Western March 2010

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Consumer Union Calls for Auto Safety Reforms, Toyota Controversy Heats Up Consumers Union, the nonprofit publisher of Consumer Reports, has issued a call Feb. 23 for urgent changes to strengthen U.S. auto safety regulation in the wake of the massive recall by Toyota. The influential consumer advocacy group said that the U.S. safety regulatory system should be reformed to become more transparent and that the National Highway Traffic Safety Administration should have more funding and the ability to impose tougher sanctions. The group also urged a number of safety mandates it said should be imposed on all automakers to address the risk of unintended acceleration of the kind now under investigation for Toyota. U.S. safety regulators should require that all cars have brake override systems, simple controls that turn off the engine in

an emergency, clear and simple labels on transmission shifters and a minimum clearance between floor panels and accelerator pedals, Consumers Union said. Toyota has faced criticism on all of those points in the run-up to a sweeping recall for accelerator-related problems that totals over 8 million vehicles globally. NHTSA says five deaths have been linked to the risk of loose floormats trapping accelerator pedals in Toyota vehicles. Another 29 fatality reports are under investigation. “Much of the ongoing debate and public outcry has centered on why these issues weren't caught or acted upon earlier,” Consumers Union said in its report on the Toyota recalls and proposed reforms.

In November of last year and January of this year, SCRS National Director and Autobody News columnist, Toby Chess, performed several demonstrations outlining comparative studies he had conducted between randomly selected OEM and Aftermarket Structural Replacement parts. See Hey Toby column last issue. The parts reviewed included items such as Front and Rear Bumper Reinforcement Beams, Radiator Core Supports, Bumper Brackets and Bumper Energy Absorbers. In every example tested, there were significant differences in both the construction of, and materials used, in the aftermarket replacement part

which can significantly impact the roles that these parts serve in the transfer of energy resulting from a collision. Each of these parts also directly relates to the functionality and response of the vehicle Safety Restraint System (SRS), and could have a resulting affect on how the airbag functions in the event of a loss. The presentation also detailed that in other instances where the manufacturer had paid particular attention to utilizing the same materials as the OEM, and employed credible third-party testing, the parts appeared to perform much better in subsequent crash test video demonstrations.

See AUTO SAFETY REFORMS, Page 6

SCRS and Others Alert Industry to Concerns Over Aftermarket Structural Parts, Insurers Act

See AFTERMARKET PARTS, Page 56

VOL. 28 ISSUE 3 MARCH 2010

Unintended Loophole—California’s SB 350 by F. Edie Mermelstein, Attorney at Law

California Senate Bill 350, which was introduced last year by Senator Yee, is another attempt by auto insurance carriers and their lobbyists to insulate insurers from financial liability and shield insurers from class action suits. In summary, SB 350, which was last amended on January 12, 2010 and re-referred to the Assembly Business and Professions Committee, removes important consumer protections that will open the door for insurers to require aftermarket crash parts to be used in the repair of a policyholder’s auto without the prior consent of the policyholder. The insurance industry lobby is strong and financially powerful. California legislators have been seduced by the power of money. However, in the present struggling economy, insurance companies

remain profitable and able to contribute to political campaigns. According to the Department of Insurance most recent market share report, California’s estimated annual personal auto insurance premium revenue was $19.9 billion dollars. The amount insurance companies paid out during the same period were estimated at $11.5 billion dollars leaving the personal auto insurers with $8.4 billion dollars in gross profits. It is clear from these numbers that California auto insurers have the upper hand over consumers and the dollars to manipulate the system. In order to keep the losses incurred as low as possible, insurance companies regularly manipulate pricing of car repair by establishing direct repair programs (“DRP”) with area body shops. Typically in these DRP arrangements, the insurance company dictates the labor rate the shop See UNINTENDED LOOPHOLE, Page 6

We continue our Special Paint Technology issue this month with articles on:

Part 2

BASF on Newer Refinish Processes Federal Government Pays For Shops To Go Green

FAQs on EPA’s Paint Stripping and Coating Operations

Compressors Affect your Spray Gun and your Paint

Technological Advancements In Overspray Collector Dan Am-SATA & Jobbers Provide EPA Painter Spray Gun Training Understanding the Waterborne Spray Booth

We conclude our special coverage in next months Autobody News

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Contents Alabama Body Shops See Green after February

Gesterkamp - Compressors Affect your Spray Gun

Alcohol-Related Teen Fatalities Drop in Oklahoma 57

Gonzo's Toolbox - Early Morning De-Light and

ASA Requests NHTSA to Use its Authority to

Hand-held Phone Bans Are Not Reducing Crashes,

ASA Urges Repairers to Contact Committee Members

Honda Adds 437,000 Cars to Worldwide Faulty

Ask Dale - Parts and Car Sales, City Vehicles,

I-CAR Announces 2010 International Board of

ASRW Partnering Program Kicks-Off, Strong

I-CAR Tech - Insulated Rubber Gloves And

BASF Expands Lean Education . . . . . . . . . . . . . . 18

Independent Contractor Withholding: Called

Amaradio - “Every Man For Himself” . . . . . . . . . . 51 Regulate Aftermarket Crash Parts . . . . . . . . . . 50

to Oppose Model Parts Act . . . . . . . . . . . . . . . 58

Standards for Associations . . . . . . . . . . . . . . . 38 Industry Support . . . . . . . . . . . . . . . . . . . . . . . 55

BASF Responds to ABN’s Questions on Newer

and your Paint Appearance . . . . . . . . . . . . . . . . 4

Nursing Ingenuity . . . . . . . . . . . . . . . . . . . . . . . 29 Distraction is an Attention Problem . . . . . . . . . 47 Air Bag Recall . . . . . . . . . . . . . . . . . . . . . . . . 40 Directors. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24 High Voltage Batteries . . . . . . . . . . . . . . . . . . . 48 ‘Job Killer’ . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

Refinish Processes . . . . . . . . . . . . . . . . . . . . . 18

Insurance Council of Texas Says Auto Injuries

Bed Liner Products . . . . . . . . . . . . . . . . . . . . . 37

Kerry Soat Reports on Arizona Glass Legislation

Survey Results . . . . . . . . . . . . . . . . . . . . . . . . 26

McClune - CAA Members Want “Safety

Car Crashes, 2009 . . . . . . . . . . . . . . . . . . . . . 20

NADA Chair Says Dealers See Industry Rebound . 46

for Charity. . . . . . . . . . . . . . . . . . . . . . . . . . . . 24

Oregon Posts Ratemaking Data . . . . . . . . . . . . . . 57

BBB Issues Warning on Company Selling Truck CAA Glendale/Foothill Chapter Meeting; CAA

CARSTAR Collision Centers Toasts Top Celebrity

Collision Industry Foundation to Auction Donations Collision Repair Students are Well-Prepared for

the Real World . . . . . . . . . . . . . . . . . . . . . . . . 42

Down . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57

(HB 2463–HB 2464 B & I Committee Meeting). 12 Before Profit” . . . . . . . . . . . . . . . . . . . . . . . . . 56

New I-CAR Director for Curriculum Work . . . . . . . . 4 Performance Parts Pioneer and SECO Founder,

John Simmons, Passes Away . . . . . . . . . . . . . 22

CollisionBuilder.com Provides Free Websites to

Replacement Safety Certification Labels Gaining

Congress Asks Insurers for Toyota Accident Data 46

Salvaged Airbag Bill, SB 209, Withdrawn by

Consumer Union Calls for Auto Safety Reforms,

Wider Usage . . . . . . . . . . . . . . . . . . . . . . . . . . 28

Indexof Advertisers

Associations . . . . . . . . . . . . . . . . . . . . . . . . . . 42

Maryland State Senator . . . . . . . . . . . . . . . . . . 43

Toyota Controversy Heats Up . . . . . . . . . . . . . . 1

SCRS and Others Alert Industry to Concerns Over

to Sacramento . . . . . . . . . . . . . . . . . . . . . . . . 22

SCRS Expands Repairer Education Presence at

Spray Gun Training . . . . . . . . . . . . . . . . . . . . . 16

Sears offering defunct car dealerships auto center

CRA and Toby Chess to Bring Safety Message Dan Am-SATA & Jobbers Provide EPA Painter

Data Recorders Now in Cars . . . . . . . . . . . . . . . . . 6 Diamond Standard Parts expedites safety parts

certification. . . . . . . . . . . . . . . . . . . . . . . . . . . 55

Editorial: Web-Based Management, Is it 2010 …

or is it Really 1984? . . . . . . . . . . . . . . . . . . . . . 8

Espersen - Proper Repair Strategies and the

Sectioning Mystery.. . . . . . . . . . . . . . . . . . . . . 32

Evans - Ultimate Vodka’s Shelby Series 1, Part 2. 44 FAQs on the EPAs Paint Stripping and Coating

Aftermarket Structural Parts, Insurers Act . . . . . 1

SEMA—ASRW will be Mid-week in October . . 24 franchises. . . . . . . . . . . . . . . . . . . . . . . . . . . . 43

Shure Manufacturing’s NEW Recycle Cabinets . . . . 43 Soaring Foreign Car Sales Shape Both Detroit’s

and the Aftermarket’s Future . . . . . . . . . . . . . . 28

Sterling Opens Facility in Oakland . . . . . . . . . . . . . 8

Technological Advancements In Overspray Collectors, part one . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

The Georgia Collision Industry Association (GCIA)

Takes the Lead . . . . . . . . . . . . . . . . . . . . . . . . 52

Operations, part two . . . . . . . . . . . . . . . . . . . . 54

Toyota Facing Diminished Value Lawsuits as well

Says GRC-Pirk Management . . . . . . . . . . . . . . 10

Toyota Testifies, Documents Show Savings by

Federal Government Pays For Shops To Go Green, Florida Court: ‘No Retroactive Rule on No-Fault

Insurance’. . . . . . . . . . . . . . . . . . . . . . . . . . . . 40

as Massive Injury Claims . . . . . . . . . . . . . . . . 40

Limiting Recall Actions . . . . . . . . . . . . . . . . . . 33

Toyota Vulnerable to Conquests. . . . . . . . . . . . . . 20

Ford and Hyundai Excel in Brand Loyalty, Toyota

Understanding the Basics of the Waterborne

Franklin - Help Customers Avoid ‘Jackass Bends’

Unintended Loophole—California’s SB 350 . . . . . . 1

Still No. 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

by Creating Channels . . . . . . . . . . . . . . . . . . . 11

Georgia House Lawmakers Studying Texting

Ban Bill . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37

Paint Booth . . . . . . . . . . . . . . . . . . . . . . . . . . . 41

Veterans Return to Class—Not Just Older Northeast Georgians Filling Classrooms at Athens Technical

College . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36

Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Contributing Writers: Tom Franklin, Dick Strom, John Yoswick, Lee Amaradio, Rich Evans, Janet Chaney, Toby Chess, Mike Causey, Tom McGee Advertising Sales: Joe Momber, Christina Shubert (800) 699-8251 Sales Assistant: Stephanie Bowling Art Director: Rodolfo Garcia Serving California, Nevada and Arizona, 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. ©2010 Adamantine Media LLC. Autobody News P.O. Box 1400, Oceanside, CA 92051-1400 (800) 699-8251 (760) 721-0253 Fax www.autobodynews.com Email: news@autobodynews.com

Western

Snowfall . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22

AEGIS Tools Intl. . . . . . . . . . . . . . . . . . .12

LKQ . . . . . . . . . . . . . . . . . . . . . . . . . . . .60

Audi Wholesale Parts Dealers . . . . . . . .55

Mazda Wholesale Parts Dealers . . . . . .54

Alldata Collision . . . . . . . . . . . . . . . . . .47

Autoland Scientech . . . . . . . . . . . . . . . .29

BMW of Riverside . . . . . . . . . . . . . . . . .24 BMW Wholesale Parts Dealers . . . . . . .39 British Motor Car Distributors . . . . . . . .38

Buerge Chrysler-Jeep-Dodge . . . . . . . . .7

Chemco . . . . . . . . . . . . . . . . . . . . . . . . . .5

Classifieds . . . . . . . . . . . . . . . . . . . . . . .59 Completes Plus . . . . . . . . . . . . . . . . . . .14 Courtesy Chevrolet San Diego . . . . . . .26

Crevier BMW . . . . . . . . . . . . . . . . . . . . .15 Downtown Motors of LA

(Audi, VW, Porsche) . . . . . . . . . . . . . . .34

Enterprise Rent-A-Car . . . . . . . . . . . . . .51 Ford Wholesale Parts Dealers

AZ, CA, & NV . . . . . . . . . . . . . . . . . . . . .19 Galpin Motors . . . . . . . . . . .22, 30-31, 37 Glenn E. Thomas Chrysler-Jeep-Dodge 25

Global Finishing Solutions . . . . . . . . . .20

GM Wholesale Parts Dealers . . . . . . . .50 Honda/Acura Wholesale Parts Dealers 52 Hyundai Wholesale Parts Dealers . . . .42 Kearny Pearson Kia . . . . . . . . . . . . . . . .40

Kia Motors Wholesale Parts Dealers . . . .49

Mattei Compressors . . . . . . . . . . . . . . . .4 Mitsubishi Wholesale Parts Dealers . . .56

MOPAR Wholesale Parts Dealers . . . . .13 Nissan/Infiniti Wholesale Parts Dealers . . .46

Pacific BMW . . . . . . . . . . . . . . . . . . . . . 35 Performance Radiator . . . . . . . . . . . . . . .6 Power Chrysler-Jeep-Dodge . . . . . . . . .17

PPG . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2 RBL Products . . . . . . . . . . . . . . . . . . . . .8 Replica Plastics . . . . . . . . . . . . . . . . . . .43

SATA . . . . . . . . . . . . . . . . . . . . . . . . . . .23 SCA Appraisal Company . . . . . . . . . . .16

Sherwin-Williams . . . . . . . . . . . . . . . . . .11 Soft-Sanders from Style-Line, Corp . . .44

Southern Polyurethanes, Inc . . . . . . . . .9

Subaru Wholesale Parts Dealers . . . . .27 Suzuki Wholesale Parts Dealers . . . . . .58

Timmons VW-Subaru . . . . . . . . . . . . . .36 Verifacts . . . . . . . . . . . . . . . . . . . . . . . . .18

Volkswagen Wholesale Parts Dealers . . .57 Volvo Crash Wholesale Dealers . . . . . .53

Weatherford BMW . . . . . . . . . . . . . . . . .10 Wizards Products . . . . . . . . . . . . . . . . .21

www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 3


Paint Management

Stefan Gesterkamp is a Master Craftsman and BASF representative who has been in the automotive paint industry for 27 years. He started his career in a custom shop before turning to collision repair. Stefan graduated from the University of Coatings and Colorants in Germany and is the author of “How to Paint Your Show Car.”

Compressors Affect your Spray Gun and your Paint Appearance with Stefan Gesterkamp

After my February column on spray-gun choices appeared in Autobody News, I was asked to clarify a point I made on CFM availability in the shop during peak air consumption. CFM stands for cubic feet per minute and a spray gun’s peak performance is depending on proper air volume. Each spray gun is engineered and tuned, just like a carburetor, for a specific CFM consumption. Some spray guns ask for 89 CFM and others want 17 CFM or more for optimum performance. Less CFM consumption doesn’t automatically translate into a better quality spray gun; it simply means that it could be the better choice for your situation. Most manufacturers’ spray guns will consistently perform well and do exactly what they are designed to do, as long as you provide them with their basic pressure and volume requirements.

How do you know how much CFM you have available? The following is not a 100% scientific answer to that question, there are simply too many unknown (to me) variables in every shop’s situation, but it is a fairly reliable rule of thumb and it beats buying highly expensive equipment you are likely to use only once. Just look at the tag on your compressor for the necessary information and do the following math. A standard two-stage piston compressor produces about 4 CFM per HP (horsepower) and a screw drive compressor generates about 4.7 CFM per HP. Multiply your compressor’s HP rating by the appropriate CFM and you get your maximum CFM output. To have all of the potential CFM available to you, the air should be delivered to your work area in a 1½–2 inch pipe. Make sure that the connections from the compressor to any filter or dryer is also properly sized. Whenever possible, the pipe should be a closed loop system. The moment you close the pipes in a looped system, the pipe becomes a very effective storage reservoir. It also evens out the air

In January I-CAR appointed William (Bill) Stage to fill the newly created position of director of marketing & distribution. Stage will report to John Edelen, president and CEO of I-CAR. Stage arrives at I-CAR with more than 20 years of experience in the collision inter-industry and previously served as I-CAR director of Field Operations, Marketing and Product Development from 1990 through 1994. In addition to his previous experience with I-CAR, Stage most recently served as manager, Network Support Services for AkzoNobel Coatings, a position he held since 2007. From 1994 to 2006, Stage was vice president & director of Field Services for Mitchell International. Stage also owns SSR Collision Center in Alpharetta, GA. “I am very excited to join I-CAR at this time to assist in implementing the new programs developed under John Edelen's leadership,” said Stage. “The I-CAR staff and volunteers are a dedicated group of individuals committed to improving the industry and I am proud to be a part of the team.” In his new role as Director of Marketing and Distribution, Stage has been tasked with taking a body of work two years in the making to the next level. The role-based training curriculum known as

the Professional Development Matrix realigns the I-CAR curriculum into a framework for industry training based upon an individual’s role and level of experience and responsibility. “It’s important to me that we engage every segment of the industry around this body of work. Central to this curriculum model is the I-CAR vision that every person in the collision industry, current and future, has the necessary knowledge and Bill Stage skills relevant to their position to achieve a complete and safe repair,” said Stage. “I’m very excited to serve I-CAR and the inter-industry at a greater capacity as a member of I-CAR’s leadership team.” “I want to reassure our volunteers and instructors that they play a key component in our role-based training curriculum, as they administer and deliver training to the industry,” said Stage. “ICAR’s history and 30 year legacy was built by volunteers and instructors many of whom are still involved with I-CAR today, it is our vision that we continue to be defined by the industry that is our future.”

The Relationship between your Compressor, your Spray Gun and the Final Appearance of your Paint Finish

New I-CAR Director for Curriculum Work

4 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

availability to each work station. All of your quick-disconnect couplers in the paint department should be 3/8 of an inch in diameter. Many shops are still using ¼ inch couplers or wall regulators with too low of a CFM rating and can’t figure out why the paint jobs are not as nice as they hoped for. Leave the rest of the shop on ¼ inch couplers. Nobody in your shop is as dependent on CFM as your painter and he deserves to get preferential treatment when it comes to air supply. Most shops don’t have a dedicated compressor for the paint department. In that case, you must deduct the air consumption of all other air tools that could potentially be used at the same time from the total CFM produces. By deducting all of the potential air tool CFM consumption from the total volume produced, you get a good idea what type of spray-gun you can consistently support in your shop. Be sure to consult the air tool owner’s manual for the actual CFM consumption of each tool. Following are some general figures for the most frequently used tools in our industry. A standard DA sander consumes about

10–15 CFM and an air buffer 20–25 CFM. A wide-open air blower could use as much as 35–40 CFM. The length of your air hose is also a factor in the calculation; you can lose an additional 1 CFM for each 10 feet of hose over the standard 32-foot length. Depending on the type and the manufacturer of your quick-disconnect couplers, you may lose as much as 7 CFM for each quick-disconnect coupler the air has to travel through. One last comment about CFM. Your air supply is only as good as the weakest link in the system. If your air volume is restricted anywhere between the compressor and the gun, your available volume can’t be more than the restriction allows to pass through. For example, if the compressor is hooked to the main line with only a ¾ inch pipe, it doesn’t matter what you do after that restriction, you can only access the volume that passes through that pipe. Whether it’s 100 HP or 10 HP compressors wouldn’t matter. Last but not least, all pressure regulators and filtration systems should be rated for sufficient CFM pass-through.


Technological Advancements In Overspray Collectors, part one by Rand Schweizer — Chemco Mfg. Co. Inc.

This is part one of a two-part article condensed from a longer article by Rand Schweizer. You can read the full article courtesy of Chemco Mfg at their website: www.chemcomfg.com/ articles/articles-tipsoverspray-collectors.html

Introduction From today’s vantage point, the industrial finishing industry’s technical challenges of the 1960s through most of the 1980s were pretty straightforward. Conventional air spray equipment was the predominant application technology. Most finishers were spraying low-solids, solvent-based coatings. Frequently, production painting was done in waterwash spray booths that operated for weeks, sometimes even months,

Fig. 1. Expanded paper paint overspray collector.

with little maintenance. Over time, the booth’s water tank would fill with the captured overspray solids. The water-saturated sludge cake was manually removed from the tank over a weekend and production resumed the following Monday morning without a hitch. Intermittent or batch spray painting was generally done in dry filter spray booths. Typically, these booths were equipped with either expanded paper (see Fig. 1), accordion-style pleated paper, or spun fiberglass paint overspray collectors. Depending on the finishing process particulars, these collectors were capable of capturing 85–97% of the overspray entrained in the booth’s exhaust air stream. Most of the remaining overspray was deposited in the booth’s back section, on the exhaust duct’s interior walls, and on the exhaust fan blades. Any residual overspray still entrained in the exhaust was emitted to the atmosphere.

How Do They Work? Overspray is the paint mist produced as a byproduct of spray application processes. As the cost of industrial coatings has increased, finishers have worked to maximize their application process transfer efficiency. They have a double incentive to minimize overspray. By definition, over-

spray isn’t applied to substrates; therefore, it is wasted. Additional expense is incurred to capture and dispose of this wasted atomized paint. In spite of the use of higher transfer efficiency spray technologies, such as HVLP, electrostatic air spray, and automatic rotational atomizers, more than 30% of all spray-applied liquid industrial coatings end up as overspray. During 1998, U.S. industrial finishing operations produced more than 90 million gallons of liquid paint overspray. Recent advancements in collector testing procedures have produced laboratory test data that challenge the accepted rules-of-thumb on how collectors actually capture overspray. The arresting process is more complex than previously thought. Most modern collectors utilize a combination of physical principles to capture and retain overspray from spray booth exhaust air streams. At the end of the 20th century almost all overspray collectors utilize one or a combination of several types of mechanical filtration. Traditional air filtration technology teaches us there are three mechanical filtration processes that may be used to remove foreign particles from a moving air stream. 1. Impingement, also known as impaction 2. Interception 3. Straining Impingement is the process by which the larger (typically 0.10 microns) overspray particles are captured. As the oversprayladen exhaust air stream approaches the face of the arresting media, the individual air molecules begin to align themselves with the openings in collector face. The larger overspray droplets have too much forward inertia to follow the surrounding air molecules as they zig and zag through the collector’s staggered openings. Figure 2 shows an overspray droplet about to be impinged on the front face of an expanded

Fig. 2. Impingement.

paper collector even as the air shifts laterally to pass through the openings in each

ply of the media. Depending upon the process dynamics of a given spray booths, as much as 80% of the total mass of the entrained overspray may be impinged on the collector’s face. An additional 15 to 18% of the overspray is removed as the exhaust air stream passes through the successive stages or layers of the filter media. The remaining 2 to 5% (the smallest droplets) pass into the exhaust plenum to be deposited on the fan blades or the exhaust duct. Droplets making it past these impediments pass into the atmosphere. Interception is the primary process utilized in spun fiberglass collectors. It is also a secondary capturing process at work in many impingement collectors. The effectiveness of the interception process is directly proportional to the number of intercepting surfaces in the media. Arrestance by interception occurs when overspray droplets make accidental contact with a media element while entrained in the exhaust air stream passing through the media pad. Interception requires the individual overspray droplets to remain at-

Fig. 3. Interception.

tached to the filter element for the remainder of the collector’s functional life. Although many overspray droplets are relatively sticky, most interception collectors are tackified—coated with a sticky substance, usually an oil or a pressure-sensitive resin by the media manufacturer. Interception collectors are more effective in capturing larger overspray droplets than smaller ones. Experience shows that smaller fibers are more likely to retain droplets than larger ones. Additional factors having a positive impact on the performance of interception media include the air velocity—slower is better than faster, the depth of the media—thicker media increases the probability that a droplet will make contact with a fiber, and the fiber density— the closer adjacent fibers are to each other the greater the likelihood that interception will occur. Figure 3 depicts an overspray droplet making contact with a fiber element as the exhaust air carries it through the collector. Read part two in April’s Autobody News.

www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 5


Continued from Page 1

Unintended Loophole

will be paid, the type of parts that can be used in the repair and what type of process or procedure can be used. Although the policyholder is ultimately subject to the terms and conditions of the DRP contract, these contractual mandates between the insurance company and the DRP shop are not transparent to the policyholder. The insurance companies continue to have the superior bargaining power over both the policyholder and the DRP shops. Often times, insurance companies lead policyholders to believe that the work done at a non-DRP shop will not be guaranteed or the policyholder will have to come out of pocket. These financial scare tactics recurrently steer policyholders to a DRP shops after being involved in an automobile accident. The policyholder is generally swayed by the financial disincentives and will opt to have their car repaired at a DRP shop rather than come out of pocket on a repair. In the event SB 350 passes, once at a DRP shop, insurance companies can require aftermarket crash parts to be installed on the vehicle without the prior approval of the customer. Toby Chess, well-known I-CAR program instructor, Welding Specialist, and former salvage yard operator, recently did a side-by side testing of aftermarket v. OEM bumper absorbers, bumper reinforcements and bumper brackets. The results concluded that not only were the aftermarket crash parts he tested inferior quality, but he raised safety concerns for Continued from Page 1

Auto Safety Reforms

“While the U.S. has arguably the best automotive safety net in the world, these types of infrequent problems are the hardest to catch and the most difficult to diagnose, in this case with deadly consequences.” The recommendations come as the U.S. Congress begins the first of two days of hearings that will feature a grilling of both safety regulators and Toyota on the question of why red flags were missed. Separately, Consumer Reports released its annual ranking of the most reliable auto brands.

automobile owners who have had these non-OEM parts used in a repair. [See last month’s Autobody News, or www.autobodynews.com for Toby’s article—Ed.] As a result of these safety studies, GEICO announced that it would no longer require the aftermarket bumper parts to be used in future estimates. However, if SB 350 passes into law, even if an insurer did require the use of one of these inferior aftermarket bumper parts, the insurer would still theoretically be insulated from civil liability because SB 350 mandates only an administrative remedy. The glaring issue here is that insurance companies seem to be dictating what type of parts and procedures should be used in repairing a vehicle. As insurance companies become more and more insulated from civil actions initiated by policyholders and auto body shops, the financial incentive to cut corners and cheat the system increases. The insurance industry practices become a financial risk-reward analysis instead of a competitive business decision where quality service and consumer safety dictate industry practices. Unfortunately, unfair and unlawful practices are becoming increasingly more difficult to address in the civil arena. Insurance lobbyists continue to work hard to manipulate the insurance code and produce unintended loopholes. For safety and fairness, these loopholes need to be exposed. If passed, SB 350 will be another boon for the insurance industry to the detriment of auto body shops and their customers. Edie Mermelstein can be reached at FEMermelstein@aol.com. Honda Motor Co. topped the list for the fourth consecutive year in a tie with Subaru. Toyota was No. 3, although Consumer Reports suspended its recommendation for the eight models recalled for sticky accelerator pedals. Hyundai Motor, one of the automakers expected to benefit most in the short-term from Toyota's woes, jumped to fourth place from ninth a year earlier. The annual report is considered an influential benchmark among consumers. Many automakers set internal targets to make the magazine's list of recommended vehicles since the endorsement is seen as valuable in advertising and in supporting auto resale values.

