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U.S. House Committee Holds Hearings on Career and Technical Education Act On May 18 the U.S. House Commit- serve those seeking to enter the techtee on Education and the Workforce nical workforce. Witnesses included: held a hearing titled, “Helping Stu- Sen. Tim Kaine, D-Va. dents Succeed by Strengthening the Paul Tse, project manager, Shapiro & Duncan Inc. Carl D. Perkins Career and Jason Bates, manager, ToyTechnical Education Act.” ota Bodine Aluminum Inc. Reauthorized in 2006, Dr. Monty Sullivan, presithe Carl D. Perkins Act allodent, Louisiana Community cates federal grants to states and Technical College Sysfor distribution to secondary tem school districts and post-secThroughout the hearing, ondary institutions. The purSen. Tim Kaine, the witnesses and members pose of the hearing was to D-VA recounted personal examples examine the Carl D. Perkins Act and others like it to determine of the value of local career and techwhat reforms should be made to best See U.S. House Hearings, Page 21
Ray Fisher of ASA-MI Addresses Changes to Motor Vehicle Service Repair Act, Governor Vetos Bill
See MI Bill Veto , Page 20
P.O. BOX 1516, CARLSBAD, CA 92018
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
Change Service Requested
by Stacey Phillips
VOL. 7 ISSUE 5 JULY 2016
MS and IN Lawsuits Alleging Steering and Price Fixing by Insurers Ordered Closed by Judge by Stacey Phillips
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.
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 18
Tennessee Steering Lawsuit Against Progressive Insurance Dismissed by Stacey Phillips
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 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 customers 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 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 TenSee TN Lawsuit, Page 16
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2 JULY 2016 AUTOBODY NEWS | www.autobodynews.com
Contents
NATIONAL 10 Students Awarded Grants to Attend SkillsUSA’s Conference . . . . . . . . . . . . 59 75-Year-Old CA Technician Discusses Career, Why He’s in No Rush to Retire . . 30 AAAS Awards 20 Scholarships for 2016-2017 School Year . . . . . . . . . . . . . 8 ABRA Auto Body & Glass Donates $81,000 to CREF . . . . . . . . . . . . . . . . . 67 AkzoNobel Introduces New Color
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 experi-
ence 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.
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 Audi Wholesale Parts Dealers . . 38-39 Axalta Coating Services . . . . . . . . . . 5 BMW Wholesale Parts Dealers . . . . 58 Car-Part.com . . . . . . . . . . . . . . . . . . 13 CarcoonAmerica Airflow Systems . 28 Certified Automotive Parts Association (CAPA). . . . . . . . . . . 43 Chief Automotive. . . . . . . . . . . . . . . 17 Classifieds. . . . . . . . . . . . . . . . . . . . 66 Coggin Deland Honda . . . . . . . . . . 24 Dent Magic Tools . . . . . . . . . . . . . . 18 Diamond Standard Parts . . . . . . . . 49 Eckler’s Automotive . . . . . . . . . . . . . 9 Eco Repair Systems of North America, LLC. . . . . . . . . . . . . . . . 20 ECS Automotive Concepts . . . . . . . . 6 EMM . . . . . . . . . . . . . . . . . . . . . . . . 23 Equalizer Industries, Inc . . . . . . . . . 41 Everett Chevrolet-Buick-GMCadillac . . . . . . . . . . . . . . . . . . . 53 Ford Wholesale Parts Dealers . . . . 59 GM Wholesale Parts Dealers . . . . . 61 Gus Machado Ford . . . . . . . . . . . . . 48 Hendrick Automotive Group . . . . . . 19 Hendrick Automotive Group of Charleston. . . . . . . . . . . . . . . . . . 68 Hendrick BMW/MINI . . . . . . . . . . . . 21 Hendrick Dodge . . . . . . . . . . . . . . . 16 Herkules Equipment Corporation. . 30 Honda-Acura Wholesale Parts Dealers. . . . . . . . . . . . . . . 33, 34-35 Hyundai Wholesale Parts Dealers. . 60 Jim Cogdill Chrysler-Dodge-JeepRam . . . . . . . . . . . . . . . . . . . . . . . . 4 Jon Hall Chevrolet . . . . . . . . . . . . . 46 Kernersville Chrysler-DodgeJeep-Ram . . . . . . . . . . . . . . . . . . 25
Serving Florida, Georgia, Alabama, Mississippi, Virginia, Tennessee, North Carolina, South Carolina 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.
Southeast
COLUMNISTS Attanasio - Body Shop Office Manager Racing Toward Her Dreams . . . . . . . . . 58 Attanasio - Indoor Advertising Engages Consumers in Prime Locations . . . . . . 36 Attanasio - New Collision Career Institute Launched for All the Right Reasons . . . 56 Luehr - Lean Problem Solving . . . . . . . . . 42 Phillips - GM Manager Addresses State of Collision Repair Business; Considering Certification Program. . . . . . . . . . . . . . 54 Phillips - Massachusetts Collision Center Finds Multiple Benefits Hiring Students in Family Business . . . . . . . . . . . . . . . . 32
Software . . . . . . . . . . . . . . . . . . . . . . . 64 ASA-CO Members Learn Importance of Record-Keeping . . . . . . . . . . . . . . . . 47 Auto Care Association Participates in Copyright Roundtables on Embedded Software and DMCA . . . . . . . . . . . . . . 21 Auto Claims — The High Cost of Keeping Pace with Technology . . . . . . . . . . . . . 52 AutoInc. Seeks Submissions for Top 10 Websites Contest. . . . . . . . . . . . . . . . . 62 BASF Glasurit, R-M Automotive Refinish Products Get Global GM Approval . . . . 28 Car-O-Liner Receives Lamborghini Approval. 13 Chip Foose and KC Mathieu Demonstrate Spray Gun Duel at BASF Automotive Refinish Open House . . . . . . . . . . . . . . 46 Collision Safety Consultants Announce Fourth Location . . . . . . . . . . . . . . . . . . 14 CREF Helps Next Generation of Collision Repairers Find Jobs . . . . . . . . . . . . . . . 64 CREF Launches Successful Pilot of Collision Student Resume Database . . . 64 Department of Motor Vehicles Inspects Auto Repair Businesses For Proper Permits. . 63 Erick Bickett, Progressive’s Concierge Program, Crash Prevention, Allstate Compliance . . . . . . . . . . . . . . . . . . . . . 40 First Self-Driving Semi in U.S. Hits The Road—on top of Nevada’s Hoover Dam. . 4 Gordon Michael Joins Spanesi Americas . 13 Grateful Illinois Body Shop Owner Ready to Give Back . . . . . . . . . . . . . . . . . . . . 46 Greg Coccaro Sr. Passes Away at 66 . . . . 67 Labor Rates are the Foundation of Consumer Care & Safety . . . . . . . . . . . 48 Maaco Says it Aims to Have Shops in Every State as Aggressive Growth Continues . . 50 Martin Senour Launches New Industrial Maintenance Coatings DTM Acrylic Enamel . . . . . . . . . . . . . . . . . . . . . . . . 62 Mitchell Issues Second Quarter 2016 Industry Trends Report, Mitchell1 Expands RepairConnect Integration . . . 28 Personal Safety Division Launches 3M Center for Respiratory Protection . . . . . 60 PPG Foundation Awards Student Scholarships . . . . . . . . . . . . . . . . . . . . 67 PPG Introduces EC550 En-V® Ultra Gloss Clearcoat . . . . . . . . . . . . . . . . . . . . . . . 62 Ray Evernham Leads Preservation of Iconic American Graffiti Impala With Axalta Coatings . . . . . . . . . . . . . . . . . . 60 The Throw Away Society . . . . . . . . . . . . . 44 U.S. Aftermarket to Grow at an Annual Rate (CAGR) of 3.7% through 2019 . . . 63 WIN Accepts Sponsorship from AkzoNobel & Presents ‘Cornerstone Award’ at WIN Conference . . . . . . . . . . . . . . . . . . . . . 27
Indexof Advertisers
REGIONAL 11 Detained in Drug Raid at Auto Parts Business in GA . . . . . . . . . . . . . . . . . . . 6 All roads lead to Montross . . . . . . . . . . . . 14 Atlanta I-CAR Committee Golf Tournament Raises Over $40K for CREF . . . . . . . . . . 6 CARSTAR Macon Showcases New Facility at Grand Opening Celebration. . . . . . . . . 8 East Tennessee Ford, Dodge Celebrate New Campus. . . . . . . . . . . . . . . . . . . . 11 FL Shop Profile: Dick and Todd Cornwall of C&C Auto Body . . . . . . . . . . . . . . . . 26 I-CAR Nashville Committee Awards Students With Tool Grants . . . . . . . . . . . 6 MS and IN Lawsuits Alleging Steering and Price Fixing by Insurers Ordered Closed by Judge . . . . . . . . . . . . . . . . . . 1 Online Car Title Lender Banned From NC for Unlawful Loans, AG Says . . . . . . . . 15 Patrick Henry CC in VA Co-Designs Academic Program with Pros. . . . . . . . 27 Randolph Community College in NC Reintroduces Evening Collision Repair Courses This Fall. . . . . . . . . . . . 10 Spanesi Americas Continues Expansion in Gulf States . . . . . . . . . . . . . . . . . . . . . 3 Tennessee “Steering” Lawsuit Against Progressive Insurance Dismissed. . . . . . 1 Three Meridian, MS Residents Indicted for Scheming to Defraud GEICO Insurance . 10 Virginia Auto Body Shop Attains Highest Recognition . . . . . . . . . . . . . . . . . . . . . 13
Spanesi Americas Continues Expansion in Gulf States
Autobody News Box 1516, Carlsbad, CA 92018; (800) 699-8251 (760) 603-3229 Fax www.autobodynews.com Email: news@autobodynews.com
Kia Motors Wholesale Parts Dealers. 57 Lexus Wholesale Parts Dealers . . . 63 Lusid Technologies . . . . . . . . . . . . . 55 Mazda Wholesale Parts Dealers . . . 67 Mercedes-Benz . . . . . . . . . . . . . . . . 29 Mercedes-Benz Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 54 MINI Wholesale Parts Dealers . . . . 58 MOPAR Wholesale Parts Dealers . . 37 NACE / CARS Trade Show . . . . . . . 45 Nissan of Richmond . . . . . . . . . . . . 36 O’Brien Hyundai-Subaru-Mazda . . 47 O’Reilly Auto Parts . . . . . . . . . . . . . 51 Orio . . . . . . . . . . . . . . . . . . . . . . . . . 22 Polyvance . . . . . . . . . . . . . . . . . . . . 12 Porsche Wholesale Parts Dealers . 56 PPG . . . . . . . . . . . . . . . . . . . . . . . . . . 2 Priority Automotive Group . . . . . . . 15 ProLine Tool & Supply . . . . . . . . . . 11 Radley Chevrolet. . . . . . . . . . . . . . . 42 Rick Hendrick Chevrolet Naples. . . 50 Rick Hendrick Dodge-ChryslerJeep-Ram. . . . . . . . . . . . . . . . . . . 32 Riverside Ford-Lincoln . . . . . . . . . . 40 Safety Regulation Strategies . . . . . 52 SATA Dan-Am Company . . . . . . . . 31 Sherwin-Williams Automotive Finishes . . . . . . . . . . . . . . . . . 26, 27 Southside Kia . . . . . . . . . . . . . . . . . 10 Spartanburg Chrysler-DodgeJeep-Ram . . . . . . . . . . . . . . . . . . . 8 Subaru Wholesale Parts Dealers . . 65 Tameron Hyundai . . . . . . . . . . . . . . 44 U-POL US . . . . . . . . . . . . . . . . . . . . 14 Valspar Automotive . . . . . . . . . . . . . . 7 Volkswagen Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 62
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.
