AASP-MN News December 2017

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December 2017

PLUS: 2017 SEMA Show Highlights www.grecopublishing.com

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CONTENTS AASP-MN News is the official publication of the Alliance of Automotive Service Providers, Minnesota, Inc. 1970 Oakcrest Ave., Suite 102 • Roseville, MN 55113 Phone: 612-623-1110 • Fax: 612-623-1122 email: aasp@aaspmn.org • website: aaspmn.org. To keep its readers better informed, AASP-MN News allows its columnists to fully express their opinions. All views expressed are not necessarily those of the publication. AASP-MN News is published by Thomas Greco Publishing, Inc. © 2017 All rights reserved. Cover image © www.istockphoto.com.

AASP of Minnesota is an association of independently-owned automotive service businesses and industry suppliers dedicated to improving the state’s automotive service industry and the success of its members.

AASP-MN BOARD MEMBERS 2017 - 2018 PRESIDENT Wayne Watson IMMEDIATE PAST PRESIDENT Greg Kasel, AAM SECRETARY-TREASURER Will Latuff

Vol. 25 No. 12

ASSOCIATE DIVISION DIRECTOR’S MESSAGE............................4 Every Day is Thanksgiving!

by Dave Bock, AASP-MN Associate Division Director LEGISLATIVE UPDATE ................................................................5 2018 Legislative Session Preview

by Sam Richie, AASP-MN Lobbyist LOCAL NEWS................................................................................6 NATIONAL NEWS..........................................................................8 SEMA RECAP ................................................................................11 Igniting an Industry Spark: SEMA 2017

by Kristen Dalli & Joel Gausten RACE FOR AUTOMOTIVE EDUCATION REGISTRATION FORM ..12

COLLISION DIVISION DIRECTOR Bruce Tschida, AAM MECHANICAL DIVISION DIRECTOR Carl Thomas ASSOCIATE DIVISION DIRECTOR Dave Bock

PARTNERS IN PREVENTION ........................................................15 Making Rules: Have Your Say INSURANCE I.Q. ..........................................................................17 The Importance of Return to Work Programs For Your Bottom Line DEG ESTIMATING TIPS ................................................................21

COLLISION SEAT Matthew Feehan

CASH IN ON YOUR MEMBERSHIP! ..............................................22 Wipers & Wipes

MECHANICAL SEATS Randy Notto, AAM Mars Overlee

STAFF EXECUTIVE DIRECTOR Judell Anderson, CAE, AAM OFFICE ADMINISTRATOR Jodi Pillsbury MEMBERSHIP COORDINATOR Tom Kluver PUBLISHED BY: Thomas Greco Publishing, Inc. 244 Chestnut St., Suite 202 Nutley, NJ 07110 PHONE: 973-667-6922 • FAX: 973-235-1963 PUBLISHER Thomas Greco | thomas@grecopublishing.com SALES DIRECTOR Alicia Figurelli | alicia@grecopublishing.com EDITORIAL DIRECTOR Joel Gausten | joel@grecopublishing.com CREATIVE DIRECTOR Lea Velocci | lea@grecopublishing.com EDITORIAL & CREATIVE COORDINATOR Kristen Dalli | kristen@grecopublishing.com OFFICE MANAGER Donna Greco | donna@grecopublishing.com www.grecopublishing.com

UPCOMING EVENTS January 9-10, 2018 RACE FOR AUTOMOTIVE EDUCATION Pro Kart Indoor Racing 14350 Rosemount Drive Burnsville, MN 55306

January 11, 2018 RACE FOR AUTOMOTIVE EDUCATION MB2 Racing 45 Northern Stacks Drive #200 Fridley, MN 55421

April 5, 2018 AASP-MN ANNUAL MEETING & LEADERSHIP CONFERENCE Doubletree Bloomington South 7800 Normandale Blvd.

Bloomington, MN 55439

For more information, contact the AASP-MN office at 612-623-1110 or visit the Association’s website, www.aaspmn.org.

ADVERTISERS’ INDEX American Honda Motor Co. ..........................OBC AmeriPride ....................................................19 Axalta Coating Systems ................................IFC Buerkle Hyundai............................................5 Choice Auto Rentals......................................10 Dentsmart ....................................................15 FinishMaster ................................................18 Inver Grove Honda / Inver Grove Toyota........14 Jack McClard ................................................13 Keystone ......................................................18 Libson Twin City ..........................................14

AASP-MN News

Maplewood Toyota ........................................16 Mills Parts Center ........................................10 Morrie’s ........................................................13 Motorwerks BMW ........................................IBC MPA..............................................................9 PAM’s Auto ..................................................18 Proven Force ................................................4 Rosedale Chevrolet ......................................21 Roseville Chrysler ........................................10 Straight & Square ........................................16 Toyota Group ................................................20

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ASSOCIATE DIVISION DIRECTOR’S MESSAGE

Every Day is Thanksgiving!

by Dave Bock, AASP-MN Associate Division Director

Though Turkey Day is already behind us, we can still look at each and every day as “Thanksgiving,” and be thankful for the efforts of our industry associations and lobbyists that are continually watching out for the betterment of the automotive aftermarket. Without the valiant efforts of these industry advocates, it would be impossible to stay on top of the legislative issues that will have an impact on all of our businesses in the future: Ownership of vehicle data/GPS information, access to embedded vehicle software, vehicle owner warranty rights (Magnuson-Moss) and tax reform (Border Adjustment Tax) just to name a few.

We are fortunate to have the watchdogs at AASP-MN keeping an eye on local/state issues, as they are doing their best to protect the interests of members as well as non-members.