Data Recorders Now in Cars

Re: “What Went Wrong With My Toyota?” (letters, Feb. 6): The letter recommending a data recorder in cars like those in airliners to help the diagnosis of problems like those being experienced by Toyota owners is right on. But little known to the driving public is the fact that in many cars computers are already constantly recording vehicle

speed, throttle position, braking application, air bag deployment and a host of other vehicle operating characteristics. This information is routinely downloaded by law enforcement after serious accidents. If this information were made available to an impartial investigator in addition to Toyota, the mystery might be taken out of the current situation.

6 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

Independent Contractor Withholding: Called ‘Job Killer’

A proposal to require California businesses to withhold 3% of payments to independent contractors amounts to an interest-free loan to the state from small businesses, the California Chamber of Commerce has pointed out to state leaders. “We respectfully urge you to abandon this proposal,” CalChamber President and CEO Allan Zaremberg wrote in a letter to Senate President Pro Tem Darrell Steinberg (D-Sacramento), who has been quoted in news articles as expressing support for independent contractor withholding. The CalChamber also sent copies of the letter to Governor Arnold Schwarzenegger and all state legislators.

‘Job Killer’ Vetoed in 2009 An independent contractor withholding mandate was included in special session legislation last year that was vetoed by the Governor. The “job killer” proposal (SBX3 17; Ducheny; D-San Diego) would have required a 3% across-the-board withholding on payments to resident independent contractors. Independent contractors are self-employed individuals and businesses, ranging from small businesses and entrepreneurs to large firms. Examples include: builders, real estate agents, computer programmers, accountants, automotive mechanics, attorneys, medical doctors, engineers.

As businesses, independent contractors pay more kinds of taxes than employees, such as self-employment taxes and local business taxes; pay income taxes throughout the year through quarterly estimated tax payments; and are subject to penalties for not paying or underpaying. Because of recent budget agreements, independent contractors must pay 70% of their taxes by June of each year for the next two years.

Threatens Small Business In a year when the Governor and legislative leaders have indicated that job creation is a top priority, independent contractor withholding “will destroy rather than create California jobs,” Zaremberg wrote. CalChamber opposition to independent contractor withholding is based on the following: * Independent contractors already have a greater tax burden than employees; * Withholding will wrongly force small businesses to loan money to the state, interest-free; * Withholding could generate little if any new revenue for the state; and * Withholding targets the wrong group of taxpayers—taxpayers who are already compliant.

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Editorial: Web-Based Management, Is it 2010 … or is it Really 1984?

by Tony Passwater

There is always a lot we all can learn from the past … sometimes from the facts that were actually experienced, and sometimes from just the “fiction” that may be written about it. You may or may not have read George Orwell's 1949 novel, 1984, or even seen the movie which was released in 1984, but I am sure you have heard references and quotes over the years about the concerns and fears of its main character, Winston Smith. From the beginning, the quote, “Big Brother is Watching You,” conveys his fears of a totalitarian government bent on total manipulation. CCC is beginning to roll out its web based collision repair estimating and management system to our industry. The idea of a web based platform is not new, in fact Mitchell pioneered the concept of online estimating in the 1990’s, and Audatex has also followed a few years back. In fact, in Canada for over a year, their Shoplink version has been sunset and no longer available. So what is the big deal ? Web-based products do make perfect sense as it relates to updates for both program features and data, but what about privacy? Have you ever read the fine print associated with your current estimating system, “Terms of Usage” in your contract? I would assume … probably not. It basically states they (Information Providers) have the right to do just about anything they wish to do with the data they receive through their proprietary network during your estimate uploads. If you have a business relationship through a DRP agreement, it has been reluctantly understood that the claim data that is processed through the Information Provider for a specific insurer, will be collected, aggregated, and reporting will be resold back to the insurers (and others) about your customers’ vehicles repairs, and also your performance to their matrix. However, any data you store in your estimating system that is not uploaded remains your information 100%, and remains completely private. Now with any web based product, ALL estimating data has been effectively “uploaded” and stored online and then naturally subject to aggregation, and reporting … not just the claims and estimates that are through a business relationship DRP, but 100% of ALL walk-in customer pay estimates, fleets, and all insurers with or without a DRP business agreement in place! Does this sound a little totalitarian? For the most part, the collision repair industry is a collection of private businesses. It is well known and acceptable that private businesses are not bound to release financial data … it is PRIVATE for those within the company itself. With the current estimating data being captured, sales (severity), labor rates charged, paint and material charges, P-Page (Manual Entries)

additions, supplement ratios, cycle days, and a number of other ratios are being manipulated, and in many cases used against us without any validation or understanding of what it is actually portraying in any given market area. With online management systems, the data includes all of the above, but adds all Cost of Goods Sold figures as well. Costs for all parts and flagged labor costs are just the basics that will now be accessible for “aggregation and reporting”. Some systems today converted to web based will even provide the hours actually clocked into each job by every technician, and the total gross pay for every technician! I was driving with my 20-year old daughter the other day, and I was thinking about this column. I told her about the book, 1984, which she had never read (or seen the movie), and explained to her about the online estimating and management systems our industry is rolling out along with the exposure of the private financial data. Her reply was, “If you don’t have anything to hide, why would it be a problem?” Well… she simply missed the whole point ! It is not about “hiding anything,” it is about having a privately held business remain PRIVATE, along with the data being manipulated and used against us to turn all of us against each other, just about like the Romans did in the coliseum 1500–2000 years ago. I am 100% sure Intuit would not even imagine that they could justifiably aggregate the data in their Online QuickBooks version, and sell the information to others … why is our estimating and future management system data any different? Don’t misinterpret what I am attempting to point out. I am not stating that technology should not continue to advance, I actually believe in the concept of web based or cloud computing … it is in our definite future. What has become unacceptable and a correlation to George Orwell’s 1984 scenario, is the power and revenue this information has provided to the collectors of our data, how it is being manipulated, as well as used against our industry is what is unacceptable. For this reason, I urge every one in the industry to stand up and stop this before it goes much further. The terms for usage of our data must not only be very clearly identified in not just the “small print” or forced upon us without a viable option. Our data should not be shared unless we allow it based on very specific criteria, and limitations we as an industry, and as an individual private business can agree to without the

8 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

pressure of “Big Brother” control. It is very clear, we own the data we generate when using a software program … whether it is installed locally on our computers, or stored in a “cloud” on the internet. It must be our right to select who gets access, what compensation we are entitled to, and not be denied these individual rights. I just hope and pray that the following quote from 1984 doesn’t become our reality: “Until they become conscious they will never rebel, and until after they have rebelled they cannot become conscious.” Think about it … the past may be our future if we don’t stop it now. Comments can be sent to Tony Passwater at Tony.Passwater@aeii.net.

Tony Passwater, President of AEII, has actively worked full time within and with the Collision Industry since 1972. He comes from a 3rd generation family in the collision repair business. During his involvement he has worked and managed his family owned Collision Repair Shop, owned and operated Automotive Paint Jobber Store, been an I-CAR Local,Regional, National, and International Master Trainer, and a Vocational Instructor.

Sterling Opens Facility in Oakland

On January 25, 2010, Sterling Autobody opened a new, 12,000 sf. repair facility in Oakland, California. This state-of-the art Sterling store is located at 7801 Oakport Street in Oakland. . Sterling acquired the pre-existing building and renovated both the interior and exterior, creating a cleaner, brighter and more attractive structure. Included is a new, more customer-friendly office design featuring improved lighting, warmer tones, and retail-like conveniences. The repair center incorporates visual management fixtures of the Lean Manufacturing tenants which Sterling is renowned for in the collision repair industry. Many of the building elements remain, and new materials were carefully reviewed for environmental impact. Sterling Autobody Centers is committed to protecting the environment by reducing hazardous waste and creating a cleaner, safer environment for employees and the Oakland community. This location features air respirator systems, attending to employee safety and comfort, along with the use of waterborne paint. The new location employs 15 technicians and front office staff and is open Monday through Friday, 7am – 6pm, and Saturdays from 8am – 12pm.


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Federal Government Pays For Shops To Go Green, Says GRC-Pirk Management

As an environmentally conscious shop owner, paint supplier or contractor, you may be eligible for a valuable funding opportunity. There has never been a better time to tap into the lengthy list of government rebates, tax credits and other financial incentives designed to encourage shops to achieve federal, state and local compliance. Many key incentives enacted over the last several years have focused on encouraging shops to incorporate environmental compliance into their operational plans. One incentive in particular relates to Certified Green Investment “CGI”, and is being utilized by many paint manufacturers and suppliers. One of the key provisions of the Energy Policy Act of 2005 allows a tax deduction of up to $1.80 per square foot for certain environmental improvements made for equipment put into service since 2005. In certain instances, this deduction may be available to someone other than the equipment owner for early compliance with Environmental Protection Agency rules and regulations. Intended to offset some of the costs of qualifying energy-efficient improvements to commercial buildings, the CGI incentive allows taxpayers to take an immediate expense for the cost of equipment that would normally be recovered through depreciation over as many as 39 years.

To help you better understand the CGI incentive under Section 179D of the federal energy tax code and how it may be able to benefit a shop, the environmental professionals at GRC-Pirk Management have put together the following brief list of frequently asked questions.

What are the requirements of Section 179D? To qualify, energy-efficient improvements must reduce total annual energy and power costs with respect to the interior lighting, spray booth operation, heating, cooling, and ventilation and hot water systems by 50%. Partial deductions are allowed. Energy simulation and sustainability is required to justify the CGI incentive; and inspection and testing must be completed by a qualified engineer or contractor registered in the EPA jurisdiction. How much is the deduction? • Maximum deduction is $1.80 per square foot for a 50% reduction in total annual energy and power costs (compared to a reference building that meets the minimum requirements of ASHRAE Standard 90.1 2001); not to exceed the amount equal to the cost of energy-efficient commercial building property placed in service during the taxable year • Partial deduction is 60¢ per square foot for a 25-40% reduction in lighting power density (50% in the case of warehouses)

Who qualifies? • Building owner at the time of building improvements • Public buildings – the owner may allocate the tax deduction to the designer (engineer, contractor, architect, environmental consultant or energy services provider) for the taxable year that includes the date on which the property is placed in service What is the eligibility timeframe? Shop upgrades must be completed after December 31, 2005 and before January 1, 2013 What documents do I need to produce? Current full set of architectural plans that includes all specifications • Energy compliance documents for lighting, HVAC and envelope (Title 24 or IECC) • Recordkeeping File – computer file used to generate T-24 documentation • Certified Letter of Opinion – Registered Environmental Assessor “REA” qualification letter • EPA HAPs 6H Compliance Notification NESHAP 43 CFR 63 Subpart HHHHHH certification What do I get from a CGI 179D review? • FTD certificate package—requires federal tax documentation for CGI incentive • Provide review of existing T-24 or IECC to verify compliance with current code requirements

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How do I claim the CGI incentive? • The tax deduction is taken on the “Other Deductions” line of the taxpayer’s return • Tax returns may be amended going back three consecutive tax years

The green movement for miscellaneous surface coating operations is much more than merely a trend. Local building codes are mandating that buildings be more efficient, and even insurance carriers are beginning to demand improvements that will reduce a shops operating cost. Given the growing number of incentives available to encourage incorporating certified green improvements into a shop facility, it is important to consider any federal, state or local incentives available. Steven E. Schillinger, is President and Robert Morris is Legal Counsel for GRCPirk Management in Reno, Nevada For confidential consultation, call Toll Free: 1-888-374-PIRK (7475) Email: Fund2843@mypacks.net or visit www.ReComply.com.

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On Creative Marketing

Tom Franklin has been a sales and marketing consultant for forty years. He has written numerous books and provides marketing solutions and services for many businesses. He can be reached at (323) 871-6862 or at tbfranklin@aol.com.

Help Customers Avoid ‘Jackass Bends’ by Creating Channels with Thomas Franklin

In the 1940s, in the Spring the Missouri River, in the vicinity of Kansas City, would overflow from heavy Winter snows and Spring rains. The result was serious flooding of the surrounding land. One factor that made the flooding worse was the meandering nature of the river, and one of the worst meanders was locally called “Jackass Bend” where severe flooding was nearly an annual event. To resolve this situation, the U.S. Corps of Engineers dug a straight new channel several miles South of the old one called the Liberty Bend cutoff, and dammed up the old channel. And they built a new bridge across the new

channel called the Liberty Bridge. I’ve noticed that a number of shops put their customers through a few “Jackass Bends” just to get their vehicle repaired. Forms must be filled in and a customer may have to wait for an estimator and then wait for a rental car. The popular buzzword of the day is “Lean Procedures,” with a focus on eliminating unnecessary steps and delays. Much of the emphasis is placed on lean production, but lean customer processing is equally important. Many shops thrive on customer referrals and a customer subjected to a series of “Jackass Bends” is not likely to go out of the way to refer the shop.

A recent survey of health care systems in other countries noted that countries that use a health care data card similar to a credit card, can keep many doctor visits to just a few minutes. All of the patient’s medical and physical information is on the card and can be accessed in seconds. The card is updated after the visit, so the patient need never fill in a form on the next visit. Today most drivers licenses have a magnetic strip like a credit card. Using a card reader may enable a shop to capture much of a customer’s information from the drivers license without having a form filled out. But this concept opens the door to even better time

savings along with a marketing advantage. If a shop acquires the technology to create a collision customer data card of its own, the customer can walk away with a piece of plastic that identifies everything about his or her vehicle plus all of the repairs and parts installations that have been made. The next visit will require practically no data capturing at all. Will the customer keep this card in his or her purse or wallet? Possibly not, but most astute shops now provide every customer with an accident information pamphlet or booklet to keep in the glove compartment. It’s a simple move to add a slot or pocket to hold the data card. People are naturally inclined to follow the easiest path. This strategy alone can incline most customers to return to the shop to get handled more quickly and avoid tiresome form filling. But there is a way to get even more mileage out of the data card. By adding a master code number to the card and keeping that master code along with this customer’s data on the shop’s computer system, the customer need not even come into the shop to begin the process of getting set up for the next repair. The code could be sent by e-mail, fax, phone, or entered into a preset area on the shop’s website. When the customer arrives, he or she simply drops off the vehicle. If this was all of the value a shop could get from providing a data card, it would be well worthwhile, but this is only the beginning. The card can now be used for additional sales and marketing advantages. If a shop also has a vehicle maintenance division, tires, brakes, air conditioning service, tune-ups and other reminders can be programmed in. If a shop sells accessories, winterizing products and other seasonal items can be promoted. Today’s credit cards have enormous data storage capabilities. These items won’t even begin to overload the card’s capacity. Finally, for the shop owner who is really serious about getting the most out of a data card system, there is the added possibility of links. The Internet is filled with websites that earn all revenue from advertisements on the site. A shop can offer promotional connections on the card to a local car wash, car rental facility, automatic transmission repair shop and other related businesses. All of these advantages can be had by simply eliminating “Jackass Bends” and creating a new channel for data to flow. By the way, I really hope the current snowfalls in the east and southeast don’t cause serious flooding.

www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 11


Kerry Soat Reports on Arizona Glass Legislation (HB 2463–HB 2464 B & I Committee Meeting) After attending the Banking and Insurance Committee on the above two listed bills, my assumption that this bill was written by insurance companies for insurance companies was correct. The committee members were surprised to learn no Auto Glass Companies were asked to review this bill before its introduction. This one fact should require the bills to be removed but it passed this committee, to my surprise. I feel the vote was pre determined before we got there. After listening to the testimony of the insurance companies’ representatives, I have a better understanding as to how this can happen. There are some glaring issues I would like to address to the committee members and to the rest of the legislative body regarding these two bills. The insurance companies’ representatives made a couple of misstatements in the committee meeting which I brought to the attention of the committee who quickly asked them for their corrections. One of the representatives left the room and was not heard from again. As I have clearly stated in the past, the fraudulent practices addressed in this bill are already against the law. Some of the practices listed in this bill are not deserving of a felony and should be re addressed. Some of the members of the committee agreed with me on this point. From all of the comments and questions by the committee, I feel there are some very disturbing misunderstandings by the committee members I would like to clear up.

HB 2463 1. The Department of Insurance does not regulate or oversee Auto Glass Companies currently. They do prosecute insurance fraud committed in the state by any industry. The Auto Glass Industry is not the “only� industry where insurance fraud is committed. 2. The “Presumption of Innocence� is a very glaring problem with this bill and needs to be changed or dropped entirely. The way the language reads and the way the insurance companies representatives answered this question was “we would not prosecute for mistakes� but the language of the bill “allows� them to. They want to determine the definition of a “mistake.� This is wrong and I’m sure unconstitutional. 3. The bill takes away “Private Right of Action� from the insured. This was not discussed in this committee meeting but is another very serious mistake in the language of this bill. Of course, the insurance company wants to go after auto glass companies “without� the cooperation of the insured’s. If that is the case, why is this bill taking the “injured party� out of the equation? It’s obvious to me; the insurance

companies must have a problem with their insured’s cooperating for prosecution of these actions because “current law� allows for prosecuting these actions. Is it possible the insured’s don’t think it’s as big a problem as the insurance company? One of the committee members made a statement “We pass all of these laws for the insurance companies but it never seems to come back to us in reduced premiums.� This won’t help either. 4. No Auto Glass Companies were asked for their input on this bill. No stakeholder meetings as the committee called them. I’m not even sure this is legal. 5. Crooks are crooks. This bill will not stop fraud from being committed by auto glass companies who are engaging in fraud or any other company for that matter. As I have stated, these laws are already on the books and new laws are not going to change anything with these companies and operators. Active enforcement of the laws we have is needed to help police these issues. HB2464 1. Changing the word “shall� to “may� gives the insurance companies the right to “not offer� $0 deductible auto glass coverage. One of the insurance companies’ representative stated in the committee meeting they would “probably offer� a $100 Deductible coverage to their clients. Some of the committee members are insured by this company. Were you paying attention to what was being said? You will no longer have Auto Glass Coverage at a $0 deductible. She also stated 59% of all of the clients for this company have “purchased� this coverage from her company. This means 59% of all the insured’s of this company will be offered a $100 deductible for their “now� $0 deductible glass coverage. This is a lot of voters. I would have liked to have asked the other insurance company representative how many of his clients currently have “purchased� $0 glass coverage from his company but he had left the room 2. In the states where these companies have the option of offering $0 deductible glass coverage, they do “not� offer it. In some states, we have seen where the insurance companies will actually raise an insured’s comprehensive deductible on renewal “without� their knowledge or consent. Unfortunately, for these clients they usually find out about it when they go to have their “windshield� replaced. Of course, everyone gets their “10 Day Free Look� period of a policy when they receive it and have the option of dropping it if they didn’t like it. How many people read their insurance policies when they receive them on renewal? This happens every day.

12 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

3. This bill does not make “Windshield Repairs� “not free� to clients. Windshield Repairs are “free,� “no out of pocket,� “deductible waived,� “call it what you want� and paid by all of the major insurance companies but State Farm. State Farm does not “waive� deductibles for repairs and makes the insured subject to their deductibles when obtaining windshield repairs. In the state of Arizona where we have the $0 deductible option, windshield repairs are paid for by State Farm. This bill may have been introduced to “eliminate� the $0 deductible so they can get out of paying for “any� windshield repairs as they have in other states. Most of the major insurance companies recognize the fact that paying $50 for a repair can effectively “save� the windshield from replacement later and have elected to “pay for it� by “waiving a deductible� instead of allowing the client to wait for it to crack out and pay for the replacement at a later date, deductible or not. I discussed this personally with the head claims manager of State Farm and suggested they offer the “$0 Deductible Glass Coverage� in all the states and allow their clients to purchase it like Arizona. This would allow all of their clients to purchase coverage to cover their windshield repairs. His answer

to me was “We are required by law to offer it in Arizona, not the other states.� 4. Even in all the states “without� $0 deductible, windshield repairs are “free� to the client and paid for by their insurance company (except State Farm). This means with the passage of HB 2464, car washes will still be in the business of windshield repairs. Nothing will change in that regard as some of the committee members were wrongly under the assumption it would. Nothing changes for the car washes except the offer of auto glass replacement if that’s what the client wants, and the insured will be subject to their deductible. 5. The future of the auto glass business is becoming increasing more prevalent to the safety of the vehicles. In fact, future cars will have windshields that extend all the way to the back of the car with a “full� glass roof. The glass is becoming more of an integral part of the structure of the vehicle and obviously, will become more costly in the very near future. The insurance companies are introducing this bill to get out of this coverage while they can. They are also counting your ignorance of this issue and of course, asking for the Auto Glass Industries’ input would bring this out in the open as was eloquently explained by Cindy Ketcherside. The imple-

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www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 13


menting and adherence to the AGRSS (Auto Glass Replacement Safety Standard) may have to be legislated at a later date. 6. HB 2464 is not necessary for Insurance Companies to quit writing $0 deductible comprehensive coverage. It is an option added to an insured’s policy at a cost to the insured. It is not “mandated” by the current statue. As Rex Altree stated in the committee meeting, if they wanted to eliminate the $0 Deductible, they have the option of raising the premium to a level their insured’s might be willing to forgo coverage and accept the risk themselves. HB 2464 takes the “choice” away from the insured and makes it a “choice” by the insurance company. This bill only hurts “the poor” who will no longer have an option of “purchasing coverage” making sure their safety equipment is in good working condition. This bill is very wrong and puts the battle of 22 years ago on the table again. Nothing has changed since then, “if it’s not broke don’t fix it”. 7. As for a larger number of claims in Arizona, it was mistaking stated by the insurance companies representatives the $0 deductible has something to do with it. Of course, a $0 deductible makes more damage “covered” by the insurance companies but it doesn’t have anything to do with the amount of damage Arizona has. Our frequency of damage is higher in this state than most states. Arizona, Colorado, Wyoming, and Montana are states with the highest frequency of damage for rock chips. This is due to “rocks on the road.” In Arizona, we have “rocks” in our yards. I am not aware of any other state that has as much “desert landscaping” as Arizona thereby leading to the amount of auto glass damage. Rocks getting in tires and flying off on the freeways are how most windshield damage occurs. If you wanted to lower the amount of damage to windshields and lower the number of claims to the insurance companies, you would have to outlaw “desert landscaping.” I could no longer tell someone I “rake my rocks” instead of my yard. I would like to make a suggestion to help alleviate these bills. The bills need to be removed and new legislation should be started to accommodate the problems and issues facing, not only the insurance companies, but the Department of Insurance in its enforcement. As I stated earlier, the Auto Glass Industry is not the only industry doing fraudulent actions in the marketplace. Any company billing insurance companies should be covered by these statutes. The public does not know the battles Auto Glass Companies and the Auto Body Shops go through in processing billing and claims with Insurance companies. Some of the actions stated in these bills are to give the insurance companies more teeth in getting their “vendors under control”.

If you would first consider, an insurance policy is a contract between a policyholder and the insurance company and not the vendor it will make this suggestion easier to understand. Insurance companies “take over” the claims handling process from the insured to “contain costs” not to provide service and convenience. They know they can professionally negotiate lower costs than an insured walking through the door as a “retail customer”. If it wasn’t about money, they would have the insured pay for the damage and reimburse them for the damage “according” to the policy. They would subtract the deductible and issue a check to the insured. I have always wondered why when I have a large claim they tell me to get 3 “estimates,” bring them in where we negotiate a fair price, they deduct the deductible and write me a check. They then tell me I “can go anywhere” to get the work done, but not in the Auto Glass business. The insurance companies control everything from where you call the claim into to, where and who can do the work, and of course, they tell us, the vendor, the price. If you would look deeper into this process, you will see companies have sprung up called “third party billers” who have taken over the entire “auto glass claims” process from the insurance company to the point of calling any auto glass vendor who does the job a “sub contractor”. Some of these “third party billers” are large auto glass companies who have already “pre-negotiated” the auto glass claims with the insurance companies for “all” of the auto glass claims from that insurance company regardless of what auto glass company has actually done the work. If this was looked into more thoroughly I believe you will find this is “re-insuring” the auto glass claims by pre-negotiating the prices for future claims. (Re-Insurance) I also believe these companies should be “licensed” to “re-insure” in the state of Arizona for these contracts with the insurance companies. These companies have been created to accomplish, the avoidance of the existing insurance laws in every state they work in and to lower the “average cost per claim” to the insurance company. These companies are not regulated by the Department of Insurance because most are Auto Glass Companies, not Insurance Companies. The Department of Insurance has registered many complaints about these billing companies but is helpless in dealing with this issue. The answer I get from them is “We regulate insurance companies, not auto glass companies”. They are avoiding the customers “free right of choice” to which auto glass company they use. This is called steering and an illegal action by an insurance company

14 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

in the state of Arizona but since it is not the insurance company doing this action the Department of Insurance cannot take any action to stop this. The Department of Insurance might be thinking HB 2463 will give them some power to deal with this issue. These “third party billers” are also known to hold payment for claims for as long 90 days which would be illegal for insurance companies but here again, the insurance company statutes do not apply to them. The direct negotiation of pricing with a direct competitor should also be illegal under Arizona State Statutes. I really do not know how this practice can be allowed to continue. According to this bill, these companies may be in violation of “providing re-insurance without a license,” they would be subject to a felony count for “each incident” (invoice-job) which would “show a pattern of activity” and the “knowledge they engaged in a pattern of the activity.” Call any 800 claims number and see if you are prompted to dial another key to be directed to their “Auto Glass Claims” administrators. Are there any other keys to hit for any other type of claims? It is necessary to give the Department of Insurance the ability to handle “all complaints” when dealing with Insurance Companies, Policyholders, and Vendors who do business with Insurance Companies.