www.autobodynews.com | JULY 2016 AUTOBODY NEWS 5
Atlanta I-CAR Committee Golf Tournament Raises Over $40K for CREF by Chasidy Rae Sisk
Golf Club at Bradshaw Farm in Woodstock, GA. Nearly 200 golfers participated, and proceeds from the event benefitted the Collision Repair Education Foundation (CREF). Gerry Poirier, Chairman of the Atlanta I-CAR Committee, states, “Weather predictions all week called for rain that day, but the
big hit with balls being shot out over 300 yards, and the Helicopter Ball Drop, sponsored by PPG, went off without a hitch. Seven balls ended up in the cup, so the $2000 prize was split seven ways with most folks re-donating the money to CREF.”
Attendees enjoyed the beautiful weather
skies cleared just in time for a perfect day - sunny and in the low 80s. We raised over $42,500 for the Foundation, exceeding our high last year of $36,500.” Several new activities were added to this year’s event and were greatly enjoyed by attendees. Atlanta I-CAR Committee member Eric Lerner from IAA dressed in hockey gear, and tickets were sold for attendees to try to hit him on the driving range. Poirier recounts, “The AR-15 Golf Ball Launcher was a
Helicopter drop
Speakers at the event included John VanAlystne and Nick Notte from I-CAR, as well as CREF’s Clark Plucinski. The group also saluted the U.S. Military since they had an active duty Black Hawk pilot in attendance who is looking to retire from the military and join the automotive industry.
11 Detained in Drug Raid at Auto Parts Business in GA
by Kristen Reed, 11Alive.com
Eleven people are detained after a drug raid [in Lithia Springs, GA.] Douglas County Sheriff’s Deputies raided an auto parts business in the 4100 block of Veterans Memorial
Pkwy. after complaints about drug activity from community members. According to a release, investigators were able to purchase methamphetamine from McDuffie’s Auto Repair Shop twice. With this evidence they obtained, police received arrest and search warrants. While serving the warrants, police found one suspect in the duct work inside the building and another in a vehicle that was being worked on. Police arrested one juvenile and ten adults on charges that range from
possession of methamphetamine and drug-related object to the sale of the drug. investigators also found meth, syringes and other drug paraphernalia at the auto shop. David Woodall and Ashley Pryor are charged with the sale of methamphetamine, possession of methamphetamine and drug-related objects. Charged with possession of methamphetamine and drug-related objects: - Louis Brown - John Adama - George Lowery - William Shuler - Brad Norris - Brittanie Rhodes - Tara Carter - Astrid DeBont (juvenile) Thank you 11Alive.com for permission to reprint this story.
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Additionally, instructors from Atlanta Technical College and instructors, the principal and assistant principal from Maxwell High School spoke “about the importance of the CREF and how everyone’s support is vital to their survival,” Poirier says. In addition, students from the Atlanta Technical College painted 14 hoods to be used as trophies.
Nearly 200 golfers attended Atlanta I-CAR Committee’s 2016 Golf Tournament
Poirier states, “We had over 37 sponsors at all levels. Hendrick Automotive was our Diamond Sponsor and also hosted our 19th hole experience, a virtual golf experience complete with playoff. Tons of prizes were donated, including an Apple Watch!” Next year’s Atlanta I-CAR Committee Golf Tournament is tentatively scheduled for April 26, 2017.
I-CAR Nashville Committee Awards Students With Tool Grants
The I-CAR Nashville Committee awarded three collision students each with $1,500 in tools through a spring tool grant opportunity with the Collision Repair Education Foundation. The tool grant was made available to students from Tennessee College of Applied Technology College in Livingston. The student winners of the 2016 I-CAR Nashville Committee Tool Grant are Summer Dennis, Justin Hancock, and Bailey Norris. “The Nashville I-CAR Committee is honored to be presenting this award to three deserving students,” said Carl Tinch, chairman of the Nashville I-CAR Committee. “Congratulations to each of you. We are committed to growing our industry through supporting our local schools, instructors and their students.” Industry members interested in working with CREF in supporting 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.
www.autobodynews.com | JULY 2016 AUTOBODY NEWS 7
CARSTAR Macon Showcases New Facility at Grand Opening Celebration
CARSTAR Macon has recently gone through a complete transformation and celebrated with a grand opening
celebration on May 20. The event featured lunch, door prizes, and the presentation of a refurbished 2003 Honda CRV to a deserving student from Central Georgia Technical College (CGTC). The CGTC Foundation facilitated the donation of the car. The shop, formally known as CARSTAR Preferred Collision, has relocated from an 8,500 square-foot-facility to a modern 23,000-square-foot building. According to CARSTAR, the new location will be able to better serve customers with features like a drive-in estimating bay, office space to meet with insurance companies, spacious reception area, and a larger,
up-to-date production area for technicians to perform high-quality repairs. “It’s a very well-built facility,” said Walter Lee, owner of CARSTAR Macon. “It allowed us to do much more than what we could in our old building. The new location allows us to add more customer friendly features, room for insurance companies to work with both us and our customers, and the square footage to grow and modernize our collision repair space.”
Lee is also the chairman of the local I-CAR committee and plans to utilize the facility’s upstairs office space for meetings and I-CAR training.
8 JULY 2016 AUTOBODY NEWS | www.autobodynews.com
AAAS Awards 20 Scholarships for 2016-2017 School Year
by Chasidy Rae Sisk
The Automotive Aftermarket Association Southeast (AAAS) recently awarded 20 scholarships for the 2016-2017 academic year. Fifteen general scholarships were awarded through the AAAS Education Foundation (AAASEF) while the remaining five were memorial scholarships honoring past association members who have had a profound and major impact on the association and the industry as a whole. AAASEF scholarships are awarded to students who are sponsored by members of the association. This year’s AAASEF scholarship recipients include Jordan Battee from Clayton, DE; Kyle Beasley of Honoraville, AL; Stephanie Burgett from Pinson, AL; Adrian Day of Montgomery, AL; Andrew Golfos from Daphne, AL; Taylor Griffin of Andalusia, AL; Cambria Matthews from Pinson, AL; Frances Reilly of Brandon, MS; Emmalee Richards from Lake Whales, FL; Taylor Swindle of Warrior, AL; Kirsten Terhofter from Tallahassee, FL; Cole Turner of Wetumpka, AL; Haley Turner from Wetumpka, AL; Steven Trunec of Hoover, AL; and Emily Quattlebaun from Midland City, AL.
AAAS Memorial Scholarships are endowed by AAAS members, family and friends. The 2016 Dick Bell Memorial Scholarship was awarded to Rachel Berbert of Marianna, FL, and Olivia Kampwerth from Birmingham, AL received the Gertrude Ellis Memorial Scholarship. The Stan Waits Memorial Scholarship was awarded to Justin Lee of Union Grove, AL, while the Al Hines Memorial Scholarship went to Luke Liles of Tallahassee, FL. Alex Ward from Bainbridge, GA received the 2016 Memorial Scholarship. The AAASEF also reserved scholarship funds for association members and their employees who wish to continue their education or enhance their skills through a variety of forums, including trade schools, junior colleges and manufacturer-sponsored clinics with the goal of expanding and enhancing the skills and knowledge of AAAS members and their employees. AAAS collaborates with the Global Automotive Aftermarket Symposium (GAAS) Scholarship Committee, which allows students to complete a single online application at automotivescholarships.com/AAAS to be eligible for the AAAS and GAAS scholarships as well as other industry awards.
