Western Edition California Nevada Arizona Utah
34
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VOL. 34 ISSUE 4 APRIL 2016
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CAA San Diego Chapter Meeting Held at Mitchell International by Stacey Phillips, Assistant Editor
The California Autobody Association’s San Diego Chapter meeting was held March 1 at Mitchell International. Shop managers, estimators and local businesses met for an informative pres-
See CAA San Diego Meeting, Page 9
CAA Takes on the Capitol at Legislative Day on April 12th by Ed Attanasio
Every year, the California Autobody Association co-hosts its ASCCA/CAA Joint Legislative Day and this year it takes place on April 12, 8 am to 3 pm at the Capitol Event Center, located at 1020 11th Street in Sacramento.
P.O. BOX 1516, CARLSBAD, CA 92018
entation by collision industry expert Mike Anderson. Read Anderson’s tips on how body shops can thrive in the future on page 48. “Things are changing rapidly and those who are ready and are flexible enough to change with our industry are going to be in this business for a long time,” said Tony Carrillo, president of CAA San Diego.
Change Service Requested
(l to r) Tony Carrillo, Carrillo’s Auto Body and president of CAA-San Diego; Carlos Vargas, Luxury Auto Body and secretary of CAASan Diego; Cindy Shillito, CAA Southern California representative; Hop Sanchez, FinishMaster and treasurer of CAA-San Diego
The CAA gears up for this event every year as the organization partners with the Automotive Service Councils of California (ASCCA), the largest independent automotive repair organization in California, to hold this event. With more than 800 members, the ASCCA has been representing all areas
of the automotive repair industry, including mechanical, auto body, supplier and educators in the automotive technology field for the past 76 years. CAA Executive David McClune is ready to lead these two groups as they take on the Capitol. “This is our big mo-
by Jeff Quackenbush, The North Bay Business Journal
open a shop at 19285 Sonoma Hwy., a 4,500-square-foot former tire and automotive building purchased in the fall for $1.7 million. Renovations and tenant improvements added another $700,000 to the project, led by general contractor Pacatte Construction of Santa Rosa. This new location comes during
See Legislative Day, Page 18
Santa Rosa, CA-based G&C Auto Body Doubles Shops and Sales in Five Years G&C Auto Body has doubled sales and locations in the past five years, as a new Sonoma Valley spot gives the company 10 shops in four North Bay counties. The Santa Rosa-based company run by the Crozat family is preparing to
See G&C Auto Body, Page 26
Presorted Standard US Postage PAID San Bernardino, CA Permit #2244
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Contents
COLUMNS Attanasio - Body Tech in Montana Paints a Second Career as an Artist . . . . . . . . . . . . . 38 Attanasio - The Little Things Go a Long Way with Customer Service . . . . . . . . . . . . . . . . 44 Luehr - How to Hold People Accountable . . . . 40 Phillips - Female Shop Owner in NY Says Success is Due to Being Prepared & Connecting With Customers . . . . . . . . . . . . . . . . . . . . . 34 Phillips - NY Body Shop Owner’s Weekly Radio Show Aims to Educate and Entertain Customers . . . . . . . . . . . . . . . . . . . . . . . . . 58 Sisk - Why WIN? Webinar Explains Why Everyone Should Be a WINner . . . . . . . . . . 46 Wickert - A Primer on Diminution in Value Claims . . . . . . . . . . . . . . . . . . . . . . . 66 Yoswick - Mike Anderson in 1996, Incomplete Estimates, Feather Prime and Block, PartsTrader . . . . . . . . . . . . . . . . . . . . . . . . 42 NATIONAL 2016 Digital Collision Repair Trends Report . . 51 2016 Second Quarter Training Schedule Announced by The Martin Senour Company. . 69
Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Assistant Editor: Stacey Phillips Online Editor: Victoria Antonelli Contributing Writers: Tom Franklin, David Brown, John Yoswick, Janet Chaney, Toby Chess, Ed Attanasio, Chasidy Sisk, David Luehr Advertising Sales: Joe Momber, Sean Hartman, Bill Doyle, Norman Morano (800) 699-8251 Office Manager: Louise Tedesco Sales/Research Associate: Cass Heckel Art Director: Rodolfo Garcia
the general population. Dodge owners favored Trump 50% more than the general population. Bernie Sanders and Clinton supporters registered the highest EPA-estimated fuel mileage, tied at 28.5 MPG. Republican candidates had the lowest average, with Trump supporters at just 23.6 MPG, and Marco Rubio and Cruz-backers tied at 24.7. As for highest MSRP, supporters of Green Party candidate Jill Stein drive cars averaging almost $40,000. They’re also the least likely to drive what most Americans do, with a paucity of Honda Accords, Ford Fusions and Toyota Camrys. Among electric car owners, 86% of responses supported a Democrat and 14% supported a Republican.
Abaris Training Resources, Inc. . . . .40 Alfred Matthews Buick-GMC-Cadillac .39 Audi Wholesale Parts Dealers . . . . .66 Automotive ID . . . . . . . . . . . . . . . . . .33 AutoNation Chrysler-Dodge-JeepRam-Fiat . . . . . . . . . . . . . . . . . . . .20 AutoNation Chrysler-Jeep-DodgeRam of North Phoenix . . . . . . . . . .8 Axalta Coating Systems . . . . . . . . . . .2 BMW Wholesale Parts Dealers . . . .61 Bob Smith BMW . . . . . . . . . . . . . . . .47 Bob Smith MINI . . . . . . . . . . . . . . . .47 Capitol Subaru . . . . . . . . . . . . . . . . .72 Car-Part.com . . . . . . . . . . . . . . . . . .18 Certified Automotive Parts Association (CAPA) . . . . . . . . . . .45 Chief Automotive . . . . . . . . . . . . . . . .7 Classifieds . . . . . . . . . . . . . . . . . . . .70 Colortone Automotive Paints . . . . . .30 Del Grande Dealer Group . . . . . .10-11 Dent Magic Tools . . . . . . . . . . . . . . . .6 Dominion Sure Seal, Ltd. . . . . . . . . .15 Downtown Motors of LA (Audi, VW, Porsche) . . . . . . . . . . .35 Eco Repair Systems of North America, LLC . . . . . . . . . . .32 Elk Grove Toyota . . . . . . . . . . . . . . .54 Enterprise Rent-A-Car . . . . . . . . . . .50 Equalizer Industries, Inc . . . . . . . . .43 FBS Distribution Co., Inc. . . . . . . . .28 First Auto Group . . . . . . . . . . . . . . . .46 Ford Wholesale Parts Dealers . . . . .49 Galpin Motors . . . . . . . . . . . . . . . . .31 Glenn E. Thomas Dodge-ChryslerJeep . . . . . . . . . . . . . . . . . . . . . . .13 GM Wholesale Parts Dealers . . . . . .62 Herkules Equipment Corporation . .34 Honda-Acura Wholesale Parts Dealers . . . . . . . . . . . . . . . . . .36-37 Hyundai Wholesale Parts Dealers . .65
Serving California, Nevada, Arizona and Utah. Autobody News is a monthly publication for the autobody industry. Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher. ©2016 Adamantine Media LLC. Autobody News P.O. Box 1516, Carlsbad, CA 92018 (800) 699-8251 (760) 603-3229 Fax www.autobodynews.com Email: news@autobodynews.com
Western
3M™ and Festool Announce Collaboration to Serve Collision Repair Industry . . . . . . . . . . 63 ABA Connecticut Releases “Now What?” App for Consumers . . . . . . . . . . . . . . . . . . 51 AkzoNobel Reveals 2016 Distributor Council. . 69 Alleged Admissions of ‘Price Fixing’ by State Farm and Progressive Employees Prompt New Filings in Multi-District Lawsuit Filings in Multi-District Lawsuit . . . 54 ASA Hosts Online Demo of New OEM Resource Center. . . . . . . . . . . . . . . . . . . . . 71 Audatex: Seam Sealer is a Body Operation . . . 71 Auto Body Shop Owner in Texas Restores Vehicle for Car Donation Using OEM Parts. . . 64 Auto Care Association Aims to Broaden Copyright Law . . . . . . . . . . . . . . . . . . . . . . 65 Auto Glass Academy Training Begins in April . . 56 Axalta’s Custom Finishes Calendar Competition . 60 AZ Location Opened by Collision Safety Consultants . . . . . . . . . . . . . . . . . . . . . . . . . 8 BASF Names N. America Distribution Director . . 56 Best Practices Shared After CARSTAR Merger . 33 BMW Ramping Up in Autonomous Vehicle Space . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60 B-Tec Systems Releases The Infrared Handbook . . . . . . . . . . . . . . . . . . . . . . . . . 47 CREF and Akzonobel Sustainability Grant . . . . 52 ETI Launches Service & Repair Capability Study. 29 Facebook Contest for New Flooring at School . . 47 Google’s Self-Driving Car Hits Bus: No Injuries, Team Expands, Google to Testify Before Congress . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 IABA February Meetings Address Changes to FLSA . . . . . . . . . . . . . . . . . . . . . . . . . . . 68 Larson Electronics Releases Two New Products . 60 Looking Outside of Industry Prompted Maaco Partnership With Pep Boys . . . . . . . . . . . . . 20 Maryland House Bill Center of Debate Over Use of OEM & Aftermarket Parts, Stakeholders Speak . . . . . . . . . . . . . . . . . . 62 Mirka USA Introduces Aquastar® Abrasive . . . 56 NABR Launches New VRS Labor Rate Survey for Luxury Brands and Special . . . . . . . . . . 68 New 6066 Nitrocell Generates Continuous Flow of Nitrogen from Shop Air for Plastic Welding . 18 PDA Extends Expertise to Financial Services Sector . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43 Portacool Introduces New Jetstream™ Coolers . 56 PPG MVP Conference Registration is Open . . . 63 PPG’s Charley Hutton Delivers Another Ridler Award-Winning Finish. . . . . . . . . . . . . . . . . 55 RDA Collision Solutions Training Seminar in TX . 67 Recent Poll Finds Tie Between Car Driven and Presidential Candidate Supported . . . . . . . . 3 Republic Services Driver Leaving OR Body Shop Tackles Fleeing Suspect . . . . . . . . . . . . . . . . 8 Rotary Lift Introduces Video Series. . . . . . . . . 58 SEMA and Auto Care Association Partner on Industry Job Board . . . . . . . . . . . . . . . 55 Service King Launches Revitalized Website. . . 58 Sherwin-Williams Automotive Finishes 2016 Second Quarter Training Schedule . . . . . . . 67 The Body Shop of the Future. . . . . . . . . . . . . . 48 Tsunami Compressed Air Solutions Launches The Rove . . . . . . . . . . . . . . . . . . . . . . . . . . 56 VA Photo Bill Passes with WMABA’s Suggested Amendments. . . . . . . . . . . . . . . 71 Women’s Industry Network Announces 2016 Most Influential Woman in Collision Repair Award . . . . . . . . . . . . . . . . . . . . . . . 64
Prius owners were more likely to support Ted Cruz and Hilary Clinton than the general population, while Dodge owners favored Donald Trump, and Honda Fit and Subaru Forrester enthusiasts “Feel The Bern,” according to data generated by car-shopping site BestRide and nationally syndicated radio program CarTalk. The findings stem from a poll of more than 10,000 respondents, who were asked what car they drive and which presidential candidate they backed. In a report issued February 23, the following results were determined: Toyota Prius owners were 40% more likely to support Clinton than the general population. Prius owners were 126% more likely to support Cruz than
Indexof Advertisers
REGIONAL Arizona Glass Bill Moves Forward through Stakeholders Meeting (Previous Coverage) . . 22 Arizona House Passes Automotive Glass Bill. . 21 ASA-AZ Charges Full Speed in 2016 . . . . . . . . . 6 Attanasio - CAA Takes on the Capitol at Legislative Day on April 12th . . . . . . . . . . . . 1 Attanasio - California Veteran Body Shop Owner Returns to Serve CAA for the Seventh Time . 28 AudaExplore & Mercury Support CA Agency. . . 8 BumperDoc Escondido Wins Angie’s List Award . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26 CA Shop Earns Assured Performance Certification . . . . . . . . . . . . . . . . . . . . . . . . 15 CARSTAR Auto Body Repair Experts Expands MSO Network in Northern California . . . . . . 12 CARSTAR Expands Edge Performance Group Training Program . . . . . . . . . . . . . . . . . . . . 52 Chief to Show New Globaljig Bench, Collision Repair Equipment at Las Vegas NADA Expo . 12 Espana’s Collision Repair in San Jose, CA Posts New Blog with Customer Reviews . . . . . . . 40 First Car Insurance Policy for Lyft Drivers in California . . . . . . . . . . . . . . . . . . . . . . . . 25 Los Angeles Jury Imposes Full Buyback Damages and Punitive Damages Against Sunrise Ford for Fraudulently Concealing History of Used Car . 56 Phillips - CAA San Diego Chapter Meeting Held at Mitchell International. . . . . . . . . . . . . 1 Phillips - Utah Shop Stresses Importance of OEM Certifications and Educating Customers About Parts Usage . . . . . . . . . . 14 Phoenix I-CAR Committee, CREF and ASA of AZ Hosting Greater Phoenix Area Career Fair . . 12 Registration Open For ToolTech 2016, April 25-28 in Monterey, CA . . . . . . . . . . . . 29 Santa Rosa, CA-based G&C Auto Body Doubles Shops, Sales in Five Years . . . . . . . . . . . . . . 1 Sisk - ASA-AZ Prepares for 2016 ATE. . . . . . . 32 Solano Pink Heals Unveils Pink Vacaville Police Car in CA . . . . . . . . . . . . . . . . . . . . . 50 Technaglass Acquires Precision Auto Glass . . 25 Utah Bill Would Eliminate Safety Inspections . . . 9 UTI Rancho Cucamonga Offers Training & Scholarships, Celebrates International Women’s Day . . . . . . . . . . . . . . . . . . . . . . 65
Recent Poll Finds Tie Between Car Driven and Presidential Candidate Supported
Kearny Mesa Subaru-Hyundai . . . . .55 Kia Motors Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . .53 Killer Tools & Equipment Corp . . . . . .6 Kool Tools - SEMA 2015 Product Review . . . . . . . . . . . . . . . . . . .16-17 Larson Electronics, LLC. . . . . . . . . .26 Maita Subaru . . . . . . . . . . . . . . . . . .22 Mark Kia-Mitsubishi . . . . . . . . . . . . .42 Maserati of Marin. . . . . . . . . . . . . . .14 Mazda Wholesale Parts Dealers . . .69 McPeek Dodge of Anaheim . . . . . . .29 MINI Wholesale Parts Dealers . . . . .60 Miracle System/Equipment Gateway, Inc. . . . . . . . . . . . . . . . . .9 Mitsubishi Wholesale Parts Dealers . .64 MOPAR Wholesale Parts Dealers . .41 Moss Bros. Chrysler-Jeep-Dodge . .23 Nissan/Infiniti Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . .63 Orio . . . . . . . . . . . . . . . . . . . . . . . . .25 Polyvance . . . . . . . . . . . . . . . . . . . . .24 Puente Hills Subaru . . . . . . . . . . . . .44 Riverside Kia . . . . . . . . . . . . . . . . . .58 Riverside Metro VW-Honda-HyundaiNissan-Mazda . . . . . . . . . . . . . . .51 SATA Spray Equipment . . . . . . . . . .19 Sherwin-Williams Automotive Finishes . . . . . . . . . . . . . . . . .20, 21 Shingle Springs Subaru . . . . . . . . . .38 Sierra Chevrolet-Honda-MazdaSubaru . . . . . . . . . . . . . . . . . . . . .59 Subaru Wholesale Parts Dealers . . .57 The Bay Area Automotive Group . . .27 Toyota Wholesale Parts Dealers . . .68 Valspar Automotive . . . . . . . . . . . . . .5 Volkswagen Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . .67 Volvo Wholesale Parts Dealers . . . .71 Wesch Tools. . . . . . . . . . . . . . . . . . .12
www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 3
Google’s Self-Driving Car Hits Bus: No Injuries, Team Expands, Google to Testify Before Congress
One of Google’s self-driving cars has collided with a public bus in Mountain View, CA, an accident report has revealed, in what appears to be the first instance of one of the company’s prototype cars causing an accident. The collision between the self-driving vehicle and a city bus was apparently caused by a software error on the part of the vehicle. The car pulled into the bus’ lane assuming that the bus was going to yield, but it didn’t. The collision happened on Feb. 14. Footage recorded by cameras on the bus shows a Lexus SUV, which Google has outfitted with sensors and cameras that let it drive itself, edging into the path of the bus that was rolling by at about 15 mph. Though it was a low-speed collision, the impact crumpled the Lexus’ front left side, flattened the tire and tore off the radar Google installed to help the SUV perceive its surroundings. The Lexus had to be towed. Neither the Google employee in the driver’s seat—who must be there under California law to take the wheel in an emergency—nor the 16 people on the bus were injured. The transit agency has concluded based on the footage that the bus driver was not responsible, spokeswoman Stacey Hendler Ross said. An independent claims adjustor has not yet determined liability, she said. El Camino Real is a busy six-lane boulevard with hundreds of intersections. The car was following a recent change to its programming, following “the spirit of the road” as well as the traffic code by hugging the far side of the right-turn lane to allow other cars to pass on the left. Images from the bus show two small, black sandbags on either side of a drain at the curb. The right lane was wide enough to let some cars turn and others go straight, but to avoid driving over the sandbags, the Lexus needed to slide to its left within the lane. The bus and several other cars that drove straight were to the left of the Lexus, in the same lane. When the light turned green, several cars ahead of the bus passed the SUV. Google has said that both the car’s software and the person in the driver’s seat thought the bus would let the Lexus into the flow of traffic. The Google employee did not try to intervene before the crash. “This is a classic example of the negotiation that’s a normal part of driving—we’re all trying to predict each other’s movements. In this case, we clearly bear some responsibility, because if our car hadn’t moved there wouldn’t have been a collision,” Google wrote of the incident, adding,
“That said, our test driver believed the bus was going to slow or stop to allow us to merge into the traffic, and that there would be sufficient space to do that.” The software that controls the cars is programmed to follow all traffic laws and to drive conservatively, the company said. The law-abiding algorithms that rule the SUV’s onboard computer make its decision to try and slip in front of the bus surprising. Footage from a forward-facing camera on the bus shows there was not much more than a full car length between the bus and the GMC Yukon in front of it. Google said it has tweaked its software to “more deeply understand that buses and other large vehicles are less likely to yield to us than other types of vehicles.” The DMV said that manufacturers of autonomous vehicles must report crashes, but “the DMV is not responsible for determining fault.” A spokesman for the U.S. National Highway Traffic Safety Administration declined to comment. The company also said it has reviewed this incident “and thousands of variations on it in our simulator in detail and made refinements to our software. From now on, our cars will more deeply understand that buses (and other large vehicles) are less likely to yield to us than other types of vehicles, and we hope to handle situations like this more gracefully in the future.” The Feb. 14 crash is the first in which Google has acknowledged its car made a mistake that led to a collision. The company has reported that between September 2014 and November, its prototypes drove themselves about 400,000 miles on city streets near its Silicon Valley headquarters without causing a collision. Its fleet has likely driven an additional 100,000 miles since then, though the company won’t be specific. According to Google’s accounting, its cars have been hit nearly a dozen times on the streets in or around its Mountain View headquarters since road testing began in spring 2014.
Google Expands Self-Driver Team Google’s self-driving car team is expanding and hiring more people with automotive industry expertise, underscoring the company’s determination to move the division past the experimental stage. The operation now employs at least 170 workers, according to a Reuters review of online profiles. Google has advertised nearly 40 new positions on the team, and many are related to manufacturing. The team
4 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
Bus Fails to Yield.
currently has six people with such experience, including purchasing, supplier development and supply chain management. Google has said previously that it intends to ready the technology for a marketable self-driving car by 2020, but it may never manufacture vehicles itself. Analysts say self-driving technology has several profit channels including licensing mapping database and vehicle control software, as well as an integrated package of software, sensors and actuators that would form the backbone of a self-driving vehicle. Google to Testify Before Congress The director of the Google X self-driving car project, Chris Urmson, and other auto industry executives will testify before Congress the week of March 13 on efforts to develop safe and effective autonomous cars. Senator John Thune, who chairs the Senate Commerce Committee, said that Chris Urmson would appear on March 15. Urmson will testify alongside executives from General Motors Co (Mike Abelson), Delphi Automotive PLC and Joseph Okpaku, VP of privately held ride-hailing service Lyft
Inc., to talk about “advancements in autonomous vehicle technology and its anticipated benefits for Americans,” the committee said. The director of Duke U’s Humans and Automony Lab, Mary Louise Cummings, will also testify.
The committee wants witnesses’ views “on the appropriate role of government in promoting innovation including removing unnecessary hurdles, and their strategy to grow consumer adoption of this new technology.” Major automakers and technology companies are racing to develop and sell vehicles that can drive themselves, but they have complained that state and federal safety rules are impeding testing and ultimate deployment of such vehicles. In January, NHTSA said it may waive some vehicle safety rules to allow more driverless cars to operate on U.S. roads as part of a broader effort to speed up development of self-driving vehicles. Safety regulators will write guidelines for self-driving cars within six months, Transporation Secretary Anthony Foxx said in January.
www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 5
ASA-AZ Charges Full Speed in 2016
keting for an encore presentation of his 2014 visit. The Automotive Service Association Rubio explained, “Gary was back of Arizona (ASA-AZ) jumped into the with new 2016 trends and online marnew year feet first with a jam-packed keting information to share. Technology January. changes are constant, and he explained Luz Rubio, Executive Director, that websites may need to be redesigned stated, “The ASA-AZ kicked off 2016 because search engine optimization is with a full schedule of chapter meet- needed to capture more traffic to our ings and roundtable discussions.” website.” On January 5, both the Yuma and Also on January 13, the Phoenix Tucson chapters held roundtable dis- West Valley chapter held their roundcussions with the West Valley chapter table at the Old Chicago Pizza Restaurant where 13 shop owners gathered to discuss their business resolutions for 2016 and current challenges shops face. Information was also provided on the new Automotive Certified Program being implemented by the AZ Department of Environmental Quality with the association intending to deliver updates as it is being outlined. The Phoenix East Valley chapter held their roundtable at The Verde Valley chapter the East Valley Institute of Technology where they held their dinner meeting on learned about the curriculum students receive January 19 at Hansen Enterfollowing suit on January 13. For its prises Fleet Repair in Camp Verde. January 13th dinner meeting at the Guest speaker Tim Van Over of BG Hotel Tucson City Center Suite Re- presented “great information on GDI sort, the Tucson chapter invited Gary vehicle maintenance and provided great Wagnon of 800biz.com Ninja Mar- resources for all attendees,” according by Chasidy Rae Sisk
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was a great opportunity to learn about the curriculum that the high school students are learning to be prepared for an entry-level position in a repair facility.” ASA-AZ shows no signs of slowing down with busy months planned for February and March as well. Additionally, the association is busily Rubio states that EVIT’s facility was impressive coordinating the job fair to Rubio. being held on April 23 in collaboration On January 20, the Phoenix chap- with the Phoenix I-CAR Committee and ter roundtable convened in a new loca- CREF. ASA-AZ has also begun plantion: the Spoke & Wheel in North ning for its 2016 Automotive Training Central Phoenix. The group’s discussion on developing the future workforce and the current resources in Phoenix led to a suggestion of a job fair which will be held on April 23 at a Phoenix LKQ/Keystone facility and is being hosted by CREF, the Phoenix I-CAR Committee and ASAAZ. A small group attended the Phoe-nix East Valley chapter’s & Expo (ATE) which will be held June roundtable held at the East Valley Insti- 10-12 at the WeKoPa Resort and Contute of Technology on January 27. ference Center in Scottsdale, AZ. Rubio stated, “The instructional For more information, call 602facility was very impressive, and it 544-2600 or visit www.asaaz.org.
www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 7
Republic Services Driver Leaving OR Body Shop Tackles Fleeing Suspect by Neil Zawicki, Albany Democrat-Herald
A route driver with Republic Services had a less-than-normal morning on March 3 when he tackled a man running from the police. Republic’s Jared Webster had just left Main Auto Body on Montgomery St. shortly before 9 a.m. and was approaching a stop sign at Second Avenue when he saw police vehicles with lights Jared Webster on in pursuit of a Dodge Neon, which was passing other cars at high speed. The Neon driver—who had blown a stop sign to attract police attention— narrowly missed Webster’s truck, and slammed into a building on the northeast corner of the intersection. The man then got out and took off on foot, leaving a female passenger injured in the Neon. “Reflexes kinda took over. I just jumped out and tackled the guy,” Webster said. “I kinda held him and at least slowed his pace a little bit until the cops got there. And they were on top of him with Tasers drawn on him. That’s when I backed off.” Police arrested Andrew Leon Oli-
ver, 33, for unauthorized use of a motor vehicle, reckless endangerment and eluding an officer. He also had a warrant in Lebanon for contempt of court and resisting arrest. Albany Police Captain Jeff Hinrichs said Webster deserves recognition for his actions. “There’s a high likelihood the suspect would have gotten away had he not assisted,” said Hinrichs. Still, Hinrichs cautioned against citizens taking such actions. He said Webster made the right choice after watching
Albany police search a car involved in an elude attempt that ended with the car crashing into the side of a building at the corner of Second Avenue and Montgomery Street. Credit: Mark Ylen, Democrat-Herald
the events unfold and being certain the suspect was running from the police. The passenger was transported to Samaritan Albany General Hospital and treated for minor injuries. We thank Albany Democrat-Herald for reprint permssion.