Consider for one moment, you, as the elected official, who has run a hotly debated election, are now forced to call your opponent, the “losing candidate,” to get permission to look at every bill in front of you and then argue with him/her on how to vote on the bill. This is what the Auto Glass Dealers face on a daily basis. Name one other industry faced with this same business practice. I recommend legislation to allow the licensing or registration of each company, from all industries, that want to do business with Insurance Companies in the state of Arizona. This doesn’t mean you regulate these industries on how they do their jobs; free enterprise will take care of that, but put the registration under the Department of Insurance and allow the Department to handle all complaints in the insurance industry whether it is an insurance company, a policyholder or a vendor. Only vendors who wish to deal with and direct bill insurance companies would be required to register for licensing. All other companies who would like to operate retail or wholesale businesses “without” billing insurance companies wouldn’t need to register and submit to oversight by the Department of Insurance. This would keep a free market in place without adding more regulation in the business place “unless” the company wanted See GLASS LEGISLATION, Page 16

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(800) 945.1618 Wholesale Direct (714) 835.4359 Wholesale Direct Fax www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 15


Dan Am-SATA & Jobbers Provide EPA Painter Spray Gun Training Autobody News recently attended a 3-hr. evening training session for about 35 painters, informally called a “SATA EPA clinic,” held at Sacio Enterprises in San Diego. The Jan. 20 event was hosted by the jobber, Tri City Paint, headed by Steve Ellis, Sales Manager, and assisted by Wayne Morrison and Felipe Contreras. Also present was the local representative, Gerry Carter, from Total Sales & Marketing. The featured presenter was Steve Treutel, national industry relations and training manger for Dan Am/SATA, who covered the theory behind the EPA regulations, the compliance requirements, and some critical, but often overlooked, maintainance issues for spray guns. The training included hands-on booth spraying before the painters could be certified in the course. We asked Treutel about training painters in light of the new EPA rule, and what refinish companies—including hardware manufacturers—and jobbers can do, and are doing, to help them get up to speed. Steve Treutel ◄ Two things are happening in the collision industry right nowthat are huge, the EPA rule and waterborne, and I’m not sure which is the larger. First, the EPA put into the rule what Continued from Page 14

Glass Legislation

to operate in the insurance company environment. Licensing should be limited to a registration of the company’s owners, address, pertinent business information and location for operating in the state of Arizona. All owners and operators should be required to attend a “Business Ethics, What constitutes Right and Wrong when dealing with Insurance Companies and Insured’s, Claims Processing and Dealing with Insurance Companies class.” We require speeders to attend traffic school, why not companies doing business with Insurance Companies? This bill should also cover the timely payment of claims by the insurance companies and deal with this issue of “third party billing” companies to hold them to the same regulations in handling claims as the insurance companies they represent. If they have “pre negotiated” future claims it is important they are abiding by the Arizona Insurance Licensing Laws. These companies should also submit to oversight by the Department of Insurance. Madam Chairperson, Representative Nancy McLain, made comments regarding the “training of Auto Glass operators” with regards to ethical operations by the Auto

Steve Treutel, right, talks to a San Diego group of motivated painters seeking national certification for EPA mandated painting operations.

so many of us wanted to do for some time which is basically educating the painter. What we’ve done at Dan Am and SATA is set up a training program with our 39 reps doing evening clinics on this. We cover how the gun operates works, volume, air, from HVLP to RP technologies: they all fall into this rule. We teach them how to achieve the very best transfer efficiency Then we turn around and physically do it. Every student in the class sprays and is graded on it. In the past if you tried to hold a workshop for painters about how to use their own spray gun nobody would show up. They thought that they knew everything there was to know. It’s because everybody learned by watching someone else, not by Glass Companies. She asked Rex Altree if the Arizona Glass Association had any input into its members regarding fraudulent practices. Rex stated “we don’t” because they are all independent business operators and we are there for advice or guidance provided on a need basis. I believe the Arizona Glass Association will offer more guidance in this direction very soon. As a manufacturer and trainer for the Auto Glass Industry, my operators are trained and monitored for their operating activities. Even with a close working relationship like my company, it is their business to run and operate. Some of my operators have even had issues in these areas and we have dealt with them accordingly. By focusing the legislation to the main issues the Insurance and Auto Glass companies deal with on a daily basis, we could create a bill and new laws needed in the state of Arizona. I believe if this is dealt with thoroughly it will become a precedent setting law for the rest of the country to follow and we can get rid of these two bills and truly focus on the problems at hand. Sincerely, Kerry D. Soat, CEO Fas-Break, Inc. 480-967-4884 Vice President Arizona Glass Association

16 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

knowing the principles behind the painting process. Now they say “thank you.” Every paint manufacturer out there and their brand of waterborne basecoat is working to make that operate and dry the way they want it to with color match and everything else. Understanding how that gun is set up is critical. Starting with California, now every paint company is releasing their waterborne nationally, some more effectively

Steve Treutel reviews protective equipment and explains some of the potential health hazards the EPA rules are designed to prevent.

and aggressively than others. But now you’ve got the OTC group in the Northeast, and the Great Lakes group also, which are working on their waterborne law for 2012, only two years away. I think it could all happen nationally within 5-10 years.

That’s a lot of painters—bigger, even, than the California waterborne launch because we’re talking about changing primers and clears (to match the 1151 rule) and everything that goes with that. As we’re doing these evening clinics and I’m working with our reps we hear that everybody wants to know how soon until I have to do it? Across the street that shop might’ve already changed over to water, or is seriously planning for it. ABN ► So what percentage would you say are doing it voluntarily?

Steve Treutel ◄ So far, it’s a small percentage that have changed over voluntarily but it’s bigger than many people think. In many cases it’s a shop that wants to stand out from its competition more. For some of them it’s just for marketing; others are saying “it’s going to come anyway” and I don’t want to be waiting in line for jobbers and reps to help me. ABN ► We know about two large MSO body shops that are planning a “flip the switch” date to transition to waterborne. Steve Treutel ◄ Yes, there are a lot of See DAN AM/SATA EPA, Page 23

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www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 17


a s n -

Company Connections

BASF Responds to ABN’s Questions on Newer Refinish Processes Autobody News was recently able to ask Hans Kempf, Regional Training Instructor in charge of Course Development at BASF Automitive Refinish, for some observations about recent trends in waterborne and other refinish issues. ABN ► What is the approximate growth rate of BASF waterborne product sales? Has it plateaued or is it growing steadily in non-mandated waterborne areas?

HK ◄ Growth continues to be strong in all areas and we expect it will continue to increase.

ABN ► Is consumption of waterborne product becoming more efficient with experience and training, i.e., do painters and their shops get cost benefits as they get more experience? HK ◄ We have found the learning curve to be very short for both the Glasurit 90Line and the Onyx HD product lines. The degree and type of benefits that are associated with switching to waterborne are both shop and technician dependant. It can be said that at some shops do in fact experience speed and material use efficiencies once they have completed the transistion to a low VOC portfolio.

ABN ► Is air management more or less critical with newer formulations of BASF product? Can you be specific about how important air (humidity, cleanliness, and temperature) is to proper application of the product? HK ◄ There have been few changes in the formulations of our waterborne basecoat over the last several years, which is to say that things remain the same. The drying mechanism of all waterborne paints require good airflow, this importance increases as the relative humidity rises. BASF recommends a clean and temperature controlled environment for all our paint systems, not just the waterborne products. Just like for higher VOC systems, we have developed products and procedures for spraying our low VOC products over a broad range of temperatures. ABN ► How involved is BASF with the data providers and their cost estimates?

HK ◄ Because we understand the importance of accurately estimating material cost, BASF is willing to provide the appropriate information necessary for data providers to create accurate estimating systems. ABN ► Let’s just “air” some issues with

current refinish processes and get your initial thoughts:

Color matching and mixing HK ◄ Color adjustment and tinting is a necessary evil in our industry as OEM color variations continue to be problematic. The OEM color palette continues to expand bringing more complex colors that must be adjusted at the shop level. So many painters have had little to no real training that creates an understanding around color adjustment. Certainly, the training centers around BASF Color Tools and information: ColorMax, SmartTrak, SmartSCAN and how to use these tools most effectively. When colors still need to be adjusted, our training’s approach is to distill color into its basic components that are analyzed individually and corrected separately. It also instills into the painter what toner characteristics to consider when adjusting and their effects. This is a straight forward, step by step process that replaces the old confusing “trial by error approach” so many painters have struggled through. Spray gun operation and cleaning HK ◄ Throughout all of our technical courses there is a strong emphasis on proper usage of any spray gun regardless of what brand. Students are coached with the basics: overlap, distance, speed and proper pressure, but also on more effective techniques of application such as back-blending and proper clearcoat blending. An understanding of gun set up and tip/cap choice is taught, which is absolutely critical for any painter. Through the new EPA regulations, cleaning is limited to using enclosed gun cleaners or hand disassembly, both aspects are thoroughly reviewed with painters.

Spray booth maintenance and management HK ◄ The properly operating spray booth defines the heart beat of any collision shop, but it can also be the “Achilles Heel” as well. BASF training covers the basics of booth operation and maintenance including filter change-out schedules, filter media requirements, proper velocity testing, balancing and troubleshooting. Clear and primer training HK ◄ Although a large amount of effort goes into proper training of waterborne basecoats to meet new VOC regulations, clearcoat and primers are also being affected by these same rules. Proper instruction into both VOC compliant products and National Rule is conducted covering topics such as: prep and sanding, cleaning, application, film build, equipment, dry

18 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

time, productivity and blending/repairing. New products are continuously being introduced to make our customers more profitable. What better way to learn about these than where the expertise really lies, in a BASF training class.

Low VOC, solvent-based product HK ◄ With the established and impending low VOC legislation, it is crucial for our customers to feel comfortable with BASF’s compliant product portfolio. Although many application and performance aspects of these products are superior to traditional solvent based products, people resist and fear what is unfamiliar to them, this is understandably just human nature. Developing an understanding around these products is done to ease this transition. Although BASF continues to lead the industry’s development with low VOC products, many products have been successful in the collision industry for many years already. BASF Training highlights these products and presents a digestible approach to transitioning to compliancy.

BASF Expands Lean Education

BASF has dramatically expanded its Lean educational program for customers. BASF’s Lean program used to offer a half-day introduction to Lean, giving collision centers a high-level overview of Lean concepts. BASF’s Lean education component of VPU now includes three additional programs. ● Launching Lean (VPU-031) is a twoday workshop that demonstrates fundamental concepts. This is the first step in implementing a continuous improvement business model. ● Lean Implementation (VPU-032) is a three-day workshop centered around a body shop simulation that guides customers in identifying non-value added activities, exploring methods for reducing waste and developing ways to measure success. ● Leading a Lean Culture (VPU-033) is a seminar for those considering a lean business model in which customers assess their individual businesses and establish a plan for Lean implementation.

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www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 19


CARSTAR Collision Centers Toasts Top Celebrity Car Crashes, 2009 Celebrities can make great customers for collision repair centers, with frequent crashes in their cars and clashes with the paparazzi chasing them. In their honor, CARSTAR Collision Centers, the nation’s largest chain of collision repair experts, are kicking off the inaugural CARSTAR’D Awards to recognize the top of the charts in dings, dents, crashes and collisions. And the winners are..... 10. Nicole Richie: On October 5, 2009 a paparazzo rear-ended her car and caused her to have to go to the hospital for observation in Beverly Hills, Calif. (TMZ) 9. Michael Jackson and family: The Jackson clan made the list twice in 2009, first when MJ’s kids Prince Michael, Paris and Prince Michael II were driving with their nanny Grace Rwaramba in Encino, Los Angeles on October 21, and a photographer rammed their security vehicle, and second with a hit-and-run incident with a photographer in London on October 23, 2009. (ANI)

8. LeAnn Rimes: Rimes was questioned by the Los Angeles Police Department over her possible involvement in a hit and run car accident August 20, 2009, in Brentwood, Calif. Rimes reportedly rear-ended

a car that was stopped in the left turn lane. There were no injuries and minor damage to the cars. She also had a run-in with a security golf cart at The Commons in Calabasas, Calif., on December 4, 2009. (TMZ) 7. Anne Hathaway: The Devil Wears Prada star was involved in a car collision in LA on December 17, 2009. The star’s boyfriend Adam Shulman was driving the car when he collided with a bicycle on Santa Monica Boulevard in Hollywood. (RadarOnline)

6. RenÊe Zellweger: Zellweger was in a car accident in Beverly Hills on August 31, 2009. The actress was fine and there were no injuries—her car was towed away from the scene. One of the headlights from RenÊe’s car was shattered and one of the cars lost a license plate in the smash. (TMZ)

5. Olympic medalist Michael Phelps: Better in water than behind the wheel, Phelps was involved in a three-car accident in Baltimore on August 13, 2009. Phelps was not injured, but a woman in the other car was shaken up and taken to a local hospital, due

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to “head and arm pain.� (TMZ)

4. Lawrence Taylor: The NFL legend had an illegal tackle with hit-and-run on November 9, 2009, allegedly ramming his Escalade into a 1984 Ford van two separate times before driving off. (TMZ)

3. George Michael: The singer was involved in a car collision August 14, 2009, in London. In a statement released Aug. 15, Michael claimed that statements by the driver that Michael appeared “dazed� after the accident and had been “weaving all over the place� before crashing were false.

2. Weezer: While on the way to Boston via Toronto on December 7, 2009, Weezer’s bus slid off the road just outside of Albany, NY, after hitting a patch of ice. Lead singer Rivers Cuomo was quickly transferred to the hospital. Drummer Josh Freese explained on Twitter that there are “some injuries, but everyone’s alive and in one piece.� (PerezHilton.com) And the leading celebrity car crash of 2009 made headlines around the world...... 1. Tiger Woods: The world’s number one

golfer was injured early Friday, November 30, 2009 when he lost control of his SUV outside his Florida mansion. A local police chief said Woods’ wife used a golf club to smash out the back window to help get him out. Tiger took the blame for an “embarrassing� car crash that gave him cuts, bruises and public scrutiny like never before. Soon after, news of Woods’ having over 12 alleged mistresses came out. (Perezhilton). I guess he didn’t think to blame it on unintended acceleration. —Ed. Surprisingly absent from the 2009 list are top contenders Brittany Spears and Lindsey Lohan, who have earned spots on the CARSTAR’D All-Star list for their past vehicular performances.

Toyota Vulnerable to Conquests

Buyers who would have looked at Toyota vehicles are now considering other brands after the automaker's series of safety recalls. Analysts from Kelley Blue Book, Edmunds.com and J.D. Power say Ford, Honda, Hyundai and Chevrolet are grabbing Toyota customers, based on sales tracking data and surveys on their Web sites. Mazda, Subaru and Volkswagen are also getting upticks in buyer interest.

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Alabama Body Shops See Green after February Snowfall by Bryan Henry, WSFA

Throughout the day on Friday, [Feb. 12] Montgomery, AL, Police worked more than two dozen accidents. Some of those cars and trucks ended up at Chico’s Paint and Body Shop. “We’ve had 5 or so come in over the weekend,� said Wayne Tucker, Chico’s manager.

It’s the same kind of story at Red Bazzell & Son Auto Body & Paint. The severity of the damage ranged from a broken axle to a car that struck a tree. The snow on Friday has so far provided a 25% increase in business at Chico’s, something body shops typically see when a major storm blows in.

“The folks in Montgomery just don’t know how to drive in a winter storm like that. We hate it for them,â€? said Joe Orr, the Estimator at Red Bazzell & Son’s. The average cost of a storm-related repair job is anywhere from $2,500 to $4,500. The winter storm did a bang up job of delivering up to 7 inches of snow in parts of the WSFA 12 News viewing area. While the flakes are long gone, the storm’s calling card of dented and broken vehicles remains. Body shop owners told WSFA 12 News Friday’s snow was by far not the worst storm they’ve dealt with in terms of repairing vehicles. Red Bazzell & Son’s says it repaired 4,000 vehicles after the hail storms in 1988 and ‘89. Š2010 WSFA. All rights reserved. This article is printed with the kind permission of the station.

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CRA and Toby Chess to Bring Safety Message to Sacramento

CRA president Lee Amaradio announced that Toby Chess will work with the association in a campaign to inform key California lawmakers and regulators about the inherent risks associated with the use of certain aftermarket safety parts. Amaradio stated, “I’m pleased that Toby Chess is willing to commit his expertise and research to improve the quality of structural repairs that affect the safety of a vehicle. The CRA has been bringing the message of safety first to lawmakers for the past three years. They’ve listened, they’ve nodded, but with a few key exceptions, they’ve voted not to change the status quo. Now it is time for action. With Toby’s help we are going to demonstrate why inferior aftermarket parts are dangerous.” Chess added, “I am committed to protecting consumers and advancing the expertise of the collision industry in the area of safe repairs.” CRA executive director Allen Wood stated that the CRA has already asked the Office of Insurance Commissioner Poizner to sign up for the Chess demonstration. He said that key members in the State Senate and the State Assembly and Congress would also be invited to view first-hand the structural differences between high-strength steel and inferior aftermarket metals.

Performance Parts Pioneer and SECO Founder, John Simmons, Passes Away Alabama native, SEMA Hall of Fame member, founder of SECO Equipment and SECO Performance Centers, John Simmons, passed away on Sunday, February 14. SECO Performance Centers is well known in the Southeast and has outlets in Birmingham, Tuscaloosa, Huntsville, and Montgomery AL as well as Panama City, FL. “John Simmons was more than my mentor for more than 20 years,” said SEMA Chairman of the Board Rick Rollins. “He was like a father that you could always go to for the answers, and not the answers that you wanted to hear, but the ones that came from his many years of experience, and more importantly from his heart.” Simmons started his own warehouse distribution business for performance parts in 1962. He began by selling parts from a trailer that he hauled to race tracks on weekends. By 1967, Simmons was committed to the performance parts business, but he also owned and operated the Helena Dragstrip. Soon after the track was closed in 1967, due to noise, Simmons and several partners acquired Lassiter Mountain Speedway, which they ran for 10 years. Simmons joined SEMA in 1969 in what was the beginning of a fruitful re-

lationship. Simmons served three terms on the SEMA Board of Directors from 1978–1982 and he chaired the

Performance parts pioneer and SEMA Hall of Fame member John Simmons is remembered.

SEMA Finance Committee in 1981. He served on the Awards Judging Committee from 1984–1986, chaired the Person of the Year Award in 1987 and also served as Membership Committee chairman. In 1980, Simmons was named SEMA Person of the Year and was inducted into SEMA’s Hall of Fame in 2004.

In addition to his SEMA efforts, he was elected and served as a Performance Warehouse Association (PWA) Area Director from 1974–1991, served two terms as PWA treasurer and two terms as national director of the PWA. He received the PWA Pioneer Award in 1993 and was one of the founding members of the AAM/Parts Pro group. All along the way, Simmons made it a point to help others grow and succeed in their businesses, and he always encouraged people to join SEMA, urging them to get involved. He was never shy about explaining how SEMA could benefit them and their businesses. “John didn’t have time for the modern day marketing surveys or 30,000-ft. views of what was going on, because he knew,” Rollins added. “He stayed in touch with what was going on in the streets, on the race tracks and at the car shows. As a manufacturer sales manager, I made very few decisions concerning selling into distribution or running promotions without first consulting John. I will miss him.”

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Continued from Page 16

Dan Am/SATA EPA

proactive shops that are gearing up their equipment and they have the plan in place. They understand that new equipment can make it a lot easier. You can spray water with whatever you have today, but it gets much easier and better with the right equipment. We look at what they have already. You have a primer gun, a sealer gun, and a clear gun, but is it ready for tomorrow’s product? Is in good working condition? Just because it’s a good and relatively new gun, if you haven’t maintained it correctly it might not be working well enough for the new product. Now the EPA wants to make sure that you have the right transfer efficiency, and that’s important for both shop profitability and the environment. If you’re just starting with waterborne and you don’t keep your equipment clean, you’re going to have much bigger problems than you ever had with the solvent. But guess what, if you do it right, and maintain and adjust your equipment, things work better. The paint dries the way it’s supposed to, your color match is correct, and you’re right with the EPA, because you kept your gun clean.

ABN ► So, that isn’t the product’s fault, it’s yours? Steve Treutel ◄ Yes. All of a sudden painters are learning the hard way that they need to keep my gun cleaner than they ever have before. You could have one of our SATAjet 3000 (HVLP and RP) that we’ve had out for 3-4 years. If you bought it then and you’ve never replaced the nozzle set, it’s already worn out to some point, and then do you really have the right nozzle set up or whatever you are going to be changing to? For waterborne I like to look at it a little differently. We do a true evaluation of a shop. Do we have enough air volume to run the equipment you need. Do you have enough to run the blowers. Are you planning HVLP? But how much air does that take? Are you doing overalls or just bumper jobs? Figure out the CFM required. Then look at the quality of your air. Just because you got a lot of air doesn’t mean it’s clean enough. If you might have oil droplets or oil vapors. This creates another contamination. Is it breathable? Think about making your air breathable quality. Now we can look at the guns—the difference between HVLP and RP technology is how much air do they use? If you don’t have enough air for HVLP, it doesn’t matter how good a

painter you are. You’re never going to be able to get the same job that the paint company training center will do. Typically for HVLP we like to see 15–18 CFM and 29 lbs pressure. For RP technology you’d be around 10 CFM, about a third less air volume, which is the make or break point. For a shop that has maybe a 10 hp compressor serving three prep people and a painter, you’re right on the edge. At that point the RP might be the better choice. The quality can be maintained even at the lower volume. That’s why we have the two kinds of guns and the EPA has said that if you have the transfer efficiency, you can maintain high quality at the lower volume. Nothing wrong with that. If you have enough volume, HVLP is a good way to go because you have all the atomization, and shaping of the pattern, and drying with 10 pounds or less at the air cap. There is a lot of tooling done on an HVLP gun to get all that working. With RP type technology you have a higher air cap pressure,which does a lot of the work for you so RP can actually work very nicely for you, especially if you don’t have enough volume of air to run HVLP. ABN ► Do all the large shops run, or prefer, HVLP? Steve Treutel ◄ No. It’s not always the

large shops that are better off using HVLP. Sometimes they have so many painters and technicians running air tools that

The training includes hands-on, in booth, demonstrations and tests.

they’re not really able to run HVLP efficiently. Many large, and good, shops use RP. With the paint companies doing more conversions, they’re learning more about where those lines are. They saw shops that were kind of right on the edge of not having enough air, and they allowed them to try it and they found out they don’t have enough air. I think we’re seeing our entire industry getting smarter about this. As paint companies continue to improve their products, you’re going to see different nozzle generations, increased transfer efficiency and probably even less air required. You See DAN AM/SATA EPA, Page 36

www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 23


SCRS Expands Repairer Education Presence at SEMA—ASRW will be Mid-week in October

In a move that will fuel the contest for the hearts and minds of collision repairers between ASA (which sponsors the NACE/CARS events) and AAIW (which supports AAPEX and SEMA)—the 2010 SEMA Paint & Body Equipment (PBE) area will be growing due to a new affiliation between SEMA and the Society of Collision Repair Specialists (SCRS). SCRS will be collaborating with SEMA as the host of REPAIRER DRIVEN EDUCATION, which will be premiering this year within the show and resulting in a larger SEMA footprint dedicated to the collision repair industry. “We look forward to working with the SCRS to develop a valuable and relevant educational program,” said SEMA VP of marketing and member services Tom Myroniak. Typically featuring 50–60 sessions throughout the week, the educational program is one of the cornerstones of the annual trade-only event. “As more and more attendees at the SEMA Show become interested in the paint and body market, it is becoming increasingly more important to incorporate seminars targeted specifically to this audience,” said Myroniak. “Working with the SCRS will be instrumental in helping us deliver value to this growing group.” REPAIRER DRIVEN EDUCATION at SEMA will feature a wide array of topics

and course selections focused on bringing education and information covering relevant issues that impact collision repairers across the nation. In addition to the educational offerings and collaborative work in the PBE wing of the show, SCRS will be holding their fall board meeting at the SCRS headquarter hotel, the Las Vegas Hilton. These meetings will be held in conjunction with other industry events, such as the Collision Industry Conference (CIC), to be held at the same location. “SCRS’ longstanding mission has been to educate, inform and represent the collision repair professional,” stated SCRS Executive Director Aaron Schulenburg. “A venue such as this certainly provides a stimulating and exciting environment to build upon the educational focus of our activity, and we are looking forward to a bright future of possibilities for our industry as we collaborate to bring enhanced collision industry offerings to the SEMA Show.” “Responding to our membership’s needs and desired direction has always been one of the strong traits of SCRS,” added SCRS Chairman Barry Dorn. “Through ongoing discussions with our membership, it is obvious that there is a strong desire to participate, and have representation, in this event. Partnering with SEMA to significantly enhance the offerings available to our indus-

I-CAR Announces 2010 International Board of Directors

I-CAR announced its 2010 International Board of Directors and Executive Committee following the I-CAR Annual Membership Meeting in Torrance, CA. The 2010 Executive Committee consists of: Chair Tom Moreland, AkzoNobel; Vice Chair Elise Quadrozzi, Crawford & Company; Secretary Dustin Womble, Roger Beasley Collision Center for SCRS; Treasurer Bob Keith, CARSTAR; Past Chair Robby Robbs, NuCon Services Inc.; MemberAt-Large Bruce Bares, Hi-Tech Collision & Glass Centers; and Member-At-Large William Brower, Liberty Mutual Insurance Company. “Over 30 years ago, I-CAR was created to educate the industry on the proper repair of unibody vehicles. As today’s vehicles are complex and roles in the industry are diverse, it only makes sense for I-CAR to pursue a role-based curriculum model to better serve the collision inter-industry,” said Moreland. “The I-CAR International Board of Directors appreciates the work staff, instructors, and volunteers are doing to develop, implement, and deliver continuous improvement of the curriculum that is truly relevant and beneficial to industry professionals.”

The remaining directors include: Farzam Afshar, Verifacts Automotive; Terry W. Angell, Warren Tech; Rollie Benjamin, ABRA Auto Body & Glass; Bruce Cooley, DuPont Performance Coatings; William DeGrocco, GEICO Insurance; Ronald Doerr, General Motors Corp.; Chris Evans, State Farm Insurance Education Foundation Rep; David Henderson, See Progress, Inc.; Joseph Laurentino, Esurance; John Norton, Ford Motor Company; Sam Pezzullo, State Farm Canadian Representative; Greg Potter, Dearborn Group Technology for Equipment & Tool Institute; Monica Rivers, BMW of North America, LLC; Mike Schoonover, Schoonover Bodyworks for Automotive Service Association; and James Spears, USAA. The board of directors sets the overall strategic direction for the organization and assists in obtaining resources in support of the I-CAR Mission. The board of directors is comprised of representatives from each of the following six industry segments: collision repair; insurance; equipment, tools, and supplies; education, training, and research; vehicle manufacturers; and related industry services.

24 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

try makes a lot of sense, and we are ecstatic to build upon what is shaping out to be a very strong foundation between SCRS and the SEMA Show.” “We’re constantly adapting to changes in the industry,” notes Chris Kersting, SEMA President and CEO. “We challenge ourselves to deliver high value to both exhibitors and attendees, all with the goal of providing them with a show that is current and relevant.” Manufacturers interested in exhibiting at the SEMA Show will be able to access space rental agreements in mid-March. Attendee registration for the event opens in May. Updated information is available at www.semashow.com. The third annual Automotive Service & Repair Week, ASRW 2010, announced that Jerry Burns will return as the event chairman for the International Autobody Congress & Exposition (NACE); and Mitch Schneider will serve as the event chairman for the Congress of Automotive Repair & Service (CARS). The ASRW 2010 events will take place Oct. 11–13 at the Mandalay Bay Convention Center in Las Vegas (no longer during AAIW). ASRW will now be a stand-alone event specifically created for all automotive service and repair professionals. Eucational programs are scheduled Oct. 1013, a Sunday through Wednesday. Exhibits will be open from Oct. 11–13.

Collision Industry Foundation to Auction Donations for Charity The Collision Industry Foundation (CIF) is planning to continue its success of raising funds through its online EBay Store to benefit the charitable causes of the collision repair industry by having a 2010 drive to collect items for the online auction. Last year, the EBay efforts raised $12,000 towards the Blanket the City Detroit project, giving to local food banks in need for the hardest hit region of our country. As a continuation of the many good works of CIF, the goal of this drive is to fund projects, new and established, such as Recycled Rides title transfer grants, industry grant assistance, disaster relief funding, and more. The CIF EBay Store needs donations of any item that can be auctioned through the popular bidding website EBay such as tickets to sports games, hotel stays, memorabilia, or any other item that could have value. It is not required to be related to automotive; there is no limit to the possibilities that can be donated to the program. The CIF EBay store is perpetual, but a major push for a group of items will be due by March 31st. To donate an item please contact the CIF Admin Office at (804) 427-6982, email: collisionindustryfoundation@gmail.com (no hyphen).