However, the fact is that we need “watchdogs” on patrol when it comes to regulations and policies that are debated in Washington D.C., as well. One way we can all get involved is by making sure we’re backing the representatives who understand our challenges/opportunities, and are devoted to being our voice

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when it comes to matters that are potentially harmful to our businesses and employees.

Another way is to contribute to the Auto Care Association’s Political Action Committee (ACPAC). ACPAC is the only bipartisan fund that seeks to elect and re-elect officials who work to advance, promote and preserve a vibrant auto care industry.

ACPAC’s process for selecting candidates to receive contributions is unbiased. The main consideration is the strength of the candidate’s commitment to work with the Auto Care Association in promoting a common agenda.

If you’ve made it to this paragraph, I know you want to be involved, but might not have the time to make the trek to St. Paul or Washington, D.C. to talk with legislators. You can still be personally involved as a contributor to the state and/or national PAC funds, and be kept in the loop on all activities.

For additional information, you can contact Judell at AASPMN at (612) 623-1110, ACPAC at (240) 333-1028 or visit the AutoCare Association website at www.autocare.org.

Best wishes for a safe and joyous holiday season!

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LEGISLATIVE UPDATE

2018 Legislative Session Preview Minnesota has a part-time Legislature, but with all the news and storylines being generated during the legislative offseason, it may not seem that way. With legislative lawsuits, accusations of sexual harassment, a wide open gubernatorial race and the actual policy issues at play in 2018, it promises to be a very hectic Legislative Session. This legislative preview will help you make sense of what has happened since the Legislature adjourned in May, and what it will mean for 2018.

Legislative Funding Saga Governor Dayton and legislative leaders have been in a protracted legal battle stemming from the Governor’s line-item veto of roughly $130 million in funding for the House and Senate.

The Governor vetoed the funding with the goal of forcing legislative leaders to call a special session to renegotiate provisions in the tax bill. Legislators opted instead to take Governor Dayton to court over what they claimed to be an unconstitutional abolishment of a co-equal branch of government.

Legislators won the initial court decision, with the Governor’s veto ruled null and void and full legislative funding restored.

Governor Dayton appealed the ruling to the Minnesota Supreme

by Sam Richie, AASP-MN Lobbyist

Court, which chose not to reverse the lower court ruling, but deemed the veto constitutional and ordered mediation between the two sides.

Mediation lasted a day and a half and was ultimately successful only in upsetting the parties further. Governor Dayton left, claiming he had been lied to by the Legislature with respect to how long they could operate without additional funding.

Legislative leaders were frustrated that they were renegotiating things that had already been negotiated during Session. The case was then back in the hands of the Minnesota Supreme Court, which made its ruling in mid-November that Governor Dayton’s line item veto was indeed constitutional and restored the elimination of funding. It is now up to the Legislature to find a way to transfer funds to continue operating until Session starts in February.

Legislative leaders have insisted the Senate is nearly out of money and will be forced to furlough employees beginning on January 12, and suspend all operations of the Senate. In this scenario, the last paycheck for Senators and their staff would come on January 1, and health insurance would be paid through

AASP-MN News

continued on pg. 19

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LOCAL NEWS

AASP-MN Adds Additional Venue for 16th Annual Race for Automotive Education AASP-MN is pleased to announce that it recently added an additional venue for the 16th Annual Race for Automotive Education, to make it more convenient for members located in the northern Twin Cities area to participate.

The event will take place on January 11 at MB2 Racing in Fridley. MB2 is a new facility featuring all-electric karts that reach speeds of up to 45 miles per hour.

The event will also return to Prokart Indoor Racing in Burnsville on January 9 and 10.

For more information, see page 12 or contact the AASP-MN office at (612) 623-1110 or aasp@aaspmn.org.

Call for Nominations AASP-MN is looking for automotive industry professionals who are interested in advancing the industry by serving in leadership positions on the association’s board of directors and advisory committees.

A number of positions will be open on the Collision, Mechanical and Associate Advisory Committees, as well as the Government & Regulatory Affairs Committee. There will also be two seats open on the AASP-MN Board of Directors, one collision and one mechanical.

If you have a personal interest, or would like to nominate someone else, contact the Nominating Committee Chair Greg Kasel at (651) 437-6400 or the AASP-MN office at (612) 623-1110 or (800) 852-9071. Nominations must be received by December 31, 2017.

Current Board Members & Term Expiration Date Wayne Watson, Auto Works Automotive Service Center President – 3/31/19 Will Latuff, Latuff Brothers - Secretary/Treasurer – 3/31/20 Greg Kasel, AAM, Downtown Tire & Auto Immediate Past President – 3/31/18 Dave Bock, Auto Value Parts Stores/APH Associate Division Director – 3/31/19 Bruce Tschida, AAM, Lake Marion Collision Collision Division Director – 3/31/19 Carl Thomas, Lancer Service Auto Care Mechanical Division Director – 3/31/19 Mars Overlee, Rick’s 36 Automotive Services Mechanical Seat – 3/31/18 Matthew Feehan, American Auto Body Collision Seat – 3/31/20 Randy Notto, AAM, Lenfer Transmission & Automotive Mechanical Seat – 3/31/20

Companies may choose to sponsor a session hand-picked by the volunteer leaders of AASP-MN, with a contribution of $1,500.