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AZ Location Opened by Collision Safety Consultants
Billy Walkowiak, owner of Collison Safety Consultants, has announced the opening of the company’s first associated location.
Collision Safety Consultants opened its first associated location in AZ
Collision Safety Consultants of Arizona, LLC, will be located in Scottsdale, AZ. The owners are Jan Vesely and Bob Isham. “The company will follow our corporate mission,” said Walkowiak. “They will do diminished value reports, perform post collision repair inspections and total loss vehicle valuations. They will be advocates working with shops, vehicle owners and consumers. They will also assist shops to improve quality control by advising them and helping them locate proper repair procedures.” For more information, call Bob Isam or Jan Vesley (480) 7662586.
AudaExplore & Mercury Support CA Agency
For the second consecutive year, AudaExplore, a business unit of Solera Holdings Inc., will make a $10,000 donation on behalf of Mercury Insurance to Crittenton Services for Children and Families. Crittenton Services for Children and Families of Southern California (CSCF) is a non-profit social services agency whose mission is to heal the wounds of abuse and neglect; strengthen families; and help troubled adolescents reach their full potential. The donation, made in conjunction with Solera’s LIFT program, will benefit Crittenton’s Independent Living Program that aids teenagers who lack secure homes in establishing their independence. Crittenton’s mission is closely aligned with the goals of Solera’s LIFT, and promotes teaching people from disadvantaged backgrounds the skills to lift themselves up and overcome adversity. “Enabling people to take control of their lives, and empowering them to make positive changes is something that AudaExplore and Mercury Insurance believe in strongly,” said Evangelos Antypas, managing director, AudaExplore.
Utah Bill Would Eliminate Safety Inspections
Continued from Cover
CAA San Diego Meeting
(l to r) Cathy and Jeff Johnson, Milo Johnson Autobody
(l to r) Gary Leger, Fix Auto; Frank Levy, Fix Auto; and Brenda Inzunza, FinishMaster
(l to r) Kirk Henson, Henson’s Fix Auto; Paul Amato, Amato’s Autobody; and Larry Houk, Penske Collision Center
(l to r) Talie and Bernie Veinbergs from Darby’s Paint & Autobody
(l to r) Carrillo’s Auto Body employees Hector Rodriguez, George Carrera, Delia Trevino, Mario Gonzalez
(l to r) Wayne Kruse, Mitchell; with Beau Brandon and Bob Sandkaut from Estimate Scrubber
(l to r) Mitchell employees Mark Talob, Chad Allison, Andrew Johnston and Deric Krist
(l to r) Ann and Katie Duggan from Duggan’s Collision Center
Utah Representative Norman Thurston, R-64, has introduced House Bill 319, which would repeal the requirement that certain vehicles obtain a safety inspection certificate to
be registered and to operate on a highway. Under current law, vehicles registered in Utah must undergo safety inspections based on the age of the vehicle. Vehicles with model years 10 years old and older must pass safety inspections every year. ASA opposes House Bill 319 and encourages Utah’s repair shops to go to ASA’s legislative website, www.TakingTheHill.com, and send a letter to their state legislators in opposition to the legislation (select “Alerts”). For additional information about ASA, including past news releases, go to www.ASAshop.org, or visit ASA’s legislative website at www.Taking TheHill.com.
M IRACLE ALUMINUM N OT JUST FOR DINGS & DENTS Miracle Aluminum will fix larger damages that until now have required panel replacement. Unlike other systems, it uses lift arc technology, Argon shield and special key shaped Aluminum bits in different alloys making repairs on deeper damages possible without pulling holes. IMPORTED TO THE USA BY
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W W W. E Q U I P M E N T G AT E WAY. C O M www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 9
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CARSTAR Auto Body Repair Experts Expands MSO Network in Northern California CARSTAR Auto Body Repair Experts announced in February that CARSTAR Sunnyvale Auto Body has joined their network.
KPI performance, and expand relationships with national insurance programs. It’s an exciting time for us, and we’re looking forward to what the future holds.” CARSTAR Sunnyvale Auto Body is housed in a 10,000-square-foot facility, which the company said is outfitted with top-of-the-line CARSTAR Sunnyvale is owned tools, frame machines and equipby Bob Brost and is located at 1288 ment, heated downdraft paint booth Forgewood Ave. in Sunnyvale, CA. and CCC ONE estimating system. In This marks the 11th CARSTAR shop addition to quality collision repair, they also offer towing, proin the state of California, fessional detailing, free and second in the San Jose shuttle for pickup and deregion. livery, and Enterprise renCARSTAR Sunnyvale tal cars. Auto Body was opened in “We’re excited to wel1945 by Brost’s father, Bill. come second-generation “This is a new era for owner Bob Brost and CAR our company,” said Brost. STAR Sunnyvale Auto Bo“With today’s competitive marketplace, we need to Bob Brost, owner dy to the CARSTAR family,” said Dan Young, forstay on the cutting edge of of CARSTAR mer president, CARSTAR technology with technique Sunnyvale Auto Body Repair Exand equipment to continue Auto Body perts. “As an experienced to grow. By partnering with CARSTAR, we will continue to im- owner, he is a tremendous addition to prove our purchasing power, main- our network of leading collision retain our operational efficiency and pair experts around the country.”
Chief to Show New Globaljig Bench, Collision Repair Equipment at Las Vegas NADA Expo
From benches to MIG welders, rivet guns to aluminum repair equipment, Chief will show their latest structural repair equipment in booth #1960C at the NADA Expo April 1-3 in Las Vegas,NV.
More information about Chief’s show specials will be available at their booth
“High-strength steels, novel materials, aluminum and OEM proprietary manufacturing processes are bringing a groundbreaking change to the collision repair industry,” said Bob Holland, director of collision in North and South America for Chief parent company Vehicle Service Group. “We have worked hand-in-hand with the OEMs to develop several new products that can help collision repair technicians repair today’s vehicles and those in development. The NADA Expo also presents an excellent opportunity for Chief personnel to obtain valuable feedback from dealers about
their business and equipment needs. To encourage dealer interaction, we are offering some of our most aggressive deals during the show.” For the first time at the NADA Expo, Chief will showcase the bench solutions available through its new North American “Globaljig Presented by Chief” brand. The drive-over Koala straightening bench with center-section holding will be featured in the booth. The comapny said this bench is suitable for a wide range of collision repair situations, from a quick pull to structural parts replacement. Double-pulse welding, aluminum dust and fume extraction, and riveting technology will be on display. Chief will also show its structural holding and frame-measuring equipment in its NADA booth. NADA Expo attendees can also see Chief products and talk with company representatives in the FCA U.S. LLC (#5314N), General Motors LLC (#2529C) and Bosch Automotive Service Solutions (#1500C) booths on the trade show floor. For information, visit to www.chief automotive.com or call (800) 445-9262. For video, visit http://chiefautomotive .com/videos.
12 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
Phoenix I-CAR Committee, CREF and ASA of AZ Hosting Greater Phoenix Area Career Fair
The Collision Repair Education Foundation (CREF), Phoenix I-CAR Committee, and Automotive Service Association (ASA) of Arizona are hosting a high school and college career fair in Phoenix on Saturday, April 23.
The event will take place at a Phoenix LKQ/Keystone facility and will bring together surrounding area collision and mechanical students interested in meeting industry employers. There are between 200-300 greater Phoenix area students anticipated to attend the event, which is available to all businesses to participate through several sponsorship opportunities.
“This event is a collaborative effort amongst our automotive repair employers and industry partners to bridge the gap between the automotive/mechanical industry, which is desperately seeking qualified employees, and students that are in need of a career in which they have trained for,” said Pam Counts of A&D Auto Body and Phoenix I-CAR committee chairperson. “The career expo is a great way to expose students to the career opportunities that the automotive and collision industry have to offer,” noted Luz Rubio, Automotive Service Association of Arizona executive director. CREF Director of Development Brandon Eckenrode noted, “I would like to thank the efforts of both the Phoenix I-CAR Committee and ASA of Arizona for making this event possible and helping to introduce collision and automotive students to employers. Those Phoenix area companies that are in search of entry-level students should participate in this event as students will have resumes in hand.” For information, contact Pam Counts at 623-640-2550 or Pam@ adautobody.com.
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Shop Strategies with Stacey Phillips - ASSISTANT EDITOR
Utah Shop Stresses Importance of OEM Certifications and Educating Customers About Parts Usage Karl Schmidt has managed Go Collision Repair’s body shop in Salt Lake City, Utah since 2007. The familyowned business was founded by Karl Otto Schmidt in 1936, and is currently owned by Walter Schmidt. Autobody News spoke to Karl about the importance of OEM certifications and how he educates customers about the difference in parts.
Can you tell us about Go ColliQ: sion Repair and your primary area of focus?
and one of the very few that have chosen to become certified by various OEMs.
Our shop, including our sister What is the importance company Schmidt Signs, has of having OEM certifiA: Q: been in business for more than 70 years. cations and what was entailed
With almost 30 employees, we strive to do what is best for the customer, despite the insurance companies’ demands. We have tailored to fleets and their refinish needs for years as many customers utilize custom paint and graphics as part of their identity. During the past eight years, we have added about 5,000 square feet to the body shop, dedicated just to cars, giving our operation about 11,000 square feet total space. Our main focus has always been graphics and painting but now In addition to collision repair, Go Collision focuses on we are proud to be one of Salt graphics, lettering, pinstriping and bedliner, as well as light repair and full refinishing on heavy haul equipment Lake City’s premiere shops
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to get certified?
The OEM certifications are not critical… A: yet. However, if you can’t
The family-owned business in Salt Lake City, Utah was
qualify for them now, you founded by Karl Otto Schmidt in 1936 will not be in business in the do them.’ Technology is changing and next five years. Cars are becoming so I want to be on top. We are not perfect, complex and we need to be tooled for the proper repair. In our quest to be- but we are progressing. come OEM certified we have invested In addition to collision repair, in some tooling and training that are what other services do you expensive, but it is needed to help enoffer and how does this complement sure air bag timing and proper repair. I know it is not business as usual your collision repair shop? even though many would love to tell In addition to collision repair, customers they have been doing rewe offer graphics, lettering, pinpairs for ‘20 years and I know how to
Q: A:
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striping and bedliner. We also do light repair and full refinishing on heavy haul equipment. Customers always ask why we also focus on signs and graphics as it seems unusual, but it is all about the fleet and our ability to serve them. It has worked well for us being a one-stop shop.
question. I need to start off by saying that we are not a DRP for any insurance company. I let customers know
A:
During the past eight years, Go Collision has added about 5,000 square feet to the body shop
We have been known to give away items on our website, but that is such a small part of the importance of the web site. It is really only to grab the customer’s attention when they have questions about getting their repairs done. How do you educate your cusQ: tomers about the difference between OEM and aftermarket usage? How do I educate my cusA: tomers? Wow, that is a big
Q:
Is there anything additional you would like to share with readers about your business or the industry? Utah is really hurting when it A: comes to consumer protection and the insurance commissioner’s
I noticed that you were having a contest to win Q: free Utah Jazz tickets with a
customer's repair. Have you offered contests in the past and what is the benefit of doing this for your business?
out for them.
some of the schemes the insurance company is going to do to help mitigate the claims. I tell them that I work in their best interest and not for the insurance companies. I also let them know about our relations with the parts manufacturers and how they like to help, which ensures customers have OEM parts on their cars. I spend time letting consumers know that insurance wants to mitigate claims, and sometimes does not represent what is truly best for the consumer, or their vehicle. Consumers like knowing that someone is looking
in·teg·ri·ty:
stance on who is important to protect. The insurance is well represented in Utah and that is not a good thing. I do know we as body shops need to do more together to help our industry both as a group and at the state regulation level. For more information, contact Karl Schmidt, manager at Go Collision, at 801-486-0193.
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CA Shop Earns Assured Performance Certification
North Fresno Collision Center recently earned official certification from consumer advocacy group Assured Performance for its auto body repair services. According to the group, less than five percent of body shops across the country meet the stringent requirements for official AP certification recognition. “This certification supports our reputation for superior customer service serving our community. We are your neighbors and friends, so it is important to provide our customers with the peace of mind that their vehicles are being repaired correctly by highly trained professionals that care about them,” said Dana Bridges, owner of North Fresno Collision Center. Certification criteria are based upon auto manufacture requirements and Assured Performance credentials are recognized by Fiat-Chrysler Automotive, General Motors, Enterprise, Ford, Nissan, Infiniti and Hyundai. North Fresno Collision Center currently has an “A+” rating with the Better Business Bureau and has been an accredited business with the group since 2010.
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Or scan the QRC link below. Be sure to read the full article by Toby Chess and Kye Yeung from the March issue of Autobody News and support these fine brands. www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 17
Continued from Cover
Legislative Day
ment every year when we can meet with our political representatives,” he said. “We can influence these bills before they become laws and provide valuable feedback for our key decision makers, so we tell our members to seize the moment and make the most of it. Most importantly, we can provide them with a look into how our members run their businesses and all of the factors that can affect them and their livelihoods.” By strategically scheduling appointments throughout the Capitol’s offices all day long, ASCCA/CAA members break into smaller groups to cover as much territory as possible. With major concerns about bills that can greatly impact their businesses, collision and mechanical repair companies come from all over the state every spring to meet with their local legislators and discuss “hot button” bills. Although this year’s slate of speakers at Legislative Day was not yet finalized, past speakers have included: The Chief of the Bureau of Automotive Repair; Governor’s Small Business Advocates, the Governor’s Economic Adviser; Chair of the Select Committee on Career Technical Education and Workforce Development; the author of AB 2289 (Smog Check), and Chair of the Senate Transportation and Housing Committee. To kick off the day, everyone is briefed by Jack Molodanof, the lobbyist for both organizations, who instructs the members about the correct protocol for meeting with their legis-
lators or their representatives. Molodanof always opens with a joke or amusing anecdote, but then he’s all business. Coaching the members of ASCCA/CAA about how to approach their local representatives is always crucial and that’s why Molodanof always sets down the rules first. In the handbook that every member gets from Molodanof at the start of Legislative Day, the lobbyist ably summarizes the day’s purpose. “Not only can one person make a difference, but one person can also make others change their perception of an issue. You have the power in that you have firsthand experience as it relates to issues that are most important to you. Let the lawmakers know how you feel about these issues. You must be heard to make a change. John F. Kennedy once said, ‘One person can make a difference and every person should try.’” Molodanof was happy with last year’s turnout, he said, and is hoping to see more body shop owners at the Capitol in 2016. “We’re pinpointing proposed bills here at the State Capitol and raising awareCAA State President ness about possible Don Feeley is future laws that can encouraging more directly impact the body shop owners collision industry. It to attend the was wonderful to ASCCA/CAA Joint see so many new Legislative Day on April 12 in faces at last year’s Sacramento Legislative Day and I’m hoping to see even more on April 12.” Don Feeley is the CAA State President and a highly-respected name
New 6066 Nitrocell Generates Continuous Flow of Nitrogen from Shop Air for Plastic Welding
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pany’s nitrogen plastic welders. The 6066 Nitrocell is enclosed in a powdercoated metal cabinet for installation. It has a threestage internal filtration system to help ensure that no contamination gets through to the membrane. There are no moving parts or electrical service required. Once the compressed air is hooked up, the nitrogen flows continuously. The Nitrocell weighs 36 lbs. For information, visit www.polyvance.com. Suggested User price is US $3,395. Questions? Contact Kurt Lammon at 800-633-3047.
18 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
in the collision industry, especially in southern California. He has served CAA at the state level for more than 21 years, holding each of the seven positions available on the board an unprecedented three times. So, when Feeley talks about the importance of events such as CAA Legislative Day, people listen. Feeley said that body shop owners should attend Legislative Day for many reasons. “Some years, we have bills that impact the collision repair market greater than others, but we always need to be vigilant, because there are many issues that affect collision repairs such as environmental and governmental regulation changes not to mention insurance companies who are always working on their best interest at the State Capitol,” he explained. “One of the problems of leg day attendance is that a lot of body shop owners like many Americans are turned off by politics in general and don’t feel their voices will be heard so why bother. They figure, CAA has a great lobbyist in Jack Molodanof, and that’s true, but he can’t do it all alone.” Feeley said that showing up at the event is more than halff the battle. “We need collision repairers here physi-
cally, so that our representatives can see that Jack Molodanof and David McClune and our board have some numbers behind it. When they see that we are a significant group, it adds credibility to the work that the association is doing for its members and the collision industry. So, by showing up, we can emphasize our role and show our strength.” Ideally, getting a body shop owner in office in California would have been a great way to give CAA a much-needed voice at the legislative level. Unfortunately, recent attempts have fallen short. However, Feeley still thinks that CAA’s current methodology, with the help of its members, is the best way to tell their story and educate their elected officials on the collision repair environment. “A few years ago, Kelly McCarty, a shop owner ran for the 64th Assembly District in the Inland Empire and although it was a close race, we lost,” Feeley said. “Having a voice is a big deal and getting someone in office would be nice, but in the meantime we need to mobilize our members and get more new members to assist us. I look forward to seeing our members at the state Capitol on April 12th.”
www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 19
Looking Outside of Industry for New Ideas Prompted Maaco Partnership With Pep Boys
Costa said it’s a fraction of the cost to set up a satellite location beShortly after Maaco announced a na- cause the repair is still done in one of tional partnership with Pep Boys in Maaco’s main facilities. “It’s basically March and the opening of two GA satel- a concierge service,” explained Costa. lite locations, Autobody News inter- “You write the estimate, you get a loaner viewed Jose Costa, the group president for the consumer and you take the keys of the paint and collision divithere. Then we transport the sion for Driven Brands, which vehicle to the production faowns Maaco. We asked Costa cility, which is usually three what it takes for a body shop to five miles away.” to think outside of the box Over the last 18 months of and continually advance their testing, they have averaged business. about eight to 10 cars a week, His advice is to do a lot generating about $275,000 to of reading. “I encourage our $300,000 incremental to the Jose Costa team to read and learn as production facility. much as they can and to be inquisitive The first two Maaco shops opened and learn from other industries,” said in March in existing Pep Boys locations Costa. Many people just look at their at 1531 Cobb Parkway S, Marietta, GA competitors and their industry. There and 5000 Highway 138, Union City, is so much learning that other indus- GA. Plans are in place to open additries can teach the aftermarket auto- tional locations in Los Angeles, CA. motive industry.” The shops offer full-service autoCosta said the satellite model has motive services, including auto paintbeen implemented in other industries ing, collision repair, insurance claims, with much success. fleet and industrial services, paintless Maaco spent the last two years dent repair, scratch repair, detailing, testing the concept, opening 18 loca- trim insulation and decaling, with the tions. They currently target affluent support of nearby Maaco production female consumers who spend more shops. money in car repair and visit a shop Costa said they plan to use a momore regularly. bile estimating platform in some of by Stacey Phillips, Assistant Editor
the Pep Boys’ satellite locations as well as digital merchandising boards, with the intent of saving space and enhancing the customer experience. “The footprint varies from location to location so where we have more space we can have more merchandising,” said Costa. “Easy access to Maaco’s services will be a great addition for our customers,” said Joe Cirelli, SVP Real Estate & Construction for Pep Boys. “Maaco has a reputation for quality work, and Pep Boys’ customers now have a truly full-service automotive maintenance shop for all of their needs.” “It was a great fit,” said Costa, referring to the partnership. “They have a lot of foot traffic that they bring to their stores. They don’t offer the type of service we offer so it was complementary. Our consumers are very similar so it made sense to develop this partnership with Pep Boys.” The goal is to open 25 to 50 satellite locations a year. CARSTAR, also owned by Driven Brands, uses a similar model in Canada. “We’re very excited about this concept and we feel it puts our brand in front of the consumer,” said Costa. A fan of the franchise model, Costa said it helps the middle-Amer-
ica small business owner take their company to the next level. “There are incredible benefits to being a franchise owner,” he said. “I call franchisees ‘light entrepreneurs’ because you get a playbook and you are getting a support structure from a national brand so it’s a lot easier to play within the guardrails of the brand versus being a small independent.” He said it also gives an owner more purchasing power and access to technology and marketing. Maaco invests more than $25 million in marketing. “There is no way a small independent can do that,” said Costa. “Our training arm—with Maaco University and CARSTAR University—are best-in-class schools for technicians.” Maaco currently has more than 490 locations in the U.S. and Canada and plans to have 1,000 by 2020. “A lot of people gave us a hard time when we first joined because we didn’t have automotive experience, but we brought a very fresh perspective and that’s where those ideas, like our partnership with Pep Boys came from,” said Costa. “We like to be pioneers and we hope that we can help the industry and help raise the tide for everyone.”
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Arizona House Passes Automotive Glass Bill by Jenna Reed, GLASSBYTES.com
In a quick action that took some by surprise, the Arizona House of Representatives passed Bill 2500, “Unlawful Practices: Auto Glass Repair” by a vote of 53 to 7. See p. 22 for earlier coverage. “The scheduled March 7 stakeholder meeting obviously went out the window,” says Kerry Soat, owner of Fas-Break in Chandler, AZ “After reading the bill that passed, I am not against HB 2500. They have addressed my concerns about safety and changed the language to reflect the Auto Glass Replacement Safety Standard™ (AGRSS™) and Repair of Laminated Au-
tomotive Glass Standard™ (ROLAGS™). They also changed the language to reflect my concerns regarding the word ‘free.’” Frank Thomas, of Thomas Auto Glass in Phoenix, AZ, who spoke in favor of the statute before the House Insurance Committee, says he is a pleased the bill has passed the House. “Common sense has paid off,” he says. “Consumer safety is compromised when gift carding and cash spiffs are the reason for choosing one company over another,” he said before the House Insurance Committee earlier this month. “A vast underground economy exists in Arizona with regard to auto glass, sim-
ply because anyone can start a glass company tomorrow with a business card and phone number. … I don’t believe that HB 2500 was drafted to enable steering or for one company to garnish more market share over another. I believe that HB 2500 is the first step of your awareness and a movement to provide safe windshield installations and protect Arizona automotive consumers.” Scot Zajic, Safelite’s vice president of legislative affairs, adds, “It’s important to stress that HB 2500 was developed out of discussions with independent VGRR companies and consumer protection groups in Arizona who felt the need to address question-
able behavior in the Arizona market that gives the industry a black eye. The primary focus of HB 2500 is consumer protection. The bill strengthens Arizona’s existing anti-fraud statutes. This approach is consistent with other states that have addressed similar concerns in a VGRR insurance transaction, including Massachusetts, Rhode Island, and South Carolina, where similar legislation was passed with broad industry support. We look forward to continuing to work with industry stakeholders as the measure moves through the process.” The bill was sponsored by Rep. David Livingston. He made several changes to the statute before it went up for a full House vote. The biggest changes included references to the AGRSS™ and ROLAGS™ Standards. In many instances he also changed the wording of “insured” or “an insured” to “policyholder” in the statute’s language. Revised Statute Here is the revised statute that passed the Arizona House. The larger changes to the statute’s language are noted in italics.
It is unlawful to: —Threaten, coerce or intimidate a policyholder for the purpose of inducing the policyholder to file a claim for auto glass repair or replacement. —Induce a policyholder to file an auto glass replacement claim if the damage to the auto glass is insufficient to warrant auto glass replacement according to the Auto Glass Replacement Safety Standard™ (AGRSS™) as approved by the American National Standards Institute. —Induce a policyholder to file an auto glass repair claim if the damage to the auto glass is insufficient to warrant auto glass repair according to the Repair of Laminated Automotive Glass Standard (ROLAGS™) as approved by the American National Standards Institute. —Waive or offer to waive the policyholder’s deductible or offer a rebate, gift, gift card, cash or coupon with an aggregate value of more than $25 for a referral of a policyholder to the auto glass repair facility in connection with an auto glass repair or replacement claim under an insurance policy. —Waive or offer to waive the policyholder’s deductible or offer a rebate, gift, gift card or coupon with an aggregate value of more than $25 to any per-
www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 21
son in order to induce the policyholder to file an auto glass repair or replacement claim under an insurance policy. —Misrepresent the value of the rebate, gift, gift card, cash offer or coupon to any person in conjunction with an auto glass repair or replacement claim under an insurance policy. —Represent verbally, electronically or in any other way, including an advertisement or website or any marketing materials that a claim for auto glass repair or replacement under an insurance policy is free without disclosing that a deductible may apply to the policyholder or that the policyholder’s insurer may be charged in conjunction with the auto glass repair or replacement services. —Perform auto glass repair or replacement services in this state without obtaining a transaction privilege tax license number issued by the department of revenue pursuant to section 42-5005. —If the person repairing or replacing the auto glass does not accept the insurer’s price, fail to provide a written estimate to the policyholder before the work begins that includes all of the following: a) A statement whether the person repairing or replacing the auto glass does not accept the insurer’s price for parts, kits and labor. b) The actual price that will be charged for that work and the difference between that price and the insurer’s price. c) A statement that the policyholder may be financially responsible to pay the difference between the actual price that will be charged for that work and the insurer’s price. d) The signature of the policyholder. e) The business’ transaction privilege tax license number issued by the department of revenue pursuant to section 42-5005. —Perform auto glass repair or replacement services under an insurance policy without first obtaining the policyholder’s and insurer’s approval for the specific work to be performed. —Falsely transpose, duplicate or sign either electronically or in any other form a policyholder’s or other person’s signature onto a work order, insurance assignment form or any other related document that is required to authorize the repair or replacement of auto glass. —Bill the insurer for more than the repair or replacement cost agreed on with the policyholder, a third-party administrator of the insurer or an agent
Arizona Glass Bill Moves Forward through Stakeholders Meeting (Earlier Coverage) by Jenna Reed, glassBYTES.com
A stakeholders’ meeting was held March 7 for Arizona House of Representatives Bill 2500, “Unlawful Practices: Auto Glass Repair.” The bill passed the state House and the discussion now revolves around its approval in the Arizona Senate. A glass shop owner risks criminal penalties if he violates the bill’s requirements. The legislation also would make it unlawful for automotive glass shops to “take an assignment of any claim relating to the repair or replacement of auto glass. With the assignment of claims, the glass company receives the contractual rights to receive payment from the insurer. The policyholder signs over his right to the post loss payment and this money goes to the glass company. “In HB 2500, the Arizona House of Representatives proposes to reverse longstanding Arizona universal insurance law, and a policy that the legislature itself calls an unfair claims practice by making it illegal for automobile glass shops to accept an assignment of claims,” says Dennis Hall, attorney for the Arizona Auto Glass Association. “This rule, allowing assignments, is for the convenience of consumers who have insurance claims and want to allow the service provider to handle the claims work for them.” In other industries, including the
representing the insurer for the written estimate. —Obtain a signature from a policyholder or other person on a contract if the work under the contract is not fully completed at the time the policyholder or other person signs or does not accurately reflect the negotiations and agreement between the policyholder or other person and the auto glass repair or replacement facility. —Take an assignment of any claim relating to the repair or replacement of auto glass. —It is unlawful for a person who sells or repairs and replaces auto glass to fail to make the vehicle available for inspection at the request of the insurer before performing auto glass repair and replacement services on an insured vehicle. Rex Altree founder of SafePro Auto Glass in Phoenix, AZ, had not yet responded to a request for comment at press time. The statute will now move onto the Arizona Senate for consideration. Autobody News thanks Jenna Reed and GLASSBYTES.com for reprint permission.