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www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 25


CAA Glendale/Foothill Chapter Meeting; CAA Survey Results by Tom Franklin

Special thank you to Nathan Simmons for Presidential duties and success for 2009! Introduction – Welcome all members and Guests: New Board Members for 2010

Nathan Simmons (right) is presented with a plaque award by new president, Curt Nixon.

* Curt Nixon – President * Chuck Reyes – Vice President * Nathan Simmons – State Board Representative * Krista Lucchino – Secretary * Linda Holcomb – Board Member * Doug Holcomb – Sergeant of Arms * Pam Lucchino – Board Member * Larry Huckman – Co-Treasurer * Chuck Bustane – Co-Treasurer * Peter Mikeloff – Board Member * Kyle Huckman – Board Member * Jason Holcomb – Board Member * Mike Ernst – Board Member * Vatche Derderian - Board Member

Focus for 2010: * Listening to members * Represent each member * Not focusing on frustration * Serve with Honesty, Integrity and Craftsmanship * Execution is key * Move forward * Do not lose enthusiasm * Each member needs take action

Special visitor is Johnathan from A & J Collision, Conway, AR, who was introduced and said he was excited to be here. Glendale/Foothill Chapter meetings are very organized. He will take information from this meeting back with him.

Linda Holcomb: Stated that AB 1200 should be overturned… She introduced and brought copy for each table courtesy of J.R. SANDOVAL ENTERPRISES (310) 422-1773, www.jrsandoval.net South Coast Air Quality Rule 1147 NOx REDUCTIONS FROM MISCEL-

LANEIOUS SOURCES

For ovens/dryers in your spray booth that use natural gas to transfer heat SCAQMD Rule 1147 applies After reading Rule 1147 the following items need to be addressed by all Auto Body

Collision Repair Facilities that own a Spray Booth with a heater and air make-up unit. Heaters that use gas heat with gas lines running into your facilities must make changes.

ANY SPRAY BOOTH HEATER MFG. PRIOR TO 1986 MUST BE REPLACED WITH A LOW NOX EMISSION NOT TO EXCEED 30PPMM OR 0.036 LB/MM BTU

You have until July 1, 2010 to comply. See the compliance schedule for dates on replacement timetables for all other dated units (Also if your burner does not have an identity plate and you have no way of verifyisc the date of mfg., your unit will have to be replaced with a low NOx burner immediately)

PERFORM COMBUSTION SYSTEM MAINTENANCE IN ACCORDANCE WITH THE MANUFACTURER’S AND/OR DISTRIBUTOR’S WRITTEN INSTRUCTIONS: Retain records of the maintenance

activity for a period of not less than three years, and retain emission test records on site, and retain emission test records on site (Bottom line is, you have to perform maintenance and maintain maintenance records.)

ON OR AFTER JANUARY 1, 2011, ANY PERSON OWNING OR OPERATING A UNIT SUBJECT TO THIS RULE SHALL INSTALL AND MAINTAIN IN SERVICE NON-RESETTABLE, TOTALIZING, FUEL AND TIME METERS FOR EACH GAS LINE THAT A BODY SHOP IS USING FOR YOUR HEATER

(Bottom line, you have to install an in-line fuel meter on gas line)

NEW MANUFACTURED UNITS. THE MANUFACTURER SHALL DISPLAY THE MODEL NUMBER AND THE RATED HEAT INPUT CAPACITY OF THE UNIT COMPLYING ON THE SHIPPING CONTAINER AND PERMANENT RATING PLATE. THE MFG. SHALL ALSO DISPLAY THE DISTRICT CERTIFICATION STATUS ON THE SHIPPING CONTAINER AND ON THE UNIT WHEN APPLICABLE.

(Each booth shall have a permanent rating plate)

COMPLIANCE SHCEDULE OF IN-USE UNITS FOR NOx EMISSION LIMITS DEPEND ON WHEN THE UNIT WAS MANUFACTURED THE FOLLIWING IS TAKEN FROM RULE 1147

● Other UNIT manufactured prior to 1986 Comply by July 1, 2010 ● Other UNIT manufactured prior to 1992 Comply by July 1, 2011 ● Other UNIT manufactured prior to 1998 Comply by July 1, 2012 Any UNIT manufactured after 1997

26 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

Comply by July 1, of the year the unit is 15 years old Curt Nixon: Background on AB1200 AB1200 allows an insurer to attempt to persuade a consumer to replace his or her chosen auto body shop with a shop that has a contractual relationship with the insurer, after the policyholder has made his or her selection, and even if the policyholder has not asked to receive any further information about other repair facilities. Audience Member: Reps of DOI need to see action from us, including * Letters * Emails * Both from business owners and consumers. No one is taking enough time and effort to follow through Nathan Simmons: Call to ACTION on CAA * Major issue is…NEED OF SUPPORT * Fewer than 10 shops wrote in on AB1200 * Support/opposition – has a HUGE impact * Ethical decision based on information from shops Cindy Shillito/Katiee Edwards have the State Website password

* Cindy Shillito, radiatorgirl@socal.rr.com *Katie Edwards, katiee@calautobody.com Audience Member: Suggested Broadcast emails

Nathan Simmons: Personal letters get attention (Opposition or Support)

Chuck Reyes: 1,000’s of bills are in front of representatives. They give to staff members to separate. They determine what is important. Then it is given back to the representative. If it is a form letter it is disregarded. If letters are personalized they are read. (Even if you cut and paste) Take time to show your interest and individualized. If you are involved and make it personal it is noticed.

Audience Member from Penske Corp: Certain things they can and cannot do. Cannot put names on own letterhead. But can still have a voice. Let’s not be controlled by Insurance Companies. If we procrastinate things will not be changed. They get bored and move on to something else. Curt Nixon: Took chance before on speaking up about issues. Almost lost business. See CAA SURVEY RESULTS, Page 34

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Rancho Grande Motors (805) 543-4985 www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 27


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Soaring Foreign Car Sales Shape Both Detroit’s and the Aftermarket’s Future Western Edition

by Jim Lang, Aftermarket Insights

Annual 2009 vehicle sales are in, and the picture is clear. Foreign vehicles (imports and transplants) have gained control of the U.S. new vehicle market. Foreign cars and light trucks captured 55.8% of dwindling 2009 new vehicle sales, up from 52.5% of the 2008 market and much stronger than their 48.9% share in 2007. This is phenomenal growth since 1999, when foreign models totaled only 29% of new vehicle sales.” “Americans purchased 16.2 million vehicles in 2007. By 2009, new vehicle volume slumped to 10.4 million (down 36%), as foreign cars and light trucks increased their sales share more than one-seventh in two years. Skyrocketing foreign share of new vehicles is reshaping the aftermarket.” Domestic share of new vehicle volume (not including transplants) plunged from 51.1% in 2007 to only 44.2% by 2009. General Motors sank from 24% of 2007 sales to only 20% of the 2009 market. Ford held at 16% share from 2007 to 2009; while Chrysler saw its share fall nearly one-third, from 13% to just 9%. GM unit sales dropped 41% between 2007 and 2009; while Chrysler sank 51%. Ford achieved a Pyrrhic victory (among the Detroit Three), as its volume receded a mere 27% from 2007 to 2009. Toyota passed Ford in 2009 volume, capturing second position, as Honda pushed Chrysler from fourth place. Reshuffling Foreign Vehicle Share Hyundai and its Kia division sold 735 thousand new vehicles in 2009, within 10 thousand units of all German carmakers combined and pulling close to Nissan in a bid to take sixth position in total sales. The Hyundai Kia group is on track to pass Nissan as well as all German carmakers in 2010 U.S. volume.

Aftermarket Impact The foreign new vehicle surge is a future which has already happened. Its impact on the aftermarket in the next five to ten years is inevitable. Here are just a few aftermarket changes coming from this ongoing seismic shift in carmaker sales mix. 1. Manufacturers, Distributors, Retailers and Installers which cannot adapt

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to the changing mix of vehicles on U.S. roads will not hold their competitive positions. 2. Domestic cars and light trucks will generate one-tenth less aftermarket product share in six years than they do today, and their volume of aftermarket products will steadily decline. 3. Foreign cars and light trucks will increase their aftermarket product share more than one-fifth over the next six years, and they will generate all aftermarket product growth during that time. 4. Aftermarket volume will disproportionately be captured by product brands which are deemed “appropriate” for use on foreign cars and light trucks (imports and transplants) by Installers and DIYers. 5. Service outlets perceived by consumers as “qualified” to repair foreign cars and light trucks will disproportionately gain market share. 6. Retail Parts Stores as well as parts distributors which sell brands perceived as “appropriate” by DIYers and Installers for use on foreign vehicles will disproportionately increase their aftermarket sales share. Foreign Vehicle Aftermarket Gains Foreign cars and light trucks will set the course of aftermarket growth and development over the next ten years. By 2020, foreign vehicles will generate the majority of aftermarket use of many (if not most) product categories.

Domestic Woes Affect the Aftermarket Over the past three years, the number of domestic cars and light trucks (not including transplants) sold in the U.S. dropped a total of over four million units, reflecting lower overall new vehicle sales and plunging domestic car and light truck share. Domestic cars and light trucks sank to 44% of 2009 vehicle sales, down from 51% of the 2007 market and off more than two-fifths from their 78% share of the 1998 new-vehicle market. While January 2010 vehicle sales seemed to show stabilizing Detroit Three volume, there are some problems in the January numbers. For example, despite General Motors posting a sales gain, its January share was only two-thirds what it was 11 years ago. Although Ford is showing sales strength, its share is down nearly one-third

28 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

from 1998; and the future of Chrysler remains cloudy. Unless Chrysler can stage a comeback, with the assistance of Fiat, Chrysler's sales could plummet and take the Detroit Three's combined share into the basement. Change Is In The Pipeline However, things can change rapidly, as shown by Toyota's recent headaches, and the Detroit Three could stage a comeback. Nevertheless, even if things stay about where they are over the next several years (or even improve a bit), significant aftermarket changes are already in the pipeline. Less General Repair Shop Volume Growing legions of foreign cars (imports and transplants) on U.S. roads means that general repair shops (Service Stations and Garages), which traditionally depend on domestic vehicles for a majority of their volume, could shrink substantially in repair share over the next several years.

More Specialized Repair Specialty Repair Shops (outlets conducting a limited menu of repair) and Foreign Specialists (outlets focusing on imports and transplants) stand to ring-up big repairvolume gains at the expense of Dealers and general repair outlets.

DIFM versus DIY Repair As domestic vehicles on U.S. roads grow older, they will generate an increasing portion of DIY volume. At the same time, the Service market will continue expanding its product share, bolstered by the growth of foreign vehicles, which are much more often taken by their owners to professional shops rather than be repaired by DIYers.

Foreign Vehicle Strength With domestic cars and light trucks losing new vehicle share, foreign models will expand their portion of the Service market, which will generate most if not all car and light truck aftermarket growth over the next several years. This means all car and light truck product expansion for the foreseeable future will be generated by foreign vehicles (imports and transplants). Their aftermarket product sales will continue

March 2010

expanding at an unprecedented rate.

OE Brands And OE Distribution The strength of OE brands and OE distribution will differ substantially between domestic and foreign vehicles. OE distribution and OE brands for foreign cars and light trucks will continue ringing-up strong sales; while thousands of domestic Dealer closings and declining domestic vehicle sales will severely undercut the domestic segment of the OE channel and the domestic OE brands it distributes. This will provide opportunities for independent (non-OE) aftermarket distribution and non-OE brands. Aftermarket Changes How well the Detroit Three perform over the next several years has significant consequences for many aspects of the aftermarket. These changes will widen the gaps between aftermarket winners and losers. From Aftermarket Insight™ by Jim Lang, President of Lang Marketing Resources, Inc., www.langmarketing.com. Replacement Safety Certification Labels Gaining Wider Usage More body shops are taking advantage of ordering replacement safety certification labels online. The Federal Safety Certification label and the Tire and Loading label are required by law to be permanently affixed at the time of manufacture. The Federal Safety Certification label indicates compliance with all applicable Federal Motor Vehicle Safety Standards and includes the month and year of manufacture which is important for recalls. The Tire and Loading label contains several key pieces of information such as the manufacturer’s recommended PSI for the vehicle’s tires, the maximum weight (“load”) recommended for the vehicle, and the recommended tire size. These labels provide the vehicle owner with valuable information and should be replaced if damaged or removed. Body shops also benefit from replacing these labels with a standard part mark-up and labor rate. All major insurance companies accept these labels, so shops are paid to replace the label rather than tape the old one back on. Shops can log on to www.AutomotiveID.com.


Gonzo’s Toolbox

Excerpted from Scott "Gonzo" Weaver's New Book, "Hey Look! I Found The Loose Nut", which provides a Good Laugh for Mechanics of Any Age. For more information, Contact Scott Weaver at Gonzosae@aol.com and see his website at www.gonzostoolbox.com.

Early Morning De-Light and Nursing Ingenuity with Gonzo Weaver

Here’s another true story from my book. It reminded me that the true sign of a craftsman is no wrinkles in the duct tape.

A few years ago a nurse dressed in her scrubs came into my Tulsa auto-electric shop early one afternoon. She had just finished her morning shift at the hospital. She told me that things were kind of tight at her house financially, and she didn’t have a lot to spare for car repairs. I told her I would help her out as much as I could. Her problem was that her headlights didn’t work, and she really needed to take her old Datsun (Dats before Nissan) to work in the early morning hours, regardless whether or not she got a ticket for having no headlights. She explained that she had to leave for work at ‘Oh-dark-thirty,’ as we used to say in the Marines, so I was thinking she had some sort of lighted route that would keep the prying eyes of the law off her tail. “I get the picture, Ma’am. I’ll take a look at it,” I said. Now I’m no car snob but I was genuinely suprised at how decripit this hasbeen automobile she was driving was. It

should have been crushed years earlier, although it looked pretty much all biodegraded already—completely rusted and dented up with not much left of the interior. But as it was, this was this nice lady’s only ride to-and-from work. Yes, she would wait to see what I found. Rather than surveying the outside any longer than necessary, I popped the hood and got right to work on finding the problem. It wasn’t that hard to find. At the positive battery post on this type of car was a series of fusible links that powered up different systems in the car. One of them was corroded off the terminals. It just so happened to be the one that powered the headlights. I grabbed the trusty baking soda and cleaned off the crud from the positive post of the battery. After replacing the corroded end of the fusible link, I attached it back onto its proper post. One flick of the headlight switch and she was in business.

I went into the lobby and told the nurse, who was waiting anxiously, what I had found. I told her that it was going to be a cheap fix, and not to worry about having to get a car-fix loan (as she had worried aloud to me). I then asked her how long had she been driving around with no headlights. She told me with an air of satisfaction, “Oh, I had headlights all the time. I just wanted the factory ones to work because I was getting tired of changing the batteries in the other ones.” Say what? Factory ones? Batteries? What other ones? Did I miss something? I just stared at her for a few seconds. I thought that by now I was pretty good with electrical systems. What did I miss on this old Datsun’s electrical schematics that involved alternate headlights that she was aware of, but I wasn’t? “Really?” I said. “Can you show me what you are talking about?” We walked out to the car and there on each edge of the front bumper were two 9-

volt flashlights duct-taped around the bumper with what could have been a whole roll of tape. She walked up to them and pushed the button on each of the right and left flashlights. Then she turned around to face me with both arms out stretched like a TV ad model; pointing one toe and all. And wouldn’t you know it… she’s got headlights, sort of. “I just thought it was going to cost so much to fix them that I have been putting it off for months,” she said. “But I had to buy so many batteries I thought it would be cheaper to find out what was really wrong with the factory ones.” Now I’ll admit I’ve never seen ducttaped flashlights attached to a bumper before. And I haven’t seen them since... But I’ll tell you this, if I’m ever in need of a nurse in an emergency, who can get the job done till the cavalry comes, she is my choice. Way to go girl. You got my vote for duct-tape engineer of the month.

You can order Gonzo’s book, Hey Look! I Found The Loose Nut, from Amazon and other sources. Gonzo is working on a second volume now. Contact him at the banner address.

www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 29


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ALL OEM Information

Dan Espersen is ALLDATA® CollisionSM Program Manager. Dan is a Gold Pin Member of the Collision Industry Conference (CIC) and holds an AA Degree in Automotive Technology. He has 17 years of experience in the collision industry and 17 years of experience in the automotive industry.

Proper Repair Strategies and the Sectioning Mystery with Dan Espersen

With all of the new vehicles being developed and introduced every year, your staff may have questions about how to develop a strategy or a proper repair plan for adequately repairing a vehicle to a safe and quality standard. Among the many decisions you will have to make will be whether to repair, replace or section a structural component. The answers will depend primarily on what the industry currently recommends. This knowledge will be the most important tool that you and your staff will have available to them on a daily basis. Collision business management practices, as well as KPI demands from insurers, are often confusing and misunderstood by estimators, technicians and sometimes the management team. By obtaining and referring to manufacturers’ or industry-accepted repair procedures in the pre-production phase, your staff will have the knowledge necessary to repair the vehicle up front, rather than after or during production. Ask yourself this: If we had proper repair information up front, could we: ● Lower cycle times? ● Reduce out-sourcing? ● Increase hours per day? ● Develop or enhance insurance or customer relations CSI? ● Reduce costly returns? ● Improve efficiencies? ● Increase overall shop revenue? ● Enhance our staff’s knowledge? I am guessing the answer is yes! How are you currently gathering critical repair information? Current information gathering techniques are often time-consuming, cumbersome and more often than not, unsuccessful. Estimating systems offer labor times, parts pricing and very limited diagnostic information, but they do not offer comprehensive repair procedures or “how to” information, such as current manufacturers’ sectioning and repair procedures. When asking collision repair shops how they obtain repair information, I have been told: ● Technical experiences ● Training programs ● Co-workers ● Dealerships contacts (when available) ● Technical manuals ● Industry training instructors ● Manufacturer-supplied installation instructions ● OE websites ● Educated guesses

Most of these sources are time-consuming to research, sometimes outdated or incorrect, incomplete—and most importantly, not all in one place! The authority regarding proper sectioning procedures and practices is the vehicle manufacturer. Best practices should always be the recourse when a manufacturers’ procedure is not available. The decision to section or replace an entire component on a damaged vehicle should be a systematic process involving: ● Readily available, up-to-date repair documentation from the most reliable and reputable source ● An educated and qualified staff that understands current Industry repair practices and theories ● A method or process to gather repair information in the pre-production stages ● A proper teardown or disassembly process to perceive all hidden damages ● A working knowledge of available tools, techniques and talents within your facility ● Parts availability ● Insurer program requirements (If applicable) With all of these elements in place, your staff should have the critical tools in place to develop a proper repair plan. The sectioning mystery doesn’t have to be a mystery. Manufacturers publish many procedures that we may not know exist when it comes to structural repair recommendations. Without the proper procedures we could be setting ourselves up to fail. Resource the manufacturers repair procedures first to determine the best course of repair. ● Educate your staff on industry theories and applications. ● Develop a preproduction plan to gather reputable repair information in a timely manner. ● Develop an

32 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

evaluation or disassembly stage, or a method to properly identify hidden damages. ● Provide your staff with manufacturers’ recommended guidelines and current industry-recommended repair information. ● Refer to Industry Best Practices if the manufacturer does not publish repair information for a given oper-

ation. While the manufacturers may not always provide all the information you need, they provide a lot. We need to be aware of the information they do provide. I learn of new sectioning and repair procedures every day on all makes and models. You and your staff can too—through effective communication, proper guidance and education. The effort will help make your business stand out above all the rest. Here is the manufacturer’s procedure for sectioning the front lower frame rail on a 2008 Dodge Caliber: 2008 Dodge Caliber SRT-4— Front Lower Frame Rail 1. With vehicle mounted to appropriate pulling and 3-dimensional measuring equipment, complete the following procedure paying particular attention to body dimensions while fitting and welding panels.

2. Remove bumper components, cooling module, headlamp, and all other components for clear access to repair area.

3. Remove front rail cap panel on damaged rail. 4. Remove welds holding lower radiator crossmember to damaged rail (if crossmember is damaged, remove completely).

5. Remove welds holding FESM structure to rail (if damaged, remove complete assembly). 6. Mark existing rail as follows: a. Right side i On inner rail, mark at 50mm forward of the leading edge of flanged hole in rail. ii On outer rail, continue mark from inner rail.

7. Mark replacement part in same location.

8. On left rail, remove bracket located on inner rail.

9. Using a cut-off wheel, reciprocating saw, or equivalent: a. Cut all existing parts on the forward side of the scribe line using care not to damage the material that will not be removed. i. Right rail section location: When installation of new tip is complete, there is a 6mm hole on the inner rail at the forward edge of the section joint which may need to be recreated or restored. ii. Left rail section location: When installation of new tip is complete, there is a 10mm hole in bottom horizontal surface of rail which may need to be restored. b. Cut all replacement parts on the rearward side of the scribe line again using care not to make any additional damage but do not discard any material yet. 10. Clean all sharp edges and create a slight taper for weld purposes.


Toyota Testifies, Documents Show Savings by Limiting Recall Actions

Under sharp and at times hostile questioning, the president of Toyota's U.S. operations told a Capitol Hill hearing on Feb. 23 that even the massive recall by the world's biggest automaker may “not totally” resolve safety problems implicated in accidents in the United States that have killed nearly three dozen people. Toyota Motor Sales U.S.A. Inc. President James Lentz defended the embattled Japanese auto giant's safety record, but conceded that the company had failed to meet its own high standards in responding to the crisis. The company was too slow to respond to the safety issues that have led at least three congressional committees to begin what is likely to be a long and exhaustive investigation, Mr. Lentz acknowledged. “Put simply, it has taken us too long to come to grips with a rare but serious set of safety issues, despite all of our good-faith efforts,” Mr. Lentz told an oversight panel of the House Energy and Commerce Committee. Lentz insisted that Toyota's engineers had identified “two specific, mechanical causes” of sudden unintended acceleration, which has been associated with at least 34 deaths, according to complaints filed with the National Highway Traffic Safety Administration (NHTSA). “We are confident that no problems exist with the electronic throttle control

system in our vehicles,” Mr. Lentz said. “We have designed our electronic throttle control system with multiple fail-safe mechanisms to shut off or reduce engine power in the event of a system failure.” Toyota President Akio Toyoda, the grandson of the company founder, will testify Feb. 24 before the House Oversight and Government Reform Committee. In documents obtained by the Detroit Free Press, Toyota’s leading U.S. executive ‘boasted’ to the automaker’s Washington staff last summer that they had saved the company more than $100 million by actions which limited any regulatory action on sudden acceleration to a recall of equipment such as floor mats, according to documents turned over to a key U.S. House committee which will hold hearings on the issue Feb. 24. In the documents, the deal with the government was listed among “Wins for Toyota” in an internal presentation by Yoshimi Inaba, chairman and CEO of Toyota Motors Sales U.S.A. in Washington last July 6. The documents were among thousands of pages turned over to the House Oversight and Government Reform Committee. A second committee will met on Feb. 23 to discuss the Toyota recalls. “The question this raises is was the bottom line factored into Toyota’s decision

making,” said Kurt Bardella, a spokesman for the committee’s ranking Republican, Rep. Darrell Issa of California. Issa has acknowledged that his family owns four Prius models. “Did regulators do their due diligence once problems were brought to their attention? Did Toyota raise potential safety problems with regulators as soon as they knew a problem existed?” Toyota defended its commitment to safety. “Our first priority is the safety of our customers and to conclude otherwise on the basis of one internal presentation is wrong,” the company said in a prepared statement. “Our values have always been to put the customer first and ensure the highest levels of safety and quality.” Toyota has recalled more than 8 million vehicles worldwide in recent months because of sudden acceleration problems the company and regulators have connected to entrapped floor mats and potentially sticky accelerator pedals. A third recall covered more than 400,000 hybrid vehicles, including the popular Prius for faulty brakes. Earlier this month, before the hybrid recall, Toyota executives estimated that the unintended acceleration recalls would cost $2 billion in lost sales and cost of extra parts for repairs. Toyota stopped produc-

frame rail repair area. b. Inside the rail, inject a creeping wax based rust inhibitor compound through the existing holes in the frame ensuring 100% coverage including the space between the original frame rail and the reinforcing sleeve; using Mopar Cavity wax kit (part #68042969M) I Undercoating kit (part # 68042967AA) or equivalent. c. Apply a durable top coat to the outside of the repair area.

rail, centering them on cut edge. Clamp and tack the weld in position when proper fit is confirmed.

11. From the remaining replacement part, cut a 19mm strip from both the inner and outer rail. Clip off the weld flanges, top and bottom, and dress edges. These pieces will be the weld-backer. 12. Prepare welding equipment per the weld chart.

13. Install the weld-backers into the frame

14. Weld using a skip-stitch method until the full length of the joint is completed on both the inner and outer rail. To avoid excessive heat buildup, move between inner and outer rail during welding. 15. Dress welds without removing any base material paying particular attention to the mounting surface of the outer rail.

16. Reinstall bracket removed from left rail.

ing eight models in the U.S. from Jan 26 until Feb. 8. Analysts have said the cost could be higher. Toyota has said repeatedly that no malfunction in any of its vehicles’ electronic throttle system contributed to any incidents of unintended acceleration, which has been cited in hundreds of accidents, including 34 fatalities, according to NHTSA. But the automaker has offered a brakeoverride software remedy on 2007 through 2010 models of the Toyota Camry, Avalon, Lexus ES and IS models. Brake override ensures that the brakes will slow the vehicle if both accelerator and brake pedals are pressed at the same time. Toyota is making the brake override standard equipment on all Toyota and Lexus models by the end of 2011 model year, but it has refused to offer it on many of the 5 million vehicles covered by the floor mat and sticky pedal recalls. The estimated cost savings of more than $100 million was among nine points that Inaba’s presentation labeled as “Wins for Toyota.” In addition to the savings, Inaba made note that NHTSA had found no defect. That was before the Jan. 21 recall that found a possible defect in the gas pedals among 2.3 million vehicles, and the braking recall on Prius and other hybrid models.

17. Either install new or reposition the lower radiator crossmember and FESM structure and clamp in place and weld. 18. Install new front rail cap panel.

19. Dress the welded area and apply corrosion resistant coatings inside and out. a. Apply etch-primer to the inside of the

Note: Use Mopar Cavity wax kit (part # 68042969AA) I Undercoating kit (part # 68042967AA) or equivalent.

