket and OEM parts?

The collision repairer will fiToo often we forget the presA: A: nally see only quality parts sure these repair facilities are coming through their door and in turn, under when performing collision re-

reduce their liability significantly. Though I am not in agreement, the bill will also require the consumer to direct a repair facility in writing to use a non-certified aftermarket part during the vehicle manufacturer’s warranty period or a period of five years, whichever is less. This puts a great deal of responsibility and liability back on the consumer and off of the collision repair professional, which is still a win for the industry I represent.

What is the association’s posiQ: tion on this bill?

pair. They have a customer who has gone through a tragic event disrupting their lives and is seeking almost instantaneous results; they have various tasks coming at them during the process; if they are part of a program, they are constantly being measured; and lastly they need to be competitive while remaining profitable. So, anytime their touch time increases, their parts procurement is stalled or their cycle time overall is affected, their production goes down and their profits decrease and/or become a loss.

Announces:

What was the main intention of Q: being proactive and getting involved in this legislation?

Our focus was to make sure that these parts had a requirement before being put on our consumer’s cars, our friend’s cars and our family’s cars. We NEVER introduced any legislation to the House or Senate at any given time that prevented aftermarket mechanical parts like some organizations have falsely published. We NEVER introduced legislation at any time that prevented the sale of any aftermarket parts nor any used/recycled parts; something that was also falsely published, emailed and communicated. However, what we did do and stayed focused on was requiring aftermarket parts to be certified by a national third-party entity that would be able to say the parts are comparable to an OEM standard, hence certifying the part. As the bill evolved, we were quick to add language that clearly

As already mentioned, we preferred our original language reA: garding the use of aftermarket sheet

2016 Third Quarter Training Schedule

All Sherwin-Williams Automotive Finishes training centers feature state-of-the-art teaching tools, such as iPads, to enhance the learning experience for today’s collision repair professionals. Explore our robust training programs in a variety of areas designed to improve productivity and profitability. Training Center

Date

Training Course Description

Number of Days

Chicago

07/25/16

Painter Certification

Chicago

08/29/16

Color Adjustment and Blending

Chicago

09/26/16

Painter Certification

For more information about Sherwin-Williams Automotive Finishes courses, visit its training section at: www.sherwin-automotive.com/refinish/training-support or call 1-800-SWULTRA (1-800-798-5872).

One of the complaints we continue to hear is that some of these parts that probably shouldn’t even be available in the market are being requested for replacement on a 2015 vehicle, and in their gut they feel these parts won’t perform as they should, but were never tested to validate these concerns. I sometimes think that today we use the term “free market system” when all other debates fail, but we also have to understand that when it was identified as a free market system, we were also teaching “business ethics” in high school. Putting a fiveyear-old in a major league baseball game and saying “good luck” is not “fair competition” – these parts are the five-year-old and have no business being forced into the game!

CAWA/Auto Care Association Partner on Job Board

The Auto Care Association and CAWA have partnered to support the Industry Job Board by offering its access at www.cawa.org/jobs.aspx. The website includes access to the job board network where CAWA member companies can post openings and job seekers can upload their resume and apply for positions, as well as a link to the Auto Care Careers website, www.autocarecareers.org, for information on starting a career in the auto care industry. “CAWA has made a commitment to assist its membership in the recruitment of quality individuals to the auto care industry by awarding scholarships, promoting the Young Auto Care Network Group (YANG) and supporting an industry-specific job board for employers and individuals seeking careers in the

industry,” said Rodney Pierini, president and CEO, CAWA. “We believe this is the cornerstone to our future efforts and we will build upon them on behalf of the association’s membership and for the betterment of the auto care industry.” Bill Hanvey, president and CEO of the Auto Care Association, said, “The Auto Care Association is committed to creating an industry-wide recruitment initiative that makes us stand out as a dynamic, exciting and tech-savvy industry that is recruiting top talent. We encourage partnerships on the Industry Job Board, no matter what the size of the organization, to help unify our message to job seekers.” Visit www.autocarecareers.org, or contact courtney.hammer@autocare.org or 301-654-6664.

Greg Coccaro Sr. Passes Away at 66 Greg Coccaro Sr., a much admired and well-respected member of the collision community, succumbed to cancer on Memorial Day. In 1970, Coccaro founded North State Custom, a Mercedes, BMW and Tesla certified shop in Bedford Hills, NY. North State was known for quality and integrity, and also for a protracted lawsuit waged against Progressive Insurance. Many saw it as a selfless fight for the industry and independent repairers. Search “Coccaro” on Autobody News for more on the Progressive suit. Coccaro’s Facebook page contains tributes from his many friends and colleagues, including the following statement posted by North State: “The Automotive Industry has lost a great friend, mentor, and ally. Gregory Coccaro Sr. was a beloved father, grandfather, husband and friend who did what he could to help others. His courage, inspiration, and dedication has forever changed the Collision Industry. You will be dearly missed. RIP Gregory Coccaro. You will forever be in our Hearts!” Continued from Page 18

Ready to Give Back

where the kids came here to the shop to learn the basics,” Esquivel said. “It was part of a program at my church where they help troubled youth, and out of the 30, one is a tech and three others work in some capacity in the automotive field.” To take his philanthropic efforts even further, Esquivel is planning to fix up his shop’s loaner and give it to a deserving member of the community. It is something he has been wanting to do for quite some time, he said. “Giving back is good for the soul and helps me to sleep well at night. My parents showed me that helping people is more important than all the money in the world. Now that we’re doing well and the cars keep coming in, this is the right time for us to step up and do the right thing.”

www.autobodynews.com C

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 27

GM Manager Addresses State of Collision Repair Business; Considering Certification Program cian readiness for new technologies. When it comes to the ease of reDuring a recent Verifacts Guild 21 pairs, he said that OEMs can help imwebinar, General Motors manager prove repair procedure content to John Eck talked about the make it easier to access. In complexity of the collision addition, OEMs can take the repair industry, the imporrepair learnings from body tance of quality repairs and shops and share them with how the company is considthe teams that work with veering the possibility of estabhicle development engineers. lishing an OEM collision Eck is finding that the acrepair certification program. John Eck, manager tual quality of repairs is an Eck said the ultimate of wholesale dealer area that collision repairers goal is a quality, safe repair channel for General are looking to OEMs for supMotors Customer for the customer. “That’s who port and said OEM certificaCare & Aftersales I work for,” said Eck, the tion is a step in that direction. manager of wholesale dealer channel During the webinar, he shared for General Motors Customer Care & data with attendees on repairs that were Aftersales. “We want the outcome to done on GM mid-size SUVs over a be a satisfied customer driving away three-year span. Looking at the perin a vehicle that has been repaired to centage of vehicles that were being repre-crash conditions using the right paired versus replaced, it was found procedures, parts, processes and qualthat over 50 percent of the time they ity checks. There is no alternative.” were being repaired. “We are very conWith more than 25 years of autocerned about the repair quality of the motive aftermarket experience with vehicle coming out,” said Eck. General Motors, Eck has held numerTechnology readiness is another ous field, marketing and management big concern for the industry, espepositions in several business segments cially for OEMs, according to Eck. In in the United States, Canada and South addition to industry age numbers, anAfrica. other worry is whether or not the by Stacey Phillips, Assistant Editor

“We see an industry that needs to expand and grow and be ready for the challenges that I see coming down the pike from the OEMs’ perspective,” — John Eck, manager at GM

“Vehicles are complex, the dynamics of our stakeholder relationships are complex, and the repair process is as well,” said Eck. “Sometimes it’s interesting and even necessary to take a step back and all of the changes we have seen and the rate of change that will clearly indicate that this is clearly not going to slow down on us.” He said there are several areas of concern currently working against collision repair shops. One of these is that the equity balance of influence of a repair is in flux, whether that involves managing relationships, metrics or costs. “The collision repair facility feels the pressure in how a safe, quality repair is completed,” said Eck. Economics plays a key role in this; however, he said the concern is the point of balance when economics overrule certain repair decisions. Eck said that OEMs can assist in the following areas: ease of repairs, actual quality of repairs, and techni-

training that is taking place is actually being replicated in the shops. “We have to leverage existing technologies and use some technologies that are in other industries to help audit and verify repairs,” he said. He mentioned there are additional factors causing change in the industry, such as MSO growth with the rise of consolidations. In response, GM is working with MSOs to understand their concerns in order to help better meet their needs. “The industry has already changed,” said Eck. “We see an industry that needs to expand and grow and be ready for the challenges that I see coming down the pike from the OEMs’ perspective.” To respond to some of these changes in the industry, GM recently redesigned its website (www.genuine gmparts.com) to better support collision repairers. There is now content for both consumers and professionals. GM is also currently looking at

28 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

the impact on the industry in the following areas: ● OEM certification programs; ● Cost to shop for tools and training; ● Proliferation of collision crash avoidance and telematics; ● OEM repair procedure requirements and influence; ● Change from just selling OEM parts to focus on the customer and a quality and safe repair. “The solutions we may come to find out may not necessarily be what some want to hear,” said Eck. “At least if we acknowledge these points, we can then collaborate together, on ways to minimize the negative impact that they might have on the collision repair business.” With the overwhelming speed of change, Eck said that stakeholders need to work together and collaborate to better understand the issues at hand. This includes repairers, insurers and OEMS. “We can’t do this alone,” said Eck. “We see huge benefits of collaboration and integration.” Eck said GM is planning to put more emphasis on tech repair and support. By understanding the repair proce-

dures up front, it will help drive the correct parts decisions to ensure vehicles are being repaired to OEM standards. In regards to General Motors’ plans for a possible certification program, Eck said the company agrees with certification but wants to ensure there is a focus on the output. He said it will take some time and stressed the importance of having discussions with stakeholders about how to best move forward. “We can’t look at it from just GMs perspective,” said Eck. “We need to look at the rest of the stakeholders involved.” Eck said the requirements to become a certified/authorized repair facility include tools, training, facilities, processes, tracking and OEM specific requirements. Areas that GM will be focusing on include a combination of industry outreach, repair procedures, training and verification. The desired outcome is a quality, safe repair that restores the vehicle back to pre-crash condition. “You and your repair facility want your output to be a product you would put your family in without question or concern,” said Eck. “You want your customers to be satisfied.”

GANLEY WESTSIDE HYUNDAI • Large Inventory of Genuine Hyundai OEM Parts • Competitive Pricing and Discounts • Experienced Staff Ready to Help You • Free Same Day, Next Day and Local Hot Shot Deliveries

Call Us Today for Genuine Hyundai Parts! Parts Direct

GanleyWestsideHyundai.com

440-734-9375

Parts Hours: Mon: 7:30-8; Tue - Fri: 7:30-6; Sat: 9-3

440-686-3426

25600 Lorain Road North Olmsted, OH 44070

Fax

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 29

WIN Accepts Sponsorship from AkzoNobel & Presents ‘Cornerstone Award’ at WIN Conference

The Women’s Industry Network (WIN) 2016 Educational Conference was held May 2-4 in Tampa, FL. This year’s program celebrated the tenth anniversary of WIN’s formation with the theme “Power of the Past-Force of the Future.” AkzoNobel presented WIN with a $12,500 “WIN Technology Initiative Founder’s Sponsorship.” WIN announced, “As a method of ensuring that WIN is able to sustain and grow its mission of engaging women in the Collision Repair Industry, AkzoNobel has provided the initial investment required to enable the organization to achieve one of its key strategic initiatives for 2016: moving the organization to a technology platform that can support all of its current and future needs.” In presenting the sponsorship funds, Jennifer Solcz, marketing manager for AkzoNobel Vehicle Refinishes in North America, noted the significance of WIN by saying, “This resource delivers a method of networking and education at multiple levels which enables sustainable growth for those that actively choose to participate and for those yet to come.” Petra Schroeder, WIN’s new chair, accepted the sponsorship, saying, “We are extremely grateful to AkzoNobel. With this wonderful sponsorship, they have provided WIN with the opportunity to grow and further support diversity and sustainability in our industry through engagement of women.”

In the future, a “WIN Technology Sponsorship” will be established as an opportunity for other organizations and/or individuals to support WIN’s ongoing technology needs. Additionally, Shellie Andrews of Dana’s Collision Center-CSN and Katie Henwood were presented the WIN Cornerstone Award by Denise Caspersen, National Autobody Parts Warehouse, Inc. and WIN’s immediate past chair. “WIN is fortunate to have many diverse talents contributing to the success of this all-volunteer organization. This year’s WIN Cornerstones represent a longevity of altruism that reaches beyond just one task or one moment, but many that impact WIN’s future,” stated Caspersen. “Over the past six years, Katie Henwood has been instrumental in the formulation, execution and success of WIN’s main event: the WIN Education Conference. For the many that know Katie, it’s her quiet, steady approach that brings strength and calm to WIN. Shellie Andrews, who began her service filling an open seat, serves without hesitation on nearly every WIN committee. Shellie takes on tasks that both fit her skill set and stretch her personal strength. WIN is built by many hands making light work, and as WIN continues its growth and engagement, it’s the volunteers’ willingness to lend their time and talent that is the force of WIN’s future.” Visit www.WomensIndustryNetwork .com.

Sherwin-Williams’ 2016 3rd Quarter Training Schedule

Sherwin-Williams Automotive Finishes’ third quarter 2016 training schedule was recently announced, outlining the courses taking place nationwide at training sites from July 25 through September 26. According to the company, from Painter Certification to Color Adjustment and Blending as well as Fleet CFR, there are a variety of topics addressed throughout the series to better equip technicians to handle multiple challenges experienced in the workplace. Participants will learn to perfect their skills through a combination of classroom, digital and hands-on settings at various metropolitan SherwinWilliams Automotive Finishes training centers. “In any career, continuing education is an important factor to make sure employees know the best practices and continue to expand their horizons,” says Rod Habel, Sherwin-Williams automotive finishes di-

rector of training operations. “Advanced training helps professionals stay productive and efficient on-site,” Habel adds. “For instance, our Painter Certification class will instruct students in the proper application and usage of the ULTRA 7000® Refinish System and the AWX Performance Plus™ Waterborne System. The objective is to improve production targets and maintain the highest quality repair.” Habel also noted that there are several opportunities for painters and technicians to attend a Color Adjustment and Blending course that introduces students to practical application techniques and troubleshooting during the painting process. For more information about SherwinWilliams Automotive Finishes training including the full schedule of sessions, visit www.sherwin-automotive .com/refinish/training-support/ or call 1-800-SWULTRA (1-800-798-5872).

30 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

ASA Announces New Advice Blog by Industry Veteran Bill Haas Bill Haas, AAM, owner of Haas Performance Consulting LLC is contributing a monthly article on business management-related issues to the Automotive Service Association’s (ASA) blog found at ASAshop.org. Haas has spent more than 40 years in the automotive service industry. According the the ASA, this depth of expertise gives him a wealth of insider perspective on the business challenges that shop owners deal with on a daily basis. Those day-to-day issues will be the subject of Haas’s unique take on service-related and shop management advice. Titled “Coach’s Corner,” Haas’ column will offer business solutions to ASA members and nonmembers alike. His first installment deals with the need to offer training programs to a shop owner’s working techs to ensure their continued service meets the quality performance standards the owner has established. “Bill Haas is a well-respected industry leader and we are fortunate to have him contributing to the ASA Blog,” said Dan Risley, president and executive director of ASA. “Bill has a proven track record of providing train-

ing and information to help shop owners and managers better manage their business. Our members will benefit from his experience and knowledge.” Currently, Haas provides coaching and consulting to automotive shops. During his career, he also has worked as a technician in a new car dealership and in several independent shops, as well as a shop manager, parts counter professional, shop owner and technical trainer. Since 2002, he has been a member of the Automotive Management Institute (AMi) faculty. Haas also served as vice president of education and training for ASA, where he worked with shop owners and managers, advisory committees, vehicle manufacturers, information providers, tool and equipment companies, insurance companies, parts suppliers, program groups and related industry organizations. To read Bill Haas’ inaugural blog post, visit www.ASAshop.org.

www.autobodynews.com C

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 31

32 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

Please contact these dealers for your Honda or Acura Genuine parts needs. HO N DA IL L I NOI S

