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Vol. 37 / Issue 9 / September 2019

U. S. District Judge Dismisses Repairify’s Lawsuit Against AirPro Based on Venue, Without Prejudice

Solving the Tech Shortage: Focusing on Kina’ole: Doing the Right Thing for the Right Reason

by Chasidy Sisk

by Stacey Phillips

On July 15, U. S. Southern District of Texas Judge Ewing Werlein Jr. released a final judgment in the lawsuit filed against AirPro Diagnostics by asTech parent company Repairify. The case was dismissed because Judge Werlein found there were insufficient grounds for Repairify to sue AirPro in the federal Texas district; however, the ruling merely addressed the venue, not the merits of the case on relevant laws. Because the case was dismissed without prejudice, Repairify is permitted to refile the law-

suit, though the company has not yet indicated whether it intends to do so. In a statement released on July 17 about what it referred to as “asTech’s second unsuccessful attempt to use litigation to damage AirPro’s growth in the marketplace,” AirPro President and CEO Lonnie Margol said, “AirPro remains confident that its ‘Truth Campaign,’ listed on our website, can easily be verified through an independently conducted, side-by-side comparison and renews its challenge to asTech to participate. We are, however, confident that See Lawsuit Against AirPro, Page 14

Marketing for Shops: Does Yelp Bully Body Shops? by Ed Attanasio

Some shops have told me Yelp is unfair, unless they’re willing to buy an advertising plan for $300-$500 or more. Shop owners aren’t fond of it, but they realize Yelp isn’t going anywhere any time soon. Some try to ignore Yelp altogether while others seemingly live and die with each review, so it’s always a hot topic amongst small business owners. Years ago, I heard a representative from Yelp who was invited to speak at a California Autobody Association (CAA) meeting in San Jose, CA. After his brief presenta-

Samantha McCauley, a collision repair refinish instructor at Hammond High School in Hammond, IN, said it can be very challenging to acquire the proper tools and equipment needed in her classroom to properly instruct students.

tion, there was a question-and-answer session and at one point I thought - I hope they don’t lynch this poor guy! Many of the shop owners in attendance vented their many grievances about Yelp, including the authenticity of reviews and preferential treatment for shops that buy advertising. The controversy surrounding Yelp was re-ignited with the recent release of Billion Dollar Bully, a new documentary about Yelp that you can watch on Amazon and iTunes. It claims that Yelp extorts small business owners for advertising fees in See Marketing for Shops, Page 27

Toby Chess presented Samantha McCauley, a collision repair refinish instructor at Hammond High School in Hammond, IN, with two full toolboxes during the CIC in July, courtesy of March Taylor Scholarship Fund.

“There are a lot of times that I request equipment and I’m sure other teachers across the country are in the same predicament,” she said. “Our administration says to put our requisition forms in; every week for months, we follow up to find out what happened to the requisition forms only to find out the funds are already gone.” McCauley recently received a special gift to help alleviate that frustration. During the Collision Industry Conference (CIC) in Indianapolis, Toby Chess presented McCauley with two toolboxes, one for her own needs and the other for her students to use. The toolboxes were awarded on behalf of the March Taylor Scholarship Fund. “I truly appreciate what you are See Focusing on Kina’ole, Page 12

CIC: Regulators Show New Interest in ‘Most-FavoredNation’ Clauses by John Yoswick

What does Amazon’s contract with some online sellers have in common with State Farm’s direct repair agreement? The answer: most-favored nation clauses. Scrutiny by government regulators could be behind Amazon’s decision earlier this year to drop that clause in the United States, which required third-party sellers to price their products on Amazon no higher than they do anywhere else. Amazon had previously ceased using such “mostfavored-nation” (or “price parity”) contract clauses in some European countries after government investigations. The revived interest in the po-

tentially anti-competitive impacts of most-favored-nation clauses (MFNs) – such as the one State Farm “Service First” shops have had to sign since 2006 – was discussed by the Collision Industry Conference (CIC) “Governmental Committee” in Indianapolis in late July. Michigan attorney Stephen Bolerjack, whose practice focuses on antitrust and contract issues in the automotive industry, said that on the surface, MFNs appear pro-competitive and simplify the negotiation process between parties. But they also can focus solely on price and overlook other factors that can impact pricing, he said. “If the seller is doing something different with other buyers, there’s a See CIC: Regulators, Page 24

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SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

CONTENTS

MCSO and DA Raid New Caney, Texas, Repair Shop by Scott Engle, Montgomery County Police Reporter