©2010 ALLDATA LLC. All rights reserved. All technical information, images and specifications are from ALLDATA Collision. ALLDATA is a registered trademark and ALLDATA Collision is a mark of ALLDATA LLC. All other marks are the property of their respective holders.

www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 33


Continued from Page 26

CAA Survey Results

If one person does it alone it can get overlooked or swept under the rug. It puts pressure on the one business. If we stand together and make our voice heard TOGETHER then we are most likely heard and something gets done. What are Top issues to address in 2010? What will be our focus? Tally taken: * Labor Rates: 98% * Education: 2%

Doug: Education/Certification Laurie: Labor Rates Nathan: Labor Rates/Survey Guidelines Pam: Labor Rates Kristi: Labor Rates Dean: Labor Rates Carlos: Labor Rates Steven: Labor Rates/Paint Capping Maria: Labor Rates/State funding education Linda: Labor Rates Steven: Labor Rates/Surveys (one rate) Denise: Education on repairs/ what the consumer expects Mike: Consumer rights/Labor Rates Rafi: Sponsored 50% of contributions tonight. Encouraged to keep association going Wesley: Labor Rates Nelson: Labor Rates Steve: Labor Rates Nicolette: Labor Rates/Paint materials Beverly Hills Coach Kraft: Labor Rates Peter: Labor Rates/Surveys Sherwin Williams: Paint Materials/Labor Rates Cindy: Labor Rates Sam: Labor Rates Anthony: Labor Rates/Materials John: Labor Rates/Price Fixing Tim: Survey Reform/Labor Rates Stacy: Labor Rates Jason: Labor Rates Chuck: Santa Clara Chapter to together and created a commercial. Paid for out of pocket. Basic context and willing to sell to anyone interested in using it for $50.00. Insert your body shop information and get your information out there. Plays on Cable/ Satelite TV, runs as PSA (Public Service Announcement) Linda: Used to use a cassette tape and sent it to radio stations. David Horowitz became interested and a panel of Auto Body Shops was created and used on TV. It was successful. Why not do that now? Issues are the same. Or place something on YouTube, or Facebook, Laurie: Anonymity is important. Should

be a group as a whole. Educating the public as a whole rather than one shop. Chuck: Monty Everton posted labor rates. What is normally charged may change per customer. May become an issue if rates do not match. Any adjustments made other than the posted rates must make a concession. Curt Introduces Results From 178 average responses to the CAA Survey: A) LABOR RATE SURVEYS 1. Do you believe the current system, whereby insurers conduct labor rate surveys to determine the prevailing rate is fair and reasonable approach? Yes 9 (4%); No 164 (96%)

2. Would you support legislation that requires an independent third party to conduct auto body labor rates surveys? Yes 163 (92%); No 13 (8%)

3. Would you support legislation that requires a government agency (i.e. BAR, Dept of Insurance) conduction such surveys? Yes 70 (55%); No 57 (45%) B) STEERING 4. Do you believe that “steering” is a major problem in the industry? Yes 174 (96%); No 13 (4%)

5. Would you support legislation that better defines steering for sonsumers, shops and insurers? Yes 163 (92%); No 14 (8%)

6. Do you believe that the current DRP system is the major contributor to steering? Yes 171 (96%); No 7 (4%) 7. Do you believe that “steering” will always be an issue as long as the current DRP system exists?

Yes 159 (97%); No 25 (15%)

8. Would you support a public awareness campaign that educates consumers that they have a “choice” and that “steering” is illegal? Yes 169 (97%); No 6 (3%) C) INSURER OWNED/OPERATED SHOPS 9. Do you believe insurers should be able to own/operate auto body repair shops? Yes 5 (3%); No 168 (97%)

10. Do you believe that “steering” is a major issue surrounding insurer owner/operated auto body shops? Yes 165 (97%); No 6 (3%) 11. Would you support legislation that would prohibit insurer owned/operated auto body shops? Yes 167 (97%); No 5 (3%)

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D) CAPPING PAINT AND MATERIALS 12. Do you believe the current system, whereby the labor rate is multiplied by refinish hours to determine paint and materials charge is a fair and reasonable approach? Yes 106 (62%); No 59 (38%)

13. Do you believe a refinish material calculator system is a better approach to determine paint and material charges? Yes 106 (76%); No 35 (24%)

14. Do you believe either approach is fair and reasonable, as long as the insurer cannot cap? Yes 149 (90%); No 15 (10%)

E) CAREER TECHNICAL EDUCATION 15. Do you support legislation that provides additional state funding for career technical education programs in junior high and high schools? Yes 156 (93%); No 11 (7%)

16. Do you support legislation that requires students to take career technical education courses before graduating? Yes 108 (67%); No (33%)

F) HEALTHCARE REFORM 17. Do you support legislation that requires all employers to provide health care

insurance coverage for all employees? Yes 60 (36%); No 105 (64%)

18. Do you support legislation that requires employers to pay for such coverage? Yes 37 (22%); No 126 (78%)

G) FLOOD CARS 19. Do you support legislation that prohibits the resale of flood-damaged vehicles that have been immersed in salt water? Yes 152 (95%); No 8 (5%) H) CRASH PARTS 20. Do you think consumers should have the final decision on which parts, OEM or aftermarket parts, for their vehicles? Yes 156 (95%); No 9 (5%)

I) PRIORITY ISSUES 21. From a scale of 1 to 10 (10 being the highest), how would you rate the following industry issues in importance: A) Labor Rate Surveys; 9 B) Steering: 9 C) Insurer owned/operated Auto Body Shops: 7 D) Capping of Paint and Materials; 9 E) Career technical education; 7 F) Health Care Reform; 8 G) Flood Cars; 5 H) Crash Parts; 7

I) Other issues; ——

Open Floor Discussion: Johnathan: Doesn’t understand why State Farm wants more lines on estimates and Farmers wants less lines on estimates. Linda: Permits and violations-fees from $4,000–10,000 each and going up! Out of control. Talk to City and State about getting equipment and annual fees under control Laurie: License renewal – not letting government be involved. Posted rates. Not more fees-pushing BAR to help. Nathan: Having zip codes defined annually not every 5 years. Define rates, not forced rates. Curt: Wrapping up meeting. Call people you know and get friends involved. We need more people to stand with us. Chuck: Aftermarket parts have their place: Toby Chess (I-CAR) – no $$ but Insurance Companies are demanding aftermarket reinforcement Curt: Know the product you are selling. Linda: Have State quarterly meetings. The more that can be involved with it the better! All should go to the State Board Meetings if possible. Curt: Chapters need to educate: * Know product * Disclaimer/warranty of aftermarket

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Veterans Return to Class—Not Just Older Northeast Georgians Filling Classrooms at Athens Technical College veterans to transfer benefits to dependents. Military veterans also are returning to And when state benefits such as school, thanks in part to a newly expanded the HOPE Grant and HOPE ScholarGI Bill that may provide the best veterans' ship factor in, veterans can earn almost benefits in history. as much by going to school as working. As with older students, veterans, even young ones, may return to school with strong work habits that can compensate for academic deficiencies. “Because of the training they've received, they're very straightforward and highly motivated,” said Greg Thomas, an instructor Scott Reed, right, and Jordan Wooten, an Iraq war veteran and corin Athens Tech's auto colliporal in the U.S. Marine Corps Reserve, repair dents on a Mazda MXsion repair program. 6 during a recent auto collision repair class at Athens Technical Two tours of duty in College. Photo credit: Richard Hamm Iraq helped change Jordan About 150 veterans or their depend- Wooten, a corporal in the U.S. Marine ents are using the GI Bill to attend Athens Corps Reserve. In Iraq, he learned a new attitude Tech; another 300 are at the University of Georgia and 132 at Gainesville State Col- about responsibilities, he said. lege. “Everything you do is a big accomVeterans can get not only tuition plishment. You're in charge of people's and fees, but a housing allowance lives,” said Wooten, 22, who finds himunder the GI Bill. New rules also allow self nowadays making friends with peoby Lee Shearer@onlineathens.com

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ple older than he. His military service has created a kind of gulf between Wooten and many people his age, who are more interested in partying than studying, said Wooten, who lives in Farmington. “I got that out of my system a long time ago,” he said. Kelley Smith of Athens, a classmate in the auto collision repair program, also learned new habits while serving in the U.S. Navy. “Everything you do has a purpose,” said Smith, 33. “Here, you might go home and turn on some crappy TV show.” College not only is the place to get training for a future career, but a good way to re-enter the nonmilitary world, Wooten said. “The civilian world is a different world. You have to adjust to it, and college is the best place to do it,” he said.

need to have guns that do the atomization, but then also have the increased transfer efficiency so that the shops are still profitable. Now the painters understand why they need to do it. If you have a bit of time for people to relax and listen to you. Education is becoming, once again, important. All the players are changing how they’re doing their training. They’re taking the time to explain it.

ABN ► How do you see waterborne moving across the country. Is it smooth and uniform or is it patchy? Steve Treutel ◄ It’s a little bit patchy. Some companies have especially motivated regional people who are moving aggressively, and pushing hard for it. The rate of conversions in Texas percentagewise, is actually quite high. In the training centers that’s what they’re teaching in Texas. If you combine how EPA and waterborne is working hand in hand, it’s a great opportunity for everybody. Some people are just old school, and they’re not goin to want to change. One day, we’re going to look back at this and say “that was huge.”

Reprinted with the kind permission of the Athens Banner-Herald. Originally published in the Athens Banner-Herald on Sunday, February 21, 2010.

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BBB Issues Warning on Company Selling Truck Bed Liner Products The Better Business Bureau is issuing an alert regarding Clearline Coatings Inc., a Florida-based dealer of epoxy floor coverings and truck bed liner products. The company’s owner, Julius Lupowitz, formerly located in New York, has also used the names Ocean Spray Technologies and Hammerhead Spray In Liners. In a complaint filed with the BBB, an Omaha businessman, who applies epoxy floor coverings, states he was contacted by Julius Lupowitz and asked to “invest” in Clearline’s epoxy product. Lupowitz asked for an initial outlay of $2305 to open an account. He was directed to send a cashiers check, because the company does not accept payments by credit card. A few days later, the Omaha businessman received a call from a company named Hammerhead. The representative told him they had six trucks from Seattle which needed epoxy liners. All he would need to do was purchase the bed liner product and the vehicles would be delivered for the application. The business agreed to purchase the product based on the promise of trucks to work on and sent an additional $1068 to the company. He received the bed liner product, but the trucks never arrived. In another complaint filed with the BBB, a trailer business located in Shenandoah, IA, received a call from “Eddy

Lupe,” offering a distributorship for “the only clear epoxy product on the market” along with a guaranteed territory of a 150 mile radius. The price quoted for this distributorship was $16,000. After Lupe was told that the owner was not willing to make this kind of investment, he then added, “Your company will also be taking over the business records for another distributor.” He promised there would be jobs from that company. The owner then agreed to become certified and invest $9,500. The trailer company received the product, but could not get it to adhere or dry. The complainant states that the product does not work and a refund was requested. To date, there has been no refund and no additional jobs as promised. When confronted by the BBB, Lupowitz denied he had concocted the phony orders, and said he was unwilling to provide a refund but would retrain the companies in the proper use of the product. Additionally, Lupowitz stated that complaints against him are occurring as a result of a competitor who is persuading businesses to file complaints with BBB using false and misleading information. Lupowitz acknowledged to the BBB that he does use aliases regularly such as “Eddy Lupe” in his business dealings, but

claimed he did not engineer the set ups as claimed by these two customers. BBB President Jim Hegarty has informed Lupowitz that the BBB is issuing an alert after it learned that in 2006, Lupowitz, while operating a company called Ocean Spray Technologies, was arrested in New York where he faced charges of grand larceny and scheming to defraud auto body shops nationwide. Lupowitz pled guilty to a first-degree felony charge and was sentenced to probation after making restitution of $54,322. The money was disbursed to 14 victims who had been refused refunds. According to the DA, “In order to induce auto body shops to buy his product, Lupowitz, posed as a fictitious owner of a fleet of trucks that needed to be sprayed specifically with his product. This fictitious company would enter into an agreement with auto body shops and based on this agreement, the shops would then purchase Ocean Spray’s product. After receiving the product, the shop would never hear from the fictitious truck owner again. Lupowitz would then refuse to refund the auto body shops.” Hegarty said, “The BBB has had additional contacts with complainants in six other states regarding Lupowitz and is presenting the complaints to the BBB in Orlando for further investigation of Julius Lupowitz and Clearline Coatings.”

Georgia House Lawmakers Studying Texting Ban Bill

Georgia lawmakers are taking a closer look at texting while driving legislation proposed in the week of Jan. 18. Representatives on the House public safety committee debated the bill. At the end of the hour-long hearing, the bill was referred to a study committee for further consideration. At issue was how law enforcement would be able to determine if a driver is texting or using their cell phone for another purpose. State Rep. Amos Amerson urged his colleagues not to focus on how the proposed law would be enforced. Supporters of the bill said its main purpose will be as a deterrent to would-be offenders, who may be broken of the habit with the threat of a hefty fine and driving penalties.

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Ask Dale

Dale has been Collision Industry Conference Chairman 1999–2000; a Lifetime Member (since 2001) of Society Of Collision Repair Specialists. He is a National Auto Body Council Founding Member and Director; a C.I.E.C.A. Founding Member, Director, and Chairman. Contact Dale at DaleSR@cox.net.

Parts and Car Sales, City Vehicles, Standards for Associations with Dale Delmege

The dealer owner where we buy most of our parts for a certain line of cars approached us with a proposition. In return for an extra discount on parts, he wants us to pass along customer names as new car sales prospects. Anything wrong with that?

Not for the dealer. He’s entitled to use whatever information he can dig up. But without the customer’s unequivocal prior permission it’s a foolish risk for you, no mater what the additional discount is worth. Your knowledge of the customer’s identity is not your property to use to your benefit. In any case, in this age of privacy sensitivity, sooner or later a customer will claim to have been damaged somehow by your “unauthorized” disclosure. Incidentally I know of some DRP’s where even a

first offense in this department will result in immediate and irreversible termination. Our competitor seems to have just about all the city and county vehicle collision repair business pretty well locked up. Does this traditionally go up for bids? How do we go after it? Don’t you have enough in your life to depress you already? This is highly political, low-profit, low-quality, shop-clogging business. Unless you like doing $2000 jobs for $1600, leave it to the guys that fix taxis. Try this instead: Go make some good sales calls on the HR departments of at the one or two non-profit agencies in your area with the most employees. Provide them with special cards for them to give their

Ford and Hyundai Excel in Brand Loyalty, Toyota Still No. 1

Ford Motor Company vehicles accounted for four of the top five vehicles for customer brand loyalty, according to recent industry analysis from Experian Automotive. The analysis, compiling industrywide automotive trends for the third quarter of 2009, also saw Hyundai performing strongly with gains in overall market share and increased new vehicle registration. From the second to third quarter of 2009, Ford customers continued to show strong loyalty for the Ford brand. Ford’s Fusion, Edge, Flex and Five-Hundred models were all within the top five vehicles for customer brand loyalty at 61.8 percent, 57.8 percent, 57.6 percent and 56.3 percent, respectively. Ford Freestyle had the 10th highest brand loyalty at 47.6 percent. Hyundai performed strongly in the third quarter by gaining 2.2 percentage points in overall market share and experiencing a 30.1 percent increase in new vehicle registrations. Ford also saw improvements in market share, growing by 1.1 percentage points, and in new vehicle registrations, growing by 5.1 percent for the quarter. “Given the extraordinary challenges in the current economy, Ford and Hyundai showed positive growth,” said Jeff Anderson, director of Consulting and Analytics for Experian Automotive. “Both were able to pick up market share gains and improve on their customer loyalty. This gain in momentum should see these companies well-positioned for success when the market turns around.” While Ford had a strong presence in brand loyalty, Toyota’s new Venza model was No. 1 in brand loyalty at 63.2 percent. Toyota’s Prius (51.8 percent) and Camry (48 percent) came in at numbers

seven and nine, respectively. When it came to corporate loyalty, Toyota moved ahead of GM to take the top spot. Ford followed closely in third place. Other insights from Experian Automotive’s analysis included: ● Hyundai’s corporate loyalty rose to fifth overall to nearly tie with Honda at almost 40 percent loyalty. ● The Cash for Clunkers program (July 1, 2009, to Aug. 24, 2009) accounted for a quarter of Q3 2009 new vehicle registrations. Toyota led brand loyalty among participants, with 41 percent of those who disposed of a Toyota purchasing another Toyota vehicle. ● Cross-Over Vehicles and Small Car– Economy were the two fastest-growing vehicle segments, gaining 50,747 and 49,698 more registrations, respectively, year over year. Full-Size pickup trucks saw the largest decline with 114,613 fewer registrations than in the same quarter for 2008. “For several quarters now, the industry has worked diligently to better understand the ever-evolving landscape of consumer tastes in vehicles,” said Scott Waldron, president of Experian Automotive. “The recent shifts in consumer loyalty, corporate market share and vehicle class preferences show that building future success will come from increased knowledge of the changes in consumer buying habits today.” However, the brands seeing the biggest upswing in owner loyalty during the initial aftermath of the Toyota recalls are Korean and Big 3 automakers, according to Kbb.com, which also pointed out that brand consideration and loyalty for Toyota has eroded. Kia and Hyundai appear to show the steepest upward movement.

38 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

employees that will produce an automatic $10 or $25 contribution to the agency for each employee’s car fixed at your shop. Dale, Settle a bet. My brother says me driving my most expensive car to my shop every day makes the employees resentful. I say that good employees are motivated by seeing the material benefits of hard work. You lose. I hope you bet him the car.

We have been a dues-paying member of our state trade association for many years. It’s been beneficial learning and sharing best practices. But recently the association has become very aggressive politically, hiring a lobbyist to confront insurers with the Insurance Commissioner and publishing “consumer education” materials that have an anti-insurer flavor. Is our membership going to cost us business? Not unless you’re a conspicuous spokesman for the new aggressiveness. But at some point you will have to ask yourself whether everyone your dues are supporting are worthy fellow members of

your profession. If you can’t remember the last time your association kicked out somebody for not being up to its standards, what’s the point of being part of it?

We used to belong to a paint company “20 group” where we compared numbers three or four times a year. What are considered good basic operating numbers these days? Circumstances and regions vary, of course, but you really need to be at least in the low 40’s at the gross margin line to have enough left over for sufficient retained earnings to keep strengthening the business. Nobody on the property should be cashing a bonus check for a month below 40%. With margins on parts typically below 30%, you need your gross margin on direct labor at 60% or more including benefits. Also, if your paint & materials sales are less than 10% of total sales in any quarter, your estimators need some more training. Indirect labor needs to be at or below 12% of sales, and rent shouldn’t get much beyond 5% of sales unless you’re the landlord. Get back in a 20-group, but pick critically. They range from pointless to priceless.

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www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 39


Toyota Facing Diminished Value Lawsuits as well as Massive Injury Claims The huge recalls for acceleration and braking problems are creating an unprecedented legal liability for Toyota and, potentially, the vehicle owners as well. The world’s biggest automaker faces dozens of lawsuits over injuries and deaths attributed to safety problems, with many more lawsuits expected. Lawyers and legal experts said the lawsuits could be particularly expensive for the automaker if plaintiffs can prove that Toyota was aware of problems but failed to correct them. “This has the potential to be the biggest product liability case in the automotive industry,” said Richard Cupp, a professor at Pepperdine University School of Law. Another professor is warning that Toyota owners might have to pay a portion of any damages from an accident resulting from a known safety defect that they didn’t get fixed as directed, and in a timely manner, said Marshall Shapo, who teaches torts and product liability at Northwestern University School of Law. In addition to Toyota’s massive recall and related personal injury clams, the automaker is confronted by at least 40 consumer class-action cases over the reduced resale value of its cars. The drop in resale value of Toyota and Lexus autos could also prompt insurers to reduce what they pay when any affected Toyota vehicle is totalled. Consumer lawsuits seeking economic damages for diminished value or lost use of a recalled Toyota vehicle have been filed in

at least 30 states, mostly in federal court, and could end up costing the world’s number one over $2 billion, said Another Northwestern law professor, Tim Howard, is leading a team of 22 law firms in 16 states that are pursuing a class-action lawsuit seeking compensation for lost car value. He said the suit could rival tobacco litigation in its complexity, and all the federal suits would be consolidated into a single class action in the next few months, following a hearing before a panel of judges set for March 25 in U.S. District Court in San Diego, Howard said. Toyota’s U.S. operations are based in California. Howard said that if a typical vehicle was worth $10,000 before the recalls and drops 3.5% in value ($350 per car), with 6 million recalls in the U.S., the potential damages reach $2.1 billion. If a trial attorney can prove that Toyota hid its knowledge of the defects, punitive damages could easily double that. Litigation against Toyota has snowballed since the biggest recall in its history for repairs to ill-fitting floor mats and sticking gas pedals it blames for instances of unintended, sudden acceleration in its vehicles. Toyota is not the only automaker to face such claims, but it is the largest. In 2008, Ford paid up to $500 in discount vouchers per claim to settle a diminished-value case on behalf of 800,000 customers after a tire recall prompted concerns about potential rollover crashes in its Explorer SUV.

Florida Court: ‘No Retroactive Rule on No-Fault Insurance’

A 2001 amendment to Florida’s no-fault law that requires insureds to notify their insurer that they intend to sue cannot be applied retroactively to policies issued before the amendment was enacted, ruled the Florida Supreme Court. Before the presuit notice provision, the law did not require an insured to provide notice to an insurer before filing an action for overdue benefits. The amendment, known as the statutory presuit notice, constituted a “substantive change” to the statute and thus cannot be applied retroactively. This provision states that before filing any action for an overdue claim, the insurer must be provided with written notice of an intent to litigate. The high court’s action reversed a decision by the Third District court, which had held the notification amendment to be “merely procedural.” The case, Menendez v. Progressive Express Insurance Co., Inc., involved Progressive’s denial of personal injury protection (PIP) benefits to an insured who was injured in a car accident covered under a policy that was issued before the enactment date of the 2001 amendment. Justice Barbara J. Pariente wrote, “In our view, the statute, when viewed as a whole, is a substantive statute.” The presuit notice provision is “not procedural” and “should not be given retroactive application.”

The Supreme Court said that the Legislature intended for the provision to be applied retroactively, however, the court said that even where the Legislature has expressly stated that a statute will have retroactive application, the court will reject retroactive application “if the statute impairs a vested right, creates a new obligation, or imposes a new penalty.” The statute as amended in 2001 also mandates that the payment from the insurer must include interest and penalties not exceeding $250.Also, if the insurer pays within the additional time provided by the statute, the payment precludes the insured from bringing suit for late payment or nonpayment and shields the insurer from a claim for attorneys’ fees. The insured argued that the amendment created various obligations and burdens that are substantive and therefore could only be applied prospectively. The insured also argue that the statutory presuit notice provision, as a whole, affects an insured’s ability to retain counsel because there is no longer a right to reasonable attorneys’ fees if the insurer subsequently pays the claim within the additional time prescribed by statute. The Court said that the “most problematic provisions” of the statute are those which impose a penalty, implicate attorneys’ fees, grant an insurer additional time to pay benefits, and delay the insured’s right to institute a cause of action. The ruling could affect other PIP claims.

40 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

Honda Adds 437,000 Cars to Worldwide Faulty Air Bag Recall Honda is adding 437,000 vehicles to its worldwide recall for faulty air bags announced in Nov. 2008. Honda, Japan's No. 2 automaker, has now recalled close to 950,000 vehicles for airbag problems linked to one fatality and a total of 11 injuries in the United States. While Honda’s is not the size of Toyota’s, it comes at a sensitive time for an industry struggling to draw customers back to showrooms after a brutal downturn. The company will replace the driver’s side air bag inflator in the cars because they can deploy with too much pressure, causing the inflator to rupture and potentially causing injury or death. The total of number vehicles recalled since then is approaching 1 million. The latest expansion of the air bag recall includes 378,000 cars in the U.S., some 41,000 cars in Canada and 17,000 cars in Japan, Australia and elsewhere in Asia. The North American recall was announced Feb. 9. The recall affects 952,118 vehicles, including certain 2001 and 2002 Accord sedans, Civic compacts, Odyssey minivans, CR-V small sport utility vehicles and some 2002 Acura TL sedans. Honda’s announcement comes at a time of increased attention on automotive recalls. Though the problems are unrelated, rival Toyota is in the process of recalling more than 8 million cars and trucks due to faulty gas pedals. Toyota said it would recall nearly 440,000 of its flagship 2010 Prius and other hybrids due to a braking glitch.

“There is a heightened sensitivity right now to anything to do with recalls,’’ said John Mendel, executive vice president of sales for American Honda. Honda said it is aware of 12 incidents linked to the problem—one death in May 2009 and 11 injuries. The company said it is not aware of any problems happening after July 2009. Honda decided to expand the recall after a company investigation found that more cars might contain defective air bag inflators, made by supplier Takata Corp., based in Tokyo. The problem, the company found, could be traced to a stamping machine that sometimes used insufficient pressure to make the inflators. Honda company decided to recall all vehicles using the compressed inflator propellant produced by that machine, it said in a news release. “It took time to come to that conclusion because we had to do many tests,’’ said Natsuno Asanuma, a manager of public relations at Honda in Tokyo. “We have concluded this is the cause.’’ Honda’s latest U.S. air bag recall affects certain 2001 and 2002 Accord sedans, Civic compacts, Odyssey minivans, CR-V small sport utility vehicles and some 2002 Acura TL sedans. Honda says owners should take their vehicles to dealerships as soon as they are notified by the company in writing. Notification will begin during the month of February.

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Understanding the Basics of the Waterborne Paint Booth Imagine it has just rained. There are puddles on the ground, and everything is coated with droplets of water. On a cool, overcast day with no wind, that water will take quite a bit of time to disappear. Now imagine the clouds part and the sun emerges. Those puddles will evaporate faster, right? Now what if a stiff breeze kicks up. That water will be gone pretty quickly. Everyone knows if it’s hot and windy, a puddle of water will be evaporated a lot faster than if it’s cool and still. This is the same principle that gets applied when we’re talking about curing and drying the latest in advanced waterborne paints.