www.autobodynews.com | JULY 2016 AUTOBODY NEWS 9
Randolph Community College in NC Reintroduces Evening Collision Repair Courses This Fall Randolph Community College will offer evening courses in its Collision Repair and Refinishing Technology program this fall for the first time in several years. The courses will lead to a 14-credit-hour certificate. According to Dan Moore, department head for Collision Repair & Refinishing Technology, the reinstatement of evening courses will make the program more convenient for those who are already employed but want to learn a new skill or possibly change careers. “We have not held these courses in a few years, but there has been some interest expressed to me from the public,” Moore said. The certificate can be completed in
one year if the student takes two courses each semester. The fall 2016 courses include: AUB-121, Nonstructural Damage I; and TRN-180, Basic Welding for Transportation. If students take both courses, they will attend class Monday through Thursday evenings each week from August 15 through December 13. TRN-180 meets on Mondays from 6-7:50 p.m. and on Tuesdays from 68:40 p.m. AUB-121 will meet on Wednesdays from 6-7:50 p.m. and on Thursdays from 6-8:40 p.m. in the Richard Petty Education Center on the Asheboro Campus. The AUB-121 course introduces safety, tools, and the basic funda-
mentals of body repair. Topics include shop safety, damage analysis, tools and equipment, repair techniques, materials selection, materials usage, and other related topics. TRN180 covers the terms and procedures for welding various metals used in the transportation industry with an emphasis on personal safety and environmental health. Topics include safety and precautionary measures, setup/operation of MIG equipment, metal identification methods, types of welds/joints, techniques, inspection methods, cutting processes and other related issues. Two additional courses—AUB111, Painting & Refinishing; and AUB-
Three Meridian men have been arrested following their indictments for insurance fraud in Lauderdale County, Attorney General Jim Hood announced on June 17. Meridian residents Toreno L. Griffin, 35, and Kyle Johnson, 29, were recently arrested by investigators with the Attorney General’s Insurance Fraud Unit following their indictments by a Lauderdale County Grand Jury. Each was charged with one count of insurance fraud and one count of conspiracy
to commit insurance fraud. Griffin and Johnson are accused of intending to gain a benefit for themselves to which they were not due by allegedly scheming to defraud GEICO Insurance Company by filing false claims for damages received in an automobile collision. Griffin and Johnson were booked into the Lauderdale County Jail. If convicted, each defendant faces up to eight years in jail; five years for conspiracy and
three years for insurance fraud and a total of $10,000 in fines. Johnson faces additional charges in a separate indictment with the third defendant, Vanoy Adams, 22, of Meridian. Each is charged with one count of insurance fraud and one count of conspiracy to commit insurance fraud. The indictment alleges that Johnson and Adams worked together to appropriate a benefit to themselves to which they were not entitled by executing a scheme
Three Meridian, MS Residents Indicted for Scheming to Defraud GEICO Insurance
131, Structural Damage I—will be offered in spring of 2017 to complete the certificate. All of these courses are transferable if the student decides to pursue a diploma or degree. Registration is ongoing this summer. Students interested in these courses must first apply for admission to RCC by visiting http://www.randolph.edu/ new-and-returning-students.html. Students are encouraged to complete the admission steps as early as possible to be ready to register well before the August 15 starting date. For more information about the Collision Repair and Refinishing Technology program, contact Dan Moore at (336) 633-0377.
to defraud GEICO Insurance Company in that false insurance claims were filed for damages received in an automobile collision. If convicted, Adams faces up to five years in jail for conspiracy and three years for insurance fraud as well as a total of $10,000 in fines. Johnson faces up to an additional eight years (five for conspiracy, three for insurance fraud) and $10,000 in fines for a total of 16 years behind bars and a total of $20,000 in fines.
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East Tennessee Ford, Dodge Celebrate New Campus in Crossville, TN by Crossville Chronicle
East Tennessee Ford has just completed a floor to ceiling renovation of its showroom and sales floor, joining East Tennessee Dodge on the campus of the largest automotive sales lot in the county—conveniently located on N. Main St. “We’ve made changes that really step-up the customer experience to provide better service,” said Brandon Letner, general manager for East Tennessee Dodge. The newly renovated East Tennessee Ford showroom is now about twice the size as before. All new furniture and fixtures complete the facelift. “We’re looking forward to having more space to better serve our customers,” said Michael Ament, manager of East Tennessee Ford. “We appreciate everyone bearing with us during these past three months of renovation and construction.” The renovation is the latest effort to provide customers with a unique shopping experience at a dealership with the selection of a large, metropolitan dealer combined with a smalltown feel. “You don’t normally see a Chrysler, Dodge, Jeep, Ram and Ford
store side by side, with this amount of road frontage, and this amount of inventory in a small town,” Letner said. “It’s a mini auto mall.” East Tennessee Dodge offers an expansive inventory with about 320 new cars while East Tennessee Ford
Credit: Crossville Chronicle
adds another 200 new cars. There are also about 330 pre-owned models on the lot. “That’s an inventory of nearly 1,000 new and pre-owned cars and trucks on the ground,” Letner said. Yet the dealership has remained committed to providing top-notch service in addition to its high-volume sales. In fact, it’s been named the no. 1 Dodge, Chrysler, Ram dealership in the district many times in the past year
and half — that’s no. 1 among 68 dealerships. “I don’t think people expect that kind of volume out of little ol’ Crossville, but I think we are able to do that kind of volume because we take care of our customers. Our owner loyalty is the highest in the district,” Letner said. “We’re in a small town and have a small-town feel, but we do volume just like any metro store you could walk into.” Both Chrysler, Dodge, Jeep and Ram and the Ford dealerships offer full service departments with factory-certified technicians able to serve all makes and models. At East Tennessee Dodge, an express lane provides customers access to oil changes without need for an appointment and a goal of having customers in and out with an oil change in under half an hour. “We want customers to know that if you’re in a hurry and need a quick oil change, you can get the service here,” Letner said. “You can bring it to the dealer and get it done in a timely manner and less expensively. And, all your service records are documented, which is particularly nice if you have a
new vehicle under warranty.” The automotive family also owns the former Crossville Ford location where the body shop is in full operation and has expanded to meet the community’s needs. “Our body shop manager has 30 years’ experience,” said Jon Buckner, service manager. “We offer a lifetime paint warranty and we work with all insurance companies.” The body shop offers bumper-tobumper bodywork, including structural inspections, collision repair, bumper refinishing, glass and windshield repair, headlight restoration and guaranteed color matching. Free written estimates are provided and they work with insurance companies to file claims. A new feature at both East Tennessee Dodge and East Tennessee Ford is a complimentary café to serve customers while they wait for their car to be serviced or while shopping for their new or pre-owned automobile. To learn more about East Tennessee Ford, visit www.ETNFord .com. To learn more about East Tennessee Dodge, visit www.easttennessee dodge.com. We thank the Crossville Chronicle for reprint permission.
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Virginia Body Shop Attains I-CAR Gold Class Recognition Conner Brothers Body Shop in Midlothian, VA has achieved the Gold Class Designation. This Gold Class recognition is one of the highest designations that an auto body shop can obtain. It is estimated that only ten percent of repair shops currently meet the rigorous Gold Class standards. The requirements for Gold Class Designation are to maintain ongoing training and testing to keep repair technicians up-to-date on the latest vehicle models, technologies and repair methods. Gold Class is not a certification that lasts a certain number of years, but rather a designation indicating that a shop undergoes ongoing, up-to-date training annually. Per Gold Class standards, technicians who are involved in collision repair must understand new vehicle technologies and repair procedures, and the role-relevant training achievement must be recognized by the collision repair industry. Trained experts represent each of the four key collision repair roles of Estimator, NonStructural Technician, Steel Structural Technician and Refinish Technician. According to the company, Conner Brothers Body Shop in Midlothian Virginia has in-house knowledge across
all of the collision repair roles necessary for complete, safe and quality repairs, and up-to-date training in how to fix vehicles properly. The educational programs required to meet Gold Class Certification include the I-CAR Professional Development Program. The I-CAR Professional Development Program (PDP) trains collision repair professionals in essential role-relevant knowledge and skills. I-CAR Platinum Certification is designed specifically to meet the demands of the changing industry, especially as new models of vehicles are being designed every day. Technicians that have I-CAR platinum certification meet the industry standards of safe and quality repairs. “Our work is done to meet safety standards; we call it ‘crash worthiness,’” said Kevin Conner, owner of Conner Brothers. “Crash worthiness focuses on driver and passenger protection to reduce the number of injuries that occur in the United States each year. The crash worthiness research program is responsible for developing and upgrading test procedures for evaluating motor vehicle safety. At Conner Brothers, we guarantee our repairs for as long as you own the vehicle. In fact,
we were the first in Virginia to offer such a warranty.” There are several certifications required to meet the Gold Class Standard. Conner Brothers Master Body Repair Technicians are certified welders. Master Paint Technicians are certified both in I-CAR Platinum and with Sherwin Williams Automotive Finishes. “We take training very seriously,” Conner said. “We ensure our technicians use the proper techniques through theory instruction, hands-on practice and coaching. The objective is to improve production and maintain the highest quality repair.” More information can be found on Conner Brothers’s website at http:// www.connerbrothers.com.
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Car-O-Liner Receives Lamborghini Approval
Car-O-Liner® has announced that Automobili Lamborghini has approved Car-O-Liner frame straightening and measuring systems. The approval includes the Car-O-Liner Quick 42 frame alignment system, the Car-O-Tronic Vision2 X3 electronic measuring system, and the EVO anchoring, holding and fixturing system. According to the company, only Lamborghini-approved workshops will be given access to Lamborghini data found in the Car-O-Liner CarO-Data vehicle measurement database. “We are very happy and proud to welcome Lamborghini as a partner along with the other members of the Volkswagen Group: Volkswagen, Audi, Skoda, Seat, and Porsche,” said Stephen Paschke, Sales Director for Car-O-Liner GmbH. “This global partnership is further proof that Car-O-Liner equipment meets the high standards for product performance, service, support and distribution required by one of the leading vehicle manufacturers in the world.” For more information, visit www.car-o-liner.com.
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.
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www.autobodynews.com | JULY 2016 AUTOBODY NEWS 13
Collision Safety Consultants Announce Fourth Location Billy Walkowiak, President and founder of Collison Safety Consultants, has announced the opening of the company’s fourth location.
Collision Safety Consultants of Southeastern Louisiana will serve the Greater New Orleans Area. The owners are Pat and Vera O’Brien. “The company will follow our corporate mission,” said Walkowiak. “They will do diminished value reports, perform post collision repair inspections and total loss vehicle valuations. They will be advocates working with lawyers, body shops, vehicle owners and automotive dealerships. They will also assist shops to improve quality control by advising them, helping them to locate and perform proper repair procedures. For more information, call (504) 452-4428.
