WE STEDITION
AUTOBODY AK / CA / HI / ID / MT / NV / OR / WA / WY
CAA Highlights Legal Changes in California Employment Minimum wage rises to $12-$13. California Autobody Association: “Reminder that effective January 1, 2020, the minimum wage for employers with 26 or more employees will increase to $13.00 per hour. The minimum wage for employers with 25 or fewer employees will increase to $12.00. (SB 3 of 2017) Local minimum wage may be higher.” The median pay in California for auto body repairers was $48,830 in May 2018, the last year with federal data available. That’s well above $12 or $13. However, 10 percent of repairers made $26,900, which works out a little more than $12.93
an hour. It’s possible other positions within the shop typically make less than what the Bureau of Labor Statistics classifies as auto body repairers. That means some folks in California shops ought to be seeing a raise — or demanding one now that pay that previously had been above minimum wage no longer is. More time to start sexual harassment prevention training CAA: “Extends the original compliance deadline associated with SB 1343 (passed in 2018), which requires all employers with five or more See CAA Highlights, Page 14
Owner of CARSTAR Allstar Collision in CA Named 2019 Citizen of the Year by Stacey Phillips
Dean Seif, owner of CARSTAR Allstar Collision in Corona, CA, was named the 2019 Citizen of the Year by the CORONA Chamber of Commerce. The local businessman and philanthropist was recognized on February 6 during an awards ceremony held at Eagle Glen Golf Club in Corona. This is the 109th year the chamber has recognized individuals and local businesses. “I was absolutely honored to receive the Citizen of the Year award by the CORONA Chamber of Commerce,” said Seif, who has been in-
volved with the chamber for the last 15 years. “I feel special.” Bobby Spiegel, president and CEO of the CORONA Chamber, said Seif has an excellent background in creating processes. “To open a business, it takes more than financial stability; it takes planning, organization and determination,” said Spiegel. “Seif’s business runs very smoothly, and customers continually brag about the quality of customer service and workmanship, the fair pricing, and excellent turnaround time for repairing their vehicles.”
AUTOBODYNEWS.COM Vol. 38 / Issue 3 / March 2020
WICRA: New Collision Repair Industry Association in Washington Seeks to Educate Shops and Fight Legislative Battles by Chasidy Rae Sisk
A new association serving the collision repair industry in Washington got its start in late 2019 and continues to move forward with its goals to improve the industry in the state. The Washington Independent Collision Repair Association (WICRA) “is comprised of body shops from throughout Washington state. Our members believe in building an industry-wide network and strong relationships with others to achieve greater consistency and safety in industry practices, and therefore great-
er trust from consumers. We encourage the support and participation of vendors to foster our mission,” according to the association’s website.
The association’s formation is the passion project of WICRA President Jeff Butler who was inspired by See WICRA in Washington, Page 16
CIC Subcommittees Offer Competing Suggestions on How to Deal With “Opt-OE” Parts by John Yoswick
Heated exchanges that erupted during the “Parts and Materials Committee” presentation at the Collision Industry Conference (CIC) in Las Vegas in November sounded “exactly what committee meetings feel like,” Aaron Schulenburg, committee co-chairman joked, and demonstrated, according to
See Citizen of the Year, Page 22
Ken Weiss said six definition labels his subcommittee defined help make clear the nuances among part types. Credit: John Yoswick
PERMIT #288 ANAHEIM, CA
PAID
Change Service Requested P.O. BOX 1516, CARLSBAD, CA 92018
PRESORTED STANDARD U.S. POSTAGE West_Issue_0320.indd 1
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co-chairman Ken Weiss, “why we ended up with two subcommittees.” The committee about a year ago inherited from another CIC committee the task of trying to resolve the is-
sue of a variety of types of parts being listed as “opt-OE” on parts platforms or estimates. Weiss and Schulenburg said the committee had been so polarized on the issue that they decided to break into two “more like-minded” work groups to each form a proposal on how to most clearly describe parts available in the marketplace for those making parts decisions. Weiss said his work group came up with six different categories of new parts that differentiate, for example, an “OEM dealer” part from the exact same part sold in the same packaging but outside the automaker’s dealer network (described by his sub-committee as an “OEM non-dealer” part). Two other of the six categories would differentiate a certified non-OEM part from one that is not certified. In between were two other categories for parts produced by the same manufacturers that produce the same parts for the vehicle manufacturer; Weiss’ subcommittee dubbed those as “Tier 1 OEM” parts if they bore the same branding as the See “Opt-OE” Parts, Page 34
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CONTENTS ASA Northwest’s 2020 ATE Features Dozens of Classes with Industry-Leading Instructors ���6 CAA Highlights Legal Changes in California Employment ���������������������������������������������������1 CARSTAR John’s Body Shop Opens in Poulsbo, WA ��������������������������������������������������10 Carvana Continues California Commitment ���������6 Central High Spotlights Benefits of Skilled Trades �����������������������������������������������11 Farmers Insurance Provides Support to Local Military Families in San Diego ��������������20 G & C Auto Body Donates Two Cars to Victims of Domestic Violence ������������������������32 Gary’s Auto Body Celebrates 40 Years With New Location ����������������������������������������12 Idaho Falls Woman Sentenced for Insurance Fraud ��������������������������������������������20 March 2020 Association Announcements ����������21 Owner of CARSTAR Allstar Collision in CA Named 2019 Citizen of the Year ����������������������1 WICRA Continues to Grow with February Meeting ��������������������������������������������������������18 WICRA: New Collision Repair Industry Association in Washington Seeks to Educate Shops and Fight Legislative Battles ����������������������������������1
Audi Recalls Vehicles Equipped with Takata Non-Azide Inflators ����������������������������66 Brandon Honda wins DealerRater’s 2020 Award ��������������������������������������������������64 CIC Subcommittees Offer Competing Suggestions on How to Deal With “Opt-OE” Parts ������������������������������������������������1 CIF Donation Helps Military Veteran Restore His Sense of Purpose After Retirement ����������58 CIF’s Campaign of Caring Gifts $10,000, Thanks Donors ����������������������������������������������24
Over $150,000 in Grants and Scholarships to Collision Students �������������������������������������21 Coronavirus Expected To Heavily Impact Global Car Industry ���������������������������������������62 CREF Invites Dealers to Become Part of the Solution with New Initiative ���������������������������64 Dave Luehr’s Next FREE Elite Webinar Series: “CCC ONE Estimating Features & Tips,” with Jason Kitchen of CCC ����������������������������66 Father and Son Win Maaco Cup Award ��������������31 FHD Repair Forum March 24th-25th Details ������49 From Prison to Collision: The Jabari Hayes Story ������������������������������������������������������������60 Gerber Collision & Glass Opens Repair Center
COLUMNISTS
How To Not Write Estimates ������������������������������30
Anderson - Understanding and Performing
Judge Weighs in on Emergency Motion �������������63
an Option ������������������������������������������������������40 Attanasio - Automotive Artwork Adds Class to Your Waiting Room ������������������������������������50 Ledoux - The 1980’s – The Evolution of the “Patch Panel” ������������������������������������������52 Sisk - ASA Webinar Wednesday: Would You
industry advocacy and development manager, DRIVE, serves as past chair. Joining the board of directors for a three-year term are: Michael Williams from Daimler Trucks North America, Rick Hill from FCA and Chris Chartron from Toyota Motor Sales. Other directors include Colin Duncan from Great Dane and Rob Morrell from WORLDPAC. Transitioning off the board after valued service are Ron Kato from Toyota Motor Sales and Jim Boyd from Southeastern Freight Lines.
Collision Repair Education Foundation Offering
in CO ������������������������������������������������������������28
Required Test Drive Procedures Isn’t
The ASE Training Managers Council (ATMC) has announced the new officers and members for its 2020 board of directors. The new chair is Laura Lyons, president and CEO, ATech Training; vice chair is Glenn Dahl, manager–technical development, Bridgestone Retail Operations; treasurer is Josh McFarlin, vice president of strategic business operations, AirPro Diagnostics and secretary is Tim Zilke, president and CEO, National Institute for Automotive Service Excellence (ASE). Jim Goepfrich,
Leading the Ethical Revolution in the
INDEX OF ADVERTISERS
REGIONAL
ATMC Announces New Officers for 2020
Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Contributing Writers: John Yoswick, Janet Chaney, Toby Chess, Ed Attanasio, Chasidy Sisk, David Luehr, Stacey Phillips, Victoria Antonelli, Gary Ledoux Advertising Sales: Joe Momber, Bill Doyle, Norman Morano, Kelly Hall (800) 699-8251 Office Manager: Louise Tedesco Digital Marketing Manager: Bill Pierce Art Director: Rodolfo Garcia Graphic Designer: Vicki Sitarz Accounting Manager: Heather Priddy Editorial/Sales Assistant: Randi Scholtes Office Assistant: Dianne Pray
Serving Alaska, California, Hawaii, Idaho, Montana, Nevada, Oregon, Washington and Wyoming. Autobody News is a monthly publication for the collision industry. Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher. ©2020 Adamantine Media LLC. Autobody News P.O. Box 1516 Carlsbad, CA 92018 (800) 699-8251 (760) 603-3229 Fax www.autobodynews.com editor@autobodynews.com
Audi Wholesale Parts Dealers �������������������������� 65
Kia Downtown Los Angeles ����������������������������� 46
AutoNation Collision Parts ������������������������������� 17
Kia Motors Wholesale Parts Dealers �����������54-55
AutoNation Roseville ��������������������������������������8-9
Kia of Carson �������������������������������������������������� 50
AutoNation South Bay Wholesale �������������������� 41
Kia of Irvine ���������������������������������������������������� 30
Axalta Coating Systems ���������������������������������� 11
Larry H. Miller Chrysler-Jeep-Dodge-Ram ��������� 6
BASF Corporation ������������������������������������������� 23
Launch Tech USA ������������������������������������������� 71
BMW Wholesale Parts Dealers ������������������������ 69
LKQ Corporation ����������������������������������������������� 2
Car-O-Liner ���������������������������������������������������� 19
Lusid-General ������������������������������������������������� 15
Car Pros Kia ���������������������������������������������������� 38
Malco ������������������������������������������������������������� 21
Car Pros Kia Renton ���������������������������������������� 56
Matrix Automotive Finishes ������������������������������� 5
CARSTAR �������������������������������������������������������� 27
Mazda Wholesale Parts Dealers ���������������������� 68
Collision Repair Industry �������������������������������38
Certified Automotive Parts Association ������������ 26
Mercedes-Benz Wholesale Parts Dealers �������� 62
More Bad News at Nissan ���������������������������������69
Classifieds ������������������������������������������������������ 70
MINI Wholesale Parts Dealers �������������������������� 69
Rivian’s Partnership with Ford will Bring
Colortone Automotive Paints ��������������������������� 34
Montipower Americas, Inc ������������������������������� 14
Courtesy Chevrolet San Diego ������������������������� 40
MOPAR Wholesale Parts Dealers ��������������������� 39
Cutter Chrysler-Dodge-Jeep-Ram ������������������� 32
Moss Bros. Chrysler-Jeep-Dodge �������������������� 35
DCH Auto Group Temecula ������������������������������ 20
Motor Guard Corporation ��������������������������������� 16
Lincoln its First Luxury Electric Vehicle ������������4 Symach to Develop New UVA-LEDtronic Technology ���������������������������������������������������22
Downtown Motors of LA (Audi, VW) ����������������� 48
Nissan/Infiniti Wholesale Parts Dealers ������������ 61
Eckler’s Automotive ���������������������������������������� 43
Porsche Wholesale Parts Dealers �������������������� 63
Production On Feb. 10 As Government
ECS Automotive Concepts ������������������������������� 18
PPG Refinish ��������������������������������������������������� 13
Steps In To Aid ����������������������������������������������68
Enterprise Rent-A-Car ������������������������������������� 52
Prime Auto Center ������������������������������������������� 22
Equalizer Industries, Inc. ��������������������������������� 42
SATA Dan-Am Company ���������������������������������� 33
First Auto Group ���������������������������������������������� 24
Sierra Chevrolet-Honda-Subaru ���������������������� 49
Ford Wholesale Parts Dealers �������������������������� 59
Spanesi Americas ������������������������������������������� 10
Frank Subaru �������������������������������������������������� 44
Steck Manufacturing Company ������������������������� 6
Universal Technical Institute’s Core Automotive
Galpin Motors ������������������������������������������������� 51
Subaru Wholesale Parts Dealers ���������������������� 57
That’s It! He’s Had it! Part 2 ������������������������������18
Program Outfitted With Volvo’s Advanced
Garden Grove Kia �������������������������������������������� 30
Sunmight USA Corporation ������������������������������ 47
Allstate Asks Court to Deny Latest Motion
and Electrified Vehicles ���������������������������������68
Glenn E. Thomas Dodge-Chrysler-Jeep ����������� 29
Symach ���������������������������������������������������������� 12
GM Wholesale Parts Dealers ��������������������������� 67
Tacoma Dodge-Chrysler-Jeep-Ram ���������������� 25
Honda-Acura Wholesale Parts Dealers �������36-37
The Bay Area Automotive Group ���������������������� 53
Hyundai Wholesale Parts Dealers �������������������� 66
Vintage Flatz/Cumberland Products ���������������� 31
Industrial Finishes and Systems ������������������ 7, 72
Volkswagen Wholesale Parts Dealers �������������� 60
Innovative Tools & Technologies, Inc ���������������� 45
Volvo Wholesale Parts Dealers ������������������������ 69
Take a Job for $200 an Hour? �����������������������42 Solving the Tech Shortage: Hawaiian Technical School Instructor Helps Train Technicians
Tesla China To Resume Giga Shanghai
of the Future �������������������������������������������������46
Tesla’s Focus on Batteries is Being Proven
That’s It! He’s Had it! Part 2 ������������������������������44
Right, and Other Carmakers are Paying the Price ���������������������������������������������������������4
NATIONAL
to Compel �����������������������������������������������������64 Amazon’s First-Ever Electric-Powered Delivery Fleet Set for 2021 Launch ���������������66 ASE Announces New Officers for 2020 ��������������10 ATMC Announces New Officers for 2020 �������������3
Will Our Children Ever Learn How to Drive a Car? ��������������������������������������������������62 WIN Calls for Board of Director Candidates �������24 WIN Opens Registration for 2020 WIN Educational Conference ��������������������������������57
Kearny Mesa Subaru-Hyundai ������������������������� 28 autobodynews.com / MARCH 2020 AUTOBODY NEWS 3
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Rivian’s Partnership with Ford will Bring Lincoln its First Luxury Electric Vehicle by Joey Klender
Rivian has teamed up with Ford to develop and produce an electric vehicle for Lincoln: Ford’s luxury brand that has produced comfortable and stylish sedans and SUVs since 1917.
Rivian R1T in Blue. CREDIT: Revian
The vehicle will be Lincoln’s first attempt at an all-electric car, but not its first attempt at battery-operation in its vehicles. Lincoln has manufactured two plug-in hybrid SUVs in the past and is aiming to take on a project that would create a vehicle that would not operate on petrol-based products.
The vehicle will be manufactured on Rivian’s “skateboard” platform that is comprised of the Lithium-ion batteries being packed in the car’s floor. Rivian will produce the skateboard design at its plant in Normal, Illinois. However, neither company would confirm if the Lincoln EV would be produced in a Rivian or Ford factory. Ford has broken into the electric car market by producing a number of its own battery electric vehicles (BEV). The company stated in March 2018 that it would be creating 16 electric vehicles and 40 electrified vehicles by the end of 2022. After unveiling its F-150 EV in July and the Mach-E in November, Ford seemed to be transitioning its product line toward more sustainable options. However, the company decided to put a hefty $500 million investment into Rivian. When Ford joined forces
with the Plymouth, Michigan-based electric car maker, they stated the companies would work jointly to produce an electric car. Rivian CEO RJ
Scaringe stated the partnership would help move the world toward environmentally-friendly modes of transportation. “This strategic partnership marks another key milestone in our drive to accelerate the transition to sustainable mobility. Ford has a long-standing commitment to sustainability, with Bill Ford being one of the industry’s earliest advocates, and we are excited to use our technology to get more electric vehicles on the road,” Scaringe said in a company press release. Ford is not the only large company to inject a large sum of money into Rivian’s future plans to produce sustainable electric cars. Amazon decided to contribute with a $700 million investment into the company,
along with the purchase of 100,000 electric vans that will eventually deliver the company’s packages. In the company’s most recent investment round, Rivian rallied a total of $1.3 billion in total investments. The partnership between Ford and Rivi-
an will do what RJ Scaringe intends it to do: accelerate the transition to sustainable forms of transportation. While Tesla continues to hold a sizeable lead in the electric vehicle sector on the heels of its Q4 2019 earnings call, Rivian seems to be gaining some momentum through the support of some of the world’s biggest companies. We thank Teslarati for reprint permission.
Tesla’s Focus on Batteries is Being Proven Right, and Other Carmakers are Paying the Price by Simon Alvarez, Teslarati
As more and more automakers begin the transition to electric vehicles, it is becoming increasingly apparent that Tesla’s intense focus on batteries was right all along. Tesla’s strategies have always been criticized and examined under a microscope, and the company’s decision to build Giga Nevada, a facility dedicated to battery production for the Model 3, was no exception. But as veteran automakers like Jaguar and Mercedes-Benz are now finding out, investing tons of effort and resources on batteries matters a lot. Tesla is among the industry’s most vertically-integrated companies. Similar to Apple’s consumer electronics and SpaceX’s rockets, most of what goes inside a Tesla electric car is designed and built in-house. Tesla is so serious about this; the company actually made its own seats. The same is true for the electronics that goes inside every Tesla. They are so different and superior to off-the-shelf components that teardown expert Sandy Munro compared them to the electronics of
a literal fighter jet. A lot of Tesla’s resources are dedicated to its battery improvements. Teslas stand tall among their rivals in the EV marketplace today primarily due to their efficiency and range, and this is made possible by the company’s battery tech. The company is not showing any signs of stopping too. Tesla has acquired several companies that could further improve its batteries, such as Maxwell Technologies and Hibar Systems. The electric car maker is even looking to produce its own batteries, with reports indicating that work is already underway to develop custom cells for Tesla’s next generation of vehicles and products. It’s a difficult pill to swallow, but veteran automakers have reached a point where they must honestly admit that when it comes to batteries, Tesla has a notable lead. The very representation for this idea is the Porsche Taycan, an otherwise excellent high-performance electric vehicle whose ~200-mile EPA range is an Achilles Heel. Porsche, similar to other EV makers, opted for off-theshelf batteries for the Taycan, and it
shows. The car performs beautifully, and it’s arguably the only EV that can beat a Model S fair and square in a race, but it simply does not have the range or the efficiency to beat Tesla’s flagship sedan on all metrics. It’s not just about the battery tech and specific cell chemistries either. Over the years, Tesla also had the foresight to secure ample battery supply for its vehicles and products. From Panasonic, which has been Tesla’s partner since its early days, to CATL, which is the company’s partner for Giga Shanghai, the electric car maker has made careful preparations to ensure that its vehicles and products will always have enough batteries. Other EV makers are not as fortunate. This is one of the reasons why the Jaguar I-PACE, one of the most decorated vehicles in modern auto history, actually stopped production for a week. Just like the Taycan, the I-PACE is actually a pretty decent EV, with its plush interior and aggressive exterior. But behind the I-PACE’s looks lies off-the-shelf batteries that are also used by other companies. This meant that when LG
Chem could not supply enough cells for the vehicle, Jaguar had no choice but to stop the vehicle’s production temporarily. The Mercedes-Benz EQC is in the same boat. Once deemed as a potential “Tesla Killer,” the EQC’s production target for 2020 was halved by the German automaker from 60,000 vehicles to just 30,000 units. The reason was something that is pretty familiar: Daimler just could not secure enough batteries. Even companies like Dyson and Aston Martin, both of which had plans to make EVs, eventually suspended their efforts to enter the electric car market. Tesla is not a perfect company by any means. CEO Elon Musk would be the first to admit that the company has made many mistakes over the years. But for all its delays and production issues, there is very little that can be criticized about Tesla when it comes to its batteries and the company’s foresight in improving them and securing their supply for years to come. We thank Teslarati for reprint permission.