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22 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
medical and collision repair, the service provider can take the assignment of claims, adds Hall. This bill would reverse this for the automotive glass industry, he says. “The Arizona courts could not be clearer on this issue,” Hall says. “They stated that ‘[a]fter a loss has occurred and the rights under the policy have accrued, an assignment may be made without the consent of the insurer.’ (St. Paul Fire and Marine Insurance v. Allstate.) Rex Altree, president of SafePro Auto Glass in Phoenix, Ariz., called the stakeholders meeting a disappointment. “Every change that was suggested was rejected by the insurance and Safelite lobbyists,” says Altree. “House Rep. Livingston (who sponsored the bill) stated a few times that the bill was passed by a House vote of 53 yes and 7 no … and he expects that there will be a similar percentage of yes to no votes in the Senate.” While glass companies such as Safelite AutoGlass and Thomas Auto Glass have spoken in favor of the bill, Altree and others remain opposed. According to Hall, if the bill is approved and becomes law, an automotive glass replacement and repair company owner risks felony charges if he: ■ Represents to a policyholder or other person what automotive glass coverage is available under an insurance policy. ■ Waives a deductible.
■ Offers a value of more than $25 for referral or in connection with a repair or replacement. ■ Performs an insurance repair or replacement without the insured’s and insurer’s approval. ■ Repairs or replaces an insured’s glass without an inspection if the insurer requests. ■ Takes an assignment of claims.
“The speech restrictions here raise genuine commercial free speech issues,” Hall says. Those in favor of the bill have said it helps to prevent industry fraud. “We want to thank Rep. David Livingston for his efforts to bring all interested parties together. We continue to support the bill as a means to provide greater consumer protections in the Arizona VGRR industry,” says Scot Zajic, Safelite’s vice president of legislative affairs. The bill is expected to go before the Senate Finance or Commerce and Workforce Development Committees for a vote within the next two weeks, says Altree. The bill is not on either committees’ agenda yet. To see the language of the bill that passed the House, visit www.glassbytes .com/documents/ArizonaHouseBill.pdf We would like to thank glassBYTES .com for reprint permission.
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First Car Insurance Policy for Lyft Drivers in California Dave Jones, California insurance commissioner, approved the first policy for Lyft drivers with a passenger in the vehicle. The policy covers drivers who work for Lyft and are carrying a passenger in their vehicle. The decision could pave the way for other states to follow suit and increase the options of coverage for those who drive for companies like Uber and Lyft. The policy specifically covers a driver who has accepted a passenger or picked them up, which was a period only covered by the company before. Drivers in California must have coverage at all times when they are working for app-based ride booking companies like Lyft and Uber. California law, like many other states, requires the driver to be insured but doesn’t state who must pay for the insurance. It can be provided by the driver or the company or by both. What this approval means is that more states may follow suit and allow insurance providers to create products focused specifically on those who drive for companies like Lyft. Currently, Lyft provides coverage for their drivers with a $1 million liability policy that is in effect from the acceptance of a ride until it ends. In
addition, a contingent policy worth $100,000 is offered for times when the app is on but the driver doesn’t have a passenger or an acceptance. It is only needed if the driver’s insurance won’t cover an accident. Creed Anderson of ASA Insurance, providing car insurance in Salt Lake City, said he is glad to see the change. “It gives more options to people who are driving for these companies,” he said. “They are in control of the coverage they have and can better protect themselves by knowing how much coverage they have.” There have already been incidents involving drivers for these companies and navigating the process with the insurance providers can be challenging and confusing. The difficulty is not only for other parties but for the driver who may worry about who will pay for the claim. Having their own insurance policy specifically designed for this situation can provide peace of mind. While the companies have improved their coverage due to previous accidents, they are not always enough. Another issue is that many insurance policies won’t cover accidents that result when the person is using his or her vehicle for work. There may be times that the person is
not covered by the company’s insurance or their own, but they are unaware of it. Choosing a policy that specifically addresses this type of situation will help ensure adequate coverage for the driver. Anderson advises drivers to review their coverage with their own insurance provider and with the company before taking a job. This gives them time to ask questions and ensure they are covered not only for expenses of hurting someone else but for their own injuries. The time to find out the limitations of their insurance is before an accident happens. He said anyone looking for car insurance in Salt Lake City who will be driving for one of these companies should take the time to make sure they have adequate coverage.
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Technaglass Acquires Precision Auto Glass
TechnaGlass recently announced the acquisition of Precision Auto Glass in Clackamas, Oregon. The expansion into the Portland-Vancouver market allows TechnaGlass to continue its growth into the Pacific Northwest. The company will retain all Precision Auto Glass employees and will be based out of 11231 SE Hwy 212, Clackamas, Oregon. TechnaGlass, based in Utah, provides auto glass repair and replacement services in over eight states and 36 retail locations. It has serviced over two million customers since its inception over 25 years ago. “We are excited to expand our TechnaGlass brand to the Northwest and look forward to serving Precision Auto Glass’ loyal customers and commercial accounts while making operational investments to grow and expand in this market,” said Troy Mason, president of TechnaGlass. John Carey, former owner of Precision Auto Glass, said, “I have complete confidence that TechnaGlass will provide a passion for pleasing its customers and will be a great home for our Precision employees.” For information, visit www .technaglass.com
www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 25
Continued from Cover
G&C Auto Body
a spurt of rapid growth, according to Shawn Crozat, oldest son of cofounder Gene Crozat and chief operating officer. “We added stores and kind of went on steroids for a few years, and then we needed to figure it all out and dial it in with growth,” Shawn Crozat said. G&C (gandcautobody.com) started in 1972 in Santa Rosa then expanded to San Rafael almost two decades ago and Petaluma a few years later. Next came Windsor in late 2010, Novato and Rohnert Park in 2011, Ukiah and Fairfield in 2012 and Vacaville in 2013. Revenues last year were $43 million, passing the forecast by $40,000, Crozat said. By comparison, sales in 2011 were $22 million. Same-store revenue growth was 10.5 percent last year and 9.8 percent in 2014. That’s a standard retail metric for comparing location performance without the new-store sales spike. The new shops boosted overall revenue growth by 22.5 percent in 2013, 27.5 percent in 2012 and 19 percent in 2011. The Sonoma location is expected to contribute $2 million in annual sales after one year, Crozat said. The four starting employees in the six-bay shop would increase the company workforce to 200-plus. “We kind of feel it’s a market in which people have to drive out of town to have their car fixed,” he said about Sonoma Valley. “And it’s the only body shop in the main populated area directly on the main highway.”
A Decade Coming A Sonoma Valley location has been 10 years and four attempts in the making, Crozat said. The first try was a decade ago but didn’t work. The second attempt was four years ago. Though it, again, didn’t come together, one trip to Sonoma Valley led to an extended
G&C Auto Body opens its 10th location in Sonoma, seen in this architectural rendering, in early 2016. Credit: G&C Auto Body
scouting mission in Solano County and a back-of-the-napkin deal in a coffee shop for the Fairfield location, now G&C’s third-most-profitable. The latest, successful try came this past summer. On previous site-selection trips to the valley, Crozat had eyed the 19285 Sonoma Hwy. building, then occupied by McLea’s Tire & Automotive Centers (mcleastire.com). A mutual friend at a local radio station where G&C and McLea’s advertise told Crozat that McLea’s had relocated staff and equipment from the Sonoma shop in early July to a justopened Windsor location. McLea’s President Les McLea told the Business Journal he recommended that the Crozats buy the Sonoma building instead of rent it. The property was in escrow within a week, with closing contingent upon securing use permits for
BumperDoc Escondido Wins Angie’s List Award
Bumper Doc Escondido in California has earned the service industry’s coveted Angie’s List Super Service Award, reflecting an exemplary year of service provided to members of the local services marketplace and consumer review site in 2015. When presented with this year’s Super Service Award for Best Auto Body and Collision Shop, Bumper Doc Escondido owner Ron Mercurio, said, “This is our fourth consecutive year receiving the prestigious Super Service Award. We are honored to have been selected, yet again, and will continue with our endless pursuit of providing top notch customer service.” “Only about 5 percent of the companies in San Diego County ha-
ve performed so consistently well enough to earn our Super Service Award,” said Angie’s List Founder Angie Hicks. “It’s a really high standard.” Angie’s List Super Service Award 2015 winners have met strict eligibility requirements, which include an “A” rating in overall grade, recent grade, and review period grade; the company must be in good standing with Angie’s List, pass a background check and abide by Angie’s List operational guidelines.
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26 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
the project. Crozat Family Properties LLC purchased 19285 Sonoma Hwy. from Gary and Terrie Heon on Sept. 14. McLea said he didn’t renew the Sonoma lease because of a dispute with the property owner over a worker injury and increased workers’ compensation insurance costs. “We outgrew it,” McLea said. “It was too confined for us, and parking was terrible with two parking spots for the 20 to 30 cars a day coming in to be worked on.” McLea has a real estate agent scouting for another location in the valley, but alternatives are smaller than desired, he said. “We have five stores on [Highway] 101, and they’re within 25 miles of each other, so we pretty much have Sonoma County covered for now,” McLea said.
Expansion To Napa G&C also has been looking for opportunities in Napa Valley for years, but nothing has come together yet, Crozat said. “In our business, usually you have to buy somebody — a competitor — or find a need in the market,” he said. “Sonoma has that need, so it works out
great. Napa doesn’t, so what you need is someone to sell. In our industry, a lot of owners in Napa are not old enough to sell their business.” Valuation of the business and the potential for proceeds from a sale to fund retirement is key to that calculation, he said.
Colliding With Industry Consolidation But G&C isn’t the only company looking to expand in Northern California by acquiring collision-repair businesses. In the past several years, companies backed by large investment funds have been buying shops. For example, Richardson, Texas-based Service King Collision Repair Centers in November 2014 bought Car West Auto Body, which had seven California shops. Backed by The Blackstone Group and The Carlyle Group, Service King now has 290 locations in 23 states, including 29 in California, and topped $1 billion in revenue last year. “Our industry is consolidating like crazy right now,” Crozat said. “Our business is not for sale. We love what we do — and our business and our community.” We thank The North Bay Business Journal for reprint permission.
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Western Associations
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
California Veteran Body Shop Owner Returns to Serve CAA for the Seventh Time with Ed Attanasio
Adam Piper is a 45-year veteran of the collision repair industry and a former body shop owner who established several successful shops called FCC Collision Centers in the Silicon Valley starting in the late ‘70s. Since selling his locations to Caliber Collision in 2014, Piper has worked for the MSO as a liaison between the company and car dealerships in the South Bay. Recently, Piper, who has been on the California Autobody Association’s Board for over 30 years, agreed to be the President of the organization’s Santa Clara Chapter for an unprecedented seventh time.
How did you initially get into repair? Q: collision I came out of the military in 1971 with a wife, two young A: sons and no job. My father-in-law was
the body shop manager at a Ford dealership in Monterey, CA, and he asked
me if I wanted to give auto body a try. I said ‘yes’ and ‘thank you very much.’ He handed me some tools and told me that the pay was strictly commission. There wasn’t any I-CAR back then, so everything was OJT (on-job-training). Within three years, I was the highest paid, but Adam Piper is back not necessarily the to be the SC-CAA best body man in President for the the entire area. I seventh time, because he believes did that for seven in the organization years and then I and its members decided this was wearing me out—I was pretty burnt out, producing 100 hours a week, and needed a change! So, I started looking around in 1978 for a business opportunity and I found a body shop in Mountain View, CA, that was for sale. The owner re-
28 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
ally didn’t want the shop, because he got it due to a bad debt. He wanted $75,000 for it, but he dropped it down to $50,000 with terms, so I took it. Three days later my RV was parked in the backyard and I was the manager until escrow closed and my years as an owner had begun. Initially, the shop had five employees and was grossing around $50,000 per month. At the time I had no experience writing estimates or managing anything other than myself, so there was a lot of OJT taking place. I expanded my operation into two shops with 50 employees grossing over $5 million annually. I owned the business for almost 20 years until I sold it to M2 Collision Centers in 1997. After that, I took a break from the industry until I, along with my two sons Matt and Jason (then 36 and 35 years old), got both of my former shops back at auction in 2005. We opened two more shops (2012 and 2014) in the
South Bay area. At the time we sold to Caliber Collision, in 2014, we were on track to produce $13 million in revenue for the year.
Looking back, has it been a Q: good thing? Oh yes—I’m was really living A: the dream working with my sons. Both of my sons are very ac-
complished, intelligent and hardworking.There are always ups and downs when working with family, but overall, it has been a wonderful experience. Making money is important but being able to work with Matt and Jason has been even more special. Matt is now 44 and he has been able to take some time away from the day-today working world to pursue many of his dreams. Jason at 43, chose to stay on with Caliber as a Business Development Manager (Acquisitions and See Returning to CAA, Page 30
Registration Open For ToolTech 2016, April 25–28 in Monterey, CA The Equipment and Tool Institute’s (ETI) ToolTech conference, being held April 25-28 in Monterey, CA, is an opportunity for industry professionals to network and meet with OEMs, tool and equipment companies, national chain
ToolTech focuses on automotive-related tool and equipment companies and individuals at the forefront of the industry
stores, large suppliers, dealer groups, distributors, manufacturer reps, and many other industry leaders. ToolTech focuses solely on automo-
tive-related tool and equipment companies and the individuals at the forefront of the industry and technological advances.
Opportunities at ToolTech: ● Promote themselves, their capabilities, their products, and to interface with industry insiders; ● Network with industry peers; ● Meet potential customers and potential product providers; ● Confer with customers; ● Convene in structured, private oneon-one meetings; ● Gain insights from presentations by industry leaders; ● Cost-effective/ high value way to meet with many OEMs and customers in one venue. Speaker Sessions
One-on-One Meetings ETI member companies can request prearranged, private, closed-door meetings with specific OEM personnel, ETI companies, automotive service providers, manufacturers, distributors, and others. Time slots are scheduled in 25-minute increments with five minutes in between meetings.
Discussion Groups The purpose of the discussion groups is to provide a venue for communication and collaboration among ETI members focused on giving and receiving targeted feedback, engaging in in-depth discussions, meeting colleagues with similar interests, and gaining a better understanding of pertinent subjects that will benefit their business. The anticipated outcomes include: gain insightful infor-
mation, incorporate the information into goals or objectives, glean “best practice” ideas from peers.
Press Conferences ETI member companies will have a prescheduled time to hold a press conference with editorial media sources to introduce new products or services and describe what they do, explain their features and benefits, and what sets them apart from what is currently available today.
Company Spotlight Happy Hour The Company Spotlight Happy Hour at ToolTech gives exhibitors the opportunity to display their products and services to attendees, speakers, and industry guests.
Additional Networking Opportunities: ● Opening Reception ● Company Spotlight Happy Hour ● Closing Dinner
Lunches For more information and to register, visit http://etools.org/ToolTech.
ETI Launches Service & Repair Capability Study
The Equipment and Tool Institute (ETI) has launched a series of Market Research Projects. The current survey covers repair services. ETI will use this research to help all segments of the automotive industry provide aftermarket shops with better equipment and solutions, according to a company press release. ETI is surveying automotive repair facilities to learn what services are offered by shops and which of those services are performed by inhouse technicians, outsourced technicians, or sending the vehicle to a different shop. ETI is also trying to learn which services customers ask for that are currently being turned down, and why. There will be a presentation on the findings of ETI’s Market Research Study at ToolTech 2016 in Monterey, California during the ETI Business Meeting on Monday, April 25. If you are part of an automotive repair facility and are interested in participating in our survey, visit http://www.emartec group.com/auto/etipr .html This survey can only be taken on-line. Previous Market Research Studies have included Brand Recommendation, J2534 Reprogramming, J2534 Reprogramming Update, TP-MS, Telematics, Collision Repair, A/ C Service, Hybrid and Battery Service, and Information Access, which are available for purchase on ETI’s website at www.etools.org. For details about ETI programs and activities, or if you have an idea for a future marketing survey project, contact Jessie Korosec, marketing and events manager, at 248-6565085; e-mail: jessiek@etools.org. www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 29
Continued from Page 28
Returning to CAA
Development) for the first year and now is working with many of his old teammates as a regional manager in the Silicon Valley market.
Q:
As someone who has seen this industry change in so many ways, what are some of the challenges that body shops are facing now? Well, everyone knows that finding good people is the #1 probA: lem in this industry right now, at least
in the Bay Area. The challenge of retaining top employees was getting intense, because other shops were constantly trying to hire them away. This problem has gotten worse, because there are enough experienced techs out there to fill the void. At some shops, it’s like a revolving door where they hire and fire people all the time. It does not help the fact that we also are in one of the most expensive places to live in the country. Even a body/paint technician making $100,000 a year finds it difficult to live in the Bay Area, so that makes it even tougher to find and retain top people.
At your peak, you were emQ: ploying more than 75 people, so how did you retain them and keep
them happy?
Luckily, we were very handsA: on owners and involved in making sure that our people were
doing things the way we wanted them to be done. We worked closely with them, let them know that we valued their work and we had a full benefit package. Other shops were calling them all the time and trying to recruit them but we tried to include our employees in as part of the family and showed them our appreciation with friendship as well as compensation. For our industry today, my top concerns are finding and retaining good
employees. The crazy labor laws in California don’t make that any easier either.
Q:
In California today, most body shops are between 80%–100% fueled by DRPs, but when you started in the 1970s, they weren’t yet prevalent, correct?
From what we’ve heard from Q: shop owners statewide, the cost of real estate is also a concern for
body shops in California?
Definitely. The prices are very robust around the Bay Area. For A: example, one of the properties that I
auto body industry has had its challenges but overall it has been great. I have met many amazing shop owners, staff and vendors through the years and I hope to be of help to this industry for many years to come.
Q:
You’re now back leading the purchased in Mountain View in 1987 Santa Clara Chapter of the for $1.2 million is now worth over $6 CAA? There were almost no DRP million. It’s going to be tough for body programs back then. When I Yes, I joined the CAA and shop owners because they’re not going originally sold in 1997, there were restarted going to the local meetto be able to afford the increasing ally only three significant DRPs out rents. Back in the 1990s when the real ings around 1983. Being an active estate in the Bay Area started member over the years has helped me to go up in price, some people network with the local shops, learn what each of us were dealing with and were thinking about setting develop relationships that have gone up “feeder locations” in well beyond the other guy just being my towns 50-100 miles away from their Bay Area locations, competitor. The state meetings became an added bonus as I was able to do all because the property values were so much lower. That the same things and learn what legislation was being pushed that would have way, they figured they could afford the rent in those an effect on me and the auto body insmaller cities, but in the end it dustry. California is a very proactive Piper said he has lived the dream by being able to work would not work, because state and tries to enact a huge amount with his two sons, Matt (left) and Jason (right) and of bills that at not business friendly. If today the insurance compabuilding a successful business over 38 years nies are so focused on cycle it was not for the CAA and other groups there—Farmers, USAA, Allstate and times and efficiency. Also, the cost to reading and understanding the ramifithey were not getting that much work cations of the bills before enactment, transport the vehicles back and forth into the DRP shops at that time. I only would add up. well....I wouldn’t want to think how had Farmers at the time when I sold. The life I was able to build in the much tougher it would have been. When I re-entered the business in 2005, I realized that if you didn’t have at least two or more DRPs, you were probably in trouble. Without them, you couldn’t have enough cars in your shop to stay consistent and survive. DRPs are an integral part of the business today and the Bay Area is a Paints, Materials & Supplies good example of that. I would bet that any shop in this area that is doing well s is almost completely supported by Serving Body Shop or ut ib tr is D E PB DRPs. It’s the model that seems to motive Paints work the best in California and I don’t with the Best Auto since 1933 see it changing any time soon. The ody Shop Supplies B d an biggest obstacle now with the DRPs is all of the administrative work the shops • Technical Service Specialists trained by BASF now have to do. It was the insurance in Glasurit and R-M paint systems. company’s responsibility before, but over the last decade, it shifted to the • Colortone is an Authorized ColorSource shops. So, now you need more front ofDistributor for BASF Products fice personnel to deal with all of the paColortone Automotive Paints perwork. 2420 Ripple Street, Los Angeles, CA 90039
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Western Associations ASA-AZ Prepares for 2016 ATE with Chasidy Rae Sisk
by Chasidy Rae Sisk
The Automotive Services Association of Arizona (ASA-AZ) has begun preparing for its 2016 Automotive Training and Expo (ATE), scheduled to be held June 10-12 at the WeKoPa Resort and Conference Center in Scottsdale, AZ.
Mechanical and collision training will be offered for owners, managers and partners, service advisers and technicians. ASA-AZ encourages shops, “Don’t get left behind.” ATE 2016 will commence on Fri-
day morning with the association’s golf tournament, and the afternoon’s six training sessions will run concurrently from 1-4 pm. Mike Anderson of Collision Advice will present “Position Yourself in the Collision Repair Shop,” while I-CAR’s Vehicle Technology and Trends 2016 (NEW16) is taught. For management, ESI’s Maylan Newton will present “Hiring in 2016,” and Braden Poole of Honest 1 Auto Care will hold “Pricing Out Service to Protect GP.” Jeremy O’Neal from AdvisorFix will cover “15 Seconds to Yes!” for service advisers, while “Modern Diagnostic Routines: The Pressure Is On” will be taught by Jerry Baarson of Carquest Technical Institute. From 4-5:30 pm, attendees will choose between “The Power of Automating Shop Processes” by Frank Dragoni of Bolt On Technologies, “The ROI of Having ASE Certifications” by ASE’s Walt Commans, and
32 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@chasidyraesisk.com.
“Distracted Driving... What is Important to You?” by Chris Caves from Federated Insurance. The evening will conclude with a Welcome Reception during which attendees will have the opportunity to network with speakers, exhibitors and their peers. During breakfast on Saturday, ASA National will update attendees on the association’s current endeavors before eight training sessions begin at 8:30 am. On the technical side, these classes will include “Fuel Trim II” by WorldPac’s Mark Warren, “Basic Hybrid Powertrains and ASE L3 Review” presented by Jack Rosebro of Perfect Sky Inc., Bosch’s “Oxygen Sensor Diagnostics,” and “Diagnose and Repair Vehicle Networks” by Calvin Higgins of Standard Motor Products. Saturday morning’s sessions will also include “Marketing without Price,” presented by Maylan Newton and
“Maintenance Profit Master” by Jeremy O’Neal. I-CAR will offer a fullday course on Ford F-150 All Aluminum (FOR06), and Mike Anderson’s all-day seminar in collision will also begin on Saturday morning. Anderson’s
session will cover an update on the current state of the collision repair industry, write-it-right best practices training, and a session entitled “You Don’t Know What You Don’t Know,” as well as an overview of his “Who Pays for What Survey Results.”
During lunch from 11:30 am until 1:30 pm, Keynote Speaker Paul C. Bellow, founder and CEO of Be Good at Doing Good, will present “How to Be Good at Doing Good,” covering the 12 core principles of creating a sustainable, profitable and giving business. In the afternoon, I-CAR’s FOR06 and Anderson’s collision seminar will resume, as well Jack Rosebro’s session for the technical side on hybrid power trains. Attendees will also have five other choices; “GM Drivability Solutions” by Calvin Higgins from Standard Motor Products, Bosch’s “Direct Injection Technology Update,” and “EVAP Diagnostics” presented by WorldPac’s Mark Warren will be available on the technical side. Jeremy O’Neal’s “How to Double Your ARO With Waiter Oil Change Customers” will be geared towards service advisers, and Paul Bellows will direct his “The Purpose of Business: How to Attract and Retain Right-Fit Customers” to management. Sessions will conclude at 5 pm. There will be reception and silent auction Saturday evening to benefit the ASA-AZ Scholarship Fund. Attendees will also get to explore the floor at this timer.