REGIONAL

AutoNation Names Cheryl Miller CEO, President. 56

ABAT Excitedly Preparing for 2019 Texas

Caliber Collects Over $900,000 in Donations. . 42

Arizonan Who Embezzled $400K from Body Shop Sentenced . . . . . . . . . . . . . . . . . 22 ASA-AZ’s 2019 Training & Expo Features New Venue and New Look. . . . . . . . . . . . . . . 8 ASE to Host Instructor Training Conference in Texas . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Drop in Louisiana Insurance Rates Doesn’t Eliminate Need for Legislative Reform. . . . . 10 Houston Company’s Vehicle Storage License Revoked for Flipping Scheme . . . . . . . . . . . 18 Kenner Collision Body Shop Opening in Prairieville, LA . . . . . . . . . . . . . . . . . . . . . . . . 6 MCSO and DA Raid New Caney, Texas, Repair Shop . . . . . . . . . . . . . . . . . . . . . . . . . 3 SCC’s New Dean Receives National Award . . . 18 Southwest Association Event Announcements: September 2019. . . . . . . . . . . . . . . . . . . . . . 8

CIC: Regulators Show New Interest in ‘Most-Favored-Nation’ Clauses . . . . . . . . . . . 1 Ford Warns Elon Musk That Tesla is Competing With the ‘Ultimate Disruptor’ . . . 56 Ford, Volkswagen in Partnership Towards Autonomous and Electric Vehicles . . . . . . . . 44 Garmat Builds Upon CARSTAR Partnership . . . 44 Heidi King Steps Down as Head of the NHTSA . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44 Hyundai and Kia Airbag Lawsuit Says Airbag Control Units Fail. . . . . . . . . . . . . . . . . . . . . 54 Industry Snapshot Survey Updated . . . . . . . . . 15 Marketing for Shops: Does Yelp Bully Body Shops?. . . . . . . . . . . . . . . . . . . . . . . . . 1 NABC Names Kristle Bollans From Hertz as New Board Member . . . . . . . . . . . . . . . . 46 Nationwide Defeats Sex, Age Discrimination Suit on Appeal. . . . . . . . . . . . . . . . . . . . . . . . 4 Solving the Tech Shortage: Focusing on Kina’ole:

COLUMNISTS Ledoux - 50 Years - A Retrospective . . . . . . . . 48 Ledoux - Hey Buddy … Got a Millisecond? . . . 32 Phillips - How to Leverage the Certified Repair Model . . . . . . . . . . . . . . . . . . . . . . . 51

Doing the Right Thing for the Right Reason . . 1 Solving the Tech Shortage: In-Prison Automotive Programs Provide Education & Training for Potential Hires. . . . . . . . . . . . . . . . . . . . . . . 36 Teslas, Other EVs Get Barred From Drag Racing Event in Texas . . . . . . . . . . . . . 26

NATIONAL AAPEXedu to Address Aftermarket Trends . . . . 39 Anderson - Check OEM Procedures Before Disconnecting, Reconnecting Batteries . . . . 40 ASE Instructors Conference Opens With Record Attendance . . . . . . . . . . . . . . . . . . . . 6

Too Many Openings & Too Few Techs— A Crisis With No End in Sight . . . . . . . . . . . . 28 VeriFacts Automotive LLC Renews Commitment to CIECA Standards . . . . . . . . 46 Weidmann Named CIECA’s Executive Director . . 4 Why Is Ethics Important for Self-Driving Cars? . . 4

INDEX OF ADVERTISERS

Auto Body Trade Show . . . . . . . . . . . . . . . . 20

Just after 9 a.m., the Montgomery County Sheriff’s Office (MCSO) and the Montgomery County District Attorney’s Office executed a search warrant on Eagle Customs and Eagle Tire and Lube on FM 1485 in New Caney, Texas. In January 2018, the Montgomery County Sheriff’s Office began an investigation on the owner Richard Sisney Jr. Several reports were flowing in that Sisney, who specializes in custom cars, was taking people’s money and not performing the work and, or charg-

ing for work that was never done. Sisney was taken into custody and is being booked into the Montgomery County Jail on theft charges. His bond was set at $150,000. Detectives removed files, invoices, purchase orders and other documents from the business. Richard Sisney Sr. was arrested and sent to the Texas Department of Criminal Justice (TDCJ) several years back after he was convicted of doing the same thing at another location in New Caney. He has since been released from prison. We thank the Montgomery County Police Reporter for reprint permission.

Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Contributing Writers: John Yoswick, Janet Chaney, Toby Chess, Ed Attanasio, Chasidy Sisk, David Luehr, Stacey Phillips, Victoria Antonelli, Gary Ledoux Advertising Sales: Joe Momber, Bill Doyle, Norman Morano, Kelly Hall (800) 699-8251 Office Manager: Louise Tedesco Digital Marketing Manager: Bill Pierce Art Director: Rodolfo Garcia Graphic Designer: Vicki Sitarz Online and Web Content Editor: Alexis Wilson Accounting Manager: Heather Priddy Editorial/Sales Assistant: Randi Scholtes Office Assistant: Dianne Pray

Serving Texas, Oklahoma, Louisiana, New Mexico, Arkansas, Colorado, Arizona, Utah and adjacent metro areas. Autobody News is a monthly publication for the autobody industry. Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher. ©2019 Adamantine Media LLC.

Accuvision-3D. . . . . . . . . . . . . . . . . . . . . 20

GYS Welding USA . . . . . . . . . . . . . . . . . . 12

AkzoNobel Coatings, Inc. . . . . . . . . . . . . . . 9

Honda-Acura Wholesale Parts

Autobody News Box 1516, Carlsbad, CA 92018 (800) 699-8251 (760) 603-3229 Fax www.autobodynews.com editor@autobodynews.com