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ASA Northwest’s 2020 ATE Features Dozens of Classes with Industry-Leading Instructors by Chasidy Rae Sisk
On March 27-29, ASA Northwest will host its 2020 Automotive Training Expo (ATE) at the DoubleTree Hotel in Seatac, WA. “The most exciting thing is seeing members come together. We have 25 volunteers that help put this event together; our volunteers are the ones who make it all happen, and it’s exciting to watch them come together from all over the state as a family,” Jeff Lovell, President and Executive Director of ASA Northwest, said. He urged, “Get inspired, get motivated & get informed! This is your chance to experience top industry-leading trainers speak on great topics that are not only relevant to our industry and today’s economy but inspiration too. Don’t miss out!” Friday’s 26 educational seminars will include presentations on sales, ADAS, time management, digital inspections, and more. Friday’s lunch keynote presenter Scott Brown will discuss his early technical challenges and how his drive for knowledge and information has helped him develop a successful au-
tomotive career in “The 2nd Derivative.” All ASA members are encouraged to attend the annual Educators’ meeting from 4-5 p.m. where they can meet shop instructors in their local area and learn about updates in NATEF, ASE and AYES. ASA Northwest also hopes to use the op-
portunity to encourage shop owners to open up lines of communication with local tech schools and colleges. Lovell stressed, “With the current shortage of techs and skilled workers, it’s important that we all network and support one another in order to help grow technicians required to fill the needs of our industry.” An additional 26 educational seminars will be available on Sat-
urday, beginning with a breakfast keynote with Dave Schedin, sponsored by CompuTrek, about personal growth. Other topics offered include the aging technician population, adopting technology, phone skills, and a variety of technical training. The final half-day of ATE 2020 will include 11 informational opportunities, including “Converting Price Shoppers to Loyal Customers,” “New Employment Laws and Safety Programs,” and more. Some of the industry’s best presenters will be in attendance at ASA Northwest’s 2020 ATE to share their wealth of knowledge with industry professionals who participate. These include Cecil Bullard of WorldPac Training Institute, Maylan Newton of ESi, John Burkhauser from BOLT ON TECHNOLOGIES, ATI’s Matt Winslow, WorldPac’s John Thornton, Bruce McDowell from Technician Academy, Bosch’s Karl Schneider, Greg Marchand of Advance Professional, RepairPal’s Jill Trotta, and other automotive and collision repair industry leaders. In addition to offering over 60
management and technical courses form the industry’s leading instructors, the expo will feature over 50 vendors, complimentary hors d’oeuvres and a no-host bar, and access to the industry’s foremost consultants, products and suppliers. The expo floor will be open on Friday evening from 4 p.m. until 8 p.m. with hands-on demonstrations of the industry’s latest cutting-edge products and the most recent “best in breed” technologies. Over 60 exhibitors have already registered to attend, including ALLDATA, Bolt On Technology, Hunter Engineering, Jasper Engines and Transmissions, Kukui Corporation, LKQ, NASTF, RepairPal, WORLDPAC and dozens of other industry companies. The all-inclusive package costs just $435 for ASA members or $525 for non-members. Educators can receive a discounted package. To register for ASA Northwest’s 2019 ATE or to obtain more information, visit ATETrainingExpo.com or call 877257-2100. For more information on ASA Northwest, visit asanorthwest. com.
Carvana Continues California Commitment Ernie Garcia says that as Carvana continues expanding rapidly from coast to coast, growing its reach in California is a crucial part of that effort. Garcia
CREDIT: Carvana
is founder and chief executive officer for used-vehicle e-commerce platform Carvana, and the company on Friday said it launched its as-soon-as-nextday vehicle delivery to Chico and Yuba City, CA-area residents. On Thursday, the company said it launched in Hanford, which is located in California’s central valley. With the two announcements, Carvana now offers assoon-as-next-day vehicle delivery in 158 markets across the United States. We thank Auto Remarketing for reprint permission. 6 MARCH 2020 AUTOBODY NEWS / autobodynews.com
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CARSTAR John’s Body Shop Opens in Poulsbo, WA CARSTAR, North America’s largest multi-store network of independently owned collision repair facilities, announced the opening of CARSTAR John’s Body Shop, located at 5795 NE Minder Road, Poulsbo, WA 98370.
The facility opened as John’s Bodyworks in 1978 by John Ball. John’s nephew Joel Hanson grew up in this repair center, which sparked his interest for collision repair. As a body technician from 18 onwards, at various facilities in the area, Joel and his partner Emily Swain were
proud to take on this family shop in 2016, and make significant updates to its operations. “We were excited to reinvest into the business to ensure we were equipped with everything needed for modern collision repairs,” says Emily Swain, owner, CARSTAR John’s Body Shop. “Joining CARSTAR was a part of that and we did a lot of research to ensure this would be the right fit. After talking with existing owners and visiting other facilities, we felt like it was a perfect fit.” CARSTAR John’s Body Shop is an 8,400 square foot facility, with the same fantastic and longstanding team. Working towards earning their I-CAR Gold certification, the industry’s highest role-relevant training achievement, the team also has goals to earn OEM certifications relevant for their market. “We know how personal this business is for owners like Joel, because it has spanned across gen-
erations,” says Dean Fisher, president, CARSTAR. “That is why the comradery amongst our owners is like a family and we work hard to create opportunities for franchise partners to build on these relationships. Events like our EDGE Performance Groups, MSO meetings, growth events and our annual North American conference allow our CARSTAR family to learn from one another.” Excited about this new journey, the team at CARSTAR John’s Body Shop is looking forward to taking advantage of the new resources in CARSTAR to provide Poulsbo with premier collision repairs. Please join us in celebrating the opening of CARSTAR John’s Body Shop! CARSTAR John’s Body Shop 5795 NE Minder Road, Poulsbo, WA 98370 (360) 779-2938 Monday to Friday: 8AM – 5PM For more information on CARSTAR visit CARSTAR.com
ASE Announces New Officers for 2020 The National Institute for Automotive Service Excellence (ASE) has announced the officers for its 2020 board of directors. The new chair is Bobby Bassett, North American national training manager, Gates Corporation. Mark Polke, manager of sales and consulting, Bosch Workshop Concepts, North America, Robert Bosch LLC, is vice chair; Brad Pellman, president, Pellman's Automotive in Boulder, Colorado, is treasurer; and Glen Nicholson, senior director, learning and development, TBC, is secretary. Tom Trisdale, vice president, quality, Toyota, serves as past chair. Also announced were newly elected board members. Tom Palermo of Preferred Automotive Specialists begins a term on the board of directors, while Jason Rainey of the NAPA AutoCare Program will serve on the board of governors. Stepping down as their terms expire are Annette Sykora, Jamie Bulli, Mike Phillips and Rafael Garcia.
10 MARCH 2020 AUTOBODY NEWS / autobodynews.com
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Central High Spotlights Benefits of Skilled Trades by Kathryn Palmer
Standing behind a blue curtain wearing a black welder’s mask, Ryland Rimmasch is already training for a career that pays more than some of his teachers at Central High make. “I like working with my hands,” Rimmasch said, as he showed a few middle-schoolers how to fire up a welding torch. He’s a member of Central’s SkillsUSA chapter, which hosted the first career and technical education open house Wednesday night. In addition to opening up the welding shop, Rimmasch joined other students in demonstrating what goes on in the fully outfitted woodworking, construction, engineering technology, auto body and agriculture shops at Central. Many of the students who take classes in those shops are, like Rimmasch, members of SkillsUSA, which is a national organization that partners with students, educators and industry leaders to prepare students with “personal, workplace and technical skills.” The chapter’s approximately 30 members saw Wednes-
day’s open house as an opportunity to get the word out to other students about viable career paths outside of a four-year college degree. “Sometimes we have focused on our college-bound students to the detriment of our skilled trades,” Michelle Aldrich, state director of career and technical education, said, noting Wyoming’s high need for skilled tradespeople in fields like construction and agriculture. “I think there’s a resurgence, especially among millennials, of looking at skilled trades and labor as an opportunity of making a great living without incurring student debt.” That’s one of the advantages Rimmasch, who prefers his three welding classes to his more traditional classes, sees in pursuing a welding career. “It’s interactive. There’s just so much to learn,” he said. He took his first technical education class freshman year and already has a few different levels of welding certification. Next year, he plans to attend Laramie County Community College’s welding program – partly with scholarship money he won at a local welding competition.
As of 2019, he’d also be able to tap into funds from the Hathaway Scholarship. Last year, the state Legislature added career and technical education pathways to the scholarship’s parameters. But not every student is flocking to career and technical education courses like Rimmasch. During the 2017-18 school year, 19% fewer high school students – and nearly 14% fewer post-secondary students – considered CTE concentrators than in 2012-13, according to federal data. “A lot of students don’t know what a welder looks like. They don’t know that’s a career you can go into,” said Kayla Ketterling, president of Wyoming’s SkillsUSA chapter. Ketterling, whose older brother introduced her to technical engineering a few years ago, didn’t “have any idea about welding” until recently, when she enrolled in a course at Central. She’s always liked academics and sees herself going to a four-year college. But the more she’s learning about welding, the more appealing getting a two-year welding degree is becoming.
That’s part of the reason why she spearheaded the organization of Wednesday’s open house. She wants to expose more kids to technical careers at an earlier age so they “don’t have that image that they have to get a four-year business degree to be something.” But getting kids interested in technical careers is only part of the solution in Wyoming. Ketterling’s teacher, Brian Stevenson, has taught technical engineering classes for more than 30 years. He said the upsurge in the state’s need for skilled labor during the past 10-15 years is undeniable, but so is the skills drain. “A lot of my students don’t stay in Wyoming. They’re crossing the border into Colorado because there’s more opportunities to work in manufacturing and the tech industry there,” he said. “Wyoming tends to put a lot of emphasis on coal and fuel, and not on technology and manufacturing,” Stevenson added. “You have to promote that if you want people to stay.” We thank Wyoming Tribune Eagle for reprint permission.
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Gary’s Auto Body Celebrates 40 Years With New Location A fixture in the Lovell business community is celebrating its 40th anniversary this year with a new location that has more than doubled the capacity of the former operation. Gary’s Auto Body relocated from its longtime location on Road 11 southwest of Lovell to 455 Pennsylvania Ave. in Lovell, the site of the former Woodcraft Cabinets and Fixtures business. Gary Jolley started Gary’s Auto Body in 1980, having worked for Keith Grant at Midway Motors for a few years. Wife Julie did the books, and all of the kids chipped in over the years. “All of my boys helped me all the way through, the girls, too, for that matter,” Gary said. “They all know how to work, I’ll tell ya.” The sixth of Gary and Julie’s seven kids, Danny Jolley, now runs Gary’s Auto Body, though Gary is still a part of the operation. Though he has run the business since 2003, he said it feels like it’s always been a part of his life. “I always liked to play like I ran the business,” he said. “I would even make estimates. Bryan (brother) and I would mess around painting bikes and tinkering.” “My kids had to build their own vehicles to drive,” Gary added. Danny admitted he was sometimes more “headache than help” as a kid “helping” his dad in the shop, like the time he helped straighten brand new headlight covers for a Corvette — with a hammer. “In my mind they were the old ones,” he said. Danny Jolley, a two-time state wrestling champion, graduated from Lovell High School in 1999. After a year of welding school at Northwest College, he worked a variety of jobs – Carquest, Bentonite Corp., GK Construction – until the opportunity to take over the family business came along. “I was at the point where I had to get out of it,” Gary said. “The paint affected my lungs, and I had asthma.” Danny took the reins of the business on June 1, 2003, and as he took over the shop, Gary and Julie moved to St. George, Utah – briefly. “We stayed there about seven weeks,” Gary said. “Julie had Pryor
Mountain Syndrome (the yearning to come home).” Gary worked for Minchow’s Service, 4N Trucking and for sons Bryan and Gary Lee, moving to Billings to help with Gary Lee’s hydro-excavating business while.
Over the next several weeks Danny made a number of upgrades to the building including electrical work, a new heating system, interior paint, a new air compressor and a brand new paint booth that has tremendously reduced the drying time for paint jobs. “I wanted to go big on the paint booth,” he said. “A standard booth is 26 feet long, and this one is 31 feet. It’s probably the biggest booth in the Big Horn Basin; I almost guarantee it. It has a 1.5 million BTU heater that has sped up our turnaround time by 40 to 50 percent.” Gary’s Auto Body moved to Pennsylvania Avenue in Posing in front of the new paint booth at Gary’s Auto Body March of 2019, and while he are (l-r) Alex Nicholson, Brian Crawford, owner Danny misses being right next door Jolley and founder Gary Jolley. CREDIT: David Peck to his home, Danny said the Julie worked for TSA at the move to the new building has been Billings Logan Airport. great for business. Later, Danny asked his dad if he The original location on Road would come in and help him a little, 11, even with additions, was around because he had gotten a little behind 2,200 square feet, Danny said. The on some jobs. new location is 9,550 square feet “He’s been here ever since, about six years,” Danny said, though he noted that Gary still avoids the paint booth. The original body shop was about 1,200 square feet, a 30 by 40 building. He said the family added on to “try to make it work and have enough room,” and one bay was designated as a paint booth. He installed new lights and a new heat system, but the shop was always limited on space. In the summer, he would even work on cars outside. “I’d been thinking about a new building out there for a while, and I’d also been looking in town. I searched in town up one side and down the other,” Danny said. “Then the hailstorm hit, and we had so much work we couldn’t keep up. We were up until 7, 8 or 9 at night.” Danny said he had talked to Jacob Hatch about the Woodcraft building in 2017 but couldn’t come to an agreement at that time. After the July of 2018 hailstorm, he approached Hatch again in August of that year and after some negotiation the two came to an agreement and Danny purchased the building in December of 2018.
including 7,700 square feet of shop space. He has more that doubled his capacity and has added two new employees with Brian Crawford and Alex Nicholson. One of the best things about the greater capacity is the ability to simply get more done, he said, and his eventual goal is to become so efficient that he can spend more time with his family. For instance, he used to be able to do about three to five jobs in a week, and now he can do four to eight. And with the extra space, there can be up to 12 vehicles in the shop at a time, if needed, he said, whereas only three vehicles could fit in the former shop at one time. Right now, Gary’s Auto Body is operating Monday through Thursday, 8 a.m. to 5 p.m. and Friday 8 to 3, but he would love to operate four days a week. “We’re grateful to the community for their loyalty,” Danny said. “People have been patient (during the hail repairs). It’s been great. The community has been patient and See Gary’s Auto Body, Page 22
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CAA Highlights employees to provide two hours of sexual harassment training from January 1, 2020 to January 1, 2021. (SB 778)” Supervisors need at least two hours of training, and nonsupervisors need at least an hour by Jan. 1, 2021. Any new hires must get that training within six months. Everyone trained must repeat the process every two years at least after that. The training includes: The training may be completed by employees individually or as part of a group presentation, and may be completed in shorter segments, as long as the applicable hourly total requirement is met. An employer who has provided this training and education to an employee in 2019 is not required to provide refresher training and education again until two years thereafter. The training and education required by this section shall include information and practical guidance regarding the federal and state statutory provisions concerning the prohibition
against and the prevention and correction of sexual harassment and the remedies available to victims of sexual harassment in employment. The training and education shall also include practical examples aimed at instructing supervisors in the prevention of harassment, discrimination, and retaliation, and shall be presented by trainers or educators with knowledge and expertise in the prevention of harassment, discrimination, and retaliation. The department shall provide a method for employees who have completed the training to save electronically and print a certificate of completion. (b) An employer shall also include prevention of abusive conduct as a component of the training and education specified in subdivision (a). (c) An employer shall also provide training inclusive of harassment based on gender identity, gender expression, and sexual orientation as a component of the training and education specified in subdivision (a). The training and education shall include practical examples inclusive of harassment based on gender identity, gender expression, and
sexual orientation, and shall be presented by trainers or educators with knowledge and expertise in those areas. Are you an employee? CAA: “This new law provides factors of the “ABC” test, as specified, to determine the status of workers as employee or independent contractor. The law also provides an exemption between business-to-business provided that vendor meets the specified independent contractor criteria. (AB 5)” The law generally defines an employee as everyone who doesn’t meet all three of these criteria: (A) The person is free from the control and direction of the hiring entity in connection with the performance of the work, both under the contract for the performance of the work and in fact. (B) The person performs work that is outside the usual course of the hiring entity’s business. (C) The person is customarily engaged in an independently established trade, occupation, or business of the same nature as that involved in the work performed.
CAA had concerns, but noted, “The bill was amended to provide an exemption between business to business, which would include automotive repair shops conducting sublet repairs with third party vendors, provided that vendor meets the specified independent contractor criteria.” More time to file workplace complaints CAA: “This new law extends the deadline to file an allegation of unlawful workplace harassment, discrimination, or civil rights-related retaliation under the Fair Employment and Housing Act from one year to three years. (AB 9)” No forcing arbitration on employees CAA: “This new law, among other things, prohibits employers from requiring employees or applicants to waive any right, forum, or procedure for a violation of the Fair Employment and Housing Act or the Labor Code as a condition of employment. (AB 51). Also, SB 707 requires the employer (for an employment-related arbitration agreement) to pay for See CAA Highlights, Page 26
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WICRA in Washington the difference other industry associations made in their respective markets. He shared, “I’ve been interested in starting an association for years but couldn’t really get any traction in convincing other shop owners to take action, so I started talking to association directors around the country about what an impact their organizations have made on their local industries.” Eager to generate the same results in Washington, Butler “took it upon myself to process the legalities and create a structure for the organization. I also petitioned legislators regarding the Automobile Insurance Act of 2020. After obtaining support from Representative [Steve] Kirby (D-Tacoma), I took that progress to shop owners, and that became the motivation for our current board of directors to join the association.” Among the shop owners with analogous values Butler contacted, he sought out Marc Gabbard to serve as WICRA’s Vice President because “his business philosophy had similarities to mine,” Butler said. Gabbard, who runs the popular Collision Repair Technicians United group on Facebook, is very interested in bringing invaluable educational opportunities to the local industry. “As we bring in new members, we are encouraging them to focus on education,” Gabbard said. “WICRA plans to host training with industry leaders and possibly even web-based classes – we want to bring value and educational opportunities to the shops who join the association as we strive to elevate our local industry.” WICRA will also be engaged with legislative reform and consumer protection advocacy at the state level. According to the group’s website, “The Washington Independent Collision Repairer’s Association (WICRA) is the first Auto Body Trade Association in the state of Washington. We represent the interests of our members — automotive professionals and businesses throughout all of Washington — and aim to support the collision repair www.autobodynews.com
industry in our state. Through legislative efforts, we foster the growth and improvement of the automotive collision industry. We strive to create a legal environment in which body shops and consumers can offer and access proper and safe vehicle repairs.” “The problem is that insurance regulations aren’t enforced,” Butler explained. “The law requires automotive insurance, but there are no consumer protections and standards which puts consumers in a bad position. The collision repair industry is losing economic leverage and lacks regulatory authority for short pay claims, and people can’t fight back because the policy language benefits the insurers, not consumers.” After expressing his concerns to local legislators, Butler teamed up with Representative Kirby, the chairman of the House Consumer Protection and Business Committee, to draft a bill using language from similar bills across the country. According to documents located on the Legislature’s website, every insurance policy would be required to include language stating, “When an automobile is deemed repairable, the automobile must be restored to its condition prior to the loss. Restoration to pre-loss condition must include repairs that follow the original equipment vehicle manufacturer’s body repair manual instructions.” “Payment of a claim… must be based upon the reasonable and necessary costs at the claimant’s chosen repair facility,” the bill draft continues. “The burden shall be on the insurance company to prove unreasonableness of vehicle repair charges.” The bill would also require policies to contain an appraisal clause in events where there is a dispute on the value of the loss. Shop choice is also included in the drafted bill, and the burden of proving unreasonableness would fall on the insurer, not the claimant. It specifies, “The following are deemed reasonable: utilization of repair procedures or specifications that conform to the original equipment vehicle manufacturer’s documented procedures, specifications, or allowable tolerances for the vehicle’s make, model, trim level,
and year.” WICRA has already affiliated itself with SCRS. “WICRA is taking steps to protect the rights of the small businesses we represent, and ultimately the consumers in Washington that they serve,” Butler said. “WICRA’s reasoning for joining SCRS is simple; SCRS is THE National Collision Repairer’s organization that represents the best in auto repair and education within the industry.” WICRA held its first public meeting on December 9, 2019, attracting nearly 50 local industry professionals who were introduced to the association, its vision, and its upcoming plans. Gabbard said, “We’ve gained a few new members since our first meeting, and there’s been some additional interest as well. We are continuing to generate awareness and exposure so that collision repair facilities in Washington know we exist, how we plan to improve the local industry, and how they can get involved.” On February 3, WICRA will hold its next meeting at Lombardi’s Italian Restaurant in Bothell, WA. In
addition to featuring a special educational topic, “Incorporating OEM Procedures Into Your Repair Plan,” the meeting will include Updates on WICRA’s 2020 legislation. Butler said, “We want to push back on insurers who unfairly deny repair procedures, as well as reasonable and necessary costs.” “We want to instill the same types of consumer protections in auto insurance as we see in other areas of the law, such as homeowner’s insurance – the verbiage in the law already exists but just needs to be applied to consumers’ auto insurance policies,” Butler continued. “This is something we can do to improve our industry, and we invite all collision repair professionals who are interested and willing to take action to better our industry.” The cover charge of $35 per person includes a buffet dinner service. Dinner begins at 5 p.m. with the meeting scheduled for 6:30 p.m. RSVP is required at info.wicra@ gmail.com. For more information about WICRA and its upcoming events, visit wicra.org.