Following breakfast on Sunday morning, several round tables will be held, allowing attendees to exchange ideas, problems and solutions with the goal of elevating the professionalism and integrity of the automotive industry. Maylan Newton will facilitate the round table for owners and managers, while the service advisers round table will be facilitated by Jeremy O’Neal. Until May 1, ASA-AZ is offering early bird registration at a cost of just $225 for a single automotive professional, and discounts are also available for shops bringing multiple employees. Already, ASA-AZ has elicited commitments from the following sponsors: AutoZone, Federated Insurance, Parts Authority, Reliable Risk Management, Bolt On Technology, Leading Edge Auto Paint and Supplies, AllData, Jasper Engines & Transmissions, Sherwin-Williams, LKQ, Bosch, ESI, WorldPac, SMP, AdvisorFix, Estify, and KC Auto Paint. In addition to these sponsors, exhibitors include Repair Pal, Mitchell, Kukui, O’Reilly Auto Parts, Ignite Payments/First Data, ASE, Omnique and Enterprise. For additional information or to register for ASA-AZ’s 2016 ATE, visit www.asaaz.org
Best Practices Shared After CARSTAR Merger
grow the franchisee network in Canada to more than 240 centers. “He has CARSTAR’s U.S. and Canadian op- worked in multiple roles and we’re erations have merged and Michael very excited to give him the opportuMacaluso has assumed the top lead- nity to lead both enterprises,” said ership role for CARSTAR North Costa. America. Macaluso, former presiCARSTAR’s top initiatives, acdent of the Canadian entercording to Costa, will focus prise, will now lead approon growing insurance relaximately 500 CARSTAR tionships, franchisee proflocations. itability and further exThis follows the Februpansion. “We always knew ary 25 resignation of Dan that Canada had a strong Young, head of CARSTAR business, much stron-ger U.S. Young was named presthan the U.S. and this gives ident during Driven Brands’ us the opportunity to let the acquisition of CARSTAR in Michael Macaluso Canadian infrastructure perwas named November 2015. meate the U.S.,” he said. president of Autobody News spoke to “We’re going to absorb the CARSTAR North Jose Costa, Driven Brands Canadian best practices into America paint and collision group presthe U.S.” ident, about the recent changes at the Costa explained that Canada company. supports its field structure differently “The merger was planned later than the U.S. with a head of developon but with Dan Young’s resigna- ment, head of operations and head of tion we had to accelerate some of insurance by territory. Upcoming our plans,” said Costa. “We respect plans also include hiring more field Dan’s decision and thank him for support in the U.S. being an invaluable asset during Dean Fischer, head of U.S. operthese pivotal months of on-board- ations, and Arlo Johnson, head of U.S. ing.” insurance, will both report to Macaluso. Macaluso has been with the CAR- No other changes were made to the exSTAR brand since 2008 and helped ecutive team. by Stacey Phillips, Assistant Editor
www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 33
Shop Strategies with Stacey Phillips - ASSISTANT EDITOR
Female Shop Owner in NY Says Success is Due to Being Prepared & Connecting With Customers Autobody News spoke to Audra Fordin, owner of Great Bear Auto Repair in Flushing, New York about the body shop she has run since 1997. Fordin began working with her father at Great Bear at a young age and ultimately fell in love with the industry. She prides
Audra Fordin, owner/operator of Great Bear Auto Repair and Auto Body Shop in Flushing, NY
herself on running her shop differently than most, and said that a successful business requires being prepared and establishing a relationship with customers and the community.
you please share the history Q: ofCanGreat Bear? Great Bear was established by A: my great grandfather in 1933. He ran the business with his four sons.
Once upon a time, there was another business called “Great Bear” that sold brake pads. My family loved the name and asked if we could use it. They said yes, so we did. There used to be 72 Great Bear auto shops in the family franchise. Today, there are about 10 left. They’re all individually owned, so I can’t speak for those businesses. Eight employees work at my shop. I’m the last of the Mohicans. No other Fordins own or operate an auto shop anymore. My dad ran my shop until I took over in 1997. Now he’s a snow bird, living in Florida. I was jealous during the recent blizzard!
How did you get started in the Q: business and what do you enjoy most?
I got started when I was super A: young. At age eight, I could help file papers. As soon as I learned to
count, I could keep track of inventory. When I developed enough strength and dexterity, I started to use power tools. I was excited to repair cars, but it took
some time to develop that skill. I found other ways to help in the meanwhile. Service writing and telemarketing come to mind. I’m a big extrovert and love to meet new people. Talking to drivers is my favorite thing about this job. Chatting with customers has taught me more about the auto industry than market research ever could. Leading workshops is another favorite. It’s fun and fulfilling to help women understand how cars work.
changes have you seen in Q: theWhatindustry? The auto industry changes fast. I A: remember working on carburetors and fuel injection. Now, engines are
controlled by a computer. Auto bodies used to be made of steel and iron. Now it’s fiberglass and plastic. All of this happened within decades and bigger changes are coming. Today, we’ve got hybrid and electric cars, not to mention the upcoming rise of self-driving cars. This presents several problems. First and foremost, it’s hard for mechanics to keep up with technology. Within months of graduating trade school, significant changes could occur. Second, this gives an unfair advantage to mechanics who work with big car dealers. Automakers tend to monopolize information. Thank goodness for the Right to Repair Act. There are also organizations like I-CAR and ASA that offer training programs for mechanics. I do my best to stay on top of the latest trends. In the mid ‘80s, check engine lights became a feature. My dad and I didn’t know what to do at first. I remember him shrugging and giving the cliche advice of, “Just put some black tape over it.” At this point, I decided to enroll in automotive trade school. I’ve also been certified with ASE, I-CAR, the NYS DMV, and other organizations. I expect the same from my staff. All of my mechanics have a minimum of two certifications, plus we hold mandatory training twice a year.
What is it like running the busiQ: ness as a woman business owner in this industry and what advice do you have for others in a similar situation?
34 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
A:
First, let me give newbies a pep talk. This is an awesome industry. Don’t let your friends or family discourage you. People might be surprised you want to go into an industry known to be a boys’ club. That’s okay. I feel empowered when I help a driver get back on the road. Know the feeling? Make no mistake. You will be judged and stereotyped. Men have doubted my expertise many times. Once, a male driver didn’t trust my diagnosis, and asked to speak with a “real mechanic.” I found my janitor (a man) and told him exactly what to say. The customer trusted him without question. You’ll also have to deal with defensive customers. Often, cars break down or malfunction due to neglect. No one wants to believe they’re at fault. In reality, it’s hard to blame drivers. Marketing hasn’t done a great job of educating the public about what it takes to
keep a vehicle in good shape. Here’s my advice: Brace yourself for negative situations. I’m not implying you should worry or stress out. Instead, consider the common objections you might hear from drivers. If you’re a female mechanic or business owner like me, there might be questions about your credentials. How will you handle them? Write down a response and say it out loud until you feel confident. Do the same for buyer objections. You’ll close more sales when you’re prepared to manage the situation.
What sets your collision repair Q: facility apart from others? My shop is an extension of my A: home. The setting is quite cozy. It invites people to relax and stay
awhile. I want people to feel comfortable. It comes down to remembering names, greeting people with a smile, See Female Shop Owner, Page 46
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H OND A C AL I FO RN I A
AutoNation Honda Roseville Ros ev ille
800-262-3201 916-783-5628 Dept. Hours: M-F 7:30-6; Sat 8-5:30 autonationhondaparts@hotmail.com
Avery Greene Honda Vallejo
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Barber Honda Bakers field
661-396-4235 Dept. Hours: M-F 8-5:30 bestchoice@barberhonda.com
First Honda Simi Valley
888-523-0698 805-584-6646 Dept. Hours: M-F 7-6; Sat 7:30-5 hondaparts@firstautogroup.com
Galpin Honda Miss ion Hills
800-GO GALPIN 818-778-2005 Dept. Hours: M-F 7-6; Sat 8-5 blemen@galpin.com
Honda Cars of Corona Corona
800-557-3652 951-734-9045 Dept. Hours: M-Sat 7-5 terry.love@pscauto.com AC U RA C AL I FO RN I A
Acura of Fremont Fremon t
888-435-0504 510-431-2560 Dept. Hours: M-F 8-6; Sat 8-5 mike.ohare@acuraoffremont.com
Acura of Pleasanton Pleas ant on
888-985-6342 925-251-7126 Dept. Hours: M-F 7:30-6; Sat 8-6 mitch.cash@hendrickauto.com
Acura of Riverside Riv ersid e
888-701-0725 951-688-1500 Dept. Hours: M-F 7-8; Sat 7-5 Ricardo.pena@hendrickauto.com Mark.reed@hendrickauto.com Jason.torres@hendrickauto.com 36 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
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Honda of Hollywood
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800-371-3719 323-466-3205
831-464-1800
877-475-1142 408-324-7460
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Dept. Hours: M-F 7:30-6 smiles@kengarff.com
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Honda of Oakland
Dept. Hours: M-F 7-6; Sat 8-4:30 mickw@oceanhondasantacruz.com
Robertson Honda N o rt h H o l ly wo o d
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510-547-8047
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Dept. Hours: M-F 7-8; Sat 7-6
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San Francisco Honda
Dept. Hours: M-Sat 8-6; Sun 8-5 dfortier@uhdavis.com
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800-433-0676 626-683-5880
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Davis
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Findlay Honda
Kolbe Honda
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Cerritos Acura Ce r r it o s
855-895-2678 562-207-0554 Dept. Hours: M-F 7-7; Sat 7-6 srandall@browningautogroup.com
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AR IZON A
U TAH
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866-347-4507 623-792-2559
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866-455-6601 480-344-6703
H e nd e rs on
877-770-5873 702-982-4160 Dept. Hours: M-F 7-6; Sat 8-4 jmoore@findlayauto.com
Dept. Hours: M-F 7-6; Sat 8-5 acuraparts@acuraoftempe.com U TAH
Jody Wilkinson Acura S al t L a ke C ity
800-234-0875 801-323-0492 Dept. Hours: M-F 7:30-6; Sat 8-5 rick@jodywilkinson.com www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 37
Day Job/Night Job Body Tech in Montana Paints a Second Career as an Artist with Ed Attanasio
Mark Robbins, 57, has been a body technician most of his life and he loves every aspect of it, but his real passion is art—from airbrush cre-
Twenty-five artists were chosen to paint these five-feet-tall Grizzlies for the city of Cody, WY and Mark Robbins, a body tech at Blue Body & Paint in Billings, MT was honored to be involved
ations to elaborate tattoos and all the way to painting sculptures of some of the West’s most beloved wildlife. Working at Blue Body & Paint in
Billings, MT, Robbins calls himself a “starving artist,” although he has sold some of his work and has a few pieces on display in art galleries, as well as on people’s bodies in the form of tattoos. Robbins found his artistic muse all on his own and has never taken an art class. “Everything I’ve learned in my life is self-taught,” Robbins explained. “I wanted to learn how to do airbrushing, so I just started doing it. I love to paint different things and explore new methods, because that’s the part I really enjoy. The art is a great release for me and therapy, in a way. Every time I get an idea about how to paint something, it’s exciting, and then when I see the finished product, it’s very satisfying.” In the old days, all of the work was done by hand, but now technology has changed that, Robbins said. “When I first started airbrushing, it was very popular and everyone was
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
either doing it or trying to do it. It was time-intensive and projects might take days or weeks. But, now with stencils and vinyl graphics, they can do it in hours. The finished product isn’t any-
Preparing a Grizzly Bear for paint
where as good, because it lacks depth and ends up looking like a decal. For people who want fast and inexpensive that works, but I tell them I don’t do that.” Robbins will paint anything— trucks, muscle cars, classic vehicles, vans, motorcycles, even furniture and
t-shirts, just to name a few. He also does glass etching for local businesses in Billings and there are also a few people walking around town with tattoos that he designed. Robbins said he always “messed around with oil paints” and enjoyed drawing as soon as he was old enough to pick up a crayon. But, doing murals on cars didn’t happen until a school buddy asked him to put a medieval scene on his ride. “He had a 1967 Pontiac LeMans and it was turquoise,” Robbins said. “I painted a dragon with a castle in the background on the big hood of that car and after I finished it, I said wow—I can do this. After that, I go a lot of offers and started doing murals for people all over town. I did a lot of El Camino tailgates back then with scenes with pirates and castles in the clouds, for example.” After refining his processes, Robbins’s creations became more involved
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and intricate. “I free-hand the illustration, then outline the entire image in white paint. Then, I fill in the colors and the details by misting colors over
Robbins was also commissioned to paint four sculptures of Big Horn Rams for the National Bighorn Sheep Interpretive Association in Dubois, WY
the top of it. It really stands out and the colors pop, because of the white undercoat. That’s how I get that 3D effect that people really seem to like.”
Robbins has always been enamored with the art of the late artist Frank Frazetta, who was an American fantasy and science fiction artist, noted for comic books, paperback book covers, paintings, movie posters, LP record album covers and other media. Best known for painting dragons, muscle-bound warriors and semiclad women, Robbins has done his share of Frazetta-inspired art over the years. After tasing some success with his art, Robbins got hooked and now he hopes to make it part of his eventual retirement plan. “I’m not really thinking about retiring right now, but when I do, I at least have something to do with my spare time. The art has changed my life, because now whenever I look at any piece of art, I see things that I did not see before, like certain colors or shading or shapes, whatever.” With five grown children and five grandchildren and a wonderful wife who supports his art, Robbins is happy, but he still wants to take his art career further, if he can. “I’ve been married for 35 years now and my wife Robyn has supported me every step of the way,” he said. “She
always encourages me to do more art and take chances with it. I have sold a few pieces and now I want to sell more. Every time I do a mural or a
Robbins loves trying new things, including window etching for his friends and customers
tattoo, I get excited. Seeing the finished product is so satisfying—it’s just like painting a car and knowing that you did a great job!” In 2012, Robbins was able to use his artistic skills for a higher cause when he was asked to paint three sculptures of Bighorn Rams. “They gave us the money for the paint and supplies and then let me go at it. It’s great knowing that one sits in the National Bighorn Sheep Interpretive Association in Cody, WY. Then later, I did the same for a series of Grizzly Bears for an art collective project that also took place in Cody, WY. Twenty-five artists were chosen to paint these five-feet-tall
Grizzlies, so it was an honor to be included.” These animal creations brought Robbins some national acclaim and his role as the painter in each case was satisfying, he said. “If I can use my artistic abilities to help the community in any way, I’m willing to do it. “It has been a great experience painting these sculptures, so who knows what’s coming next?” Whatever the future does hold for Mark Robbins, it will undoubtedly combine collision repair, art, philanthropy and more for this Renaissance man. “I want to keep doing everything and creating art is a big part of that,” Robbins explained. Maybe one day he will be able to shed the title of “starving artist” and replace it with “fulltime professional artist,” so stay tuned.
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Lean Operations
How to Hold People Accountable with David Luehr
If you struggle getting people to do what you want them to do, it may be time to learn a few new accountability skills. Many collision shop leaders are frustrated that people seem to ignore them when asked to perform simple tasks such as picking up after themselves, or living up to quality standards. This disregard for the rules may come across to leaders as a lack of respect, and sometimes it could be, but very often these indiscretions are a result of insufficient leadership skills. There is a lot to know about motivating and keeping an engaged work force. Here are some tips that will get you started in the right direction and keep your team doing the right things in order to win:
Don’t assume your team knows what you expect Much of the frustration felt by my clients are brought on by themselves because they don’t have written standards. Standards take on a whole new level of seriousness when in writing. I highly recommend creating a simple written “playbook” to document how you want repeatable actions performed in your collision center. Once this information is in writing you can sit down with your staff and clearly communicate what the expectations are. Some of the best collision companies even ask their staff to take a short test
David Luehr is the owner of Elite Body Shop Solutions, LLC, a collision business consulting firm based in Nashville, Tennessee. He is a 30 year veteran of the collision repair industry. David is an expert in Body Shop Operations and specializes in Lean, and Theory of Constraints methods. Email him at dluehr@msn.com
to prove they understand what is expected of them. Again, don’t make the assumption that your team knows what is expected of them, you have to overcommunicate what you expect.
Know how to hold an accountability conversation One of the things that leaders hate the most is, unfortunately, having those little talks with people that aren’t living up to expectations. Leaders need to learn to become comfortable being uncomfortable and go ahead and have that talk! If you have done a good job letting people know what is expected of them, these conversations are much easier to have. Especially if the standards are in writing. What makes these “coaching” conversations difficult is when the discussion is based on the arbitrary, such as “Dan, I don’t think you are communicating with your customers well enough.” The conversation is much easier and effective when you are explaining a gap in the employee’s current performance versus a known standard. “Dan, our company values excellent customer communication as you know, and you know our standard is to contact our customers every two days as outlined in our playbook. Dan, please explain to me why this behavior is not taking place?”
Inspect what you expect Many of my clients find that inspect-
Espana’s Collision Repair in San Jose, CA Posts New Blog with Customer Reviews
Espana’s Collision Repair has just posted a new blog to their website that is devoted to reviews. Espana’s Collision Repair has been in business for more than 25 years. From frame straightening and auto body painting to minor repairs like windshield chips, minor dings and scratches, Espana’s said it can handle a wide variety of services, and their loyal customers have consistently shown their appreciation by posting outstanding reviews both on the Espana’s website and sites like Yelp, according to a press release. The new blog noted that Espana’s Collision Repair has a 4.5 star Yelp rating. For example, Angie from Milpitas wrote in her 5-star Yelp review that
a friend had referred her to Espana's. “[The technician] gave a very professional auto body estimate and took care of my truck. They provide excellent service and do an excellent job…Espana’s Collision Repair, thanks for your great service and making this experience go by faster,” Angie wrote. “I would give these guys more stars if I could…The work was very professional, and they even had my car washed when I came to pick it up,” wrote Alexandra from Dallas, Texas in a 5-star Yelp review.
To learn more about Espana’s, contact Miguel Espana by phone 408-453-9875 or email media@espanascr.com
40 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
ing or auditing their systems and standards pay huge dividends. Many of the world’s fastest growing MSOs have found regular periodic audits to be the real secret sauce to standards being consistently met. Once deviations are discovered, you should provide immediate feedback through employee coaching or holding a company meeting to reinforce the standards. Again, you must over-communicate the standards and what is expected.
Why consistency is the key Most people actually prefer structure. Like children, many of us may not like being held accountable at first, but almost everyone learns to appreciate the consistency and healthy structure of a company that lets people know what they are supposed to be doing and how they should be doing it. Far too many leaders simply hire people and stick them in a position with the full expectation that all the experience they have
accumulated over the years at other body shops will translate into meeting the expectations at your company. This rarely works well! You have the choice to run your business or let the employees run it their way. Consistency also means that you have to quit turning your head the other way when standards are not being met. If you choose to keep stepping over your employee’s pile of tools and parts laying on the shop floor instead of correcting the behavior immediately, you will have a difficult time getting anyone to take you serious as a leader. Your job is to be a leader, not a buddy! Take back control of your business by setting clear expectations, and holding people accountable in a professional way! If your company would like help with leadership training or creating and documenting standards please contact us today. Visit www.elitebody shopsolutions.com for more information.
www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 41
Historical Snapshot
—John Yoswick is a freelance writer based in Portland, Oregon, who has a body shop in the family and has been writing about the automotive industry since 1988. He is the editor of the weekly CRASH Network (for a free 4-week trial subscription, visit www.CrashNetwork.com). Contact him by email at jyoswick@SpiritOne.com.
Mike Anderson in 1996, Incomplete Estimates, Feather Prime and Block, PartsTrader with John Yoswick
20 years ago in the collision repair industry (April 1996) “We are our own worst enemy. Every day I try to collect for color sand and buff or other procedures, only to be told that now one else charge for them. You may say I am a fool when I tell you that I believe insurers when they say this, but you are a bigger fool if you do not believe them. This industry is made up of cowards, people who talk the talk but don’t walk the walk. Wise up. Insurance companies are only going to pay for what they are asked for or what the industry demands. “State Farm is not necessarily our industry’s worst enemy. Take payment of claims, for example. Does State Farm stretch your receivables out over 30 days? I’m not saying State Farm pays better than all other companies, but let’s give credit where credit is due. “If you want to get angry with someone, get angry with the guy down the street who doesn’t charge for the items you do and should charge for. The guy who tapes up door handles, doesn’t know the P-pages, doesn’t know his cost of doing business, doesn’t charge for colorsand and buff. “We need to clean up our act and look inward for solutions to our problems, not outward where place blame on a third-party.” —From an April editorial in Hammer & Dolly by Mike Anderson, at that time the second-generation owner of a body shop in Virginia and the president of the Washington Metropolitan Auto Body Association. Anderson sold his collision repair business in 2010 and founded Collision Advice, a training and consulting firm. Among his projects: Quarterly “Who Pays for What?” surveys asking shops about how frequently they bill for and are paid for not-included labor operations.
15 years ago in the collision repair industry (April 2001) A call to define some total loss vehicles as ‘unrepairable’ was among the resolutions passed at the National Industry Issues Forum held recently in Minneapolis, MN. The event, sponsored by the Society of Collision Repair Specialists, was designed to give collision repair-
ers an opportunity to discuss issues “without outside interference or fear of retribution” from other segments of the industry that participate in most other industry events and discussion. Shop owners and representatives of SCRS state affiliate associations attending the event voiced support for three “resolutions” created during the meeting. Attendees unanimously voiced support, for example, for efforts to declare total loss vehicles “unrepairable” and salable only to dismantlers if they are less than 8 years old and have damage exceeding 100 percent of their value. Auto recycler Herb Lieberman said his industry has introduced such legislation nationally but the bills have never moved out of legislative committees. “Of the vehicles declared total losses and removed from repair facilities to salvage pools and sold as total loss vehicles, our industry is only purchasing 30 percent of those vehicles, and that has an adverse effect on all of us,” Lieberman said. In 2001, Nebraska He and others at shop owner Boyd the meeting pointed Dingman said out that the current incomplete initial estimates impact situation results in cycle time and higher prices and overall costs for lower availability shops and insurers, and quality of salessentially advovage parts; surgical cating for the process known stripping of vehitoday as “blueprint- cles, VIN swapping ing.” Dingman’s and other fraud; infamily now opersurers re-insuring ates four shops poorly-rebuilt total purchased by unsuspecting consumers; and high salvage values that result in more vehicles being totaled. National Industry Issues Forum attendees also urged insurers to consider how the accuracy and completeness of initial estimates impact cycle time and overall shop and claims costs. “We have some insurers that ask us not to write a complete estimate,” said Boyd Dingman, owner of Dingman’s Collision Center in Omaha, NE.
42 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
“They say, ‘Let’s not put blend time on there,’ or ‘Let’s not put R & I trim on there.’ Then they want cycle time. The car comes in and we don’t have blend time or the R & I time on the sheet. All of a sudden we went from the 15-hour job to a 25-hour job. That certainly slows our cycle time down because we didn’t schedule for 25 hours. They’re hurting our cycle time by asking us to write a short-sighted estimate.” —As reported in The Golden Eagle. Little has changed in terms of total loss vehicles in the 15 years since the Forum was held, but shops and insurers have for the most part come to realize the value of “blueprinting,” fully documenting all vehicle damage up front to reduce delays and expense created by the supplement process. Dingman continues to operate four shops in Nebraska. Lieberman is an industry liaison for LKQ Corporation.
10 years ago in the collision repair industry (April 2006) The “gap” has been defined. One of the long-simmering debates among shops and insurers involves when body work ends and paint work begins. The transitioning processes, which is called different things including “feather, prime and block,” are a frequent source of conflict in terms of whether and how shops should be compensated. The Collision Industry Conference (CIC) Estimating Committee has spent much of the past year holding panel discussions and working to craft a written statement that “defines the gap” in order to try to bring some clarity to the issue. At the CIC held in Portland in April, the committee received a nearly unanimous vote in favor of its ninth version of the feather / prime / block explanation. “The repair process associated
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with damaged painted body panels typically involves multiple operations: body repair, feather, prime, block, and refinish,” the statement reads. “The body repair process includes metal finishing and/or the use of body fillers to return the body panel to its undamaged contour. The repaired area is finished to 150 grit and free of surface imperfections. Feather, prime and block are not-included refinish operations that complete the process from 150 grit to the condition of a new undamaged panel. The refinish process starts at the condition of a new undamaged panel and is outlined and documented in printed and electronic time guides. The body / paint labor and materials necessary to prepare the repaired area from 150 grit to the condition of a new undamaged part is a valid and required step in the process. The labor and material allowance for these operations requires an on-thespot evaluation of the specific vehicle and damage.” —As reported in The Golden Eagle. Despite the adoption of this definition, “feather, prime and block” continues to be a matter of some debate within the industry. A 2015 “Who Pays for What?” survey (www.collision
advice.com/survey) of more than 900 shops nationwide found that two-thirds of them reported receiving body labor, rather than paint labor, for this operation—yet less than 14 percent said this work was performed solely by body technicians. In fact, well over half said the operation is performed solely by the paint department.
5 years ago in the collision repair industry (April 2011) State Farm says in the coming months it will develop a new electronic parts ordering system for its Select Service shops. In a video message to those shops, State Farm’s Gregg McDonald said the insurer will work with all segments of the industry to develop a system to “reduce the amount of time and effort needed to search for, source and order all part types,” and “to give suppliers a better view of the process, and access to complete parts orders.” McDonald said that the system
will include a review tool to allow shops and vendors to provide feedback on the parts ordering experience. “Supplier choice and decisions regarding which parts are best suited for the individual repair will remain in your hands,” McDonald tells Select Service shops in the video. In 2009, State Farm halted an electronic parts ordering test it had rolled out in California and Indiana, saying it had no plans to implement such a program nationally, but that it had found that electronic parts ordering “has value.” The Select Service agreement that participating shops must sign gives the insurer the right to require electronic parts ordering. —As reported in CRASH Network (www.CrashNetwork.com), April 11, 2011. The system State Farm was referring to was PartsTrader, which it began requiring Select Service shops to use in 2012, rolling it out nationally by mid-2014.