All roads lead to Montross by The Westmoreland News
The 23rd annual Northern Neck Region (NNR) Antique Automobile Club of America’s (AACA) Antique Auto Show cruised through Montross Saturday, June 11 to Stan’s Skateland, welcoming participants to showcase many of their authentic motor vehicles in hopes of taking home various trophies and cash prizes. Originally set for May 21, the event was postponed due to inclement weather, which left show participants and spectators from all over the state of Virginia eager to see blue skies and sunshine at this year’s event. The show featured 15 different classes of vehicles all ranging in year, type, make and origin for owners to be judged. These included the stunning varieties of preserved antique classics that were lined across the lot along with dozens of both old and newer versions of muscle and foreign cars, Mustangs, Corvettes, Thunderbirds and several makes of trucks and motorcycles. Each class was offered the chance to win either first, second or third place trophies or plaques depending upon the category. Special awards were also given out such as “Mayor’s Choice,” “Stan’s Choice,” “Top Sponsor Choice,” “Top Rat Rod,” two “Best of Show”
14 JULY 2016 AUTOBODY NEWS | www.autobodynews.com
awards for antique and modified cars as well as an “Oldest Car Award.” As far as could be seen, the oldest car on the lot was a fully-functional Ford Model T flatbed truck that was built in 1922, making it now 94 years old and a prized possession for its owners over the last 40 years. Many owners shared some unique
Rows of colorful vintage cars were the main attraction at this unique event. Credit: Westmoreland News
stories about their vehicles and how special they have come to be. Three-year Montross show participant Sonny Cochrane and his son Justin Cochrane trekked their way from Richmond, VA to show off their all-steel 1940 Resto Rod Ford Deluxe Coupe, which they have had for the last eighteen years after purchasing it from a Richmond police officer. According to the Cochrane’s, the car houses a Ford 302 engine with a
1969 Mexican Block as well as a 1993 cylinder head and crankshaft. It also uses a Ford C-4 Automatic transmission that includes a shift-kit. Sonny Cochrane and his son have driven their car to events all over the state of Virginia for the past seventeen years as well as to places in Maryland, North Carolina, South Carolina and West Virginia. According to the Cochrane’s, they have won several awards during their many auto show adventures. “I think by the end of this season, we will have 300 trophies in our garage,” Sonny Cochrane said. “Our main thing is that we try to stay away from shows in Richmond as much as possible. We like to stretch out and go to shows anywhere from 75 to 150 miles out of Richmond. Last year at this time we were in Lynchburg, Virginia, but we have been really fond of this show in Montross for the last three years. We would certainly like to keep coming.” Through the assistance of more than 100 hundred registered vehicles and their owners, the show’s proceeds have served to benefit the Northern Neck Technical Center for an “Automotive Technical and Body Repair” scholarship. Thank you Westmoreland News for reprint permission.
Online Car Title Lender Banned From NC for Unlawful Loans, AG Says An online car title lender that charged outrageous interest rates and took consumers’ cars with little or no warning has been banned from making loans in North Carolina. “Families who need a little extra money to deal with an illness or a layoff deserve a fair loan, not a rip off,” said Attorney General Roy Cooper. “North Carolina has long made illegal these expensive loans with excessive interest rates, and my office is here to enforce the law for consumers.” Cooper filed suit in May against the lender, which does business as Autoloans, Car Loan, Sovereign Lending Solutions and Title Loan America for charging North Carolina consumers average interest rates of 257 percent on loans of $1,000 to $2,500. Title loans are small dollar loans secured by consumers’ car titles. State law caps interest rates on such loans at 30 percent for licensed lenders and at 16 percent for unlicensed lenders, such as the defendants. Under an order signed by Wake County Superior Court Judge Don-
ald W. Stephens, while the lawsuit is underway, the company and its owners are barred from making or collecting on loans in North Carolina; repossessing, selling or placing liens on any car owned by a North Carolina consumer; destroying records; and spending or transferring any money. Cooper is seeking a permanent ban on the defendants’ illegal lending business, cancellation of previous loans and liens, and refunds for North Carolina consumers. According to the Attorney General’s investigation, the title lender has operated since 2012 under various names and appears to be based in Florida, although to evade lending laws, the business incorporated in the Cook Islands, New Zealand and previously claimed affiliation with a Native American tribe in Michigan. As alleged in the complaint filed with the court, at least 700 North Carolina consumers took out title loans from the defendants. In addition to charging sky-high annual interest rates of 161 percent to 575 percent, most of the loans included
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payments on interest only for the first 11 months and a final balloon payment larger than the original loan amount. This came as a shock to many borrowers because the lender often misstated interest rates, withheld details of the loan, and failed to give consumers a copy of their written loan agreement. The lawsuit contends that when consumers couldn’t make the onerous payments, the defendants repossessed their cars illegally. The lender sent borrowers a GPS tracker to install on their cars and placed a lien on their car titles. If a consumer paid late or missed a payment, the defendants used the GPS tracker to find and repossess the consumer’s car. Consumer affidavits filed with the lawsuit show the impact of the illegal lending scheme. A Greensboro couple took out a loan from Title Loan America to help with medical expenses. They paid nearly $3,400 on a $2,000 loan, but were told they owed an additional balloon payment of $1,700, which they hadn’t known because they never received a copy of the loan agreement. When the cou-
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ple couldn’t make the unexpected payment, the defendants repossessed their car while they were taking their daughter to school and sold the car at auction. A Garner man borrowed $1,250 from the defendants after his in-laws became ill and needed to move in with him. He paid more than $4,000 on the loan but was told he owed nearly $4,500 more. He asked for an extension because he didn’t want to lose his car, but the defendants still towed it and sold it. A Burgaw family facing foreclosure on their home turned to the defendants for a $2,900 loan with what they were told was an interest rate of 18 percent and a final balloon payment of $531. Months later, after repeatedly requesting a copy of the loan agreement, they learned their loan actually came with an interest rate of 218 percent and a final payment of $3,531. When they complained, the defendants threatened that they knew where the family lived and would come take their car. The family had to move their car to keep
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TN Lawsuit
nessee 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 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 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
16 JULY 2016 AUTOBODY NEWS | www.autobodynews.com
instances where a Progressive insured or 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 returning 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. Autobody News will continue to follow these cases.
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Unlawful Loans
it safe. The Attorney General’s Office has mailed letters to consumers who took out loans from the defendants to make them aware that the defendants cannot collect payments or repossess cars under the current court order. The office has also written towing companies and automobile auction houses that have previously done business with the defendants to notify them about the court’s order. A total of eight consumers have complained to the Attorney General’s Consumer Protection Division about the defendants’ unfair loans to date. To file a consumer complaint, call 1-8775-NO-SCAM toll-free within North Carolina or use the online complaint form at ncdoj.gov. “Consumers who are desperate for quick cash may feel pressured to overlook the warning signs of a bad loan,” Cooper said. “If you need a small loan, talk to multiple lenders, get everything in writing, and review it carefully before you sign.”
www.autobodynews.com | JULY 2016 AUTOBODY NEWS 17
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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
18 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 30
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MI Bill Veto
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 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 ity as verified by the Certified Autoreceived an affirmative vote of 33-3 motive Parts Association, NSF Interthe next day with one Senator being national, or another nationally absent. recognized automotive parts testing The following amendment was agency. added to House Bill 4344: (D) A part that does not meet If a motor vehicle repair facility subdivision (A), (B), or (C), if the fathat is subject to this act replaces a cility is directed by the owner of the major component part described in motor vehicle in writing to install that section 2A(A)(iii) to (xiv) during the part. term of the vehicle manufacturer’s “On its face, this policy seems to original warranty, or during be intended to protect conthe first 5 years of the vehisumers and ensure vehicles cle manufacturer’s original are safely repaired. That is a warranty, whichever is less, laudable goal,” Snyder wrote. the motor vehicle repair fa“The Insurance Institute for cility shall replace the major Highway Safety indicates component part, and a person that some structural parts, that is an owner or operator such as bumpers, do impact a Ray Fisher of the motor vehicle repair consumer’s safety. However, file photo facility shall ensure that the the Institute also points out major component part is replaced with that some parts, such as fenders, grills, 1 of the following: door skins, bumper covers, etc. are pri(A) A new original equipment marily cosmetic and ‘are irrelevant to manufacturer part; crash safety.’ This bill doesn’t suffi(B) A used or a recycled original ciently delineate between the two types equipment manufacturer part; of parts, thereby limiting the use of (C) A part that meets any appli- safe, high-quality aftermarket parts decable federal motor vehicle safety signed specifically for particular vehistandards established under 49 CFR cles.” 571, and meets the standards for parts In his veto letter, Snyder also recognized as OEM comparable qual- voiced concern that HB 4344 would
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negatively affect auto insurance prices in Michigan. “Requiring OEM parts 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 See MI Bill Veto , Page 22
Continued from Cover
U.S. House Hearings
nical education programs. They explained how quality training benefits not only the students, but their community and the specific industry overall. “Toyota’s direct and indirect employment needs in the U.S. are significant,” Bates said. “In fact, they are much like other large-scale, engineering-based and advanced manufacturing companies in the United States. Consequently, Toyota faces formidable challenges arising from our country’s skills gap. “By ‘skills gap,’ I mean the mis-
match between the demands of a rapidly changing workplace and the shortfalls in the academic preparations that young people have acquired in high school and college. For example, the job of a maintenance technician at Toyota Bodine is very different today than it was 15 years ago. In the past, a technician likely focused on just one craft, say electrical. Today, that technician is expected to perform multiple tasks such as electrical, fluid power and mechanical. In the 10 years my plant has been operational, we were never at 100 percent employment in this job category—that is until now, thanks to the collaborations we have with the local education system.”
The members of the committee echoed the witnesses’ concerns. In his opening statement, Rep. John Kline, chairman, R-Minn., said, “This is an important conversation to have now because an anemic economy has made good-paying jobs hard to come by… For young people entering this kind of job market, having the right skills and experience is essential. Career and technical education programs can provide these critical tools, and we have to ensure federal support for these programs is delivered in the most efficient and effective manner possible. The Automotive Service Association is the largest not-for-profit trade association of its kind dedicated to and governed by independent auto-
motive service and repair professionals. ASA serves an international membership base that includes numerous affiliate, state and chapter groups from both the mechanical and collision repair segments of the automotive service industry. ASA advances professionalism and excellence in the automotive repair industry through education, representation and member services. To take advantage of the many benefits of membership in ASA, please visit www .ASAshop.org or call (817) 514-2900. For additional information about ASA, including past media releases, go to www.ASAshop.org, or visit ASA’s legislative website at www.TakingThe Hill.com.
Auto Care Association Participates in Copyright Roundtables on Embedded Software and DMCA
Aaron Lowe, senior vice president of regulatory and government affairs for the Auto Care Association, participated in a series of roundtables produced by the U.S. Copyright Office in Washington, D.C. on May 18-19. The roundtables were part of a study being undertaken by the office on copyright law and its relation to software-embedded consumer products as well as issues related to the Digital Millennium Copyright Act (DMCA).