Naturally though, things get a bit more complicated when we’re talking about drying paint under very controlled conditions, such as those on an automated finishing line, or in an automotive body shop. Modern coatings are incredible examples of chemical engineering. They can be designed to withstand the harshest of conditions, while maintaining their desired appearance much longer than coatings of the past. However, in order to achieve the best possible results with these coatings and maximize their effectiveness, they need to be applied under very specific environmental conditions. This is where the modern paint booth comes in. Modern paint booths contain more technology than most people would expect. Gone are the days of the simple ‘big metal box’. New paint booths are designed to provide not only a better painting environment, but also a more efficient working space for the painters. Things like automated temperature control and shadowfree lighting make the painters’ job easier than ever. Yet there is no one individual factor that can be singled out as the key to working with waterborne paints. It’s the combination of several technologies that allows you to effectively spray and cure most waterborne paints with maximum results. Going back to our ‘rain and puddle’ analogy, the two things that are absolutely essential when we’re dealing with waterborne paints are heat and airflow. Granted, you CAN cure waterborne paints without extra heat or accelerated airflow, but it’s inevitably going to take much longer. This is not something most modern businesses are ‘okay’ with. After all, why spend more time when you can spend less? This is why it’s so important to make sure that your

booth is set up properly for waterborne. First, let’s talk about heat. There are two basic types of paint booth heaters: Indirect-fired and Direct-fired. With an indirect-fired air heater, the gas burner is built inside a large metal drum within the heat unit. The burner heats the drum, and as the air moves over the drum it becomes hot before it is forced in to the cabin. The inherent inefficiency in this design is the drum itself. Since the drum needs to be heated first before the air can be heated, indirectfired heat units take much longer to come up to optimum temperature when compared to the direct-fired variants. Direct-fired heaters utilize a much simpler and more effective heattransfer design. In these types of heaters, the burner is placed directly in the path of the moving air. This allows for nearly 100% of the heat generated by the burner to be transferred directly in to the air. The result is much better heat-rise, and lower gas consumption over the duration of the paint process. Direct-fired heaters are generally accepted as the more effective and efficient choice for modern paint booths, especially when dealing with waterborne paints. The second part of the heat issue is control over the temperature itself. Every coating has unique curing and drying properties. Different paints can require a higher temperature for less time, or a lower temperature for more time, or even different temperatures over the course of one cure

cycle. These temperature variances can be a nightmare for the painter if they have to do everything manually. This is why some paint booth manufacturers have developed pre-programmed control panels that are specifically designed to automate the drying cycle. Some of the more advanced control panels are programmed for specific brands and models of coatings. This programming simplifies the operation of the booth by allowing the user to push a single button to begin the cure cycle, and the booth does the rest. Automatically controlling the temperature of the air based on the pre-determined times in the cure cycle. This allows for the fastest drying times by

using the best possible cure cycle for that specific paint, and gives much better consistency with each finished product. Next, we’ll look at airflow in the paint booth. While simply increasing the CFM of air moving through the booth does give some improvement in the drying times, the key thing to remember here is that we don’t necessarily just want MORE airflow, but what we do want is SMARTER airflow. What we mean by smarter airflow is more control over the airflow in the cabin. This is accomplished in two ways: with variable frequency drives and with an accelerated airflow system. Variable frequency drives (VFD’s) are electrical control units that are integrated in to the heat units to provide enhanced control over the motors. VFD’s regulate the flow of electricity to the motors, and allow the motors to run at any speed, from 1% to 100%. Typically, electric paint booth motors only operate at 100% speed, which requires mechanical dampers in order to control the airflow generated by the fans attached to the motors. By utilizing VFD’s, the motors can be adjusted to any speed in order to control the airflow, which drastically reduces energy consumption since the motors are only spinning as fast as they need to at any given time. This control over the motor speed allows virtually infinite adjustments to the air speed in the booth, allowing the operator to customize the air movement for optimum performance. Accelerated airflow systems are very common in modern auto body shops, and are becoming more prevalent in industrial applications as waterborne coatings become more popular. These devices can come in several different forms, including hand-held compressed air blowers, simple fans, or more advanced booth-mounted air blowers. Regardless of the type of accelerator equipment, the concept remains the same: increased airflow on the painted surfaces. There are two reasons that this increased airflow is important: Heat stratification and low-pressure micro-climate. First, let’s explain heat stratification. This is basically a fancy word for ‘layering’. We all know that warm air rises, and that in any paint booth, the air near the ceiling will be warmer than the air near the floor. This causes the upper surfaces of the painted object to dry faster than the lower surfaces. Accelerated airflow systems are designed to mix up the airflow in the booth and force more air on to the painted surfaces. While some systems focus air on specific spots for smaller jobs, the more advanced systems will turn the whole booth in to one big convection oven. This

allows for the heat to be distributed over the entire painted object, and provides much more even and consistent curing results. Next, when we say ‘low-pressure micro-climate,’ we’re not talking about the weather. This refers to the way the air moves over the surface of an object. As air moves over an object in a linear way, even at high speeds, there is a barrier of slowmoving air between the fast moving air stream and the painted surface. This barrier or ‘micro-climate’ is a low-pressure area that acts as a buffer, preventing the water or solvents in the paint from being drawn out, therefore slowing the drying process. By introducing additional fastmoving air, these acceleration systems create a controlled turbulence on the painted surface in order to break up this micro-climate and draw out the water and solvents from the coating. This drastically reduces the time required to achieve a finished product. We can begin to see a trend here, almost hidden amongst the time savings we’ve been talking about. The benefit you’ll notice when you reduce the time required to cure your coatings is reduced en-

ergy consumption. By minimizing the time required to dry the paint, the paint booth is operating for less time for each job you complete. The less time the booth operates, the less natural gas is fed through the burner, and less electricity is used by the motors. That is the mark of a truly ‘green’ paint booth. Not only do they allow for the effective use of environment-friendly waterborne coatings, but they also require less electricity and gas in order to complete the same job as a regular paint booth. So as we can see, in order to minimize the drying times of most waterborne paints you really need both controlled heat and accelerated airflow. This combination will yield the fastest possible drying times with modern waterborne coatings, and enable your shop to push past the slow, cold, wet days of inefficient waterborne drying and achieve the increased productivity and profitability that you are looking for, with the added benefit of knowing that your paint booth is helping you minimize your impact on the environment.

www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 41


Collision Repair Students are Well-Prepared for the Real World by Dustin Henggeler, NNL writer This article is reprinted with the kind permission of the Nodaway News Leader, Maryville, MO.

They don’t have desks or written tests to take each week, but you’d better believe these students are learning something everyday. The new collision repair class at the Northwest Technical School [in Maryville, MO], taught by Ron Wiederholt, gives the students just what they need to learn; hands-on experience on real vehicles. “What’s so great about this type of work is that you’re not working on an assembly line, doing the same thing everyday,” said Wiederholt. “You face a new project every day. Even if it’s the same spot on a vehicle, you will need to do different types of repairs in order to get a car looking new again.” From fender benders to complete restoration of older cars, Wiederholt’s students never see the exact same project twice and are always kept busy. Students come to the class from as far away as Mound City, Craig/Fairfax and North Andrew, or as close to home as Northeast Nodaway and Maryville. Adults are welcome to take the class, too; in fact, two are currently in the class: one is 63 years old, proof that it’s never too late to learn or pick up a hobby.

Completely needing restored, one of Wiederholt’s own muscle cars is a project many of the students are working on with hopes that it will be finished

by the end of the school year. Earlier in the year, the students also completely rebuilt a military vehicle that is now being used by local volunteer firefighters. And on top of just repairing cars, the students are also constructing and painting vehicles that they give away for those who cannot afford a fully-operational car. Having owned his own auto-body shop for 10 years, Wiederholt knows the importance of keeping up with the times and does his best to offer these new techniques to his class. Learning about the care and repair of hybrid vehicles is something his class takes part in, keeping their expertise on anything from old school to cutting edge. “The kids in here aren’t your typical students who enjoy science or math, but

enjoy the hands-on experience,” Wiederholt commented. “When I show them something new in here, they’re always wide-eyed and ready to learn.” Though his class can handle 30 students, Wiederholt has only 15, but the plan is for more students next fall. And since this is his first year of offering the class, it’s hard to say where his students will be after graduation. Wiederholt knows that some of his students plan to come back next year, even if it’s post-secondary. The collision repair curriculum is a two-year program, so future students may plan to take it their junior year if the school district allows. Collision repair, a field that could only become extinct when we don’t use cars, will be a growth area. Wiederholt makes sure his students learn everything from the basics of the shop to the various techniques any repair project requires of a Mr./Mrs. Fix-it. “I make sure that the students know that a clean shop is the most important thing in terms of safety,” said Wiederholt. “I also give them new project partners everyday so they can get used to working with new people all the time. Students need to know how to work safe as part of a team, keeping the work area clean and safe as well.”

CollisionBuilder.com Provides Free Websites to Associations

CollisionBuilder.com, in an effort to improve communication throughout the industry, is now offering free websites for collision repair associations. Any and all recognized collision repair associations are eligible. Domain registration, hosting, and monthly maintenance are included. “As an industry, we need to move forward with our utilization of communication tools,” said David Moore, president, CollisionBuilder.com. “The web offers us the opportunity to get our message out locally and nationally. We can no longer sit on the sidelines hoping things will get better, we have to get involved.” The website consists of a home page, about us page, contact us page and a current news page. The website’s content will be editable using CollisionBuilder.com’s EZ Edit feature. This will enable the association to inform members of current news and events and to keep their website updated. Additionally, Moore is offering free consultation/instructions on how collision repair associations can utilize Facebook and Twitter accounts to improve member communication. CollisionBuilder.com designs and develops websites for the collision repair industry; offering both custom and predesigned packages. Visit www.collisionbuilder.com, and contact David Moore.

See these Hyundai dealers below for all your collision parts needs! SO. CALIFORNIA

NO. CALIFORNIA

NEVADA

Family Motors Hyundai

San Leandro Hyundai

Henderson Hyundai Superstore

BAKERSFIELD

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510-347-3010

LAS VEGAS METRO AREA

661-837-3358 Fax

510-895-1027 Fax

702-565-9643

Mon-Fri 8am - 5:30pm familyparts@hotmail.com

Tuttle Click Hyundai IRVINE

The Hyundai Genesis— 2009 North American Car of the Year. Think About It

DO THE RIGHT THING ENOUGH TIMES, AND PEOPLE BEGIN TO NOTICE. Hyundai Sales Up More than 14% (year on year). In 2008 Hyundai became the world's fifth-largest automaker, with 7% market share in the United States. 42 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

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800-462-2231 559-436-6041 559-436-0743 Fax Mon-Fri 7am - 6pm Sat 8am - 1pm etaylor@lithia.com


Sears offering defunct car dealerships auto center franchises

Sears Holdings Corp. plans to expand its Sears Auto Center network by recruiting former car dealers as franchisees. Sears said it is launching the Independent Sears Auto Center franchise program, allowing auto dealers who lost their GM or Chrysler franchises to operate as licensed Sears Auto Centers. The company said Coleman Auto Group of East Windsor, N.J., is the first car dealership to take advantage of the program and will open a Sears Auto Center March 27 on the site of its former Chrysler dealership. “Sears designed the new franchise program to help those dealers leverage their facilities by building a set of businesses around parts and services, over-the-counter merchandise, and previously-owned vehicle sales,” Sears said in a statement. The Sears Auto Center franchise locations will provide the same products and services for automobiles, light trucks and motorcycles that are offered at the nearly 850 company-owned Sears Auto Centers across the country. Sears expects many of the new franchise locations to be located on properties adjacent to preowned vehicle and body shop operations. “This is also a great opportunity for dealers who are currently selling used cars to gain a brand that’s nationally recognized for quality and dependability, a resource for buying high-quality auto parts and supplies, and access to a proven business model that has

been tailored to their needs,” Bill Jackson, president of Sears Authorized Independent Auto Centers LLC, said in a statement. According to Sears, the franchise advantage includes: • The strength of the Sears, DieHard and Craftsman brands; • The ability to leverage Sears marketing, Web presence and social networking; • Purchasing power on tires, batteries, parts, equipment and supplies; and • Access to the Sears credit card and the corporate systems and processes. Last year, as General Motors Co. and Chrysler Group LLC went through government-sponsored bankruptcies, the auto makers began pulling the franchises, with GM notifying some 1,350 dealerships and Chrysler almost 800. However, a law passed by Congress and signed in December by President Barack Obama set up arbitration for rejected GM and Chrysler dealerships that want reinstatement. More than 1,550 car dealerships gave notice that they intended to seek reinstatement through arbitration --triple the number expected by the American Arbitration Association, which is overseeing the program. More than half of the 2,789 car dealerships eligible to seek reinstatement gave notice by the law’s Jan. 25 deadline that they intend to do so. That included 409 of the 789 shuttered Chrysler showrooms.

A Work Of Art.

Salvaged Airbag Bill, SB 209, Withdrawn by Maryland State Senator

After strong opposition by repairer organizations at the National Conference of Insurance Legislators (NCOIL), a model airbag bill, although amended, was still passed for use in individual states. The model bill establishes criminal penalties for fraudulent installation of an airbag; requires shops to maintain detailed records of airbags they purchase, sell or install; mandates that a repair facility submit an affidavit to a vehicle owner saying that an airbag was installed properly; and sets forth guidelines regulating the use of salvage airbags. The bill, intended to provide a documentation process for the use of new and salvaged airbags to protect consumers from airbag fraud, had been proposed in Maryland. On Feb. 5, the Washington Metropolitan Auto Body Association (WMABA) sent out an urgent notice to repairers to oppose this bill, citing many reasons that repairers and consumers could be harmed. Many repairers had taken the initiative to contact their representative if they were on the Senate Finance committee who was hearing the bill first. Though these actions were taken immediately, WMABA was unsure of the response that would be seen in the bill hearings. Rep. Robert Damron of Kentucky, who is the NCOIL president, wrote, in an open letter to WMABA: Although we do not wish to comment on specific Maryland activity, we do wish to weigh in on some general statements regarding the NCOIL model law on which the Maryland bill was based.

The Model Act Regarding Auto Airbag Fraud, adopted overwhelmingly by NCOIL on November 22, 2009, neither encourages nor discourages the use of salvaged airbags. Rather, in adopting the model law, legislators set forth a comprehensive approach to fighting airbag fraud —an approach that acknowledges today’s installation, however frequent or infrequent, of both salvaged and new original equipment manufacturer (OEM) parts. The purpose of our model is to ensure that any airbag installed in a vehicle is safe. On Feb. 15, Senate Bill 209, proposed by Senator Delores Kelley (D-Baltimore County) was voted down unanimously by the Senate Finance Committee to have the bill withdrawn without foreseeable reintroduction. “This outcome was no doubt the result of WMABA, our lobbyist group Alexander & Cleaver and our Maryland constituents giving useful and pertinent information to the Senators, so that they could make an informed and consumerconscientious decision,” said Brad Whiteford, WMABA President and owner of Whiteford’s Collision. “All of the WMABA membership should be proud of the efforts of the association to head-off such a possible disaster for repairers throughout the country, because we all know how bills like these increase the chances for other special interests to attempt this in other states.” For more information contact the WMABA at: (804) 789-9649.

Shure Manufacturing’s NEW Recycle Cabinets

Go Green with Shure’s NEW Recycle Cabinets. These cabinets have a large swing-out door to reveal a 40 gallon plastic receptacle with dolly for recyclable materials. Close the steel door to conceal unsightly containers, making your service area look clean and more organized, while helping the environment.

Isn’t it time others see her the way you see her? Fiberglass Quarterpanel Extensions. Replica Plastics of Dothan designs, tests and manufactures over 400 quality parts for GM cars including Buick, Cadillac, Oldsmobile, Pontiac and Chevrolet. Our affordable quarter panels install in minutes, without having to remove the rear bumper, and come with a full lifetime warranty. Contact us today for a complete listing of parts and prices. P.O. Box 1147 • Dothan, Alabama 36302 P: 800-873-5871 F: 334-792-1175 W: replica-plastics.com E: stone@ala.net

39 15/32”H Model #791610 - Double Cabinet 60”W x 30”D x 39 15/32”H Model #791611 - Triple Cabinet - 90”W x 30”D x 39 15/32”H

Features: • Stainless steel top with 12” recycle receptacle hole • 40 gallon plastic recycle receptacle with dolly ordered separately • Leg levelers • Heavy-duty steel construction • Choose from 22 Shure Signature Powder Coat Paint Colors Specifications: Model #791609 - Single Cabinet - 30”W x 30”D x

www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 43


Custom Corner

Rich Evans is the owner of Huntington Beach Bodyworks and an award winning painter and fabricator. He offers workshops in repair and customization at his facility to share his unique talents. For contacts and design samples visit www.huntingtonbeachbodyworks.com

Ultimate Vodka’s Shelby Series 1, Part 2 with Rich Evans

We’re back on part two of three on our Shelby Series 1 project that we started in the last issue. We left off last month having the car ready for our base color. I chose a House of Kolor Orion Silver paint. Now a lot of guys think it’s only waterborne that we can use in California, but there are companies such as House of Kolor that have additives we can use to make it [low VOC] compliant. To do that we’re going

House of Kolor Orion Silver Base with Transtar top coat sanded with 3M 800 grit sand paper using the Quick Cut sanders followed by Soft-Sanders

to use one part paint, one part KU150 catalyst, and two parts KV1 reducer. This

way we can use these familiar custom colors and still be compliant with the low VOCs. Of course this will also work in shops outside California, who want to be more envorionmentally conscious and safe. A word or two about safety because making something compliant doesn’t mean it’s 100% safe. I always wear the MicroFlex Midknight™ gloves for the booth area and things I’m doing. I can go through 100 pairs or more easily on a project like this, but it’s worth it. I also always use my shoot suits which keep me nice and clean and away from the lacquer thinners and other solvents that can get into the pores of your skin. I also use a fresh air system from SATA which keeps me safe. I want to be around for another 40 years and still be painting without worrying what any refinish product can do to me over a long period of time. We’re going to end up with two batches in the booth, with applying three coats of Orion Silver base coat, but before that we have to hit it with the sealer. I am using House of Kolor KS210. It comes in

44 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

a white and a black and I mixed 50% of each to get a gray color so I can apply silver over top of it. First I apply two light coats of the sealer over the surface and the parts. I’m going to apply three coats of the orion silver total. I’m using my SATA gun at 27 psi when I’m applying base color. We’re getting our silver base on with a topcoat. I like TranStar and I’m using 6531 to 2.1 low-VOC clearcoat. For my

year. Matt is very creative. He’s young but very well-rounded as an artist. He wears three hats: having the plotter skills; the graphic design touch; and the airbrush skills

Matt Van Wingerden, Air brush artist extraordinaire.

House of Kolors Orion Silver Base coat with Transtar top coat

hardener I use the 6894HT and that allows just a little bit more flow time. It is better for what I do—graphics and custom work. I’ve been using Transtar topcoat for about 14 years and I’ve never once had it bite me or go wrong. A lot of guys out there might not apply enough material so don’t skimp. It’s all about how you apply your material. I’m putting two coats on because I know I’m going to go back and sand it down with 800. I’ve chosen to use a topcoat versus an SG100 (Intercoat clear) because of all the taping. Instead of using the SG100 and having to use the KU150 and the KV1 to get this compliant—to me, it’s better to put a low-VOC clearcoat on and skip the SG100 system. We get the two coats on and I’m going to come through with 800 grit 3M wet and dry and I’m going to use the Soft-Sander blocks and Quick-Cut sanding DAs on the flatter areas. There aren’t many of those on this car. The Soft Sanders are a huge help because the multiple lengths of sanding blocks fit the body contours. The blocks are all color-coded so as you use them more you find out which ones help you most. Obviously they’re saving me a lot of time and give me a better result. A straight block really doesn’t work on this project because of all the contours going on. I can use any of the Style-Line Super-Flex® sandpapers up to 3000 grit. We’re cutting this with 800 grit and then we’re going to bring it in and do a mock-up for graphic layout. I’ve called in Matt Van Wingerden to do the airbrushing on the project. You might remember him from his Marilyn Monroe headliner that we did for the ‘57 Chevy last

all in one. I don’t have to sub-source anything. He’s a real talent and I’m sure you’ll be seeing a lot more of his work out there. What we want is the real subtle graphic layout and Matt’s doing the Ultimate Vodka bottle that I explained in the last column. We want this bottle to look

Graphic lay out.

real and it represents the company, so Matt is my design and concept to place it on the hood in the rally stripes. Matt puts about 20 hours into getting the bottle looking great and we’ve got the car mocked-up, sanded down with the 800 grit and ready for the second color which is going to be True Blue Pearl (part number PBC36.Q01) from House of Kolor. I used a panel-alignment tool before I tore the car down. I take an 1/8-inch drill bit and drill into the hinge areas of the hood, doors, fenders, the rear hatch; just so I have a reference so I can put those panels back exactly where they were. I know where I am all the time instead of wasting a lot of time trying to line things up. You experienced guys know what I’m talking about. I’ve designed my own panel alignment tool which is just a set of 6 screwdrivers with an 1/8-inch dowel of different lengths to get into different areas. So you can make your own, or I’ll make them available soon for others. Sometimes we need to make our own tools, but these tools work for me. I’ve saved a lot of time with them and time is money. So now that we’ve got everything mocked-up, our graphic design is going to


include some rally stripes, striped down the left and right hood right before it meets the fender. We’re going to break it off in the front to make it look racy and add some checkered-pattern designs. I collaborated with Ed Blinn—with Patron Tequila, the owner—on the layout. I really want to give them what they’re looking for and represent their company and their brand as best we can. I use Photoshop to mock-up the vehicle in a picture to get on the same page with the company. When they give me the thumbs up then we need to make that picture real. That’s the way that works for us here at Rich Evans designs.

coverage. We put on the white before we applied the True Blue, then re-masked so when we’re done with the True Blue graphic part we can de-mask everything and add our shadows to give it a three-dimensional look. It’ll make the Ultimate Vodka lettering look really deep so that it’s really popping off that Orion Silver. We’re going to shadow where the checkerboards meet the graphic on the fenders and give it a natural rollover so it looks like it’s rolling underneath that graphic and disappearing. It’ll be real subtle with a couple of little highlights here and there that’ll make sense to separate the blues (where it meets

House of Kolor True blue pearl.

Ready for Transtar top coat

We’ve got all the graphics layed out and then we mask everything up ready for the True Blue Pearl second base color. I like 3M tape and masking paper, which is a real good quality tape that doesn’t leave residue behind, especially when you’re doing graphics. Make sure you pre-clean all your panels before you mask them. Using the MicroFlex gloves keeps your fingerprints off the car. Use a nice hard mask, applied tight, so it’s easy to unmask. All of those steps really count when you’re trying to put out a high-quality commercial product. It takes a little longer but your end results are better. So after tear down, we have two batches. It could easily be three batches but if I do three it could cost another six hours of time waiting between coats. It’s a little crowded but I have enough room to walk around and apply the True Blue. I’m using a 1.4 tip on my SATA gun and my comfort zone is 27 psi so it atomizes the paint and I don’t have a really high build. I might get a two-mill build with this project’s six coats, half-triggered to just give me coverage with the second base color. You want to make sure that you are not creating more work for yourself and don’t get a high build on your second base color. When you’re doing graphics you can extend yourself for more color, sanding and buffing to make it smooth, where you can’t feel the lines. With the left to right doors we’re adding the Ultimate Vodka image on and we got those laid out to where they look natural and not crowded. I just used the House of Kolor white base color, two coats, with just enough for

blues) especially on the front where it comes around and meets the rally stripe. We want that stripe to go underneath the rally stripe to look like they’re really diving underneath it. You don’t have to overdo it to get the look. We’re not going for a bunch of wavy effects or anything like that. This car needs to look like it’s going 100 miles an hour standing still. We’re using six True Blue coats throughout the two batches and then demasking. You really need to spend your time cleaning up making sure everything is right. Blow off everything, tack it off, walk around, check it and make sure that everything is blown out before you apply your TranStar clear topcoat. I’m going to apply five coats and one tack coat. I like to use the tack coat to make sure I’m covering it and creating a foundation for my clear that I’m going to apply pretty heavily on. I’m going to come back and cut two of those coats off so I really want to leave a minimum of 3–3½ coats of clear for a protective coat throughout its lifespan. I have a system when I’m spraying my clear with my RP gun, which is a 1.4, and I recommend everybody get an RP gun with a 1.4. I’ve been using one for about six years and I use it about 35–37 psi, about 3 inches away. I usually shoot at about 3 inches and I like to control the product when it goes on and make sure it’s flat. I want to make sure that I’m in control and the paint is not controlling me and there’s really no room for double lapping. You’ll create a comfort zone for yourself. A word about keeping it clean. Go to shootsuits.com and pick yourself up a Rich Evans shoot suit (ad adjacent). I’m walk-

ing around in a shoot suit all the time they’re washable, they last forever, and the price is right. Cleanliness and safety go hand in hand because they show care and attention to detail. It’s nice to walk out of the booth and see everything right and clean. You’re happy, you don’t have dirt flying around, and you don’t have to repeat steps. Once again, time is money. So five coats of clear, one tack, that leaves me a lot of room to color, sand, and buff. For that, I am going to start with 800 grit and we will finish this in the third stage of this article. I really want to get the steps and procedures across to you guys so

Second batch with clear coat ready for color sand and buff

you can try what I’m doing, or maybe you’ll come across one or two things that you’re not doing that you might try that might help you save time. I’m going to hit some of my flat areas with the Quick Cut sander with 800 grit. That’s what I start with then I really keep my focus on the second topcoat (True Blue) and it works those areas down because I know they’re going to be two mills higher than everything else. So as I applied my topcoat I really pounded on the five coats. Find a system that works for you but 15 minutes in between each coat works for me. By the time it’s tacking and is starting to set up, I pile it on again. You know that you have a window of 24 hours between coats so some of you guys out there are doing extra by putting 3 coats on, sanding, cleaning everything up, putting it back in the booth and putting another three coats on. Take your time to read up on your product to see what your windows are. You can put three coats on, and come back the next morning, without sanding, and put another three coats on. The more you dig into the product details and the more you use it, the more it will work for you the way works for me. It’s worked for me for years. Breaking out the Soft Sanders, I’ve got about five or six blocks that I’m using on this. They’re different sizes and lengths and they’ve got 40 grit to 3000 grit sandpaper you can use. It’s all good for wet sanding. The blocks will take you from A to Z processes. They’re a great tool to add to your collection; not for everything you do, but they’re a great tool to have in your arsenal for time-saving and better quality. Every job is different every job is a different panel that needs to be sanded so these are a great prod-

uct to complement the rest of your toolbox. They’ve saved me a lot of time and money. They pay for themselves on the first job I used them on. I also just found out that PPG has adopted them for their training programs, which is a great endorsement. We’ll talk about the color sanding steps and procedures next month along with the delivery of the car. And we’ll see where this project goes on tour and see how many thousands of people will put their eyes on it. You always want to make sure that you keep your quality high and have a good product. I don’t use or endorse anything I don’t believe in. I always thank my sponsors. I can-

Blocking with the Soft Sanders 1000--1500 grit

not create or build cars without them. Thanks to Chicago Pneumatic™ for my pneumatic tools. MicroFlex™ for the safety of the latex gloves that they provide. I want to thank Shoot Suits for providing a comfortable safety suit. Quick Cut Sanders for providing a tool that is a very efficient product which is well thought out. House of Kolor for putting out such great products. I want to thank TranStar for such a great topcoat. I look forward to trying out some of their new products will be writing more about those in future. I also want to thank 3M for all the support they’ve given me over the years and the great products that they keep coming out with.

Rides of Rich Evans—iPhone App I have a new free iPhone app game called Rides of Rich Evans that you can download through iTunes. It’s a fun app. Try to beat the game. You can google ‘Rich Evans’ or ‘Rides of Rich Evans’ to learn more. I’m always trying to put something new out there and this app showcases a good selection of about 80 different vehicles I’ve done. It shows some diversity, but isn’t everything. We’ll probably add hundreds of more cars to this game over time. It’s also a learning app to recognize makes, models, and model years of different projects that came through my shop.

www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 45


NADA Chair Says Dealers See Industry Rebound

The nation’s new-car dealers and the trade organization that represents them have much to look forward to in 2010 as the industry rebounds after a tough year that brought many changes, the incoming chairman of the National Automobile Dealers Association (NADA) said at its convention in Orlando, held Feb. 13–15. NADA is ready to “hit the ground running” to tackle a fresh slate of issues this year with a new attitude and new agenda that relies heavily on feedback from dealer members, said 2010 NADA Chairman Ed Tonkin, a multifranchise dealer from Portland, OR, whose father, Ron Tonkin, led the association in 1989. After avoiding an “Armageddon” for many in the industry last year, Tonkin said NADA will now turn its attention to the challenges ahead: IRS issues like UNICAP and LIFO; avoiding a patchwork of mileage standards under the new Corporate Average Fuel Economy (CAFE) requirements; and closely monitoring Congress to avoid unnecessary and burdensome regulation. Tonkin said NADA’s work to get dealers exempted from oversight under the proposed Consumer Financial Protection Agency is an example of how the organization is well suited to represent dealers in Washington. He also said last year’s restructuring in the industry has created a “watershed moment” for au-

tomakers to establish a true partnership with their dealers -- an opportunity that may not come again. “Like my dad has said, ‘the bird doesn’t always fly by twice,’” Tonkin said. “With new ownership and new people in charge, [automakers] have a golden opportunity to craft a new relationship with their dealers, one based on a genuine spirit of cooperation.” And though much uncertainty remains, Tonkin Ed Tonkin said dealers should be optimistic. With expected sales of nearly 12 million in 2010, rising employment and improved lending, the future is bright, he said. “We’ve faced difficult times before and what did we do? We sold cars and trucks in bunches,” he said. “Every possible scenario you could imagine we dealers have remained the constant. That’s strength, that’s resiliency and that’s what America’s new-car and truck dealers are all about.” More than 15,000 dealers, automaker executives, exhibitors, media and guests attended the NADA convention.