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PDA Extends Expertise to Financial Services Sector
Property Damage Appraisers (PDA) is spreading the word about one of its core business practices—financial services. PDA’s appraisal services can be utilized by banks, credit unions and leasing companies that hold liens and force-placed insurance on vehicles. PDA inspects vehicles anywhere in the country and estimates damages in the event of an accident or total loss. “At PDA our work is quite versatile. From vehicle estimates to financial services inspections, we want companies to think of our appraisers as an extension of their team that they can rely on when workloads are heavy,” said Ken Loose, COO, PDA. “We complete estimates quickly to help get customers back on the road or get better returns on your repossessions.” “With more than five decades of experience, we’ve got the expertise to deliver high quality, accurate estimates in less time. That means you can control your costs and higher returns for your repossessed and lease turn-in vehicles,” Loose said. Visit http://www.pdacorporation .com/financialservices.php.
www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 43
Media and Publicity for Shops The Little Things Go a Long Way with Customer Service with Ed Attanasio
Nancy Friedman is known throughout the country as the Telephone Doctor, but she is also a keynote speaker for large automotive companies and a customer service consultant for big corporations. She takes businesses of all sizes that are dropping the ball when it comes to basic customer serNancy Friedman (aka “The Telephone vice and turns them into thoroughbreds. Doctor”) works with automotive Her clients include companies to CCARSTAR, Big improve their O Tires, Goodyear, customer service Tire Pro, Midas, and many other well respected automotive companies around the country. We sat down with the doctor recently to discuss customer service in the collision repair industry and ask her why so many shops are ailing and need a little CSI therapy.
Q:
How can a company and its employees turn bad customer service into great customer service?
It takes practice like anything A: else. But if your shop can embrace an atmosphere where the cus-
tomer is #1 without exception, it will quickly become part of the culture and ingrained in your company. But they have to buy into it and you have to create an environment that encourages and rewards good customer service.
One of your cardinal rules of Q: customer service is called “People Before Paperwork”. Can you elaborate?
As we all know in the collision industry, the insurance compaA: nies started insisting that the shops do
the lion’s share of the paperwork required with every repair. This has added 2-10 more hours to the process on each and every car, depending on whom you talk to. Now, this deluge of paperwork can be a problem for employees who aren’t adept at multi-tasking. I heard one estimator say, “I wanted to deal with the customer but I felt as though I needed to finish the pa-
perwork on this other job first.” Well, that’s a big mistake. Multi-tasking is part of the job and it’s unacceptable to ever make a client wait due to paperwork. Don’t ever tell a customer, “Sorry, this paperwork has to go out right now.” Another mistake. You’ve just told the customer that you’re not a priority. If you’re under the gun with a looming deadline, how is that the customer’s concern? In the corporate world, they call it “job shifting” and it’s something I teach people how to avoid. When someone walks into your place of business, or calls you while you’re working on something, drop everything for that person. Remember, paperwork can wait, people should not. We’ve all been abused when we go shopping and get ignored by clerks, so we know how that feels. Let’s not abuse our own customers and live by this simple rule: People Before Paperwork.
In a busy body shop environment, some estimators and oQ: ther office people make mistakes by
hurrying. Plus, they make the customers feeling uneasy, with all of the rushing around. How do you teach people to stay calm even when they’re overloaded?
It’s human nature. We rush when A: we’re busy and that’s when we make mistakes. By being short with
customers or rushing them through the process, even if you do a good job, they will be left feeling intimidated and you won’t see them coming back. Take it easy. Remember, speed is not success! Trying to be “done” with a customer as quickly as possible is seen as being rude and uncaring. Take your time with each and every contact. Hey, everyone’s busy! That’s what it’s all about. Being busy does not give you carte blanche to be rude. Remember, you meet the same people coming down, as you do going up. They’ll remember you. (What’s worse than being busy? NOT being busy.)
Another problem is when body Q: shop people talk to customers using industry terms that they can’t possibly understand. How can that be fixed?
44 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
Ever get a report from a comA: pany and not understand it? Some companies have jargon that
makes the CIA wonder what’s up. Granted, today’s customers are much more savvy about cars and collision repair. But focus groups prove that most of your clients don’t know what severity is or the difference between an OE and an aftermarket part. So, always be very careful not to use your own company jargon on your customers. You and your employees may understand it very well, but the customer may not. And you’ll only cause a lot of unnecessary confusion. Spell things out for your customers. Don’t abbreviate. Remember, don’t use collision industry language on civilians, because in most cases, it will only confuse them.
And whatever happened to all Q: of the little things that used to go such a long way when it came to
customer service? Like saying thank you and smiling?
It’s so true! We need to remember that ‘Thank you’ and ‘You’re A: welcome’ are beautiful words. The cus-
tomer cannot hear them too often. However, if you’re telling your customers to “have a nice day,” please say it with meaning! I recently had a checkout clerk tell the floor to have a nice day. She wouldn’t look at me. Make eye contact when you’re saying something nice. Also, smiling goes a long way and can really make a customer comfortable quickly. Lead with a smile and you can’t go wrong and you’ll stand out from all of the frowners out there! It will also earn you many classic customer service points as a result. The customer needs to know that you want to work with them, no matter who they are, so smile and be friendly with everybody through the door and watch how positively they will respond.
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National Associations with Chasidy Rae Sisk
Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@chasidyraesisk.com.
Why WIN? Webinar Explains Why Everyone Should Be a WINner On Thursday, February 18, the Women’s Industry Network (WIN) hosted “Why WIN? An Introduction to the Women’s Industry Network” to explain WIN’s mission, how WIN engages women, why the industry needs WIN and how to get involved. The informative webinar was conducted by Michelle Sullivan and Mary Kunz, cochairs of WIN’s membership committee, who expressed the desire for all participants to learn something new about WIN. WIN was founded in 2006 by a small group of women who had made significant contributions to collision repair. They began the organization to support and encourage women in all segments of the industry. Sullivan explained that WIN provides great leadership opportunities through their Board of Directors and various committees, plus their annual educational conference offers plenty of developmental and breakout ses-
sions. WIN also awards scholarships for students and professionals, and recognizes exceptional women in the collision repair industry through their Most Influential Women (MIW) program. WIN is very involved nationally and engages in its targeted campaign through the association’s leadership, which is comprised solely of volunteers who donate their time and talents to growing the organization. There are a variety of ways to get involved with WIN, according to Sullivan. If members want to help advance the organization’s strategy and further its direction, they can join one of the following committees: scholarships, industry outreach, membership, communications, sponsorship, strategic planning, governance and conference planning. Kunz explained, “Most committees have a monthly call, but there are no required time commitments. It’s what you can contribute and where
Continued from Page 34
ishing headlights, checking auto fluids, and changing bulbs and wiper blades. We collected donations from participants and local businesses. The proceeds covered the cost of repairs for single working moms. I’m sharing this story because it illustrates the power of community. People want to feel connected to the businesses they work with. Providing workshops (or any kind of educational event) is a great way to do that. If you can find a way to serve your community in a way that people notice, you’ll make a difference and drum up new business.
Female Shop Owner
and addressing their concerns compassionately. We offer snacks and drinks (not alcoholic ones); plus, there are bar stools lined up at the counter, like in the sitcom Cheers. “Everybody knows your name. And they’re always glad you came.” We also prioritize driver’s education. For example, we’ve got a tire pressure gauge in the waiting room. Customers are welcome to read the instructions, take it outside, and check their pressure while they wait.
Is there anything else you would Q: like to share with our readers in the collision repair industry?
A:
In the Great Recession of 2008, my shop hit a sales slump. Lots of folks lost their jobs and didn’t have a reason to drive. Others held onto their jobs, but took a bus or taxi to save money. Business wasn’t good. This is what inspired me to host auto awareness workshops for women. We taught them how to do basic repairs like pol-
your talents best fit. Joining a committee is the best way to engage with this organization and get the most out of your membership.” WIN also offers opportunities on their Board of Directors, and the organization is looking to bring new people and ideas in. The deadline for this year’s Board of Directors has been extended through the end of February. The deadline for scholarship applications has also been extended through the end of the month. WIN offers scholarships for high school students, as well as post-secondary/continuing education students to allow recipients to further their development and help women advance in the industry. Scholarship recipients receive WIN memberships, and some are selected to attend WIN’s annual conference where they’re given the opportunity to network with women in the collision repair industry. Schol-
arships recipients are mentored by MIWs and board members. WIN’s website also features an employment center for job postings and resumes. Sullivan noted, “There’s a lot of talent in this industry and getting involved with WIN helps industry engagement and improves retention.” Over the past few years, WIN has increased its visibility by attending a lot of national events. This year will be the first time WIN makes an appearance at AASP/NJ’s NORTHEAST Conference and Tradeshow. Kunz said, “WIN is looking to constantly be visible in the industry and really engage women.” WIN’s “There’s a Place for You” campaign focused on educating women about all the different opportunities in the industry and allowed them to open a dialogue about the various career paths available. As part of its efforts to create a recognizable brand, WIN has created brochures and other marketing
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materials which are available to members for distribution. Sullivan and Kunz are proud of WIN’s MIW awards which they took over from AkzoNobel in 2013 to honor women who have “enriched the collision repair industry with their vision, leadership and commitment to excellence.” Nominations are collected each fall and then reviewed and selected by an independent third party; MIW honorees are acknowledged at the MIW Gala during WIN’s annual conference. “Why does the industry need WIN?” Sullivan asked. “What does the face of your business look like, and how is your organization positioned for growth? Looking at diversity and sustainability, we need an organization like WIN whose mission is to engage women. For years, shops have struggled with a shortage of technicians; our scholarship program sees a number of women entering that segment of the industry.” Sullivan continued, “Join WIN, join committees and encourage others to join. There are still people who don’t know about WIN, but membership is beneficial and provides great networking opportunities. Become a corporate sponsor or donate individu-
ally as a Friend of WIN to support our scholarship fund. Even better, attend WIN’s annual conference - we’re always looking for people to share their experiences!” Kunz said, “It’s a unique experience to be in a room filled with women from this industry. The camaraderie is great. I got hooked at my first conference and have been a member ever since. It’s been a wonderful opportunity to grow myself professionally and personally. Attending a WIN conference will serve you well.” When WIN was founded in 2006, the organization had 140 members. Thanks to their membership drive, they ended 2015 with 478 members, the highest number to date, which represents a 29 percent increase over 2014. Going forward, WIN plans to enhance its member profiles in order to focus conference sessions on specific segments of the industry. WIN memberships run from January through December and are available online for $75 annually. Kunz and Sullivan “encourage you to join and to spread the word about WIN.”
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Facebook Contest for New Flooring at School
The Collision Repair Education Foundation (CREF) and RustOleum are collaborating this spring on a Facebook contest that will help provide high school and college collision school programs with a professional appearance upgrade through the donation of epoxy floor coating. Eighteen schools that applied for the Education Foundation’s 2015 Makeover school grant, submitted pictures of their collision program floors. Industry members can then vote for a school by visiting the Education Foundation’s Facebook page and “Liking” the picture of their choosing. The picture that receives the most “Likes” by May 2 will receive RustOleum’s, RockSolid floor coating for their floors. “We’re proud and excited to contribute to such a worthwhile effort,” said Steve Gillmann, vice-president human resources, at Rust-Oleum. “We know that giving these students a chance to work in a professional environment can ultimately lead them to success in their careers.” For information, contact Brandon Eckenrode at 847-463-5244.
B-Tec Systems Releases The Infrared Handbook
The Infrared Handbook from B-Tec Systems was written by Peter Phillipson who has over 30 years automotive experience. Phillipson spent 18 years with Edwin Trisk where he was responsible for developing short wave infrared systems and global technical training. He has also been acting as a consultant for several infrared manufacturers in recent years. He has been working recently for B-Tec Systems in the USA, as technical sales & marketing manager (IR). Phillipson commented, “I have been writing educational pieces for several years, but finally found the time to write another book on infrared. It basically covers everything about infrared, what it is, how it works and also covers most of the applications you can use it for in the automotive refinish industry. I hope it will enable both distributors and body shops better understand infrared equipment and its benefits.” The book is available from BTec Systems. The electronic version is priced at $9.95. For information, call B-Tec corporate office phone (480)-621-5304 or email btecusaoffice@gmail.com.
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The Body Shop of the Future
Mike Anderson shares tips on how to “thrive and not just survive” by Stacey Phillips, Assistant Editor
What will it take for an auto body shop to prosper in the future? Industry expert Mike Anderson shared tips on what shops need to do in order to “thrive, not just survive,” during a recent California Autobody Association’s chapter meeting. It was held in March at Mitchell International in San Diego, CA. Regardless of the type of business, Anderson said a company needs to focus on three specific areas: marketing, production, and finance human resources.
Sales & Marketing Currently, if a vehicle owner does not have a shop in mind to go to after an accident, the insurance company will make a referral to a DRP (direct repair program) shop. Anderson said that moving forward, OEMs will become more involved in this process. In the future when someone is in a collision, Anderson said the technology in the vehicle will automatically notify the OEM about the drivability of the car. This will give the OEM an opportunity to direct where the car will be repaired, also known as “virtual steering.” During his presentation, Anderson showed CAA members a Collision Hub video released in 2015 titled, “Virtual Steering The Future Of Automotive Collision Claims.” https://www.youtube.com/watch?v= MWqYWDdRvu4 Several OEMs have already incorporated this technology into their vehicles and are in the process of building vehicle networks. Meanwhile, insurance companies are in discussions with OEMs to be their preferred carrier of choice. Anderson shared information from Erica Schaefer at Chrysler: “Statistics have shown that 60 percent of consumers who have to return their car back to a body shop for a problem no matter how minor, will sell or trade that car in within one year. Sixty-three percent of that number will change vehicle brands when they sell or trade in their vehicle.” “At the end of the day, the OEMs want to protect their brand,” said Anderson. “DRPs are not going away; however, I do believe that as shops we need to set ourselves up to win and this OEM trend needs to be clearly
considered.” performance indicator) that insurance He said in the past a prosperous companies are now tracking and shop was either part of a DRP or had should be monitored – Assignment high-end OEM certifications. This is no Received to Estimate Start Date. This longer the case, according to Anderson. is the time period that insurance com“The shop of the future that is going to panies measure a shop from the time thrive and not just survive, is they send an assignment at going to be a blend of both,” FNOL (First Notice of Loss) he said. “If you have not on a customer’s car until the started down the path of OEM body shop actually begins certifications, you have alwriting the estimate. ready started to lose the race.” The industry average is In addition to pursuing currently 5.5 days. “InsurOEM certifications, he said it ance companies want it to be Mike Anderson from Collision is critical to monitor and less than 1.6 days because Advice gave maintain your shop’s online they see a direct correlation CAA San Diego presence. He talked about enbetween the time it takes members tips on suring your business presence from FNOL to when the shop how to run a is consistently representing contacts the customer and besuccessful business your brand. Regardless of the gins writing that estimate,” search engine used – Google, Yahoo, said Anderson. “The longer the period Facebook, Bing, white pages or yelp – between FNOL and a shop beginning having a consistent and accurate listan estimate impacts what they pay on ing is critical to success. Anderson adbodily injury claims.” vised having the shop’s logo, shops Some of the MSOs he works with hours and website link accurate across have call centers that contact the vethe board. hicle owner within seven minutes of Websites such as www.yext.com when they receive an assignment. “If can provide information on how con- shops are taking up to 5.5 days to consistent your shop ranks in regards to tact the customer, they can be assured your online presence. that they are losing work,” he said. In order to “thrive and not just surAnother factor affecting CSI is vive,” Anderson noted that the followwhether the vehicle is delivered on ing are important to consumers – trust, time. “The number one thing that empathy and direction (TED), while contributes to on-time delivery being insurance carriers are looking for servmissed is that we give them a false ice, speed and accuracy. date to start with,” said Anderson. AlTo meet these needs, Anderson though shops often feel pressured to recommended that shops focus on the give customers a date, one of the three Cs – CSI, closing ratio and cycle things Anderson said he learned from time. Cheryl Hart at 3M was to change our word tracks with customers and let them know that we will be able to CSI “If you want to thrive and not just surprovide a more accurate date once the vive, you need to give extraordinary, car has been disassembled, the shop over-the-top, off-the-charts customer has received full authorization from service,” said Anderson. “‘Good nuff’ the insurance company and find out is not good enough.” when the parts are available. In addition to paying attention to He stressed the importance of enhow your customer is greeted, the ap- suring vehicles are repaired properly pearance of your front office and the the first time and suggested using the use of uniforms, one of the biggest asTech Scan technology from Collision factors affecting CSI is whether or not Diagnostic Services to identify issues customers are kept informed via their with a vehicle. After being hooked up preferred method of communication - to the car, the vehicle is connected to - text, email or phone -- while their ve- an OEM SCAN Tool in Dallas, Texas hicles are repaired. Sixty-three percent where they have factory-trained techof customers surveyed prefer to re- nicians who use OEM scan tools to ceive text message updates, but this provide relevant information. ranges depending on gender, age and Another idea he shared is having demographics. an after-hours emergency number for He mentioned a new KPI (key customers. The recording should in-
48 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
clude information about whether the shop is open or closed; if it has a towing service and provide the phone number; the address of the shop as well as a nearby landmark; and where the key drop is.
Closing Ratio Anderson discussed the advantage of devising sales scripts to use when contacting customers. “The day after you deliver the vehicle, call the customer so you can ensure if there is a problem, you can head it off before the CSI survey is completed,” he said. He also recommended following up with customers after writing the estimate to ask if they have any questions as well as conducting sales training with staff. Anderson said that every good business does what he called “corporate espionage” to find out what their competitors are doing well and what they are struggling with. He encouraged attendees to conduct a SWOT analysis, checking the Strengths, Weaknesses, Opportunities and Threats of their business as opposed to the competition. This may include looking at their Facebook page, website, online reviews, what OEM certifications they have and how they rank with insurance companies.
Cycle Time A year ago, Anderson said he would have recommended that in order to be successful in cycle time, a shop needed to repair vehicles at least two days faster than the market average, based on Enterprise’s Length of Rental ARMS Reporting. “Today, you need to be four days better than the industry average because everyone else has gotten that much better,” said Anderson. “Having a complete and thorough understanding of Enterprises ARMS reporting is critical to a shop’s success.”
Production In regards to production, Anderson said it will be necessary for shops to retain more labor gross profit in order to pay for OEM certifications and training. Otherwise, they won’t be able to afford it. “The body shop of the future is going to have to retain 65 to 70 percent gross profit unloaded without benefits,” said Anderson. This can be accomplished through bonus-based pay plans, a team system, a tiered approach See Body Shop of the Future, Page 52
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Solano Pink Heals Unveils Pink Vacaville Police Car in CA by Jessica Rogness, The Reporter
After spending years in the fleet of Vacaville’s crime fighters in California, a freshly painted pink police car will now help a nonprofit organization fight cancer.
Johanna Hoagland, a Vacaville police volunteer and breast cancer survivor, signs her name on a pink police car bearing her name. The Solano chapter of Pink Heals, of which Hoagland is a member, regularly visits cancer patients aboard a pink fire engine named “Christine.” Now “Johanna,” donated by the Vacaville Police Department and painted by L&M Autobody Shop, will join the Pink Heals fleet. Credit: Jessica Rogness, The Reporter
The Solano County Chapter of the Guardians of the Ribbon/Pink Heals unveiled the retired Vacaville Police Department patrol car February 22, which they christened “Johanna.” Known as “Bubbles” at the police department, the car was one of the last they had with the “bubble bar” lights on top. Now it’s named after Johanna Hoagland, one of the chapter’s original members, a Vacaville police volunteer and a two-time cancer survivor. Hoagland was surprised. “That’s why I was crying and walking over to my daughter,” she said after the big reveal at L&M Autobody Shop on Quinn Road. “I needed support.” She had rushed to hug daughter Erika Enslin, a fire captain in Sacramento, CA when Cliff Campbell, a Vallejo Fire battalion chief and vice president of the Solano chapter, began reading Hoagland’s biography. It subtly revealed it was Hoagland whose first name would grace the car. Her other daughter Janna Polik was there to witness the unveiling as well. Hoagland was a community service officer in Rohnert Park in the 1980s, and in 2000, got cancer for the first time. “Being the fighter that she was, she kicked cancer’s butt,” Campbell said. Hoagland later became a Vacaville Volunteer in Police Service and a chap-
lain, and brought what Campbell called her “infectious energy” to the police and fire departments. Then she fought breast cancer in 2010. She is a volunteer with a support group at Kaiser Permanente Vacaville, an usher at the Vacaville Performing Arts Theatre and a Markham Elementary School crossing guard. She also teaches knitting to children, holds a craft group in her home on Friday nights and knits items to give to children with cancer, Campbell noted. Hoagland regularly participates in the visits that Pink Heals makes to cancer patients with its pink fire engine named “Christine.” “I go out on anything and everything I can go out on,” she said. Pink Heals volunteers are joined on these visits by local police officers, firefighters and public safety dispatchers. The Vacaville Police Department donated the car in September, L&M donated the paint job and Soroptimist International of Vacaville donated the money to have the sign graphics put on the car. Vacaville Police Captain Ian Schmutzler was managing the fleet at the time.
The patrol car, known as “Bubbles” at the Vacaville Police Department, was given a makeover at L&M Autobody Shop on Quinn Road, and then christened February 22. Credit: Jessica Rogness, The Reporter
“They (Pink Heals) came to me with the idea of doing the police car,” Schmutzler said. It has a lot of miles on it, but it’s still in decent shape. “Vacaville has been huge in the support of Pink Heals,” Campbell said. Also adding their signatures to the car were Police Chief John Carli, Mayor Len Augustine and Councilwoman Dilenna Harris, along with several other cancer survivors and the families of those who have passed away due to cancer. Vacaville police officers and Solano County sheriff’s
50 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
deputies witnessed those signatures. The L&M crew who worked on the car and shop owners Shelly Munoz and Jason Kraft were invited to sign a special pink helmet as well. Pink Heals approached them about painting the car, Munoz and Kraft said, and they offered to donate the work. “We took that upon ourselves,” Kraft said. “It’s a good cause.” “Johanna” joins a fleet of vehicles across 56 Pink Heals chapters, all named after women who have given their time and energy to their respective communities. Some of those women have succumbed to cancer. Suisun City Fire Chief Mike O’Brien, the Solano chapter president, said the organization came to Solano County in 2011, when the Pink Heals national tour came through the region. “We came to the conclusion that we should start a chapter,” O’Brien said. The Vacaville Fire Department handed over the keys to one of its reserve engines in 2012, which was painted pink in Oakdale. In 2013, the engine was christened “Christine,” in memory of Christine Franklin, a Vacaville woman who lost
her five-year battle against breast cancer in 2011 at the age of 61. “Christine,” with the Pink Heals Guardians on board, began visiting patients at their homes, collecting signatures from the patients and their families, written in permanent marker on the engine. Pink Heals visits and assists cancer patients young and old. The Guardians often assist children and their families with the expenses that medical insurance doesn’t cover — gasoline to get to and from the hospital, food and other general costs. “It’s all about taking care of local people,” O’Brien said. Thank you to The Reporter for permission to reprint this article.
Your leading source for WESTERN Collision Repair News! western.autobodynews.com
ABA Connecticut Releases “Now What?” App for Consumers For over 50 years, the Auto Body Association of Connecticut (ABAC) has been dedicated to protecting consumer safety. In February 2016, they took their mission a step farther by releasing the “Now What?” app which coaches consumers through the proper steps to take after a car accident. Tony Ferraiolo, President of ABAC, noted, “Our app is free, easy to use and assists consumers by navigating easily through what would normally be a stressful and hectic process. Our app provides consumers with the convenience of having a guide readily available to lead them through the process of documenting the accident.” Downloading ABAC’s “Now What?” app enables consumers to gather information, take photos, hare the report with others (including their collision repair facility), find an ABAC shop in their area, and file a complaint with the Department of Insurance. One app function advises the consumer to obtain needed information from the other driver, including their name and numbers, insurance company and policy number, as well as the car year, make and model. All this information can be entered and stored within the app or sent to themselves, another person or body shop.
Photos can also be attached through the app. The app’s homepage allows the consumer to call 911, learn about their rights, file an insurance complaint, locate an ABAC shop, read about the as-
sociation or access its YouTube channel. Choosing “File an Insurance Complaint” will direct the user to the Connecticut Insurance Department’s website where they can upload photos and attach them to the complaint they submit electronically. The “Know Your Rights” feature includes comprehensive advice about
2016 Digital Collision Repair Trends Report
what to do after an automotive accident, covering everything from what to do at the scene, how to handle injuries and what to know about legal representation. This information was compiled by the Law Offices of Buckley & Wynne for their booklet, “Auto Accident Rights and Responsibilities.” By clicking “Find an ABAC Shop,” the consumer will be directed to an interactive map showing nearby member shops as well as contact information and a link to the shop’s website. Ferraiolo stated, “The steps and resources provided give consumers confidence knowing their accident was properly documented, ensuring the repair process goes smoothly. Our app also provides the body shop with information needed to help customers file the insurance claim. Not only does our app provide a checklist for customers. It also provides valuable information and resources informing them of their rights and responsibilities. We encourage CT shops to invite customers to download the app and utilize the great features provided!” ABAC’s “Now What?” app is available for download at www.aba conn.org by clicking the “get the app” tab.