The following programs will be offered: • Opening General Session: Why Be Normal? - Terry Watson (3 available) • Luncheon Keynote: Momma Told Me There’d be Days Like This - Mark Mayfield (2 available) • Can I Have a Side Order of Service With That? Mark Mayfield • The Secrets of America’s Greatest Body Shops: The Six Secrets Revealed - Dave Luehr, Elite Body Shop Solutions • Survive & Prosper in the Auto Repair Business Dan Gilley, RLO Training

Program Sponsors receive: • Pre- and post-event promotion to 2,000+ AASP-MN members and automotive businesses • Promotion via emails, faxes, event marketing brochures, AASP-MN website, press releases and on-site program materials and signage • Recognition before, during and after the event as a sponsor supporter • Access to AASP-MN members (the best in the business!) and other industry constituents

If you would like to sponsor a program listed above, please contact the AASP-MN office at (612) 623-1110 or (800) 852-9071

by December 31.

Corey Bartlett Awarded AWDA Pursuit of Excellence Honors Corey Bartlett, president and CEO of Automotive Parts Headquarters Inc. (APH) of St. Cloud, and long-time AASP-MN member, was recently honored with the Automotive Warehouse Distributors Association’s 2017 Pursuit of Excellence Award.

Established in 1983, this award is presented exclusively to AWDA member companies or employees of those companies, in recognition of excellence in business performance and the setting of high standards as an example for others to follow.

Mauro Cifelli, vice president of sales and marketing at VastAuto Distribution Ltd., presented the award on behalf of AWDA. Born and raised in St. Cloud, Bartlett grew up in an aftermarket family, where his grandfather and father were both involved in the family business, Automotive Parts Headquarters, Inc. After graduating from Gustavus Adolphus College in St. Peter, Minnesota, Bartlett quickly became involved in all aspects of the family business: operations, corporate and independent stores, sales and marketing and generally helping APH to grow and expand. He served as executive vice Sponsorships Available for the 2018 president until 2008, when he was named Annual Meeting & Leadership Conference president. In 2016, he became president and CEO. AASP-MN is accepting sponsorships for educational Since Bartlett joined the company full time, programming during its 2018 Annual Meeting & Leadership APH has tripled in size, undertaking several Conference. The event will take place on April 5, 2018, at the acquisitions. He values spending time with Doubletree by Hilton Bloomington – Minneapolis South, customers and suppliers — it is a critical piece to Cory Bartlett Bloomington, MN. his relationship-building approach.

Sponsoring a program at the AASP-MN Annual Meeting & AWDA’s Pursuit of Excellence Award celebrates the setting of Leadership Conference provides a wonderful opportunity for high standards as an example for others to follow. The success of companies to extend their support and outreach not only to existing those standards is directly reflected in the vibrant company now led customers, but to other potential customers in the automotive

by Corey Bartlett. services industry.

Congratulations, Corey!

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Minnesota Chamber Challenges Minneapolis Minimum Wage Ordinance The Minnesota Chamber, along with other business organizations, filed a lawsuit against the City of Minneapolis on November 10 seeking to strike down the Minneapolis minimum wage ordinance. The action also asks the court to prevent Minneapolis from enforcing the ordinance, which is scheduled to take effect January 1, 2018.

The action challenges the Minneapolis minimum wage ordinance as unlawful on the grounds that it conflicts with existing state law. “Employers know what they have to pay to compete for a talented workforce and to deliver goods and services at a competitive price,” said Doug Loon, Minnesota chamber president. “A patchwork of local laws creates burdensome and time-consuming regulations on employers. They make it increasingly difficult for businesses to have a compensation system that works for employees and employers alike, and hinders the creation of jobs.”

The ordinance creates a new Minneapolis minimum wage for any employer with employees working in Minneapolis as few as two hours per week, regardless of whether their physical offices are located within or outside the Minneapolis city limits. The wage is increased to $10 per hour effective January 1, 2018, and is ratcheted up to $15 in 2024 for small and large employers.

The Minnesota Chamber also is challenging the city of Minneapolis on the legality of its paid sick and safe time ordinance, which went into effect July 1, 2017. The Minnesota Court of Appeals ruled in September that the city may not require employers located outside the city limits to provide employees with certain paid leave. The court also ruled that, for now, the city could impose that mandate on employers located within the city.

The Minnesota Chamber is appealing the ruling to the Minnesota Supreme Court.

“The Minneapolis city government unfortunately has strayed into public policy that has always been left to federal and state authorities,” Loon said. “This and other wage and benefit mandates passed by Minneapolis – and passed and contemplated by other cities – threaten to open the floodgates to a whole new area of legislating for local governments. This overreach ought to be stopped, and municipal authorities should not stray in their authority.”

A Final Shout-Out to 2017 Sponsors Our sponsors play a key role in our organization. They support us. They provide us with extra resources to deliver exceptional programs, education and networking opportunities to members. They help us keep our costs and fees reasonable and affordable. Please acknowledge those companies that support us in this way!

Internship Sites Needed The collision repair faculty at Hennepin Technical College is seeking help from local-area shops in providing students with internship opportunities. Internships expose students to meaningful learning experiences that enhance the relevance of what they are learning in the classroom today, while advancing the technical competency of our future auto body technicians.

The internship program runs February 5 - March 30, 2018 for the Brooklyn Park campus and March 19 - May 11, 2018 for the Eden Prairie campus.

If you are interested in helping a student get some hands-on experience in a real-world environment, while gaining a little extra help around your shop, contact Tom Phillips at the Brooklyn Park campus, (763) 488-2473 or tphillips@hennepintech.edu or Mike Netzinger at the Eden Prairie campus, (952) 995-1563 or mike.netzinger@hennepintech.edu.