K ENTU CKY

MIN NES OTA

M IS SO UR I

Honda Superstore of Lisle

Gary Force Honda

Richfield-Bloomington Honda

Ch ica go/ Sub u rbs

B ow li ng G re en

R i chf i el d

Jo p l in

866-874-6632

800-533-6723 270-781-8230

800-328-2703 612-866-8197

877-244-6632 417-625-0846

M-F 7-5; Sat 8-2 parts@garyforcehonda.com

M-Thu 6:30-9; F 6:30-6; Sat 6:30-5 parts@rbhonda.com

M, W, Thu, F 7:30-6; Tu 7:30-7; Sat 9-1 dvice@roperauto.com

M-F 7-5 hondaparts@auto-plaza.com

Schaumburg Honda Automobiles S chau mb urg

847-884-8898 847-884-6632 M-F 6:30am-Midnight; Sat 8am-5pm k.kelley@rohrman.com

M ICHI G AN

Victory Honda P ly m out h

800-824-4646 734-453-3600

MIS SOU RI

Bommarito Honda H a z e lwoo d

800-731-8270 314-731-8270

M 7:30-8; Tue-F 7:30-6; Sat 8-4 Karl_messer@victoryplymouth.com

M-Sat 7-6 Lrowe@bommarito.net

Basney Honda

Zeigler Honda

Ed Napleton Honda

Mi sh awak a

K al am az oo

800-877-7477 574-255-2179

888-342-1678 269-585-5812

M-F 7:30-6; Sat 8-2

M-Thu 7-8; F 7-6; Sat 8-4 bobsmith@zagteam.com

IND I ANA

Bob Rohrman Honda Lafa yette

M INNE SO TA

800-488-3537 765-448-1000

Brookdale Honda

M 7:30-8; Tue-F 7:30-6; Sat 8-3 Brho.partsmgr@rohrman.com

Bosak Honda

B roo kly n C en t e r

Roper Honda

S t . P e t er s

800-875-4190 636-928-4400 M-Sat 7-6 gethondaparts@napleton.com

Frank Fletcher Honda C o lu m bi a

573-818-3650

OHIO

Jay Honda Be d ford

800-509-9057 440-786-3363 M-F 7:30-6; Sat 8-4 jayhondaparts@gmail.com

Mike Pruitt Honda Ak ro n

330-633-8197 330-633-6060 Tue, W, F 8-6; M, Thu 8-8; Sat 8-4 edally@mphonda.com

Waikem Honda M a ssi l l on

800-899-8900 763-331-6880

M-F 8-5; Sat 8-4 gropp@fletcherauto.com

800-225-0281 330-478-4435

M-Th 7-9; F 7-6; Sat 8-6 parts@lutherbrookdalehonda.com

Frank Leta Honda

M, Thu 7:30-8; Tue, W, F 7:30-5:30; Sat 8-4 jeffbunting@waikem.com

800-542-6725 219-922-3102

Buerkle Honda

888-680-6025 636-336-5003

M 8-5; Tue 8-8 W, Thu, F 8-5; Sat 8-4 davepropeck@bosakmail.com

Honda of Fishers

Hig hla nd S t . P aul

S t . L ou is

W IS CO NSI N

800-592-9514 651-484-0975

M-F 7-6; Sat 7-5 hondaparts@frankleta.com

Russ Darrow Honda

M-Thu 8-9; F 8-6; Sat 8-4:30 hondaparts@buerkle.com

Honda of Tiffany Springs

888-318-1671 414-586-5401

800-806-6404 317-299-3723

Luther Hopkins Honda

800-875-3911 816-452-3221

M-F 7-6; Sat 7-4; Sun 8-4 hondaparts@russdarrow.com

M-F 8-6 honda-west@att.com

800-328-6016 952-908-8585

M-Thu 7-7; F-Sat 7-6 parts@hondaoftiffanysprings.com

Wilde Honda

F ish er s Ho pkin s

K a ns a s C it y

M i lwa u ke e

Wa u ke sh a

800-526-3209 262-542-9300

M-Thu 7-9; F 7-6; Sat 8-4 tim.lewis@hopkinshonda.com

M-F 7-9; Sat 8-4 wildehondaparts@gmail.com

ACU R A OH IO

IL LIN OIS

ILLINOIS

Columbia Acura

Arlington Acura in Palatine

Ci ncinn a ti

P ala t ine

800-654-3553 513-530-0698

800-991-8438 847-991-9005

M-F 8-5:30; Sat 8-12 columbiaparts@mail.com

M-W 7:30-7:30; Thu-F 7:30-5:30; Sat 8-3 aaip.partsmgr@rohrman.com

Ed Martin Acura

Continental Acura of Naperville

In di ana p oli s

C hic a go/ S ub ur bs

888-812-1269 317-706-1933

630-960-2175

IND I ANA

M 8-8; Tue-F 8-6; Sat 8-5 testridge@edmartin.com IL L I NOI S

Acura of Libertyville Lib er tyvi lle

847-680-7333 M-F 7:30-6; Sat 7:30-4 kmilz@acuralibertyville.com

M-F 7-5:30; Sat 8-4 bobw@conacura.com

McGrath Acura of Morton Grove Mo rt on G rove

847-470-2309 M-F 7-9; Sat 8-6 acparts@mcgrathag.com

W IS CO NSI N

Mullerâ&#x20AC;&#x2122;s Woodfield Acura H o f f ma n E st a t e s

866-475-9280 M 7-5; Tue-F 7-6 Sat 8-3 mcavallini@woodfieldacura.com

Acura of Brookfield Br oo k fi e l d

800-383-3936 262-439-6029 M-Thu 7:30-6; F 7:30-5; Sat 8-4:30 patrick.murphy@zimbrick.com

MIN NES OTA

Buerkle Acura M in ne a po l is

800-717-3109 763-488-1122 M, F 7-5:30; Tu-Thu 7-7; Sat 7:30-4 acuraparts@buerkle.com

Luther Bloomington Acura B l oo mi n gt o n

800-451-5078 952-887-0600 M 6:30-6; Tue-F 6:30-9; Sat 8-4 parts@bloomingtonacura.com

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 33

Day Job/Night Job Body Shop Office Manager Racing Toward Her Dreams with Ed Attanasio

You might say she’s on a fast track, because Cynthia Torp, 26, surely doesn’t travel half-speed with anything she does. Whether it’s running the front office at Classic Autobody in Berkeley,

Cynthia Torp is the office manager at Classic Autobody in Berkeley, CA, her father’s shop, but when she is not coordinating ROIs and DRPs, she is going for the gold in the world of car racing

CA, or reef diving, riding dirt bikes, river fishing in Montana or hiking, she goes all-in 24/7. And now, this includes her latest passion: car racing!

With one eye on eventually taking over the family business at Classic Autobody, Torp enjoys learning the business from her father and her uncle. “They are great teachers, and the more I know, the more I like about this industry,” Torp said. “I came on here full-time about three years ago. This was never something I thought I would be doing, but I work with incredible people, so why not? I had some other things on my radar, but now I can see this as a career. I like fixing people’s cars and seeing their smiles when we show them their repaired vehicles.” Torp has helped the shop in many ways, such as designing their new website and getting them involved in social media. The 28-year-old shop run by her father Steve and uncle Chris has succeeded in a tough market, and today, they’re one of the oldest shops in the area. “My dad and my uncle have always stressed quality and customer service here, and that’s why we’ve

34 JULY 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.

done well,” Torp said. “I was a baby when they opened Classic, so I guess I’m a collision lifer, too. Now, we get

Cynthia will possibly be taking over the shop someday, but for now, she is enjoying life, and racing is a part of it

second-generation customers in here, and that’s definitely satisfying.” One of the other items on Torp’s radar is a possible future as a profes-

sional race car driver. Move over Danica Patrick, because Cynthia is in it to win it and thrilled about racing. “There is literally nothing like it,” she said. “Wow, it’s hard to describe the feeling I get out there on the track, but I know that this is something I really want to do as much as I can.” Racing is in her family’s blood, right alongside waterborne paint and clearcoat, Torp said. “My father and my uncle have been racing for a long time, and I started bugging them about racing a while back. But we didn’t have a vehicle to race in, so that was a problem. But by working with Spencer Trenery at Fantasy Junction, I was able to get a car to drive.” Fantasy Junction is a company in Emeryville, CA that collects and sells vintage vehicles, and after meeting Cynthia, they decided to loan her a Mazda Miata to drive at Thunderhill Raceway Park in Willows, CA. “The shop sponsored me and the people at

Fantasy Junction helped me to get a car and I was ready to roll,” she said. “It was exciting because I anticipated this for a long time and it was finally here.” Before she could race, Torp had to pass a safety class at Thunderhill. Upon passing with flying colors, she was ready to start her engine and hit the track. “It is definitely a rush, and I was a little scared, but psyched, too. I know

Cynthia Torp realizes that she is a real rookie when it comes to racing, but even Danica Patrick had to start somewhere, right?

that I am a novice and it was all a little overwhelming. But pretty quickly, I became more comfortable in the car. I love everything about it. You’re sitting in that car at the start or chilling in the pit and your heart is racing. You have to control your breathing and then you

line up. When the start begins, I get into this Zen-like zone and then I’m ready to go. It’s a great feeling and a wonderful sensation!” In just her fourth race, Torp finally gained enough confidence to run against a field of other more experienced racers. “There were roughly 25 racers, but a few never got off the starting line, so I ended up finishing 10th out of a field of 22. Thunderhill is a three-mile track and I was going about 95 mph on the straightaways, so I realized I needed to learn the track fast.” When Torp isn’t driving on a track, she is a safe driver and proud of it. “My father taught me a long time ago that racing is for the track only. I don’t speed in my daily driving and will never be a reckless driver ever— on or off the track. I have seen a lot of cars that are all messed up due to unsafe driving and I don’t ever want to be there, that’s for sure.” What is around the next turn as Torp pursues a career as a professional racer? “Being in my 20’s means that I can take my time and learn the right way. I eventually want to race at Sears Point (Sonoma Raceway), so I will have to practice on that track to get better.”

10 Students Awarded Grants to Attend SkillsUSA’s Conference Ten state gold medalists will be attending the SkillsUSA National Leadership and Skills Conference in Louisville June 20-24 with support from contributions from the Troy Holm Memorial Fund. Created by PartsTrader in memory of collision industry member Troy Holm, the fund assists students with travel grants and other forms of assistance needed to attend the national event. The donation ensures the “best of the best” from around the country are represented at the national contest. The Fund is facilitated by the Collision Repair Education Foundation (CREF). The 10 student recipients and their schools include: Alex Akers - Oxford Hills Technical School (Norway, ME) Lyric Arms - Walla Walla Community College (Walla Walla, WA) Zane Butler - Greenville Tech College (Greenville, SC) Daniel Graber II - Lincoln College of Technology (Indianapolis, IN) Emit Hoyt - Oxford Hills Technical School (Norway, ME) Tyrell Kirk - Walla Walla Community College (Walla Walla, WA) Eden Gabrielle Mays Greenville Tech College (Greenville, SC) Kenneth Ocasio - Central Montco

Tech High School (Plymouth Meeting, PA) Dariel Saldana - Automotive Training Center (Warminster, PA) Shelby Woods - Southwestern Community College (Creston, IA) “PartsTrader congratulates these deserving state winners and wishes them continued success as they compete at the national SkillsUSA competition. Troy Holm was a passionate advocate for the collision industry, and there is no better way to honor him,” said Dustin Whitehead, national sales manager for PartsTrader. “The team at PartsTrader is proud to assist these state champions as they continue their pursuit of excellence in the collision repair industry.” Collision industry members are encouraged to contribute to the Troy Holm Memorial Fund to ensure that as many deserving collision and refinishing students can participate in next year’s national championships. Members interested in supporting this fund are asked to contact CREF director of development Brandon Eckenrode at (847) 463-5244.

www.autobodynews.com CHECK IT OUT!

Original BMW Parts

ORIGINAL BMW PARTS bmwusa.com

Original BMW Parts and Accessories Fast, Friendly Service and Delivery We Know BMWs Erhard BMW of Bloomfield Hills

Erhard BMW of Farmington Hills

4065 W. Maple Rd., Bloomfield Hills, MI 48301 www.erhardbmw.com

38700 Grand River Ave., Farmington Hills, MI 48335 www.erhardbmwoffarmingtonhills.com

Phone: Fax:

(800) 626-9787 (248) 642-0443

(888) 834-8635 (248) 699-3003 www.autobodynews.com | JULY 2016 AUTOBODY NEWS 35

Continued from Cover

MS and IN Lawsuits

“…by conspiring to suppress the amounts they are obligated to pay for automobile repairs,” according to court documents.

Mississippi Case Capitol Body Shop, et al v. State Farm, et al. was the first of the 24 lawsuits filed. The court dismissed the claims in the Mississippi case on February 27, 2015 and the plaintiffs filed a second amended complaint. They alleged violations of the Sherman Antitrust Act, state law claims for tortious interference with business relations, quantum meruit, and a violation of Mississippi Code. In 2015, Magistrate Judge Thomas Smith was asked by Judge Presnell to prepare a Report and Recommendation on whether or not the lawsuits’ should be allowed to move forward. Except for four tortious interference claims, Judge Smith recommended that the state law claims be dismissed with prejudice in the Mississippi lawsuit. However, on May 27, Judge Presnell dismissed all of the state claims in the case. In regards to tortious interference, “…the plaintiffs contend that the defendants tortiously interfered with their prospective business relationships by ‘steering’ insureds who intended to have repairs performed by one of the plaintiffs of a competing shop,” court documents stated. According to Mississippi law, there are four elements to prove this claim:

1) The acts were intentional and willful; 2) The acts were calculated to cause damage to the plaintiffs in their lawful business; 3) The acts were done with the unlawful purpose of causing damage and loss, without right or justifiable cause on the part of the defendant (which constitutes malice); 4) Actual damage and loss resulted.

According to court documents, Judge Smith determined that most were too vague and conclusory to state a claim. However, he did note in his Report and Recommendation four instances when the plaintiffs alleged that a defendant steered its insured away from a plaintiff’s shop and recommended

that the claims not be dismissed. Judge Presnell disregarded this recommendation and dismissed the claim of tortious interference with prejudice. “To state a claim for tortious interference, the plaintiffs must allege that the acts were done with malice— that is, with the unlawful purpose of causing damage and loss,” said Presnell in court documents. “There are no allegations that these plaintiffs had complained about the payment ceilings set by the defendants, so punishment could not have been the driving force behind the steering.” The plantiffs based their quantum meruit claim “… on the defendants’ refusal to pay what the plaintiffs believed to be the true market price for the repairs they performed,” according to court documents. Quantum Meruit refers to the reasonable amount to be paid for services when a contract doesn’t exist. In order to establish grounds for quantum meruit under Mississippi law, a prerequisite is a “claimant’s reasonable expectation of compensation.” In his Report and Recommendation, Judge Smith concluded that the plaintiffs knew the cost the defendant was willing to pay when performing a repair, so there couldn’t have been an expectation to be paid more. In regards to the statutory claim, the plaintiffs argued that according to Mississippi Code, insurers are prohibited from having vehicles be repaired at certain shops and are required to pay for a proper and fair repair of the insured’s vehicle. Planitiffs alleged that the defendants violated these obligations. “Judge Smith found that the statutory provision did not impose a duty upon insurers to pay the price of a ‘proper and fair repair’ and, in addition, it did not provide for a private right of action,” court documents stated. The Sherman Antitrust Acts were resolved by a different order.

Indiana Case Following the dismissal of claims in the Indiana case on March 30, 2015, the plaintiffs filed a second amended complaint. They asserted two claims for alleged violations of the Sherman Act, state law claims for tortious interference with a business relationship, and quantum meruit. The Sherman Antitrust Act claims were previously dismissed, with prejudice. In Judge Smith’s Report and Recommendation, he stated that all of the

36 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

plaintiff’s state law claims be dismissed with prejudice. After consideration, Judge Presnell concurred with his recommendation. Regarding tortious interference, the plaintiffs alleged that the defendants, “have repeatedly steered and attempted to steer customers who have either initiated or verbalized the intent to initiate a business relationship/ transaction with a plaintiff from the plaintiffs’ respective businesses through their repeated campaign of misrepresentation of facts, failure to verify facts damaging or tending to cause damage to the plantiffs’ business reputations before conveying the same to members of the public…implications of poor quality work, poor quality efficiency, poor business ethics and practices, and unreliability.” Under Indiana law, to prove a claim of tortious interference with a business relationship, there needs to be the following:

1) The existence of a valid business relationship; 2) of which the defendant knew; 3) in which the defendant intentionally and illegally interfered; 4) without justification; and

5) damage to the plaintiff resulting from the defendant’s interference.

In his Report and Recommendation, Judge Smith concluded that the plaintiffs did not state a claim for tortious interference. According to court documents, he found that none of the four instances of steering cited by the plaintiffs were alleged to be successful. “As such, none of the plaintiffs had suffered a cognizable injury resulting from the interference, as required to state a claim under Indiana law.” The plaintiffs’ also alleged quantum meruit. According to court documents, “They complain that they have “performed valuable services and expended material resources with the reasonable expectation of payment/ compensation’ but that the defendants have refused to provide ‘full payment’ for those services and materials.” The three elements for a claim of quantum meruit, under Indiana law are: 1) a benefit conferred upon another at the express or implied request of this other party; 2) allowing the other party to retain See MS and IN Lawsuits, Page 43

d Family owne d and operate since 1958

Local: 608.884.4436 Fax: 608.884.8215 m morrisons@morrisonsauto.com

Mention this ad and receive

10% Off

77 7 800.866.2277

your next purchase!

www.morrisonsauto.com om 6307 W. State Rd. 59 • Edgerton, WI 53534

Morrison’s Auto Parts is serious about delivering

Quality Auto Parts and Quality Service and our 11 Salespeople to help you get it!

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 37

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.