Lowe discussed the growing use of software on late model vehicles and concerns that the vehicle manufacturers were adopting anti-competitive technological protection measures that prevent parts manufacturers, service facilities and consumers from accessing the software needed for repair and maintenance. “The absence of clear guidance regarding interpretations of copyright defenses is having a chilling impact on
companies developing replacement components, causing companies in the auto care industry to be concerned about extensive and disruptive litigation,” said Lowe. He further requested that the Copyright Office make a determination that DMCA does not prohibit circumvention of technological measures that are used by companies to prevent lawful repair under patent law of products whose operation is controlled by embedded software.
Lowe told the Copyright Office that “a consumer who purchases a vehicle should own that car, including all of the software embedded in that vehicle. Therefore, consumers and those chosen by consumers to service those vehicles should have the freedom to access that software for purposes of lawful repair.” For more information, contact Aaron Lowe at aaron.lowe@autocare .org.
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Continued from Page 20
MI Bill Veto
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.”
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 Governor Rick Snyder’s veto of Q: HB 4344?
A:
It is disappointing, but we remain optimistic and focused 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 excep-
22 JULY 2016 AUTOBODY NEWS | www.autobodynews.com
tions, 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. 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.
When was House Bill 4344 inQ: troduced? A bill was first introduced in A: 2014, but it had little time for the 60 plus pages of revision. In the
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 See MI Bill Veto , Page 24
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MI Bill Veto
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!
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. What was the main intention of being proactive and getting involved in this legislation?
Q:
What were some of the changes Q: incorporated into the bill? Our focus was to make sure Keep in mind that this applies A: that these parts had a requireA: to mechanical and collision re- sumer’s ment before being put on our conpair facilities here in Michigan, so cars, our friend’s cars and our
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
Free
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 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 Q: collision repair shops in Michigan if the bill is passed?
The collision repairer will fiA: nally see only quality parts coming through their door and in
turn, 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 manu-
ious 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. 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 five-year-old in a major league baseball game and saying “good luck” is not “fair competition” – these parts are the fiveyear-old and have no business being forced into the game!
facturer’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? As already mentioned, we preA: ferred our original language regarding the use of aftermarket sheet
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 from collision repair shops in Q: the state about the use of aftermarket
and OEM parts?
Too often we forget the presA: sure these repair facilities are under when performing collision re-
pair. They have a customer who has gone through a tragic event disrupting their lives and is seeking almost instantaneous results; they have var-
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FL Shop Profile: Dick and Todd Cornwall of C&C Auto Body by Nataleigh Palmer, The Beachside Resident
Dick Cornwall had three big dreams. He wanted to drive a wrecker, be his own boss, and have an RV. Luckily, his dreams came true thanks to a lot of hard work, dedication and community support. Dick opened C&C Auto Body in 1972 after several years in the automotive business. His friend and mentor, John Kabboord, helped him along the way. When the owner of the building was going to sell the property Dick wanted to rent, Kabboord stepped in to negotiate on his behalf. “He told me, ‘You owe Paul [the owner of the building] a thousand dollars and a thousand a month until you pay off the ten thousand.’” After opening, Dick continued to work at another auto body shop across the street during the day. His evenings were full as he transformed C&C from a former cabinet store into a full-service auto body shop. ”I worked there all day, and then I’d roll my tool box over here and work on a few cars.”
Lucky Break Dick bought equipment from a supplier who also transformed his business. “He came to me one evening and said ‘Dick, I’ve got you a wrecker.’ On the side of it, it said ‘Dick’s Towing’ because it came from Dick’s Towing in Melbourne. He let me pay him monthly and that’s how I got started towing.”
Tow Truck Network Once Dick bought a tow truck, he became part of a community network that serviced Cocoa Beach. “In those days, it was Bishop’s Gulf, the Shell Station, and Cocoa Beach Paint and Body, so there were four of us. We all took turns and we each got a week a month. When there was a wreck, whoever’s week it was would go and pick it up.” Once he got the wrecker, his business increased. Customers he picked up from accidents often had repairs made in his shop. But he wasn’t always
guaranteed wrecks. Cocoa Beach was still a small town and there weren’t accidents every week. “Some weeks you might make out and some weeks you got nothing. It just worked that way.” Dick upgraded over the years to huge tow trucks. “I like to tow tractor trailer wrecks. You have to really work at it. I just like moving the cars out of the way and opening the road up as quick as I can.” Todd’s wife Jennifer overheard us from the office and called out, ”He could probably do it in his sleep.”
An Early Education Dick’s son Todd grew up in his father’s shop. As a child he did everything from sweeping the floors to running the office. He started working on cars when he was only seven or eight years old. “The first thing I remember doing as a kid was driving the wrecker. I was six.” Dick added, “He said he could drive it and I said, ‘Ok, go to turn it around.” Todd continued, “My first trip was just backing down the street driving. That was my weekend entertainment, driving up and down the street. I had to sit forward on the edge seat and look through the steering wheel.”
Passing the Torch Todd officially took ownership C&C in November of last year. Despite retirement, Dick still works seven days a week. “I’m trying to get a couple things done and then can go. I have an RV and I want to go travel, but there’s a few things I have to work out first.” Todd is excited about the challenges of ownership. “I know the business. I’d like to continue to serve Cocoa Beach; there’s a lot of growth in this area. I just want to give people the same quality of service they’ve had for forty years.” One challenge is attracting new clients. The shop is behind Ocean Realty, Brevard Insurance, and 7-Eleven and it’s difficult to see it from the road. “A lot of people don’t know we’re here,” Todd noted. “We offer auto body repair, mechanical repair, towing. We
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also offer full-service automotive, except tires and mufflers.” A fire truck in their parking lot caught our attention. “We work on everything, including fire trucks,” Todd added with a smile.
Mechanics Dave Harris, a mechanic with them for several years, located a problem in a hose that caused a leak in the fire truck’s air conditioning system. Dick complimented him, “Dave’s great. People follow him wherever he works.” “It’s tough finding qualified people,” Todd added. “This is a very skilled trade, especially the auto body side of it. Cars are very technical now so you have to have technical knowledge and you keep an eye on the art side of the work. You have to be a perfectionist.”
Trends There are great technical schools that specialize in training people [automotive], but Todd believes the key is to get practical experience and actually work in a shop. He suggested they start by sweeping floors.
“The computers are helpful in diagnosing the problems in cars but it really takes a technician who is able to replace the part and fix the car properly. The computer is a necessity but it doesn’t fix the car, it still takes a skilled person.”
RV Dreams Come True A few years ago, another one of Dick’s dreams came true. “I got a free motorhome. I wanted one since I was three years old. Another company towed it here, but the owner never claimed it. We went to court and I lucked out.” We walked outside and caught a glimpse of a massive motorhome that looked like Aerosmith’s tour bus. He joked, “It’s just a little teeny one.” —Todd Cornwell, Dave Harris and the rest of the C&C Auto Body team are ready to tackle your automotive needs. C&C Auto Body is located at 111 Manatee LN, Cocoa Beach. For more information visit their Facebook page, go to their website at www.cc autobodyfl.com or call 321-783-9494.
We would like to thank The Beachside Resident for reprint permission.
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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.
Patrick Henry CC in VA Co-Designs Academic Program with Pros
On June 2, Patrick Henry Community College met with local auto body professionals to help develop an academic program to train future employees. All professionals in the local auto body industry were encouraged to participate.
The instructors of the auto body and automotive technology programs are continuously seeking to add workplace interactions and career readiness training to the existing programs and to insure training methods are industry-relevant. Attendees were invited to be part of a team to design a pathway that can mold local job-seekers into first-rate employees. With this collaboration, “Industry partners benefit mutually by gaining highly skilled applicants to fill their critical positions,” said Jeff Fields, Dean of Professional Technologies & Health Sciences. “And, we benefit by keeping our auto body program up-to-date – teaching to the latest technology, industry certifications, and employers’ needs.” The meeing was held at the PHCC Automotive and Auto Body Technology Center at 200 Hospital Drive in Martinsville.
www.autobodynews.com | JULY 2016 AUTOBODY NEWS 27
Mitchell Issues Second Quarter 2016 Industry Trends Report, Mitchell1’s RepairConnect Integration 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 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. Mitchell1 Expands RepairConnect Mitchell1 announced expanded inte-
gration 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 complete the service correctly. Visit http://mitchell1.com/.
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BASF Glasurit, R-M Automotive Refinish Products Get Global GM Approval
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 approval 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
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
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• 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.
28 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
www.autobodynews.com | JULY 2016 AUTOBODY NEWS 29
75-Year-Old CA Technician Discusses Career, Why He’s in No Rush to Retire moved to Hawaii for five years. From then on, Nikoleyczik stuck to body work, and let the paint department handle the rest. “Our daughter was living in Hawaii,” said Nikoleyczik. “That was when we started following our kids around the country.”
by Victoria Antonelli
on commission,” he explained. “When you’re working on salary you don’t have to worry about getting the job done to get paid, so you have the tendency to do more quality work.” Nikoleyczik added that quality work is what J P’s is known for. “We complete the job at the highest standards - the paint and the body work,” he said. Nikoleyczik plans to continue working at J P’s for at least another five years, especially since he’s been in good health. “It’s the kind of thing where as long as you like the work you’re doing and you’re able to do it, why stop?” he said. Otto Nikoleyczik, 75, poses in front of J P’s Paint and Nikoleyczik added that he Body Works in Chico, CA likes the challenge presented Their next stop was Cheyenne, by new makes and models. WY to live and work near their other “I enjoy taking cars apart and daughter. putting them back together,” he said. “We got to experience different “Every one is different, so you have to states and different lifestyles,” said relearn every car every year.” Nikoleyczik. Nikoleyczik said the industry has After five years of dealing with a changed a lot in the last 30-40 years. windy, cold climate, the couple made “There are a lot of electronics, a lot their final move to sunny Chico, CA, and you can probably guess why. “Our other daughter and her husband owned a business just north of Chico,” said Nikoleyczik. “I then got a job at J P’s Paint and Body Works and have been here ever since. This will probably be my last stop.” Out of all the shops he’s worked in, Nikoleyczik said he’s had the best experience at J P’s. “I like it because I’m a salary person; most collision repair jobs work
Continued from Page 18
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.” Autobody News will continue to report on developments with the multidistrict lawsuit(s).