AASP-MN News

GOLD SPONSORS AASP National Auto Value Parts Stores/APH Autoshop Solutions Axalta Coating Systems CBIZ AiA FinishMaster Meadowbrook Insurance PPG Automotive Finishes United Fire Group SILVER SPONSORS aaa Auto Parts Enterprise Rent-A-Car LKQ/Keystone Automotive O'Reilly Auto Parts PAM’s Auto, Inc. Suburban Chevrolet BRONZE SPONSORS Advance Auto Parts C.H.E.S.S. LEADERSHIP CONFERENCE ENTERTAINMENT SPONSOR Dent Impressions MEETING SPONSOR Choice Auto Rental LEADERSHIP CONFERENCE VENDOR SPONSORS 1 Collision Network 3M Automotive Aftermarket Division AmeriPride Services Automotive Training Institute BASF Automotive Refinish Casualty Insurance of Chaska Choice Auto Rental Dentsmart PDR Heartman Insurance Hertz Corporation IDENTIFIX Insurance Brokers of MN Matrix Electronic Measuring MN Dept. of Labor & Industry Monroe, Moxness, Berg, PA Net Driven Rapid Refill Safety-Kleen Sherwin-Williams Automotive Finishes December 2017 | 7

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NATIONAL NEWS

Meadowbrook Insurance Group Announces New Corporate Name: AmeriTrust Group, Inc. As a new example of the company’s evolution, Meadowbrook Insurance Group, Inc. announced that the company has changed its name to AmeriTrust Group, Inc. (AmeriTrust).

AmeriTrust begins as an autonomous, vertically-integrated risk management organization with strategic business units designed to withstand economic cycles. The company plans to increase its business by maximizing distribution channels for customers (agents and clients) to purchase insurance products and services more directly. AmeriTrust is led by a new management team, which has been in place since November 2016. The new team has been actively working together, defining the strategies that form the core of AmeriTrust.

“This corporate name change turns the page toward the future,” said Kenn R. Allen, President and CEO of AmeriTrust. “It reflects the trust our clients have in our ability to provide best-inclass service, support and insurance solutions, as we have done in America for the past 62 years. We are committed to providing that trust for decades to come.”

The names of the insurance subsidiaries owned and operated

by AmeriTrust will remain unchanged. These subsidiaries include Meadowbrook Insurance Agency, Mackinaw Administrators, Ameritrust Insurance Corporation, Century Surety Company, ProCentury Insurance Company, Savers Property & Casualty Insurance Company, Star Insurance Company and Williamsburg National Insurance Company.

IRS Will Enforce Employer Mandate of the Affordable Care Act Regardless of Any Executive Orders You may recall that President Trump signed an executive order on the day of his inauguration directing all agencies to minimize the economic burden of the Affordable Care Act (ACA) pending its repeal. You may recall also that employers were not mentioned specifically, though the executive order explicitly instructed agency heads to reduce the fiscal burden on individuals and states.

Seven months later, the ACA still has not been repealed, and it remains unknown whether it ever will be. This uncertainty has left many employers wondering if penalties will be assessed in the future and whether they should revisit their ACA compliance strategies.

Current IRS Position: Compliance is Still Necessary The Office of Chief Counsel for the Internal Revenue Service has confirmed that employers are still subject to the employer shared responsibility payments (ESRPs) until the ACA is modified or repealed by Congress, because an “executive order does not change the law.” The Office of Chief Counsel also confirmed that the IRS plans on assessing penalties against individuals who do not have the necessary minimum health coverage, even though the executive order instructed agencies to avoid assessing fines against individuals.

Summary of ACA Penalties Under the ACA, ALEs are required to offer full-time employees minimum essential health care coverage that is affordable and provides minimum value. If they do not, and a full-time employee receives a premium tax credit to purchase individual coverage through a marketplace, the employer may be assessed an Employer Shared Responsibility Payment (ESRP).

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What Does This Mean For Employers?

The IRS has made it clear that unless, and until, Congress repeals or amends the individual and employer mandates, it plans to enforce both obligations, regardless of the existing order from the executive branch. This means that you should continue following your current ACA compliance strategy if you wish to avoid penalties, perhaps revisiting the strategy if you have not done so recently.

You should keep documentation and plan on complying with the ACA in 2018. This includes having the necessary information for timely ACA reporting. You should be prepared to provide copies of Form 1095-C to individuals by January 31, 2018, and to electronically file forms by April 2, 2018.

Don’t Forget: Shops Need Certified Techs to Buy Refrigerant After Jan. 1 Curated and delivered by SCRS Shops wishing to buy the common 10- or 30-pound tanks of refrigerant will need to have at least one air conditioning-certified technician by January 1, 2018.

After January 1, a technician must be certified under either Clean Air Act Section 608 or Section 609 for them or their shop to buy more than two pounds of non-exempt refrigerants, according to Environmental Protection Agency requirements. Quantities of two pounds or less must have a self-sealing valve.

Section 609 certification, which deals specifically with automobile air conditioning and doesn’t count for stationary air conditioners, is the logical choice for an auto repair technician. The latest program includes training, according to the Mobile Air Conditioning Society (MACS).

Once a technician is certified under Clean Air Act Section 608 or Section 609, the credential is good for life — he or she will never have to renew it. If a technician was certified by MACS or the International Mobile Air Conditioning Association in the past and lost their credential, MACS will replace it for $10.

“The MACS staff has been busy answering questions for technicians and distributors who are confused or have been given wrong information about the new requirements,” MACS President Elvis Hoffpauir said in a statement. “MACS wants everyone to understand that if you are Section 609 certified, your credentials are good for life. If you have lost your credentials and are MACS or IMACA certified, MACS can issue a reprint of credentials for a $10 processing fee.”

A shop owner trying to buy refrigerant after January 1 should only need their certified technician’s credential. However, owners should keep records on hand of certified technicians, and where the refrigerant was sent, according to the EPA. They must also certify to the EPA once that they’ve bought approved A/C equipment and are using it correctly. (Like tech certification, once this has been done for a single piece of equipment, the shop will never have to recertify its equipment, even if it buys new stuff, according to the agency.)