Congress Asks Insurers for Toyota Accident Data

A House committee has asked five insurance companies to provide it with information by the week of Feb. 22 regarding accident trends involving cars and trucks manufactured by Toyota. The request by the House Energy and Commerce Committee was prompted by a statement Tuesday by State Farm indicating that it had alerted federal safety regulators in late 2007 about a rise in reports of unexpected acceleration in Toyota vehicles. However, officials of two of the four other companies, Allstate and Progressive, that received the request for information said they have so far found no signs of a similar trend in claims they have received. The request for the data comes as three congressional committees gear up to hold hearings soon on the Toyota recall issue. The House Energy and Commerce Committee sent the letter seeking the data from Allstate, Farmers Group, GEICO, Progressive and State Farm. It is one of the three committees planning hearings on the issue. The House Oversight and Government Reform Committee plans a hearing Feb. 24 and the Energy and Commerce Committee plans a hearing the next day.

The Senate Commerce Committee has scheduled a hearing March 2. In responding to the State Farm data, NHTSA officials said the report was reviewed and the agency issued a recall later that month. But a spokesman for Allstate cautioned that it had examined its records and found “there was no apparent trend” in claims it had “processed that would point to a recurring problem.” Mike Siemienas, the Allstate spokesman, also said that it had a process in place to deal with recalls “because they occur all the time.” Mr. Siemienas said Allstate is in the process of responding to the request for the data from the E&C panel. Lee Knapp, a spokesman for Progressive, added that the company is currently reviewing claims that may be affected by the Toyota recalls. “Right now it's too soon to say how many customers may be affected, but at this point there's no indication that it will be a significant number.” She added, “We're also reviewing the request from Rep. Waxman, and if we have anything that is responsive to that request, we will provide it.”

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Hand-held Phone Bans Are Not Reducing Crashes, Distraction is an Attention Problem

Distracted driving is an attention problem not a manual operation problem, so it’s no surprise to many that laws banning the use of hand-held phones while driving have failed to reduce crashes, according to research conducted by the Highway Loss Data Institute. HLDI, an affiliate of the Insurance Institute for Highway Safety (IIHS), said its findings were based on a comparison of crash damage insurance claim rates in four U.S. jurisdictions before and after the phone use bans. The research showed claim rates remained steady compared with nearby jurisdictions that have not passed such bans. “The laws aren’t reducing crashes, even though we know that such laws have reduced hand-held phone use, and several studies have established that phoning while driving increases crash risk,” said Adrian Lund, president of the IIHS and HLDI. In New York, HLDI noted, there was a decrease in collision claim frequencies relative to comparison states, but that trend began “well before the state’s ban took effect.” HLDI added that trends in the District of Columbia, Connecticut and California did not change. Mr. Lund said, “So the new findings don’t match what we already know about the risk of phoning and texting while driving. If crash risk increases with phone use

and fewer drivers use phones where it’s illegal to do so, we would expect to see a decrease in crashes. But we aren’t seeing it. Nor do we see collision claim increases before the phone bans took effect. “This is surprising, too, given what we know about the growing use of cell phones and the risk of phoning while driving. We’re currently gathering data to figure out this mismatch.” Mr. Lund said a possible reason for the finding may be that drivers are switching to hands-free phones, which presents about the same risk as hand-held phones. “Whatever the reason,” he said, “the key finding is that crashes aren’t going down where hand-held phone use has been banned. This finding doesn’t auger well for any safety payoff from all the new laws that ban phone use and texting while driving.” On January 11, 2009, The National Safety Council advocated a total ban on cell phone use while driving, stating the practice is clearly dangerous and leads to fatalities. The group’s president likened talking on cell phones to drunken driving. She said cell phone use increases the risk of a crash fourfold, and that hands-free cell phones are just as risky as hand held phones. The council examined more than 50 scientific studies before reaching its decision. For more see autobodynews.com

Autobody News’ Online Feedback Following are some responses posted on this story as it ran online at a number of media sites, including autobodynews.com. These are anonymous responses, not news sources, and do not represent any kind of survey results or, necessarily, majority opinion. —Editor ● Accidents are not decreasing because the law is not enforced by police. Actually I see police on the road using cell phones as motorists. Police look at people talking on phones and do not even pull them over. ● This new study result simply can’t be accepted. I question the baseline and quantifiable information, and perhaps the limited span of the time period from which data has been grabbed. Regardless, personally and from others are many accounts of hazardous driving behaviors of persons in deep phone conversation or texting. Laws belong on the books with stiff penalties for violations.

● I’m amazed that so many still think the problem lies in a driver having a cell phone in their hand. It’s the fact that people’s minds, not their hands, are preoccupied when using a cell phone in any fashion while also driving a car. The ban needs to be on any usage, not just texting.

● In July of 2008, California banned the use of cell phones while driving for all persons under the age of 18 years. The State also banned the use of hand held cell phones for persons over the age of 18 while driving. All cell phone users have to utilize hands-free devices, either corded or cordless, such as Bluetooth, to be within the law and avoid fines. That law is a huge joke! Every day I watch dozens of people with their cell phones glued to their ears and yapping away. There are a number of possibilities for their idiotic behavior: 1) They don’t care about the law; 2) They don’t care if they get caught; 3) They would rather pay the fine than shut their mouth. They think whatever they have to say is more important than safe driving; 4) They think they can talk and drive but they can’t chew gum and walk So, brilliance aside, what did the lawmakers think these rocket scientists were going to do to dial their cell phones? Not all of them have voice dial, so here we now have motor mouth tethered to the cell phone by their new hands-free ear bud and microphone combo, holding it up in front of him or her, trying to see the keyboard and dial a number. Or holding a piece of paper and a pen and the cell phone, while trying to write down a number that has appeared on the screen, and must be of utmost importance.

www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 47


I-CAR Tech

This article first appeared in the I-CAR Advantage Online, which is published and distributed free of charge. I-CAR, the Inter-Industry Conference on Auto Collision Repair, is a not-for-profit international training organization that researches and develops quality technical education programs related to collision repair. To learn more about I-CAR, and to subscribe to the free publication, visit http://www.i-car.com.

Insulated Rubber Gloves And High Voltage Batteries Ever since the requirement of wearing insulated rubber gloves, or lineman’s gloves, when working on hybrid electric vehicles was introduced in vehicle service information, there have been questions. Are these really the same gloves worn by those who work with high voltage power lines? Are these gloves necessary or are they overkill? Are these gloves only used for disabling and enabling the high voltage? What does the U.S. Occupational Safety and Health Administration (OSHA) say about the use of these gloves?

in (see Figure 2). Among the requirements printed on the bag label are the use of leather protective outers, testing requirements, and protecting the gloves from chemicals and other contamination. On the outside of the box, there are precautions to not store the gloves inside out, folded, or in direct sunlight.

hand size of the technician who will be wearing them. For some glove manufacturers, there are only three choices: small, medium, and large. Other manufacturers offer half sizes, in inches. To find your measurement, lay your hand palm down on a flat surface and measure the circumference around your finger knuckles (see Figure 4). Add one inch to that measurement, and that is your hand size for insulated rubber gloves.

This article is designed to answer these questions. Figure 2 - Requirements for testing and care for the gloves are outlined on the plastic bag and box where the gloves are packaged.

Figure 1 - This chart shows the AC and DC voltage ratings for each class of insulated rubber gloves.

Glove Requirement Toyota is clear on when insulated rubber gloves should be worn. The vehicle maker states that the gloves should be worn “whenever working near high voltage components. High voltage components include the high voltage battery, system main relay, service plug receptacle and fuse, orange-colored cables, inverter assembly, electric drive motors, DC-DC converter, and the electric air conditioning compressor.” In other words, the gloves are not just worn when disabling and enabling the high voltage battery.

There are several classes for insulated rubber gloves, from Class 00 to Class 4, depending on the maximum use voltage that the gloves can withstand (see the table in Figure 1). It is generally accepted by the vehicle makers that Class 0 gloves are a good choice when working on hybrid electric vehicles, as they are rated at 1,500 volts DC maximum use voltage. Class 0 gloves are solid black in color. Why is the vehicle maker service information limited as to the care and testing of these gloves? Vehicle makers expect technicians to follow the instructions and requirements from the glove manufacturer. These are commonly printed on the box and the plastic bag the gloves are shipped

OSHA addresses the testing, use, and care of rubber insulating gloves in the Personal Protective Equipment Standard 1910.137, Electrical Protective Devices. There are more details in the American Society for Testing and Materials (ASTM) Standard Specification for In-Service Care of Insulating Gloves and Sleeves.

Glove Label In the cuff portion of each glove, there’s a nonconductive label (see Figure 3). As listed in the table in Figure 1, the label is colored depending on the glove class. Information on the label may include the glove manufacturer, the class, and the rated maximum-use voltage. The AC voltage rating is only listed on the label, since these gloves are more commonly used when working with AC voltages. The label will also indicate if the gloves are resistant to ozone (Type II) or non-ozone resistant (Type I).

Figure 3 - There is several information on a label on the cuff of each glove.

The label may indicate the glove size. Insulated rubber gloves are not one-size-fits all. They should be purchased based on the

48 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

Figure 4 - To find the size glove for you, measure your hand around the knuckle area and add one inch.

Storage Proper storage is important to help keep the gloves in good condition. The gloves should be stored in a location as cool, dark, and dry as possible. The location should be as free as practicable from ozone, chemicals, oils, solvents, damaging vapors or fumes, and away from electrical discharges and sunlight. Fluorescent light and sunlight are especially harmful to rubber.

The gloves should be stored flat, not folded, and not in any manner that will cause stretching or compression. They should be kept inside a protective container or canvas bag. The original box that the gloves came in is also a good storage compartment for the gloves. Inspection Before Use OSHA requires that the technician who will use the insulated rubber gloves inspect the gloves for damage before each use, and immediately following any incident that can reasonably be suspected of having caused damage. If the inspection finds any of the following, the gloves should be discarded:

● Hole, tear, puncture, or cut ● Embedded foreign object ● Ozone checking, which looks like dry rot. Ozone checking is a series of interlacing cracks produced by ozone on rubber under mechanical stress. ● Texture changes caused by swelling, softening, hardening, or becoming sticky or inelastic

The gloves should be cleaned as needed to remove foreign substances. If any defect is found that might damage the insulating properties, such as spilled chemicals that do not wash off, the gloves should be submitted to a testing facility for testing.

Minor damage to the gloves can be repaired, but only in the area between the wrist and the reinforced edge of the opening, called the “gauntlet area” of the glove (see Figure 5). In this area, small cuts, tears, or punctures may be repaired by applying a compatible patch. Minor blemishes in this same area may be repaired with a compatible liquid compound. The patched area should have electrical and physical properties equal to those of the surrounding material. No more than three patches may be applied to one glove. Any gloves that are repaired should be retested by a testing facility before they are used.

Figure 5 - Insulated rubber gloves may be repaired, but only in the gauntlet area.

OSHA also specifies that an air test should be done in the field before each use, and at other times if there is cause to suspect any damage. The ASTM standard specifies that an air test can be done by holding the glove by the cuff and rolling the gloves gently toward the fingers to form an air pocket inside the glove. While the air is entrapped, check the gloves for punctures or checking, listen for escaping air, and hold the gloves up against your cheek to feel for escaping air. If the glove will not hold pressure, the glove is damaged and should not be used. The air test can also be done with a mechanical inflator. On the higher classes of gloves, an inflator is required because the gloves are too stiff to be rolled up by hand. Remove all jewelry before putting the gloves on. This is a common recommendation whenever working in a collision repair facility, but is of special importance here so as to not snag the gloves on rings See INSULATED GLOVES, Page 58


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ASA Requests NHTSA to Use its Authority to Regulate Aftermarket Crash Parts

The Automotive Service Association (ASA) has written a formal letter to National Highway Traffic Safety Administration (NHTSA) administrator David L. Strickland asking him to review why NHTSA does not regulate aftermarket crash parts, and to begin an aftermarket crash parts regulatory program as soon as feasible. For yearsASA’s policy for automotive replacement crash parts has been that consumers should have notice as to the types of parts used to repair their vehicles and give written consent as to the use of these parts. However, very few states have implemented this policy, so most consumers have no conception of the

parts used in a repair. ASA is very concerned with the quality and safety issues relative to the proliferation of aftermarket crash parts being used to repair vehicles involved in a collision. In 2000, ASA met with members of the U.S. House of Representatives Committee on Energy and Commerce and asked the committee to investigate NHTSA’s role in aftermarket crash parts regulation. The committee requested that the General Accounting Office (GAO) review NHTSA’s role in regulating replacement crash parts. The GAO report on “Motor Vehicle Safety: NHTSA’s Ability to Detect and Recall Defective Replacement Crash Parts is Limited” resulted in several important conclusions:

NHTSA has broad authority to set safety standards for aftermarket crash parts. The Motor Vehicle Safety Act provides NHTSA with the authority to prescribe safety standards for new motor vehicles and new motor vehicle equipment sold in interstate commerce—a category that includes aftermarket crash parts. Although NHTSA has the authority to regulate aftermarket crash parts, it has not determined that these parts pose a significant safety concern and therefore has not developed safety standards for them. The act also provides NHTSA with more limited authority to prescribe safety performance standards for

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Action Counts with Lee Amaradio Jr.

“Every Man For Himself”

I have watched our industry take two steps backwards and one step forward for over thirty years. Because of this “every man for himself” attitude that runs predominately within the collision industry, we are unable to control the repair process even when it comes to safety. I have heard it said that most shops really would fix the cars correctly but they are being hindered because they are not being paid enough. I say “Bull.” Either you fix the cars correctly or you are lying to yourself and risk resembling a crook. Sounds tough? Not really. It’s the truth. The choice is yours. We are the ones that know how to repair collisions. When something is denied by the insurer we scramble to figure out a way to make enough money on the repair to make it worthwhile. Many shops have moved safety issues to the back burner and profit becomes their main concern. They move to the damage control mode because they still need to make money. If you go against the grain and make a stand for safety issues and the integrity of the repair,

you risk looking like the bad guy when in fact you are the good guy, and the real ones qualified to do the repair. “Cost should never supersede safety, ignorance should never have the power over knowledge, and intimidation should never be mistaken for negotiation”. We lack standards and we lack any form of enforcement from the Powers That Be, so we are between a rock and a hard place. We need to stand up for ourselves, even against the other shops that are not fixing the cars right. I think that we need to make this “every man for himself” attitude work for us by standing up against those shops that are saving deductibles (it’s illegal) and putting unsafe vehicles on the road. I really believe that many repairers “really don’t care” and no matter how much they were paid they would still cut every way possible to put more money in their pocket. I recently (before Toby Chess’ groundbreaking parts comparison) got a call from my quality control manager to tell me that we had installed an A/M bumper rein-

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forcement on a vehicle (against our company policy) and the customer was on their way to pick it up. He wondered if I knew about it. I told him ‘no,’ then I made a few phone calls to get to the bottom of it. At the same time I had the OEM reinforcement ordered. As the story unraveled it turned out that one of my estimators was trying to take the easy way out so he ordered it himself (we have a full time parts department so estimators don’t normally order any parts). I told him to contact his customer and tell him the vehicle would be delayed because we were going to be using the OEM reinforcement. He then told me the insurance company wouldn’t pay and the customer wouldn’t either. The estimator thought he was doing the right thing because he had informed the customer and the customer was fine with the A/M part. My question to him was “is the customer an expert in collision repair?” I made my point as any court would have. I made a choice to re-repair the vehicle the correct way and it cost me money. Was it right that I had to pay to repair this customer’s vehicle the way I knew that it should have been done? No, it wasn’t right that I had to make up the difference, but it was definitely wrong for us to leave the A/M reinforcement on the vehicle, no matter what the customer wanted. Why? Because we are the repair experts and we hold the liability. Any lawyer would be able to make a case against any of us—even with the customer’s approval because we are “the experts.” Soon after this incident, Toby Chess’ test at CIC made everyone realize that there is a definite liability involved with using an A/M bumper reinforcement and I felt great because I have no skeletons in my closet because we have NEVER used one. In life we need to stand for something. We need to believe in what we do, and there are lines that we just will not cross. We need these boundaries in collision repair. Who is dictating what the proper collision repair standards are? We have had the Fox guarding the Hen house for so long that we think that “cost” is the primary driver for the collision industry, when it’s obvious that “safety” should be. When it comes to “safety,” everyone needs to listen. Safety is a word everyone understands. Just look at what Toyota is going through because of some un-safe vehicles hitting the roads. But the collision industry puts thousands and thousands of un-safe vehicles on the road every year and everyone looks the other way because it would cost

so much more money to repair them all correctly. I’m talking real safety issues such as air-bag deployment because of inferior workmanship. When “used frame rails” are still being used in repairs even though it’s against every manufacturer’s recommended repair procedure, and A/M parts that have not been crash-tested are still allowed, it just proves how out of whack things really are. Someone should apologize to Toyota. I would like to see the OEM’s do the crash test with the A/M bumper reinforcements to really prove we have a industry safety problem and put a stop to selling these inferior parts to thousands of unsuspecting consumers and their families. [See ASA article on facing page—Ed.] They should be concerned because air bag deployment can be changed so drastically by something as minor as putting too many welds or not enough welds during the repair (see the Toyota watermelon video). Don’t you think a bumper reinforcement made out of mild steel will effect air bag deployment? Any changes from OEM requirements could turn the air bag into a deadly projectile instead of the life preserver it was intended to be. Safety of the vehicle can never be compromised especially when you are the one that carries the liability. So should those that have knowingly or unknowingly repaired vehicles in an unsafe manner be held responsible for correcting any problems related to safety? I say absolutely “YES.” But this would be way too costly. I mean that many shops would need to step up and re-do hundreds of vehicles. The Aftermarket parts companies could lose enormous amounts of money. Those insurers that have guaranteed these parts would need to step up and take responsibility for the warranties involved. But “NO,” there will be some more tests done to say that these parts are safe and everyone involved will do damage control. We will return to the status quo of “every man for himself” and once again nothing will change and un-safe repairs will continue to hit our highways every day because money has become more important than safety. SAY IT’S NOT SO!

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www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 51


The Georgia Collision Industry Association (GCIA) Takes the Lead by Rachael J. Mercer

Steering. Supressed Labor Rates. Capping of Repair and Refinish Materials. Got your attention? If you’re a collision industry professional, these hot-button topics are hurdles you’re facing in your business as you work to serve your customers and keep your business profitable. These are some of the tough issues the Georgia Collision Industry Association (GCIA) is currently addressing. As Executive Director of the GCIA, Howard Batchelor serves the collision industry and consumers in an effort to “promote professionalism and consumer awareness of the Automotive Collision Repair Industry in the State of Georgia.” Since its founding in 1997 the GCIA has worked toward reaching that goal Howard Batchelor through education of its members as well as collision professionals around the state, while also engaging consumers by educating them about their rights. The GCIA was founded by a group of collision industry professionals who wanted to address the issues concerning the industry, according to Batchelor. “Mainly the group wanted to promote consumer awareness concerning the collision industry and promote professionalism within the industry,” he said. While the GCIA serves the state of Georgia as a whole, its member base is primarily comprised of collision repair businesses in the Atlanta metro area. “Often it’s hard for people outside the perimeter of metro Atlanta to make it to meetings after a day at work,” said Doug Dorsey, Body Shop Manager for Honda Carland in Roswell, Ga. For this reason, people who are located close to the base of operations for the GCIA in Marietta tend to be the most involved members. The GCIA has tried to address the issue of serving an area as large as metro Atlanta and the state of Georgia. “We try to meet all over the metro Atlanta area,” said Batchelor. “At one time we met in the Smyrna Convention Center for each meeting, but now we move around so we can make the meetings more convenient for collision professionals to attend.” Meetings are held every other month, and the topics of discussion and education are varied from month to month. Batchelor said, “We try hard to feature ‘hot topic’ speakers at each meeting, and often the hotter the topic, the higher the attendance at the meeting.”

The 6H Rule In the state of Georgia, one hot topic issue is environmental regulations and compliance. The GCIA is working with the Georgia Small Business Environmental Assistance Program (SBEAP) to educate collision shops about a new federal air emissions regulation, known as the 6H rule. The Georgia SBEAP is a non-regulatory program of the Georgia Environmental Protection Division that provides free assistance to small businesses to help them comply with environmental regulations. Rachel Cochran, Public Affairs Coordinator for the Georgia SBEAP, explained the role the GCIA is playing in educating Georgia collision businesses about the new regulation and compliance. “The Georgia SBEAP is a small program of mostly environmental scientists and engineers,” she said. “and we have limited ability to communicate to 3,000 Georgia collision shops efficiently on the subject of the 6H Rule.” Instead of mass mailings with invalid addresses and misdirected communication, the GCIA has helped communicate the requirements of the 6H rule to its members and to collision shops in the Atlanta area. The GCIA has also facilitated educational classes where its members and other collision industry technicians have been able to learn about the regulatory requirements of the 6H rule. “The GCIA has hosted two rounds of training, where one of our technical staff has presented an environmental training presentation on 6H.,” said Cochran. “Although the presentation itself is fairly short, there are always many questions from attendees who are concerned about how the new regulations will affect their business. Because of the GCIA, we have been able to reach these people in ways we could not otherwise.” Each collision repair technician in the state of Georgia is to be formally trained on the regulations in the 6H rule by January 10, 2011. For new shops, technicians must be trained within 180 days of hiring. New regulations include how to apply paints in a way that reduces air emissions, how to properly clean a spray gun and reduce air emissions, and more. “We have a really valuable stakeholder group,” said Cochran. “It includes people in the collision industry, companies like Akzo Nobel, Sherwin-Williams, FinishMaster and PPG, and groups like the Georgia Collision Industry Association.” In addition to its help with communication, the GCIA has assisted the Environmental Assistance Program with staging mock inspections. Cochran said, “We used the collision repair shop of a member of the GCIA, where collision shop owners and managers could use compliance checklist tools.”

52 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

“For many of these collision shop owners and managers this was their first foray into compliance regulation,” she said. “This mock inspection setting gave them an better understanding of Rule 6H re-

ment issues. A relationship is being formed between the office of the Insurance and Fire Safety Commissioner of the State of Georgia and the association. In December 2008, Commissioner John Oxendine came to the bi-monthly meeting to discuss insurance regulation and the rights of consumers and collision repairers as they relate to automotive insurers. Batchelor said, “Very quickly, Mr. Oxendine realized he did not know very much about the collision industry and its relationship with automotive insurers, or the problems collision repairers face. He asked the association to help educate him GCIA board at Nov. 09 golf tournament. At left— Founding on these issues.” Member and current GCIA Board Member, Gene Hamilton; In 2009, Batchelor and 2nd from the right—Founding Member and past executive Dithree other GCIA members visrector, David Bourne; At right—Current Board Member Rusty ited the Commissioner’s office Walker. to present him with an overview quirements, and will help them be prepared of the pressing concerns of collision repairers. “We gave our presentation, and in the event of a compliance inspection.” then we came back to meet with him again; we were able to suggest changes to Insurance Regulation Because steering, the capping of repair and how insurance companies settle collision refinish materials costs and suppressed repair claims, and we offered ideas about labor rates are such hot-button topics, the ways to strengthen some rules regulating GCIA is becoming more active in govern- automotive insurers,” said Batchelor. He

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commented that the association is continuing to work with Commissioner Oxendine and his office to make changes that strengthen the automotive industry, adding: “change doesn’t happen overnight.”

Assisting Collision Repair Shops The education opportunities that the GCIA offers are numerous. In addition to the classes concerning the 6H rule that GCIA has facilitated, GCIA members have had the opportunity to learn under the teaching of Mike Anderson, AAM; the Society of Collision Repair Specialists (SRCS) has also taught a class on lean operations for the GCIA. The GCIA offers member benefits— some which are suited to independent collision repair facilities and some that are better-suited to dealerships. “We offer credit card service agreements, the ability for our members to purchase office supplies at a discount, to purchase apparel for their employees and more,” said Batchelor. “Another important benefit area involves financial planning and succession planning for repair shop owners—giving them the tools their need to make sound financial decisions.” This year the GCIA is involved in its fourth annual labor rate survey, in which metro Atlanta-area collision body shops

are asked questions about their business. The survey, conducted by a third party, is provided to about 850 shops, and asks questions about labor rates, how much business it takes to cover costs and make a profit, and more. “Each year more and more shops respond,” said Batchelor. “And each year, the information we receive is better and better.” In addition to being posted on the GCIA Web site, the survey results are provided to members and forwarded directly to the Office of the Insurance and Fire Safety Commissioner of Georgia.

Fostering Camaraderie “One of the biggest benefits to a membership in the GCIA is the opportunity to network with other shop owners and managers,” said Dorsey. “Many times I can spend time at the bi-monthly meetings talking with people I wouldn’t come into contact with otherwise.” Dorsey continued by explaining that the bi-monthly meetings give collision professionals a chance to offer pointers to each other, and an opportunity to make suggestions to each other concerning repair procedures or working with customers. “The real-life knowledge we gain from each other at these meetings can make business life a little easier,” he said. Dorsey has been a GCIA member since its founding in 1997.

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GCIA hosts an annual golf tournament—this year is the 14th annual event—which gives members who participate an opportunity to network and meet other industry professionals. In fact, many Georgia collision industry professionals who are not GCIA members participate yearly. The proceeds from the event are donated to various charities, and the location changes from year to year. More information on the upcoming 14th annual tournament is available on the Web site.

about drinking and driving, then [the display] has done its job,” Batchelor said.