Alloy Wheel Repair Specialists, LLC . . . . . 14

Dealers . . . . . . . . . . . . . . . . . . . . . 30-31

Audi South Austin . . . . . . . . . . . . . . . . . . 38

Hyundai Wholesale Parts Dealers. . . . . . . 52

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

Kia Motors Wholesale Parts Dealers. . . . . 53

AutoNation Chrysler-Jeep-Dodge-Ram

Launch Tech USA. . . . . . . . . . . . . . . . . . . 59

of North Phoenix . . . . . . . . . . . . . . . . . 25

Malco . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

AutoNation Collision Parts . . . . . . . . . . . . 11

Matrix Electronic Measuring . . . . . . . . . . 35

Axalta Coating Systems . . . . . . . . . . . . 5, 15

Mercedes-Benz of Littleton . . . . . . . . . . . 29

Big Mike Naughton Ford . . . . . . . . . . . . . 29

Mercedes-Benz Wholesale Parts Dealers . 56

Blowtherm USA . . . . . . . . . . . . . . . . . . . . 47

Mitsubishi Wholesale Parts Dealers . . . . . 48

BMW Wholesale Parts Dealers . . . . . . . . . 54

MOPAR Wholesale Parts Dealers . . . . . . . 33

Bob Howard PDC. . . . . . . . . . . . . . . . . . . 49

North Freeway Hyundai . . . . . . . . . . . . . . 28

Certified Automotive Parts Association . . . . 8

Part of the Club . . . . . . . . . . . . . . . . . . . . 29

Chevyland . . . . . . . . . . . . . . . . . . . . . . . . 32

Peak Kia . . . . . . . . . . . . . . . . . . . . . . . . . 29

Christopher’s Dodge World . . . . . . . . . . . 29

Ray Huffines Chevrolet . . . . . . . . . . . . . . 42

Classic BMW . . . . . . . . . . . . . . . . . . . . . . 46

SATA Dan-Am Company . . . . . . . . . . . . . 23

Classifieds. . . . . . . . . . . . . . . . . . . . . . . . 58

Schmelz Countryside. . . . . . . . . . . . . . . . 29

Covert-Chrysler-Dodge-Jeep-Ram. . . . . . 22

Scoggin-Dickey Parts Center . . . . . . . 16-17

Dallas Dodge. . . . . . . . . . . . . . . . . . . . . . 60

SEMA Trade Show . . . . . . . . . . . . . . . . . . 21

Dent Fix Equipment . . . . . . . . . . . . . . . . . 41

Sherwin-Williams Automotive Finishes . . 13

Diamond Standard Parts . . . . . . . . . . . . . 45

Sorbothane Soft-Blow Mallet . . . . . . . . . . 24

Dominion Sure Seal. . . . . . . . . . . . . . . . . 27

South Pointe Chrysler-Jeep-Dodge . . . . . 10

Eckler’s Automotive . . . . . . . . . . . . . . . . . 43

Spanesi Americas . . . . . . . . . . . . . . . . . . 18

ECS Automotive Concepts . . . . . . . . . . . . 26

Stevinson Toyota West . . . . . . . . . . . . . . . 29

Emich Chevrolet . . . . . . . . . . . . . . . . . . . 29

Subaru of Little Rock . . . . . . . . . . . . . . . . 39

Emich Volkswagen . . . . . . . . . . . . . . . . . 29

Subaru Wholesale Parts Dealers . . . . . . . 50

Equalizer Industries, Inc. . . . . . . . . . . . . . 37

Toyota of Laredo . . . . . . . . . . . . . . . . . . . 36

Finnegan Chrysler-Jeep-Dodge . . . . . . . . . 2

Toyota Wholesale Parts Dealers . . . . . . . . 44

Fisher Acura . . . . . . . . . . . . . . . . . . . . . . 29

Volkswagen Wholesale Parts Dealers. . . . 56

Fisher Honda . . . . . . . . . . . . . . . . . . . . . . 29

Watson Chevrolet . . . . . . . . . . . . . . . . . . 34

Flatirons Subaru . . . . . . . . . . . . . . . . . 7, 29

WD-40 Company. . . . . . . . . . . . . . . . . . . 19

Ford Wholesale Parts Dealers . . . . . . . . . 51

Young Chevrolet . . . . . . . . . . . . . . . . . . . 40

GM Wholesale Parts Dealers . . . . . . . . . . 57 autobodynews.com / SEPTEMBER 2019 AUTOBODY NEWS

Why Is Ethics Important for Self-Driving Cars? by Sean M. Cleary

Around 40,000 people in the U.S. die every year in vehicle accidents and more than a million globally; so, car manufacturers aim to put an end or at least decrease the number of traffic accidents in the near future. It is a daring goal, but so is the intent of creating self-driving cars. Oftentimes, technology and innovation eclipse state and federal legislation, meaning, for now, the automated road ahead remains hazy as lawmakers, courts and initiatives still try to address issues around liability and ethics posed by self-driving cars. The concept of self-driving vehicles is still in its research stage but computerized driving technology is slowly making its way into vehicles we use nowadays. Our cars are already equipped with automated components which can change gears, detect pedestrians, as well as to help us perform difficult maneuvers and force us to wear the seat belt. In the next few years, vehicles able to steer, brake and accelerate on their own are expected to be seen on roads. This technology is thought to help avoid traffic fatalities caused by fatigued or careless drivers. Ethical Concerns: the World of SelfDriving Cars Might Cost Lives In a future where most of the vehicles on the road are fully self-driving, the correct and ethical way of programming such automobiles raises huge problems since this encoded core of the cars is the one that controls the actions of these smart vehicles. But such tough decisions cannot be made only by engineers and IT specialists working for car manufacturers. They have to be shared with the society as this new technology will have a great impact on people’s lives and comes at the cost of the lives on the roadways. It is true that, so far, the number of accidents involving self-driving cars is low. However, this is the result of automated vehicles that simply stop when facing an uncertain situation. As technology continues to take over the automotive industry, self-driving systems may encounter 4

more complex scenarios to instantly react to, and this matter raises important ethical issues.

No-Win Scenarios Undoubtedly, the topic of self-driving vehicles can be a great source of excitement. More than 30,000 deaths are estimated to be avoided every year in the U.S. alone, not to mention the huge importance of these cars in the lives of people with reduced mobility and physical disabilities. However, a constraining issue arises when autonomous vehicles are confronted with where a collision is imminent and not avoidable—even if it complies with the programmed robotic rules or algorithms. Imagine yourself in a self-driving car on a sunny day when you see people waiting patiently at a bus station. At the same time, another vehicle, driven by a human, is heading towards you at great speed. The autonomous vehicle has two available options: avoid the car but hit the people waiting on the side of the road or crash into the car and probably kill both yourself, and the other driver. Such a scenario sets forth the issue of whether an autonomous vehicle chooses to kill the operator of the vehicle or the third party. Who should decide how the robotic car should react or be programmed – the autonomous vehicle manufacturer or the operator? And if the system makes the decision, what criteria should the system use to determine which individual lives and which individual dies? Is it ethical to injure the passengers of the self-driving vehicle in order to save the other people’s lives? This is the kind of decisions that automated cars will have to face on a daily basis and researchers, engineers, philosophers and society as a whole must work together in order to find the most ethically correct way to program these revolutionary vehicles. The legal and ethical implications of the decision are most difficult and must be considered by those who design and control algorithms for safe autonomous vehicles. It is impossible with current technology

SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

to have an autonomous vehicle on the road that gets you from point A to point B without considering such a scenario. About the author: Sean M. Cleary is a personal injury attorney, founder, and president of the Miami, Florida-based The Law Offices of Sean M. Cleary. The firm has been listed as an accredited business with the Better Business Bureau. Sean M. Cleary has a thorough knowledge of car accident law and has been able to help people that were hurt in car accidents under all sorts of circumstances gain compensation. He also has high expertise in areas such as medical malpractice, product liability, boating and aviation accidents and all types of personal injuries from paraplegia and quadriplegia to fractures and amputations. Guided by a philosophy of compassion and genuine care for the victims of personal injuries, Mr. Cleary also offers moral support for the individuals and families affected by the negligence of others.

Weidmann Named CIECA’s Executive Director

CIECA is pleased to announce the appointment of Ed Weidmann as CIECA’s interim executive director, effective Aug. 1, 2019. Weidmann has worked in the insurance and collision repair industry for more than 42 years. Weidmann is not new to CIECA. He joined the organization more than ten years ago as a trustee. Since then, he has held the positions of treasurer, vice-chair, and chairman of the board in 2008 and 2014. “I always tell people that CIECA standards streamline the transmission of data among companies, eliminating duplicate programming and minimizing the need for translators when a company works with multiple companies providing similar services,” said Weidmann. As the interim executive director, Weidmann said his goal is to help CIECA expand its product offerings, increase the industry’s understanding of its purpose and streamline CIECA’s internal workflows to more efficiently serve its members. For more information about CIECA, visit www.cieca.com.

Nationwide Defeats Sex, Age Discrimination Suit on Appeal Nationwide Mutual Insurance Co. defeated claims that it discriminated against employee Nancy Heisler on the basis of her sex and age by rejecting her from sev-

In this photo illustration, the Nationwide Mutual Insurance Company logo seen displayed on a smartphone. Credit: Igor Golovniov/SOPA Images/LightRocket via Getty Images

eral job opportunities at the company, an appeals court affirmed.

Heisler only raised “sparse” evidence indicating that Nationwide rejected her from three positions she sought for discriminatory reasons, the U.S. Court of Appeals for the Eighth Circuit said. Heisler may have been more qualified than candidates hired for those positions, but she failed to provide sufficient documentation for a court to reach that conclusion, the court said. Evidence of “awkward interviews and some unsavvy conduct”... Reproduced with permission from Bloomberg Law, Jul. 30, 2019. Copyright 2019 by The Bureau of National Affairs, Inc., 800372-1033, http://www.bna.com We thank Bloomberg Law for reprint permission.

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autobodynews.com / SEPTEMBER 2019 AUTOBODY NEWS

Kenner Collision Body Shop Opening in Prairieville, LA by Holly Duchmann, Baton Rouge Business Report

Drawn by the growing development in the Baton Rouge suburbs, Ricky Williamson is expanding his Kenner-based auto collision business into the Capital Region with a new location on Airline Highway in Prairieville, LA.

area vocational schools to recruit students. “It’s an issue that we have throughout this country,” Williamson says, adding the field’s evolution toward more tech-based work has also thrown a wrench into the industry. “The autobody tech field is sort of a dying breed. There’s no

“The autobody tech field is sort of a dying breed. There’s no young blood coming in and taking up where we left off. — Ricky Williamson

The 20,000-square-foot Rivertown Collision Center in Prairieville is larger than his Kenner shop, which Williamson has operated more than 40 years and is expected to open at the end of the month. Renovating the space, which was previously Maaco Collision Repair & Auto Painting, cost roughly $350,000. Williamson is currently hiring for the new location but says it’s been a real challenge to find qualified staff. He’s planning to visit

young blood coming in and taking up where we left off. And these are not the cars of ten to 15 years ago. They are really rolling computers.” Williamson intends to continue expanding his business in south Louisiana, noting he would like to open his next shop in the Hammond-Covington area of the Northshore. We thank the Baton Rouge Business Report for reprint permission.

SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

ASE Instructors Conference Opens With Record Attendance The largest training conference in the country, the National Institute for Automotive Service Excellence (ASE) Instructor Training Conference, is off to a great start at the Embassy Suites in Frisco, Texas. Over 365 high school and postsecondary instructors from around the country are attending the conference, which is hosted by the ASE Education Foundation. The training conference began with a highly informative presentation from keynote speaker Michael Brustein, partner at Brustein & Manasevit PLLC. Brustein discussed how schools can access federal funds to support automotive programs as well as additional activities that may be supported with these funds. “With the federal government investing over $1.2 billion annually in career and technical education, there is financial support available for students pursuing careers in automotive, heavy-duty and collision repair fields,” said Mike Coley, president, ASE Education Foundation. “High schools, technical schools and community colleges can access these funds and Brustein gave a great presen-

tation that will really help schools take advantage of the opportunities available.” The conference features 60 sessions conducted by professional trainers from prominent automotive and transportation companies, including General Motors (GM), Toyota and Federal Express, and is highlighting the business/industry/education partnerships that are forming to help support the next generation of professional service technicians. “More and more automotive training programs are integrating internships and other work-based learning opportunities into their offerings,” said Coley. “But engaging young people in meaningful work in a busy environment like an automotive service facility has special challenges. Participants at the conference are discussing how schools partner with community leaders and employers to overcome these obstacles and how students and companies benefit.”

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autobodynews.com / SEPTEMBER 2019 AUTOBODY NEWS

ASA-AZ’s 2019 Training & Expo Features New Venue and New Look by Chasidy Rae Sisk

On June 21-23, ASA-AZ hosted its annual Automotive Training & Expo at the Wild Horse Pass Hotel and Casino in Chandler, AZ. According to ASAAZ Executive Director Diana DeLeon, “Our 2019 ASA Arizona Training & Expo was a huge success. Our new venue and new look was welcomed by all attendees and sponsors. This was our highest attended conference in the past five years which we credit to the top quality training classes and trainers that we were able to offer.” DeLeon added, “Making a change in the venue, trainers, and overall look and feel of the event was a bit scary, but we knew it was time. We were also happy to offer a great family weekend with private cabanas to enjoy. These cabanas were generously sponsored by three companies giving our attendees food and drinks while they enjoyed the pool.” The cabanas were sponsored by Golucci Insurance Group, SRC Oil and Gas and Merle’s Automotive Supply. The weekend began on the evening of Friday, June 21 with a welcome reception and expo where sponsors had an opportunity to showcase

their latest products and services. Another expo reception was held on the evening of Saturday, June 22 with dinner, drinks and entertainment.

Attendees enjoyed networking between educational seminars. Credit: ASA-AZ

Saturday’s agenda featured a plethora of training seminars from renowned industry speakers. Management courses included a full-day business management course taught by Bob Greenwood from the Automotive Aftermarket E-Learning Center, and AMI-certified “Advisor Mistakes & How to Avoid Them” taught by Rick White of 180BIZ and sponsored by WorldPac. ATI sponsored “Service Advisor - Super charge your front counter skills by becoming a Customer Relationship Manager” which was taught

Southwest Association Event Announcements: September 2019 by Chasidy Rae Sisk

ASA North Texas Hosts Rick White of 180BIZ for KPI Seminar On Sept. 21, ASA North Texas will host Rick White of 180BIZ for “Succeed and Conquer with KPIs” at the Holiday Inn Express in

Hurst, Texas. White will teach attendees to understand KPIs and how to use them, calculate their own KPIs and compare them to industry benchmarks, and identify how to change these numbers to in-

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crease shop profits. ASA members pay $150 to attend, while non-members pay $200. Registration includes up to four people from the same shop. For more information, visit asantx.com. ASA-CO’s Annual Golf Tournament to Support Scholarship Fund On Sept. 7, ASA-CO will host its Second Annual Golf “Fore” ASA tournament at Walnut Creek Golf Preserve in Bloomfield, CO. The day of golf, contests, prizes and networking opportunities serves to support the association’s initiatives and raise money for its Automotive Student Scholarship Fund. Registration costs $150 per golfer. For more information, visit asacolorado .org.