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SEMA RECAP

Igniting an Industry Spark: The 2017 SEMA Show Each year, the annual SEMA Show draws hundreds of thousands of automotive enthusiasts from around the world to the Las Vegas Convention Center to get a close-up look at every angle of the industry, and the 2017 show was certainly no exception. Held October 30—November 3, SEMA attendees had the opportunity to learn from some of the biggest names in the industry, get hands-on demos from top-of-the line vendors and engage in a truly unique networking experience.

One of the biggest draws at SEMA each year is the Society of Collision Repair Specialists’ (SCRS’) Repairer Driven Education (RDE) Series. During the panel discussion “Building a Bigger Estimating Toolbox,” AASP-MN board member and moderator Will Latuff (Latuff Brothers Auto Body) stressed the importance of utilizing OEM information to ensure a safe and proper repair.

This includes staying on top of manufacturer position statements on a variety of procedures.

“These are great resources. The easiest way to get them is to go to oem1stop.com.

It’s a free website, and it has links to [all of them].”

Latuff discussed highlights of a recent “Who Pays for What?” industry survey conducted by Mike Anderson at Collision Advice. One survey question: “How often do you research OEM procedures while you write the estimate?” was answered by more than 500 respondents. Seventeen percent said they do it always, while 60 percent said they do it some or most of the time.

“Researching OEM repair information

by Kristen Dalli & Joel Gausten

and utilizing these tools has to become part of your company culture to succeed. It’s that important,” Latuff said.

Away from the seminar rooms, SEMA played host to some important industry conversations. On November 1, various AASP state affiliates gathered at the Renaissance Hotel for the semi-annual National Board meeting. Minnesota was well-represented at the meeting, having AASP National Administrator and AASP-MN Executive Director Judell Anderson, AASP National President and AASP-MN Collision Division Director Bruce Tschida and AASP-MN member Dan Sjolseth, president of Superior Service Center, in attendance.

To kick off the meeting, new DEG Administrator Danny Gredinberg gave a brief overview of his work in the position thus far.

As of this writing, the DEG has seen 11,100 inquiries and counting.

“It’s been exciting being a part of this and being able to bring my past knowledge in a shop environment to the table. I’ve used the DEG in the past and had positive results, and thought this would be a great opportunity.”

“The DEG participated in [Will Latuff’s presentation] with 3M, Honda and ALLDATA on getting the awareness out there and teaching how to better utilize all of the estimating resources out there,” he continued. “We want to make the DEG more visible to everyone, and we’re teaching firsthand how to use inquiries. The feedback I’m getting is that there’s more communication than there has been in the past, which is really encouraging.”

During each state’s affiliate report, Tschida urged attendees to share one highlight, success or challenge in their individual association.

“As a group, we’ll hopefully benefit from it if it’s a success, or if it’s a challenge, maybe we can offer some advice to help you fix that problem,” he commented.

Sjolseth was first to report, noting the technician shortage as one of Minnesota’s current primary challenges and one of the ways the association has been working to move an industry dilemma in a positive direction.

“We started asking ourselves, ‘Where do you find the people?’ In 2015, we came up with an idea to raise some money and form another organization, called MNCARS [Minnesota Careers in Auto Repair & Service].

We raised $250,000, and I’m proud to say that about half of that money was generated by shop owners.”

“This spring, I attended a career fair in St. Paul, and we came to realize that we started to make an impact. We’re starting to see that school counselors – who historically always pushed four-year degrees – are now starting to talk about two-year degrees,” he continued. “Parents are starting to realize this is a viable career option. It definitely doesn’t hurt that Jay Leno thinks cars are cool, right?

We’ve accomplished an awful lot here in a short amount of time, and there’s a lot more that we can do in our state to continue to grow awareness and get more and more kids in this industry.” continued on pg. 19

(L-R): AASP-MN Collision Division Director Bruce Tschida, DEG Administrator Danny Gredinberg and AASP-MN member Dan Sjolseth addressed AASP affiliates during the November 1 National Board meeting.

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Registration Deadline December 15!

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PARTNERS IN PREVENTION

Making Rules: Have Your Say

Running a business means you have to follow a lot of rules.

But where do those rules come from? And did you know that you have some influence on them?

Many rules start as an act of Congress or the Minnesota Legislature. After an act is passed into law, lawmakers assign it to an agency. Agencies carry out the laws by implementing rules and regulations. Hazardous waste rules are a result of the federal Resource Conservation and Recovery Act. If you have an air permit, it started with the federal Clean Air Act. Because of the impact rules can have on people and businesses, the process of proposing rules is very structured and rigorous (as required by, you guessed it, an act – the MN Administrative Procedures Act). Most importantly for you, agencies proposing rules are required to ask people what they think about the proposed rules.

There are two points in the rulemaking process when you can provide comments. Early in the process, the agency will post a notice that it intends to write rules on a particular topic and ask for comments on the idea. Later in the process the agency will post the proposed rule language. At either point, this is an opportunity to share your opinion, experiences, or information with the agency.

To do that, you need to read the proposed rule – at the very least, the section that affects your business. How do you find it? For state environmental rules, go to the Minnesota Pollution Control Agency (MPCA) website at www.pca.state.mn.us and search for “rulemaking.” Each proposed rule has its own webpage linked from the general rulemaking webpage.