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16 MARCH 2020 AUTOBODY NEWS / autobodynews.com
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WICRA Continues to Grow with February Meeting by Chasidy Rae Sisk
On February 3, the Washington Independent Collision Repairer’s Association (WICRA) held a meeting at Lombardi’s Mill Creek Italian Restaurant in Bothell, WA featuring the special topic of “Incorporating OEM Procedures Into Your Repair Plan” as well as an Update on WICRA’s 2020 Legislation. WICRA President Jeff Butler said, “The event went well. Our expectations for how it was run are in line with what we are looking for and were met. We are working to increase awareness of our association and membership. Those who attended were extremely responsive, and many attendees signed up as members and attended our legislative committee hearing the following day. Following dinner and networking, WICRA provided updates on their ongoing legislation and reiterated the association’s goals for those who were attending their first meeting. Significant contributions to the discussion came from Paul Veillon of Galileo Law as well as Rob Deitz
from Insurance Claims Consulting. After discussing some misnomers within the claims process portion of the industry, they proceeded to present the evening’s featured topic: “Incorporating OEM Procedures Into Your Repair Plan.” Attendees learned how to document and include OEM procedures in the repair process to ensure a safe and proper repair.
The goal of WICRA’s meetings is to ensure that collision repair shops in the area are awareness of the association’s existence and intent to “be a pillar in the community, offering education and better practices, as well as a center for legislative change,” Butler explained. “These meetings provide a place for like-minded individuals and busi-
nesses with similar interests to share ideas and knowledge, plus we help collision repair industry professionals improve their skills and enhance their knowledge by covering topics of interest that impact their businesses and by offering training opportunities.” Butler added, “Attendance has been open to all shops, and we are looking to spread the invitation to those who may not know about us but are willing to attend the meetings; we hope to gain members during these open meetings. Join WICRA to protect consumers’ right to shop of their choice and OE repairs.” WICRA’s next meeting will be held on Monday, March 30 at 5 p.m. at Lombardi’s Mill Creek Italian Restaurant in Bothell, WA. To attend this upcoming meeting as well as future meetings, shops must be members of WICRA. RSVP to info. wicra@gmail.com. For more information on WICRA and its events, visit wicra.org/.
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AirPro Diagnostics Launches 24/7/365 Service AirPro Diagnostics, LLC the leader in remote diagnostics, scanning, programming and ADAS calibration solutions, announced the company’s official launch of its 24/7/365 service to the automotive aftermarket world-wide. “Knowing the importance of timely service to the repair community, we want to make sure whenever there is a need, we are there,” stated Josh McFarlin, AirPro Diagnostics vice president of strategic business operations. “AirPro has consistently delivered industry leading service and industry-first solutions to the repair community to increase shops’ efficiency and lower their costs while reducing cycle time with OE level repairs.” The launch of the 24/7/365 service is the natural next step in the company’s commitment to providing cutting-edge technology and service to repair facilities throughout the US and Canada.
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Idaho Falls Woman Sentenced for Insurance Fraud Attorney General Lawrence Wasden has announced an Idaho Falls woman was sentenced Monday for insurance fraud. 45-year-old Misty A. Adams pleaded guilty to felony insurance fraud in December. Seventh District Court Judge Bruce Pickett sentenced Adams
to a unified sentence of five years with two years fixed and three years indeterminate. The court then suspended the sentence in favor of five years of felony probation. Adams was ordered to serve 28 days in jail, complete 100 hours of community service and undergo
psychological testing. The judge also ordered Adams to pay a $500 fine, $1,865 in restitution to the Idaho Department of Insurance, $7,967 in restitution to Allstate Insurance, as well as court costs. An investigation revealed Adams, as a licensed insurance producer, backdated an auto insurance policy for her son’s vehicle after he was involved in an accident. Once the policy was backdated, Adams then filed a claim on behalf of her son, who was uninsured at the time and not entitled to benefits. Due to the false policy date, the insurance company paid the claim. It did not discover the fraudulent date until after payment was made. Deputy Attorney General Jessica Cafferty in the Attorney General’s Special Prosecutions Unit prosecuted the case. The Idaho Department of Insurance investigated. We thank Local 8 News for reprint permission.
Farmers Insurance Provides Support to Local Military Families in San Diego by Lyle Adriano
Farmers Insurance has shown its support to local servicemen, servicewomen and their families in San Diego, CA through a couple of generous donations.
The insurance company has given a refurbished van to active-duty Navy sailor Emiliano Martinez. Farmers presented Martinez the keys to the van during a special ceremony last week, and the vehicle itself was restored by local technicians as part of the National Auto Body Council Recycled Rides Program. In addition, Farmers Insurance also donated $40,000 to support the Armed Services YMCA San Diego. “It’s an honor to be able to help give back to the brave men
and women who have given so much to serve our country,” said Farmers Insurance CEO Jeff Dailey. “Working with the Armed Services YMCA San Diego, as part of our work with the Farmers Insurance Open’s Champions for Youth Program, allows Farmers to help make an impact on the local community and San Diego’s military families.” Farmers executives, employees, agents, and even district managers also participated in the Armed Services YMCA’s monthly Neighborhood Food Exchange to provide food and supplies to local military families. A release noted that Farmers Insurance was founded by two First World War veterans in 1928, hence its wholehearted support for the military community. We thank Insurance Business Magazine for reprint permission.
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20 MARCH 2020 AUTOBODY NEWS / autobodynews.com
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Collision Repair Education Foundation Offering Over $150,000 in Grants and Scholarships to Collision Students The Collision Repair Education Foundation (CREF) 2020 grant and scholarship application period is now open to high school and post-secondary collision students who will be attending career and technical schools and colleges in the
fall. The Foundation and its industry supporters offer over $150,000 in grants and scholarships annually, as part of their mission to promote collision repair education and create quality candidates for entry level job opportunities. Application information for CREF grants and scholarships is posted online. This year’s deadline to apply is February 20, 2020 and winners are chosen and notified by phone or mail in April and May. Melissa Marscin, Collision Repair Education Foundation Di-
rector of Operations and Administration, said, “Thank you to the industry for continuing to step up and support collision students around the country with these awards. We have seen direct impact of these awards for future collision industry
employees. Those students without debt or with a filled tool box upon graduation definitely have an advantage.” The Collision Repair Education Foundation aims to support collision repair educational programs, schools, and students to create qualified entry-level employees and connect them with an array of career opportunities. For more information, contact Melissa Marscin at scholarships@ed-foundation.org or 888-722-3787, Ext. 282.
March 2020 Association Announcements
ASA Northwest’s March Meetings and Events ASA Northwest’s chapters will meet in March to discuss industry issues. • March 5 - Pierce Chapter Meeting at LaQuinta in Tacoma, WA. • March 10 – Whatcom/Skagit Chapter Meeting at Park Bowl Restaurant in Bellingham, WA. • March 11 – Eugene Chapter Meeting at Lane Community College, Automotive Technology Building #9 in Eugene, OR. • March 12 – North Sno-King Chapter Meeting at Bob’s Burger & Brew in Everett, WA. • March 19 – Spokane Chapter Meeting at Mirabeau Park Hotel & Convention Center, Lilac Room, in Spokane Valley, WA. • March 19 – South Sno-King Chapter Meeting at Bellevue Brewing Company in Bellevue, WA.
• March 23 – Southwest Washington Chapter Meeting at South Puget Sound Community College, Building 27, Percival Room in Olympia, WA. • March 24 – Olympic Peninsula Chapter Meeting at Kitsap Golf and Country Club in Bremerton, WA. For more information, visit asanorthwest.com. ASA Colorado Revisits Selling Skills and Communicating with Techs On March 23-24, ASA Colorado will host a training seminar, “Selling Skills Revisited: The Courtesy Inspection” in Denver. “Communicating with Technicians” will be presented in Fort Collins on March 25-26. For more information, visit asacolorado.org.
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In addition to being a board member and the past chairman for the Corona Chamber, Seif is the president of the board for the Corona Chamber FounWith a background in aerospace dation, executive board member and engineering, Seif purchased All- treasurer of the Corona-Norco United star Collision in 2005 and coined Way, on the governing board of the Cothe phrase for the body shop: “The rona Regional Medical Center, and is a Kings of Wreck ‘N’ Roll.” Over the member of the Corona Rotary Club. Throughout his career, he has been actively involved in numerous organizations and charitable causes. Spiegel said both Dean and his wife, Shannon, have huge hearts and love for the area. During Seif’s tenure as CORONA Chamber’s chairman of the board in 2015, the Chamber engaged the Chamber Foundation to seek Throughout his career, Dean Seif has been actively involved financial assistance for a in numerous organizations and charitable causes. Credit: young veteran who lost his Jim Dorsey Photography legs when an improvised exyears, the business has grown near- plosive device (IED) in Afghanistan ly three-fold and became part of the ignited. Dean and Shannon donated a CARSTAR franchise in 2015. car to be raffled off to raise funds for “Since then, we’ve taken it to the young man’s recovery efforts. the next level,” he said. “CARSTAR “Through this one effort, over has really been a huge resource for $19,000 was raised,” said Spiegel. us.” “Seif could have sold the car and Continued from Cover
Citizen of the Year
collected the money for himself, but this is just one example of the giving heart he has.”
Dean Seif and his family after receiving the award for Citizen of the Year
“I have known Dean for over 20 years,” said John Weyhgandt, owner of Western States Financial and the chamber’s 2018 chairman of the board. “When someone is in need, you can always count on him to step up and help. It’s who he is. Period. Citizen of the year, perfect.” When asked about his philanthropic passions, Seif said, “It’s our social responsibility, especially as business owners, we have a responsibility to do what we can to help the community.”
After running the body shop for the past 15 years, Seif has noticed the impact of technology on the industry and stressed the importance of always being ahead of the curve. To stay upto-date with new developments and technology, he regularly reads industry publications and attends events such as the SEMA Show in Las Vegas. Spiegel said Seif continually seeks to improve and work with other businesses—even competitors. Seif was one of only three recipients of California Chamber’s “Small Business Advocate of the Year” in 2017. “He believes there is enough business for everyone, and he shares ‘tidbits’ and ‘nuggets’ that business owners and managers can put into place immediately and see instant results.” said Spiegel. “He truly is one-of-a-kind—a true American by choice and tremendous friend to many.”
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Symach to Develop New UVA-LEDtronic Technology We are excited to announce that Symach has developed a new UVALEDtronic technology for drying and curing UV coating products. It is a new and unique technology compared to those known on the market today, because it is more powerful with low energy consumption, only 90 W, and more than double drying speed compared to the most known systems. Our LED story began three years ago when Symach developed
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Gary’s Auto Body worked with us and understood. “We like to think our quality is worth it. We pride ourselves in giving the best results possible. And we can do more in a week here than we could in three weeks at the old shop.” Also a member of the Lovell School Board, Danny said he appreciates his wife, Tessy, for supporting him and the business through lots of
the first LED light technology PowerLED, but the exclusive development on UV technology began in 2017. Symach's R&D division, especially the Ingenier Fabio Francesconi, researched with a team of two lighting experts how to create a UV technology with low environmental impact, fast and efficient in drying of UV coatings. Today, we are proud to announce that we have currently made the best product on the market.
late hours. “She’s a big part of building the business,” he said. Danny and Tessy Jolley have three children: Trecelle, 19, who is helping at the business; Kreed, 14; and Shaya, 11. We thank Lovell Chronicle fo reprint permission.
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WIN Calls for Board of Director Candidates The Women’s Industry Network® (WIN) is now accepting applications for seats on its Board of Directors. The Board exists to guide the organization in furthering the role of women in the collision repair industry, promoting education, professional advancement and networking. It consists of representatives from various collision repair industry segments including (but not limited to) collision repair shops, distributors, suppliers, consultants, paint manufacturers, recyclers and insurance companies. The only requirement being that the applicants are WIN members in good standing. “Being involved in WIN whether on a committee or the Board is very rewarding. It’s a great way to give back to the industry and get involved,” said Cheryl Boswell, WIN Chair and Chair of the Board Nominating Committee. “WIN is seeking members to apply for seats on our 2020 Board as we continue to work together to drive the future of collision repair by attracting, developing and advancing women.” The WIN Board of Directors provides overall strategic direction for the WIN and is responsible for mak-
CIF’s Campaign of Caring Gifts $10,000, Thanks Donors
ing policy decisions that execute on WIN’s vision and mission. “It’s an exciting time for WIN. As we enter a new decade, we are moving forward with new programs and benefits for our members and sponsors,” said Kathy Coffey, a member of the current Board, Executive Committee and Nominating Committee Co-Chair. “We encourage involvement from all segments of our industry. The Board is looking forward to hearing new voices to help us drive the future of collision repair.” Each year, the Board updates its strategic plan and each member contributes to the execution of that plan. The volunteer Board members work together to foster an environment that encourages the recruitment, retention, education and networking of women in the collision repair industry. New Board members will begin their term and will be introduced to the organization at large at the 2020 Educational Conference, May 3-5 in Newport Beach, CA. The deadline for applications is Feb. 28, 2020. For application requirements and further details, please visit www. womensindustrynetwork.com.
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Mechanicsville, Virginia - February 22, 2020 - In September 2019, the Collision Industry Foundation (CIF) introduced a “Campaign of Caring,” seeking to inspire the industry to
raise money for the Anchondo family. The family lost their son, Andre (23), and their daughter-in-law, Jordan (24), in the horrific mass shooting at a Walmart in El Paso on August 3, 2019. CIF reached its goal of raising $10,000.00 for the benefit of Gilberto Anchondo, owner of Colormaster Auto Body Shop, in El Paso, Texas. The money will go directly to Gilberto Anchondo to assist him and his immediate family as they continue to deal
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with the grief, stress, and shock of the loss of their loved ones. Mr. Anchondo opened his body shop, Colormaster, in 1980 and has been in business for nearly 40 years. His two sons, Andre and “Tito,”, grew up working alongside their father, learning the special craft of the industry. Commenting on the donation, daughter Deborah Anchondo said, “The show of support for my father, Gilberto Anchondo and our immediate family has been remarkable and will not be forgotten. A heartfelt thank you to everyone who donated.” About CIF: The Collision Industry Foundation (CIF) is the 501(c) (3) charitable arm of the collision repair industry. We are dedicated to raising, managing, and donating funds to provide emergency relief to collision repair professionals who have been impacted by natural disasters or other catastrophic events. For more information visit: http://www.collisionindustry foundation.org
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CAA Highlights certain fees and costs before an arbitration may proceed.” Other provisions of AB 51 include: (b) An employer shall not threaten, retaliate or discriminate against, or terminate any applicant for employment or any employee because of the refusal to consent to the waiver of any right, forum, or procedure for a violation of the California Fair Employment and Housing Act or this code, including the right to file and pursue a civil action or a complaint with, or otherwise notify, any state agency, other public prosecutor, law enforcement agency, or any court or other governmental entity of any alleged violation. (c) For purposes of this section, an agreement that requires an employee to opt out of a waiver or take any affirmative action in order to preserve their rights is deemed a condition of employment. However, the law “does not apply to postdispute settlement agreements or negotiated severance agreements.” Employee actions regarding unpaid wages CAA: “In addition to existing penalties that an employee may recover for an employer’s failure to timely pay an employee’s wages, this new law authorizes the affected employee to bring action to recover statutory penalties against the employer to recover unpaid wages. It also authorizes an employee to either recover statutory penalties under these provisions or to enforce civil penalties under Labor Code section 2699(a), the Private Attorneys General Act of 2004 (‘PAGA’), but not both, for the same violation. (AB 673)” Space requirements for nursing employees CAA: “Expands existing law relating to lactation accommodation to add a number of new requirements for the lactation space itself, including access to running water and a refrigerator for storing milk, as well as employer policy requirements and document retention obligations. (SB 142)” Smaller employees can petition for an exemption from some of the
bill, but it sounds like they at least have to try and accommodate their employee partway. (i) An employer that employs fewer than 50 employees may be exempt from a requirement of this section if it can demonstrate that a requirement would impose an undue hardship by causing the employer significant difficulty or expense when considered in relation to the size, financial resources, nature, or structure of the employer’s business. If that employer can demonstrate that the requirement to provide an employee with the use of a room or other location, other than a bathroom, would impose such undue hardship, the employer shall make reasonable efforts to provide the employee with the use of a room or other location, other than a toilet stall, in close proximity to the employee’s work area, for the employee to express milk in private. Protecting hair CAA: “This new law expands the Fair Employment and Housing Act’s definition of race to include traits historically associated with race, such as hair texture and protective hairstyles. It defines ‘protective hairstyles’ as ‘braids, locks, and twists.’ It also prohibits workplace dress code and grooming policies that prohibit natural hair, including afros, braids, twists and locks. (SB 188)”
Permanent Diagnostic Trouble Codes fail smog check CAA: “On July 1, 2019, the BAR incorporated Permanent Diagnostic Trouble Codes (PDTCs) as part of the Smog Check failure criteria for model-year 2010 and newer vehicles. 16 CCR 3340.42.2(c)(5).” The Bureau of Automotive Repair’s explanation of those codes offers another interesting detail for the collision repair industry’s scanning education. “Permanent Diagnostic Trouble Codes (PDTCs) are very similar to regular Diagnostic Trouble Codes (DTCs),” the BAR wrote. “However, unlike regular DTCs, they cannot be reset by disconnecting the vehicle’s battery or cleared using an OnBoard Diagnostic (OBD) scan tool. The only way to clear a PDTC is to fix the underlying problem with the vehicle that originally caused the PDTC and its corresponding DTC to set, and then allow the vehicle sufficient drive time to re-run the monitor that identified the problem in the first place. When the monitor runs without identifying a problem, the PDTC will clear itself.”
Miscellaneous Right to cash out if vehicle safe CAA: “This law restates that an insured has the right to select the auto body shop of choice to repair a damaged vehicle, or decide not to have the vehicle repaired; however, an insurer may require that a damaged vehicle be repaired as a condition for payment if the damage is sufficiently serious that safety features of the vehicle’s operating systems are compromised. (AB 1538).” Assembly Bill 1538 blocks unscrupulous insurers from using a demand for repair as a tactic to save money. If a low-income customers couldn’t pay the deductible triggered by a repair demand, the resulting stalemate could mean the carrier doesn’t have to pay anything under the status quo. The bill closes that loophole and lets those consumers cash out. However, the bill does allow insurers to block a cash-out if they suspect fraud. (According to a June 14 Senate analysis, fear of scammers might have been a legitimate reason for a no-cash rule.) They can also block a cash-out and require repair if the vehicle would be unsafe. The CAA supported the bill
Two weeks more paid family leave CAA: “Amends exiting law and increases the maximum wage replacement benefits under the California Paid Family Leave program from six to eight weeks, beginning July 1, 2020. (SB 83)” Parts and technology Don’t unstall unsafe used tires CAA: “Prohibits an automotive repair dealer from installing a used unsafe tire as specified. (AB 949)“ The CAA supported the bill. Battery fees rise CAA: “Beginning, April 2022, the current $1.00 California battery fee imposed on a person who purchases a replacement lead-acid battery from a retail dealer (including auto repair dealer) will increase to $2.00. (AB 142)” The CAA had concerns about the bill.