Otto Nikoleyczik began dabbling in the collision repair industry at the age of 13. He had just moved from Germany to Long Island, NY, to live with his aunt and uncle, who owned a body shop. After cancer took his uncle’s life in 1957, Nikoleyczik’s days were split between school and apprenticing at the family business. This continued until he went into the service after high school. Once Nikoleyczik returned from the naval reserves in 1961, he took over the four-man operation, which his aunt had been running. “Our house was in front and the shop was in the back,” said Nikoleyczik. “I was the owner until 1976, and by that point, I was married with five kids.” The close proximity between the house and the shop proved to be a hazard. When one of his sons accidentally lost part of his toe that year, Nikoleyczik decided to sell the business. “We then moved to Montana,” he said. “Figured it would be better for the kids, and it was.” Nikoleyczik and his family spent the next 26 years in Montana, where he worked as a combination man (someone who works on both the paint & the body of the vehicle). “I did everything on the vehicle; from the frame work to the body work to the paint work,” he said. “It’s the kind of thing where if you’re doing a job where you’re doing everything, you get a certain satisfaction; but it’s a little harder on you, too.” After Montana, he and his wife
MS and IN Lawsuits
the benefit without restitution would be unjust; and 3) the plaintiff expected payment.
“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
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30 JULY 2016 AUTOBODY NEWS | www.autobodynews.com
of plastics, and nowadays, a lot more parts changing than repairs changing,” he explained. “For a door you might have previously repaired, you’re now probably going to replace the panel or put a used panel on, and when you consider the labor involved, replacing it is usually the less costly option.” Nikoleyczik added that because vehicles nowadays have so many electrical parts in the front end, they total out a lot faster. “Modern technology brings part prices up quite a bit,” he explained. “When a vehicle gets a front end hit and the air bag goes off, the electronic parts - air conditioning units, cooling units - total out a lot faster. Years ago, you could do a lot more repairs on the vehicles before that happened.” Nikoleyczik also believes that the industry today has stepped up to a higher level of repair and service. “Shops are more responsive to the customer,” he said, which he believes is an important improvement. To learn more about J P’s Paint and Body Works, or visit the shop, check them out on Yelp: www.yelp.com/biz/ j-ps-paint-and-body-works-chico
www.autobodynews.com | JULY 2016 AUTOBODY NEWS 31
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
32 JULY 2016 AUTOBODY NEWS | www.autobodynews.com
your business?
We have been involved with A: co-ops for at least 10 years. We have a co-op program at our collision
center and our service center every year. We use students from Plymouth
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
technicians to fix vehicles the way that we want and need them fixed. They learn what is expected at an early age.
How long do they usually work Q: at your business, and are any of them hired full time?
Usually, we have at least A: two students at each shop every year and sometimes they
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 41
www.autobodynews.com | JULY 2016 AUTOBODY NEWS 33
Please contact these dealers for your Honda or Acura Genuine parts needs. HO ND A AL AB A M A
FL O RIDA
FLOR ID A
GEO RG I A
Holman Honda of Ft. Lauderdale
Gwinnett Place Honda
F T. L A UDERDAL E
800-277-8836 678-957-5151
Freeway Honda
Classic Honda
B ir m in g h a m
O r l an do
800-987-0819 205-949-5460
888-893-4984 407-521-1115
Dept. Hours: M-F 7:30-5 greg_thomas@freewayhondaal.com
Dept. Hours: M-F 7-7; Sat 8-4 parts@classichonda.com
Jerry Damson Honda
Coggin Deland Honda
Hu n ts vi lle
D e l an d
800-264-1739 256-382-3759
800-758-0007 386-626-1811
Dept. Hours: M-F 7-5:30; Sat 8-4 Rkeel@damson.com
Dept. Hours: M-F 7:30-6; Sat 8-5 gbennett@cogginauto.com
Dept. Hours: M-F 7-7; Sat 7:30-4 robbutton@rickcase.com
Ed Morse Honda
South Motors Honda
FL O RI D A
AutoNation Honda Clearwater Cle a rwa t er
R i v i e ra Be a ch
800-232-1098 561-844-8089
888-792-7189 954-763-7157 Dept. Hours: M-F 8-5:30 rguido@holmanauto.com
Rick Case Honda Davie
877-544-2249
M ia mi
888-418-3513 305-256-2240 Dept. Hours: M-F 8-7 mfranceschi@southhonda.com
888-205-2564 727-530-1173
Dept. Hours: M-F 7:30-6; Sat 7:30-5 tonyrocha@edmorse.com
Dept. Hours: M-F 7-7; Sat 8-5; Sun 10-3 santosr1@autonation.com
Headquarter Honda C l e r mo nt
Carey Paul Honda
AutoNation Honda Hollywood
800-497-2294 407-395-7374
770-985-1444
Ho lly wo o d
800-542-8121 954-964-8300 Dept. Hours: M-F 7-7; Sat 7-5; Sun 9-5 hernandeze@autonation.com
Braman Honda of Palm Beach
S ne ll vi ll e Dept. Hours: M-F 7-7; Sat 7-6 gperkins@careypaul.com
Hendrick Honda Bradenton
Ed Voyles Honda
877-706-2021 941-752-2123
M ar i e tta
800-334-3719 770-933-5870 Direct
Dept. Hours: M-F 7:30-7; Sat 8-4 Kris.kitzman@hendrickauto.com
Dept. Hours: M-F 7-7; Sat 7-6 hondaparts@edvoyles.com
888-479-0695 561-966-5185
Hendrick Honda Daytona
Gerald Jones Honda
Dept. Hours: M-F 7:30-6; Sat 8-4:30 parts@bramanhondapb.com
800-953-4402 386-252-2301
G re en a c re s
D a y to n a Be ach
Dept. Hours: M-F 7:30-6; Sat 8-4 Hondadaytonaparts@hendrickauto.com
Dept. Hours: M-F 7:30-6; Sat 8-5 gphwholesaleparts@hendrickauto.com
Honda Mall of Georgia Bu f ord /G win net t
678-318-3155 Dept. Hours: M-F 7-7; Sat 7-5 cdunlap@penskeautomotive.com
Milton Martin Honda Gain esv ille
770-534-0086 678-989-5473 Dept. Hours: M-F 7:30-6 robertthomas@mmhonda.com
Nalley Honda
GEOR GIA
Dept. Hours: M-F 8-7; Sat 8-5 pepe.guevara@headquarterhonda.com
B ra de n to n
Du lu t h
A ugus ta
800-733-2210 706-228-7040 Dept. Hours: M-F 7:30-6; Sat 8-5 tdunn@geraldjoneshonda.com
Un ion City
866-362-8034 770-306-4646 Dept. Hours: M-F 7:30-7; Sat 8-5 hondawp@nalleycars.com
Southern Motors Honda Savann ah
888-785-8387 912-925-1444 Dept. Hours: M-F 8-6; Sat 8-5 angela@southern-motors.com MI SS IS SI P P I
Patty Peck Honda Rid g elan d
800-748-8676 601-957-3400 Dept. Hours: M-F 7:30-6; Sat 8-5 pmartin@pattypeckhonda.com
AC U R A AL AB A M A
FL O RIDA
GEOR GIA
GE OR G I A
Jerry Damson Acura
Duval Acura
Jackson Acura
Hu n t svil le
Ja ck s o nvi ll e
Ro swe l l
Savann ah
800-264-1739 256-533-1345
800-352-2872 904-725-1149
877-622-2871 678-259-9500
800-347-0596 912-232-3222
Dept. Hours: M-F 7-5:30; Sat 8-4 Rkeel@damson.com
Dept. Hours: M-F 7-7; Sat 8-5 Cecil.adams@duvalacura.com
Dept. Hours: M-F 7-6; Sat 7:30-6 kmcmillan@jacksonacura.com
Dept. Hours: M-F 7:30-6; Sat 8-2 Tim.johnson@acuraofsavannah.com
Rick Case Acura
Nalley Acura
F o rt La u de rda l e
M ar i e tta
800-876-1150 954-377-7688
800-899-7278 770-422-3138
Dept. Hours: M-F 7:30-6; Sat 8-5 rubenramos@rickcase.com
Dept. Hours: M-F 7-7; Sat 7-5 byoung@nalleycars.com
FL O RI D A
Acura of Orange Park J ack so n vi ll e
888-941-7278 904-777-1008 Dept. Hours: M-F 7-8; Sat 7-5; Sun 9-3 msweeney@acuraoforangepark.com
34 JULY 2016 AUTOBODY NEWS | www.autobodynews.com
Southern Motors Acura
N O . CA RO L IN A
Flow Acura Win st on -Salem
800-489-3534 336-761-3682 Dept. Hours: M-F 7:30-6; Sat 8-1 www.flowacura.com
NO . C AR O LI N A
NO . CAR OL INA
TEN NE SS EE
V IR GIN I A
Apple Tree Honda
Vann York Automall
Bill Gatton Honda
Hall Honda
As he v ille
High Point
Br is to l
V irg in ia B each
800-476-9411 828-684-4400
336-841-6200 Dept. Hours: M-F 7:30-6; Sat 8-3
800-868-4118 423-652-9545
800-482-9606 757-431-4329
Dept. Hours: M-F 7:30-5:30; Sat 8-1 hondaparts@billgattonhonda.com
Dept. Hours: M-F 8-7; Sat 8-5 fox@hallauto.com
Wolfchase Honda
Hendrick Honda Woodbridge
Dept. Hours: M-F 8-5; Sat 8-4 appletreeparts@hotmail.com
Crown Honda Southpoint Du r ha m
855-893-8866 919-425-4711 Dept. Hours: M-Thu 7-11; Fri 7-6 Sat 7-5; Sun 11-5 www.southpointhonda.com
Hendrick Honda Ch a r lo t t e
800-277-7271 704-552-1149 Dept. Hours: M-F 7-7; Sat 8-5 rob.thomas@hendrickauto.com
Leith Honda Ra le ig h
800-868-6970 919-790-8228 Dept. Hours: M-F 7-7; Sat 7:30-5 parts@leithhonda.com
McKenney-Salinas Honda G as t on ia
888-703-7109 704-824-8844 x 624 Dept. Hours: M-F 7:30-5:30 parts@mshonda.com
Metro Honda I nd ian Trail
866-882-9542 704-220-1522 Dept. Hours: M-F 6:30-6:30; Sat 7-4 www.copytk.com
N O . CAR OL IN A
Hendrick Acura
SO . CAR OL INA
Breakaway Honda G re e n vi l l e
800-849-5056 864-234-6481 Dept. Hours: M-F 8-6; Sat 8-5 fmarshall@breakawayhonda.com
Midlands Honda C o l u m bi a
877-273-4442 803-691-8585
Ba r tle t t
800-982-7290 901-255-3780 Dept. Hours: M-F 7-7 ekerr@wolfchasehonda.com VIRGINIA
Valley Honda Stau n ton
No r fo l k
800-277-0598 540-213-9016
800-277-2122 757-687-3453
Piedmont Honda
Dept. Hours: M-Sat 7:30-6 honda.checkeredflag.com
TE NNES SEE
Airport Honda Alcoa
800-264-4721 865-970-7792 Dept. Hours: M-F 7:30-6:30; Sat 7:30-5 parts@airporthonda.com
AutoNation Honda West Knoxville
Dept. Hours: M-F 7:30-5:30; Sat 9-5 bwimer@myvalleyhonda.com
West Broad Honda
A n de r so n
Dept. Hours: M-F 7:30-6; Sat 8-5 swhite@piedmontcars.com
Dept. Hours: M-Fri 7-6 Sat 8-5; Sun 10-4
Checkered Flag Honda
Dept. Hours: M-F 7-7; Sat 7-4 www.copytk.com
800-849-5057 864-375-2082
Woodb rid g e
703-690-7777
Colonial Honda
Rich m on d
C he ste r
800-446-0160 804-672-8811
800-564-9836 804-414-1960 Dept. Hours: M-F 8-7; Sat 8-4 rreese@i95honda.com
Dept. Hours: M-Thu 7:30-6:30; Fri 7:30-6; Sat 8-3; Sun 11-3 wbhonda@aol.com
Duncan’s Hokie Honda C hr is tia n burg
800-979-9110 540-381-3200 Dept. Hours: Mon-Fri 7:30-5:30 Sat 8:00-5:00 rthompson@duncanauto.net