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SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

by Jim Silverman, and Danny Sanchez of Autoshop Solutions presented “Building a Winning Culture.” ATI also sponsored two educational seminars presented by Matt Winslow: “How to Control the Money in Your Business” and “Transitions - Preparing for the Next Generation.” ASA-AZ’s 2019 Training & Expo also featured six technical training sessions taught by Bosch’s Sergio Fernandez, Marlon Kunz of AutoNation, Calvin Higgins from O’Reilly Auto Parts and AutoNation’s Ken Willard. Marketing seminars were also available. Sanchez presented “Going Toe-to-Toe With Google & Yelp,” White discussed “Marketing on a Shoestring Budget,” and Kukui’s Jimmy Lea shared information about improving communication and trust during “You Can’t Measure What You Don’t Measure.” The 2019 Training and Expo concluded on Sunday, June 23 with an Owner’s Round Table Discussion which provided owners and managers with a chance to discuss frequently asked questions, concerns and business details. DeLeon stated, “Our annual Train-

ing & Expo is offered so that Arizona and surrounding states can come together for the latest industry training along with networking with one another and industry sponsors and vendors. Working together to understand the ever-changing aspects of the automotive industry and to keep a presence in the legislative decision-making process are two major pluses for being a part of ASA. Supporting one another and working to better automotive repair, in general, is how we continue to grow and make a difference.” “Based on this year’s feedback, we will continue to add new interests, activities and fun to the event as we plan for next year,” she added. “We would like to thank all our sponsors and vendors for your continued support - you do truly make a difference in our efforts to offer more to our members and their customers and communities!” Event sponsors included Bolt On Technology, Federated Insurance, Merle’s Automotive Supply, NAPA, Parts Authority and many others. Information about ASA-AZ can be found at asaaz.org, and for updates on the annual Automotive Training & Expo, visit trainingexpoaz.com.

autobodynews.com / SEPTEMBER 2019 AUTOBODY NEWS

Drop in Louisiana Insurance Rates Doesn’t Eliminate Need for Legislative Reform by Carrie Bradon, Louisiana Record

Auto insurance rates are dropping across Louisiana, a recent announcement from the insurance commissioner states, but the decreases are unrelated to the need for reform. According to a press release from the Louisiana Department of Insurance, the Louisiana Farm Bureau is requesting a 4.4 percent rate decrease on 220,000 auto policies. This comes on the heels of reductions from State Farm and Progressive, resulting in lower rates for Louisianans. “This reduction, along with those previously taken by State Farm and Progressive, further confirms that automobile insurance competition in Louisiana is moving premiums in the right direction,” Insurance Commissioner Jim Donelon said in the press release. The Louisiana Association of Business and Industry (LABI) has long been advocating for auto insurance reform. While pleased at the news of reductions for residents, LABI believes that failing to see the larger issue would be a grave mistake. “Any rate reduction for our families

and business owners is welcome news, no matter how small,” said Lauren Chauvin, director of civil justice at LABI told Louisiana Record. “But we must remember that despite this reduction, Louisiana still ranks number two in the nation for our high cost of auto insurance.” According to an article in The Advocate, Donelon approved a 2.2% rate decrease for private passenger auto policies through Progressive Security Insurance, which is the second-largest insurer in the state. The lower rates will be effective in September, when policyholders renew their policies. Donelon also approved three rate drops for private passenger vehicle coverage through State Farm, which is the largest insurer in the state. “Let’s not let this good news eclipse that fact, nor the need to truly address comprehensive legal reform and fix the system that’s driving up our rates,” Chauvin said. “We all pay the price for Louisiana’s broken legal system and something’s got to give.” We thank Louisiana Record for reprint permission.

SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

ASE to Host Instructor Training Conference in Texas The annual National Institute for Automotive Service Excellence (ASE) Instructor Training Conference will be held July 22-25 at the Embassy Suites in Frisco, Texas. Over 350 high school and post-secondary instructors from around the country will be attending the ASE Instructor Training Conference hosted by the ASE Education Foundation. These instructors are teaching the next generation of professional service technicians who will service the vehicles of today and tomorrow, as well as other future transportation service needs. With the federal government investing over $1.2 billion annually in career and technical education, the conference will focus on the educational opportunities available for students at technical schools, as well as two and four-year universities and also the benefits of choosing a career as a professional service technician. The conference will feature 60 sessions conducted by professional trainers from prominent automotive

and transportation companies, including General Motors (GM), Toyota and Federal Express and will highlight the business/industry/education partnerships that are forming to help support the next generation of professional service technicians. “The ASE Instructor Training Conference is a valuable forum for instructors nationwide to interact, share best practices and learn about the latest advancements in service and repair,” said Mike Coley, president, ASE Education Foundation. “The conference is also a wonderful opportunity for educators to hear from industry partners who are helping schools with their automotive educational programs, as well as learn about scholarships and financial assistance available to students seeking a career in the automotive, heavy-duty and collision repair fields.