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when we covered it back in July 2019. “The bill protects consumers and the CAA is supportive of the intent,” Privacy law live, but adjusted CAA: “California Consumer Privacy Act (CCPA). Beginning January 1, 2020, this new law, in part, would grant a consumer the right to request a business to disclose the categories and specific pieces of personal information that it collects about the consumer, the categories of sources from which that information is collected, the business purposes for collecting or selling information and the categories of third parties with which the information is shared. (AB 375-2018). Several new laws passed to clarify and to ease CCPA compliance including a narrow opt-out and deletion rights in order to facilitate prompt and effective recalls and warranty work. (AB 1146, AB 25, AB 874, AB 1355 and AB 1564)” Under the California Consumer Privacy Act, businesses doing $25 million or more in sales are by law in 2020 held to higher standards regarding customer data. (Businesses
that don’t make that kind of money but still handle 50,000 consumers a year also would qualify.) The law has been tweaked since passing in 2018, as the CAA noted. Rules for dealer warranty rates CAA: “This new law, among other things, requires car manufacturers to reimburse franchised new car dealers for warranty repairs based on a specified formula instead of using the existing practice of determining a reasonable rate and recasts other exiting provisions of the relationship between manufacturers and dealerships. (AB 179).” This one is interesting in light of similar debates between insurers and body shops over what amount a carrier ought to reimburse. Among the rules it establishes for dealers and OEMs seeking to hash out fair warranty rates: (a) A franchisee seeking to establish or modify its retail labor rate, retail parts rate, or both, to determine a reasonable warranty reimbursement schedule shall, no more frequently than once per calendar year, complete the following requirements:
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(1) The franchisee shall submit in writing to the franchisor whichever of the following is fewer in number: (A) Any 100 consecutive qualified repair orders completed, including any nonqualified repair orders completed in the same period. (B) All repair orders completed in any 90-consecutive-day period. (2) The franchisee shall calculate its retail labor rate by determining the total charges for labor from the qualified repair orders submitted and dividing that amount by the total number of hours that generated those charges.
Gerber Collision & Glass Opens Repair Center in CO The Boyd Group Inc. announced that it has opened a repair center in Littleton, Colorado. This location previously operated as a warehouse and office but has been converted to a state-of-theart collision repair facility. Littleton is the county seat of Arapahoe County and included in the Denver metropolitan area with a population approaching three million people. This location is well situated to be accessed by customers traveling State Highway 470 or Highway 85. “We are eager to provide high-quality service to customers in this region at this brand-new repair center,” said Kevin Burnett, COO of Gerber Collision & Glass. “The opening of this facility allows us to better serve our insurance partners with their needs in this area of the country.” The Boyd Group is contin uously looking to add new collision repair locations to its existing network in Canada and the U.S.
(3) The franchisee shall calculate its retail parts rate by determining the total charges for parts from the qualified repair orders submitted, dividing that amount by the franchisee’s total cost of the purchase of those parts, subtracting one, and multiplying by 100 to produce a percentage. (b) For purposes of subdivision (a), qualified repair orders submitted under this subdivision shall be from a period occurring not more than 180 days before the submission.
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How To Not Write Estimates by Dave Luehr
It’s time to get real – not that I am not always ‘real’ with my readers, but I need shop leaders to embrace the importance of this message! Collision customers don’t need an estimate; they need their vehicles repaired properly and without a lot of fuss. The only remaining question is the best way to determine the scope of damage so that we have an accurate repair plan to work from. An estimate in the traditional sense may not be the best solution. The word ‘estimate’ sends shivers up my spine because of the very inaccuracy it suggests. The word might as well be ‘guess-timate.’ Listen, I totally understand why so many shops feel obligated to provide a customer with an estimate so they can determine the best course of action with insurers, financial considerations, etc. Using the word ‘estimate’ has also been used in order to cover the shop’s butt, avoiding legal action from a customer that is unhappy with the infinite succession of supplements. Aside from these reasons… I wish the word would
be banned from the collision industry vocabulary! One way traditional estimates frequently cause trouble is when shops allow customers to drop by any time they choose. This puts the shop in an unprepared and reactive situation. The tendency for many shops in these situations is to write an estimate out in front of the building at the curb, sometimes in the rain, and do it as fast as they possibly can. Sadly, for most shops, this poor attempt at damage analysis also becomes the shop’s ‘plan of repair’ where parts are ordered, and the vehicle eventually becomes introduced to the production flow line. And thus begins its insane comedy of supplemental errors. A case for insisting on appointments In a recent conversation with my friend Ryan Taylor, the innovator behind the amazing Bodyshop Booster system, he shared some data obtained from important research on the subject: Another interesting fact is that 60% of people who arrive at a shop without an appointment and are ei-
ther turned away or induced to leave empty-handed due to estimator unavailability, will never return. There is a pervasive, limiting belief still in our industry that the customer experience is somehow enhanced when we instruct them to drop by whenever they like. Research has shown that this is absolutely untrue, and, in fact, the results are quite the opposite. It’s time for shops to take back control of their schedule, become proactive and show the professionalism required to create accurate appraisals and a greater customer experience! If the above reasons for scheduling appraisals are not compelling enough, consider the following: vehicle technology is not the same as it was in the old days when estimate writing was invented. Back in the days of the horseless carriage, it was easy to identify one hundred percent of the damage and OEM specified repair methods were hard to come by. These days it is impossible to accurately assess damage to what is essentially a computer on wheels without connecting to a scan tool first and
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then incorporating OEM repair methods into the repair plan. With that in mind, I can’t think of many situations where a ten-minute curb written estimate is going to be sufficient. To be successful in today’s collision repair world, shops must schedule appraisals for at least one hour and, in some cases, much longer. The ‘Enhanced Appraisal’ This style of detailed appraisal has been around for a while in other countries including the United Kingdom where an accredited ‘Vehicle Damage Assessor’ (VDA) methodically assesses the damage, taking the time required to capture all the damage, even if minor, and a temporary disassembly and reassembly must be performed. There are a handful of shops in both the U.S. and Canada that use similar systems with excellent results. But the shops that do this with excellence are certainly not letting customers drop in whenever they like! At Elite Body Shop Solutions, we call this approach to appraisal an ‘Enhanced Appraisal.’ We recommend
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starting by setting one-hour appointments with the customers. and then gathering as much up-front vehicle information as possible. This allows the shop to locate applicable repair methods in advance of the appointment. Or… Just quit writing appraisals! There will be many cases where, through the qualification and triage of a repair job, you determine that it really makes no sense to even attempt writing an enhanced appraisal. Perhaps there is simply too much potential for hidden damage? In these situations, and assuming the vehicle is safe to be on the road, why not just book them a repair appointment when the shop has availability and do a complete, meticulous disassembly and repair plan when it arrives? In our country (the U.S.) parts can usually be obtained within 24 hours. So, instead of placing multiple parts orders generated from multiple supplements, just get it right one time! This is my favorite method and it really cuts down the amount of time needed up front with estimating staff. At Elite we call this method ‘Express Repair’ and have a word track our cli-
ents use to help explain the benefits and convenience to their body shop customers, helping them understand why an ‘estimate’ is not required.
the customer deliver the correct vehicle information to the shop instantly and virtually eliminates poor quality images from being sent.
Triage tips To help a shop determine which method is best, a scheduled Enhanced Appraisal or an Express Repair with no prewritten appraisal, there are a few factors to consider. • Is it a total loss or unwanted type of repair? Avoid it. • Is the vehicle safe to be on the streets? If not, get it towed right away. • Will the shop be able to write an accurate enhanced appraisal in a reasonable amount of time, or should the shop avoid writing it until a permanent and meticulous disassembly can be scheduled (Express Repair)? • What are the insurance company DRP guidelines (if applicable)?
Conclusion As I stated earlier, I really want to help shops be successful in a very challenging future, and it’s time to ‘get real’ about eliminating bad old habits, behaviors, and beliefs. A good starting place is taking back control of the business through smarter appraisal habits. The repair plan is the foundation of the repair and old beliefs such as “we don’t have time for this” or “we don’t get paid for this” are not good enough excuses to avoid doing the right things. As you have heard me say many times, “Right now is the greatest time in history to be in the body shop business; but only for those with the right mindset!” Are you willing to challenge your thinking, update your beliefs and succeed? Or do you want to stick to your old habits at your own peril? If you want the help of an Elite Mentor to set-up an Express Repair Program in your shop, email us at info@elitebodyshopsolutions.com!
My favorite method for determining the scope of damages is to ask the customer to text photos of the damage to the shop. Our Elite clients love using the Bodyshop Booster app to determine the best course of action in these triage situations. This app helps
Father and Son Win Maaco Cup Award Jim Powell's son Jamie became his partner 10 years ago and the father-and-son team has delivered year-over-year sales increases the last eight years, while achieving Maaco Diamond Certification status. Diamond certification is the premier level within the Maaco system, meaning that the center has all the equipment and training necessary to repair the complex vehicles that are on the road today. Diamond certification also means the center and its technicians are I-CAR® Gold Certified and are qualified to participate in an insurance company DRP (Direct Repair Program) as well as Maaco’s national fleet program. The Powell’s commitment to excellence and continuous improvement, as demonstrated by their Diamond certification, is one of the reasons that they were selected as a Maaco Cup Winner. “Becoming Diamond Certified was very important to us and our objectives for continued growth,” said Jim and Jamie Powell.
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G & C Auto Body Donates Two Cars to Victims of Domestic Violence She has been able to find a job and subsidized housing. The gift of a veG & C Auto Body, the Crozat Family hicle will allow her to keep her job Foundation, and Allstate Insurance and custody of her child. recently teamed up to help two sur- The Living Room Center in vivors of domestic abuse by present- Santa Rosa, CA is a nonprofit orgaing each of them with keys to two nization that serves 70 to 100 womnewly refurbished vehicles. en and children daily by providing Technicians at G & C Auto Body mental health services, parenting in Santa Rosa, and Petaluma volun- skills, two meals a day, new-parent teered personal time to restore the ve- needs like diapers and has a play hicles to help these families get back area for kids. It is also a much-needon the road of life. ed respite from the streets during The first recipient Angie is a daytime hours, Cheryl Parkinson, single mother of two who is striving executive director of The Living to make a better life for her family Room said. while her abuser is in prison. In ad- “Being homeless is hard enough, but many of the women also have disabilities and problems with trauma in their background,” she said. Our services offer on-site help provide stability so women can address underlying problems and health complications. More than 60 percent of women served have expeG & C Auto Body, the Crozat Family Foundation, and Allstate rienced post-traumatic stress Insurance recently teamed up to help two survivors of domestic abuse by giving them two newly refurbished and more than 90 percent vehicles were exposed to domestic vidition to caring for her children and olence as children or adults.” working, Angie is attending class- G&C Auto Body has sponsored es, and has earned her certificate 151 car giveaways through the Crozat in Children in the Justice System. Family Foundation to date, and AllShe has one class remaining for her state Insurance has been donating certificate to become a Child Devel- vehicles through the Recycled Rides opment Associate Teacher, and has program since 2010. one class to go before completing The late Gene Crozat started her certificate in ADOS Counseling. the Crozat Family Foundation in The gift of reliable transportation 2004 and it’s still going strong. He will now enable Angie to be fully in- used to like to say that “it is our redependent as she continues her jour- sponsibility to help our fellow men.” ney of rebuilding her life, according Crozat’s philanthropy all started to G & C. as a ‘Car-A-Month Giveaway’ on The other recipient Lisa es- various local radio stations and has caped from her abuser in the midst grown into a foundation that proof a lengthy child custody battle. vides support to the individuals and She spent 20 days in a shelter for families they encounter when they battered women, lived in her car and meet through the company’s variturned to The Living Room Center ous car giveaways, according to the to help her regain her footing at cre- foundation’s web site. ating a better future for her family. In the early 1960s, Gene Crozat by Ed Attanasio
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was painting cars for generals in the U.S. Military. He made $191 a month in the Air Force. Gene had two children before he was 20 and he passionately remembers hard times. He would work
Recipients Angie and Lisa received the gift of transportation from G & C Auto Body in conjunction with Crozat Family Foundation and Allstate Insurance
all day at the base and work the evening shift at a gas station. His passion for auto body work grew and grew, so he opened G&C Auto Body in 1972, a small shop in Santa Rosa, CA. “I moved back to Santa Rosa in 1968 a pack of cigarettes for $1.70,” he said. When new customers believed in him, Crozat was thrilled and went out of his way to do exemplary job on their cars,
with a lot of all-nighters along the way. Gene’s philosophy was that making money just to have money wasn’t enough. That’s when he decided to take a portion from each shop to create the Crozat Family Foundation. At first, the Foundation gave one car away every month in conjunction with a local radio station. But it grew to two or three cars every month, so Gene realized there was a real need for more cars to be given to deserving families. Today, the Foundation gives purpose to growing the business. “We focus on getting people back on their feet, so that they can overcome current obstacles and provide for themselves,” Gene said in his Foundation’s mission statement. “We help families with transportation, but may extend help for short-term medical bills, gas, groceries, clothing, etc. Our family believes that we have a responsibility to our fellow men. Our family considers it a great opportunity to help those in need and we strive to make our Foundation as successful as G & C Auto Body.”
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Continued from Cover
“Opt-OE” Parts OEM (i.e., “if the BMW part has a BMW logo on it, then this part will have the BMW logo on it”), or “Tier 1 with Branding Differences,” such as one lacking the automaker logo. Schulenburg’s subcommittee took much of the same approach in terms of determining different part attributes (who makes the part, how it is packaged, who distributes it, who backs it with a warranty), but concluded that only a two-pronged way to classify the parts is needed. An “OEM part,” the subcommittee said, is one manufactured by or for the automaker, sold in the automaker’s packaging and within the automaker’s authorized supply chain, and warranted by the vehicle manufacturer. Any part not meeting all four of those attributes, Schulenburg said his subcommittee decided, is a “non-OEM part.” “We really tried to approach it like: Here’s ‘OEM.’ Anything that doesn’t meet that definition is ‘nonOEM,’” Schulenburg said. “That’s super clear for a consumer to understand. It doesn’t make [non-OEM] bad or wrong or an unacceptable option. There are thousands and thousands of non-OEM parts that are legitimately chosen every single year. But we first defined ‘OEM,’ and anything that doesn’t meet that definition from our vantage point is a ‘non-OEM part.’” Weiss said he’s not necessarily opposed to the other work group’s proposal, but said he thinks those making parts decisions would need more information about all the different parts designated as “non-OEM,” such as who manufactured a particular part, not just the supplier. Tier 1 suppliers to the automakers, such as Denso and Bosch, he said, produce quality parts that consumers on the mechanical side of the industry reg-
ularly choose. “There are companies out there that have a well-respected name, and it can mean more to you to know you’re getting it from that manufacturer as opposed to a company that may not use the same quality and may not have the same reputation,” Weiss said. Weiss also noted that the California Bureau of Automotive Repair (BAR), which has said terms like “optOE” and “alt-OE” cannot be used, has said an OEM part not purchased from a dealer can be called “OEM.” “We have one very large state that has decided that warranty has nothing to do with the part [designation],” Weiss said. Schulenburg acknowledged that Weiss is correct about the BAR’s decision but added, “Just because California got that one attribute wrong isn’t reason enough for us not to try to define it correctly for the other 49 states. Then California might rethink their position.” He said that currently a part may get dubbed by the seller as “OEM surplus” when it wasn’t made for the automaker and isn’t in the automaker’s packaging. When there’s no matching line for “OEM surplus” in the parts platform where the part is listed, it gets described as “opt-OE,” and then if sold in California, it is switched to “OEM.” “What ends up on the estimate to the consumer is not at all reflective of the part that comes in the box or what goes on their vehicle, and that’s what we’re trying to get away from,” Schulenburg said. But given that “opt-OE” has been a “catch-all bucket” for multiple types of parts, wouldn’t lumping in all parts not meeting the subcommittee’s definition of “OEM” result in a variety of types of parts under the “non-OEM” label, Schulenburg was asked.
“I think there are ways for us as an industry to figure that business-to-business piece, and to differentiate them [within the parts platforms],” Schulenburg said. “But I think what is more important is the consumer understanding.” The six labels the other subcommittee proposes for the parts, he said, won’t be clear to consumers. “I think they serve to validate parts that a consumer should understand aren’t OEM,” Schulenburg said. He said the two subcommittee’s proposals remind him a little of the 2017 internet meme in which different people, looking at the same photo of a pair of shoes, see them as either pink and white or mint and gray. “The way we are each wired to perceive it is going to be how our brain determines what color that shoe actually is,” Schulenburg said. The parts debate, he said, is a challenge because everyone approaches it from their own vantage point and their own business objectives. Instead, he suggested, the industry might want to think of it more from the perspective of Marcia and Matthew Seebachan, the Texas
couple who earlier in the CIC meeting in Las Vegas had shared what the impact of a poorly-repaired vehicle had on their lives. “My personal opinion is at the end of the day, we need to look back at that presentation and think about that rather than our own personal vantage points,” Schulenburg said. “What do we do to make all of this clear to [consumers like them], so they never have to sit in that seat and tell that kind of story.” Several CIC participants in Las Vegas voiced heated condemnations of one or both of the subcommittees’ approaches. Schulenburg said those exchanges demonstrated the dilemma the committee faces, “where we each have defined our perspectives but haven’t found a middle ground, or a roadmap to get to it.” He said the committee has “experienced professionals within the industry who just vehemently disagree with one another,” trying to determine where to go next. “I don’t think we have an answer,” Schulenburg said. “I think the point here was to establish where we are today. I think we’ve done that.”
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Leading the Ethical Revolution in the Collision Repair Industry by Stacey Phillips
When Jeff Peevy was named chairman of the Collision Industry Conference (CIC) in 2019, he placed an empty chair on the stage at each meeting. The chair represented “the consumer,” those who are in accidents and have their cars repaired. During the last CIC meeting of 2019 in Las Vegas, Peevy filled that empty chair with special guests Marcia and Matthew Seebachan. The Seebachans were the owners of the Honda Fit that was in
Jeff Peevy, chairman of the Collision Industry Conference (CIC) and president of the Automotive Management Institute (AMi)
the accident resulting in a $42 million lawsuit. Peevy and his wife, Marie, interviewed the couple about their experience as well as the human impact of poor repair decisions. Following the impactful interview, Dave Luehr, owner of Elite Body Shop Solutions, invited Peevy to talk about the personal impact of the interview during an Elite Body Shop Academy webinar. Peevy’s presentation also included recommendations on how collision repair businesses can lead the ethical movement in the industry. “Listening to the discussions at CIC, I started to realize that more times than not, the consumer, the motoring public and their families are riding in vehicles our industry repaired and get very little consideration during our discussions,” said Peevy, who is also the president of the Automotive Management Institute (AMi). “I thought it would be important for us to keep the people riding in the vehicles that our industry repairs at the forefront of our decisions and discussions.” Peevy realized how a cross-section of the industry began to refer to the chair. “I’m really proud of attendees
at CIC for respecting what that chair represents,” he said. Many have read industry publications and heard presentations about the Seebachans’ experience and Peevy said the young couple was often looked at as people out of a storybook. “My goal with the empty chair was to make the people who have impacted our industry real,” he explained. What Peevy didn’t realize when he set up the interview was how it would impact him personally. He soon learned that his daughter and son-in-law are the same age as Marcia and Matthew, and had purchased a preowned Honda Fit vehicle around the same time as the Seebachans. Also, Peevy’s daughter is going to school to become a licensed clinical social worker—the same job held by Marcia. These parallels resulted in the experience becoming more personal to Peevy and he recognized that the accident could have happened to anyone. “I don’t think I was fully prepared for what it would do to me and I probably have become a little less compromising around doing the right thing and making sure we think about the vehicles we are repairing,” said Peevy. Leading the Ethical Revolution During the Elite webinar, Peevy asked attendees to consider whether they place the value of human life at the top of everything. “We’ll typically say ‘yes,’ but then follow up with a ‘but’ and blame some other segment of the industry,” observed Peevy. “We always need to put the value of human life above all else. I believe it’s unethical if we do anything that jeopardizes anyone in the cars we repair.” Peevy shared a quote from Marcia Seebachan that she said during the interview at CIC. “One of the things drilled into us from day one in any social work course is our code of ethics and part of that is only using evidence-based practices with our clients…” she said. “We are trained to look into practices and theories and methods that are supported by evidence and there has been research and proof showing why this intervention is effective with this
specific diagnosis or need with a client and I just can’t fathom practicing any other way.” Peevy said the same is true in many professions. “Somehow, in our industry, we’ve taken liberties and not always used evidence-based practices and OEM procedures,” said Peevy. “I think OEM procedures are probably the closest thing to evidence-based procedures that we have. We can all agree there is a lot of research and design that goes into the design of vehicles.” As a result, he recommended that collision repair businesses ready to help with the ethical revolution in the industry, start with OEM procedures. An essential part of this is educating consumers. “The law says consumers have the right to decide where to take their car … they often get help from family and friends,” said Peevy. However, he pointed out that the majority of those making the recommendations are unqualified and as a result, the consumer’s life can be put
in risk. “We need to do what we can to educate consumers because they are put in the position to make a decision and more than likely will be uninformed,” said Peevy. Then, after making that choice, consumers are asked if they are happy with the repair. Although cycle times and Customer Satisfaction Indexing (CSI) are important, Peevy said just because consumers say they are happy with the repair and received the car on time, the carpet is vacuumed and the paint is shiny, those are not assurances the vehicle was repaired correctly and safely. “We don’t really have any good measurements,” said Peevy. He encourages collision repairers to think about how to best address this in the future. During the interview, Peevy said Marcia shared a vital observation. “She said that getting hit by a car was an accident; the extent of the injuries were not but based on deciSee Ethical Revolution, Page 41
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with Stacey Phillips
From the Desk of Mike Anderson with Mike Anderson
Mike Anderson is the president and owner of Collision Advice, a consulting company for the auto body/collision repair industry. For nearly 25 years, he was the owner of Wagonwork Collision Center, an OEM-certified, full-service auto body repair facility in Alexandria, VA.