There will be several documents posted on the rule webpage that you should review. First, look for a document called “Proposed concepts” or “Notice of intent.” Both provide a summary of the proposed rule. After the MPCA has developed the text of the proposed rule, it will be posted as a “Proposed rule” or “Proposed amendments” document. Along with the proposed rule text the MPCA will post a document called “Statement of need and reasonableness.” This document describes the background of why the rule was written, who it is expected to affect and what the expected results are.

If you don’t see the proposed rule or statement of need, it means the agency is still developing them. Sign up for email

notifications and you’ll be notified when they are posted for review and comment, and you won’t have to remember to look for them later. Email sign-up is on each rule webpage.

You can provide written comments in a letter or email, or you can call and talk to the rule coordinator. Addresses and contact info are listed in the Notice of Intent and at the bottom of the rule webpage. Comment deadlines will be posted on the rule webpage.

You can provide as much or as little detail as you are comfortable with or have time for.

To provide the most effective comments, say who you are and what your interest in the rule is. If you have concerns, fully describe what they are. Be specific and offer suggestions or different language for aspects you don’t like. Call out parts of the rule you like, too. The comments you submit are public information and will be posted on the rulemaking web page, so keep it professional.

Since most rules have several sections, be sure to state which part of the rule you are commenting on.

Once the commenting period has closed and all the comments have been collected, the staff working on the rule will read through every comment, post the comments and responses on the rule webpage, and make appropriate changes to the rule. After that, the rule might have to be reviewed by a judge and further adjustments made. Finally, the final rule will be posted and usually goes into effect a month later.

Currently, the MPCA is working on revising the rules that establish air permitting options for small facilities, including auto body shops. The intention is to exempt the smallest facilities from needing to apply for an air permit. The first round of comments, on the general idea of the rule, took place earlier this year. The second round of comments, on the specifics of the proposed rule, will be open for you to review and comment on around the time this article is published. To find this rule’s webpage, search for “exempt source rulemaking” on the MPCA website, or go to the rulemaking webpage. Then click on “Air,” then “Exempt source/conditionally insignificant activities.”

Nobody knows your business better than you. Commenting on rules that affect small businesses is a way for you to share your experience and expertise. You’ll help shape rules and standards that are better for everyone.

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INSURANCE I.Q.

The Importance of Return to Work

Programs for Your Bottom Line Provided by CBIZ

A Return to Health and Happiness Return to work programs help you get injured employees back to their normal or modified job duties as quickly and safely as possible.

Instead of paying for workers’ compensation costs and lost work days, you’ll save money by paying your employees their normal wages for doing light-duty work that the company needs done anyway. You’ll also be able to keep them on their regular work schedules, which is proven to increase their likelihood of returning to regular working duties sooner.

Benefits for Your Company Return to work programs reduce employees’ days away from work, allow employees to recover more quickly and foster a more positive work environment.

Implementing a return to work program can benefit your company financially by:

• Anticipating and controlling hidden costs • Reducing the financial impact of workplace injuries • Providing a proactive approach to cost containment • Improving your ability to manage an injury claim and any restrictions • Getting your experienced employees back to work, resulting in less time and money spent on recruiting and hiring • Helping you keep regular contact with injured employees

Your company can benefit from a return to work program in other ways, including:

• Boosting morale • Keeping injured employees productive • Discouraging abuse • Demonstrating a consistent procedure • Establishing solid communication and organization • Enhancing injured employees' self-worth

Benefits for Your Employees Return to work programs don’t just benefit your company - they benefit your employees too. Implementing a return to work program for injured employees communicates care and concern, and shows your employees that you value their wellbeing and want them back on the job as soon as possible.

Your employees also benefit from a return to work program in the following ways:

• Retaining full earning capacity • Maintaining a productive mindset • Staying on their regular work schedule • Avoiding dependence on a disability system • Having a sense of security and stability • Seeing management’s commitment to employees’ well-being reinforced

AASP-MN News

A well-constructed return to work program reduces lost time, allows workers to recover more quickly and fosters a more positive work environment.

Get Your Program Going Many companies fail to implement return to work programs because they don’t have the resources or expertise to get started. Return to work programs must be organized and implemented efficiently, and CBIZ can help you do just that by providing you with the resources you need to make your program a success, including educational articles, forms and policies.

Our staff of loss control professionals can conduct a thorough evaluation of your company’s return to work program needs and determine the best plan for your organization.

Brad Schmid CBIZ 222 S. 9th Street Minneapolis, MN 55402 P 763-549-2247 | F 763-549-2299 cbiz.com

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WELCOME NEW MEMBERS:

NOVEMBER 2017

Adamson Motors Rochester AutoZone Memphis, TN Boulder Ridge Insurance Brokers Albertville Dan’s Penn Auto Care Richfield Fleetwood Collision Nowthen Hazel Park Auto Service St. Paul Steadfast Auto Care Eagan Wilson Auto Works Minneapolis

SEMA RECAP

LEGISLATIVE UPDATE February. It is unclear if this furlough threat will change the Governor’s position. The issue is likely to roll over into the 2018 Legislative Session, and keep tension between Democrats and Republicans very high.

continued from pg. 5

Sexual Harassment Policies Sparked, in part, by the national conversation taking place around sexual harassment in the workplace, the Minnesota Legislature has had several high-profile incidents of sexual harassment come to light in recent weeks. DFL Senator Dan Schoen and Republican Representative Tony Cornish were both accused of inappropriate sexual behavior. After initially taking defiant positions, both Members have now announced their resignation from the Legislature. Senator Schoen’s resignation is effective December 15, while Representative Cornish’s is December 1. Governor Dayton will now coordinate with Legislative leaders in the House and Senate to schedule special elections for the open seats.

A request for a state task force to address “the culture of our legislative bodies and campaigns” has been called for by lawmakers who have experienced sexual harassment.