The Auto Care Association (ACA) has expelled a 2016 Digital Collision Repair Trends report—an online 70page investigation of information gathered from primary ACA research and other sources. The news highlights a distance and range of the U.S. collision industry, including a paint, physique and apparatus (PBE) segment, with a brief investigation of the Canadian collision industry. It also includes analyses of the collision industry and the Direct Repair Program (DRP). Users can: download Excel-based files, charts, tables and graphs that can be copied and pasted for presentations; view pages in an accumulation of sizes and formats; locate information by a “word search” feature; and print the publication. According to this year’s report, trade deaths, totaling 29,867 deadly collisions in 2011 (the lowest ever), have increased by 10 percent to 32,317 in 2013. Copies of a new 2016 Digital Collision Repair Trends news are now accessible for $125 for Auto Care Association members and $250 for non-members. For information, visit www.autocare.org/market -intelligence or by call (301) 6546664.
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Continued from Page 48
Body Shop of the Future
and labor rate increases. Adding more non-included operations to an estimate will also help a shop’s sales mix, said Anderson. One of his recommendations to improve additional labor hours per estimate is to utilize Automotive Service Association’s (ASA) not-included chart. The free reference chart highlights the “non-included” operations when installing new replacement parts. He also encouraged the use of estimatescrubber.com, which analyzes an estimate and shows what NOT included operations may have been overlooked on the estimate. It costs $25 per month for unlimited use. “The shop of the future is going to have to focus on more repair versus replace opportunities,” said Anderson. “We’ve got to look at some repair opportunities when we know we can do a quality repair. More labor equals more gross profit.” Anderson recommended purchasing a nitrogen welder for plastic repair since insurance companies are currently tracking repair versus replace
on front and rear bumpers. In 2013, the industry average for rear bumpers was about 42 percent repair versus replace; front bumpers were 29.86 percent. That metric has since changed. Shops are now closer to 45 percent for rear bumpers and 32 percent for front bumpers. He encouraged shops to stay upto-date and educated as estimators. Some of the websites he has found helpful include www.boronextrication .com; www.drivealuminum.org; www .worldautosteel.org; and www.intlmag .org.
Finance & HR In order to be successful, data will continue to remain key. “Data is going to be very critical to you as an OEM-certified shop,” said Anderson. “If you don’t measure it, you can’t manage it.” The body shop of the future will use an accrual accounting system rather than cash, said Anderson. This means that they will adjust their work in process each month and reconcile prepayments with receivables. “Shops need to know how to manage cash flow and determine their ROI [Return on Investment],” said Anderson. He said that although he hopes he
is proved wrong, he believes that parts price matching will no longer be available in a year or two because OEMS are realizing a decrease in their profits. “This system is not working,” said Anderson. “It is a band aid for an issue that is not being discussed.” It is for this reason he said parts discounts will continue to shrink. Therefore, he recommends shops focus on making more gross profit on labor. “If you want to maximize your gross profit, you need to focus on the 30-2020 sales mix to achieve the maximum gross profit,” said Anderson. This equates to 30 percent of sales coming from body, frame and mechanical labor; 20 percent of sales on paint labor; 10 percent of sales on paint materials; 36 to 38 percent on parts; and two to four percent on sublet. “If you hit this sales mix, you will make a 46 to 48 percent gross profit unloaded [without benefits], said Anderson. However, most shops are 26 to 28 percent body, frame and mechanical labor; 13 to 15 percent paint labor; 7 – 9 percent paint materials; 40 to 42 percent parts; and the remainder on sublet. This amounts to 43 percent gross profit. “If you do $100,000 a month in
CARSTAR Expands Edge Performance Group Training Program CARSTAR Auto Body Repair Experts is expanding its proprietary EDGE Performance Group training program exclusively for body shop owners in its network, teaching leading-edge business practices and financial management. The program, now in its third year, evolved from the “20 Groups” that CARSTAR has offered for nearly 25 years. The company said it has helped many of the CARSTAR stores achieve the industry’s highest KPIs, a measure of performance and operational efficiency, and industry leading customer satisfaction. For 2016, the CARSTAR Operations team has expanded its EDGE Performance Group platform, with the goal of continuing to raise the bar in the CARSTAR Three C initiative, which is Closing Ratio, Cycle Time, and CSI/NPS scoring. More than 70 CARSTAR store owners and managers representing over 85 locations met in Glendale, AZ for the first EDGE Performance Group (EPG) meeting of 2016. The four EPG groups met separately throughout the week, doing store financial reviews for year-end 2015 numbers, reported on goals accomplished since the meeting held last September, and set new goals for 2016
The groups also visited CARSTAR Liberty Good Wrench, a franchisee in Peoria, AZ · A guest speaker from General Motors, John Eck, met with the groups to discuss My Price Link and the new Cadillac CT-6 repair program. All four groups met with Jose
CARSTAR Goodwrench Auto Body hosted the group of CARSTAR store owners at their shop in Peoria, AZ
Costa, brand president, paint & collision division for Driven Brands, and the CARSTAR team to discuss the changes that have taken place since the purchase. Bob Keith and Melissa Miller then led a hands-on group session on goal-setting strategies for strategic planning and tactical processing. The day was wrapped up with Scott Paul and Keith Going present-
52 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
ing on improving and maintaining DRP KPIs and relationships. “The collision repair industry is continuing to consolidate and become more sophisticated, so our store owners are tasked with becoming better business operators to meet the industry’s performance demands,” said Costa. “We’ve combined the business management principles taught in most business schools with an industry focused curriculum that addresses the unique financial, consumer satisfaction and performance metrics of the collision repair industry. As the industry’s largest MSO network, we want to have the best operators, and can provide them the most advanced training and resources to run their businesses.” New additions to the EDGE Performance Group program include more substantial content in each tier of the program, a technical competence around aluminum, and the addition of OPGs, or Operational Performance Groups, that will be held regionally to support GM training, and new MPGs, or Market Performance Groups. CARSTAR hosts EDGE Performance Groups three times per year throughout the country. The next event is planned for Overland Park, KS, in May.
sales, that three percent difference is $3,000. If you do $300,000 a month in sales, that is $9,000 additional money to your bottom line,” said Anderson. He suggested looking at the possibility of bringing in some of a shop’s sublet in-house. “If your sublet is more than two percent of your sales, you need to ask yourself, ‘what can I bring in-house?’” This might include looking at more repair versus replace opportunities; more non-included operations to bump up the sales mix; more refinish operations and if the paint materials percentage is low, an invoicing system. While taking steps to become a successful body shop in the future, Anderson recommended aligning yourself with people who will help you grow. “Surround yourself with people who are positive, not negative, and have the same vision and hope,” he said. “In my opinion, it’s a bright future in the industry,” said Anderson. “I don’t think our industry is doom and gloom. It’s one of the most exciting times I’ve ever seen in my life.” For more information, visit www .collisionadvice.com.
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CREF and Akzonobel Sustainability Grant C
For the third year, the Collision Repair Education Foundation (CREF) and AkzoNobel are collaborating to offer the Sustainability Challenge Grant for collision repair programs in secondary and post-secondary schools throughout the US. The application is part of CREF’s Ultimate Collision Education Makeover grant, and the deadline for both grants is June 3. Schools are invited to submit proposals for applying continuous improvement and sustainability principles that improve the processes in the school's body shop or improve the way the shop interacts and impacts the community. Projects are to be driven by teams of students with the instructor serving as a mentor. Winning schools will receive funding to implement their proposed ideas and report on the success of their projects. Clark Plucinski, CREF executive director said, “Since the program began three years ago, over 200 collision students have participated in it. Their ideas about improving sustainability are very forward-thinking and have definitely made an impact on their program, school and community.”
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(510) 758-8853 Fax www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 53
Alleged Admissions of ‘Price Fixing’ by State Farm and Progressive Employees Prompt New Filings in Multi-District Lawsuit by Stacey Phillips, Assistant Editor
In light of new evidence in the multidistrict lawsuit, on March 2 Eaves Law Firm filed a motion to reconsider the dismissal of the Mississippi antitrust complaint by Judge Gregory Presnell. Allison Fry of Eaves Law Firm pointed out that at the time the amended complaint was filed a year ago, they did not have access to the information they do now. This includes two statements, one from a State Farm representative and one from a Progressive representative where Fry said they admit to price fixing. “We have direct admissions of price fixing and other illegal acts,” said Fry, the litigation director and designated plaintiffs’ liaison counsel at Eaves Law Firm. On February 22 of this year, the trial court issued an order dismissing the plaintiffs’ claims for price fixing and boycotting under the Sherman Antitrust Act with prejudice, which means they cannot be refiled. Fry explained there are very limited grounds in which a court can reconsider an order. These include (1) an intervening change in controlling law; (2) the availability of new evidence; and (3) the need to correct clear error or manifest injustice. Therefore, the new information acquired by the Jackson, MS firm is grounds for reconsidering the case, she said. “Specifically, plaintiffs obtained a statement from a Progressive employee who stated unequivocally that body shops have no say in the setting of their own labor rates, that the insurance companies ‘get together at big meetings’ to set body shop labor rates, and that the insurance companies uniformly apply the labor rates agreed upon at these meetings,” according to court documents. “This representative even identified when the next such meeting was going to occur.” In addition, a State Farm representative provided the following statement in court documents: “State Farm intentionally suppresses and fixes body shop labor rates, and that State Farm’s labor rate survey is a sham to justify its intentional fixing of labor rates.” The anti-trust lawsuit was first filed in Mississippi by 20 auto repair
shops in February 2014 against 39 insurance companies. Eaves Law Firm subsequently filed more than 20 others. The lawsuits were eventually consolidated for pretrial purposes and the law firm now represents 500 shops across the country. In the lawsuits that have been filed, the plaintiffs allege that the defendants, “engaged in an ongoing, concerted and
Firm filed an objection to the magistrate’s report and recommendations in both Mississippi and Indiana. Fry pointed out that in the MS case, the court did not dismiss four of the tortious interference claims. “At this moment they are alive,” she said. “Unfortunately there is no final answer on that at this moment because of the very unusual nature where they separated the
“We have direct admissions of price fixing and other illegal acts” — said Allison Fry, the litigation director and designated plaintiffs’ liaison counsel at Eaves Law Firm.
combined intentional course of action and conduct to improperly and illegally control and depress automobile damage repair costs to the detriment of the plaintiffs and the substantial profit of the defendants.” The plaintiffs also claim that the defendants engaged in price fixing, compulsory use of substandard parts and boycotting shops that refuse to comply. Eaves Law Firm plans to file the same motion to reconsider in IN, MS, TN and Utah, citing the new evidence obtained. Meanwhile, the court is going through the claims on a rolling basis. “What is unusual about the current crop of orders is that the court has made a separation,” said Fry. “Other than the very first order two years ago, the court has handed over to the magistrate [Judge Thomas Smith] the duty to prepare a report and recommendation for all of the claims, state and federal.” Magistrate Smith has prepared the report and recommendation on the state law claims and District Judge Gregory Presnell entered an order on the federal claims, which Fry said is a break from their previous habit. The next step is to wait for the court to rule on the motion to reconsider, which Fry said can happen at anytime because there isn’t a specific deadline set. “If he does agree to reconsider and reverse itself on dismissal, then we will move forward with ordinary practices of litigation,” she said. “If he does not, we will appeal it to the 11th circuit.” In March of this year, Eaves Law
54 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
claims, federal vs state.” Tortious interference occurs when a person intentionally damages the plaintiff’s contractual or other business relationship. Although the report and recommendations issued by the magistrate judge stated that there are sufficient facts to move forward, Judge Presnell
will still make the final ruling. Eaves Law Firm plans to file an amended complaint in the states that the judge hasn’t dismissed yet, in order to include the new evidence. Fry wants shops to know that “…there is still a great deal of life to go here. We will be pursuing each and every avenue that is required, whether that is an appeal or additional motion to reconsider.” State Farm provided the following statement to Autobody News magazine: “Our court filings speak for themselves; we believe that the allegations made by the plaintiff are without merit. We will ask the court to deny the motion for reconsideration. We have nothing further to add at this time.”
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PPG’s Charley Hutton Delivers Another Ridler Award-Winning Finish
Ridler honor. Previous wins came in 2005, 2007 and 2013. It was also the fourth time in nine years that an entry painted with PPG Automotive Refinish products took the prize. Nicknamed “Olds Cool,” the custom build is owned by Bill and Debbie Thomas of Georgetown, Texas. The car was constructed over four years by
Harold Chapman and his team at Customs & Hot Rods of Andice, also of Georgetown. Hutton painted Olds Cool at his shop, Charley Hutton’s Color Studio, in Nampa, Idaho. Hutton is well-known for his ability to select and mix colors to match a car’s style and character, giving it a distinctive look. In this case, the car’s custom color, Kona Brown, was personally created by Hutton. He used PPG Envirobase High Performance waterborne products and the GLOBAL REFINISH SYSTEM™ brand D8152 Performance + Glamour Clearcoat to give Olds Cool its finish. “The Olds is beautiful, and the key to our success has been working with PPG’s Envirobase High Performance waterborne basecoat,” said Hutton. “Using Envirobase High Performance products made it possible to create the exact finish we wanted. When mixing a custom color, Envirobase High Performance paint always exceeds my expectations; the colors that we’re able to achieve are so clean and brilliant.”
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A 1939 Oldsmobile convertible sporting a custom-mixed metallic PPG ENVIROBASE® High Performance finish by Charley Hutton won the 53rd annual Ridler Award at the recent 2016 Detroit Autorama held at Cobo Hall. The Ridler Award is presented to the most outstanding custom car or truck making its debut appearance at the Autorama, an event—now in its 64th year—held every winter in the “Motor City.” It was Hutton’s fourth
The 1939 Oldsmobile convertible “Olds Cool”
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SEMA and Auto Care Association Partner on Industry Job Board
The Auto Care Association and the Specialty Equipment Market Association (SEMA) announced a new partnership to support the Industry Job Board, www.autocarecareers.org and the recently-launched SEMA Career Center. The partnership creates a network between both job boards of available positions and resumes of qualified candidates in the auto care industry. The Auto Care Association recently also partnered with Babcox Media, combining www.aftermarket jobs.com and www.autocarecareer hub.com with the Industry Job Board. “As part of the Auto Care Association’s Job and Career Development Program, the Industry Job Board is quickly expanding to create a single industry-wide resource to find top talent,” said Bill Hanvey, president and CEO, Auto Care Association. “We are excited to continue to connect and share with other organizations passionate about recruiting the best of the best in the auto care industry.” “Finding qualified employees with specific skills and relevant work experience are top challenges facing
SEMA members,” said Zane Clark, director, education, SEMA. “The SEMA Career Center addresses this challenge and makes it easy for automotive employers to connect with job seekers that are best suited for their needs.” The Industry Job Board, a resource for both applicants and employers, is designed to be a central hub where auto care job seekers and job creators connect. The job board currently hosts hundreds of positions available today in marketing, finance, legal, H.R., information technology, logistics, sales, international trade, facility management, technicians and hundreds of other career specialties in the auto care industry. The upgraded website features tools to help companies recruit talent to the industry, including a custombuilt, interactive career accelerator featuring five industry segments, a comprehensive recruiting resource guide and the Industry Job Board. For more information, contact: Courtney Hammer at courtney .hammer@autocare.org or 301-6546664.
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Los Angeles Jury Imposes Full Buyback Damages and Punitive Damages Against Sunrise Ford for Fraudulently Concealing History of Used Car Los Angeles-area Consumer Protection Attorney Robert F. Brennan has obtained a large jury verdict with punitive damages against Sunrise Ford of North Hollywood, CA for fraudulently concealing the collisiondamage history of a used 2010 Kia Forte, and then representing to an unsuspecting consumer that the car was safe and collision-free. The case was Deborah Leonhardt v. Sunrise Ford of North Hollywood, Los Angeles Superior Court Case No. BC 546 010. Brennan, Esq. of Law Offices of Robert F. Brennan APC in La Crescenta obtained a $75,000 verdict against Sunrise Ford of North Hollywood under California’s consumer fraud and consumer protection laws, for misrepresenting a collision-damaged car to an unsuspecting consumer, Deborah Leonhardt, who specifically inquired numerous times whether the car had been in an accident before agreeing to buy a 2010 Kia Forte. The jury rendered its verdict on February 25, 2016 in Dept. 48 of the Los Angeles Superior Court, downtown Los Angeles courthouse. The jury included in its verdict a $50,000 assessment of punitive damages against
Mirka USA Introduces Aquastar® Abrasive
Mirka USA recently introduced Aquastar® to their abrasives product line. Aquastar is a film abrasive providing flexibility, and durability for hand sanding, either wet or dry, accoding to a company press release. Aquastar® was developed with a pattern consisting of multiple abrasive zones surrounded by interconnected channels. This channel system provides flexibility while minimizing the amount of water used in the sanding process, allowing debris to flow freely away from the abrasive, according to a company press release The pattern design also allows Aquastar® to be used in any direction. Aquastar® can be used for wet sanding of clear coats and primers, automotive OEM applications, mold and plug sanding in Marine applications, dry sanding small areas and spot sanding. For more information, visit: www .mirka.com/en-US/us/
Sunrise Ford for fraud. Brennan has obtained numerous verdicts over the years against car dealers and car manufacturers for fraud and for violations of California’s “lemon law.” “At trial, Sunrise Ford initially claimed in sworn documents that Deborah Leonhardt had probably caused the damage to the car, which was frame damage and which affected the car’s safety systems,” commented Brennan. “We had to subpoena the car’s history from Enterprise Rent-a-Car to show that the vehicle had been in a front-end collision and had then been sold at auction by Enterprise. The evidence at trial showed that the vehicle was then wholesaled to an unlicensed body shop for repairs. DMV documents showed that Sunrise Ford then bought the car from the unlicensed body shop and put it on the lot for unsuspecting consumers. Ms. Leonhardt testified that Sunrise told her that the car had been inspected, had a clean Carfax and was entirely collision-free.” According to court records, Sunrise Ford also claimed at trial that the collision damage was so well concealed that it did not know about the
Portacool Introduces New Jetstream™ Coolers
The new Portacool Jetstream™ series of portable evaporative coolers is engineered to generate airflow and provide cooling options for a variety of hot working environments. The Portacool Jetstream™ 240, 250, 260 and 270 are equipped with KUUL Comfort™ evaporative media to provide maximum cooling comfort, according to a company press release. Available in four sizes, there is a Jetstream portable evaporative cooler option that ranges from 1,125 to 5,625 square feet. Some of the features include: ● Equipped with KUUL Comfort™ evaporative media, the highestquality evaporative media available and made in the USA exclusively for Portacool products. ● Liquid level indicator with automatic pump shut-off ● Large drain allows for easy, effective cleaning ● Built-in handles for easy mobility; heavy-duty casters ● Comes with Portacool Protect™ lifetime warranty on evaporative cooler housing against manufacturing defects; three year warranty on all electrical components Visit www.portacool.com.
56 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
vehicle’s collision history. “I had to put on evidence from automotive experts that there were numerous ‘red flags’ that should have, and probably did, alert the dealership to the collision damage on the car. Yes, it is true that sometimes collision damage can be repaired very well, but when representing the history of a used car, Sunrise Ford’s own expert witness admitted in testimony that dealerships should respond, ‘I don’t know,’ when asked whether a car has been in any kind of an accident. Here, the accident was more serious because it involved the frame and structural components of the vehicle, which meant that the car may well not have been safe in a future collision.”
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BASF Names N. America Distribution Director
Paul Whittleston, VP BASF Automotive Refinish North America, announced the appointment of Denise Kingstrom as the North America distribution director in Southfield, MI. “In line with our strategy to grow market share, Denise and her team are accountable to execute our North America distribution strategy. This includes enhancing the compelling value proposition distributors gain when partnering with BASF and growing their sales. Strategic leadership of ColorSource®, the BASF single line distributor program, and of the National Distribution Accounts are also part of her responsibilities,” said Whittleston. Kingstrom began her career with BASF in 1999 with assignments in New Jersey and Mexico. In 2003, she joined the coatings OEM team as a field technical sales representative. In 2010, Kingstrom joined the refinish business, leading both key and strategic account teams. For more information, visit www.basf.com.
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Tsunami Compressed Air Solutions Launches The Rove
Tsunami Compressed Air Solutions, a company that specializes in providing compressed air filtration and dryer products, announced a new product in its line of clean air solutions. The company, based in Minnesota, said The Rove was created to provide the industry with a versatile filtration and drying system that can be easily wheeled across a shop or transported to another location where dry air is required. “Its unique quick-connect design makes the system extremely user friendly and provides waterborne-ready air for point-of-use applications,” said Steve Thompson, sales manager, PBE. He said that depending on the facilities air consumption, The Rove can provide down to -80° dew points for the entire facility. Developed for release in March of 2016, Steve Thompson, said that The Rove is changing the way body shops deliver dry air to their applications. The company’s other products include the Ultra Drying System, Moisture Minder Automatic Drain, and Ultra-flo Spray Hose. For information, contact Chase Marshall, cmarshall@gosuburban.com, 800-782-5752 or www.tsunami.us.com.
Auto Glass Academy Training Begins in April
Equalizer has announced the opening of its Auto Glass Academy. Auto Glass Academy provides instructordriven, hands-on technician training to the auto glass and body industries. The four-day course focuses on technical training, time-management, customer service and safety using Equalizer® brand products. Auto Glass Academy instructors are AGRSS/AGSC certified. “When Gilbert Gutierrez, global education director, began his career at Equalizer in 1992, he created a training process to support our products,” said Eric Asbery, president of Equalizer. “Gilbert has now expanded that service that we have provided our customers over the years into the Auto Glass Academy. This is an accredited Auto Glass Safety Council (AGSC) program, and is a registered I-CAR® Industry Training Alliance Member.” Auto Glass Academy utilizes a hands-on, small-team style instruction at their three national campuses to serve areas across the USA. To enroll and/or learn more, contact info@autoglassacademy.com, toll free USA & Canada: 800-2130136, international: 512-387-5785.
NO. CALIFORNIA
Marin Subaru
San Rafael (415) 257-4690 (415) 257-4684 Fax Mon.-Fri. 7:30-5:30; Sat. 8-4 marinmazdasubaru@yahoo.com www.marinsubaru.net
Shingle Springs Subaru Shingle Springs (530) 676-0444 (530) 677-6528 Fax www.shinglespringssubaru.com
Subaru of Santa Cruz 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 ARIZONA
AutoNation Subaru Scottsdale Scottsdale (480) 425-2950 (480) 425-2948 Fax Mon.-Fri. 7-6; Sat. 7-4
The following dealerships are eager to serve your needs. Call your local Subaru collision parts specialist today! SO. CALIFORNIA
Galpin Subaru
Santa Clarita (818) 778-2005 (818) 778-2090 Fax www.galpin.com
Kearny Mesa Subaru San Diego (800) 548-9124 (858) 300-3331 Fax Mon.-Fri. 7-6 cguth@kmhyundaisubaru.com www.kearnymesasubaru.com/parts
Puente Hills Subaru City of Industry (626) 322-2555 (626) 322-2600 Fax Mon.-Fri. 7-6; Sat. 8-3 parts@puentehillssubaru.com tony@puentehillssubaru.com
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
Subaru of Glendale Glendale (818) 550-1500 (818) 549-3850 Fax Mon.-Fri. 7-6; Sat. 8-4 parts@glendalemitsu.com www.subaruofglendale.net
NO. CALIFORNIA
Elk Grove Subaru Elk Grove (877) 475-0659 (916) 509-8559 Fax Mon.-Fri. 8-6 shawnh@elkgrovesubaru.com www.elkgrovesubaru.com
Maita Subaru
Sacramento (877) 484-4870 (916) 484-4876 (916) 484-4878 Fax Mon.-Fri. 7:30-5:30 www.maitasubaru.com
Camelback Subaru
Phoenix (866) 641-9880 (602) 776-6407 Fax Mon.-Fri. 7-6; Sat. 8-4 wholesaleparts@camelbackdifference.com
Subaru Superstore of Chandler Chandler (877) 443-3239 (480) 268-2402 (480) 621-3805 Fax Mon.-Fri. 7-6; Sat. 7-5 subaruparts@shopsubaru.com www.shopsubaru.com
Subaru of San Bernardino
San Bernardino (909) 888-8686 (909) 571-5483 Fax Mon.-Fri. 7:30-6; Sat 7:30-5 parts@lovesubaruparts.com www.sbsubaru.com www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 57
Shop Strategies with Stacey Phillips - ASSISTANT EDITOR
NY Body Shop Owner’s Weekly Radio Show Aims to Educate and Entertain Customers Nick Orso’s Body Shop and Service enforcement. We talk about school bus safety and DWI (driving-while-intoxiCenter in Syracuse, New York will celebrate their 62nd anniversary cated) awareness. We have won awards for our participaon April 15. Autobody News spoke to Mike Orso, the tion and effort to promote owner of the shop, about the highway safety, and stop radio show he has run for the DWI programs, the “Move past five years and his recent Over Law” campaign, workinvolvement as president of zone safety, texting and agthe NYS Auto Collision Techgressive driving risks. Mike Orso, owner nicians Association. Orso also We have business people of Nick Orso’s that want to talk about their own’s Nick’s Garage, Inc. Body Shop and Service Center commitment to consumers and What prompted you to and president of NY best business practices. We begin recording the State Auto Collision have an insurance agent, acciTechnicians Nick Orso radio show and dent attorneys, political candiAssociation can you tell us about the topdates, law enforcement, NYS ics you cover? State Police, county Sheriff’s departments, police departments, the district atWe felt we had more to say and torney’s office, doctors and health care the 60-second radio spots we professionals and officials, highway were doing needed to tell the rest of safety experts, restaurants and delis, inthe story, to be more effective. vestment bankers, home builders, funeral We have guests from all areas of directors, tire dealers, service garages, business and legal, political and law damage appraisers, senators and assem-
Q: A:
Rotary Lift Introduces Video Series
Rotary Lift is drawing on its more than 90 years of experience designing and manufacturing vehicle lifts to answer frequently asked lift operation, maintenance and installation questions in a new video series dubbed “90 Second Know How.” These short videos cover light-duty and heavyduty lifts, including two-post lifts, four-post lifts and inground lifts. “Rotary Lift’s customer service team gets more than 190,000 phone calls a year,” says David Fischmer, Rotary Lift marketing director. “Our customers are busy, and when they need help, time is money. But when a customer isn’t standing at the lift when calling, verbal explanations can be difficult to convey and hard to understand. This new video format is like being in the customer’s shop to demonstrate the answer—in just 90 seconds.” The first six videos are online, with additional releases scheduled monthly. The videos are currently available at: www.rotarylift.com/ training-videos. To learn more, contact your local Rotary Lift distributor, visit www.rotarylift.com or call (800) 640-5438.