Understanding and Performing Required Test Drive Procedures Isn’t an Option In a recent column, I talked about why I believe shops need to separate out their charge for vehicle scanning from their diagnostic labor to address the results from those scans. Another key item I feel a lot of shops are overlooking is conducting, documenting and potentially invoicing for is the increasingly complex process of performing required test drives. Our “Who Pays for What?” survey last summer, for example, found that while almost one-third (31%) of shops that bill for necessary test drives they conduct post-repair say they are paid for that procedure “most” or “all the time,” about 2 in 5 shops (38%) say they have never sought to be paid such test drives. The statistics are even worse for test drives that are done diagnostically prior to repairs; 1 in 5 shops (19%) said they are paid regularly for such test drives, but two-thirds of shops have never billed for those.
I want to emphasize that my concern here is not whether shops are billing for test drives. My concern is that they are performing them as a required step to safe and proper repairs.
“Test drives” aren’t what they used to be. In the past, you took a repaired vehicle out for a brief drive to check for wind noise, pulling conditions or vibrations. Now you’re doing that but also doing the drives to calibrate and confirm the function of ad-
vanced vehicle features and systems like adaptive cruise control, blind-spot monitors lane departure warning systems, satellite navigation and traction control. That’s why a Collision Industry Committee has adopted a new definition for this type of test drive that they are calling a “dynamic systems verification road test.” The automakers vary somewhat in what the terms they use for what we generally call “test drives.” Some use that term, but others talk about “road tests,” or “actions tests.” Some automakers reference it by saying vehicles must be “brought up to operating temperature.” Despite terminology differences, it’s important to understand what specific requirements an automaker has for the vehicle you are test driving. Does the OEM procedure, for
example, specify: ▪ How far the vehicle needs to be driven; ▪ How much time the vehicle needs to be driven; ▪ At what speed(s) the vehicle needs to be driven; ▪ What driving pattern needs to be followed; and or ▪ What road conditions are necessary. I recently was writing an estimate on a vehicle, and the OEM procedures said after I reinstalled the blind-spot monitors on the rear bumper assembly, I needed to test drive the vehicle in a straight line for two miles above 20 mph. On another vehicle, after we disconnected and reconnected the battery, an initialization required us to drive the vehicle for at least 15 seconds above 20 mph on a road that had
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clear lane markings. If you replace a windshield on a vehicle with a compass in the rearview mirror that may require that you drive the vehicle in a circle, or in a figure-eight, to recalibrate that compass. I have seen a procedure for one automaker’s vehicle that requires six different test drives at six different speeds and stopping patterns to see if the seat belts are working properly. Unlike the relatively simple test drives we did for free in the old days, these can be exacting and time-consuming procedures. Depending on whether your shop is in an urban or rural area, you may need to drive miles away in order to meet the road and speed conditions required. Getting paid for them requires good documentation. I recommend estimators or repair-planners have dual monitors so they can copy the test drive requirements from the OEM procedures and paste them into a line note on the estimate or invoice. Some shops are using a cell phone camera or GoPro to document the test drive. Even the owner’s manual for many vehicles talk about necessary
test drives. The last thing you want is a vehicle owner asking about a required test drive in their manual and not being able to show them that you did it. It’s also important that you let the customer know in advance about the test drives you will need to perform as part of repairing their vehicle. One side note: When I owned my shops, once a year I would submit my employees’ driver’s license information to our company’s insurance company to ensure they could be allowed to drive vehicles on behalf of my company. You can’t risk having test drives conducted by someone with a suspended driver’s license. As always, what you decide to charge for is a business decision; but, understanding, performing and documenting the required vehicle test drives isn’t an option for safe and proper repairs.
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thing possible to repair the vehicle safely and correctly. This extends beyond liability and the economics of running a business. Peevy said that in some countries, there are bad accidents and vehicle owners still drive around because they are just trying to survive. If the cars are repaired, they are often patched up rather than repaired properly. However, in the United States, he said shops can afford to do it right without compromise. He recommended that anyone involved in the collision repair industry watch the video and digest what the young couple shared. “We need to stop some of the stuff we’re doing and really be sincere in reviewing everything we do to ensure human life is placed above all else,” he said. To watch the free replay of this webinar, visit https://daveluehr. mykajabi.com/products/dave-luehr -s-elite-webinar-series/categories /1931663/posts/6467462. The entire Elite webinar series is available by signing up for free using the following link: www.elite bodyshopsolutions.com/academy.
Continued from Page 38
Ethical Revolution sions made by others,” said Peevy. As a result, Peevy said the lives of this young couple will be changed forever and they won’t have the quality of life they should because of these decisions. Marcia also made another statement that resonated with Peevy. “We were fortunate that we got the answers that we have because I think it would be intentionally naïve to pretend that there aren’t people who have been injured or had fatal accidents that weren’t impacted by something like this,” said Marcia. The bottom-line, according to Peevy, is to recognize that it’s all about choices and the decisions made by those who repair vehicles. Rather than beginning to work on a car as soon as it arrives at the shop, repairing it as best and as fast as possible, moving it through the shop and trusting it was done correctly, Peevy stressed the importance of following OEM procedures and doing every-
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Midwest Associations with Chasidy Rae Sisk
National Associations with Chasidy Rae Sisk
Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@gmail.com.
ASA Webinar Wednesday: Would You Take a Job for $200 an Hour?
Northwest Associations
On Jan. 15, ASA’s January 2020 in- vided by number of repair orders) stallment of its Webinar Wednesday and net effective labor rate (total with Chasidy Rae Sisk series featured Becky Witt, AMAM, labor sales divided by total billed George Witt Service in Lincoln, NE, hours). She then explained how and former AMI president and in- to calculate gross profit per billed structor, who presented “Would You hour, which she called “the most imTake a Job for $200 an Hour?” Based portant number you’re going to use on a university-level cost accounting the rest of your life,” dividing total class, the webinar was Ed applied to an gross profit by total billed hours. with Attanasio automotive shop to provide better Looking at tech sales per minute (total sales per billed hour divided by 60 minutes in an hour) “helps everyone understand the value of every minute and the urgency in efficiency.” Regarding hours per repair with Ed Attanasio order, Witt urged “Forget the standard. It depends on the shop’s operation. The significance is in potential understanding of how pricing should and stability.” be determined as well as tools to in- The net effective labor rate is crease profits. Witt explored how the what the average billed hour really with Ed Attanasio way people look at things impacts sells for and is lower than the “stanbehavior, how shops leave money dard” labor rate due to competitive on the table because they don’t rec- pricing. “This number should be used ognize the value in the transaction, for all financial planning – know this and the use of cost accounting prin- number,” Witt urged. ciples that can open new methods to Witt continued, “Mark-ups are a increase profits. very confusing term. It’s not a numwith Thomas Franklin The webinar began with Tony ber. It’s a mathematical operation. For Molla, ASA’s vice president of in- example, if your desired gross profit is dustry relations, welcoming attend- 42% and you buy it for $10. In order to ees and introducing Witt. Witt be- sell it for 42% gross profit, you divide gan by clarifying that the seminar is ten by .58 which gives you $17.24. a micro class, not a macro view, and What you’re going to do is take what with Ed Attanasio should be treated as a buffet – some you want and subtract it from 100 and things may not apply to each attend- divide it. Don’t multiply cost to get the ee, while others may be extremely selling price.” helpful. She added, “If you don’t learn Demonstrating the difference anything, then you get validation that between standard and matrix markyou’re great at business.” up pricing, Witt used a labor gross with Rae Sisk After stressing thatChasidy he would not profit of 67% with a 42% parts gross recommend any price or discuss pric- profit in the standard mark-up which ing with the intent to set prices, she yield a total gross profit of 60% on defined gross profit as “the amount the job. Matrix mark-up pricing alleft over from the sale after costs lowed a parts gross profit of 63.4% have been “deducted” and mark-up and a total gross profit of 66% on the as “a calculation madeThomas on the costFranklin of job because “very low-priced goods with the part to arrive at a selling price.” can easily be marked up substantially Net profit is “what’s left over after more than higher-priced goods,” Witt you deduct operating expenses from explained. “This can have a signifiyour gross profit.” Witt stressed, “You cant impact on your profits at the end should all know how much it costs of the month, end of the year – 6% at you to put that key in the door each the end of the year is a ton of money.” with Ed Attanasio The standard formula employs morning.” Witt discussed how to find hours one factor to mark up parts, along per repair order (total bill hours di- with a standard hourly labor rate.
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“This leaves the shop short of funds that are easily obtained using the matrix method,” she said, encouraging attendees to check their shop management system for matrix pricing adjustments. “Every single business should be using matrix pricing.” To ascertain the gross profit per hour, add up all expenses, reasonable profit and return on investment (ROI). Divide that number by hours billed per month for a personalized gross profit per hour (gph) requirement. Witt explored several examples using matrix mark-up pricing to demonstrate how a low gross profit can still product a substantial gph. “Using the ‘standard method’ of pricing, you’d have marked it up too much and lost the job or sublet it or turned it away entirely. Forget the percentages – focus on gross profit per billed hour.” “Any time you do a job and the money just isn’t there, don’t blame
the customer; YOU offered to do it for that,” Witt continued. “So, figure out how long it will take to really do it right and price it at the proper gph.” Explaining that shopping all over for the lowest prices on every part for each job causes a loss in gph, Witt suggested looking up the list in ALLDATA and selling it for the price indicated there. Cost accounting, the science of breaking down the steps in a process to see how much each step costs, can be used to gain efficiency and reduce costs. “We eliminate steps that add cost but not value,” Witt explained, moving on to talk about the costs of inventory. Turning to the topic of discount promotions, Witt asked, “Is it wise to give away money? There are definitely people that are motivated by a discount. Now, I’m not saying to run See ASA Webinar, Page 49
Association Meetings
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That’s It! He’s Had it! Part 2 by Gary Ledoux
Owning and operating a collision shop today is a daunting task. It’s not uncommon to hear some owners say that they would just as soon get out and close their shop… but then, what would they do? In last month’s edition of Autobody News we produced part one of this two-part series on alternatives to operating a body shop. Here are a few additional ideas on alternative but related options and the conclusion of this series. Work For an OE: Car makers have a lot of people on the payroll - a lot of people with many talents, levels of education, experience and expertise. OE’s, at the national level, specialize in establishing dealerships, distributing cars, administering sales programs, warranty administration and ensuring a steady flow of spare parts. To do this they spend the majority of their time concentrating on their dealership network. Up until fairly recently, they spent little to no time on the collision side of the business and thus have few people who are well versed in it. A former body shop manager could provide expertise in any number of areas including field work, training, producing training or service materials, or administering body shop certification programs, just to name a few. Third Party/Consulting: Vehicle Collision Experts LLC, better known as VECO Experts, owned by industry icon and former shop owner, Mark Olson, offers a number of different consulting, training, coaching and auditing services to body shops. He also serves as an expert witness for court cases including collision and vehicle defects. In addition, he manages shop inspections for OE shop certifications programs for Subaru and several other OEs. To do this he employs over 20 associates…many of them former shop owners. Olson says, “I would like to have ten more former shop owners. Someone with 10 to 15 years in the business knows what they are doing… and do a good job at it.” Independent Consultant: It is not uncommon for a former shop owner
to lend their expertise to any number of different related companies who need a consultant on a part time basis, or to conduct a special project. Two that immediately come to mind, and are both former shop owners are Lou DiLisio of Automotive Industry Consulting, Inc. and the ever-popular Mike Anderson of Collision Advice. Technical Instructor: Doug Irish is the Department Chair for Collision Repair and Refinish Technology for
be passionate about, and talk to the booth representative. If they are not looking for new people, they probably know someone who is. In either case, it’s a great place to network. Website Design, Social Media and Promotion: To be “alive” in the business world today requires a well-designed and constantly updated website and appropriate social media presence. Some people are good web designers but know nothing about the collision
“If someone is looking to get out of their body shop and do something else, they first must be engaged with what they are doing now and where the industry is headed in order to be valuable to someone else.” — Frank Terlep the Fayetteville Technical Community College (FTCC) in Fayetteville, NC. “People become instructors for colleges, tech schools or high schools for a number of different reasons and in a number of different ways” says Irish. “But it’s good to have someone with several years’ experience and someone who knows the industry.” Irish notes that an instructor’s position will not command the paycheck that a shop owner’s will, but in many ways the job is less demanding, but, like any job, not without its challenges. Magazine Reporter: Since the 1970’s, scores of shop owners have authored magazine articles, some even had their own monthly column. Some did it while they were still running their shop, some after retirement. They wrote about everything from spray painting technique, to how to buy the correct equipment to tips for running an efficient front office… and everything in between. One thing they all had in common as writers – credibility. Representative for Other Industry Related Products: If you have never attended the ever-growing collision section of the SEMA show, take a few days next fall, book a room in Las Vegas and check it out. Just about every product you have ever used, or wanted to use in your shop is represented there. Find a product that you like, one that you believe in and can
business or how to relate to people. As a former shop manager, you definitely know the business, and know what to say (and what not to say) to potential customers. If you know how to produce websites and manage social
media, or know someone who does and you can manage their efforts, you have a ready-made and very lucrative business. Engage in Emerging Technologies: Industry veteran and author of the new book, Auto Industry Disruption, Who and What is Being Disrupted and What to Do About It, Frank Terlep notes, “If someone is looking to get out of their body shop and do something else, they first must be engaged with what they are doing now and where the industry is headed in order to be valuable to someone else. The future in this industry is electronics and you must watch the trends.” This includes autonomous cars, artificial intelligence, and alternative motive power and fuels. “AirPro Diagnotics is a good example of this emerging technology” noted Terlep. “They are diagnosing vehicle electronics from a remote location.” Industry veteran, former chairman for the Collision Industry Conference See He’s Had it! Part 2, Page 57
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in the U.S. and Canada
Solving the Tech Shortage with Stacey Phillips
Stacey Phillips is a freelance writer and editor for the automotive industry. She has 20 years of experience writing for a variety of publications, and is co-author of “The Secrets of America’s Greatest Body Shops.” She can be reached at sphillips.autobodynews@gmail.com.
Hawaiian Technical School Instructor Helps Train Technicians of the Future Just over two decades ago, Marlene Spence entered the Autobody Repair & Paint Program at Honolulu Community College in 1997 and earned an Associate of Applied Science (A.A.S.) degree two years later. Fast forward to 2020, and Spence is now teaching as a lecturer in that same program to help train the technicians of the future. When prospective collision repair students ask Spence about the importance of attending an auto body pro-
es in Oregon. She also owned a shop where she worked on custom motorcycles. Through the years, Spence always had a desire to go back to the community college to teach. When the opportunity to become a lecturer presented itself in the latter part of 2019, she said it was an easy decision to return. “It’s exciting and I love it,” she said.
Instructor Marlene Spence traveled with her students to the SEMA Show in Las Vegas this past November
gram, she tells them that it will provide the knowledge they need to work at a body shop. “If they come to college, they won’t have to start as the guy who sweeps the shop or washes the car or moves the car,” said Spence. “Instead, they can start with an entry technician position with better pay.” This is the first year Spence has taught at the community college. Growing up, she always had an interest in cars but spent most of her free time attending art and music classes. She attended Honolulu Community College as an art major and decided to switch to auto body, so she could learn how to custom paint. After graduating, she worked at the Pearl Harbor Naval Shipyard painting submarines for six months, one of which was the USS Keywest nuclear submarine. “It was a great experience,” said Spence. “It was unlike anything I had done before.” Over the next several years, she worked as a paint technician for a local Honolulu jobber, Hi-Line Distributors, as well as for Industrial Finish-
She currently has nine students as part of the one-year program and focuses on a combination of lecturing and hands-on learning. “I find that they retain more when they are actually doing the work,” she said. In the classroom, Spence focuses on developing the core skills students need in the field: attendance, attitude, organization, communication and developing a tight team that looks out for one another. This past November, she traveled with her students to the SEMA Show in Las Vegas to show them the various opportunities available in the industry. A few of them with native Hawaiian ancestry received financial assistance to attend as part of the ALU LIKE, Inc. Hama Lima Scholarship. The program offers a $1,500 award to students participating in a vocational or technical education program for occupations that can provide a “living wage.” “They were blown away at the show,” said Spence. She recalls that one of her students told her that going to SEMA and
seeing the opportunities available in the collision repair industry changed his life. Spence is now in the process of updating the curriculum at the school, which was the same material used while she attended the program. She is relying on information provided from the Inter-Industry Conference on Auto Collision Repair (I-CAR) as well as the Collision Career Institute (CCI). She is also working to boost enrollment, so the auto body program isn’t cut. While at the SEMA Show, Spence had the opportunity to attend a Collision Repair Education Foundation (CREF) roundtable meeting. There, she met other instructors with similar challenges. “I think other instructors across the nation are in this same situation,” she said. “At the end of the day, school is a business,” said Spence. “They
need enrollment to make the money to have the program survive.” Her advice to other instructors facing these challenges is to reach out to prospective students by attending career fairs at local high schools, visiting elementary schools and hosting tours to share information about the industry. While attending these types of events herself, Spence often observes that many parents try to steer their kids away from learning about vocational trades. “They don’t know that their children can make a really good living with minimal tuition and the skills stay with them forever,” she said. As a result, she stresses the importance of educating parents and students about the opportunities available and the type of future that is possible. “The more it’s out there, the more people will start accepting it
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and encourage their children to take something like this,” said Spence. “I know I’m passionate and I portray that to these future techs. If you don’t believe in it, they can pick up on it.” She also recommends reaching out to local associations and body shops to build connections. “If shops don’t already have relationships, build them because they are going to be your backbone of support,” said Spence. “The schools only know what they know and not always what the industry needs, so you need to get the industry behind you.” Spence has experienced industry support first-hand through the March Taylor Memorial Foundation. When she first began teaching, she realized that the tools in the college body shop were old and rusty. “These are the same tools used when I was going to school there,” she said. She talked to Toby Chess and Dale Matsumoto, both of whom are committee members from the March Taylor Memorial Foundation. Taylor worked in the collision repair industry and was known for being a compassionate businessman
Today, the donations received by the industry are used to provide opportunities for the next generation of technicians. Chess had originally met Marlene while she was a manager at Hi-Line. “She has a lot of technical experience, knows how to fix welders and is one of the best painters I’ve ever seen,” said Chess. “Every time we would do a training seminar, she was always involved and helped bring people in.” Chess recommended Spence apply for an educational grant through the foundation. The auto body program at the college focuses on lecturing “March was always adand hands-on learning amant about supporting the with the right feeling … the first time.” technicians in the industry and also The foundation was established big on promoting education,” said in 2007 by close industry friends who Matsumoto, who owns Auto Body knew Taylor and also believed in his Hawaii with his wife, Rissa. “The passion. Other committee members scholarship fund is about giving back. include Jeff Hendler, Collision Indus- March always gave—he never took.” try Conference (CIC) administrator; Matsumoto said the foundation Jordan Hendler, president of Admin really embodies “Kina’ole” and what Concepts; and Barry Dorn, owner he referred to as the “circle of giving.” “When the industry supports the of Dorn’s Body and Paint in Mechan- icsville, VA. foundation, the foundation is able to committed to changing the industry for the better and helping people learn. He lived his life according to the Hawaiian word “Kina’ole,” which means “Doing the right thing in the right way, at the right time, in the right place, to the right person, for the right reason,
support schools, which educates and supports students and ultimately the outcome is that industry gets back a better technician,” he said. “When you truly give from the heart, then good things really happen.” Spence prepared a wish list of tools that would be helpful to have in the shop. Chess said the cost of the tools came close to $4,000. The March Taylor Memorial Foundation donated $1,000 and the Automotive Body & Painting Association of Hawaii (ABPAH) matched that amount. Matsumoto also reached out to a number of collision repair shops and friends in the state to contribute to the program. “This was a grassroots effort,” said Chess. “The next thing you know we covered the cost. She got everything on her list and then some.” Kent Automotive donated 10 air hoses, three drill bit indexes, and five sets of shears in conjunction with the March Taylor Fund to help support the community college. “The benefit of supporting an educational program like this is to promote the collision industry and generate more interest surrounding
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this as a viable career path for young men and women,” said Ashley Lucenti, the Western U.S. regional sales director for Kent Automotive. “The success of these young men and women is important to all of us and the evolution of our industry.” Lucenti said she is new to the industry but in the short time she has worked for Kent Automotive she has observed many good ideas on how to better support one another as well as the industry as a whole and looks forward to seeing some of these ideas come to fruition. Meanwhile, Spence said that with all of the generous donations of tools and equipment, she will continue to develop the program at Honolulu Community College. She tells her students to remain in school, learn everything they can and ask a lot of questions. “I tell them that if it is something you really believe in, go for it,” said Spence. “I did and it worked out just fine. Don’t let anyone ever tell you no because they will.” For more information about the March Taylor Memorial Fund, visit www.marchtaylormemorial.org/.