K n ox v i l l e
800-824-1301 865-218-5461 Dept. Hours: M-F 7:30-6 rossd1@autonation.com
VI RG INIA
Karen Radley Acura
Ch a r lo t t e
Woo d br i dg e
800-768-6824 704-566-2288
800-355-2818 703-550-0205
Dept. Hours: M-F 7:30-6; Sat 8-5 justin.taylor@hendrickauto.com
Dept. Hours: M-F 7:30-5:30; Sat 8-3 coreythompson@radleyautogroup.com
Leith Acura
Radley Acura
Ca r y
F a l l s C hu rch
800-868-0082 919-657-0460
800-550-5035 703-824-5785
Dept. Hours: M-F 8-6; Sat 8-4:30 parts@leithacura.com
Dept. Hours: M-F 7:30-6:00; Sat 8-6; Sun 10-5 jimgraf@radleyauto.com www.autobodynews.com | JULY 2016 AUTOBODY NEWS 35
Media and Publicity for Shops Indoor Advertising Engages Consumers in Prime Locations with Ed Attanasio
Body shops are always looking for a better and affordable way to keep their name in front of their customers. Since purchasing collision repair is rarely an impulsive decision, shops should focus more on branding and less on conventional forms of advertising. Indoor advertising is widely recognized as an extremely targeted medium. It reaches a captive audience while people engage in social settings at high traffic locations, such as restaurants, bathrooms, night clubs, sports bars, arenas and other venues. Indoor advertising reaches consumers from an uncluttered eye-level vantage point, making it literally unavoidable. Traditional forms of advertising, such as television commercials, magazine ads, and Internet pop ups have become less effective for smaller, local businesses. With so much advertising jammed into our brains every waking minute, more and more consumers have chosen to mute, click away, fast-forward, or completely opt out. For example, DVR systems make it easy for people to avoid TV commercials, and many do. I have quite a few friends who will wait 10 minutes after their favorite show starts so that they can watch it uninterrupted and commercial-free. By utilizing new advances and implementation of digital technology, indoor advertising continues to engage its audience. The stats support its effectiveness: 84 percent recalled seeing specific advertisements in the restrooms and movie theaters and 92 percent were able to name specific advertisers without prompting. Chuck Jessen, the owner of PreFab Ads in San Francisco, CA produces award-winning TV commercials for body shops all over the country. Although he has carefully been watching the evolution of indoor advertising, he still believes that old school TV broadcast is king. “When it comes down to advertising, it’s all about aggregation—how
many people you can reach with the media you’re using,” Jessen said. “With TV, we know that we reach a large number of consumers with each 30-second commercial. But, with
different than conventional retail advertising? “Body shops cannot do sales or promotions, so in the end their ads have to focus on branding and name
indoor advertising, the numbers are tough to accurately gauge, so smaller companies might be less attracted to it.” Now that indoor advertising is in public bathrooms, movie theaters, airports, sports stadiums and other places where people regularly visit and interact, what does the future of indoor advertising hold? “There is probably no limit, so will we likely be seeing more indoor advertising--anywhere and everywhere? I would say yes, definitely. Indoor advertising reminds me of the movie Blade Runner, where ads were displayed on the sides of buildings and literally in the air.” Jeff Siegel is a 40-year-old veteran of the Silicon Valley advertising game and is known as one of the original Mad Men-types. As a former radio rep who worked for more than a dozen stations during his illustrious career, Siegel has seen the rapid evolution of indoor advertising firsthand. “As a broadcast veteran, I still believe in the power of radio and TV,” Siegel said. “But, the vibe out there about indoor advertising is very positive. I tell my people that if you use some movie screen advertising, and possibly some mall kiosk advertising in conjunction with a broadcast schedule, the odds for a good response is high. I never want anyone to ever put all of their eggs in one basket and that’s why all of my clients do a mix of different things.” How is advertising for body shops
recognition,” Seigel explained. “A body shop’s image should be based on things like transparency and accountability, just like with a bank, a hospital or an insurance company.” The statistics about indoor advertising are compelling and that’s why more and more businesses are jumping into the fray. First, it’s in your face, because indoor ads are normally strategically placed where they’re virtually impossible to ignore. Even then, you only have roughly 1-4 full minutes of
“A body shop’s image should be based on things like transparency and accountability, just like with a bank, a hospital or an insurance company.” — Jeff Siegel
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Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
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www.autobodynews.com 36 JULY 2016 AUTOBODY NEWS | www.autobodynews.com
your prospective customer’s attention while they’re physically idle, yet mentally engaged without interruptions or distractions. So, your message has to be short, direct and engaging while entertaining people as well. In addition, indoor advertising is well-known for getting the viewer’s undivided attention for an extended period of time. Since people are seeing your message in a location where they aren’t typically bombarded by advertising, indoor advertising statistics show that consumers will remember yours longer. It also offers a wider range of targeting opportunities, based on specific demographics such as gender, income, lifestyle and age. As a result, you can spend less of your advertising dollar and still reach a much higher percentage of your desired target market. So, when you’re looking at different forms of marketing, why not choose indoor?
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www.autobodynews.com | JULY 2016 AUTOBODY NEWS 37
Audi dealers strive to make you an
Alabama Audi Birmingham Irondale 205.986.7410 205.986.7438 Fax M-F 7am-6pm; Sat 8am-4pm daniel.williford@audiofbirmingham.com www.audiofbirmingham.com
Florida Audi Fort Myers Fort Myers 239.454.9099 239.790.3092 Fax M-F 7am-5:30pm; Sat 8am-4pm parts@audifortmyers.com www.parts.audifortmyers.com
Helping you do business is our business. Order Audi Genuine Parts from these select dealers.
Audi Jacksonville Jacksonville 866.413.8557 904.565.2216 Fax M-F 7am-7pm; Sat 8am-5pm cdrake@audijax.com www.audijax.com
Audi Melbourne Melbourne 888.554.3115 321.956.1959 Fax M-F 7:30am-5:30pm parts@audimelbourne.com www.audimelbourne.com
Audi Naples Naples 866.267.0060 239.643.8582 Fax M-F 7:30am-6pm Sat 7:30am-3pm tcanglin@audinaples.com www.audinaples.com
Audi North Orlando Orlando 407.643.2980 407.206.9565 Fax M-F 7am-6pm vswany@audinorthorlando.com www.parts.audinorthorlando.com
Audi Pembroke Pines Pembroke Pines 888.434.2756 954.620.2036 Fax M-F 8am-5:30pm; Sat 8am-2pm notto@holmanauto.com www.audipp.com
38 JULY 2016 AUTOBODY NEWS | www.autobodynews.com
Audi Genuine Parts
Audi Genuine Parts fan
• Audi parts departments provide professional customer service that gets you the right part, the first time • Audi dealerships have access to over 200,000 Audi Genuine Parts Audi Tampa Tampa 800.835.9256 813.375.3534 Fax M-F 7am-7pm rwpc@drivereeves.com www.auditampa.com
Audi West Palm Beach West Palm Beach 561.615.4175 561.615.4179 Fax M-F 7:30am-6pm wholesaleparts@audiwpb.com www.parts.audiwpb.com
Prestige Audi North Miami Beach 305.952.5952 305.944.4009 Fax M-F 8am-6pm; Sat 9am-1pm amartinez@prestigeaudimiami.com www.prestigeaudimiami.com
Georgia Audi Atlanta Atlanta 770.454.5951 678.547.0984 Fax M-F 7:30am-7pm; Sat 8am-4pm audi1parts@jimellis.com www.jimellisaudiparts.com
No. Carolina Audi Asheville Asheville 828.232.4002 828.350.3560 Fax M-F 7:30am-5:30pm Sat 8am-4pm www.audiasheville.com
Audi Cary Cary 877.204.5449 919.469.1431 Fax M-F 7:30am-6pm; Sat 8am-5pm parts@leithimports.com www.audicary.com
Audi Cape Fear
Tennessee
Wilmington 910.338.4019 910.795.4611 Fax M-F 8am-5pm
Audi Knoxville Knoxville 800.382.2787 865.251.3227 Fax M-F 7:30am-5:30pm
parts@audicapefear.com www.audicapefear.com
brianmaillet@harperdealerships.com www.audiknoxville.com
Audi Northlake Charlotte 704.379.8353 704.379.2113 Fax M-F 7:30am-6pm; Sat 9am-5pm
Virginia Audi Virginia Beach
Isaac.curiel@hendrickauto.com www.audinorthlake.com
Virginia Beach 757.687.3488 757.687.3490 Fax M-F 8am-6pm
Flow Audi
audi_parts@checkeredflag.com www.audivirginiabeach.com
Winston-Salem 336.761.3698 336.723.6911 Fax M-F 7:30am-6pm; Sat 8am-1pm mmueller@flowauto.com www.flowauto.com
Flow Audi Charlottesville 434.951.6160 434.293.5151 Fax M-F 7:30am-6pm; Sat 8am-1pm spalmer@flowauto.com www.flowaudicharlottesville.com
www.autobodynews.com | JULY 2016 AUTOBODY NEWS 39
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 the “network” of its choice to electronically send a standardized estimate to the insurer. Either side can switch estimating 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,
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
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
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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 technology that were putting a dent in the collision repair market. Daytime running lights, the third brake light and anti-
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lock 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. Last week, Allstate Corporation also announced that Joseph Lacher, president of the 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.