Erick Bickett, Progressive’s Concierge Program, Crash Prevention, Allstate Compliance with John Yoswick

20 years ago in the collision repair industry (July 1996) Erick Bickett sees two possible scenarios for the future of electronic claims handling. Bickett, a California shop owner whose name has become synonymous with the effort to standardize how shops and insurers link their computer systems, explained the two scenarios to those attending the Collision Industry Conference (CIC) in Phoenix in July. In the first scenario, he said, insurers increasingly dictate which computerized estimating system that shops participating in its direct repair program (DRP) must use. To participate in multiple DRPs, shops will likely have to have two or even all three of the major estimating systems. Once the insurer chooses a system it will be difficult for that insurer to switch because that would also require the whole group of shops to switch. This lack of choice stifles improvements in

the computerized systems, and prices escalate. In the second scenario, the insurer uses the “network” of its choice to electronically send a standardized “assignment” to the shop. The shop uses its choice of estimating system, and uses

In 1996, California shop owner Erick Bickett was a key champion for the industry’s development and use of electronic standards for the communications among shops, insurers and vendors

the “network” of its choice to electronically send a standardized estimate to the insurer. Either side can switch esti-

38 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

mating or network vendors based on price and performance without interfering with their communication. Unfortunately, Bickett said, the industry seems headed more toward the first scenario than the second, but he hopes a demonstration of the second system now under way may help create the “market forces” needed to change the industry’s direction. Bickett estimates the cost of running all three estimating systems at about $18,600 a year for hardware, software and training; at a 7 percent pre-tax net profit, Bickett said, a shop would need $265,000 in sales just to cover these estimating system costs. That, he said, is going to drive even more shops out of the industry. “I think technology should be an enabler,” Bickett said. “It ought to enable people to do business better and more efficiently and to take better care of their customer. It shouldn’t be a disabler. It shouldn’t cause the loss of good

collision repairers who know how to fix cars and take care of customers.” Bickett said that under the second scenario, a shop’s annual estimating system costs would be about $6,500, and that the system would save insurers money as well. Most importantly, he said, it would give both sides more choice as to the systems and communication networks they use. State Farm Insurance and two collision repair shops are currently participating in a demonstration of this system, and Bickett said a report on the project should be completed later this year. – As reported in The Golden Eagle. Bickett has continued to champion the use of electronic communication standards developed by CIECA, the Collision Industry Electronic Commerce Association, which was established based on the work and discussions at CIC. State Farm remains one of the few insurers to allow its DRP network to use

the estimating system of their choice; a 2016 survey found that more than onethird of shops have multiple estimating systems.

15 years ago in the collision repair industry (July 2001) By eliminating vehicle owners’ contact with shops, Progressive’s “Concierge” program may reduce the hassle for car owners, but it also eliminates any longterm marketing benefit for the repairers. Shops that pare of “Concierge” now truly have Progressive as their customer, not the vehicle owner. If Progressive is satisfied with the quality and the cost, the shops will continue to receive referrals. The vast majority of vehicle owners who opt for the “Concierge” program will not know which repair facility fixed their vehicle. Will they care? Progressive obviously believes not. The insurer holds that the higher level of hassle-free service far outweighs vehicle owners’ concerns regarding who actually performs the repairs. If vehicle owners really want to know who repaired their cars, Progressive will tell them, but Progressive prefers to handle the entire process, to serve as the facilitator. In talking with shops participating

in the “Concierge” test program, most have state little concern regarding the loss of customer contact and are highly satisfied with the program. Keeping their repair facilities filled is their most important concern. But this attitude is strikingly short-sighted. Ever shops with numerous direct repair program relationships and outstanding insurance company relationships keep a firm eye on individual vehicle owner satisfaction and communication for the longterm benefit for their businesses. Those who love Progressive generally cite the local claims manager as the reason. If this local insurance representative is reassigned, with the repairer be able to maintain their relationship with Progressive? Will they want to? If not, they could lose the “Concierge” referrals with no opportunity to secure a repeat customers from their prior work. – from an editorial by Russell Thrall, at that time the editor of Auto Body Repair News (ABRN).

10 years ago in the collision repair industry (July 2006) “During the 1980s and 1990s, association and seminar leaders frequently pointed to changes in vehicle technol-

ogy that were putting a dent in the collision repair market. Daytime running lights, the third brake light and antilock braking systems, they’d say, were among the key factors pulling accident frequency down. The industry then got a sort of reprieve for a number of years in terms of crash-prevention efforts. Automakers turned their focus largely to vehicle safety and occupant protection, including the explosive growth of airbag systems. The Internet boom also had the OEMs and eletronics firms focused on passenger information and entertainment systems. The bad news for the industry is that that is about to change – and change rather dramatically. Federal auto safety regulators – seeking to reverse a rise in highway deaths – are shifting their focus from mandates that help occupants survive crashes to technology that will help drivers avoid accidents altogether. Dr. Jeffrey Runge, administrator of the National Highway Traffic Safety Administration, said in a speech before the Society of Automotive Engineers that bolstering vehicle “crashworthiness” represents the past, and that “crash avoidance” is the future.

“I’d like to begin to focus on the event before the crash,” Runge said. “We may have plateaued out in terms of crashworthiness.” – as reported in Autobody News, July 2016.

5 years ago in the collision repair industry (July 2011) Allstate has notified its direct repair shops in recent weeks that participation in the program now requires three specific mandates designed to improve cycle time and give Allstate customers “priority service.” “Good Hands” shops now must upload an estimate to Allstate within 24 hours of receipt of the vehicle, provide the customer with a guaranteed delivery date and assume all costs after that date if not met, and extend hours of operation to meet customers’ reasonable requests for drop-off or pick-up of vehicles. “Compliance with these items remains a core requirement for your participation in Allstate’s direct repair program,” Tracy Tramm, Allstate claim service manager, said in a video to Allstate DRP shops. Allstate Corporation also announced that Joseph Lacher, president of the See Eric Brickett, Page 43

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 39

The Throw Away Society by Mike Shesterkin

look at the beginning of the system: the production of automobiles. To build cars, one must have an assembly plant; building one takes a tremendous capital investment. Once committed, that sunk cost must be put to work building cars. OEMs must produce cars at a particular rate; otherwise, they run the risk of losing money fast. This is what begets the practice of rebates, wherein an OEM will heavily incentivize consumers to buy certain

be processed by nature and consuming energy at rates that are destroying the atmosphere are things we cannot continue doing forever. We need a new way of viewing the world; we need to move beyond what’s good for consumerism and find an answer that’s “restorative” – to society and to the environment. The answer is already here; it stands in marked contrast to the throwaway culture of today. It lies in the notion that

throwing them away. We have much work to do on the system of the automobile if we are to make progress and establish a sustainable existence. The collision repair industry can play a vital role in bringing about this transformation, but it will take leadership and focus. The industry needs an organization that will work across industry stakeholders to come up with the solutions that will foster its sustainable growth. This organization will lead everyone to seeing how it is repairing cars creates meaningful work for people and reduces environmental degradation. It’s that simple. Mike Shesterkin is the general manager of What’s Next, LLC, a practice that helps businesses achieve sustainability through the creation of triple bottom line value. Using proven models of continual improvement, What’s Next helps management teams develop strategies and implement action plans that build social capital, reduce negative environmental impact, and grow profitability. With more than 30 years of industry experience, Shesterkin has led

A Time magazine article published in 1955 extoled the idea of “throwaway living.” Back then, being able to simply throw stuff away, rather than cleaning it, was considered a welcomed aspect of modern, convenient living. Today, more than 50 years later, throwaway living has become second-nature to us; we rarely think about it. Our throwaway culture has its roots in the 1920s and 1930s, when mass production started to take off. “Over the last 10 to 15 years, total losses, as a Beginning at that time, concepts such as “planned obsolescence” and “perpercent of claims, has gone from around 9% ceived obsolescence” were woven to over 14%,” — Mike Shesterkin into the design and marketing of products. The idea was to create continued and on-going demand for stuff by de- vehicles; it’s those vehicles that are repairing things provides meaningful signing things to break down and fail, not moving that receive the highest in- work for people and reduces environor go out of style. These concepts centives. This translates into “pres- mental degradation. Many are calling form the basis of consumerism, the sure” to move new vehicles through this the “circular economy.” It’s being philosophy or worldview by which the system, from the assembly plant practiced in certain manufacturing secmuch of the world now sees things. into consumers’ hands. This pressure tors today. Caterpillar’s repair and reToday, we hardly give a thought also means there’s no incentive to de- manufacturing businesses are a good to getting rid of a cellular phone or TV sign cars to be repaired, because mak- example of it. when the next model is introduced. ing them easy to repair would mean What the collision repair industry When something we own breaks fewer consumers in the market for needs is a voice that will champion the See Throw Away Society, Page 56 down, or is no longer fashionable, we new cars. Why not simply throw the value of repairing vehicles, versus throw it away and buy the new model. vehicle away when it’s reached a cerWe rarely consider fixing something tain age, or has been in an accident? that’s broken, or resisting the urge to Of course, insurance providers stay in style and “keep-up with the have a huge stake in total losses too. Jones’s.” For them though, it’s just a matter of We have become so accustomed running formulas, assessing the salFor a fit that will impress. to throwing away stuff that vage market and figuring out Free Daily Delivery to the Chicago Metro Area and Northeast Indiana the average American now what makes the most ecoWe Will Price Match Aftermarket & Reconditioned Parts generates roughly 4.5 pounds nomic sense for their bottom Very Competitive Pricing of garbage each day, which is line. This shouldn’t come as up more than 66% from 1960. a surprise; after all, it’s just While there are a number of business. Those who bear the causal factors that have led to burden of this system are the this point, the fact remains consumers, many of whom Mike Shesterkin that the throwaway lifestyle is are forced to shell-out thouthe backdrop to the way we live. We sands when their cars are written-off don’t give it much thought. as total losses. Collision repair shops Consider the rising percentage of also suffer under this model, and so total economic losses – total losses for does the environment. Order Parts On Line at: www.nissan94.com short. Over the last 10 to 15 years, total Through mass production, autolosses, as a percent of claims, has gone mated assembly and increasingly lower from around 9% to over 14%. Analysts labor costs, we’ve managed to create Purchasing Nissan OEM repair parts has never been easier. Nissan is now indicate much of this is due to the age quite a world for ourselves. Some a member of CollisionLink, the most advanced parts ordering network. of the fleet; however, this doesn’t exwould argue this is a good thing; howCheck with your local dealer for details. plain the whole issue. Factors such as ever, when we consider what we actuNissan of claim severity and repair complexity ally pay for it – in terms of lost jobs and www.94nissan.com also play a role. Total losses are a comenvironmental degradation – we have South Holland Parts Hours: M – F 7:30 am – 5 pm plex industry problem; a number of to ask ourselves if it’s actually worth it. 16269 Van Dam Rd. Sat 8 am – 4 pm things have led to their rise, but we No one would argue that consumerism South Holland, IL 60473 E-mail: eric@94nissan.com cannot overlook the influence our has not brought tremendous good to Phone: (708) 225-2245 throwaway culture – our way of lookmany people – it has. What’s becomFax: (708) 225-2242 GENUINE SERVICE & PARTS ing at the world – has had on this issue. ing clear, though, is continually elimiTo understand this, we need to nating jobs, creating waste that cannot

40 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 41

Maaco Says it Aims to Have Shops in Every State as Aggressive Growth Continues by Victoria Antonelli

On May 26, Autobody News reached out to Rob Cambruzzi, Vice President of Maaco Franchise Sales & Development at Driven Brands, Inc., to learn more about Maaco’s recent growth, future plans, and innovative customer service.

What are the driving forces beQ: hind Maaco’s rapid expansion? Driven Brands, which is the A: parent company of Maaco, was acquired by Roark Capital last April;

and if you don’t know Roark, they’re the crème de la crème of the private equity world for franchising. They have acquired more than 50 multi-location brands, which collectively generate north of $20 billion in system wide sales. With that amount of financial support and expertise, it has enabled us to leverage everything from better relationships to best practices, and everything in between. I think that joining the Roark Capital portfolio has introduced a lot of new people who may not have looked at the auto body

world as a potential investment. That’s the most significant change I’ve seen with the company since I started four and a half years ago.

of our business. We are continuously strengthening the third leg in our stool, through our growing insurance partnerships.

cosmetic collision brings in about 58% of business to shops. The historic Maaco model remains intact. We still work with single guys who are looking to get into the industry and own one shop. However, the multi-shop game has gotten to be very strong over the last two or three years, with the percentage of multi-shop operators in the chain raising from single digits in 2013, to 40% of the chain today. We’ve done a great job at taking advantage of areas in the market that are often passed over, like consumer sales and fleet maintenance. While we have had success leveraging our expertise in these areas, there always remains room for growth in other aspects

tomer’s deductible is; whether it’s $500-$1000. We’re providing them an opportunity to pay for their repair outof-pocket without having to make an insurance claim, worry about the increase in their rates and so forth. So, as of now, we do see more out-of-pocket payments. Maaco prides itself on being easy, affordable and reliable, regardless of whether you need out-of-pocket or insurance work completed. But we’re also proud to have developed great relationships in the insurance industry and those partnerships are growing.

Has the original Maaco model Do you find that Maaco cusQ: changed? If so, in what ways? Q: tomers usually go through insurance or pay out of pocket? At its core, Maaco is based on a A: term we use called “cosme-li- A: isOnethatofweourcanvaluetypically propositions sion” or cosmetic collision, which conget the sists of hits under $2,500. On average, job done for close to what the cus-

Out of the “three legs of the fleet, retail, and insurQ: stool”-

ance, which is growing the fastest?

The fleet piece is definitely A: growing the fastest. By the end of 2016, $100M in fleet work will be

provided to franchisees through our corporate partnerships with national accounts. That’s more than a 30% growth rate; and it has been occurring for the last three years in a row. There really isn’t any organized competitor that can offer our clients the same easy, affordable, reliable service that we are known for.

What is the customer service Q: like at Maaco? How do you stand out? We really prioritize marketA: ing; we spend close to $25M annually. Once we get the customer in the door, it’s very important to us that they have a great experience. What many may not realize is how important retail is to our business success. Since a lot of what we’re doing is selling retail, it needs to come across as an almost Apple-like experience.

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.

• Four Paint Arrest Filters (140+ square feet) and two Activated • Charcoal Filters ensure the air going back into the environment is clean and EPA compliant.

Different Diff fferent ffe ren nt Sizes Sizes Sizes Available—Including: S Availab A Availabl ble le—IIncludin ncllud diing: g:

• 13’x11’—Parts, pieces and motorcycles. • 30’x14’—Any full size vehicle. • 35’x16’x12’5” tall—As above but also Sprinter vans, small boats, and smaller RVs.

• 60’x16’x12’5” tall—Full size RVs, boats, large trucks, etc. Lighting: LLighting: Ligh ghtiing g:

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

42 JULY 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

866.910.0899 www.carcoonworkstation.com

Transparency is important in the industry, especially for Maaco, so we like to keep the customer up-to-date throughout the entire repair process. In order to make that possible, we launched a new management system called OneMaaco, which integrates status updates for customers via text or email, easy-to-read estimates and automated customer reminders. The Maaco app was specifically created to complement the way Maaco franchisees run their shops by allowing customers to receive high-level estimates, find locations, and track the progress of their car. As we continue to evolve, our sales process does, as well. In the near future, a customer could walk into one of our centers and see a 60-inch TV that the salesperson will use to walk through our process, whether it’s for collision or paint services. The videos and other visual components of these digital boards provide user-friend details on our process and let customers see more on repairs that they are interested.

How do you keep your technicians up-to-date on the latest Q: technology?

We have an online program A: called Maaco University that is available to all franchisees; we update

Continued from Page 36

Continued from Page 39

the benefit without restitution would be unjust; and 3) the plaintiff expected payment.

company’s residential and auto insurance business, was leaving the company effective immediately; no reason was given for his departure, just two years after he joined Allstate. The company has seen its auto insurance market share erode in 2009 and 2010 as GEICO and Progressive have gained ground on Allstate. – As reported in CRASH Network (www.CrashNetwork.com), July 25, 2011. Allstate’s market share has continued to decline, with GEICO passing Allstate in 2013 to become the secondlargest auto insurer in the country. Progressive has gained ground on Allstate but still trails slightly in terms of market share. A month after Lacher left Allstate, the Wall Street Journal reported that his departure may have been prompted by a decline in the insurer’s stock value, but also that he reportedly used less-than-flattering expletives in describing Allstate CEO Tom Wilson while having drinks with some top Allstate agents after a meeting in the weeks before his departure. Lacher last fall became CEO of Kemper Corp.

MS and IN Lawsuits

those materials constantly to include the latest in Maaco processes, OSHA regulations, etc. We’re also planning a tech expo in October in Charlotte, N.C. Vendors are joining us at the Charlotte Motor Speedway to display the latest technology.

“As was the case within the Amended Complaint, Judge Smith found that the plaintiffs admit that they knew, ahead of time, how much the defendants intended to pay for each repair and therefore could not have had a reasonable expectation of receiving more than that amount,” court documents stated. “Similarly, Judge Smith again found that the plaintiffs had failed to allege that they had conferred benefits on the defendants, because the services and materials were provided to the defendants’ insureds rather than to the defendants themselves.”

Are there Maaco shops in every Q: state? Maaco is in all but two states. A: One of our value propositions, especially from the fleet side, is, if

you have a company in every city and every state, we can help to make sure the paints match for every fleet.

Q: areHowtheremanytotal?Maaco franchises We currently have 480 Maaco A: locations. This year, our goal is to hit the 500+ mark. We anticipate

Autobody News will continue to report on developments with the multidistrict lawsuit(s).

growing that number to north of 500 within the next two months.

For more information, visit www.maaco franchise.com.

www.autobodynews.com CHECK IT OUT!