To date, the issue of sexual harassment is undoubtedly larger than just the two lawmakers accused of inappropriate behavior. Expect it to be a dominant story line all Session. With both a Democrat and a Republican accused of inappropriate behavior so far, this issue offers a chance for the parties to work together to address a serious issue without partisanship derailing the effort.

Gubernatorial Race Politics usually plays a starring role at the Legislature, but with the 2018 gubernatorial race already fully underway, that will be especially true during the 2018 Legislative Session. Neither the Democrats nor the Republicans have a clear front-runner for their party nomination yet and, as such, we are likely to see candidates jockeying for position during Session. Currently there are several sitting Legislators from both the House and Senate who have officially entered the Governor’s race.

continued from pg. 11

The automotive community’s ongoing support of automotive education was on full display throughout SEMA. SCRS was a featured exhibitor during the SEMA Show Student Career Day, spending time with employment-hungry candidates to share opportunities within the collision repair field. Later in the week, the Collision Repair Education Foundation (CREF) awarded over $600,000 in school grants at their annual awards ceremony. Minnesota recipients included: South Central College (North Mankato, MN) with a $1,000 American Family Insurance Grant, and Ridgewater College (Willmar, MN) and Saint Cloud Technical and Community College (Saint Cloud, MN) each with $1,000 Ultimate Collision Education Makeover Grants.

As easily the biggest national event in the automotive industry, SEMA has mass appeal for every sector of the automotive industry. With the Show growing in size and scope year after year, all signs point to an even greater experience in 2018.

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ESTIMATING TIPS CCC: Filter Tab - The “Filter” drop down tab allows users to filter parts to right and left side only. The filter tab also allows users to validate parts only to the VIN decoded options in CCC/Motor. In the event the vehicle is equipped with nondecoded trim or engine option parts, the user should “un-filter” the parts database to see an expanded view of all available parts for the model platform.

Omissions found in the database with filtered and unfiltered parts should still be submitted to www.degweb.org to request that changes be made in the estimating platform.

Mitchell: Windshield-mounted ADAS (Advance Drivers Assist Systems) – When R/I or R/R of windshield is selected, ADAS Systems (i.e., cameras and sensors mounted to the glass) are not included in glass labor time unless otherwise noted in the Procedure Explanation section.

Cameras and Sensor option may be added using the “Add to” section in the parts selection menu or a manual entry may be considered.

Check with the OEM workshop manual to determine if the required calibration process must be performed following installation of the glass. It is also important to verify and only use OEM-approved urethane for the bonding process.

Access to OEM workshop information manuals can be located at www.oem1stop.com or at https://rts.i-car.com/.

Mitchell, CCC, Audatex: Storing electrical presets and redeploying customer presets – Modern vehicle technology may have memory function set by the vehicle owner, which may need to be considered during the repair process. Memory functions may include the following: seat position, radio

presets, clock, mirrors and ADAS features. Customers rely on these settings to be restored as they were when the vehicle arrived to the repair facility.

Documenting and resetting these features are NOT included in labor times from all three estimating systems.

A good check-in process will document these settings prior to starting repairs, as well as communicating with the vehicle owner to make them aware of the possibility of losing certain presets during the repair process.

Audatex: Extending clear coat to nearest breaking point or panel There is no set formula when a user must extend clear coat on an adjacent panel(s) breaking point.

Section 4-4 of the DBRM states the following: “When the estimator enters a judgment time for refinish labor, the estimator also determines the included operations. Operations that might be considered in the repair refinish time include any steps required to bring the panel to the condition of a new, undamaged panel. This may include feather edge, blow off and clean, mask to prime, tack off, mix etch primer, prime bare metal, mix and apply primer filler, guide coat application, unmask as required and block sand. Panel scuff to facilitate application of clear may also be considered for two- or three-stage refinish.”

Section 4-4 of the DBRM also states the following is included with the “two-stage” allowance: Cover the car, tack wipe, gather materials, mix and apply clear coat, clean-up. Removing the surface refinish labor and only leaving the “two-stage” labor is not the correct method of calculating extension of clear coat on adjacent panels to a break point. Preparation accounts for 43.6 percent of the refinish labor alone.

Note: 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 these tips and others on the DEG website,WWW.DEGWEB.ORG.

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CASH IN ON YOUR MEMBERSHIP!

Wipers & Wipes

HAVE A SAFE & HAPPY HOLIDAY SEASON! From the AASP-MN Board of Directors & Staff

Proudly serving AASP-MN members for over 20 years!

AASP-MN and Wipers & Wipes, Inc. are partnered to provide members with special pricing on items used in the shop every day.

Wipers & Wipes specializes in disposable toweling for the automotive service industry. With a modern, efficient warehouse, Wipers & Wipes is able to stock a large and diverse inventory to quickly meet the needs of its customers. Wipers & Wipes provides next-day service with free delivery in the seven-county metro area and some surrounding cities. Daily shipping via UPS and Spee-Dee Service for outlying areas is also available. A $100 order qualifies for free freight.

Wipers & Wipes can service you with a variety of items, including:

• Paper toweling & dispensers • Mopping and floor maintenance equipment • Skin soaps and lotions • First aid products and equipment • Food service equipment • Cleaning chemicals, floor pads, sponges and abrasives • Waste receptacles and can liners • Facility maintenance and cleaning tools and supplies

For more information about this AASP-MN Member Benefit program, contact Wipers & Wipes at (651) 486-4866.