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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? 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.
www.autobodynews.com | JULY 2016 AUTOBODY NEWS 41
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-
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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.
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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 63 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 salto throwing away stuff that vage market and figuring out the average American now what makes the most ecogenerates roughly 4.5 pounds nomic sense for their bottom 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 Equus 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. 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 Tameron, your trusted automotive wholesale parts supplier, is now indicate much of this is due to the age quite a world for ourselves. Some delivering Genuine Hyundai replacement parts to your area. of the fleet; however, this doesn’t exwould argue this is a good thing; howplain the whole issue. Factors such as ever, when we consider what we actuPlease call your salesman for details! claim severity and repair complexity ally pay for it – in terms of lost jobs and www.tameronhyundai.com also play a role. Total losses are a comenvironmental degradation – we have plex industry problem; a number of to ask ourselves if it’s actually worth it. things have led to their rise, but we No one would argue that consumerism Parts Department: cannot overlook the influence our has not brought tremendous good to 1-800-467-0699 throwaway culture – our way of lookmany people – it has. What’s becom205-443-7651 Direct ing at the world – has had on this issue. ing clear, though, is continually elimi205-823-4697 Fax 1595 Montgomery Highway • Birmingham, AL 35216 To understand this, we need to nating jobs, creating waste that cannot
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Grateful Illinois 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
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
except for working on his friends’ vehicles, Esquivel had to learn the intricacies of the body shop world fast. He was 24 and exiting the furniture busi-
ness 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
Chip Foose and KC Mathieu Demonstrate Spray Gun Duel at BASF Automotive Refinish Open House
On June 7, Chris Toomey, BASF senior vice president, Coatings Solutions North America, welcomed guests and hosted a ribbon cutting ceremony for BASF’s new Houston competence center alongside members of the Lake Houston Area Chamber of Commerce and real estate developer Trammel Crow. The highlight of the open house was the appearance of automotive designers Chip Foose, owner of Foose Design, and KC Mathieu, previously featured on Discovery Channel’s hit series Fast N’ Loud.
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.”
The crew at Midwest shares Esquivel’s philosophy of working hard but never forgetting to help the community as well
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 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
“Our new competence center in the Southwest illustrates our commitment, not only to the automotive refin-
ish market, but also to our distributors and collision repair shops in the area,” said Toomey. “It’s great to have Chip and KC here to highlight their commitment to Glasurit® and R-M®. We’re honored that top designers and restorers exclusively use BASF paint systems.” BASF opened the 13,000 square foot building in March. According to the company, the center includes the latest in virtual and in-person training facilities, state-of-the-art spray booths and market-leading application equipment to enable next generation training for all job functions in the collision repair industry. Caption: Chip Foose and KC Mathieu prepare For more information, visit for a spray gun duel at the BASF Houston www.basf.com. Competence Center Open House
46 JULY 2016 AUTOBODY NEWS | www.autobodynews.com
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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 and want to do a quality job on their vehicle,” he said. “I tell them that our repairs are always
Shop Foreman Jose Zumaya came onboard at Midwest Auto Body in 2011 and Esquivel calls him “my right hand man.”
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 multitask 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 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 apprentice-
ship program 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.”
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ASA-CO Members Learn Importance of RecordKeeping
On May 9, members of the Automotive Service Association of Colorado (ASA-CO) attended a Learning Circle training session on record-keeping at Extreme Auto Repair in Parker, CO. The session was taught by Dennis Brewster, owner of Extreme Auto Repair, who said the meeting “Went very well. We discussed what records need to be kept and how long. I also let shop owners walk around my shop to see how we do things and ask questions.” Brewster felt that the training session went better than expected and that attendees responded well to his attempts to educate them on the importance of record-keeping. He believes that association-sponsored events are important to ASA-CO members because they “keep us upto-date on how to be a good shop. Plus, we get to talk with other owners and find out how they conduct business so we can all be better.”
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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.
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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.
Q: Driven Brands, which is the A: parent company of Maaco, was acquired by Roark Capital last April; What are the driving forces behind Maaco’s rapid expansion?
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.
Has the original Maaco model If so, in what ways? Q: changed? At its core, Maaco is based on a term we use called “cosmeA: lision” or cosmetic collision, which
consists of hits under $2,500. On average, 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 of our business. We are continuously strengthening the third leg in our stool,
through our growing insurance partnerships.
Do you find that Maaco cusQ: tomers usually go through insurance or pay out of pocket?
One of our value propositions A: is that we can typically get the job done for close to what the cus-
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.
Q:
Out of the “three legs of the stool”- fleet, retail, and insurance, 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.
Q:
What is the customer service 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. 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
50 JULY 2016 AUTOBODY NEWS | www.autobodynews.com
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 techniQ: cians up-to-date on the latest technology?
We have an online program Maaco University that is A: called
available to all franchisees; we update 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. 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
growing that number to north of 500 within the next two months.
For more information, visit www.maaco franchise.com.
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www.autobodynews.com | JULY 2016 AUTOBODY NEWS 51
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 pur-
chased through long-term licensing or paid for by-the-hour. Then the information 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 pro-
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/.
52 JULY 2016 AUTOBODY NEWS | www.autobodynews.com
duced 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 haphazard 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.
Price Comparison of Replacement Side Mirrors YearMake/Model - Item - List price (2016):
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. 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.
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
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
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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 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).
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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
54 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.”
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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 beQ: hind the formation of the Collision Career Institute?
Well, it started mostly out of A: frustration on the part of shops 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.
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.
Once we have vetted the person A: and decided that they are a good candidate, we look for a shop in
the area that they’re willing to work in that wants to sponsor them and then we work out the agreements. Applicants go through 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.
will CCI start accepting first students? Q: itsWhen Well, we’re still in the early A: stages and still running our beta program. We learned a lot from
the prototype. 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 carefully screen every poQ: tential 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.
I are approaching For someone looking to attend A: itYes,fromEricktwoanddifferent directions. Q: CCI, what are the steps?
56 JULY 2016 AUTOBODY NEWS | www.autobodynews.com
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www.autobodynews.com | JULY 2016 AUTOBODY NEWS 57
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
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-
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©2016 MINI, a division of BMW of North America, LLC. The MINI name, model names and logo are registered trademarks. 58 JULY 2016 AUTOBODY NEWS | www.autobodynews.com
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
Charlotte 888-845-4263 704-531-3323 Fax M-F 7:30am-6pm; Sat 9am-5pm www.hendrickbmw.com
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Charlotte 844-612-7574 704-379-3101 Fax M-F 7:30am-6pm; Sat 9am-5pm www.hendrickbmwnorthlake.com
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.
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www.autobodynews.com | JULY 2016 AUTOBODY NEWS 59
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.
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.
60 JULY 2016 AUTOBODY NEWS | www.autobodynews.com
THE RIGHT PARTS For Your Collision Job Visit these Genuine Hyundai Parts Dealers
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M-F 7:30am - 5:30pm partsmanager@downtownnashvillemotors.com www.downtownhyundainashville.com
Christiansburg 2050 Roanoke St.
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www.autobodynews.com | JULY 2016 AUTOBODY NEWS 61
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/
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.
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.
62 JULY 2016 AUTOBODY NEWS | www.autobodynews.com
VIRGINIA Checkered Flag Volkswagen Virginia Beach
757-687-3465 Fax: 757-687-3415
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Department of Motor Vehicles Inspects Auto 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
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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
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.
Continued from Page 44
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 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.
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U.S. Aftermarket to Grow at an Annual Rate (CAGR) of 3.7% through 2019
The U.S. automotive aftermarket is expected to grow at a compound annual growth rate (CAGR) of 3.7 percent through 2019, according to the “2016 Joint Channel Forecast Model” produced jointly by the Automotive Aftermarket Suppliers Association (AASA) and the Auto Care Association. The 2016 Joint Channel Forecast Model also predicts that the total aftermarket sales will grow from $257.4 billion in 2015 to $296.3 billion in 2019, an increase of nearly $39 billion over the four-year period. “The forecast model demonstrates that despite strong new vehicle sales, moderating gas prices and improved miles driven are conditions conducive to continued steady growth,” said Bill Hanvey, Auto Care Association president and CEO. “Why? The average age of light vehicles—now up to 11.6 years--is the oldest ever, and the age mix of vehicles continues to favor older vehicles, creating a robust sweet spot for service and repair.” “The automotive aftermarket is a large and stable industry whose impressive growth, even through the Great Recession is forecasted to con-
tinue,” said Bill Long, president and chief operating officer, AASA. “The ‘Joint Channel Forecast Model’ is a valuable tool for all industry stakeholders in planning and positioning your business to capitalize on the opportunities ahead.” The market sizing and forecast is conducted on behalf of AASA and the Auto Care Association by IHS Automotive, an economic and market information firm. It is based on the U.S. Census Bureau’s Economic Census, IMR and Polk data, and proprietary IHS Automotive’s economic analysis and forecasting models. The Joint Channel Forecast Model is available at the AASA website, www.aftermarketsuppliers.org, and in the Auto Care Association’s 2017 Digital Auto Care Factbook, available at www.autocare.org
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www.autobodynews.com | JULY 2016 AUTOBODY NEWS 63
CREF 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
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.
64 JULY 2016 AUTOBODY NEWS | www.autobodynews.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.
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.
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www.autobodynews.com | JULY 2016 AUTOBODY NEWS 65
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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!”
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.
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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/.
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.
www.autobodynews.com | JULY 2016 AUTOBODY NEWS 67
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