Eric Brickett

Original BMW Parts

bmwusa.com

OUR PARTS. YOUR PEACE OF MIND. Original BMW Parts & Accesories

Sharpe BMW can help you restore their Ultimate Driving Machine to Pre-Loss Condition. Knowledgeable and Experienced BMW Parts Professionals Same Day Delivery on All In-Stock Parts E-mail or Fax Your Order in for Faster Service and Delivery

Sharpe BMW 1010 28th Street SE Grand Rapids, MI 49508 Parts Direct:

888.708.1359

Experienced and Dedicated MINI Parts staff Large Inventory of Original MINI Parts Prompt Daily Delivery Competitive Wholesale Discounts

MINI OF GRAND RAPIDS 1010 28th Street SE Grand Rapids, MI 49508

888.708.1359 Parts Direct 616.452.1101 Fax Hours: M-F 7-6 / S 8-1

The Best Parts to Get Them Back to the Jungle Free Reliable Delivery Experienced Professional Wholesale Parts Team Shipping Always Available

Land Rover/Jaguar Grand Rapids

1010 28th Street SE Grand Rapids, MI 49508 Parts Direct:

888.708.1359 8

616.452.1101 Fax 61

Original MINI Parts

Hours: Mon-Fri: 7am - 6pm Sat: 8am - 1pm

616.452.1101 24-Hour Fax

Hours: Mon-Fri: 7am - 6pm Sat: 8am - 1pm

www.thesharpcollection.com www thesh www.autobodynews.com | JULY 2016 AUTOBODY NEWS 43

Lean Operations

Lean Problem Solving

with David Luehr

For just a moment I would like you to imagine a world where finding problems is considered a good thing. I know this may sound strange, but it is exactly the behavior that is encouraged by companies that have adopted lean thinking. The problem with most of us is that we have been conditioned over the years to believe that problems found in our production systems are a bad thing, therefore we don’t want to deal with them so we will do whatever we can to quickly sweep problems under the rug. Let me be clear here. The production problems themselves are inherently bad, it is the discovery of the problems that is a good thing. After all you can’t fix it unless you know it’s broke, right? The “problem solving culture” is at the very core of great companies such as Toyota where a great deal of time and effort is spent to instill and reward the behaviors of exposing and solving problems every moment of every day. One of the many methods Toyota uses as a problem solving tool is what they call the Andon. Any moment when a critical problem is found on the assembly line at Toyota, any employee can pull what they call the “Andon Cord” and the entire assembly line will screech to a halt. A team of people will immediately scramble to the location of the discovered problem like they had just discovered a vein of gold or diamonds and begin the work of problem solving. It is amazing how much effort they put into problem solving to ensure that beginning from that crucial moment of discovery, Toyota will be a leaner and more enjoyable place to work. If only all of us in the collision repair industry could have this positive attitude towards dealing with problems. Now I know many of my readers may be thinking right about now, how does all this apply to a collision repair business? While you probably won’t be seeing many Andon Cords in body shops, there are actually a lot of things you can learn from the assembly line model as it relates to problem solving. The assembly line exposes problems and forces discipline. How do

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

you think it would affect everyone’s behaviors and habits if you were running a shop that lined the cars up bumper to bumper and you were not allowed to work on the next car in line until the car you are working on is complete? Do you think the estimate would need to be completely accurate

and do you think all the correct parts would need to be on hand? You’re darn right! At most shops in this country you would have a mutiny on your hands if you tried this approach despite being the most efficient way to process a repair job! But if you could somehow manage to keep your team from quitting you would see that each problem is exposed so glaringly obvious it would stare you in the face every time the assembly line came to a halt. You would need to identify each problem quickly and then put measures in place so it would never happen again. In this environment, you would very quickly adopt a problem solving culture, because if you didn’t, you would quickly go out of business! So what do we do instead? We load up the shop with more work than we can efficiently process in order to “mask” the problems and inefficiencies. Technicians feel they need 4, 5, or more vehicles and stalls each in order to survive. As one repair order encounters a problem, they simply move on to the next vehicle and work on it until the problem from the first job is corrected and so on. The problems, usually called “supplements” are seen as a normal part of the business, so little or no attempt is made to permanently solve the problem. I believe Einstein called this “insanity?” The typical American shop turning around $200,000 a month will have a WIP Count (work in process) of be-

44 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

tween 40 and 45 repair jobs on the property on average in order to meet its sales goal. This is highly inefficient and causes cycle time to hover at or above 10 days and drives costs and chaos to be much higher than needed. The efficient lean shop that has been on a journey of problem solving for a while can produce the same $200,000 while maintaining a WIP Count of only 20 cars or less and produce the repair jobs at a lower cost with a cycle time of only 5-6 days! The best of the best shops put problem solving at the top of their priority list. You too can begin to expose problems if you put your mind to it. Here are a few tips to get you started.

● Hold weekly or month “Continuous Improvement” meeting to discuss problems and solutions with the entire staff. ● Hold quick problem solving team meetings whenever an opportunity

arises. (Like the Andon) ● Keep a journal in the assembly department to track problems as they occur. Use this information to make continuous improvements. ● Create safety with the team. Praise people for helping to expose problems. Discourage people from covering up problems. Remember, it’s okay to make mistakes, just don’t keep making the same mistakes over and over! ● Training and auditing. Quite often additional training will help in problem areas of the business. Once people are trained, occasional audits are a good idea to make sure processes are being followed. ● This may not work for every shop configuration, but I like to set up my shops with the vehicle damage facing the center aisle whenever possible in order to visually catch problems during production. As opposed to being hidden against the technicians wall and massive tool box.

THE RIGHT PARTS For Your Collision Job Visit these Genuine Hyundai Parts Dealers

Indiana

INDY HYUNDAI

Indianapolis 7101 E Washington St.

800-592-5170 317-536-1552 Fax

Ohio

CLASSIC HYUNDAI Mentor 8460 Tyler Blvd.

440-266-6750 440-266-6763 Fax

Mon 8am - 8pm; Tue-Fri 8am - 6pm Sat 8am - 1pm inss.partsmgr@rohrman.com www.indyhyundai.com

Mon-Fri 7am - 6pm; Sat 7am - 3pm gregj@driveclassic.com www.driveclassichyundai.com

LUTHER BLOOMINGTON HYUNDAI

Massillon 3748 Lincoln Way East

Minnesota

Bloomington 4801 American Blvd. West

877-801-0641 952-377-2081 Fax

Mon-Thu 7am - 7pm Fri 7am - 6pm; Sat 7am - 4pm parts@bloomingtonhyundai.com www.bloomingtonhyundai.com

WAIKEM HYUNDAI

800-225-0281

330-478-2800 x 1143 330-478-9957 Fax

Mon, Thu 7:30am - 8pm Tue, Wed, Fri 7:30am - 5:30pm Sat 8am - 4pm webbmcnutt@waikem.com www.waikemhyundai.com

Your #1 Source

for Collision Wholesale Parts in Ohio

CLASSIC CHEVROLET

ยง Comprehensive Inventory of High Quality Genuine OEM Parts in our 70,000 sq/ft warehouse ยง Fleet of 23 Wholesale Delivery Trucks ยง Competitive Discounts on all GM Parts including: Buick, Chevrolet, Cadillac, GMC Truck, Hummer & Pontiac

800 -951-7282 800-951-7282 24-Hour Toll Free Fax

PARTS DEPT HOURS: M-F 8am-6pm; Sat 8am-1pm

800-352-7275

6877 Center Street // Mentor, OH 44060 www.autobodynews.com | JULY 2016 AUTOBODY NEWS 45

Chief Introduces HD Collision Repair Line, Koala Bench From Globaljig®

Chief recently introduced Chief Heavy Duty, a product line designed to help heavy duty body shops improve technician ergonomics, shop efficiency, repair quality and cycle times. According to the company, the equipment also makes it possible to write more comprehensive estimates upfront and document repairs. The new Chief heavy duty product line includes: • New Centurion heavy duty frame rack • New Cam Scan HD photogrammetric measuring system • New Vulcan ADU adhesive debonding unit • New Chief heavy duty rivet gun • New Chief blind rivet attachment for PNP90 rivet gun • Rotary Lift Mach Series mobile column lifts • Chassis-Liner Heavy-Duty Trucker frame rack “Heavy duty collision repair shops face unique challenges stemming from the sheer size of the vehicles being re-

paired,” said Lee Daugherty, Chief global data product manager. “There are no OEM specifications to follow when straightening frames that can be 60 feet long or bringing multiple axles back into alignment. Squaring up a trailer that has rolled and repairing a cab that’s manufactured with a mix of steel, aluminum and other materials also can be tricky when relying on traditional measuring and repair tools. The new Chief heavy duty product line draws on our more than 40 years of collision repair experience to provide fleets, independent repair shops and dealers with modern equipment that is faster and easier to use, reduces the chance of technician injury, speeds up the repair process and makes it possible to meet the growing need to document repairs.” Additionally, Globaljig®, Presented by Chief®, recently introduced the Koala bench. According to Chief, although compact, the Koala bench is versatile enough to handle most of the

structural work that comes through a typical collision repair shop, including the center section holding required to repair the latest generation of vehicles. The Koala structural repair bench can be used as an install or work bay lift for easier vehicle tear down and reassembly, sheet metal repair, blueprinting operations, or for structural straightening and holding of parts for replacement. “For shops that don’t have a lot of space but do have high enough workflow to warrant an additional bench solution, Koala is a cost-effective investment in improved productivity,” said Bob Holland, director of collision sales in North and South America for Chief parent company Vehicle Service Group (VSG). “Koala has a small footprint and tremendous versatility—it will accommodate about 90 percent of the structural collision repair jobs at most body shops.” Koala has a drive-over height of just six inches and can raise vehicles

weighing up to 5,500 lbs. to an ergonomic working height up to five feet three inches. The removable 10-ton pulling post can be mounted anywhere around the Koala frame for 360-degree pulling, and can be shared between multiple benches. Extension plates on Koala’s sill clamps provide increased space between the bench and vehicle. According to Chief, “Koala is ideal for working on modern cars that need to be held in multiple locations during the repair. The optional double crossbeam/universal jig system makes Koala the smallest bench on the market to offer eight to 10-point center section holding, so it can handle even the hardest-hit unibody vehicles.” Additional Koala optional accessories include an upper body/suspension measuring system, bench cover plate, and a loading ramp package. The Koala repair system can be floor or pit mounted. For more information, visit http://www.chiefautomotive.com/.

General Motors paint engineering reviewed and approved BASF’s comprehensive standardized test process for its Glasurit and R-M automotive refinish materials. All products tested received approval into 2017. The ap-

proval process ensures the paint systems give the appearance, performance and durability comparable to the OEM factory finish. “Glasurit and R-M paint systems consistently provide the top quality finishes required by GM,” said

Jeff Wildman, BASF Manager of OEM and Industry Relations. “BASF has more OEM approvals than any other paint manufacturer.” BASF was also named a GM Supplier of the Year in March, which marks the 11th time

that they have received the award since 2002. Any collision center performing warranty work on GM vehicles must use GM approved refinish materials. For more information, visit basfrefinish.com

BASF Glasurit, R-M Automotive Refinish Products Get Global GM Approval

46 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

Shop Strategies

Stacey Phillips is the assistant editor at Autobody News magazine. She has more than 20 years of experience writing for a variety of publications. She can be reached at sphillips@autobodynews.com.

with Stacey Phillips - ASSISTANT EDITOR

Massachusetts Collision Center Finds Multiple Benefits Hiring Students in Family Business More than a decade ago, Cape Auto Collision Center in Plymouth, MA, began hiring co-op students from local technical high schools to help in the body shop. Kevin Gallerani, owner of Cape Auto, said it has become an important part of the family-run business. One of their co-op students, Fred Teed, qualified to compete in the national SkillsUSA competition held in

Kathy Chaves, customer care representative at Cape Auto Body, with Mark MacKinnon, service advisor

Louisville, KY, June 20-24 as Autobody News went to press.

We talked to Gallerani about the benefits he has found hiring students over the years as part of the co-op program.

Q: Cape Auto (the name) was esA:ily’stablished in 1952, but my fambody shop goes back much How did your family get started in the collision repair business?

further. My great grandfather was fixing crashed vehicles in the ‘30s under the name Alphonso’s Auto Body at the same location that my service department is currently in. We have a service department at 53 Samoset Street with 20 employees. The collision center, with 17 employees, is located at 115 Sandwich Street.

Can you tell us about the Q: co-op program and the benefits of having students working at

technicians to fix vehicles the way that we want and need them fixed. They learn what is expected at an early age.

your business?

We have been involved with A: co-ops for at least 10 years. We have a co-op program at our collision

How long do they usually work Q: at your business, and are any of them hired full time?

center and our service center every year. We use students from Plymouth

Usually, we have at least A: two students at each shop every year and sometimes they

Cape Auto Body, located in Plymouth, Massachusetts, was established in 1952

South Technical School and Upper Cape Cod Regional Technical High School. The benefit of having students in the co-op program is that we get a chance to try them out and test their mechanical skills and their work ethics. We can then train and mold the

don’t make it or they do not stay in the trade. I would say less than 20 percent actually make it. We are always looking for new employees as we grow, and that’s why we keep looking to the schools for students.

What advice can you give to Q: other shop owners who are considering using students?

I would recommend that all A: shops look to trade schools for See Hiring Students, Page 50

COURTESY

SUBARU It's It'ss How Business It s Not It' Not Jus Justt Our Our Name, Namee, It' Nam It How We Do Bus Busine iness ss

CONTACT OUR PARTS DEPARTMENT:

800-658-3054 P D F : PARTS DEPARTMENT FAX:

605-342-1178 Large Inventory Larg La rgee In Inve vent ntor oryy Local Free Fr ee LLoc ocal al Delivery Del D eliv iver eryy Years Combined Parts Experience 50+ 50 + Ye Year arss Co Comb mbin ined ed P Par arts ts EExp xper erie ienc ncee Call for Details Regarding Reggardingg Longg Distance Deliveryy

PARTS EPARTMENT ARTS DEPA EPARTM RTMENT ENT HOURS OURS:

M-F 7:30am - 5:30 pm p Sat 8 am - Noon Email: parts@courtesysubaru.com 601 East Omaha St. Rapid City, SD 57701 www.autobodynews.com | JULY 2016 AUTOBODY NEWS 47

Labor Rates are the Foundation of Consumer Care & Safety by Richard Valenzuela, CEO, NABR

We see higher repair standards and increasing investment requirements coming from both luxury and massmarket manufacturers. For example, starting with its new CT6 model, Cadillac recently launched its Cadillac Aluminum Repair Network, which included a $4,500 annual fee, a list of equipment requirements, additional training, and auditing to verify compe-

A new era has arrived in the collision repair industry, an era in which OEM requirements to repair their modern production vehicles continue to grow and grow faster, as these vehicles increasingly include new technologies, new manufacturing techniques, and a wide range of advanced materials. This may be good news for training firms, certification bodies, and equipment suppliers, but is there enough concern for collision repairers who find themselves in a quandary, caught in the middle between significant investments to meet these increasing requirements and present labor rate levels that are largely insufficient to cover both the necessary investments and earn a fair return? How are the shops Figure 1. Labor Rates Are The Foundation of Consumer going to pay for all this? Care & Safety National AutoBody Research (NABR) is very concerned about the present state of labor tency. Likewise, Honda is raising the rates, because we think the right labor bar with its ProFirst Collision Repair rates are the foundation of consumer Facility certification, requiring shops care and safety (See Figure 1). Withto successfully complete Honda speout healthy labor rates, collision recific training courses, have the correct pairers are not able to generate tools and equipment, maintain exactsufficient profits to reinvest in people ing facility standards and a customer and training, tooling and equipment, satisfaction system, get an annual inand facilities and certifications. Morespection, and pay the annual $2,700 over, limited resources can adversely fee. These increasing investments to impact their skill and ability to repair support increasing collision repair retoday’s vehicles properly. This in turn, quirements are not just coming from may seriously jeopardize consumer the Audis and Mercedes of the world care and safety, which is irrefutably but also from mass market brands unacceptable. such as GM, Ford, and Honda, among At the core of NABR’s mission is others. a focused effort to restore the free NABR agrees that OEM and market system for labor rate pricing in third-party certification programs are the collision repair industry. Our Vari- a good move for collision repair shops able Rate System (VRS) technology and technicians, but only if shops are can help auto body shops determine able to adjust labor rates to suffithe right labor rates for their individ- ciently profitable levels. NABR also ual shop, in order to generate suffi- concurs with one group of industry cient profitability to pay for these panelists involved in training, certifiincreasing costs required to repair cations, and equipment validation and modern vehicles. That labor rate is not verification who stressed that things in just one price for everybody, and we the industry were changing so quickly believe that there is no such thing as that it would be financial suicide not one prevailing labor rate in a market. to keep up-to-date with training and Instead, there is a range of acceptable equipment, as expensive as it could rates, segmented by a shop's location, be. But again, it will also be financial level of training, type of certifications, suicide to attempt to stay up-to-date investment in equipment and technol- without having the surplus capital to ogy and facilities, quality of work, and do so which is largely dependent on overall cost of doing business. sufficient labor rate revenue.

48 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

The Icing on the Cake – Inadequate Labor Rates Paid by Insurers To top it all off, even if shops are willing and able to make these investments, they still face a significant obstacle in getting insurers to pay qualified shops for all needed and proper repairs at the right labor rate. As an independent, unbiased third party, NABR questions insurers’ resistance in light of a wide range of premiums paid by their policyholders for auto collision coverage, especially for luxury vehicles.

NABR’s Goal: A Win-Win Paradigm for Labor Rates Taking a consumer centered perspective, NABR believes that crashed vehicle consumers have the right to a complete, safe, and proper repair at a fair price, and the right to be fully reimbursed for their loss. The shop owns the repair. The insurer owns the reimbursement. We believe that paying shops what they’re worth as defined by an objective standard—which could include items such as levels of training and types of certifications, tooling,

equipment, and facilities—is a fair, reasonable, and equitable solution to the settlement of claims. This win-win-win approach would benefit consumers, repairers and insurers. Insurers would reduce the significant friction costs between themselves and body shops experience every day across the U.S. Repairers would get paid the right rates, earning sufficient profits to enable them to reinvest to keep up with increasingly higher repair requirements. And consumers would get their vehicles repaired properly from a shop that is trained, equipped, and certified to do the repair. For all this to happen, we think insurers and collision repairers must take a fresh approach to the collision repair and claims settlement situation, adjust their motives and attitudes, and have a keen awareness that doing so will lead all three participants—insurer, repairer, and consumer—to come out as winners. Most notably, it will help ensure the proper care and safety of consumers and their families. Copyright © 2016 by National AutoBody Research.