Service King Launches Revitalized Website
Service King Collision Repair Centers® recently unveiled a revitalized look and experience to its consumerfacing website—www.ServiceKing .com The website was designed and developed by award-winning, fullservice digital agency Blue Fountain Media. “We place a priority on providing customers and business partners a cutting-edge, user-friendly digital experience,” said Jeff McFadden, Service King president. “The new Service King homepage was rebuilt from the ground up to enhance the repair experience for our customers and provide an engaging platform to connect with our brand.” “We’ve very pleased to have provided Service King with a website that takes their online presence to the next level,” said Gabriel Shaoolian, VP of digital services, Blue Fountain Media. “The site’s focus on providing cutting-edge design that drives measurable results will help their brand continue to establish itself as an industry leader while also making the collision repair process even more convenient and hassle-free for their customers.”
58 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
blymen, college sport coaches, coast guard, travel agents, and heating and air conditioning. March 5th marked our 257th show.
What type of advertising do Q: you focus on and what are the main benefits you have found?
Wreck Check Post Repair Inspections, an in-house 40 car-truck-SUV rental fleet, in-house council, advertising, radio shows, 100-car capacity, and NO DRP conflicts of interest.
We do consumer-based informational commercials. Most A: people know we can repair a damaged
car and our commitment to repair integrity. What they don’t know is their rights after a claim. AND that’s what we tell them. Help is available.
What are the primary areas of Q: focus at your shop and what environmental initiatives have you
taken?
Our resume includes a list of A: eight manufacturer-sponsored certifications. Our services include:
Nick Orso’s collision repair shop is located in Syracuse, New York and was established in 1954
In addition to using waterborne paint, LED lighting and a modulating air system, we completed one of the largest installations of solar power electrical-producing panels in Central New York in 2011. We are Syracuse’s only solar-powered body shop. We get
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80 percent of our electrical energy from the sun. There are 280 solar panels on our roof. We are the most environmentally-friendly body repair shop in upstate NY. We received a New York State Assembly Citation from the legislature in November 2012 for our efforts in clean energy as the largest private solar installation in the Syracuse area.
Can you update us on the $3 Q: million lawsuits that were filed in 2012 against insurance companies
they do not know the intricacies of automobiles or have accidents often enough to be experienced. We do it so that we can repair the vehicle to the best of human ability while settling the cost of repairs efficiently – IF the insurance company involved is inclined to negotiate and settle the claims.
citing capping and short pays?
I am at liberty to say: A: Most of the suits were “resolved.” There are a few? that are still in
litigation. We now use in-house council that handles the day-to-day collections and interacts to negotiate and settle repair costs on claims.
What is the assignment process Q: you use to collect short pays? We take assignments from consumers who authorize us to act A: on their behalf to negotiate a repair
settlement. Most consumers are illequipped to handle repair claims since
In 2012, Orso received a New York State Assembly Citation from the legislature for “unparalleled work ethic.” Orso was recognized for his shop’s accomplishments, which included the installation of solar panels in 2011 (l to r) Assemblyman Bill Magnarelli, Mike Orso and Assemblyman Sam Roberts
Some companies, however, will not negotiate and use a take-it or leaveit offer. Those cases are typically handled by our attorney. We explain to our customers that some of the companies are not acting in the consumers’ best interest. We then have been putting our
customers in touch with independent agents who sell insurance for companies we know will settle claims and treat customers fairly. We average four to five customers a week? who are changing companies, dropping the companies that typically will not settle claims fairly-promptly or that show any anti-consumer tendency. We constantly hear that they save money, get more insurance coverage and it’s from companies that will settle claims fairly. I think it sends a message consumers will not stand for behavior that gives them less than they had prior to the loss.
What is the importance of Q: being part of an association and what is your current involvement with the NY State Auto Collision Technicians Association?
A:
This is my 16th year as president of the NYS Auto Collision Technicians Association. I feel the most important part is the sharing of information and experience. The cohesiveness of a committed group of individuals is much stronger than a single person trying to do it alone. During our annual Lobby Day, we
visit the NY State Capital, legislators, NYS Insurance and Financial Department and the NY Attorney Generals office. We keep them apprised and invested in our efforts to best serve consumers.
Is there anything else you Q: would like to share with readers?
We have found that being comA: placent and accepting whatever is offered has no reward. Most of the
drive-in estimates we see are 100 to 1,000 percent below what it takes to properly repair a vehicle. We have thousands of loyal customers built from over 60 years of collision industry knowledge and experience. We are a tough competitor.
The Nick Orso Radio Show plays Saturdays on 105.9 FM from 9 to 10 a.m. EST. It streams live during show times at http://www.therebelrocks.com/thenick-orso-show/ Mike Orso can be reached at 315471-8521. For information about Nick Orso’s Body Shop and Service Center, visit nickorso.com, and on Facebook and Twitter.
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CHEVROLET 1450 South Shamrock Ave. Monrovia, California 91016
MAZDA 735 East Central Ave. Monrovia, California 91016
SUBARU 1450 South Shamrock Ave. Monrovia, California 91016
HONDA 1450 South Shamrock Ave. Monrovia, California 91016
www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 59
Axalta’s Custom Finishes Calendar Competition
Axalta is once again on the hunt for the very best in custom cars to feature in its annual Custom Finishes Calendar. Collision repair professionals, hot rodders and artists compete to appear in the custom calendar that Axalta Coating Systems has produced annually since 1993. If your car was painted with Axalta’s coatings, it might just
make the cover. Axalta is looking for motorized passenger vehicles including automobiles (imported or domestic), motorcycles and aircraft or watercraft that are finished with Axalta’s custom Cromax, Nason, Spies Hecker, Standox brands, or with Hot Hues products. The Axalta Custom Finishes 2016 Calendar Competition officially began at 12:01 a.m. EST on Monday, March 7 and ends at 11:59 p.m. EST on Tuesday, May 31. Entrants must own or have finished the vehicle they enter into the competition
and must provide two photographs of the vehicle. To enter online, visit the contest website, then select “Call for Entries,” and complete the registration form in its entirety. Properly submitted entries that meet all eligibility requirements are subject to the official rules of the contest. Judging will be based on “best use of color” including finish quality, technical difficulty, design originality and artistic merit. Twelve winners will be selected on or before Monday, August 1. One grand prize winner will receive $1,000, a complimentary professional onsite photo shoot of the winning vehicle, cover position on the 2016 Custom Finishes Calendar, one calendar page highlight and 35 copies of the 2016 calendar. Eleven first place winners will each receive $500 cash, a complimentary professional onsite photo shoot of the winning vehicle, one in-calendar page position and 35 copies of the 2016 Calendar. For more information on Axalta’s Custom Finishes 2016 Calendar Competition, including how to enter, visit axaltacalendars.com. The official rules are available at axaltacalendars.com/ competition/content-conditions.php.
Larson Electronics Releases Two New Products
Larson Electronics recently announced the release of a 120-watt self-contained LED light tower. The WAL-BP-3XLED-CPR rechargeable LED light tower from Larson Electronics light assembly consists of three light heads attached to a circular bracket and center support.
Larson LED Strip Light
“This new portable light tower is a self-contained lighting solution designed to be easily deployed for applications such as emergency rescue, fire, police, and utility maintenance,” said Rob Bresnahan, CEO of Larson Electronics. “For storage and transport, the light assembly and tower can be stored within the wheeled case, aiding in mobility and providing operators with a compact lighting solution when storage space is of the essence.” Larson Electronics also announced the release of a four-watt
Class 1 Division 2 LED strip light equipped with a 20-foot cord terminated with a standard two wire flying lead. The HAL-6-IPS-LED-20 hazardous location LED strip light from Larson Electronics is designed for applications where Class 1 Division 2 compliance is required. “Featuring a low profile design, this fixture provides optimal light output for applications requiring hazardous location classifications,” said Bresnahan. “The adjustable moun-ting brackets make this hazardous area LED light versatile and is a perfect solution for applications with common exposure to wetness or dusty conditions.” To learn more about Larson Electronics, visit www.Larsonelectronics .com or call 1-800-369-6671. Larson Electronics will be attending the 2016 OTC show in Houston, Texas from May 2-5. Visit them at booth 6716 to inquire about their lighting solutions for many industrial applications.
60 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
BMW Ramping Up in Autonomous Vehicle Space
Klaus Froehlich, BMW’s board with Mercedes Benz and Volkswagen member responsible for research and to buy Nokia’s HERE, a digital map development, told a remaker company. The porter from Reuters at idea was to create a platthe Geneva Auto Show form for cars to share that “it is a core compedata on road conditions. tence to have the most BMW has already reintelligent car.” cently hired 200 people During the interto work on digital innoview, Froehlich devation at its facility in scribed plans for an Chicago. Even with overhaul of the comthese hires, BMW will pany. This includes an likely need to increase its enormous boost in the number of soft- knowledge base substantially to comware and computer professionals on pete with others in the autonomous vethe payroll. Currently, software engi- hicle space. neers make up just 20 perAccording to the report cent of 30,000 people that filed by Reuters, Froehlich work on research and develindicates that the company opment for BMW. needs to improve its knowl“If I need to get to a edge of cloud computing ratio of 50:50 within five and analysis of data gathyears, I need to get manered by the vehicle’s senpower equivalent to ansors. other 15,000 to 20,000 “Our task is to preserve Klaus Froehlich, people from partnerships our business model withboard member with suppliers and elseout surrendering it to an responsible for where,” Froehlich said to Internet player,” Froehlich research and Reuters. told Reuters. “Otherwise development The news that BMW we will end up as the Foxat BMW will be developing an auconn for a company like tonomous vehicle doesn’t come out of Apple, delivering only the metal nowhere. Last year, BMW partnered bodies for them.”
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YOU ONLY GET ONE CHANCE AT THE FIRST REPAIR. When you repair a BMW, use the parts that are identical to those used in Series production – and just as reliable. Choose Original BMW Parts and Accessories. Because you can’t repair your reputation.
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SO. CALIFORNIA BMW of Murrieta
Murrieta 888-805-2393 951-698-2086 Fax www.bmwofmurrieta.com
BMW of Palm Springs Palm Springs 760-324-8314
Bob Smith BMW
Calabasas 818-340-9640 818-340-9455 Fax parts@bobsmithbmw.com
Center BMW Sherman Oaks 818-990-9518
New Century BMW
Alhambra 626-576-2867 www.ncbmw.com
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www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 61
Maryland House Bill Center of Debate Over Use of OEM & Aftermarket Parts sumers [and] give them the best opportunity of the right parts being put back A controversial bill in Maryland, ad- on their vehicle,” said Hendler. “If dressing the type of collision parts there were to be an effect in insurance being used during a repair, was pre- premiums, there are many insurance sented at a committee hearing March companies currently with this practice 10 in front of state delegates. Repre- in place and we feel that it’s morally sentatives from the collision repair in- obligating to the remainder of the industry testified about whether to put surance companies to do the same restrictions on the use of OEM and af- thing.” termarket parts. This has been a reSchaech, president of WMABA, curring debate in Maryland, as well as runs a family-owned collision center across the United States. in Baltimore. The 40-year-old busiMaryland House Bill 1258 would ness is certified by 14 manufacturers. require insurance companies to pay “When I have a customer come through for the use of car companythe door, generally, regardless branded parts (OEM parts) of the age of the vehicle, an infor repairs made during the surance company usually only first two years after a vehireimburses for aftermarket cle’s date of manufacture. parts,” said Schaech. “Those For vehicles older than two aftermarket parts are usually years, the bill would limit rethe cheapest aftermarket parts pairs to either “certified” Former shop owner available so if a customer is in parts or original manufac- and current member a lease, which in our facility is turer parts. Regardless of the 40 percent of the time, they are of the Maryland vehicle’s manufacture date, House of Delegates, required to use genuine OEM Rick Impallaria, an insured motorist may conparts, and in those cases, are introduced HB 1258 sent in writing that he or she forced to pay the difference. In would like to use aftermarket crash my 18 years in the business as a techniparts or non-certified aftermarket crash cian, and as a shop owner, I can tell you parts. that the parts are not equivalent; they Rick Impallaria from the Maryare not the same.” land House of Delegates introduced Gillis spoke during the hearing the bill—Motor Vehicle Liabiity Inon behalf of CAPA “…to testify in surance—Replacement Parts for Damfavor of HB 1248 to protect Maryland aged Motor Vehicles—on February consumers from both overpriced parts 12. He used metaphors like the now faand poor quality repair parts.” miliar Rolex watch and coffee spills on Through a consensus-based techwhite shirts to make the point: “The nical committee involving manufacquality of what you get is important,” turers, collision repairers, parts dissaid Impallaria during the hearing. “It tributors and insurers, Gillis said CAreally matters with the quality of the PA develops objective standards to project you are working on and what test which aftermarket parts are functhe public expects to get back.” tionally equivalent to the car company Those who spoke in favor of HB parts they replace. 1248 during the hearing included: “The overarching problem facing Jordan Hendler, executive director Maryland consumers is the cost of getof the Washington Metropolitan Auto ting our cars repaired,” said Gillis. “In Body Association (WMABA); Mark addition to the need for competitivelySchaech Jr., president of WMABA; priced parts, there is the concern about Jack Gillis, executive director of the repairing cars with poor quality parts. Certified Automotive Parts Associa- By defining a program that identifies tion (CAPA); and Travis Martz, diparts that are functionally equivalent rector of government & industry affairs to the car company brand parts, HB for the Maryland Automobile Dealers 1258 complements the consumer proAssociation. tections inherent in competition with As the executive director of protection from poor quality parts.” WMABA, Hendler said she represents Martz also spoke in favor of HB 1,000 independently-owned businesses 1258, on behalf of the Maryland Auin Maryland. “We enjoy in Maryland tomobile Dealers Association, which one of the lowest costs of repair there is represents 300 franchise owners. in this country and this, in our opinion, Those who testified against the is just a measure to protect the conproposed state law included Bruce by Stacey Phillips, Assistant Editor
62 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
Bereano, a Maryland lobbyist, Jim Lohan and Marcel Hoover of LKQ and Ray Colas with LKQ government affairs. Strongly opposed to the legislation, Bereano spoke on behalf of LKQ-Keystone. “This is not a bill to protect the consumer,” said Bereano. “This is not a bill for disclosure to the consumer. It certainly is not a bill for competition. It is a bill for a two-year monopoly.” Lohan, who represents 186 employees in Maryland and has 50 drivers delivering aftermarket parts on a daily basis, said he is strongly opposed to the bill. Hoover runs the LKQ facility in Frederick, Maryland and also opposes the bill. He said for over 30 years they have offered consumers and businesses a reputable and economical alternative to expensive OEM parts. “It unfairly discriminates against the use of aftermarket parts while supposedly protecting consumers,” said Hoover. “It doesn’t really benefit the citizens of Maryland as I see it. This bill limits consumer choice, inflates consumer costs and is unnecessary and
will result in increased economic burden on Maryland consumers.” He said that aftermarket parts are safe and added that the National Highway Traffic Safety Administration (NHTSA) has not found an increase in safety issues with the use of aftermarket crash parts listed in the bill. Colas is with LKQ government affairs. “We feel that current law does provide consumer choice,” he said during the hearing. “They [collision repairers] are in business today because we enable them to repair their vehicle. In terms of total loss calculation, we keep vehicles on the road; we allow them to repair vehicles. If we were not here to provide that type of service, you would have more total loss vehicles and they would not be able to repair those vehicles and that’s why they are our customers today.” The Automotive Body Parts Association (ABPA) has denounced and expressed concern over the proposed legislation. “Senate Bill 1258 is only good for car companies, giving them a virtual See MD House Bill, Page 69
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3M™ and Festool Announce Collaboration to Serve Collision Repair Industry
3M Company and TTS Tooltechnic Systems AG & Co. KG, maker of Festool brand products, announced on February 29 a strategic collaboration to provide customers in the global automotive collision repair industry a new and comprehensive surface preparation and finishing system. The collaboration brings together 3M’s abrasives, global sales and distribution capabilities with Festool-branded power tool and dust extraction technologies. 3M’s Automotive Aftermarket Division (AAD) will eventually become the exclusive supplier of 3M and Festool Automotive Systems products in the automotive aftermarket. The new system is expected to launch in the U.S. and Canada later in 2016, with additional countries to be added. “Our collaboration with Festool Automotive Systems combines 3M’s leadership in abrasives technologies and Festool´s premium power tools, dust extraction technologies and service to deliver customers an unparalleled solution for complete dust extraction needs,” said Laurie Altman, vice president and general manager, 3M’s AAD. “With this agreement, customers in the automotive aftermarket will now have access to one of the most comprehen-
sive portfolios of offerings in the industry from one provider.” “We are proud to enter into this collaboration with 3M to offer a premium surface treatment system for body shops,” said Christian Oltzscher, chief sales officer, TTS Tooltechnic Systems AG & Co. KG. “With the combined world-class portfolios of tools and abrasives, and the expertise and extensive distribution capabilities of 3M sales and service professionals, we will be able to serve customers in the automotive aftermarket even better. Our goal is to make body shops more profitable.” 3M’s Automotive Aftermarket Division spans the globe, serving the automotive collision repair industry through more than 70 subsidiaries. 3M abrasives, including new 3M™ Cubitron™ II Abrasives, will now be offered in conjunction with Festool Automotive Systems surface prep tools, dust extraction capabilities and services. For 90 years, Festool has been a manufacturer of power tools, including pneumatic and electric sanders, polishers and backup pads, vacuums and surfaceprep workstations. The company also continues to develop a new line of connected “smart tools.”
PPG MVP Conference Registration is Open Registration is now open for PPG’s annual spring MVP Business Solutions Conference April 24–26 at the JW Marriott Camelback in Scottsdale, AZ. This MVP Conference venue in the desert is slated to provide advanced business strategy and innovative solutions to PPG customers. The conference has a notable lineup of prominent keynote speakers, meaningful seminars and interactive workshops all focused on aiding attendees with improving their collision center performance. The conference is structured to give participants exposure to fresh approaches for advancing their competitive capabilities. “PPG remains committed to supporting our customers with training, consulting and value added programs that help position our customers as winners in the industry. As their needs evolve our services evolve and as they grow we grow” says Jim Berkey, PPG, Director, MVP Business Solutions. “A working partnership around performance has never been more appropriate.” The comprehensive conference schedule is highlighted by prominent keynote speakers: Josh Linkner, Jim Carroll, and David Avrin
The conference commences on April 24 with leisure actives that include the Randy Dewing Memorial Golf Tournament or relaxing at the JW Marriott spa or pool and followed by a welcome reception.
Some of the breakout sessions include: • “Fusion Marketing – 2020 Marketing & Beyond” • “Servicetopia -The Ultimate Customer Service Experience” • “Predictive Hiring?!” • “The Secret Weapon to Get Results!” • “Handling Public Relations when the Negative News is Looking at You” • “Getting the Most from Your Parts Vendor Relationships” • “Your First Aluminum Estimate, Are You Ready?” • “Effective Non-Verbal Communication -Body Language” The conference is open to owners and managers of collision centers using PPG Refinish products. Prospective attendees are encouraged to visit http://ppgmvp.com/Conferences /Welcome.aspx for complete conference information and registration details.
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www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 63
Auto Body Shop Owner in Texas Restores Vehicle for Car Donation Using OEM Parts by Stacey Phillips
When auto body shop owner Burl Richards presented a set of keys and an SUV to Becky Whiteside, he said it was a great feeling to give back to someone in need. The owner of Burl’s Collision Center in Henderson, Texas, held a con-
Becky Whiteside received a 2008 Mitsubishi Endeavor from Burl’s Collision as part of a contest the auto body shop held
test in late 2015 inviting the local community to write a short summary about why they needed a dependable vehicle. One of the managers in his shop had suggested the idea, after hearing about a body shop in Arkansas that had done something similar. “I thought to myself, ‘We have to do this,’” said Richards.
Applicants had the following criteria: they had to be a single mom, have a job or actively searching for one, include a resume and write why they needed the car. Richards received 10 applications and local Lions Club members in Henderson assisted in the decisionmaking process. “It was a hard decision and I wish we could have done this for every one of them,” said Richards. Whiteside, a single mom, was presented with the vehicle in December 2015. The SUV had originally been in a front-end crash. Richards said the insurance company did not want to repair the vehicle or pay the storage fees, and it was deemed totaled. He talked to the insurance company about giving the car away after it was repaired. “They were very surprised and said it was a great thing that we’re doing and sent the title ASAP,” said Richards. Ten of his employees spent about two weeks restoring the 2008 Mitsubishi Endeavor. “They really embraced the idea and were excited about doing it,” said Richards. “They worked after-hours as well and just enjoyed the entire process.” Local businesses also showed their
Women’s Industry Network Announces 2016 Most Influential Woman in Collision Repair Award
The Women’s Industry Network (WIN) The MIW award recognizes woannounced this year’s honoree for the men who have enriched the collision reMost Influential Women (MIW) of the pair industry with their leadership, vision, collision repair industry for 2016. After and commitment to excellence. “Each reviewing nominations and interviewing year, women from different facets of the a number of women, one inspirational collision repair industry are selected for industry leader was selected to their passion and commitment receive MIW honors: Michelle to progressive and positive Sullivan, regional vice presievolution of the industry,” dent, Finish- Master Inc., Indistated Denise Caspersen, anapolis, IN. WIN chair. “With so many op“The 2016 MIW nomiportunities for women to have nees highlighted the georewarding careers, the sky is graphic, functional and sector the limit for those with talent, diversity of women who are Michelle Sullivan inspiration and a strong work influencing the collision repair received the 2016 ethic.” industry today,” stated Sandra Most Influencial The MIW program’s charHerron, owner of MiddlEdge, Women in Collision ter a-ligns with WIN’s mission Repair Award Inc. “I was inspired by each to “enhance the role of women nominee’s industry involvement, pro- in the industry.” Established in 1999 by fessional accomplishments, mentoring AkzoNobel, WIN acquired stewardship of others and community service. Mi- of the Most Influential Women program chelle’s record of creating value for in 2013. companies, developing industry talent, When the 2016 WIN Educational and championing charitable causes in Conference convenes in Tampa, FL May her community stood out as exemplary.” 2-4, past and current MIW honorees will Herron’s firm was contracted as a third- be celebrated during a gala awards recepparty entity to interview the nominees tion. Registration for the conference and and select this year’s honoree based on dinner will open mid-March. For inforspecific criteria established by the board mation, go to www.womensindustrynetof directors. work.com and click on “Conference.” 64 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
support: ABC Auto Parts donated the radiator, condenser, brakes and other parts; Big Daddy’s donated a navigation system; Custom Tint & Design tinted the windows; English Color Paint & Supply painted the vehicle; Gillman Mitsubishi offered discounted rates on parts; Kilgore Tire Center donated four new tires; and SIG Insurance provided six months of free insurance.
(l to r) Sabrina and Burl Richards of Burl’s Collision Center presented the keys and SUV to Becky Whiteside
Richards, president of the Auto Body Association of Texas (ABAT), said they made it a priority to use OEM parts for the vehicle and his vendors were happy to help with pricing. “There was never a thought of using aftermarket parts,” said Richards. “With the quality and fit issues that we see with using aftermarket parts, and the fact that we request OEM every day from insurance companies, I felt it would be hyp-
ocritical to use anything other than OEM. He said that he wanted the recipient of the vehicle to have confidence that it was repaired properly using OEM parts. “I hear insurers tell us all the time that we are greedy because we want to be paid for processes and procedures that are necessary to restore vehicles to their pre-loss conditions,” said Richards. “It’s good to know and they know, it’s not all about making money. We chose OEM parts, we didn’t cut corners, we repaired the vehicle properly, and we spent free time after hours because it would help out a needy family. You can’t put a price on that.” His advice to other shops considering doing something similar is to do it! “Your employees will embrace it and it will give them a great sense of accomplishment. “Your local community will appreciate it as well,” said Richards. After being in business for 18 years, he said the surrounding community is very supportive of his business and the employees every day. “It is a great feeling to share your blessings with others, and I think it is our responsibility to give back to those in need.”