Continued from Page 42
FHD Repair Forum March 24th-25th Details
ASA Webinar
The HD Repair Forum announced the release of its’ educational programand agenda (www. hdrepairforum.com/agenda) for this years’ installment of the only event dedicated to the heavy-duty collision repair market. The two-day event is filled with a fast-paced agenda, with speakers from industry leading companies and individuals driving change in the industry. Some of the topics include:
a silly discount; I’m talking about running an actual promotion.” An example where a shop offers a 10% discount on a select repair indicated $5,500 in additional gross profit, but Witt pointed out, “All of those sales are net profit because they are sales that would not have been made if he hadn’t run the promotion. That’s a 45% net profit, a 41.6% increase, and it demonstrates the value of doing just one more job each day.” “The aim of cost accounting is, first, find operational steps that add cost but not value, such as techs waiting for parts, and work on shop efficiency and labor billing,” Witt said. “Second, find out which operations make money, and which don’t. Focus on the money-makers and adjust your pricing or marketing on that tones that don’t. You’re the one that determine what it sells for.” Witt also warned about the “log jam.” When service writers are overloaded, it prevents them from effective-
• Frame, Cab, and Trailer Repair • Advanced Driver Assistance Systems (ADAS), Scanning, and Diagnostics • Business Strategy and Employee Relations • Steering, braking, and other key repair knowledge The speakers and content for this program are a derivative of the work, input, and direction of the HD Repair Forum Advisory board www.hdrepairforum. com/advisory-board.
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ly selling or keeping up. As a result, additional unsold work quits being found. “Too many shop owners see low sales and want to add a tech,” she said, “but the answer may be that you need more office staff. You may need one support person per tech. If your shop’s techs are producing less than 160 billed hours per month, you need more office staff, not more techs.” Encouraging attendees to make changes to benefit their businesses, Witt concluded, “Analyze your own data, remember accountants only count beans, and do something! It’s very interesting. Accountants don’t make management decisions – accountants only provide information which management uses to make decisions. Do something! Make just two small changes that will do the most good, then make two more changes.” The webinar ended with a question-and-answer session. ASA’s next Webinar Wednesday will be held on Feb. 19 and will feature “TPMS Tech Solutions” with Gary Hicks, TPMS product marketing manager at Standard Motor Products. For more information, visit asashop.org/ webinars.
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with Stacey Phillips
Shop Management
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
with Ed Attanasio
Automotive Artwork Adds Class to Your Waiting Room Alan Fearnley: The paintings ‟Through my motorsports artof British artist Alan Fearnley focus work, I’m trying to capture the feeon classic and racing cars that feature ling that the spectator has watching people, architecture and landscape to the race, their favorite driver in accent the images. He has battle or the classic racecar at rest,” created more than a 100 Chenard said in his artist’s stateautomotive paintings on this ment. “I’m also trying to feature the subject, and 70,000-plus co- stories that give racing history depth pies of his works sold world- and texture.” Michael Irvine: Working priwide, as well as three books published of his work. Fe- marily with watercolors, Irvine is arnley’s style has been descri- known for creating clean and sharp But, what’s on the walls? with Gary Ledoux bed as impressionism, and I images that are alive with “color and What I often find are pictures of Little would bet that you’ve seen narration.” This approach to waterLeague teams, I-CAR and OE certifications, rusty old traffic signs, plaques Paul Chenard is well-known for his racing images drawn his images on prints, posters, color, together with his background by using pencils and pastels in illustration and his love of classic for the Employee of the Month or otalbums, calendars, etc. her forms of community or professio- Another cool way to give your Paul Chenard: Canadian artist cars, has turned Irvine into a major nal recognition. These types of things waiting area that “wow” factor is with Paul Chenard’s fine drawings using player within the world of automotican reinforce your already stellar re- a mural. You can hire a local artist and pencils and pastels have been popu- ve art. putation, but are they really pleasing come up with a concept that is unique lar for more than 25 years. His pas- “My goal is to continually chalto the eyes? Putting all of these things and suited for your shop and your sto- sion is for the history of automobile lenge myself. I want to give the on your walls is nice, but in the end, ry. Many shops have murals on the racing, which eventually led to col- viewer something they cannot see many waiting rooms like miniexterior of their buildings, so why not lecting vintage toy racecars and then in ‘real life,’” Irvine said. “I always withlook Stacey Phillips See Automotive Artwork, Page 56 museums or large bulletin boards. one inside? The only thing is you bet- his illustrations. Remember that when any indi- ter like the finished product, because vidual enters your facility, he or she changing it isn’t as easy as moving a can potentially become a customer couple paintings or posters around. for life. Stand out and impress them I once wrote an article about Luand begin the process on the right scious Garage in San Francisco, that foot. Of course, you’ll have to do a converted part of its shop into an art RN The right part makes the difference. gallery featuring the works SOUTHE of local artists. They curate it carefully, rotate the images every few months and the owners must have good taste, because the art is always A-List. If you want to do something that’s a little more conventional, hanging automotiAlan Fearnley focuses on classic and racing cars that feature ve art is always a winner, in people, architecture and landscape to accent the images my opinion. Whether it’s a great job on their car, but that’s given. giclee or a print, it won’t be cheap but In a world where social media can you won’t need to apply for a small help or hinder a business overnight, a business loan either. A giclee looks www.KiaofCarson.com www. ww w.Kiao Kiiao K aofC fC Caar arso son n..co com good first impression is more import- more like the original and costs more, ant than ever. but digital prints are extremely affor There are a handful of options for dable. decorating your walls in an attractive I have chosen four painters of • Genuine Kia OEM Parts • Efficient Service on All Orders and uncluttered manner. In some wai- automotive art whose works appear in • Fast & Free Delivery • Find us on: ting rooms, I’ve seen a series of black body shop waiting rooms all over the & and white photos of their town featu- world. I like their work and have choFax: 310.507.8595 ring different scenes throughout the sen four with differing styles. When I years. They went to the local library, was in Italy recently visiting shops, I Hours: Monday-Saturday 7am-7pm / Sunday 8am-5pm made high-res copies of the photos, saw images created by at least two of 22020 Recreation Rd. • Carson, CA 90745 and then had them nicely matted and the artists that I’m featuring here. During my career as a journalist co- framed. It’s a smart move because the vering the automotive repair industry, message is that you’re connected to I have probably been in more than your community and hopefully vice 600 body shop’s waiting rooms, and versa. with Bruce Roistacher unless it’s an MSO, they’re all different. Some shops go over the top, with fountains, beverage bars, contemporary furniture and big-screen TVs, etc. Others hire interior designers to create a customer-friendly environment.
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with Victoria Antonelli
In Reverse with Gary Ledoux
Gary Ledoux is an industry veteran with 48 years’ experience in the automotive and OEM collision parts industry. His column appears exclusively in Autobody News. He can be reached at YesterWreck@yahoo.com
The 1980’s – The Evolution of the “Patch Panel” In the early 80’s, the term “patch pan- overnight, alternative buying sources el” was still being used to describe have become available to collision non-OE sheet metal body panels used shops… It’s a growing business that primarily to replace rusted-out rocker someday is going to be big business.” with Garybuckets Ledoux Also, in 1984, an ad for Collipanels, floor pans, headlight and the like. (In the 50’s, 60’s and sion Parts Distributors of Grand Rap70’s, rust was a major problem. A car ids, MI touted availability for hoods, could be only three years old, be me- fenders, doors and grills for Datsun, chanically sound, but with rust holes Honda, Toyota, Mazda, Volvo, Audi, already poking through rocker panels BMW, Fiat, Peugeot, Mercedes, Reand fender wells, hence the need for nault and Volkswagen as well as pop“patch panels.”) ular Chevy, Ford and Chrysler appli-
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“We are getting parts with certified stickers and the parts still don’t fit. When people promote something that it is not, it is fraud in any other industry.” — John Loftus
Shop Management
with Edmagazine Attanasiocations. A mid-1984 ad for Keystone An early 80’s trade article noted that when the Big 3 body parts promoted front fenders for were changing sheet metal design 80-84 Ford pickups, tailgates for 73-80 every model year, it didn’t make fi- Chevy pick-ups and front fenders for nancial sense for the aftermarket to 80-84 Oldsmobiles. The aftermarket make fenders for such a short-run body repair panels market was rolling. of a vehicle model. However, with During that time, conspicuousChevy pick-ups keeping the same ly absent from the growing number with Bruce Roistacher basic body design for many years, it of trade magazine articles dedicated now made sense to invest in tooling to the burgeoning body repair panel to make the fenders in the aftermar- market was the mention of insurance ket. Also cited as recently becoming companies and their insistence that available were fenders for the Chevy the shop use more aftermarket parts. Chevette and Citation. But that wouldn’t last long. By 1985, Fueling the “patch-panel” market, insurers began to prescribe aftermara number of aftermarket parts suppliers ket parts as a way to reduce severity with Gary Ledouxand cost. began to emerge. Some sold direct to shops, while In the summer of 1986, a trade some sold through jobbers. Some magazine article about the difference claimed that their parts were better than and growing controversy over OE OE, while some claimed some really versus aftermarket crash parts notes poor-fitting parts were in the supply that it is “…the touchiest and most stream – but “not carried by their com- controversial situation to hit the colpany.” Some suppliers noted that they lision repair industry many years.” concentrated more on service rather The article notes that some people see than the part’s quality. Some suppliers no difference. The OE’s claim that the noted that they offered a longer war- aftermarket parts do not measure up, ranty than the OEwith to relieve any appredo not fit properly, are not properly Stacey Phillips hension that a potential customer may rust-proofed and have less then desirhave. It was the “Wild West” days of able primer on them. The aftermarket the “patch panel” market. claims that their parts are comparable By 1984, “patch panels” were to OE at lower prices and saves constarting to have an impact. One trade sumer’s money. The article notes that magazine noted “Crash parts used to the controversy about aftermarket be a one source buy-OE parts from VS OE did not really start until body the local dealership. But seemingly, shops were forced, by the insurance
companies, to use aftermarket VS OE. Prior to that, aftermarket parts were not given a second thought by most. Once they discovered aftermarket parts and the cost savings, more and more insurance companies began to call for aftermarket parts on an estimate. This, according to some, has caused a cost decrease for aftermarket parts. Aftermarket parts tend to be lower in cost for a number of reasons including, economies of tooling, labor costs (being made in countries where unions don’t exist), and priced at a niche-carving rate. And while the lower costs affect how much an insurance company has to pay for a claim, it also reduces the amount of money a body shop makes on parts. Shop owners maintained that aftermarket parts are not the same quality. They say they have to slot aftermarket fenders and other parts to make them fit. Aftermarket proponents note
that slotting must be done on some OE parts, the result of a bad body pull. (Let the sniping begin!) Aftermarket parts were also criticized for inadequate rust-proofing. Ford Motor Company tested parts under a 500-hour salt spray test. Ford noted that generally, the aftermarket parts did not hold up. They said that OE’s use a superior rust-proofing treatment that is not economically feasible for aftermarket suppliers. Aftermarket opponents say that aftermarket parts are available only on a limited scale. While General Motors may carry 17,000 designated collision parts, aftermarket suppliers will have about 420 part numbers. Aftermarket suppliers carry only the most popular parts while the OE has to have every possible part available, something that also contributes to the higher overall price of an OE part.
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Parts Dept. 408-533-1500 Hours: M-F 8-5
Parts Dept. 650-550-3700 Hours: M-F 8-6 / Sat 9-4
3566 Stevens Creek Blvd., San Jose, CA 95117
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Serramonte Volkswagen Parts Dept. 650-746-3000 Hours: M-F 8-6 / Sat 9-4
711 Serramonte Blvd., Colma, CA 94014
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Kia.com NO. CALIFORNIA Concord Kia Concord (888) 811-3058 (925) 685-2952 Fax M-F 8am - 5:30pm Sat 9am - 1pm
SO. CALIFORNIA AllStar Kia San Bernardino (909) 763-4755 (909) 763-4744 Fax M-F 8am - 6pm Sat 8am - 2pm parts@allstarkia.net www.allstarkia.net
Car Pros Kia Glendale Glendale (818) 745-1103 (818) 244-0017 Fax M-F 7am - 6pm duncan@carpros.com
Car Pros Kia Huntington Beach Huntington Beach (714) 274-6178 (714) 847-4410 Fax M-F 7am - 6pm Sat 8am - 4pm jasonr@carpros.com
From headlights to tail lights, bumpers to fenders and hoods, there is no substitute for genuine. The only way to assure that you are getting Genuine Kia parts, backed by the Kia Warranty, is to order them from your local Authorized Kia Dealer. Contact your local Kia dealer for assistance and delivery of the parts you need.
Citrus Kia Ontario (800) 583-7042 (909) 390-0948 (909) 390-0982 Fax scunningham@citrusmotors.com www.citrusmotors.com M-Sat 7am - 6pm Free Local Delivery Ask for Ike, Jimbo, Chris, Juan, Sean, Jeff Se Habla EspaĂąol
*Genuine Kia replacement parts (except battery) sold by Authorized Kia Dealer under warranty are covered for the greater of (1) the duration of the New Vehicle Limited Warranty or (2) the first 12 months from the date of installation or 12,000 miles, whichever comes first. Labor charges not included when not installed by an Authorized Kia Dealer. Warranty is limited. See Kia’s Replacement Parts and Accessories Limited Warranty for further details.
54 MARCH 2020 AUTOBODY NEWS / autobodynews.com
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Contact These Dealers For Your Kia Genuine Parts Needs Kearny Mesa Kia
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Carson (310) 221-9101 (310) 507-8595 Fax M-Sat 7am - 7pm Sun 8am - 5pm www.KiaofCarson.com
Kia of Downtown LA Los Angeles (213) 342-0923 (213) 342-0980 Fax M-F 7am - 7pm www.kiaofdtla.com
Kia of Irvine Irvine (855) 847-3592 (949) 777-2342 Fax
WASHINGTON Car Pros Kia Renton Renton (425) 204-6635 (425) 793-3889 Fax M-F 7am - 6pm Sat 8am - 5pm jgaeir@carpros.com
Lee Johnson Kia Kirkland (425) 823-0188 (425) 284-1790 Fax M-F 7am - 5:30pm Sat 7am - 5pm tthompson@leejohnson.com
Precise fit and finish, easy installation and a limited warranty direct from Kia— all genuine advantages of Genuine Kia Parts. Your local Kia retailer has all the parts you need.
North County Kia Escondido (760) 945-9939 (866) 888-3074 Fax parts@autogrp.com www.northcountykia.com M-F 7am - 6pm In San Diego Over 10 Years
NEVADA Jim Marsh Kia Las Vegas (877) 274-3820 (702) 946-6084 Fax M-F 8am - 6pm Sat 8am - 2pm johnd@jimmarshauto.com
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Having limited availability of aftermarket parts causes other problems for shops. A shop may be put at odds with their OE parts supplier if they only use that supplier for the hard-toget parts. This could put them at an economic disadvantage if the shops want to negotiate with the OE dealer for better parts prices. It didn’t take long for dealer parts managers to figure this out and reduce the discount extended to a shop that only bought “dealer-only” items. What was left out of the argument, in many cases, is the consumer. Insurance companies claim they save the consumers money by using aftermarket parts. Detractors of this idea claim that insurance premiums were never reduced because of the use of aftermarket parts. OE’s maintained that their reputation was at stake and at the very least, consumers have a right to be informed what parts go on their cars. A GM spokesperson said that ninety-nine out of one hundred customers have no idea what parts are being used in the repair of their car. In 1986, some in the industry tried to get I-CAR to take a stand
on the use of aftermarket parts. In the fall of 1986, I-CAR announced that it will take no position regarding aftermarket versus OE parts. Jeff Silver, then I-CAR’s executive vice president noted that “I-CAR can best serve its constituency by providing a forum for discussion” and not taking a position for or against aftermarket parts. Many in the industry were dismayed, but understood the reasoning behind the decision. In response to the growing tide of aftermarket parts, General Motors took out a full-page ad in a collision trade magazine condemning the use of aftermarket parts and at the same time announcing a price reduction on many fast-moving body parts. In yet another full-page industry ad, Nissan made a stance against the use of aftermarket parts. Among other things, the ad emphatically noted, “Nissan believes that until a law is passed requiring imported imitation parts to be inspected and certified, the use of such parts should be discouraged.” In December, 1987, the Certified Automotive Parts Association (CAPA) was formed as a non-profit corpora-
David Snyder: David Snyder started drawing cars, airplanes and trains at the age of six. His passion for transportation history continues want to draw the viewer into a pain- today. Snyder’s art portrays memories ting, giving them more, the longer of growing up with cars from the they look.” ‛50s through the American Muscle era. He takes you down memory lane inviting you to ‟step right in” to his paintings and visit the past. The period architecture, signage, oil cans in the garage bay - no detail is too small for Snyder. Known for his detailed images, he spends countless hours on research before beginning a painting. Other popular automotive artists of note incluDavid Snyder’s images have been described as alive with de Kelly Telfer (pastels), “color and narration.” John Ketchell (semi-abs Irvine’s work has appeared on tract), Tim Layzell (30s and 40s the covers of the Mopar Collectors cars), James Hart Dyke (watercoGuide and Muscle Car Enthusiast. lors), Dan Gwinnett (large canvaHe offers reproductions of all of his ses), Bobbie Crews (murals), Bill paintings as limited edition prints, Bravo (commissions for classic car artist proofs and gallery edition can- owners), Dan Reed (realism) and Tony Sikorski (sculptor). vases. Continued from Page 50
Automotive Artwork
tion. CAPA acquired the Aftermarket Body Parts Association’s existing certification program with the intention of increasing its scope. The testing and quality assurance program used for certifying the aftermarket parts was developed in cooperation with the Detroit Testing Laboratory (DTL). By August, 1988, the legislative fight over OE parts versus aftermarket parts was in full swing. A trade magazine article notes that, at that time, some sort of collision parts legislation was pending in 30 states, and recently enacted in 12 states ranging from simple consumer disclosure to more complex regulations. Many states required disclosure to the consumer but did not require consent. Most laws did not require independent certification of the aftermarket parts to determine whether or not they were of like kind and quality to the originals. Some laws required that non-OE parts carry a warning to consumers, most did not. The article ended with, “Pending legislation and enacted regulations have begun to appear in some states; however, it is still too soon to tell if they will provide
any answers to this ongoing controversy.” Despite the question of a consumer’s rights to have non-OE parts, a bigger issue of fit, finish and safety was broiling in the body shops and within many shop associations; and the fact that there were so few aftermarket parts that were CAPA certified. John Loftus of the Society of Collision Repair Specialists said, “Our members continue to report aftermarket sheet metal that doesn’t fit but the insurance companies continue to promote the parts. We are accused by the insurance companies and by others of not wanting to use the parts because of the money, but the fact is, the parts don’t fit. It comes down to fit and aftermarket parts manufacturers have failed miserably to bring the parts up to a standard. We are getting parts with certified stickers and the parts still don’t fit. When people promote something that it is not, it is fraud in any other industry.” Today, some 35 years later, many of the same questions and issues exist – and may never be solved.
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56 MARCH 2020 AUTOBODY NEWS / autobodynews.com
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WIN Opens Registration for 2020 WIN Educational Conference The Women’s Industry Network (WIN®) is pleased to announce that registration for the 2020 Educational Conference is now open. This year’s Conference will be held May 3-5, 2020 in Newport Beach, Calif. “Driving the Future,” the Conference theme, will be reflected throughout the agenda of the two-and-a-half-day event that brings education, connection and celebration to collision industry professionals each year. “For our 2020 Educational Conference, we are excited to shake up our agenda a bit and offer more networking time,” says Wendy Rogers, Conference Committee Co-Chair. “We will be hosting a charity opportunity to give back to the community, and we will be taking our annual Scholarship Walk in late afternoon that gives way to a short reception and a free night to explore and sample the restaurants and nightlife in fabulous Newport Beach, Calif.” Register and receive the ear-
ly bird price of $300 if you purchase before March 31st. After that, the member rate is $475 and a non-member ticket is $700. Attendance at the Most Influential Women and Scholarship Winners Gala only is $80 per person. Room blocks are available at the Hyatt Regency Newport Beach for booking at the hotel until April 13th. If you are not yet a member, join today or before March 31st for $95 and you will be eligible to purchase a ticket to the conference at the member rate. More information to come regarding speakers and session topics. To register for Conference and view the agenda, please visit thewomensindustrynetwork.siteym.com/page/Conference. WIN is a 501(c)(6) not-forprofit organization. WIN recognizes excellence, promotes leadership, and fosters a network specifically for and among women. For more information go to www. womensindustrynetwork.com.