THESE DEALERS are GENUINE WHOLESALE PARTS SPECIALISTS.

Sunshine Toyota 269-965-1000 BATTLE CREEK

269-441-1262 Fax M-F 7:30am-6pm jody@sunshinetoyota.com www.sunshinetoyota.com

Michigan

Toyota of Grand Rapids 877-703-5932 GRAND RAPIDS

616-942-4658 Fax M, W 7:30am-8pm; Tu, Th, F 7:30am-6pm; Sat 8am-12pm www.toyotaofgrandrapids.com

Laurel Auto Group of Westmont Accidents Happen

Laurel BMW of Westmont

Insist on Original BMW Parts and Accessories www.laurelbmw.com

(630) 654-5400

Laurel BMW of Westmont 430 E Ogden Ave., Westmont, IL 60559

www.laurelbmw.com

• Two Deliveries Daily • 17 Delivery Trucks

Truth in Engineering

Hours: M-F 7-6; Sat 8-3

Phone: (888) 545.6900 Fax: (630) 655.5999

Audi Genuine Parts

Large Inventory of OEM Parts Quick, Courteous Service Knowledgeable Staﬀ Audi Westmont 276 E. Ogden Ave., Westmont, IL 60559 Parts Direct: (630) 230.2222 / Fax: (630) 655.5750 Hours: M-F 7-6 / Sat 8-4 www.audiwestmont.com

Mercedes-Benz of Westmont • Large Inventory • Exceptional Service 200 E. Ogden Ave Westmont, IL 60559 www.mercedesbenzofwestmont.com

Phone: Fax:

(630) 654.1039 (630) 654.8167

GENUINE PARTS

Hours: M-F 7-6; Sat 8-4 www.autobodynews.com | JULY 2016 AUTOBODY NEWS 49

Continued from Page 47

Hiring Students

students. It is a lot more work than just hiring a technician off the street, but the value is much stronger. You train the technicians to learn your philosophy and expectations. Technicians get older every year, and you need to look to the schools for the technicians of the future.

How will co-op programs like Q: the ones you participate in help the industry? Continued from Cover

TN Lawsuit

tomers brought in their vehicles to be repaired following two separate accidents that occurred in June 2011. While repairing the vehicles, auto body technicians at Price’s identified additional repairs that were not on the original estimates written up by Progressive. The body shop requested that the supplemental repairs be approved. Despite repeated requests, the Plaintiff alleged that Progressive refused to pay for

It is very hard to find good qualA: ified employees in this trade. Most kids are pushed to go to college

by parents and guidance counselors, but we still need technicians in many service trades. Who will fix our cars in the future? The average age of a collision technician is 40 right now and it is rising because it is hard to find younger technicians in the trade. There are great jobs available, and vocational schools need to convince their new students of this. For more information, visit www .capeautorepairs.com or call (508) 7470316.

the charges, which were $693.01 for a 2007 Honda Accord and $927.04 for a 2010 Honda Civic LX. Crockett and Crosby both asked the body shop to file a claim on their behalf and the cases were eventually consolidated. Price’s sued for breach of contract, violations of the Tennessee Consumer Protection Act (TCPA) and tortious interference with business relationships in 2011. After the court ruled against Price’s Collision, the body shop appealed the case in November of that year. In 2013, the court dismissed the See TN Lawsuit, Page 56

Mitchell Issues Second Quarter 2016 Industry Trends Report Mitchell released its Industry Trends Report (ITR) for the second quarter of 2016. In the report, Alex Sun, Mitchell’s president and CEO, weighed in on the company’s 70th anniversary milestone with past, present and future insights. He reflected on how Mitchell has changed over the years and explored what is to come. Greg Horn, vice president of Industry Relations at Mitchell, demonstrated the importance of observing where claims fall on a natural distribution curve to glean key industry insights. Horn detailed a few of the business areas exposed when analyzing claims distribution, including the performance of direct repair shops, staff, independent appraisers and overall operational efficiency. According to Mitchell, first published in April 2001, the ITR now reaches more than 33,000 collision and casualty industry professionals and provides visibility into data-driven trends in the P&C market. The complete report is available at www.mitchell.com/industry -trends-report. In addition to the release, Mitchell1 announced expanded integration of its RepairConnect software with NEXIQ Technologies eTechnician HD diagnostic application, giving truck technicians instant access to diagnostic fault-related service information on a PC platform.

Mitchell 1 RepairConnect has been accessible to NEXIQ users since 2013. The latest integration extends access to the diagnostic information from the NEXIQ Technologies scan tool to a desktop computer. “We’re pleased to take the integration of RepairConnect with NEXIQ to the next level with the introduction into the eTechnician HD PC-based platform,” said Scott DeGiorgio, general manager of the commercial vehicle group for Mitchell 1. “Having this additional resource at their fingertips will give technicians another way to access the information they need to repair trucks more efficiently and with more confidence, which is always our goal.” A technician using eTechnician HD can access RepairConnect and retrieve DTC-related service information, including descriptions of trouble codes; related wiring diagrams; component connector views; electrical component locations; testing procedures; removal and installation procedures and DTC-related specifications. RepairConnect anticipates the detailed information required to fix the vehicle based on the DTC and quickly retrieves it. No additional lookup of repair information is required to complete the service correctly. For more information, please visit http://mitchell1.com/.

BLUE SPRINGS FORD Call our Wholesale Parts Hotline Today!

800-248-7760 816-229-3750 816-229-0605 Fax

We’re Open: Mon. - Fri. 7:30am - 6pm // Sat. 8pm - 4pm

• Dedicated Knowledgeable Wholesale Staff • Certified Parts Wholesaling Dealer • Powertrain Distributing Dealer • Over $1 Million in OEM Parts • Competitive Pricing • Online Ordering • Dependable Delivery 3200 South Outer Rd. // Blue Springs, MO 64015 50 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

Department of Motor Vehicles in NV Inspects Repair Businesses For Proper Permits

fine Tuesday against Tinoco, who was forced to close his garage bays until he files for the DMV permit. Jose Tinoco achieved a longtime dream “I better do this as soon as postwo months ago by opening an auto sible,” Tinoco said while holding his body repair shop just south of Nellis Air citation. “I might lose a lot of money Force Base. if we stay closed for too many days.” Tinoco’s Auto Body and more than 40 other garages were visited Tuesday by 20 investigators from the DMV’s compliance enforcement team, who canvassed the city as part of the agency’s fifth annual “Impact Day,” aimed at making sure the businesses are properly registered. “Usually, we hear that the business owners didn’t know that they Linda Vantilborg, left, a compliance investigator had to register with the with the Nevada Department of Motor Vehicles, DMV,” said Lori Billingsley, a issues a citation to Jose Tinoco for operating an DMV supervisory compliance inauto body shop without a license, Tuesday, May vestigator. 17, 2016, in Las Vegas. Credit: Benjamin Hager, “Part of this is consumer Las Vegas Review-Journal protection because licensed reThe business bearing his name pair shops must have a bond,” Billingswas permitted by the secretary of state’s ley said. “If there’s any liability, the office and Clark County, but Tinoco consumer would have some recourse said he didn’t realize he needed to be li- by filing against the bond.” censed by a third agency: the DepartThe surprise visits Tuesday rement of Motor Vehicles. sulted in $1,500 fines for business That slip-up resulted in a $1,500 owners who failed to file for DMV by Art Marroquin, © Las Vegas ReviewJournal

permits. Another $1,000 was tacked on for those who weren’t registered with the state or county. In comparison, repair garages can register with the DMV for $26 annually, while auto body shops pay $301 a year. In total, the DMV collected $148,000 in licensing fees in the past fiscal year. Under state law, the DMV is charged with regulating the auto repair industry in Nevada by fielding consumer complaints about scofflaw mechanics, DMV spokesman Kevin

Sherwin-Williams Announces Partnership with CARSTAR

Sherwin-Williams Automotive Finishes has announced a newly expanded partnership with Driven Brands as an approved automotive coatings vendor to the U.S. segment of CARSTAR North America’s network in the United States. “We deeply value our relationship with Sherwin-Williams,” said Michael Macaluso, president of CARSTAR North America. “Sherwin-Williams is well known as a world leader in the coatings industry, and we look forward to leveraging its products, infrastructure, operational expertise, and local support for our hundreds of franchises.” Rob Lynch, senior vice president of Sherwin-Williams Automotive added, “We are proud to expand upon our long standing strategic partnership with Driven Brands, and to partner with the U.S. team at CARSTAR. Our direct service model provides the perfect venue to support franchisees in delivering consistent, predictable outcomes that their customers expect. CARSTAR is a powerful force in the collision industry and we are pleased to be one of its preferred partners.” For more information, visit www.sherwin-automotive.com.

Malone said. Statewide, there are 312 body shops registered with the DMV as of Tuesday, and 1,582 repair garages. “If you have an unlicensed business, the consumer has no recourse,” Malone said. “The business can take your money, do shoddy work and then disappear.” Thank you Las Vegas ReviewJournal, Inc. for permission to reprint this article.

MAPLEWOOD TOYOTA

MAPLEWOOD SCION

• Large Inventory of Genuine OEM Parts • Exceptional Customer Service

• Call Us First For All Your Parts Needs • Competitive Wholesale Prices

Parts Dept. Hours: Mon - Thur: 7am - Midnight Fri: 7am - 5:30pm, Sat: 8am - 4pm

651-288-2525

Phone: Fax: 651-490-2652

Serving all of MN and Western WI 2873 N Hwy 61, Maplewood, MN 55109

Parts Dept. Hours: Mon - Thur: 7am - Midnight Fri: 7am - 5:30pm, Sat: 8am - 4pm

Phone:

651-288-2525

Fax: 651-490-2652 Serving all of MN and Western WI 2873 N Hwy 61, Maplewood, MN 55109

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 51

Hailstorm Brings Work for Billings, MT Roofers, Auto Repair and Glass Shops by Erik Olson, Billings Gazette

Jason Zapata launched his auto-body repair business in the wake of the 2014 hailstorm that pummeled Billings, and he’s gearing for the next big wave over the next few months. The 36-year-old Billings man owns Hail Team 6, a one-man repair shop that works with auto-body shops around town. Following the May 22 hailstorm that pounded the West End of Billings, he’s expecting a rush of business. During the last week of May, he worked on a new red Ford F-150 pickup with a cracked sunroof and quarter-sized dents all over the hood and door. Zapata did about $1,000 worth of work in his shop at 2120 Lampman Dr. using a method called paintless dent repair, where he pushes dents out from the inside to preserve the paint job. A Huntley native, Zapata has done repair work for 15 years nationwide. He’s repaired vehicles in California, Texas and other places after hailstorms there, gaining experience on different kinds of vehicles. This summer, however, Zapata said he plans to stay home. “We like the storms because that’s what our business is based on. We pray that no one gets injured, obviously. But it’s a great economic boom for any town that has them,” Zapata said.

Jason Zapata of Hail Team 6 shows some of the hail damage to a Ford F-150 from the storm at his shop on May 25. Credit: Casey Page / Gazette Staff

This most recent weekend storm swept through the West End and north along Airport Road and into the Rehberg Ranch subdivision, breaking windows and denting vehicles. Since then, phones have been ringing constantly for roofers, auto repair shops, glass installers and other contractors involved in storm cleanup. In 2014, contractors did $105 million of roofing, fencing and foundation work in Billings, most of which

was related to the hailstorm, according to the city’s building department. That storm also attracted hundreds of out-of-town storm chasers, who did roofing work and other repair.

Some homeowners are opting for smaller repairs to avoid filing additional claims, Martin said. Empire has about 50 employees, which is typical for the summer.

Hail covers the road on Laredo Place in West Billings. Credit: Bob Zellar/Gazette Staff

Many stayed for a few months, boosting revenue for local hotels, restaurants and bars. Some of those companies stayed in town and are continuing to compete with long-time roofers, said Jake Martin, vice president of Empire Roofing Inc., which his grandfather founded in the 1950s. “Healthy competition is always good. In our eyes, as long as they’re a legitimate company that does everything the right way… then we’re totally OK with that,” Martin said. “The good ones actually upped the whole level of professionalism. The bad ones, they hurt everyone else’s name,” he added. Martin said Empire has gotten a steady stream of calls since the storm. Many are repeat customers who used Empire during the last storm, or they were burned by a storm chaser the last time and want a local brand, he said. This storm hit a smaller swath of town and affected fewer people than in 2014, Martin said, but the damage is worse. Temperatures during hail storm were in the high 50s to low 60s, which hardened the roof shingles and made them more brittle, he said. “It actually fractured and put holes in shingles while before it bruised,” said Martin, who is also vice president of the Montana Roofing Association. Meanwhile, insurers have raised deductibles or dropped altogether homeowners who have filed multiple claims from past storms in the last five years.

52 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

Local glass shops are also busy fielding repair requests from hail damage. Ron Becker, owner of Becker’s Glass in downtown Billings, said he expects his biggest rush to come in the next few weeks after homeowners con-

sult with their insurance carriers. Beckers Glass sells and installs window panes and other types of glass found in the home. The shop has three employees, who are typically busy this time of year without a storm, Becker said. Over the next three weeks, workers will be measuring the spaces to install new panes before doing the work, and Becker expects a second wave of calls down the road. “More than likely, it will carry on for the rest of the summer,” Becker said last week. Zapata said he expects the same for Hail Team 6. He took some time off this holiday weekend but is planning for business to accelerate through the fall. Long-term, Zapata said he hopes to use the storm as a springboard to grow the business and avoid having to travel for work. He added that he’d like to start hiring employees and gain more direct customers. “Hail is insurance paid, and the profit margin is greater,” he said. We thank the Billings Gazette for reprint permission.

The Right Parts. A Perfect Fit.

Order Genuine Mazda Parts from these Parts Specialists in your area

OHIO

Brunswick Mazda Brunswick

Toll Free 888-460-7080 Direct 330-460-7080 Fax 330-460-7082 M-F 8-6; Sat 8-4 www.brunswickautomart.com

WISCONSIN

Hall Mazda Brookfield

888-420-4255 M-Th 7:30-7; F 7:30-6; Sat 8-4 hallparts@hallcars.com

Subaru

Ganley Westside

Collision Repair Parts

www.ganleysubaru.com

• Delivery area counties: Cuyahoga, Lake, Geauga, Huron, Erie, Medina, Sandusky, Ottawa, Summit and Lorain • Same-day, Next-day, Local Hot-shot Deliveries • Friendly, Fast Phone Ordering • Genuine Subaru OEM Parts Parts Department: rtment: e t • Competitive Pricing • Online Ordering Hours: Mon - Frii 7am - 77pm pm / Sat 8am - 4pm • Huge Inventory

440-788-7060

for all of your

accessory needs d

25730 Lorain Rd., North Olmsted, OH 44070 www.autobodynews.com | JULY 2016 AUTOBODY NEWS 53

Western Associations

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

Origins of the California Autobody Association as it Celebrates 50 Years with Ed Attanasio

The California Autobody Association (CAA) is celebrating its 50th anniversary this year after serving the collision repair industry in the Golden State since 1966. This non-profit trade asso-

Art D’Angelo, Sr. (third from left) worked as a 3M sales representative for many years before purchasing an existing paint company with two stores. He was the CAA’s first president and many consider him the founder as well

ciation consists of more than 1,000 individual and independent businesses within the automobile collision repair industry. Its mission is to enable the auto body industry to survive and

prosper by helping its members to produce a quality repair for the consumer at a fair price for a reasonable profit. Many people know the name and the acronym (CAA), but how many people working at body shops right now in California know anything about the genesis and early years of this organization? Sadly, most of the people who know about the inception of the CAA are no longer alive to tell their stories. Fortunately, several of their descendants know the history and are willing to share it. One of those history-gatherers is Art D’Angelo, the son of Art D’Angelo, Sr., who is considered to be the Godfather of the CAA. Although D’Angelo, Sr. never owned a body shop or worked in one, he was in a prime position to bring together shop owners who were feuding big time in the early and mid-1960s. D’Angelos Automotive and In-

dustrial Coatings, with its headquarters in Oxnard, CA, was started in 1956 by D’Angelo, Sr. who began his

Art D’Angelo, the son of Art D’Angelo, Sr. holds the plaque his father received from the CAA membership to honor him as the first president of the organization

career in the industry as a 3M Sales Representative. Art started with two locations in Glendale and Van Nuys,

OHIO

Courtesy Subaru

Direct (330) 460-7080 (330) 460-7082 Fax Mon.-Fri. 8-6; Sat. 8-4 www.brunswickautomart.com

Mon.-Fri. 7:30-5:30; Sat. 8-Noon parts@courtesysubaru.com

Toll Free (888) 460-7080

Byers Subaru Columbus

(888) 804-7895

(614) 863-1770 Fax

Mon.-Fri. 8-6; Sat. 8-2 wholesaleparts@byersauto.com www.byersimports.com

Waikem Subaru Massillon

Toll Free (800) 225-0281

54 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

SOUTH DAKOTA

Brunswick Subaru Brunswick

The following dealerships are eager to serve your needs. Call your local Subaru collision parts specialist today!