Informational Presence The GCIA Web site was developed and is maintained by a GCIA member who now has his own marketing and consulting business. Richard Arnold, owner of Key Concept Services, began working on the original GCIA Web site in 2000. To keep up with changing technology and to ensure the GCIA Web site is at the forefront of industry information, a new site was develCommunity Involvement and Consumers’ oped and unveiled in the spring of 2009. “For an industry web site, the GCIA Web Rights “It is important that the general public un- site stays very up-to-date,” said Arnold. “I derstands that the GCIA is not just an as- am always looking for hot topic stories that sociation that represents collision shops will generate conversation or provide inand businesses,” said Batchelor. “We are formation to GCIA members, collision committed to educating consumers about professionals or consumers.” their rights in the event of an accident.” The GCIA Web site offers consumers print outs about their rights, and gives them the opportunity to find GCIA member collision repair shops. It provides collision repairers with schedules for training and opportunities for seminars and classes, and gives GCIA members information on upcoming meetings, their locations, speakers and topics. The GCIA is excited about the opportunities for growth and education that are The team from European Auto Collision won first place ahead in its 14th year of organat the last tournament. Pictured are: Tommy and Anization. For more information drew Suggs, Matt Lawson & Mike Shelton, (not necabout membership, visit the essarily in that order). Web site at www.GCIA.org or The GCIA Web site (www.GCIA.org) of- contact GCIA Executive Director Howard fers information that consumers can use as Batchelor. If you are a member of the they work with their insurance company GCIA, now is a great time to really get intoward a quality, complete repair. The Web volved as the association works to achieve site recommends questions that consumers its goals. Any association is stronger with should ask their insurer before and during more members who are active and pasthe repair process concerning subjects like sionate about its principles, and the GCIA aftermarket parts versus OEM parts. “Ul- is no different. The next opportunity for timately, we as collision professionals are members to really get involved is at the here to serve the consumers,” said Batch- March 18th meeting at the Crowne Plaza elor. “Without the consumers our busi- Atlanta. From 6:30–9:30 that night, the nesses would not succeed. Working GCIA will hear from several of the canditogether, collision repairers and consumers dates who are running for the office of can achieve a high-quality repair follow- Georgia Insurance Commissioner—just ing an accident.” one more way the association is working In addition to consumer rights edu- to benefit collision professionals and concation, the GCIA has projects through- sumers alike. out the year that demonstrate their loyalty and support of their customers Rachael J. Mercer is a freelance writer and communities. One such project based in McDonough, Ga. She can be takes place in the spring each year dur- reached at mercerfreelancing@gmail.com. ing prom season, with a vivid demonstration aimed to keep teenagers from drinking and driving. GCIA will place a crashed car at the entrance to several high schools in the Atlanta area, hoping to show the results of horrific crashes— www.autobodynews.com even if the human losses are not seen. CHECK IT OUT! “If it makes a kid take a second thought www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 53


FAQs on the EPAs Paint Stripping and Coating Operations, part two Last month we started this FAQ section without adequate ex planation about what it was or where it came from. That was a technical mistake when we shortened the article to fit the space available but neglected to include these comments at the end of the article. Please see last month’s Autobody News for the first part. The Federal 1990 Clean Air Act Amendments required states to establish a Small Business Environmental Assistance Program (SBEAP) to provide technical, administrative, and regulatory support for small businesses. The SBEAP staff serve as a liaison between the regulatory agencies and small business. The SBEAP does not have regulatory enforcement authority. Confidentiality is maintained when representing the interest of a small business. What does SBEAP do? The SBEAP provides free, confidential technical assistance to small businesses in your state to help them come into compliance with federal and state air emission requirements, using a variety of assistance method.The types of assistance provided through the SBEAP include:

● Informing businesses of requirements in the Act that apply to them as well as any applicable dates ● Maintaining a list of affected industry for information distribution ● Disseminating up-to-date information about the Act to the small business community, including easy to understand public information materials ● Helping small businesses deal with specific technical, administrative, and compliance problems ● Making necessary referrals ● Providing training opportunities

16. How does the rule apply if you can exempt out from the targeted HAPS but still have MeCl used for paint stripping, thereby subjecting you to the rule? A: This is a tricky question. §63.11170 says that you are subject to this subpart if you operate an area source of HAP and you perform one or more of the activities in (a) (1) through (3) – i.e., • Strip paint using MeCl • Spray apply coatings to motor vehicles • Spray apply target-HAP containing coatings onto plastic or metal substrate parts. The rule says [§63.11170(a) (2)] that you can petition for an exemption from this subpart if you can demonstrate that your automotive coatings do not contain target HAP. This says that you can petition for an exemption from the subpart (not just the coating provisions) if you do not use HAP containing vehicle coatings. Would this also exempt you from the

other parts of the subpart, i.e., the MeCl requirements? A: No, this probably could have been stated better. Our intent was that the petition would exempt them from the requirements associated with that specific source category. Alternatively, if you are a shop that can show that you do not use HAP containing coatings in the vehicle painting, but you do use MeCl, does the fact that you use MeCl override the exemption that you could receive, and would you still be subject to all the provisions of the subpart – including those associated with the coating e.g., certified painters, filtered spray booths, HVLP guns or equivalent, non-atomized gun cleaning? The issue is whether each of the 3 activities and related GACT controls addressed in §63.11170 (a) can be considered separately, or (as the wording of the rule seems to indicate) if any of the three activities is occurring at your shop, are you subject to the entire rule’s provisions? We think the intent of the rule was to consider the different categories of practices (i.e., MeCl practices vs coating practices) separately. However, the wording of §63.11170 says “you are subject to this subpart if you … perform one or more of the activities in paragraphs (a) (1) through (a) (3) of this section.” Are we reading the wording correctly that if you are in for any of those 3, you are in for all of them? A: We intended the applicability and requirements for each source category to be distinct. 17. Where is the documentation for submitting to EPA? A: Typically companies that are subject to other hazardous air pollutant rules simply send a letter to the local or state air agency, or to EPA (depending on which has the authority for the rule), and conveys whatever information is necessary. Some states are developing templates that might be useful for those subject to the rule. Also, EPA has some example forms that can be found at: http://www.epa.gov/ttn/atw/area/arearules. html#imp.

18. What is a new facility? [move location, name change, owner change] A: According to the rule (§63.11171): • A new source i. Commenced construction after September 17, 2007 by installing new paint stripping or surface coating equipment AND ii. The new paint stripping and surface coating equipment is used at a facility that was not actively engaged in paint stripping and/or miscellaneous surface coating prior to September 17, 2007 iii. Note that if you purchase and install spray booths, enclosed spray gun cleaners, paint stripping equipment to reduce MeCl

54 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

emissions, or purchase new spray guns to comply with this rule at an existing source, these actions would not make your existing source a new source. • An existing source is a source that is not new or reconstructed (reconstructed sources are generally those that have replaced components to such an extent that the fixed capital cost of the new components exceeds 50% of the cost that would be required to construct a comparable new source and it is technologically and economically feasible for the reconstructed source to meet the relevant standards)

tent that the fixed capital cost of the new components exceeds 50% of the cost that would be required to construct a comparable new source and it is technologically and economically feasible for the reconstructed source to meet the relevant standards”

Is an existing source that is bought out by another company a new source? A: No, unless they “replace the components at the existing source to such an ex-

20. What does the phrase “records of any assessments of source compliance” mean in §63.11177(h)?

So is an existing source that moves to a new location a new source? A: No, unless they “replace components to such an extent that the fixed capital cost of the new components exceeds 50% of the cost that would be required to construct a comparable new source and it is technologically and economically feasible for the reconstructed source to meet the relevant standards”

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19. How does this rule apply to an individual company painting their own vehicles? A: There are two kinds of vehicles to be considered here. • If the vehicle that is to be painted is intended to remain at the facility indefinitely after refinishing (e.g., mining equipment, fork lifts, farm equipment) then that refinishing is considered to be part of the facility maintenance and is not subject to the rule. [§63.11180(a) (2) and §63.11180] • If the vehicle that is to be painted is one that does not stay at the facility indefinitely after refinishing (e.g., delivery trucks), the coating of that vehicle is subject to the rule.

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Diamond Standard Parts expedites safety parts certification

Diamond Standard (a U.S.-based manufacturer of high strength steel reinforcements, front steel bumpers, high density foam energy absorbers, full assembly step bumper systems and bumper brackets) has accelerated the time frame for full certification of safety parts. One or more worldwide recognized certification firms capable of ANSI standard writing and certification auditing and monitoring continuous part quality will be involved in the process. Diamond Standard, as a supplier of parts that replicate the safety and damageability characteristics of the OEM part, is considered to be the standard for safety and damageability. Diamond Standard parts are dynamically and destructively third party tested vs. OEM service parts with test results validated by former Crashworthiness experts from the National Highway Traffic Safety Administration (NHTSA). One of whom, Jim Hackney, co-authored “New Car Assessment-Five Star Crash Rating-Vehicle Safety Performance Characteristics.” As pointed out by Mike O’Neal, president of Diamond Standard and Reflexxion Automotive, “The presentation at CIC and industry alerts by Diamond Standard for five years show a problem exists

with safety parts from manufacturers who substitute both non-OEM material and parts manufacturing process to provide ‘replacement’ parts. It’s on the manufacturers, period. They provide zero backup test and material data to large and small distributors who rely on them to provide a comparable part.” The good news for the industry in light of the current developments is quality Diamond Standard Safety parts are available from Keystone locations nationwide (www.keystone-auto.com/locations.html). A special master data base for Diamond Standard parts has been filed with CCC and expansion to other estimating systems such as Audatex is imminent. The Diamond Standard policy on safety part replacement is OEM or Diamond Standard for the assurance that a repair using these safety parts will restore the collision management system to predamaged condition when properly installed. For more information, visit: www.diamondstandardparts.com.

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2010 ASRW Partnering Program Kicks-Off, Strong Industry Support

ASRW 2010 reports strong industry support for this year’s events via the ASRW Partnering Program (APP). The APP is designed to foster industry participation by partnering organizations supporting the many segments of the automotive service and repair industry. APP participants promote unified industry involvement, while strengthening their respective groups and memberships. The ASRW 2010 events will take place Oct. 10–13 at the Mandalay Bay Convention Center in Las Vegas (no longer during AAIW). ASRW is a stand-alone event specifically created for all automotive service and repair professionals, enabling even more industry segments to join under the umbrella. The high-quality educational program is scheduled Oct. 10-13, a Sunday through Wednesday day pattern; the comprehensive exhibits will be open from Oct. 11-13, Monday through Wednesday. ASRW currently features the International Autobody Congress & Exposition (NACE), sponsored by the Automotive Service Association (ASA), the only event of its kind designed for the collision repair Continued from Page 54

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A: Intended to be any documentation used by the source to determine whether they comply, and whether any changes have occurred over the previous year that may need to be reported.

21. How will enforcement agencies find those cash businesses that don’t have business licenses, etc? A: Typically those facilities will be found through complaints from neighbors, by employees who inquire about safety requirements, and by competitors who are concerned about the cost of unequal enforcement.

22. What are the penalties for not complying with the rule? A: The penalties depend on several fac-

professional; the Congress of Automotive Repair & Service (CARS), also sponsored by ASA, the premier event for automotive service professionals; as well as Auto Glass Week, dedicated to the automotive glass professional. “NABC has been a proud supporter of NACE and an active participant in the ASRW Partnering Program since its inception. Through the APP we are able to promote the event, attract new attendees, and grow our membership all at the same time,” says Chuck Sulkala, NABC executive director. “Our presence at NACE is vital and allows us the platform with which to highlight our community awareness project, NABC’s Recycled Rides – benefiting families and service organizations in need throughout the United States.” The ASRW Partnering Program is intended to grow ever-stronger by encompassing even more industry organizations and involvement. Should your organization wish to learn more about the advantages and be considered as a future APP participant, please contact Pamela Miller, APP facilitator, today at pmiller@hanleywood.com.

tors, such as the gravity of the offence, the economic benefit that the business gained by not complying, the company’s efforts to come into compliance, the size of the company, the actual or potential harm that the offence caused, how long the offence occurred, etc. Under the Clean Air Act EPA is allowed to assess penalties of up to $32,000 per day per violation. The implementing agency has discretion when assessing penalties. States have their own policies that guide penalties. EPA can still enforce if the state takes delegation, but we work together. EPA also has the option to pursue violations as criminal offences – generally if the offence involves intentional environmental crimes.

23. If paint contains Cr+3 rather than Cr+6, will that affect whether it is considered to contain the target HAPs? [A full answer still coming…]

Give us your opinion on matters affecting the industry.

write us! publisher@autobodynews.com

www.autobodynews.com | MARCH 2010 AUTOBODY NEWS 55


Opinions expressed are not necessarily those of the publisher.

California Autobody Association

davidm@calautobody.com

with David McClune

CAA Members Want “Safety Before Profit”

In a recent February 4th announcement, Executive Director, David McClune. the California Autobody Association “One member was quoted as stating (CAA) called on the California Attorney that “safety before profit” has to be the General’s office to research the affects of moniker of the collision repair industry. consumers receiving unsafe structural Those insurers that are still utilizing these safety parts in their repairs. This will be parts in question must put the consumer’s an on-going development as CAA assists safety first.” in their investigation. In the meantime, a number of insur“CAA and its members are very con- ance companies, including GEICO and Eswith John Yoswick cerned about the structural integrity of all urance, have issued statements regarding repairs. We are starting to get calls from the non-use of structural aftermarket safety members and asking questions about how items such as bumper reinforcements, the recent developments on safety parts are brackets, and core supports. This quick regoing to affect their business,” said CAA action from these insurers is exactly what

the industry is demanding and these insurers should be commended. We hope other insurers will follow these carriers lead to require OEM-only or recycled OEM for these types of safety parts. It has been the CAA’s position for years that there has been a lack of traceability and the repairer needs to have the ability to track these structural aftermarket safety parts in the event of a recall. In order to protect the consumer, we believe that a tracking mechanism is needed to identify these parts for the consumer’s benefit. Therefore, the CAA has put together

an upcoming Special Industry Project Meeting with other associations, insurers and other related parties that will focus on developing a way that collision repairers can track the usage of structural aftermarket safety parts and match these to the consumers repaired vehicle. These kind of standards should be mandated through legislation and CAA has been exploring legislation this year in California that would address these specific issues. Invitations are already being sent out on this Special Industry Project Meeting to all impacted parties.

izations that manufacture and supply these parts, accountable for the quality and safety of their product. The OEMs put a lot of money into research and development As a result of these studies, the Auto Body to ensure that the end product operates reParts Association (ABPA), who represents acts and sustains damage in very specific with Richard Steffen more than 150 manufacturers, distributors way. Any replacement part made available and suppliers of aftermarket crash parts, to the market should be required to have has taken what SCRS views as a responsi- that same expectation of performance.” ble first step, stating to their members that “This issue is concerning on so many if sufficient testing is not available they levels,” stated SCRS Executive Director recommend “discontinuation of the pro- Aaron Schulenburg. “Obviously our memduction and sale of these part types as well bers have to understand the liability implias immediate notification to the estimating cations they have when making critical systems to eliminate these parts from their repair decisions such as part selection. The database.” problem with many of these parts is that a These studies were performed after visual inspection at the shop level often receipt of concerns from various members’ can’t uncover significant differences, like with John Yoswick shops that there has been an increase in uti- material or alloy variances. We can’t visulization of these aftermarket structural re- ally see the difference in weight, or that placement parts in the claims settlement one part is .25 mm thinner than another; practices of certain insurance carriers. especially when the two aren’t side by side SCRS urges the collision repair industry to for comparison. It should also not be the understand the magnitude of this issue, and responsibility of the shop to make a deterto heed warning as well. SCRS recom- mination on which part is equivalent, or mends that collision repair professionals not. If it is not quality, if it is not safe, it use exceptional caution when performing shouldn’t even make its way to the market; repairs to consumers vehicles, and to only but they are. We have too many examples, use parts that will perform with the same even with current internal ‘quality assurexpectation of quality and safety, both ance programs’ in place, that they are with Karyn Hendricks upon installation, and for the life of the ve- being manufactured, sold, and utilized, dehicle. SCRS also recommends that repair spite not meeting the most basic of refacilities understand the liability associated quirements such as material composition.” with utilization of inferior parts, and to “Most importantly, there has to be a avoid being unduly influenced to utilize way to address the individuals who already any replacement part that has not under- have parts that have now been deemed ‘ingone credible independent testing to en- ferior’ on their vehicle. It is not enough to sure it meets quality and safety based accept that suppliers will deal with the standards. issue on case by case bases if, or when, withissue, David M.notBrown “This is a serious that has there is a problem. If the process and inreceived enough attention from the indus- frastructure are not in place, to support the try in the past,” reiterated Chess. “These ability to notify consumers when a probparts are critically affecting the structural lem has been identified, then we need to design of a vehicle in its post-repair state. significantly fix that infrastructure before I think the ABPA has shown their leader- more parts are sold. If there is a parts probship through their release, and we need to lem generated from the OEM, there is an hold their members, the people and organ- elaborate recall process in place. Every

consumer is notified and their vehicle is corrected. These critical safety parts should not be treated with any less urgency. This is an issue that requires a proactive solution, rather than reactive; the motoring public deserves more,” Schulenburg added. SCRS has made the presentations prepared by Chess available on their website at www.scrs.com. [Toby’s article on the subject can be read at www.autobodynews.com.] We encourage every mem-

ber of the industry to ensure you are familiarized with this issue. It is important for the repair industry to understand the subject matter, and it is also SCRS’ hope that the insurance industry will exhibit equal concern over the seriousness of an issue that impact both industries, and the customer base we each serve. This will continue to be an area of significant focus for the association in the upcoming year, and will continue to share information on the subject as it develops.

Year in Quotes

Continued from Page 1

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Insurance Council of Texas Says Auto Injuries Down The Insurance Council of Texas has reported that the number of people injured and killed in automobile accidents in Texas has continued to decline since 2003. Both fatalities and injuries are down more than 20 percent since the Texas Department of Transportation took over record keeping of state traffic reports seven years ago. Texas Department of Transportation statistics show the number of injury accidents and fatal accidents in the state have dropped in five of the last six years. A spokesman for the Insurance Institute for Highway Safety (IIHS) said Texas is following a national trend. “Nationally, crash rates have fallen to historic lows,” said Russ Rader at the IIHS. Safer vehicles and roads, higher safety belt use and, currently, the economy are contributing to the lower injury and fatality rates, according to the IIHS. Several new auto safety features not only minimize injuries in accidents, but help drivers in avoiding some collisions. More vehicles on the road today are equipped with electronic stability control systems that can help prevent loss of control and roll-overs. Other safety features on newer cars include side airbags, lane departure warnings, forward collision warnings and active head restraints.While crashes and injuries have gone down, auto insurance rates have remained stable in

Texas due to increased medical costs and the expense of repairing new vehicles, the ICT says. The National Association of Insurance Commissioner’s (NAIC) most recent report lists Texas as 19th among states in auto insurance premiums. The Texas Department of Transportation (TxDOT) defines a reportable motor vehicle traffic accident as any crash involving a motor vehicle on a road way, resulting in the injury or death of any person, or damage to the property of any one person to the extent of $1,000.

Oregon Posts Ratemaking Data

The Oregon Insurance Division will be giving consumers access to all of the data that regulators receive when evaluating rate change requests. The division posts insurers’ rate filings on a website and gives the public a chance to post comments. The Oregon division reviews rates for individual policies, plans for employers with 2–50 employees, and portability plans. The rate filings give information about what insurers spend on salaries, broker commissions, marketing and advertising, and other administrative expenses, officials say.

Alcohol-Related Teen Fatalities Drop in Oklahoma

have at least 40 hours behind the wheel, have no traffic convictions and have passed the driving skills examination. With the intermediate license, a 16-yearold can drive except during the hours between 11 p.m. and 5 a.m., or any time when accompanied by a licensed driver who is at least 21. At the age of 161/2, after six months with an intermediate license, teenagers can obtain unrestricted licenses if they have no convictions on their driving records. Without driver’s education, teens go through the graduated driver’s license phases but must wait a year longer before their intermediate license becomes an unrestricted license. Scott Watkins, Highway Safety Office director, said the study shows the law is having the intended effect. “This is great news for Oklahomans,’’ Watkins said. “Our goal is to make our roadways as safe as possible for people of all ages, and the statistics show that the graduated driver’s license is saving lives.’’ The new highway safety report shows that, from 2000 to 2008, 16- and 17-yearolds made up 3 percent of the licensed drivers in the state, but drivers from that age group accounted for 7.1 percent of the crashes reported in Oklahoma and were involved in 4.7 percent of fatal crashes. Source: The Oklahoman, newsok.com

Since the passage of Oklahoma’s graduated driver’s license law in 1999, the number of fatality crashes involving 16- and 17-year-old drivers has dropped from 75 in 2000 to a low of 39 in 2008. The numbers include wrecks that killed teens and others where a 16- or 17year-old was behind the wheel of at least one of the vehicles involved. Although the 2009 totals are not available, officials say preliminary data indicates there were 38 fatal crashes last year involving drivers ages 16 and 17, which would be a new low. “This is really good news,’’ said Alice Collinsworth, spokeswoman for the Oklahoma Highway Safety Office. “We’re very happy to see statistically that the GDL is having the effect of saving lives.’’ The total number of crashes involving 16and 17-year-old drivers dropped from 11,837 in 2000 to 7,597 in 2008, Collinsworth said. The data released this month involved a study of drivers ages 16 to 17 who were involved in crashes after the creation of the graduated driver’s license, which lawmakers passed in 1999 and amended and strengthened in 2005. The law as of 2005 allows 16-yearolds who have had a learner’s permit for six months to obtain an intermediate license, if they have passed a driver-education course,

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Continued from Page 48

Insulated Gloves

or watches, etc., potentially damaging the gloves.

Protective Leather Outers Insulated rubber gloves should be protected while being worn with protective leather outer gloves. OSHA excludes the limited use of Class 00 and Class 0 gloves from this requirement. That is because for most industries, these lighter gloves are used where high finger dexterity might be needed to handle small equipment and parts, and leather outers might be too bulky. For most work on hybrid vehicles, however, leather outers are highly recommended by the glove manufacturers and vehicle makers. The leather helps prevent catching the rubber gloves on sharp sheet metal parts and frayed wiring, possibly puncturing the rubber. The leather outers should be exclusive for this purpose. Do not use the leather outers as general use gloves. The leather outers should be sized and shaped so that the rubber glove is not deformed. The top of the cuff of the leather outer should be shorter than the rolled top of the insulated rubber glove by at least 13 mm (1/2 in).

The leather outers should be inspected just as often as inspection of the insulated rubber gloves. They should not have holes, tears, or other defects that affect their ability to give protection to the insulated rubber gloves. The inner surface of the leather outers should be inspected for sharp or pointed objects. Care should be taken to keep the outers away from oils, greases, chemicals, solvents, and other materials that may damage the insulated rubber gloves. This also goes for the insulated rubber gloves. Insulated rubber gloves are available from some manufacturers in kit form, which includes the leather outers and a canvas bag for storage. Testing at a Testing Facility Insulated rubber gloves are tested before being sold, but that’s not the last test. The gloves should be tested every six months by an official testing facility. Once the gloves are removed from the plastic bag they were shipped in, they start to deteriorate. So even if they are used only once, they will require retesting in six months time. If the gloves were purchased, but not put into use for several months, retesting may be required before the gloves are even used for the first time. OSHA states that the gloves may not be used if they haven’t been tested within the previous 12 months. Find the nearest testing facility by doing an Internet search for “glove testing.” The testing is not done differently de-

pending on the facility you find. The ASTM standard includes requirements that every testing facility must follow. The standard requires that the testing facility:

* wash the gloves. * do a preliminary inspection similar to what is done in the field. * do a more detailed inspection which includes turning them inside out and may include inflating them with air. * make any necessary repairs. * do an electrical test.

Note in the table in Figure 1 that the electrical retest is at a higher-rated voltage than the initial test. The gloves are electrically tested while filled with water and immersed in a water bath. The test voltage is applied between one and three continuous minutes. Once the testing is completed, the test facility may note the date of the test directly on the gloves. Employers are required to certify that the gloves have been tested in accordance with the OSHA requirements. This can be done by noting the results and dates of the test in a log, or by noting whether the test dates are printed on the gloves. The test facility we contacted does print the test dates directly on the gloves and maintains seven years of reports, which can be provided to the repair facility if ever needed.

Conclusion Class 0 insulated rubber gloves, or lineman’s gloves, are required whenever working near high voltage parts on an electric or hybrid electric vehicle. There are strict requirements for using, protecting, storing, inspecting, and testing of these gloves. If you are a technician assigned to do work on one of these vehicles, become familiar with the glove requirements. There are, of course, a lot more precautions that should be taken when working near high voltage parts on an electric or hybrid electric vehicle beyond just the insulated rubber gloves. The I-CAR course Electric And Electric Hybrid Vehicles (ALT01) discusses these safety precautions. Vehicle makers also provide safety training for hybrid vehicles. Toyota, for example, offers instructor-led training courses “Toyota Hybrid Collision Repair” and “Toyota Prius Collision Repair” at three training sites in the U.S. For more information on this training, visit www.crrtraining.com. We would like to give thanks to Kim Schneider, an independent electrical contractor based in Philadelphia, PA, for his assistance with alerting us to the multiple issues with these insulated rubber gloves.

www.autobodynews.com CHECK IT OUT!

58 MARCH 2010 AUTOBODY NEWS | www.autobodynews.com

ASA Urges Repairers to Contact Committee Members to Oppose Model Parts Act The National Conference of Insurance Legislators (NCOIL) Property and Casualty Insurance Committee Spring 2010 meetings will be held Friday, March 5, through Sunday, March 7 in Isle of Palms, SC. The Automotive Service Association (ASA) has asked repairers to contact state legislators who serve on this committee prior to the meetings regarding an aftermarket parts model act that is on NCOIL’s agenda. The Property-Casualty Insurance Committee meetings commence Friday morning. ASA asks repairers to contact committee members in opposition to the Model Act Regarding Motor Vehicle Crash Parts and Repair. This model act has several key provisions that are harmful to the automotive repair industry. These provisions include the current language on certified replacement crash parts and their equivalency to OEM parts, the lack of required written consent by the consumer for the use of replacement crash parts as well as other concerns and language in Section 6, Choice of Repair Facility. To contact your state legislators who are on the committee regarding this proposed NCOIL model act, please go to ASA’s legislative Web site at www.TakingTheHill.com. The letter is found in the

“Current Alerts” section. A list of state legislators serving on the committee follows:

Chair: Sen. Ruth Teichman, Kan. Co-Vice Chair: Sen. Jake Corman, PA. Co-Vice Chair: Rep. Steve Riggs, Ky. Rep. Kurt Olson, Alaska Assem. William Barclay, N.Y. Rep. Greg Wren, Ala. Assem. Nancy Calhoun, N.Y. Sen. Larry Teague, Ark. Sen. William J. Larkin Jr., N.Y. Sen. Joe Crisco, Conn. Sen. James Seward, N.Y. Rep. Perry Thurston Jr., Fla. Sen. Keith Faber, Ohio Rep. Rich Golick, Ga. Rep. Jay Hottinger, Ohio Sen. Vi Simpson, Ind. Rep. Robert Godshall, Pa. Rep. Ron Crimm, Ky. Rep. Brian Kennedy, R.I. Rep. Robert Damron, Ky. Sen. David Bates, R.I. Rep. Ted Edmonds, Ky. Rep. Charles Curtiss, Tenn. Rep. Chuck Kleckley, La. Rep. Craig Eiland, Texas Sen. Dan Morrish, La. Rep. Hubert Vo, Texas Rep. Marc Corriveau, Mich. Del. Harvey Morgan, Va. Sen. Alan Sanborn, Mich. Rep. Kathleen Keenan, Vt. Rep. Mike Colona, Mo. Rep. Virginia Milkey, Vt. Sen. Buck Clarke, Miss. Sen. Bob Dearing, Miss. Sen. Dean Kirby, Miss. Rep. George Keiser, N.D. Sen. Jerry Klein, N.D. Rep. Don Flanders, N.H. Sen. Carroll Leavell, N.M.

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