Think Genuine Subaru Parts.
He’s Had it! Part 2 and former shop owner Mike Quinn now serves as the Senior Vice President for Business Development for AirPro Diagnostics. Quinn said, “We can all see which way this industry is going. The future is in those companies that service a car’s electronics. Right now, this is handled by people who are more versed in the mechanical side of the auto repair business because they have had to deal with it longer. What they may not be as familiar with is the protocols and nuances of the collision repair business. That’s where the collision industry veterans could help.” To amplify comments from Frank Terlep and Mike Quinn above, Tim Ronak, industry veteran, former shop owner and now a business consultant for AkzoNobel noted, “One of my favorite sayings is ‘Learn or die.’ Everyone’s role in the collision industry is changing and evolving. Whether you are staying in your shop, or going somewhere else, you need to keep up with the industry and the technology.”
SO. CALIFORNIA
SO. CALIFORNIA
Frank Subaru
Subaru of San Bernardino
National City (619) 470-5625 (619) 336-1934 Fax Mon.-Sat. 7-6 www.franksubaru.com
Kearny Mesa Subaru San Diego (800) 548-9124 (858) 300-3331 Fax Mon.-Fri. 7-6 cguth@kmhyundaisubaru.com www.kearnymesasubaru.com/parts
Sierra Subaru of Monrovia Monrovia (626) 359-8291 (626) 932-5660 Fax Mon.-Fri. 7-6; Sat. 8-4 parts@sierracars.com www.sierraauto.com
We’re focused on getting you the Genuine Subaru Parts you need — fast and competitively priced. Put us to the test on your next Subaru repair or service job.
Bruce Cooley, now retired, has over 40 years in the collision repair industry having worked for DuPont and Sherwin Williams, and has called on hundreds of body shops. Cooley maintains that, among shop owners there are those that are self-employed, and those that are entrepreneurs. The entrepreneurs tend to concentrate on business concepts and business models. They employ people to do the actual work, as opposed to doing the work themselves and thus are quite adaptable to alternative but related businesses. Cooley says, “It is the entrepreneurs, those who are really engaged in the industry who will have the easier time transitioning to a different but related business. But because of their entrepreneurial spirit, may have a more difficult time simply working for someone else – especially when they have been the sole decision maker for their business for so long.” Leave your shop – or stay? It’s a harrowing question. With fast-changing technology and an ever-evolving business and socio-economic climate, it’s a challenge either way. Have you “Had it?”
San Bernardino (909) 888-8686 (909) 571-5483 Fax Mon.-Fri. 7:30-7; Sat 7:30-5 parts@subarusb.com www.sbsubaru.com
NO. CALIFORNIA
Elk Grove Subaru Elk Grove (877) 475-0659 (916) 509-8559 Fax Mon.-Fri. 8-6 shawnh@elkgrovesubaru.com www.elkgrovesubaru.com
Santa Cruz Subaru Santa Cruz (888) 844-7131 (831) 420-1402 (831) 420-1923 Fax Mon.-Fri. 7:30-6; Sat. 8-5 parts@santacruzsubaru.com www.santacruzsubaru.com
The following dealerships are eager to serve your needs. Call your local Subaru collision parts specialist today! autobodynews.com / MARCH 2020 AUTOBODY NEWS 57
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.
CIF Donation Helps Military Veteran Restore His Sense of Purpose After Retirement by Stacey Phillips
Military veteran Sterling Keith and his wife, Rebecca, found they were facing some unexpected challenges in 2014. Sterling was suffering from traumatic brain injury (TBI) and post-traumatic stress disorder (PTSD). Meanwhile, Rebecca was unable to work due to health issues.
CIF recipients at the January gala in Palm Springs, CA. (l to r) Becky and Sterling Keith, and Jeff Wilson
As part of Sterling’s medical retirement process, he was helping to restore a WWII ambulance with Operation Comfort. The organization works “to promote an inclusive and positive environment where wounded, ill and injured service members of all service branches, active duty and veteran, as well as their immediate family can recover and get involved in the community.” When the organization learned that Sterling’s work tools were stolen during one of his deployments to Iraq, they reached out to the Collision Industry Foundation (CIF). Established in 2001, the charitable foundation is dedicated to raising, managing and donating funds to provide emergency relief to collision repair professionals who have been impacted by natural disasters or other catastrophic events. Michael Quinn, president of the CIF Board of Trustees and senior vice president at AirPro Diagnostics, is passionate about the work CIF performs. “Providing assistance to our industry families fills a vital need, helping them recover from whatever disaster they are faced with,” said Quinn. “We are proud to carry on this work on behalf of the industry.” When CIF volunteers heard of Sterling’s situation, Quinn said they contacted Snap-On for assistance. “Snap-On generously collabo-
rated with CIF to replace Sterling’s tools as well as provide a custom toolbox for him,” said Quinn. They presented the toolbox to Sterling in 2015 during the Collision Industry Conference (CIC) in Palm Springs, CA. Shortly after, Sterling was told by Veteran’s Affairs and the U.S. Army that he could no longer work in the auto body industry. Since then, he has used the tools to restore Model A cars and trucks where they live in Texas. “When I retired, I felt useless and went into a very deep depression,” said Sterling. “Receiving the tools has given me purpose again and pulled me out of my depression. I’ve gone from seeing no future to being excited about life again.” Sterling’s military career spans three decades, first in the U.S. Navy where he served during Desert Storm. During this time, he also graduated from Nashville Auto Diesel College and began working in the auto body repair industry. He then joined the U.S. Army where he was deployed four more times with the National Guard in support of Operation Iraqi Freedom. When he returned from his last deployment in 2010, he was offered a full-time position with the Army, which he accepted and worked until his medical retirement process began. Rebecca said CIF’s donation of the tools has changed their lives. Since retiring, Sterling has been able to spend time focusing on automotive projects. In October 2019, he entered a 1961 Harley Davidson and Model A truck he restored in the Texas Masonic Retirement Center (TMRC) Family Day/Annual Classic Car & Motorcycle Show in Arlington, TX, and received first place for the bike and third place for the truck. “None of this would be possible without the very generous donation through CIF,” said Rebecca. “It gave him the tools to restore cars and trucks and bikes, but in turn that restored his sense of purpose after retirement.” Due to the TBI, Rebecca said Sterling often has challenges remembering things and can get frustrated easily.
“The tools and ability to work on those Model As gives him an outlet for that frustration,” said Rebecca. “Seeing him so much more relaxed and genuinely happy has had a profound effect on our whole family. The stress is not all the way gone, but we have learned many more ways of handling the stress.” Petra Schroeder, the secretary on CIF’s board of trustees, recalls when she first talked to the Keiths and learned about their situation. “It was a heartbreaking story,” said Schroeder. “Initially, they were both devasted when they found out he couldn’t work anymore. We have learned in many ways that if you have some kind of issue, mentally or physically, if you get your mind off of the particular situation, it will help the overall healing process.” Schroeder said it is rewarding for CIF to help those in need. “The Collision Industry Foundation is there to help our brothers and sisters in the industry,” she said.
The 2020 CIF Board of Trustees
Sterling and Rebecca both highly recommend that industry members faced with catastrophic events reach out to CIF for assistance. “Anyone within the industry can fall on hard times, suffer from a natural disaster, or find themselves in need for various other reasons,” said Sterling. “CIF has numerous contacts who can assist with helping those individuals get back on their feet, get back on track and find a renewed sense of purpose in their lives,” added Rebecca. “We hope to spread the word to never give up and keep working towards your goals even if those goals have to change along the way.” The couple recently attended the 10th annual CIF Gala held in Palm Springs, CA, following the CIC meeting in January. This year,
the gala took place at a larger venue, The Bank, and Schroeder said there was record attendance. In addition to holding a silent auction to raise funds, a special drawing was held to win a “Big Green Egg Smoker” package donated by Nexsyis. “The CIF Gala was just amazing,” said Sterling. “It was an honor to be able to attend. We met so many people and made new friends.” Rebecca said, “It was a very big self-esteem boost for Sterling to have so many people admire his work on the Model As and his overall progress.” Schroeder and the Keiths have stayed in touch after their initial meeting five years ago. “When I saw Sterling again at the gala event in Palm Springs, it was really priceless to me to see the smile back in his eyes,” said Schroeder. CIF encourages anyone in the industry who knows of a colleague in need to reach out to CIF. “Just one call, email or text is enough to alert a small team within CIF who will get together and discuss what is possible to help,” said Schroeder. “When disaster happens, we would like for everybody in the country to be our boots on the ground and help us find victims of these natural disasters we can assist,” said Schroeder. There are several ways to support CIF and those in the collision repair industry. Online forms are available on the CIF website for yearly, quarterly, monthly and one-time donations; Schroeder said that two CIF donors recently set up recurring monthly donations. CIF can also supported by shopping on Amazon Smile! After signing up, a small portion of purchases (0.5%) goes to CIF. In addition, members of the industry have taken initiative to find ways to bring awareness to CIF, such as Dave Luehr of Elite body Shop Solutions, who held a birthday fundraiser on Facebook and Frank Terlep who is donating a portion of the proceeds from every paperback he sells of his new book, “Auto Industry Disruption: Who and What is Being Disrupted and What to Do About It!”
58 MARCH 2020 AUTOBODY NEWS / autobodynews.com
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From Prison to Collision: The Jabari Hayes Story by Ed Attanasio
From being a highly-recruited collegiate track star to a convicted felon, Jabari Hayes’s journey was a surprise to many people who knew him. He didn’t look like a gangster and everyone was impressed by his intelligence and engaging personality. But he got involved in a drug trafficking operation, which eventually led to a lengthy sentence in federal prison. And that’s where the story begins. Upon his release from prison, Hayes landed a job at a body shop and learned an industry he knew nothing about before acquiring a shop himself. Today, he is the co-owner of Bavarian Collision in Atlanta, GA, a shop that
Jabari Hayes’s life story is featured in Miles in the Life
repairs 30-40 cars every month out of a 10,000 sq. ft. facility with 11 employees. Hayes’s life story is featured in Miles in the Life: The Story of a BMF Drug Trafficker, a documentary that can be seen on Amazon Prime and has received excellent reviews. In 1994, Hayes was on top of the world as an All-American track athlete, a graduate of Morehouse College, and an up-and-coming entrepreneur with a highly successful valet service. Things were going well especially for a kid who was raised by a crack-addicted mother in the infamous Gowanus Projects in Brooklyn, NY. Five years later, his life took a sudden and dangerous turn when he got involved in a drug trafficking operation. It was run by the infamous Black Mafia Family (BMF), known then as the largest African American drug organization in the Southeast. www.autobodynews.com
Driving a limousine and posing as a legitimate limo company, Hayes was moving huge amounts of cocaine. With so many quick money opportunities lying at his feet, he gradually found himself slipping more and more into the drug-running lifestyle of high-end vehicles, pricey real estate and more money than he could possibly spend. His bosses liked him because he was punctual and reliable and soon Hayes was taking bigger and bigger risks. This caught the attention of BMF’s kingpin, Duke, who then persuaded Hayes to transport one thousand kilos of cocaine in a luxury RV across the country. With a fiancé and their first son on the way, Hayes wants to make this his final run and exit the game once and for all. But every tragic hero has a tragic flaw. Without spoiling the story, Hayes got caught and that’s when things began moving in the wrong direction. When he was sentenced to 87 months, it rocked his world, but he decided to turn it into a positive experience, he said. “God has been watching me the whole time, even when things looked really bad. I got a good lawyer and the judge could see that I was non-violent and a firsttime offender. Otherwise, I might still be sitting there. I look back at it and I’m blessed, happy and grateful.” While serving his time in a minimum-security facility, Hayes wrote a book, took 22 classes and actually taught two himself. Upon release, Hayes landed a job as an estimator for a body shop, and immediately hated it. “Working for that shop was more stressful than living in a crack house in Brooklyn in the 1980s—there was no comparison. The owner just threw me in there and figured I would just deal with it because I was fresh out of prison. People treat ex-offenders like infants because they figure we have no ability to discern right from wrong. They forget that before you were incarcerated, you owned successful businesses, so you have to start all over again in many cases.” But, amidst the chaos, Hayes began learning as much as he could
about the collision repair industry before his entrepreneurial spirit kicked in. “Like they say, if you fail to plan you plan to fail. After two years, I was tired of all the sleepless nights, but I thought I could do this myself and the right way.”
Hayes (left) and his partner Mike Lembcke opened the doors at Bavarian Collision in Atlanta, GA in 2012
That’s when Hayes met Mike Lembcke who owned a mechanical repair shop right across the street from where he was working as an estimator. “I was telling him about my ideas and how to approach the body shop business and he said let’s do it here. So Bavarian Collision opened in 2012
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and we haven’t looked back since.” Without guardian angels helping him every step of the way, Jabari wouldn’t be where he is with a flourishing body shop and a great future. “People stepped up and literally saved me,” he said. “My dad came and pulled me out of Brooklyn when I was a kid, because it was a crazy environment there,” Hayes said. “My mother was addicted to crack, so he brought me to live with him in St. Louis to get me away from it all. Then years later I met Mike, my business partner and we’ve worked hard to build a great business.” Hayes is also embarking on a whole new career as an inspirational speaker with a positive message. “I want to talk to inmates and show them what I’ve done,” Hayes said. “I want to show them that they’re not destined to fall in the same traps as other inmates. They don’t have to be a stat. I made it in this industry, but it wasn’t easy. I made a commitment to myself and was willing to work harder than everyone else and I want to share that with others.”
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UPDATED DAILY
60 MARCH 2020 AUTOBODY NEWS / autobodynews.com
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Genuine Nissan & INFINITI OEM Wholesale Parts are Superbly Crafted to Strict Quality Standards.
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autobodynews.com / MARCH 2020 AUTOBODY NEWS 61
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Will Our Children Ever Learn How to Drive a Car? by Trevor English, Interesting Engineering
Fully self-driving cars are almost here, so will the next generation ever really need to learn how to drive? Self-driving cars and autonomous vehicles are the next big thing in the automotive industry. All this innovation is begging the question, will kids of the future ever learn how to drive a car?
Several leading experts predict that children born this year will never have to get a driver’s license, according to Motor Trend. This prediction makes sense due to the fact that most industry leaders predict that
self-driving vehicles will become commonplace on our roads in 10 to 15 years. The director of Google’s autonomous vehicle team has also posed that his main goal is to make sure that his 13-year-old son never has to learn to drive a car. This would mean that autonomous vehicles would be commercially available by the end of 2020 – an ambitious goal (that probably won't happen). The potential for autonomous automobiles The thought of our children or our children’s children never driving a car seems almost absurd given the history of the automobile industry. Cars have always been, and arguably will be, a field of interest that sparks nostalgia, excitement, and good times. For many, driving a car is where the fun in cars sits. Many people don’t just drive to get places; they drive to have fun, to enjoy the experience. So then, if our children never have to drive a car, won’t they miss out on that unique experience? Well, we have to look at the sit-
Coronavirus Expected To Heavily Impact Global Car Industry by Brad Anderson
The coronavirus outbreak in China threatens to have long-lasting effects on the global car market with auto supply chain issues and a national slump in sales, CNN Business reports. Prior to the coronavirus, car sales in China have fallen for two consecutive years due to a slowing economy and the loss of tax incentives for electric cars. Since the deadly virus has spread, many large factories have been ordered to remain shut until next week as the Chinese government scrambles to contain the virus. S&P Global Ratings believes the outbreak will force car manufacturers across Asia to slash production by about 15 per cent in the first quarter. Companies with factories in the city of Wuhan, the epicenter of the virus, such as GM, Nissan, Renault, Honda, and PSA Group, are particularly exposed as the city and the rest of the Hubei province account for 9 per cent of total Chinese auto production. Volkswagen is also at risk as
it operates 24 factories making cars or parts in China, accounting for no less than 40 per cent of its global production. For now, the automaker says its planned deliveries to customers haven’t changed and that its supply chain “is on track to be fully functional in time for the start of production.” As the crisis continues, it will become increasingly likely that global auto supply chains will be damaged. Large automotive suppliers such as Bosch, Schaeffler, ZF Friedrichshafen, Faurecia, and Valeo all have significant operations in China. Earlier this week, Hyundai made the drastic decision to suspend production at its South Korean factories because the coronavirus has impacted its supply of parts from China. “Even industries that appear to have low exposure to Chinese suppliers will almost certainly contain firms that are heavily reliant on inputs from China,” global economist at Capital Economics Simon MacAdam said. We thank CARSCOOPS for reprint permission.
uation from a couple of different perspectives. It seems highly unlikely that in 16 years, regulations will state that all cars must be self-driving. This would mean that there will still be options for those of us that want to drive cars or drive classics. In 16 years, however, it is highly probable that technology and regulation will allow for self-driving cars on the road, or even regulate that all new cars be self-driving due to improved safety. Would having no human drivers be better? Our children may then have a choice to drive a car, but they will probably never have to drive a car if they don’t want to. As a parent myself, I personally hope my children never have to drive a car for one main reason – safety. The crash rate for young drivers (16-19) is 2.7 times higher than for any other age group, according to the California DMV. In general, people are not great at driving, but teens are especially not great at driving. 94% of all motor vehicle accidents are because of human error. That means that 94% of all accidents
could hypothetically be stopped with the implementation of autonomous vehicles (ideally). Having a computer drive your car will be much safer than driving a car yourself. That's not an opinion, but a fact. We also have to look at this from another perspective, free time. Driving a car is arguably one of the most time-consuming tasks we do on a daily basis. Self-driving cars will bring us hours back to our day, stopping us from having to keep our eyes on the road. For kids of the future, I am hard-pressed to imagine that the majority of kids would want to drive a car undistracted rather than sit back and relax – probably on their smartphones, but that’s another issue entirely. So, will our kids have to get their driver’s licenses? Probably not, but I don’t see the option of driving cars fading anytime soon. The future of automobiles will likely be autonomous, but the choice to drive a car will remain just that, a choice. We thank Interesting Engineering for reprint permission.
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62 MARCH 2020 AUTOBODY NEWS / autobodynews.com
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Judge Weighs in on Emergency Motion by Emmariah Holcomb
U.S. Magistrate Judge Leslie R. Hoffman issued an order today that both grants and denies parts of an emergency motion filed in the ongoing battle between the plaintiff, Allstate Insurance Company (Allstate) and defendants, Auto Glass America LLC (AGA) and its owner, Charles Isaly. Hoffman issued the order today which finds two exceptions in Allstate’s arguments. The legal battle has continued for more than a year, stemming from allegations that both AGA and Isaly allegedly pressured Allstate’s insureds into hiring them for windshield replacements, while obtaining assignments of benefits (AOBs). On February 6, 2020, Allstate filed an “emergency motion” for a protective order for one of its corporate representatives. “Allstate does not seek to cancel the corporate representative deposition; rather, Allstate asks the court to limit the topics that AGA can inquire about at the deposition. With two exceptions, the court does not find Allstate’s arguments to be well-taken,”
a portion of Hoffman’s order reads. According to the court, a party or person moving for a protective order must show “good cause,” but the need for the motion came into question. “The court questions whether Allstate’s motion truly constitutes an emergency. Allstate has been aware of almost all of the topics that AGA wishes to inquire about since October and agreed to the deposition date two months in advance. Allstate was also in receipt of the Notice of Deposition since January 15, 2020, yet waited two weeks to contact AGA’s counsel to begin the meet and confer process, and then waited again until three business days before the deposition date to file the motion. Allstate’s protests to the contrary, this emergency was one of Allstate’s own making,” a portion of the order reads. Two Objections According to Hoffman, many of the topics listed in the deposition’s notice use the terms “claim” or “each claim.” Hoffman asserts that these terms are not identified in the deposition, and could refer to claims throughout the
U.S., or even internationally. The claims for relief are based in Florida and relate to Florida glass and windshield claims. For this reason the court agrees with Allstate that the terms “claim” and “each claim” are ambiguous and overly broad, according to court documents. “Allstate’s Motion will be granted to the extent that the terms ‘claim’ and ‘each claim’ shall refer only to claims that originated in Florida. That is to mean, a glass and/or windshield claim that was filed against Allstate in Florida, paid by Allstate in Florida, and/or was the subject of a lawsuit by AGA against Allstate in a Florida court,” a portion of the order reads. The court noted that all parties agreed that the relevant time period for this lawsuit is 2014 through 2018. Meanwhile the insurance company claimed, due to timing, there were attorney-client privilege concerns. “To the extent Allstate raises, those issues can be addressed via appropriate objection during deposition. Allstate’s objections concerning confidentiality, and in particular any purported settlement agreements with other entities, can be addressed
by the parties’ confidentiality agreement. The court notes that Allstate nowhere argues the parties’ confidentiality agreement fails to provide sufficient protections,” a portion of the order reads. All of the other claims in the emergency motion were granted, according to Hoffman’s order. Case Background For more background on the case, see glassBYTEs’ prior coverage, including how the case started Allstate’s complaint, and yesterday’s story AGA and Isaly’s response to Allstate’s request for an emergency protective order for one of its corporate representatives. Look to a future edition of glassBYTEs for continued coverage of the suit. We thank glassBYTEs.com for reprint permission.