CA when he purchased Acme Color Service and then changed the name to D’Angelos and Sons in 1965. Art D’Angelo remembers his father’s colorful anecdotes about the early formative years of the CAA. “Back in those days, the insurance companies would have a damaged car towed to one shop and then invite other shops to go there and write an estimate. It’s hard to believe, but that’s how they did it.” This method logically led to animosity between the competing shops and also caused other drama, according to D’Angelo. “First off, they started poaching away each other’s employees and that made it worse. Then, if another shop got the job and they had to come and take the vehicle out of the first shop... Man, that got ugly.” Once, a shop owner (whose name is being withheld for obvious reasons) decided that he was tired of watching cars being removed from his shop. “It was a Cadillac as I recall, and the other

Direct (330) 478-2800 (330) 639-0140 Fax Mon, Thu 7:30-8 Tue, Wed, Fri 7:30-5:30; Sat. 8-4 dandager@waikem.com www.waikem.com

Rapid City

(800) 658-3054

(605) 342-1178 Fax

MINNESOTA

Luther Bloomington Subaru Bloomington

(800) 451-5078

Direct (952) 887-0600 (952) 881-1787 Fax Mon. 6:30-6; Tue.-Fri. 6:30-9; Sat. 8-4 parts@bloomingtonsubaru.com www.bloomingtonsubaru.com WISCONSIN

Wilde Subaru Waukesha

(800) 903-2434

(262) 544-1913 Fax

Mon.-Thu. 7-7; Fri. 7-5; Sat. 8-4 parts@gowilde.com www.wildesubaru.com

shop was coming to tow it out when he took a sledgehammer and did a lot more additional damage to the car,” D’Angelo said. “’Now, have some fun fixing that one’, he told the tow truck driver. When the other shop saw all the new damage to the vehicle, the situation obviously started to escalate.” As a paint jobber and a 3M rep before that, D’Angelo, Sr. was in a prime position to act as a moderator and a peacemaker between competing shops, his son explained. “My father was calling on all the shops, so he started to see the conflicts firsthand,” D’Angelo said. “He began talking to the shop owners and telling them that the other owners weren’t really bad people.’You’re going to have to figure out a way to work with these guys, because otherwise the insurance companies will let you fight it out’ he told them.” Slowly but surely, the owners started listening to D’Angelo, Sr., which eventually led to the very first meeting of the Glendale Autobody Association, according to D’Angelo. “It was at Foxy’s Restaurant in Glendale, and my father had to actually do a seating plan, because everyone thought these guys might get into fisticuffs.

That’s how much they disliked each other!” That meeting went well and that’s how the Glendale Autobody Association was born. “The Glendale chapter eventually became the CAA,” he said.

The owner of Bistagne Brothers Body Shop, Chuck Bistagne remembers great stories from his Uncle George about the early years of the CAA

“Some shop owners in the Long Beach area soon started their own chapter and then the South Bay followed and it just grew from there.” Another current body shop owner whose uncle was one of the first members of the Glendale Autobody Association is Chuck Bistagne, owner of Bistagne Brothers Body Shop in Glendale. Founded in 1946 by Brothers Tom and George Bistagne, the shop

VANDEVERE KIA

Parts Dept. Hours: Mon-Fri 7:30am-5:30pm Sat 7:30am-1:00pm

Up until then, they were all in the dark about these things, but by sharing information, the industry in California became stronger overall.” That first chapter needed some strong leadership, and Art D’Angelo, Sr. was the man with the plan, according to Bistagne. “Art was the perfect person for the role, because the body shop owners did not see him as a competitor,” he explained. “To work with all of these owners and find some common ground that they could build on was brilliant, and that is why every shop in the state should credit Art D’Angelo, Sr. for being the founder of the CAA.” One of the first things shop owners figured out was how to to get past the practice of doing estimates at other area shops. “There were a few shops that said no way—we’re not going into another body shop to make an estimate,” Bistagne said. “Some others figured out a way to keep the cars in their shops, by basically rigging the bids. The invading shop agreed to make sure that their estimate was a little higher, so that they would not get the car. I believe that this eventually led to the advent of the insurance staff appraiser, so that the insurers at least could know what was going on with these estimates.”

VANDEVERE CHEVROLET

Parts Dept. Hours:

Akron’s Largest KIA Parts Outlet Reliable, Professional Customer Service Express Parts Delivery in our 8 Trucks Your Source for OEM KIA Parts

VanDevere Kia 328 W. Market Street, Akron, OH 44303

has survived everything, including those early feuding years. “Glendale and Long Beach were the originators, and that’s why the CAA exists now,” Bistagne said. “My Uncle George got involved right at the beginning. In the early 1970s, the shop owners up in San Francisco opened their own chapter and that’s why CAA started to form. They wanted an umbrella organization to manage the chapters and give them a statewide presence. The first shop owners who joined are the pioneers in this industry in California. By figuring out a way to work together and act professionally, the shops were able to flourish and succeed in a business that was changing dramatically.” To attract body shop owners to that first meeting, D’Angelo, Sr. decided to provide a little entertainment, Bistagne said. “Art got a film of that year’s Indianapolis 500, and that got the people there. Back then, they did not broadcast the race on TV, so it was a smart move.” Those initial meetings also helped body shop owners in many ways, Bistagne said. “These guys compared notes, which was excellent. They learned how to write solid estimates and how to work better with the insurance companies in order to get paid.

800.362.9650 • Akron’s Largest GM Parts Outlet • Express Parts Delivery • Knowledgeable Staff with over 175 Years Parts Experience!

Mon - Fri: 7:30am - 5:30pm Sat: 7:30am-1:00pm Phone:

330.836.4064 24 hour fax:

330.836.4074

800.362.9650 Phone : 330.836.4064 24 hour fax: 330.836.4074

1490 Vernon Odom Blvd.// Akron, Ohio 44320 www.autobodynews.com | JULY 2016 AUTOBODY NEWS 55

Gordon Michael Joins Spanesi Americas

Spanesi Americas has announced perience includes Technical College that it is expanding its team to better Collision Repair Instructor, I-CAR serve its customers and the collision Tech Centre staff, and collision reindustry. pair technician. “We are extremely “I’m very pleased to be pleased to announce that joining the Spanesi organiGordon Michael has zation,” said Michael. “I joined the Spanesi team. am always willing to help Gordon will be providing out a fellow technician or our customers and distriboffer a easier way of doing utors with training and ina repair. I love learning and stallation support,” said sharing information about Gordon Michael Timothy Morgan, managnew technology and how it ing director of Spanesi Americas. “I fits into the collision industry. have previously worked with Gor- Spanesi is a leader in innovation and don and know that his education and technology, and with the complete training experience will help Spanesi product line that they offer, I’m lookto continue to support our customers ing forward to great things ahead.” as we continue to grow.” For more information, contact Bringing more than 30 years of Timothy Morgan at 224-SPANESI experience in the collision industry (772-6374) or tmorgan@spanesito Spanesi Americas, Gordon’s ex- americas.com. Continued from Page 50

TN Lawsuit

claim of TCPA. In court documents, Price’s Collision claimed that “…the Defendant’s refusal to pay for the supplemental repairs is part of a broader campaign waged against the Plantiff’s business.” They further stated, “… in an effort to damage the Plaintiff’s business and ultimately drive the Plaintiff from the marketplace, the Defendant ‘steers’ customers away from the Plaintiff’s shop either by actively discouraging its customers from having repairs done at the Plaintiff’s shop and/or by discouraging customers from returning to the Plaintiff’s shop by refusing to pay for the total amount of the repair and leaving the customer ultimately responsible for the balance of the cost of the repair.” David Edwards, a former of employee of Progressive, provided a sworn affidavit in 2014. Edwards worked as an estimator, supervisor, network manager and expert process property damage Continued from Page 40

Throw Away Society

initiatives that have advanced the sustainability movement. Most recently, he has been working with AkzoNobel to advance triple bottom line initiatives within the collision repair industry. What’s Next is also a business in residence at the Green Garage, a triple bottom line co-working community

specialist during the 17 years he was employed at the insurance company. His final job was as a managed repair representative, assisting in writing estimates in areas with high volume. In 2014, he worked exclusively with claimants or insureds who brought their vehicles to Price’s. “In my opinion, Progressive employees did intentionally steer insureds and claimants way from Price’s Collision Center,” Edwards said in the affidavit. “Progressive employees would do so by saying derogatory things about Price’s Collision Centers to the insureds and/or claimants. For example, Progressive employees would tell claimants or insureds that repairs at Price’s would take an inordinate amount of time, would cost too much, and would leave the insured potentially liable for the cost of a repair that was not ‘guaranteed.’ At the same time, the Progressive employees would be talking positively about network shops to induce the insured or claimant to bring his or her vehicle in network.” Edwards further stated that, “In instances where a Progressive insured or located in Midtown Detroit, MI. What’s Next is working with the Green Garage community to launch “Lazarus Cars,” a business that will leverage economies of scale to repair and refurbish automobiles for use by those who would otherwise not be able to afford reliable transportation. For more information, contact Mike Shesterkin at 734-464-8353, mdshesterkin@gmail.com or visit: www.whatsnextllc.com.

56 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

Spanesi Americas Continues Expansion in Gulf States Spanesi Americas is continuing to expand its distribution and customer support across North America. A recent addition to Spanesi Americas is Complete Collision Equipment, Inc. who is providing distribution and customer support in the Gulf States, specifically the Houston, TX market as well as LA, MS, and AL. “We are very pleased to have Complete Collision Equipment join the Spanesi Americas team,” said Timothy Morgan, managing director of Spanesi Americas. “As we have continued to grow in sales and market share, we are also be growing our distribution and customer support teams to allow us to continuously exceed our customer’s expectations.” Led by Kyle Pinton, Complete Collision Equipment brings years of collision repair equipment experience

claimant would bring his or her car to Price’s despite the steering, Progressive routinely denied payment on supplements. Despite these supplements being for required repairs, Progressive regularly refused to pay for supplemental repairs requested by Price’s and did so both to save money and to also discourage insureds and claimants from ever re-

to Spanesi and the Gulf States. “I have worked with Kyle in the past and I am very happy to have him back,” stated Morgan. “His vision and desire to provide exceptional customer support to the collision industry are great additions to our team, and within his first month with Spanesi Americas, he broke all ‘New Distributor’ sales records to date!” “I am very excited to be able to represent the complete line of Spanesi products,” said Pinton. “I see the superior quality and detail in the products along with the Spanesi Americas team to support the customer after the sale. My market has shown a positive reaction to the direction and changes our company has taken.” You can contact Kyle and Complete Collision Equipment at 228731-3092.

turning to Price’s.” Price’s Collision filed a similar complaint in 2014 against GEICO Insurance Company and Bob Taylor, a GEICO motor vehicle claims adjustor, for tortious interference with existing and prospective business relationships and slander. The parties have agreed to an order to attend mediation in 2016.

Shift into Genuine Nissan and Infiniti OEM Parts

Genuine Nissan and Infiniti OEM Wholesale Parts are superbly crafted to strict quality standards.

The following dealers proudly stock genuine parts for your Nissan or Infiniti repairs.

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

MINNESOTA

Eden Prairie Nissan Eden Prairie 952-567-2150

(952) 567-2197 Fax

M-F 6:30-7 parts@edenprairienissan.com www.edenprairienissan.com

Phone: Go Further 60 Years a Ford Dealer with over 314 Years Parts Experience!

515.270.9095 800.362.1679 Fax Your Order:

515.270.5008 üDedicated Wholesale Staﬀ üPrompt & Dependable Delivery PARTS HOURS Mon - Fri 7:30am-6:00pm s Sat 8:00am-4:30pm

4545 Merle Hay Road Des Moines, IA 50310

OF DES MOINES • Over $1 Million in OEM Parts • Knowledgeable and Courteous Parts Team • Come see us at our NEW location

The Right Part at The Right Price, Right Now! Hours: Mon- Fri 7:30am-6pm Sat 7:30am-4:30pm

1650 SE 37th Street Grimes, IA 50111

PARTS: 515.276.4913 • 800.342.7045 FAX 515.276.0277

Electronic Parts Cataloging for Faster & More Accurate Service! • Genuine Kia OEM Parts • Eﬃcient Service on All Orders • Fast & Free Delivery • Parts Specialists On Call

515.727.1815 s 866.412.0152

Fax: 515.309.1412

Hours: Mon-Fri Mon Fri 7:00am-6:00pm 7:00am 6:00pm / Sat 7:30am-4:30pm 7:30am 4:30pm

4475 Merle Hay Road · Des Moines IA 50310 www.autobodynews.com | JULY 2016 AUTOBODY NEWS 57

Some Shops Hate Him, but Consumers Love Him: The Wreck Check Story by Ed Attanasio

If someone gets into a car accident, takes their vehicle to a shop, and then later discovers that they are the victim of a shoddy (and possibly unsafe) repair, what is their next step? What if that customer then takes the car back to the same shop and does not get any satisfaction? People all over the country are in this predicament every day, and that is why more and more disgruntled body shop customers are visiting one of 35 Wreck Check Car Scan Centers throughout the U.S. to find answers to their questions and remedy the associated issues. Wreck Check Car Scan Centers were founded in 1997 by Rocco J. Avellini while he owned Rocco’s Collision Center and the U.S. distributor for Cad-Scan in addition to selling 3D dimensioning equipment designed for the collision industry. “While the creators of this equipment designed it to assist the collision repair technician to ensure that the unibodies of damaged vehicles could be returned back to manufacturer’s specifications, I saw a different purpose for it,” Avellini explained. “As a result, I immediately announced on a few online collision discussion boards that I was starting a new industry, and I named it the PostRepair Industry.” In 2001, James Lynas, the developer of the original Wreck Check software, decided to leave the industry. When he transferred the Wreck Check company to Avellini, his first move was to revise the original Wreck Check diminishing value software to reflect the true loss of value to vehicles that have been involved in accidents. Since then, he has continued to market and sell the new Wreck Check Car Scan Center concept to consumers and body shops that are interested in becoming licensees. “We are simply giving the driving public the ability to get a second opinion for collision and mechanical repairs,” Avellini said. “In many cases, we assist our clients in having their vehicles re-repaired to a safe condition after receiving their assessments. Our clients continue to recover their diminishing value on these subpar repairs, which clearly illustrates that this is a problem in the collision repair industry in a big way.” To fulfill a need for more loca-

tions, Wreck Check Car Scan Centers is always in search of shops and other collision professionals that want to get involved, according to Avellini. “We want honest, experienced and knowl-

umentation they need to make their surers would take steps to see that collision repairs would be completed in a case. safe and proper fashion. But it has “Our Diminished Value Assessments are comprehensive and detailed, turned out to be wishful thinking. I beso no one can really argue with them,” lieve that in an ongoing attempt to Avellini said. “A Los Angeles control costs, the insurers are just creCounty Superior Court Judge ating new ways to achieve that, and ultimately, the repairers are left with recently praised our assessments for being as good as the same liability. Repairers must remember that an insurer has no standgold. Now, the insurance companies realize that diminished ing in the collision repair process and value is owed and it is just a their only duty is to indemnify their matter of documenting how insured and make them whole.” Avellini is not afraid of a little much the recovery amount should be. We are the leader in media, and Wreck Check Scan Car determining diminishing value Centers may soon be the subject of a TV reality series, so stay tuned. With and our assessments are a testaWreck Check Car Scan Centers were founded in 1997 by some body shop owners and insurance ment to that. They have evolved Rocco J. Avellini. The company helps consumers who companies out there that are not exover the past 20 years and now get shoddy repairs from body shops nationwide they basically leave the insurers actly pleased with his work, does this edgeable automotive professionals with no other option other than to pay street-smart New Yorker ever worry? who share our passion for assisting our clients.” “A few of my friends have warned consumers before, during and after “I have inspected over 20,000 ve- me to watch my back,” he said. “I tell their automotive repairs and to ensure hicles in my collision, insurance and them, so be it—I’m not stopping, that’s that their families are driving in a safe post-repair inspection life and the re- for sure. At the end of the day, it all vehicle.” pairs, in my opinion, are actually not comes down to peoples’ safety, and Avellini, 65, has worked in al- getting any better. Right after we that’s what keeps me doing what I’m most every aspect of the collision re- started going after shops for doing doing.” pair industry as an insurance adjuster poor work, we got a lot of media exwww.autobodynews.com and national property manager, equip- posure. At that time, I thought the inment sales rep and as the owner of a C restoration company and his own body shop (Rocco’s Collision Center Audi Genuine Parts in southern California) for many years. When he found out about the Become an Audi Genuine Parts Fan Wreck Check software 23 years ago, he instantly saw the need for a company that protects consumers from improper collision repairs. An early adapter of the concept and a firm believer in what he is doing, Avellini works hard to recover money for his customers, he said. “I was one of the initial Wreck Check licensees in 1993 after witnessing firsthand that insurance companies Order Audi Genuine Parts from these select dealers. initially stated that they don’t owe diminishing value. But, once we can Illinois South Dakota show them our documentation, they Audi Exchange Audi Sioux Falls will often pony up the money without Highland Park Sioux Falls negotiation. We have seen everything 847.432.5880 888.540.6399 over the years, so we know what to 847.432.5708 Fax 605.221.0550 Fax look for and we know how to win for gorejel@audiexchange.com parts@grahamauto.com the people we represent. Recently, two of our clients recovered more than Ohio $25,000 in diminished value and more Byers Audi than $20,000 for losing the use of the Columbus vehicle for a significant period of 888.804.7895 time.” 614.863.1770 Fax When a consumer takes their veM-F 8am-6pm; Sat 8am-2pm hicle to a Wreck Check Car Scan Cenwholesaleparts@byersauto.com ter, they get an in-depth inspection www.byersimports.com followed by all of the supporting doc-