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UTI Rancho Cucamonga Offers Training & Scholarships, Celebrates International Women’s Day From the end of February into March, UTI in Rancho Cucamonga, CA hosted several career-building events for potential students, current students, and graduates. A Manufacturer-Specific Training (MSAT) Expo was held on February 16 from 7:30 a.m. to 7:30 p.m. for UTI students and graduates. The expo showcased UTI’s Manufactured Paid Programs including the BMW Service Technician Education Program (STEP), International Technician Education Program (ITEP), Mercedes-Benz DRIVE, MINI Service Technician Program (STEP), Peterbilt Technician Insititute, Porsche Technology Apprenticeship Program (PTAP), and Volvo Service Automotive Factory Education (SAFE). Attendees also learned about the following Manufacture Specific Training (MSAT) programs offered at the Rancho campus: Mercedes Benz Elite Start, Ford Fact and SMOG. Approximately 1100 students partipated in the MSAT Training Expo. “Our collective efforts led to 200 students expressing interest in advanced training,” said Tahira Nall, Employment Services Director for the MSAT EXPO. “Fifty-two qualified students graduating in the next seven months are
seeking an interview for a dealer-paid program.” Nall added that around 100 indicated interest in upgrading into a student-paid program. “We are changing lives one student at a time,” said Nall.
Female staff and students at UTI Rancho Cucamonga were celebrated during International Women’s Day on March 8
On February 27, campus orientations and scholarship testing took place at UTI Rancho Cucamonga during the Future Student Workshop. Top performers will receive up to $2,500 in scholarship money. There were a total of 538 attendees, which included 211 students and 321 guests. One-hundred and sev-
enty-three high school students were tested, along with 34 adults. “Eight lives were changed and many future appointments were set,” said Debbie Garrett, admissions manager for this section. “Guests were able to see Dyno and Diesel demonstrations ran by our outstanding education team.” The Los Angeles-based technical school also celebrated International Women's Day on March 8 by hosting a special event for the female students and staff on campus. UTI Rancho Cucamonga has a total of 36 women training to become automotive technicians. During a break, the female students were greeted with sweets and punch. The women came together to talk about their experiences as females in the automotive industry and why they decided to pursue a non-traditional career role. “The female students at Rancho and other campuses are determined, intelligent and have successful careers ahead of them,” said Janean Dismukes, student services director. UTI Rancho graduate Karina Delira attended the celebration to talk to the other women about her success in the industry as a technician at MINI of Ontario.
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Auto Care Assoc. Aims to Broaden Copyright Law
The Auto Care Association submitted comments to the U.S. Copyright Office regarding embedded software in vehicles. While the association appreciates granting limited exemptions to the Digital Millennium Copyright Act (DMCA) for purposes of vehicle repair, the association told the copyright office that, “broader relief is necessary to address the needs of consumers and aftermarket competition.” The association cited the fact that vehicle manufacturers are adopting technological protection measures that prevent service facilities and consumers from accessing the software, not to protect the copyright, but to thwart competition.It requested that the copyright office make it so the DMCA does not prohibit circumvention of technological measures that prevent lawful repair under patent law of products, and that operation is controlled by embedded software. The association also called for the office to, “extend exemptions to entities that perform the exemption activity on behalf of others, where the activity itself requires specialized skills or professional equipment to avoid damaging the copyrighted work or the product in which it is embedded.” Contact Aaron Lowe at 240-333-1021 or aaron.lowe@autocare.org.
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For Your Collision Job Visit these Genuine Hyundai Parts Dealers www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 65
The Legal View
A Primer on Diminution in Value Claims with Gary Wickert
One of the recurring questions Matthiesen, Wickert & Lehrer, S.C. (MWL) is called on to answer involves when and under what circumstances the insured suffering automobile property damage, or his or her subrogated automobile insurer, may recover for diminution in value of a damaged automobile. This article is intended to provide a global answer to many of the questions we have been asked on this subject. When a vehicle is damaged in an accident and then repaired, the resale value may be less than a comparable vehicle that has not been damaged. In other words, the damage results in a reduction or “diminution” in the market value of the vehicle, even after competent repairs have been completed. An insured’s claim for this reduction in value may be made against a third party that negligently caused the damage to the insured’s vehicle, or it may arise from a first-party claim against the physical damage coverage under the insured’s own automobile policy. The term “diminished value” can be confusing. There are three types of diminished value: 1. Immediate Diminished Value: This is the loss in value that results immediately after an accident before any repairs are made. It is the difference in market value immediately before and after an accident caused by a negligent tortfeasor. In many states, this is the measure of damages for injury to personal property. 2. Inherent Diminished Value: This refers to the loss in value of a vehicle that remains after it is completely and professionally repaired. It is the loss of value that results from the simple fact that the vehicle has been in an accident. This type of diminished value is also known as “stigma damage.” Given two identical vehicles on a car lot, the one which hasn’t been involved in an accident is preferable to the one which has been damaged and repaired. 3. Repair-Related Diminished Value: This refers to the additional loss in value to a vehicle which results from incomplete or poorly-performed repairs. It could include simple cosmetic damages that remain after repair or major mechanical or structural deficiencies.
The most common and widelyused form of diminished value is inherent diminished value. There are two types of inherent diminished value claims, both of which are discussed in this article:
1. First-Party Claims: These are claims made by the vehicle owner/policyholder against his or her own insurance company to recover the difference in the value of the vehicle before the collision and value of the vehicle after the damage caused by the collision had been repaired. This type of claim is usually governed by contract law and the terms of the insurance policy. When a vehicle is damaged, a policyholder generally expects to be “made whole” by its first-party property insurer, but an insurer is legally responsible only to pay according to the terms of the policy.
2. Third-Party Claims: These are claims made by the owner of a vehicle against a third-party tortfeasor (person other than the insured and insurer) for negligently causing damage to the owner’s vehicle. This type of claim is governed by tort law.
First-Party Claims With regard to first-party claims, the Insurance Services Office (ISO) contract language (specifically the Limit of Liability Condition) arguably appears to cover only the Actual Cash Value (ACV) of the damage or the actual cost to repair the damage. There is often nothing in the policy language that would contractually cover any reduction in market value, even if the insured were able to prove the amount of reduction in value. On the other hand, the policy clearly allows the insurer to deduct for “betterment” or depreciation, although the burden of proof is on the insurer to demonstrate such depreciation or betterment. In physical damage claims, the policy allows the carrier to deduct for an “improvement” in value (i.e., betterment) due to repairs with newer parts, but will not compensate the insured for a reduction in value due to the same accident. There is a disparity among the various states regarding recovery of diminution in value in first-party cases.
66 APRIL 2016 AUTOBODY NEWS | www.autobodynews.com
Gary Wickert is an insurance trial lawyer and a partner with Matthiesen, Wickert & Lehrer, S.C., and is regarded as one of the world’s leading experts on insurance subrogation.
Insurance claims professionals should be aware of when and how the laws of each state deal with diminution in value. Georgia is in the minority of states which require insurers to pay the diminished value as well as the cost of repair of a vehicle even if the insured does not make a claim for the diminished value.
Third-Party Claims In third-party claims for property damage to automobiles that are the result of a collision for which a third party was at fault, the measure of damages is traditionally, but not always, the difference between the market value before and after the collision (“diminution in value”) or the reasonable repair value, whichever is greater. Such third-party diminution claims have generally been found by the courts to be covered by automobile insurance since the measure of damage in tort claims (which the insurer promises to pay) is the difference in the value of the property before
the loss and the value of the property after the loss. The Restatement of Torts § 928 states as follows: Where a person is entitled to a judgment for harm to chattels not amounting to a total destruction in value, the damages include compensation for: (a) the difference between the value of the chattel before the harm and the value after the harm, or at the plaintiff’s election, the reasonable cost of repairs or restoration where feasible, with due allowance for any difference between the original value and the value after repairs. It should be remembered that diminution in value of a vehicle after repairs have been conducted can be difficult to prove and, in some states, the burden is quite high. In some cases it may be necessary to actually sell the vehicle in its damaged condition in order to establish its post-crash market value or, at a minimum, engage an expert appraiser to provide a detailed report. See Diminution, Page 68
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Sherwin-Williams Automotive Finishes 2016 Second Quarter Training Schedule
Sherwin-Williams Automotive Finishes announced its second quarter 2016 collision repair industry courses taking place nationwide at training sites from April 4 through June 27. Participants will learn through a combination of classroom, digital and hands-on settings at various metropolitan Sherwin-Williams Automotive Finishes training centers, according to Rod Habel, Sherwin-Williams Automotive Finishes director of training operations. “In today’s constantly changing industry, training has become more important than ever for a customer to be successful in business,” Habel says. “For instance, with today’s new factory finishes, our Color Adjustment and Blending class is a great way for technicians to stay ahead of the curve.” He also noted that special hands-on, paint and processes application-based courses will be offered during the second quarter featuring the brand’s AWX Performance Plus™ Waterborne Refinish System, as well as painter certification classes. 2016 Second Quarter Training: Atlanta / 04/04/2016 / AWX Performance Plus™ / Waterborne Basecoat
Painter Certification / 3 days
Atlanta / 05/10/2016 / Painter / Certification / 3 days
Atlanta / 05/17/2016 / Color Adjustment and Blending / 3 days Chicago / 04/11/2016 / Painter Certification / 3 days
Chicago / 04/27/2016 / ATX™ Refinish System Painter Certification / 2 days
Chicago / 06/27/2016 / Color Adjustment and Blending / 3 days
Dallas / 05/10/2016 / Color Adjustment and Blending / 3 days Dallas / 06/27/2016 / Painter Certification / 3 days
Reno / 04/11/2016 / AWX Performance Plus™ Waterborne Basecoat Painter Certification / 3 days
For information about courses, visit the training section at www.sherwinautomotive.com/refinish/trainingsupport/ or call 1-800-SWULTRA (1-800-798-5872).
RDA held their fifth Collision Solutions Seminar in Dallas, Texas on March 11 and 12. RDA members, industry leaders, and supporting manufacturers attended a day and a half of presentations. Attendees told RDA that the event was a success and that the presentations are helpful and informative.
language and unconscious persuasion expert, Traci Brow. Brow assists groups to learn tools to “read” others, and hear “Yes!” more easily and more often. Robert McKenzie Jr., executive director of RDA said, “Our members and key people continue to embrace these training venues. The synergies created between our members and industry partners at these events provide exciting and excellent opportunities.” RDA has 19 members, representing 243 locations. Members service over 3,800 collision centers throughout the United States. The company’s sales profits are $455 million as a group, comprisAttendees of RDA’s Collision Solutions Seminar in ing around 17 percent of the Dallas, TX refinish business nationwide. Kevin Wolfe, industry consultant Those interested in joining RDA with Leaders Way, presented talent as- /IMPACT should contact Robert Mcsessment, understanding why smart Kenzie, Jr. directly at 731-217-9081 people under-perform, and creating or via email at robertemckenzie@me profitable and happy work environ- .com. ments. Steven Trapp, North American For more information on RDA strategic accounts manager for Axalta, /IMPACT, visit their web site at www presented on enhancing your role as a .rda-impact.com or contact Melisa distributor in delivering value-added Jolls at 908-251-5713 or email: meljolls services. The event closed with body @earthlink.net.
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www.autobodynews.com | APRIL 2016 AUTOBODY NEWS 67
IABA February Meetings Address Changes to FLSA
Continued from Page 66
Diminution
A comprehensive summary of how first-party and third-party inherent diminished value claims are treated in all 50 states can be found at www .claimsjournal.com
Gary Wickert is the author of several subrogation books and legal treatises and is a national and international speaker and lecturer on subrogation and motivational topics. He can be reached at gwickert@mwl-law.com. Thank you to the Claims Journal for permission to reprint this article.
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by Chasidy Rae Sisk
In February, the Indiana Auto Body Association (IABA) held five chapter meetings to present upcoming changes to the Federal Fair Labor Standards Act (FLSA). These presentations were delivered through the association’s Virtually Live (VLive) training initiative. According to IABA Executive Director Tony Passwater, these meetings were held to discuss “new regulations coming from the federal government over the next two to four months. The government will be making some major changes to the FLSA.” Currently, an employee must make a salary of $23,000 to be considered exempt, but the government is discussing raising that requirement to $50,000. Passwater predicts, “Shops will need to Promote your business with convert employees to hourly wages, an exclusive article featuring making them eligible for overtime, or raise theirproducts salary over or $50,000. Even if your services. an employee makes the minimum amount, they’re still unlikely to pass the duty test that requires them to have direct reports to qualify for exempt status; 90% of positions within the collision repair industry this requireCalldon’t for meet details! ment.” 800-699-8251 Passwater also discussed the importance of employee handbooks, re-
minding attendees that it’s not complete once it’s put together. “It must be legally correct, and shops must update their handbooks regularly because they will be held to it. Most importantly, the handbook must include arbitration clauses, or court costs could rise into the hundreds of thousands.” In addition to qualifying as a service business, a shop must pay its employees at least one-and-a-half times the minimum wage for them to be exempt. Shops must also require employees to clock in and out, even if they work on commission. “Many shops don’t do that which can allow employees to go to the labor board and say they’re working 5060 hours weekly,” Passwater warns. “The employee is always right if there’s no documentation.” Passwater also talked to attendees about protecting themselves in terms of liability, and he predicts that these new requirements will cause much concern in the next few months. The New Albany chapter held their meeting on Monday, February 8 at Tuckers, and the next day, the Bloomington chapter’s meeting took place at the Crazy Horse Food and Drink Emporium. The Fort Wayne chapter held their meeting at the Lucky Moose on Wednesday, and on Thursday, February 11, the Indiana NW
chapter held a morning meeting at Gino’s Steakhouse in Merrillville, IN, with the Indianapolis chapter holding their meeting that evening at Rick’s Boatyard and Café. Passwater said attendees responded well to the information shared, but attendance fluctuates drastically. While he believes there’s a lot of value in attending meetings and networking with peers, it is not necessary for shops to receive the education they need. The VLive concept was created because of the difficulty of finding speakers to travel to five locations in one week, so Passwater has begun interviewing industry speakers remotely or acquiring permission to use content which can be distributed electronically to IABA’s five chapters. Since meetings generally last no more than two hours, the VLive system also contains an online training portal that is free to members. Here, Passwater posts the full content of the educational sessions, giving industry professionals a chance to learn more at their convenience. Non-members ca purchase access to this useful information. Passwater says, “We want to create more value for our membership. We’re trying to get this information out there, regardless of attendance, and I see virtual learning as the future for all of IABA’s meetings.”
NABR Launches New VRS Labor Rate Survey for Luxury Brands and Special Vehicles Register Your Email for Our
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National AutoBody Research (NABR) “The significance of this new announced in March the launch of the survey and new pricing data cannot new VRS Labor Rate Survey for Lux- be overstated,” said Eric McKenzie, ury Brands and Special Vehicles. director of body shop operations for www.autobodynews.com Intended for collision repairers Park Place Dealerships, which inwho work on highline vehicles and cludes Park Place Bodywerks in have luxury brand manufacturer cer- Dallas, TX. “This is a real breaktifications, the online survey is free through for the industry, helping us Register Your for Ourprices nationand is accessible on the NABR weball Email understand market site. wide for repairing highline vehicles. 4andTimes E-Newsletter Through the survey its VRS Monthly Intuitively, shops know they cannot technology, NABR measures and re- charge standard door rates for reports the market-based labor prices pairing these luxury brands, given www.autobodynews.com collision repairers charge for working the tremendous investment required on luxury brand vehicles, such as to achieve those manufacturer certiAudi, Bentley, Mercedes, or Tesla, for fications. Yet, it is not really clear example, as well as special vehicles what the market price is either, so such as the new Ford F-150 or Nissan this new VRS survey will shine light GT-R. on that topic, to everyone’s benefit.” “This new survey fills a large ds of dollars. gap in collision repair pricing inforAny collision repair owner or mation and enables a new level of general manager may request a free, pricing sophistication for repairers,” no-obligation demonstration of the said Sam Valenzuela, president of VRS by contacting Sam Valenzuela, NABR. “Previously, there was no president, National AutoBody Reseeasy way for a repairer to know what arch, 913-226-6550, Sam@National competitive market labor rates were AutoBodyResearch.com. for working on luxury and special You can also visit www.Nationvehicles, or to know whether their alAutoBodyResearch.com for more price was above or below market.” information.
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2016 Second Quarter Training Schedule Announced by The Martin Senour Company
The Martin Senour Company announced its 2016 second quarter training schedule, with courses running from April 19 to May 19. Training courses emphasize painter certification and maximizing shop profits, and will be held at training facilities nationwide. Martin Senour Automotive Finishes Director of Sales Jeff Hartl noted the brand’s training sessions are designed to help shop owners, managers, and technicians better execute environmentally-responsible practices, as well as improve their repair techniques and knowledge of today’s new innovative painting systems – particularly the brand’s popular Pro//BASE™ refinish system. In addition, customized classes are being held for NAPA Jobber professionals on specific Martin Senour product and process knowledge to help them better service to their NAPA collision shop customers. In particular, Martin Senour professionals will teach the following courses during the second quarter of 2016: ● Color Adjustment and Blending ● Fleet FPG
● Jobber Level 1 ● Painter Certification ● Pro//BASE™ Refinish System Painter Certification Training Schedule: Atlanta // 04/19/2016 // Painter Certification // 3days
Atlanta // 04/26/2016 // Color Adjustment and Blending // 3 days
Atlanta // 05/03/2016 // Jobber Level1 // 3 days
Chicago // 05/10/2016 // Jobber Level 1 // 3 days Chicago // 05/16/2016 // Color Adjustment and Blending // 3 days
Chicago // 05/19/2016 // Pro//BASE™ Refinish System Painter Certification // 2 days Dallas // 05/02/2016 // Fleet FPG // 3 days
For information, visit www.martinsenour-autopaint.com or call 1800-526-6704.
AkzoNobel Reveals 2016 Distributor Council
AkzoNobel’s Vehicle Refinishes announced on February 24 the members of its 2016 Distributor Council. The Distributor Council is a legacy activity of Vehicle Refinishes that spans its 30-year history in North America. Over this period of time, Vehicle Refinishes has looked to advisory bodies drawn from its distribution network to assist AkzoNobel in establishing frameworks for business practices as well as provide inspiration for creating new polices, products and programs. Those advisory bodies have gone under various names; however, the purpose of the group has remained constant….provide counsel.
Council Members are: Paul Fus – PF3 Paint Supply, Wixom Michigan Robbie Brinkley – C&D Auto Paint & Body, Thomasville, Georgia Doug Richau – Auto Color and Industrial Supply Peter Kilkenny – Providence Lacquer & Supply Centre, Cranston, Rhode Island Layla Maus – Gladwin Paint, Austin, Texas Kim Snyder – Body Parts Store, Inc. Des Moines, Iowa Peter DeLuca – Industrial Finishes
Continued from Page 62
The Right Parts. A Perfect Fit.
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MD House Bill
monopoly on parts for the first two years of the vehicle’s life,” said ABPA Executive Director Edward Salamy. “We also have concern about the limits this bill places on a consumer’s desire to use alternative parts and how this would affect them financially.” Based on the language of the bill, ABPA said that the proposed legislation could potentially exclude NSF certified parts. ABPA said it believes this would further limit choice in the marketplace by eliminating a large portion of the certified parts inventory. Jim Smith, president of ABPA, added, “This bill is being sponsored by industry special interest groups that are pushing their own agenda and are not concerned about the general welfare of the consumers. If this anticompetitive legislation is passed, insurance premiums will be in jeopardy of being raised and more vehicles will be totaled by insurance adjustors because the cost of repairs would become too expensive.” Autobody News reached out to Automotive Service Association (ASA)
& Systems, Inc., Salt Lake City, Utah Don Treschak – Treschak Enterprises, Ltd., Welland, Ontario “The council, comprised of eight representatives throughout North America, is a visible and proactive sign that AkzoNobel’s Vehicle Refinishes business in North America is dedicated to distribution as our primary method of going to market,” said Dave Recknagel North America customer services manager. “As a result, we are constantly striving to innovate. This includes Go-To-Market business models which ensure that we are engaging, evolving and advancing practices and processes that enhance current relationships as well enable growth and expansion to create new.” Council members are asked to serve as ambassadors to other members of the AkzoNobel distribution network within specific geographic market sectors to ensure that information is received, delivered and comprehended in as equitable a manner as possible. The council physically meets three times a year with intermittent conference calls to help bridge time gaps or address critical and immediate issues. For information, call Bill Orr at 770- 441-8973.
regarding the proposed state law. “Legislation similar to Maryland House Bill 1258 has been considered previously in Maryland,” said ASA Washington D.C. Representative Robert L. Redding, Jr. “ASA supports the provisions requiring two-year OEM parts use only, certified parts after the first two years and the written consent for the use of non-OEM and non-certified parts. We believe the certification language in the legislation needs further discussion.” According to a consumer report survey, 40% of car owners postpone car repairs due to a financial burden, and AAA survey found one-in-four car owners could not afford major repairs. The Insurance Institute for Highway Safety (IIHS) states that aftermarket parts do not compromise the safety of a vehicle.
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ASA Hosts Online Demo of New OEM Resource Center by Chasidy Rae Sisk
On Wednesday, February 17, the Automotive Service Association (ASA) hosted an online demonstration and press conference on a new tools resource, created in conjunction with the Alliance of Automobile Manufacturers. Donny Seyfer, ASA Chair, conducted the information webinar about the new OEM Resource Center, a project that began several years ago. Recognizing that there is key OEM information that technicians are often unable to find, ASA collaborated with the Alliance of Automobile Manufacturers, which is comprised of 12 automotive manufacturers who collectively represent over 70 percent of all car and truck sales in the US, to compile all important OEM information in one location. Seyfer observed, “There are sites that do similar things, but there’s nothing else exactly like this.” Some information included on the OEM Resource Center addresses scan tool specifics, as well as calibration and programming updates, service information and training materials. According to Seyfer, “Manufacturers have names for things that defy classification so the industry needs an
authoritative position on where to find this information. With so many possible resources, finding the information you need can seem like an art form; though much of the information is free before paying for any kind of subscription, many people don’t know where to find it. The Alliance of Automobile Manufacturers agreed to assist
with creating a special information portal, but the site was created by techs for techs. It was made to be super simple and easy to navigate.” From the launch page, industry professionals can click links to direct them to the OE’s landing page where they’ve highlighted the most important and useful information. Each OE has its own landing page with links to the most commonly requested information. All links have been tested to ensure they direct professionals to the most current, accurate information.
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During this huge project, ASA also created a scan tool page for each OE which is updated with the “latest and greatest,” Seyfer said. Each scan tool page contains a link to direct users on how to bring the hardware and software and get support. While the information available is the same as what is found on OE websites, since that is where the user is directed, OERepairInfo.com focuses on what each OE does differently. Seyfer eexplained, “We organized it into those key things that can trip up the repair process or discourage a shop from taking on a new car line because they don’t have a direct source to the information they need to become ‘Service Ready,’ our pet industry term coined by Toyota’s Mark Saxonberg.” ASA is looking to add other OEs in the future, but there’s no timeline on that initiative. ASA’s goal was to make this resource “as comprehensive as possible,” Seyfer said. “With this resource, we’re getting the facts straight from the source - the OEs. It is our belief that this resource will cut down the guesswork when it comes to finding accurate, updated information in a timely manner.”
Audatex: Seam Sealer is a Body Operation
SCRS has pointed out that Audatex states in DEG inquiry number 1157 that seam sealer is a body operation. “The Audatex database includes the labor for seam sealing where required per the OEM manufacturer service procedures and this labor is allotted in the body repair allowance not the refinish allowance. The cost of body materials are not addressed within the Audatex database.” The Audatex time for replacement of a panel includes the labor to apply the seam sealer, but does not included the removal of the existing seam sealer per DEG inquiry 2951. The estimating databases are all intended to be used as a GUIDE ONLY—it is important to remember that the auto body professional performing the repair is in a position to thoroughly inspect, diagnose and identify the methodology and their unique cost of the vehicle damage repair. You can view this tip and others on the DEG website: http://www .degweb.org/ For more information about SCRS visit www.scrs.com, or call toll free 1-877-841-0660.
VA Photo Bill Passes with WMABA’s Suggested Amendments
by Chasidy Rae Sisk
In January, VA Senate Bill 193 was presented to allow photos of collision damage to be used during the appraisal process, creating a stir among industry advocates who feared its passage could pose potential risks to consumers and collision repair professionals in VA. The Washington Metropolitan Auto Body Association (WMABA) quickly went to work to negotiate a compromise, and according to WMABA’s Executive Director Jordan Hendler, “The bill passed with our suggested amendments, which was great.” The original verbiage in VA Senate Bill 193 did not seek to remove the requirement for vehicle appraisals to be based on physical inspections, but it would have permitted an initial appraisal based on photos to be used as the final appraisal. This provision caused Hendler to fear that consumers would cash out a claim without a physical inspection, which could reduce the value of their vehicles since over 90 percent of VA estimates require a supplement. Because WMABA also saw potential benefits for consumers and shop owners from the proposed legislation, Hendler focused on refining the language in Senate Bill 193 to minimalize the possible risks. Attempts at compromise were successful, ensuring that the physical inspection receives precedence over pho-
tos provided when writing the appraisal. The original proposed amendment to VA Code 38.2.510 stated, “Notwithstanding the requirement that an appraisal be based upon a personal inspection, the repair facility or the insurer making the appraisal may prepare an initial, which may be the final, repair appraisal on an automobile that has been damaged as a result of a covered loss either from the representative’s personal inspection of the vehicle or from photographs, videos or electronically-transmitted digital imagery of the automobile; however, no insurer may require an owner of an automobile to submit photographs, videos or electronically transmitted digital imagery as a condition of an appraisal.” This verbiage was revised to include: “Supplemental repair estimates that become necessary after the repair work has been initiated due to discovery of additional damage to the motor vehicle may also be made from photographs, videos or electronically-transmitted digital imagery of the motor vehicle, provided that in the case of disputed repairs, a personal inspection is required.” WMABA is pleased that the bill passed with their suggested amendments which place emphasis on the physical inspection and promotes consumer safety by allowing the collision repair professionals to determine what is necessary to properly restore these vehicles to their pre-loss condition.”
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