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autobodynews.com / MARCH 2020 AUTOBODY NEWS 63
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CREF Invites Dealers to Become Part of the Solution with New Initiative The Collision Repair Education Foundation is excited to announce the creation of their new “Part of the Solution” initiative which provides dealers and dealer groups with an opportunity to support future technicians by donating leftover parts that would otherwise be discarded, allowing students to train on current model vehicles. “Our philosophy is a higher quality program will attract a higher quality student which will make for a higher quality industry employee,” stated Christen Battaglia, Director of Strategic Partnerships for the Foundation. “When the technicians entering the industry are well-trained on current vehicles, using modern equipment and tools, the entire automotive industry benefi ts.” Parts are the most frequent need reported by schools with collision repair education programs, including fenders, hoods, bumper covers and a variety of other parts. Without access to these parts, many students are learning on vehicles and parts that are at least a decade old, but with the frequent advances in technology, this leaves student unequipped for a successful career after graduation.
Recognizing that most dealers trash thousands of dollars’ worth of parts monthly, the Foundation developed the “Part of the Solution” initiative in order to connect local schools with these dealers and dealer groups. CREF has compiled a list of over 500 schools across the U. S. in need of scrap parts that can be donated at little to no cost to the donor facility. “Hendrick Automotive Group is excited to partner with CREF’s initiative to provide students with current vehicle parts to practice OE repair procedures on that will better prepare them for today’s Collision repair environment,” said Roger Mesiemore, Corporate Director of Collision and Service Operations for Hendrick Automotive Group which has already signed on to support the future generation of technicians by participating in “Part of the Solution.” Dealers and dealer groups can also support future technicians by donating professional uniforms through the Foundation’s Student Technician Shirt Project. Supporters purchase professional Cintas technician shirts
for their local collision education programs, receiving a logo patch on the shirt in recognition of their dedication to the industry. According to Battaglia, “Receiving professional uniforms fi lls students with a sense of pride and teaches them what it means to look professional in the workplace. It instills confi dence in them, reminds them that plenty of us believe in them, and reaffi rms that they will have support as they pursue their education and enter the automotive industry as well-trained professionals.” Industry members interested in supporting the Collision Repair Education Foundation’s eff orts to assist secondary and post-secondary collision repair training programs should contact Christen Battaglia at (302) 377-5202 or Christen.Battaglia@ed- foundation.org. The Collision Repair Education Foundation, founded in 1991, is a notfor-profi t organization dedicated to supporting collision repair educational programs, schools, and students to create qualifi ed, entry-level employees and connect them with an array of career opportunities.
Brandon Honda wins DealerRater’s 2020 Award Brandon Honda has been awarded DealerRater’s 2020 Honda Dealer of the Year Award for the fourth year, as well as its sixth Consumer Satisfaction Award among Honda auto dealerships throughout Florida. The awards are based on Brandon Honda’s customer reviews of its customer service, quality of work, friendliness, pricing and overall customer experience, as posted on www. DealerRater.com during calendar year 2019. Brandon Honda has a cumulative customer satisfaction rating of 98%, with a score of 4.9 stars (out of a maximum of 5.0) over 8,796 lifetime reviews. “Car buyers have spoken and given Brandon Honda the highest satisfaction ratings among all Honda dealers in the state of Florida,” said DealerRater’s General Manager, Jamie Oldershaw. “The high quality and number of reviews of Brandon Honda speak volumes about the top-notch experience it provides its customers.”
Allstate Asks Court to Deny Latest Motion to Compel by Emmariah Holcomb, glassBYTEs.com
Yesterday, Allstate Insurance Company (Allstate) fi led a response to a motion to compel fi led by Auto Glass America LLC (AGA) and its owner, Charles Isaly, alleging that the insurance company needs “to provide better answers to AGA’s fi rst set of interrogatories served.” Allstate disagrees and has asked the court to deny that motion. Allstate fi led the lawsuit last year, alleging AGA and Isaly, “tried to pressure Allstate’s insureds into hiring them for windshield replacements.” “AGA is improperly attempting to use the discovery process in this case to obtain documents and information that it can use in the hundreds of cases it has fi led against plaintiff s (Allstate) in Florida’s state courts,” a portion of Allstate’s response reads. According to the motion’s response, the insurance company believes AGA and Isaly are attempting to broaden the scope of discovery in this case. Allstate also claims the information requested is irrelevant to the lawsuit.
“The amended motion to compel seeks documents that are entirely irrelevant and unrelated to the claims and defenses at issue in
this case, particularly with regard to Allstate Insurance. It also does not comply with the requirements of the local rules, with regard to the formatting and conferral requirements. Thus, Allstate requests that the court deny the amended motion to compel in its entirety,” a portion of Allstate’s response reads. Allstate also stated the previously requested W-2 forms were overbroad, when responding to one of the questions in the motion to compel. “Request No. 20 sought copies of 1099s or W-2 forms generated by
Allstate Insurance for services performed by AGIS…for conducting appraisals for the years of 20102018. As an initial matter, this request seeks documents that exceed the four-year statute of limitations (the parties have generally agreed that the relevant time period, for the purposes of discovery, is January 1, 2014, to date). Further, amounts paid to AGIS also are irrelevant because, as discussed above, no Florida court has recognized that as a basis for fi nding an appraiser to be disinterested. Also, this request is overbroad,” a portion of Allstate’s response reads. Case Background The case began last December when Allstate fi led a complaint, alleging that AGA and Isaly, “tried to pressure Allstate’s insureds into hiring them for windshield replacements, obtaining assignments of benefi ts (AOBs) from insureds, submitting invoices to Allstate for excessive and unreasonable amounts and fi l[ing] over 1,400 lawsuits for recovery of excessive and unreasonable amounts.” The court responded to a previous motion to dis-
miss, along with setting a mediation date for March 2020. Following the setting of a mediation date, AGA and Isaly fi led a motion to compel in order to get answers for some of its outstanding questions, to which Allstate responded. In Allstate’s response several of the questions were deemed irrelevant from the insurance company and were not answered fully, according to AGA. From there, AGA and Isaly fi led another motion to compel that if granted would require the insurance company to provide “better answers to its fi rst set of interrogatories.” Currently Allstate has fi led a response to AGA and Isaly’s motion to compel, asking the court to deny. Look to a future edition of glassBYTEs for continued coverage of the suit. We thank glassBYTEs.com for reprint permission.
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64 MARCH 2020 AUTOBODY NEWS / autobodynews.com
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Audi Part Professionals are experts on collision parts, replacement components and mechanical items.
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Audi Recalls Vehicles Equipped with Takata Non-Azide Inflators by David A. Wood
Audi TT, A8, A6 and A4 vehicles need new inflators because airbags may underinflate.
Audi is recalling more than 116,000 vehicles equipped with non-azide driver inflators as part of Takata airbags at risk of not deploying properly. 2000-2001 Audi TT Roadster 2000 Audi TT Coupe 1999 Audi A8 1998-2000 Audi A6 1999-2000 Audi A4 Nearly 107,000 Audi vehicles are recalled in the U.S. and more than 9,100 are recalled in Canada. Owner recall notifications are expected to begin March 27, 2020, but concerned customers may call 800-253-2834 and ask about recall number 69AE. We thank CarComplaints. com for reprint permission.
Amazon’s First-Ever Electric-Powered Delivery Fleet Set for 2021 Launch by Brad Bergan
Amazon is developing 100,000 electric-powered delivery vehicles in Detroit, due to hit the road by 2021. Amazon is pushing 100,000 electric-powered delivery vans, due to hit the road in 2021. Production
Credit: Amazon News
of emissions-free electric vehicles is underway in Plymouth, near Detroit. Part of The Climate Pledge, this massive order is Amazon’s push to meet conditions stipulated by the Paris Agreement 10 years early. The pledge obliges signatories to become net-zero carbon across their entire businesses by the year 2040, 10 years ahead of the 2050 goal of
Dave Luehr’s Next FREE Elite Webinar Series: “CCC ONE Estimating Features & Tips,” with Jason Kitchen of CCC Dave Luehr’s Elite Body Shop Solutions announces the next installment in the FREE Elite Webinar Series: “CCC® ONE Estimating Features & Tips.” Jason Kitchen, CCC® ONE Elevate Advisor, will present on Tuesday, February 25th, at 1 p.m. CST. To register, visit: https://event.webinarjam.com/register/8484qan. Those who are unable to attend the live event can watch the recorded webinar by joining the Elite Body Shop Academy for free at http://www.elitebodyshopsolutions.com/ews. This presentation will cover features and best practices to help CCC® ONE users optimize their utilization of CCC® ONE Estimating. Kitchen will cover estimating topics such as database options, guide, clear coat calculation and commonly missed items along with features like electronic parts sourcing to add efficiencies to your estimating process. “We are excited to have Jason joining us to teach CCC®
ONE users how to better use their estimating software,” said Dave Luehr. ‘A tool is only as effective as the skill of the user and using tools to their full potential results in less body shop chaos!’ Attendees of the Elite Webinar Series are always encouraged to bring their questions for the presenter to address and this webinar provides a unique opportunity to not only talk to someone who really understands CCC® ONE but also interact with and learn from other users. Every month, the Elite Academy highlights a topic to keep collision repairers and those that serve them well-informed with relevant information required to be successful in today’s challenging business environment. The webinars feature a wide range of top industry leaders in an interactive and often entertaining format.
the Paris Accord. “We’re trying to build the most sustainable transportation fleet in the world,” said Ross Rachey, the director of Amazon’s fleet and products. “It also needs to be the most functional, the highest performing, the safest.” For 18 months, Amazon’s transportation team meticulously assessed a variety of electric vehicle options for the lowest carbon footprint. But since Rachey’s team had to move at lightspeed to meet their deadline, they dispatched conventional options in favor of a totally new and customized electric vehicle. You could say their designs beyond convention are the state of the industry. Next-gen delivery and zero emissions If successful, this next-gen delivery van will reduce carbon emissions, improve driver safety, and bring technology and other design elements up to par for best-in-class
driving experience. Constructed in Rivian’s plant in Normal, Illinois, the vans come in three sizes, and work with multiple battery types, to suit the disparate demands of specific delivery routes. “We are focused on driving efficiency into every aspect of the vehicle design — everything from cabin heating to driver ergonomics to drivetrain design has been optimized for time and energy,” said R.J. Scaringe, CEO of Rivian. “And then the echo effect of this, of causing other logistics players in this space to also look at how they drive up efficiency within their fleet, will have a very large impact.” As a world community, we’re only on the cusp of the biggest industrial revolution ever — rivaled only by the last, in the 1900s. But the unique synergy of ambition, innovation, and global awareness could make the next few decades the most exciting time to be alive. We thank Interesting Engineering for reprint permission.
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66 MARCH 2020 AUTOBODY NEWS / autobodynews.com
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INSIST ON GM GENUINE PARTS ONLY ORIGINAL PARTS PROTECT THE VEHICLE’S VALUE.
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Universal Technical Institute’s Core Automotive Program Outfitted With Volvo’s Advanced and Electrified Vehicles Volvo Cars USA LLC has announced it will contribute 36 new vehicles to include twin-engine plug-in hybrid vehicles to Universal Technical Institute’s core automotive training program as part of its national Vehicle Lease Program for Schools initiative. The effort supports Volvo’s strategy to work directly with UTI and other educational institutions to put stateof-the-industry technology into the hands of students training for transportation careers, and ultimately increase the number of skilled technicians in the field. “For nearly 20 years, Volvo has trusted Universal Technical Institute to train the technicians who maintain and service its products across the nation,” said UTI Executive Vice President of Campus Operations Sherrell Smith. “This new program will give more students the opportunity to work on the latest technology in the market – ensuring they graduate from UTI ready to hit the ground running in a fast-evolving industry with high demand and earning potential.” The new cars – to be delivered across 11 UTI campuses nationwide – will support UTI’s hands-on train-
ing with Volvo’s advanced technologies, such as collision avoidance and advanced electrical diagnosis. In preparation for this unique access to these state-of-the-industry vehicles, UTI is revising its core curriculum to ensure that all students have the opportunity to experience learning on the Volvo cars in the lab.
have the option to continue their studies through the 14-week Volvo Service Automotive Factory Education (SAFE) program, exclusively offered at UTI’s campus in Avondale, Arizona. Successful MSAT applicants often are sponsored by Volvo and local dealerships to cover the cost of tuition. After two years of
“This new program will give more students the opportunity to work on the latest technology in the market – ensuring they graduate from UTI ready to hit the ground running in a fast-evolving industry with high demand and earning potential.” — Sherrell Smith “Volvo Cars sees an increasing demand for qualified technicians as the company is rapidly adopting electrified powertrains across its entire lineup,” said Jeffrey Jennings, Senior Manager, Technical Training at Volvo Car USA. “Getting our hybrid vehicles in the hands of future technicians is critical to the growth of our business.” Upon completion of UTI’s core training programs, UTI students who wish to specialize in Volvo vehicles
employment, and ASE Master Certification, they’re eligible for Master Technician status. UTI is unique for its 11 automotive Manufacturer Specific Advanced Training (MSAT) programs. The specialized manufacturer training and certifications that students receive through UTI’s MSAT programs, including the Volvo SAFE program, are acquired in just a few months and can often take two years
Tesla China To Resume Giga Shanghai Production On Feb. 10 As Government Steps In To Aid by Randell Suba
Tesla is set to resume production of its Giga Shanghai factory in China on February 10, following a multiweek-long shutdown in response to the coronavirus outbreak. On Saturday, the Shanghai government said it would coordinate with the companies affected by the virus shutdown to bring production to usual levels as it tries to control the spread of the deadly virus that has already killed 700 in the country, Reuters reported. “In view of the practical difficulties key manufacturing firms including Tesla have faced in resuming production, we will coordinate to make all efforts to help companies resume production as soon as possible,” said Xu Wei, a spokesperson for the municipal government of Shanghai. The municipal government would also ask banks to extend loans and to give affected local small businesses and foreign companies preferential rates, and exempt those hit hard from value-added tax. During its recent Q4 2019 earnings call, Tesla expressed worries that
the production of the Model 3 in China will be delayed by 1 to 1.5 weeks as supply chains and communications were disrupted amid the coronavirus outbreak that started in Wuhan City, which is roughly 9 hours by land from Shanghai. The Chinese government has ordered Tesla’s Giga Shanghai shutdown until Feb. 9, way beyond the holiday period in the country that was supposed to end Jan. 30, over coronavirus fears. This prompted the electric carmaker to postpone MIC Model 3 deliveries scheduled for February or until the situation improves in the country. Other automotive manufacturers such as Hyundai, Toyota, Ford, Volkswagen, Daimler, among others were also affected by the order. According to Tesla China’s VP for External Affairs Grace Tao Lin, delivery could be pushed back perhaps as far back as Q3 of 2020. Tesla’s finance chief Zach Kirkhorn explained that the Silicon Valley-based electric carmaker does not expect a big hit on its finances because the MIC Model 3 only represents a small fraction of Tesla’s quarterly profits.
During the temporary shutdown of Giga Shanghai, Tesla used China’s version of Tiktok to deliver customer support and push useful content to educate interested consumers about Tesla vehicles. Tesla also offered customers free Supercharging amid the coronavirus public health scare to make it easier for drivers who want to travel away from affected areas. The $2 billion Giga Shanghai car factory started producing the Model 3 electric sedans 10 months after its groundbreaking in January 2019. It has a current run rate of 3,000 units per week and has an expected production of 150,000 units per year. Aside from the mass production of the Model 3 sedan, Tesla has also launched the Model Y crossover program earlier in January. Tesla’s battery supplier LG Chem also announced on Friday that it plans to partly resume output on Feb. 10 but its plan is subject to change.
or more to garner in the field. With more than 220,000 graduates in its 54-year history, Universal Technical Institute, Inc. (NYSE: UTI) is the nation’s leading provider of technical training for automotive, diesel, collision repair, motorcycle and marine technicians, and offers welding technology and computer numerical control (CNC) machining programs. The company has built partnerships with industry leaders, outfits its state-of-the-industry facilities with current technology, and delivers training that is aligned with employer needs. Through its network of 13 campuses nationwide, UTI offers post-secondary programs under the banner of several well-known brands, including Universal Technical Institute (UTI), Motorcycle Mechanics Institute and Marine Mechanics Institute (MMI) and NASCAR Technical Institute (NASCAR Tech). The company is headquartered in Scottsdale, Arizona. For more information, visit www. uti.edu. Like UTI on www.facebook. com/UTI or follow UTI on Twitter @ UTITweet, @MMITweet, and @NAS CARTechUTI.
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We thank Teslarati for reprint permission.
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More Bad News at Nissan by Rob Stumpf
Nissan is shrinking again. Not in the sense that it plans to build smaller cars, but that the Japanese automaker is downsizing its workforce in an attempt to stabilize a company at risk of circling the metaphorical drain.
On Tuesday, Nissan announced that it will reduce its U.S. workforce of 20,000 employees by off ering buyouts to workers across its core and luxury brands. The automaker says that the buyout off er will be voluntary, available to both hourly and salaried workers aged 52 years and older. Nissan doesn’t specify
the number of employees that it plans to target, nor if there will be mandatory layoff s should that number remain unmet. This news comes just months after the automaker announced a nine-percent cut to its global workforce, placing 12,500 total jobs on the chopping block worldwide. It’s unclear if this round of buyouts is related to that decision. In summer 2018, Nissan reduced its North American production capacity by 20 percent due to declining sales. “Like many other automotive companies, Nissan North America is taking proactive steps to assess our structure, workfl ow, and operational effi ciencies amid a challenging industry environment,” wrote Nissan’s head of sales and senior VP, Airton Cousseau, in a letter sent to dealers obtained by Automotive News. “This reorganization will create offi ce synergies that will enable a leaner organization while still focusing on dealer profi tability and your ability to continue providing a quality customer experience. You will continue to receive all the support you need.”
Buzzwords aside, this move is Nissan’s response to not only its own slumping sales fi gures but also an industry-wide downturn after a momentous decade of growth and positive cash fl ow. The auto industry as a whole is beginning to watch as consumers realize that they’ve had their fi ll–especially with new car sales not do-
Nissan Titan Platinum
ing so hot right now. According to CNBC, this downward trend means that manufacturers exited 2019 with one of the worst sales years since the 2008 recession. Restructuring is a sign that Nissan is looking to resize its company to a more appropriate proportion aligned with its current sales fi gures, a number which drooped nearly 10 percent last year. Forward-looking projections don’t look so great either. Nissan
has also announced that it plans to switch its fi nancial and sales reporting from monthly to quarterly. The automaker says that this move is to “provide a clearer picture of sales performance over a longer period of time,” permitting it to smooth out its sales over a three month period rather than report up-and-down trends, eff ectively removing the sting of poor numbers month-over-month. This is a method that has been adopted by other industry players (including Fiat-Chrysler, Ford, GM, BMW, and Porsche) over the past year to help investors look past declining month-to-month sales. Will smoother fi nancial reporting and reduced costs be enough to save the automaker from itself and the market? Carlos Ghosn, the brand’s former CEO-turned-fugitive, has reportedly claimed that the writing has been on the wall for years, foreshadowing a company-wide bankruptcy by 2022. Meanwhile, dealers are begging Nissan for increased support and a better brand image before it all boils over. We thank The Drive for reprint permission.
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©2020 BMW of North America, LLC. The BMW name, model names and logo are registered trademarks. autobodynews.com / MARCH 2020 AUTOBODY NEWS 69
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