58 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

Ray Evernham Leads Preservation of Iconic American Graffiti Impala With Axalta Coatings For Ray Evernham, the 1958 Chevy Impala used in the film American Graffiti is the holy grail of hot rods, a car that inspired his life-long passion for cars. Now, after pursuing the car for most of his adult life and finally buying it, he faces an even bigger challenge: preserving it in its original movie condition for generations to come. Evernham has partnered with Axalta Coating Systems, a global manufacturer of liquid and powder coatings, to bring this piece of movie history and Americana back to life. The car will go through a tedious forensic preservation and be unveiled in Axalta’s booth #22391 at the 2016 Specialty Equipment Market Association (SEMA) Show in Las Vegas during the first week of November. “For me, American Graffiti was an incredible movie about an exciting time in America,” said Evernham. “It brought back hot rods and rock and roll and launched the careers of dozens of stars. George Lucas did such an exacting job creating the set, building the cars and telling the story that you were truly transported back to a time when horsepower was king, you and your friends ruled the drive-in and the world was a simpler place.” American Graffiti, a film about

four long-time high-school friends set in Modesto, CA, in 1962, featured several classic cars throughout the movie, with the 1958 Chevy Impala being one of the most iconic. After it was used in the film, Mike

to its original movie condition,” noted Evernham. “It really is a forensic preservation. We have to take it apart piece by piece, catalog every piece and then repair those pieces. Every piece of chrome is being straightened

Famalette, only 17 at the time, purchased the car directly from Lucas Films for $285 in 1972. Famalette held onto the car from that time until 2015 when Evernham acquired it. “To save this car for future generations, we have to go back 42 years

and re-chromed. The emblems are being re-chromed. The nuts and bolts are being re-plated. The interior has been entirely dis-assembled and will be restored back to its movie condition. Everything we took off is going back in it. Even the tires are original

and the air in them came directly from the movie set.” The only element Evernham is replacing is the engine, which was destroyed long before he purchased the car. As seen in American Graffiti, the ‘58 Impala was equipped with a four-barrel 348, and three-speed manual transmission. Evernham found a 1960 327 Chevy engine with six-barrel Stromberg carburetor to power the classic machine. With partner Axalta Coating Systems, Evernham will replace the exact paint and pinstripes on the vehicle. “Paint technology has come a long way since 1958,” noted Harry Christman, North American Cromax® Brand Manager for Axalta. “Regardless, the paint scheme still represents the most recognizable aspect of this iconic car. Axalta’s goal with this restoration is to precisely match the original colors using Cromax® ChromaPremier® to preserve the vehicle’s heritage and protect this unique piece of history for years to come.” Evernham said the complexity of the restoration is daunting, and the time required will far exceed any project his team that has built, including award-winning, best-in-class cars for SEMA, Amelia Island Concours d’Elegance and the Pinehurst d’Elegance.

MINNESOTA

OHIO

Luther Westside Volkswagen Minneapolis

Brunswick Volkswagen Brunswick

Toll Free: 330-460-7080

Fax: 952-374-0705 M-F 6am-9pm

Direct: 330-460-7080 Fax: 330-460-7082 M-F 8am-6pm; Sat 8am-4pm

888-289-9211

www.brunswickautomart.com

al.estuesta@westsidevw.com www.westsidevw.com

Brookdale Volkswagen Brooklyn Center

763-331-6480

Fax: 763-331-6481 M-F 7am-6pm; Sat 8am-4:30pm

parts@brookdalevw.com

Burnsville Volkswagen Burnsville

800-328-2842

Fax: 952-892-9471

Byers Volkswagen Columbus

888-804-7895

Fax: 614-863-1770 M-F 8am-6pm; Sat 8am-2pm

wholesaleparts@byersauto.com www.byersimports.com

SOUTH DAKOTA Graham Automotive Sioux Falls

888-540-6399

parts@burnsvillevw.com

Fax: 605-221-0550

parts@grahamauto.com

WISCONSIN Hall Volkswagen Brookfield

888-420-4255

M-Thu 7:30am-7pm F 7:30am-6pm; Sat 8am-4pm

hallparts@hallcars.com

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 59

Auto Claims — The High Cost of Keeping Pace with Technology by Bob Juniper and Mike Orso

The auto body repair industry has changed over the past few years in ways that far outpace the changes of the previous 25 to 50 years. Gone are the days of the ‘easy’ car repair—the days when a shade tree mechanic could go to the junkyard, pick up the necessary salvage parts.

Higher Repair Costs The auto body trade is an investmentintensive industry. Investments must be made constantly in new technology, certification, and training. Body repair specialists require training and certification and they must constantly strive to keep their skills and training on the cutting edge to keep up with the everchanging technological and passenger safety improvements implemented by the automotive industry. All this training and certification requires investments of time, money and resources. In addition to having the necessary skilled worker ready to work on a vehicle, when a vehicle needs repair, technical information that is specific to that vehicle and the repair must be purchased through long-term licensing or paid for by-the-hour. Then the infor-

mation needs to be reviewed and processed as material updates are everevolving, meaning a technician can’t simply rely on what he learned last month, or even last week, about the technical details before beginning to repair the vehicle. The expenses for training and obtaining the technical specifications for a particular vehicle occur even before repair on the vehicle can begin. Once repair begins, there is the cost of parts. New metal alloys add cost to the repair process. With the new technology of part imprinting, parts are being produced with VIN identification recognition making parts specific to a particular vehicle, not just a specific make or

model as in years past. Such an imprinted part would be incompatible with another vehicle thereby making a salvage part useless, maybe even dangerous to use, in the repair. Gone are the days when we could buy a used headlight to cut costs. To properly repair a vehicle, more expensive original equipment manufacturer (OEM) parts must be used. Additionally, special internal corrosion coatings and foams must be used as sound protection products. And every structural repair requires special adhesives and welding. Then, once the repairs are complete, paint and repair products require sufficient drying and curing time in controlled environments using up- to-date technical information and specifications that vary by automaker and often by sub-models. Using vehicle- specific parts, installed by a trained professional, makes repairs much more expensive than in years past.

Higher Disposal Costs An expense area that hardly existed 25 years ago is the cost to properly dispose of damaged parts. Twenty five years ago, damaged parts removed from cars were hauled off to the junkyard or other disposal facility. That can’t always be done today. Various components in a damaged vehicle require special disposal – think about the various batteries, ballasts, and sensors in a car today – and reputable repair shops pay the requisite price to properly dispose of them. One area, for instance, that is often not considered is the cost to replace seatbelts. Most manufacturers require that seatbelts be replaced after a crash. These seatbelts often are considered hazardous and explosive waste that require special disposal, disposal which can be expensive. Some repair shops avoid this expense by not replacing seatbelts after a crash, thereby saving themselves money and avoiding the disposal process but possibly endangering the vehicle’s future occupants. Reputable shops follow manufacturer requirements and replace the seatbelts, thereby adding the cost of repairs and the costs associated with disposal to the cost of repair of the more obvious vehicle damage. All these newer components and disposal requirements mean that repair of a damaged vehicle is not a haphaz-

60 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

ard event; it’s not an automatic, wholesale, chain-store, or while-you-wait, transaction. To properly repair a collision-damaged vehicle requires highly qualified personnel with continuing education and training utilizing specialized equipment. This situation results in costs that far exceed the costs and training of years past. And these costs must be properly addressed to protect the owners of vehicles, their passengers, the environment and the repair facility.

Saving Money/Cutting Costs — Paying the Consequences Insurance companies often seem anxious to save money where they can. In their attempts to do so, they sometimes seem to make short-sighted decisions that can impact them, and their customers, long-term. First is the impact of trying to save money on the costs of repairs. When insurers try to unrealistically control the pricing of repairs, it encourages all repair companies to cut corners to save money—like not replacing seatbelts when the manufacturer of the vehicle requires it. This leads to shoddy and sometimes dangerous repair work.

The claims procedures and processes that were effective and efficient five, ten, or 15 years ago are not readily transferable to the vehicles on the road today. Another area where insurers may be making short-term money decisions with potential long-term consequences is in labor costs. Currently there is a 40-60% disparity between the labor rates insurers seek to pay for autobody repair and the cost of mechanical labor rates. Such a disparity may lead entry-level technicians and potential labor to look to other trades for a career. This could result in a shortage of qualified employees and qualified shops in the autobody industry in the future. And anytime there is a shortage of supply, costs will go up. Will there come a time when insurance companies will pay $250/hour to repair body-damaged cars? Ultimately, the insurance companies and the autobody repair industry pursue the same goal: a well- repaired, safe vehicle that a satisfied customer

Price Comparison of Replacement Side Mirrors YearMake/Model - Item List price (2016):

1995 Chevy Blazer - Side mirror, manual - $88.23 2001 Honda CRV - Side mirror, power - $287.58 2005 Ford 500 - Side mirror, power, with heat - $351.13 2012 GMC Yukon - Side mirror, power, folding, with turn signal $483.40 2016 Lexus GX 460 - Side mirror, power, turn signal, camera, blind spot monitoring - $1,105.01

Post Repair Inspections conducted across the country are revealing how corners cut in the repair process by such shops are perpetuating a new breed of repaired vehicles that reclassified after repair as total losses. And when an insurance company requires that repair work be done in an ‘approved’ shop whose workmanship turns out to be shoddy, they may find themselves losing customers to other insurers who don’t require that repair work be done in such ‘approved’ shops.

knows has been properly repaired. The task before us is to balance this goal with the realities of ever-changing vehicle technology, vehicle specific parts, expense controls and quality workmanship.

Bob Juniper owns and operates Three-C Body Shops, Inc., based in central and southern Ohio. Three-C, family owned, was founded in 1956. Juniper and Three-C welcome the new opportunities brought about by the changing face of the auto repair industry as consolidation changes the auto repair market in Central Ohio.

Mike Orso is president of Nick Orso’s Body Shop and Service Center in Syracuse, New York. Orso joined the family-run business in 1973. Orso served as president of New York State Auto Collision Technicians Association, Inc. (NYSACTA).

ILLINOIS

Seelye Kia of Holland

(708) 720-8972

(616) 582-1009 Fax

Hawkinson Kia Matteson

(708) 720-0657 Fax

M, W, F 6am-5pm Tu, Th 6am-7pm; Sat 8am-2pm jmihas@hawkinsonnissankia.com www.hawkinsonnissan.com/ez-parts

IOWA

Kia of Des Moines

Holland

(616) 582-1008

M-F 8am-6pm rbundy@betterseeseelye.com www.seelyekiaholland.com

Suburban Kia Troy

(248) 341-8052 (248) 519-9660 Fax

Des Moines

chill@suburbancollection.com www.suburbankia.com

M-F 7am-6pm Sat 7:30am-4:30pm parts@kiadm.com www.kiadm.com

Lou Fusz Kia

(515) 727-1815 (515) 309-1412 Fax

MICHIGAN Kia of Lansing Lansing

(517) 393-5700 (517) 393-6767 Fax

M-F 7:30am-6pm mattr@lansingisyoung.com www.kiaoflansing.com

Seelye Kia Battle Creek Battle Creek

(877) 236-8845 (269) 441-3820 Fax

M-F 8am-6pm Sat 8am-1pm rbundy@betterseeseelye.com www.seelyekiabattlecreek.com

MISSOURI St. Louis

(877) 221-4151 (314) 595-4942 Fax

M, W, F 7am-8pm; Tu, Th 7am-6pm Sat 7:30am-4pm fuszkiaparts@fusz.com www.kia.fusz.com

Napletonâ&#x20AC;&#x2122;s Mid Rivers Kia St. Peters

(888) 816-9729 (636) 926-0683 Fax

M-F 7am-6pm; Sat 7am-3pm bprinster@napleton.com pschnare@napleton.com www.midriverskia.com

Suntrup Kia St. Louis

Waikem Kia Massillon

(800) 727-8496

(800) 225-0281

NO. DAKOTA

Mon, Thu 7:30am - 8pm Tue, Wed, Fri 7:30am - 5:30pm Sat 8am - 4pm mmiller@waikem.com www.waikem.com

(314) 815-3060 Fax

M-F 7am-5pm www.suntrupkiasouth.com

Kia of Fargo Fargo

(800) 728-7601

(330) 478-0900 (330) 478-9957 Fax

(701) 282-5924 Fax

WISCONSIN

OHIO

(920) 993-3000

M-F 7am-5:30pm Sat 8am-5pm

Montrose Kia Sheffield

(440) 934-6699 (440) 934-5247 Fax

M-F 7:30am-6pm bgordon@gomontrose.com www.montrosekia.com

VanDevere Kia Akron

(330) 836-4064 (330) 836-4074 Fax

M-F 7:30am-5:30pm chevyparts@vandevere.com www.vandevere.com

Bergstrom Kia of Appleton Appleton

(920) 749-1588 Fax

M, Tu, Th, F 7am-6pm; W 7am-8pm; Sat 8am-5pm anoldner@bergstromauto.com www.bergstromkiaappleton.com

Russ Darrow Kia of Waukesha Waukesha

(262) 896-1151 (262) 896-1188 Fax

Jeff.krueger@russdarrow.com www.kiaofwaukesha.com

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 61

Western News

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

New Collision Career Institute Launched for All the Right Reasons with Ed Attanasio

To fill an enormous need for new collision professionals, Erick Bickett, CEO of FixAuto, and Charlie Robertson, a veteran automotive tech instructor, recently launched the Collision Career Institute (CCI) in Anaheim, CA. This new school will train its students in actual body shops and will be mentored by the shops’ management and personnel. Upon completing this 1.5–2 year program, CCI graduates will be ready for employment and won’t need to be retrained, according to Robertson, whom ABN sat down with recently.

What was the main reason behind the formation of the ColliQ: sion Career Institute?

Well, it started mostly out of frustration on the part of shops A: that were running out of qualified peo-

ple. Shops have been poaching people from other shops for a long time in different degrees. But whenever we run into a big expansion by the MSOs, they start getting frantic. They have all these new contracts they need to fulfill and they don’t have the techs to perform the work. So it’s a business strategy for them. Poaching will never stop and the main problem is that the pool is small. So the only thing you can do to remedy the problem is to increase the size of the pool of available technicians, estimators and painters. At first, we were frustrated, but then we saw it as an opportunity, and that was the genesis of the Collision Career Institute. I’ve been an educator in this industry at the community college level for more than 22 years as an instructor at Cerritos College in Norwalk, CA. And the frustration that I was feeling was different from what was being felt in the industry. I felt that in training, we needed to be more focused on what the shops’ needs were and less focused on what the school needed.

You’re working with Erick Q: Bickett (FixAuto) to develop this program and combining your skill

sets to do some groundbreaking things with CCI. Please elaborate.

Yes, Erick and I are approaching it from two different directions.

I’m obviously coming in from the educational side. We want to educate people better, faster and cheaper. And Erick was kind of approaching it similarly and had instituted his own fast track program at FixAuto. Soon, we realized that we were both frustrated about the current situation. So we decided to blend our two programs together. There are large educational institutions out there where, for $40,000, you can get a tech in two years. The problem is that you still have to stop and retrain them. So we tried to address most of the top ten concerns that the shops have in hiring somebody. They don’t want to invest in training someone if they’re just going to go out and move to the next MSO that’s going to offer them another fifty cents to a dollar more per hour. They want to make sure that if they invest in someone, they’re going to stay. So we address that in our program and provide incentives for the technicians to stay, with tool and bonus packages that they’ll receive after two years at the same shop.

You carefully screen every potential student prior to admission, is that correct?

Yes, because not everyone is ideal for every job in a body A: shop. The problem with most commu-

nity colleges is that they will graduate a student if they meet minimum standards. Shops really don’t care if you get an A, B, or C on something anymore. They really want to know that they can do the job and do it successfully and not cause any injuries. Similarly, in the industry, we want these trainees to hit the ground running. So they don’t move on to the next class until they’re finished and validated by a third-party that comes in—somebody that comes in independently and evaluates their skills. And so until they pass, they won’t move on. That’s a different focus. Everything else is always time-based or money-based, related to profit rather than to competency. So we focus on competency that is a departure from the norms out there.

For someone looking to attend CCI, what are the steps?

62 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

Once we have vetted the person When will CCI start accepting and decided that they are a good its first students? A: Q: candidate, we look for a shop in the area that they’re willing to work in that Well, we’re still in the early wants to sponsor them and then we A: stages and still running our beta work out the agreements. Applicants go program. We learned a lot from the prothrough a full series of assessments to asses their likelihood to succeed. Each job description that we train for has an ideal personality style that goes with it. There are certain people that you wouldn’t want to have in front of your customers. There are some people that you wouldn’t want to have in charge of putting a car back together. If they’re not detail-oriented, you probably don’t want to have them in charge of all the parts. We try to ferret all that out and we assess that person more discreetly and intensely than a community college is allowed to. There are certain questions that you can’t ask at a community college and it’s more of an open door policy. We accept everybody into every program in a community college, but we don’t at CCI.

totype. We went back and retooled it and modified it and cut it down from two years to a year and a half. We launched beta back in the fall and we’ve learned from those beta students and modified the program. We’ve tweaked it, and those changes in the system will come out in our August launch. We are currently recruiting both shops and students to participate. Our target areas for August are the Bay Area and Southern California. Then, we will reload every three months and be going full-speed by the fourth quarter of this year in other regions.

YOU ONLY GET ONE CHANCE AT THE FIRST REPAIR. Choose Original MINI Parts. Because you can’t repair your reputation.