Wayne Watson President Will Latuff Secretary / Treasurer Greg Kasel, AAM Immediate Past President Dave Bock Associate Division Director Bruce Tschida, AAM Collision Division Director Carl Thomas Mechanical Division Director Mars Overlee Mechanical Seat Matthew Feehan Collision Seat Randy Notto, AAM Mechanical Seat Judell Anderson, AAM Executive Director Kevin Walli Lobbyist Sam Richie Lobbyist Jodi Pillsbury Office Manager Tom Kluver Membership Coordinator

AASP-MN MEMBER BENEFIT PROGRAMS WORKERS’ COMP INSURANCE Meadowbrook Insurance Group Contact: Brad Schmid 763-549-2247 / bschmid@cbizaia.com Up-front scheduled credit makes Meadowbrook one of the most competitive programs around for Worker‘s Compensation insurance. In addition, members are eligible to receive an annual dividend based on the group’s loss ratio. For more information, log on to www.wcpolicy.com/aaspmn.

PROPERTY/LIABILITY INSURANCE CBIZ AIA Contact: Brad Schmid 763-549-2247 / bschmid@cbizaia.com CBIZ AIA will present AASP-MN members with quotes from multiple carriers for property/liability insurance and members can choose the program that best fits their situation. As an added bonus, CBIZ AIA will offer members an exclusive 10% discount on their property/liability insurance premiums. Ask about our program with United Fire Group!

EMPLOYEE BENEFITS Business Planning Professionals Contact: Dennis Begley 612-308-6577 / dennis@begley-group.com Business Planning Professionals will provide AASP-MN member with quotes from multiple carriers for life insurance, health insurance, longterm care and disability insurance.

UNIFORM & LINEN SUPPLIES AmeriPride Services Contact: Jim Dillon 651-955-1398 / jim.dillon@ameripride.com Discounted pricing to members on rental of uniforms, entrance mats, shop rags, etc. Purchases are also discounted. Members receive annual rebate equal to 10% of their business with AmeriPride each year.

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INDUSTRIAL & PAPER PRODUCTS Wipers & Wipes, Inc. Contact: Peter Soderling 651-486-4866 Discounts on industrial supplies and paper products. Free, next-day delivery is available in the metro area. Shipping free to outstate members with $100 purchase.

WEBSITE AND INTERNET MARKETING SOLUTIONS Autoshop Solutions Contact: Tony Mercury 919-267-1731 / tony@autoshopsolutions.com AASP-MN members receive a $500 discount off the Website Marketing Success Package set-up fee and special pricing on template websites starting at just $59/month and $149/set-up (regularly $79/month and $250 set-up).

Net Driven Contact: Rich Mullen 877-860-2005, ext. 224 / rmullen@netdriven.com Net Driven is a market leader in website and internet marketing solutions designed exclusively for the automotive industry. AASP-MN members who choose Net Driven are eligible for a $500 discount off their 1st year setup fees.

CREDIT CARD PROCESSING Association BankCard Services Contact: Mac Hardin 952-933-2026 / mach@retailfinancialservices.biz Competitive rates for AASP-MN members. Terminals and printers sold at cost. Monthly rental of equipment is also available.

LEGAL CONSULTATION Fryberger, Buchanan, Smith & Frederick 800-496-6789 Members receive free, over-the-phone legal assessment and consultation (some restrictions apply) with an attorney who specializes in the area of law that is the subject of the call.

INFORMATION PROVIDERS Mitchell1 Contact: Mitchell1 Representative 888-724-6742 x 6986 Mitchell1 offers AASP members special savings on Mitchell 1’s ProDemand, Manager SE and Teamworks products. For more information, contact Customer Service at 888-724-6742, ext.

6986.

CHECK GUARANTEE SERVICES Certegy Check Services 877-520-2987 Discount rate of .75% to AASP-MN members. Use existing credit card terminal. Fast claim payments.

Mitchell International Contact: Mitchell International Representative 800-238-9111 AASP members receive a 15% discount on any Mitchell RepairCenter TechAdvisor package. Visit http://repaircenter.mitchell.com/Catalog/OEM Repair.aspx for more information.

SALES, MARKETING AND CUSTOMER SERVICE SOLUTIONS eMarketing Sherpas Contact: Frank Terlep 888-377-2661 / www.emarketingsherpas.com eMarketing Sherpas provides AASP members up to a 10-percent discount on its Demand Engine CRM Suite, Review Engine online review and reputation marketing system and its Digital Lobby point of sale digital signage, menu board and interactive kiosks solutions.

AUTO EMPLOYEE ASSESSMENT Assessment Associates International Contact: Ron Page (952) 854-6551 / ronald.page@aaiassessment.com / www.auto.aai-live.com Designed to help facilitate and enhance hiring decisions. AASP-MN members receive 50 percent off retail price and starts as low as $15 per assessment.

PAYROLL PROCESSING CBIZ Payroll Contact: Carrie Hobrough 612-436-4620 / chobrough@cbiz.com Members receive 20% discount off standard payroll products and services (excluding 401k).

Members who switch prior to June 30 will receive first month of payroll processing free.

TECHNICAL INFORMATION HOTLINE IDENTIFIX 800-288-6220 Members enjoy discounted prices on the industry’s #1 technical information hotline, Direct-Hit. BUSINESS FORMS/CALENDARS AASP-MN Contact: Jodi Pillsbury 612-623-1110 / jodi@aaspmn.org Discount rate on printed business forms and calendars.

AASP-MN News

BUSINESS COACHING 180biz 540-833-2014 / info@180biz.com Website: www.180biz.com Members receive a 20-percent discount on oneon-one sales and management coaching programs (covering financial planning & analysis, strategic marketing, leadership and personnel development) without long-term commitments.

Members also receive a 25-percent discount on monthly sales & management webinars as well as a 20-percent discount on all 180BIZ advisor training programs.

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