These Dealers Below Are Original MINI Parts Distributors:

ILLINOIS

Patrick MINI Schaumburg

847-605-4055

(847) 619-4511 Fax Hours: M-Sat 8am-5pm

Martin Senour Launches New Industrial Maintenance Coatings DTM Acrylic Enamel

The Martin Senour Company has introduced its new Industrial Maintenance Coatings DTM Acrylic Enamel. It is a high gloss, 100% acrylic, waterborne, corrosion-resistant coating for light to moderate industrial use. Designed for new construction, equipment, or a variety of maintenance uses, Industrial Maintenance Coatings DTM Acrylic Enamel can be used directly over a variety of properly prepared substrates while offering a substantial protective coating. According to the company, the new coatings product (series IM110)

provides a number of features: it is a low VOC coating; offers good chemical and corrosion resistance; provides outstanding adhesion and moisture resistance; and is fast-drying with low odor characteristics. Suitable substrates for Industrial Maintenance Coatings DTM Acrylic Enamel include steel, iron, aluminum, galvanized steel, concrete, masonry, wood, zinc rich primers, cement board and fiber board. It is recommended for use on a number of applications including ornamental iron, tanks and cylinders, steel fabricated parts, industrial, construction and farm equipment, metal buildings, piping, hand rails and select marine structures. Available in 13 popular factory packaged colors (standard, safety and basic equipment), they dry to the touch in 15 to 30 minutes and are easy to apply with either brush or spray application. For more information regarding Martin Senour industrial maintenance coatings, visit www.martin senour-autopaint.com.

Personal Safety Division Launches 3M Center for Respiratory Protection

3M™ Personal Safety Division has launched the 3M Center for Respiratory Protection, an online resource that can help companies navigate the requirements of an OSHA respiratory protection program. “When respirators are used in a workplace, OSHA requires companies to establish and maintain a written respiratory protection plan. A comprehensive and effective plan isn’t something that can be downloaded from the Internet. An effective program needs to be tailored to the individual needs of the users at each worksite,” said Scott Larson, respiratory protection technical services manager of 3M Personal Safety Division. “With the 3M Center for Respiratory Protection, 3M’s technical service specialists summarize key points that those responsible for worker health and safety need to know to help establish and maintain a successful respiratory protection program. The 3M Center for Respiratory Protection also provides the tools to help employers as they put a program in place.” 3M Center for Respiratory Protection outlines general steps to help guide users as they work to create and maintain a respiratory protection program. The eight steps include: • Exposure Assessment

• • • • • • •

Respiratory Selection Medical Evaluations Fit Testing Respirator Training Respirator Maintenance Program Evaluation Recordkeeping These steps are a summary of requirements and are based on the OSHA requirements; the 3M website provides articles, videos, tool kits, fast facts, and more, all created or curated by respiratory protection technical service specialists at 3M. “As health and safety professionals, we aim to provide professionals with respiratory protection knowledge and tools that they need to help protect themselves and their workers,” said Larson. “This new online resource provides an outlet for 3M to present valuable information, and a place that helps make it easier for our customers to select and use respiratory protection correctly. As we continue to help employers protect the respiratory health of their workers across the globe, the 3M Center for Respiratory Protection will prove to be a helpful way for us to disseminate information to those who are in need of it.” For more information, visit www .3m.com/respiratorycenter.

Original BMW Parts

bmwusa.com

Original Thought #78

YOU ONLY GET ONE CHANCE AT THE FIRST REPAIR. ILLINOIS

Laurel BMW of Westmont

Westmont 630-230-2890 Direct Wholesale M-F 7am-6pm Sat 8am-3pm www.laurelbmw.com

Patrick BMW

Schaumburg 847-605-4055 847-619-4511 Fax M-Sat 8am-5pm

INDIANA

Basney BMW

South Bend 800-274-8504 574-273-5075 M-F 7:30am-6pm parts@basneyimports.com www.basneybmw.com

MICHIGAN

Erhard BMW of Bloomfield Hills

Bloomfield Hills 800-626-9787 248-642-0443 www.erhardbmw.com

Erhard BMW of Farmington Hills

• Original BMW Parts & Accessories

Farmington Hills 888-834-8635 248-699-3003

www.erhardbmwoffarmingtonhills.com

When you repair a BMW, use the parts that are identical

to those used in Series production – and just as reliable. Choose Original BMW Parts and Accessories. Because

you can’t repair your reputation.

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 63

AkzoNobel Introduces New Color Software

With its recently released MIXIT web application, AkzoNobel became the first vehicle refinishes paint supplier to provide real-time updates for color software as well as the first to support searching in Chinese.

AkzoNobel now offers a new color web application, MIXIT, a tool for bodyshops to find the color they want using a search function that fits all possible keywords in any language and includes suggestions. According to AkzoNobel, it is the ideal tool for customers using any of their leading vehicle refinishes brands, including Sikkens, Lesonal, Wanda, Sikkens Autocoat BT and U-TECH. “MIXIT is the first software of its kind to provide data updates in

real-time, with a simple, fast and intelligent search, making it the most accurate color retrieval tool available,” said Remco Maassen van den Brink, AkzoNobel’s Vehicle Refinishes marketing director. “It is also the first to support searching for car makes and model names in the Chinese language.” As a responsive web application, MIXIT has been designed to work on smartphones, tablets and PCs. Since its December launch, approximately 50% of users have accessed the application from a mobile device or tablet. The application analyzes user behavior to understand how customers can retrieve and match colors more efficiently. Every three weeks, AkzoNobel will use this information to release an updated version of the application in which functionality is added and improved. “With so many advantages for users globally, we are confident MIXIT will become the color retrieval tool of choice for all of our customers,” said Remco Maassen van den Brink. The application can be accessed at www.MIXITcloud.com.

PPG Introduces EC550 En-V® Ultra Gloss Clearcoat

The Automotive Refinish business unit of PPG has launched EC550 En-V® Ultra Gloss Clearcoat, a new clearcoat formulated specifically for use with ENVIROBASE® High Performance waterborne basecoat. According to PPG, the new clearcoat is designed for outstanding gloss and ease of use. It is intended for overalls and multi-panel applications and is the latest addition to the Envirobase High Performance clearcoat lineup. EC550 incorporates PPG’s advanced En-V resin technology that is used in EC530 En-V Performance

Clearcoat. “The technology contributes to a superior appearance thanks to exceptional gloss retention and excellent flow and leveling qualities—properties that are critical for delivering premium OEM-level finishes,” states PPG. EC550 utilizes the same hardener/reducer combination as EC530 En-V Performance Clearcoat with a simple 3:1:1 mix ratio. EC550 can be sprayed in all application conditions, including extreme temperatures and humidity, and no polishing is required. Additionally, EC550 En-V Ultra Gloss is compliant for all refinish markets in North America. “We’ve given EC550 En-V Ultra Gloss all the attributes PPG customers have asked for,” said Tim Jones, Automotive Refinish segment manager. “It’s production-friendly, easy to apply and yields an unmatched luxurious gloss. It’s exactly what a premium Envirobase High Performance clearcoat should be.” To learn more about the Envirobase High Performance brand and other Automotive Refinish products, call (800) 647-6050 or visit www.ppg refinish.com.

64 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

CREF Launches Successful Pilot of Collision Student Resume Database To continue and enhance their efforts to help connect high school and college collision students with industry employers, the Collision Repair Education Foundation (CREF) has announced the

successful launch of their high school and college online collision student resume database. According to CREF, as many collision students across the country do not have the ability to attend the foundation's physical career fair events, the collision student resume database was built and piloted to reach high school and college collision students who are seeking full-time, part-time, or internship industry positions. More than 200 students from around the country submitted their contact and resume information. The database will be provided to CREF's donors for follow-up and employment consideration. CREF director of development Brandon Eckenrode said, “We are very pleased with our initial pilot of

the collision student resume database and this will be an ongoing effort at the end of each school semester to gather the contact information for those students seeking industry employment. We will then be sharing this information with our donors as a thank you for their continued support as we work towards assisting collision school programs and their ability to graduate quality, productive, and efficient entry-level staff ready for employment.” At the end of each fall and spring semester, students seeking industry employment will have the opportunity to submit their information to the database. CREF will work towards tracking the number of students who are hired by the industry and anticipates greater student participation with the database in the future. Companies looking to gain access to the collision student resume database and join CREF in supporting high school and college collision school programs should contact Brandon Eckenrode at (847) 463-5244 or Brandon.Eckenrode@ed-foundation .org.

ABRA Auto Body & Glass Donates $81,000 to CREF

ABRA Auto Body & Glass has announced that it has donated $81,000 to the Collision Repair Education Foundation (CREF) to help support collision repair education programs, schools, and students.

Approximately $40,000 of the contribution will go to the Fayetteville Technical Community College in Fayetteville, NC to support efforts assisting military veterans and civilians transitioning into the collision repair industry. Approximately $11,000 of the contribution funded an ABRA-named student scholarship earlier this spring as well as ABRA’s participation in the Foundation’s career fairs around the country throughout the year.

According to the company, for more than two decades, ABRA has supported CREF to help build awareness of collision repair industry career opportunities within local schools and communities. ABRA’s chief people officer, David Kuhl, says the company is proud to support the foundation and committed to ensuring that students have the opportunity to create a rewarding career in an ever-growing industry. “It’s a great feeling knowing this donation will help play a part in the development and growth of our industry as well as support the advancement of students interested in a career in collision repair,” Kuhl said. Brandon Eckenrode, director of development for CREF, said, “We are truly grateful for the long-standing and significant support that ABRA has shown us over the years. Many of these activities would not be possible without the generosity of partners like ABRA Auto Body & Glass.” For more information about ABRA, visit www.abraauto.com/.

INSIST ON GENUINE

GM PARTS Only Original Parts Protect The Vehicleâ&#x20AC;&#x2122;s Value.

CALL ANY OF THESE WHOLESALE WH PARTS DEALERS BELOW. Kentucky

Minnesota

Glenn Buick GMC

Rosedale Chevrolet

800-880-5020

800-247-0585

LEXINGTON

859-263-5022 859-263-8527 Fax

M-F 7:30 am - 5:30 pm Sat 8 am - 5 pm

aworkman@wgautogroup.com

ROSEVILLE

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

parts@rosedalechev.com

Michigan

Alma Chevrolet Buick GMC ALMA

888-229-2336

989-463-0456 Fax M-F 7:30 am - 6 pm

parts@almabuickgmc.com

North Dakota

Gateway Chevrolet Cadillac

Mills Parts Center WILLMAR

800-247-1158

866-235-6700 Fax

Classic Chevrolet MENTOR

800-951-7282

800-352-7275 24-HR Fax

YOUNGSTOWN

800-476-0760

330-726-2297 330-726-0709 Fax

Jake Sweeney Chevrolet

mattf@sweeneycars.com

M-F 7 am - 5 pm

CINCINNATI

VanDevere Chevy

513-782-2846 Fax

800-362-9650

513-782-2829 M-F 7:30 am - 6 pm Sat 8 am - Noon jakesweeneychevy.com

AKRON

330-836-4064 330-836-4074 Fax

M-F 7:30 am - 5:30 pm

chevyparts@vandevere.com

800-342-4260

701-282-8880 701-277-4565 Fax

Sweeney Chevy Buick GMC

M-F 8 am - 6 pm Sat 8 am - 1 pm

FARGO

M-F 8 am - 7 pm Sat 8 am - 4 pm

Minnesota

Ohio

Wisconsin

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

M-F 8am - 5:30pm

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 65

AUTOBODY MARKETPLACE

Stop wasting valuable time

tible: c u d e D 0 0 ,0 1 $ pportunity?

looking for cardboard or cleaning mixing boards!

Problem or O

Clean Sheets® Mixing Boards are used by thousands of repair shops to mix epoxies, body filler, fiberglass, plastics, gel, putty and touch-up paint. • Prevents costly reworks • Bonded on 3 sides • Non-absorbing, heavy-duty paper with grip for mixing • Pays for itself the first week you use them!

tomers We help your cus ged with easily mana nts e installment paym airs! r rep for deductibles o

n Collisio ial Financ es Servic

COLLISIONFINANCIALSERVICES.COM

Clean Sheets® “The Original Patented Mixing Pad

Since 1988”

Call your local Jobber or: 800-365-1308 www.cleansheetsmfg.com When all you need to do is move a vehicle, use:

Repair System

AN G LE RA O T S

www.therailsaver.com

Looking for Good Collision Personnel? •1,262 Collision Techs resumes online •1,295 Painters resumes online •1,177 Estimators & Mgs resumes online •11,256 Mechanical Tech resumes online

ACTautostaffing.com or 727-733-5600

> EASY TO USE <

A must have for quick and easy repairs of side members and frame rails!

Go to www.forkliftwrecker.com and watch our video.

þ Reduce Cycle Times þ Repair More Cars þ NO Heating Necessary

SAVES YOU TIME AND MONEY

877.593.6959

916-316-3642 info@therailsaver.com

Advertise in our CLASSIFIED SECTION for $50 per column inch! Place an ad in our AUTOBODY MARKETPLACE section of Autobody News. 800-699-8251

ltedesco@autobodynews.com

Call or e-mail now for rates: 800-699-8251 or ltedesco@autobodynews.com 66 JULY 2016 AUTOBODY NEWS | www.autobodynews.com

Collision Repair Education Foundation Helps Next Generation of Collision Repairers Find Jobs Seattle, Phoenix, St. Louis, Nashville and Chicago. The Collision Repair Education FounAccording to Eckenrode, “High dation (CREF) hosted career fairs school and college collision students, across the country as part of their instructors and school administrators Cars, Careers and Celebrities initia- who attended said that the events were tive. The organization coordinated 10 eye-opening to how many different types of companies are interested in employing the students. Instead of ‘just hearing about the industry’ from their instructors, students are able to physically see and meet these companies.” CREF’s Cars, Careers and Celebrities initiative is designed to introduce industry employers to local collision students who will be seeking employment. Students have the opportuStudents meet with the various companies involved in nity to see the variety of inthe collision repair industry dustry companies interested career fairs this spring. Brandon Eck- in their future, distribute resumes to enrode, director of development for potential employers, view product CREF, said, “The events went great. demonstrations, and network with each We’ve received great feedback from other. both vendors and attending students, Eckenrode noted, “These events and students are getting hired at these are meant to serve several purposes. events.” They address the industry’s aging The fairs were held in Houston, workforce issue by helping to connect Indianapolis, Orlando, Dallas, Denver, students with industry employees, by Chasidy Rae Sisk

Parts You Need. People You Trust.

Genuine Mitsubishi Replacement Crash Parts are close at hand from the following quality dealerships.

OHIO

Waikem Mitsubishi MASSILLON

800-225-0281

(330) 478-0900 (330) 478-9957 Fax M, Thu 7:30am - 8pm Tue, Wed, Fri 7:30am - 5:30pm Sat 8am - 4pm mmiller@waikem.com www.waikem.com

they serve as motivation for students entering their collision education by revealing the opportunities available after they graduate, and they showcase to school administrators that the multi-billion dollar collision repair industry cares about these students,

Students network with their peers

which demonstrates that investing in their collision programs is worthwhile.” Although the job fairs were a great initial success, CREF is planning improvements, such as electronic registration for students, expanding to new cities, and getting more companies, schools and students involved. The organization also hopes to engage more school administrators in

the future, and they are developing a better system for tracking which students are interviewed and hired during these events. CREF also credits and thanks the Indianapolis, St. Louis, and Phoenix I-CAR Volunteer Committees, as those groups took the lead in organizing the events. CREF will look to get additional I-CAR committees involved to schedule even more career fairs in the future. CREF has released its job fair schedule for Fall 2016 which includes Chicago on September 16; St. Louis on September 23; Boston on October 5; Atlanta on October 20; and Columbus, OH on November 16. They also plan to visit Minneapolis, but the date has not yet been determined. Eckenrode “encourages companies who are interested in participating in these events to reach out to the Education Foundation.” For more information, contact Brandon Eckenrode at (847) 463-5244 or Brandon.Eckenrode@ed-foundation .org.

AutoInc. Seeks Submissions for Top 10 Websites Contest

The Automotive Service Association (ASA) and its official publication, AutoInc. magazine, are inviting all current ASA members to enter the magazine’s annual Top 10 Websites Contest.

ASA will publish reviews of the Top 10 sites in the November-December issue of AutoInc. Winners will be sent extra copies of the magazine to display in their waiting rooms. Addition-

ally, ASA is pleased to announce that all winners will receive $95 off their next membership renewal. According to ASA, a shop’s website is its best business tool to attract and retain customers; aside, of course, from the consistent quality of service.

“AutoInc.’s Top 10 Websites Contest is a great opportunity for us to recognize our members for their hard work with their single greatest marketing tool,” said Leona Dalavai Scott, director of marketing and communications for AutoInc. “With an increasing number of motorists finding repair shops through online searches on their mobile devices, shops understand that their websites must be top-notch to capture consumers.” ASA’s panel of judges will provide a uniform evaluation of each site’s specific features, including: ▪ Mobile-friendly and mobile-ready ▪ Technical ▪ Innovation ▪ Call to action ▪ Credibility ▪ First impression/visual design ▪ Social media presence ▪ Objective/purpose ▪ Consumer friendliness

The deadline for this year’s contest is July 15. To access the entry form and contest guidelines, visit http://www .autoinc.org/top-10-websites/

www.autobodynews.com | JULY 2016 AUTOBODY NEWS 67

68 JULY 2016 AUTOBODY NEWS | www.autobodynews.com