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right way, at the right time, in the place, to the right person, for the Focusing on Kina’ole right right reason, with the right feeling … the first time.” Chess said Taylor was a compasdoing and so will the students,” said sionate businessman who was comMcCauley. She encouraged CIC attendees mitted to changing the collision repair and the industry to get involved industry for the better and helping with students as much as possible— people learn. When Taylor passed away 12 whether that’s speaking to them about the collision repair trade or years ago, the March Taylor Memorial offering tours—and show them the Fund was established in his name to benefit collision repair technicians. possibilities available. “Right now, everyone in the in- Today, Chess said the donations redustry recognizes the need to draw ceived by the industry are used to promore students into the collision repair vide the next generation of technicians field,” said Chess. “We need more a “step upward” through tool scholaryoung men and women. The question ships and mentoring opportunities. With a reputation for being a is: ‘How do you attract them?’” Through his work in the colli- hard worker, Taylor would often start sion repair industry and with the his day early and work after-hours March Taylor Memorial Fund, Chess and weekends. Rather than doing it has found a way to support the in- for recognition, Chess said he did it dustry and reach students who will because it was the “right thing to do.” “March only gave,” said Chess. potentially fill the jobs of the future. “The biggest problem is when “He never took a thing from the inyou are getting an entry-level tech- dustry.” “The March Taylor Memorial nician coming into your shop and Fund was started by those of us who they don’t have tools,” said Chess. To help address this challenge, knew and loved March and believed in Chess has reached out to tool and his passion for the collision industry equipment companies across the and the technicians who made it all country as well as body shops request- possible,” said Barry Dorn, owner of ing monetary and in-kind donations. Dorn’s Body and Paint in Mechanicsville, VA. “March was always about The donations are then used to purhelping new technicians get into the industry.” Dorn is a member of the March Taylor Memorial Fund committee along with Jeff Hendler, CIC administrator; Jordan Hendler, president of Admin Concepts; Dale Matsumoto, president of Auto Body Hawaii; and Chess. Earlier this year in April, at the Collision Industry Conference They have found that a in Nashville, TN, Toby Chess (left) and Jeff Hendler (right) wide cross-section of the presented six students with toolboxes as part of the March collision repair industry has Taylor Memorial Fund shown its support by making chase tools and toolboxes for collision donations that will help provide oprepair students and teachers. In addi- portunities for students, technicians tion to the two McCauley received, six and teachers, like McCauley, while individuals were awarded toolboxes at honoring March Taylor’s memory. “I strive to teach every young the June CIC in Nashville, TN, on behalf of the March Taylor Memorial individual who steps into my classroom the same skills and trades I Fund. Many in the industry are famil- have myself, always maintaining a iar with the name March Taylor, strong level of compassion, integrity who lived and worked in the colli- and perseverance,” McCauley wrote sion repair industry. He was known in her application when applying for for living his life according to the a grant. “My integrity gives me the Hawaiian word “Kina’ole,” which determination to take on the tougher means “Doing the right thing in the assignment and handle them honContinued from Cover

SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

estly while perseverance—most important of all—is needed in the public education system to encourage myself and those around me to not only do the best quality work, but also to do it when we’re under strenuous conditions.” “She’s a champion for her students,” said Jeff Hendler during the CIC presentation. He said helping technicians further their careers through scholarships and tools speaks to the heart of the March Taylor Memorial Fund. “March would be smiling as he always kept his focus on assisting those in the workshop repairing cars,” he said. In addition to the toolboxes, the March Taylor Memorial Fund also offers collision repair technician grants that include I-CAR coupons, partial or full payment for industry training or the ability to attend industry events. An application is available online and can be submitted throughout the year. Dorn said scholarships have been awarded at the Collision Industry Conference (CIC) and at the Society of Collision Repair Specialists (SCRS) Red Carpet

Awards breakfast at the SEMA show in Las Vegas. To apply for a grant, Chess said individuals must have worked in collision repair for at least two years, currently be employed in the industry and their employer must be part of a collision industry association, whether it’s local, state or national. Chess recalls a recent high school graduate who had aspirations to attend a vocational-technical school, on the recommendation of a teacher, but he had some financial hardships and took out a loan to follow his career path. He also applied for assistance through the March Taylor Scholarship Fund and received $2,000 toward his education. “The Memorial Fund will always maintain March’s focus,” said Hendler. “The donations allow us to do that.” “We hope the entire industry gets involved,” said Chess. “We wanted to do something proactive to encourage these individuals to join the profession instead of just sitting back.” For more information about the March Taylor Memorial Fund and to donate, visit: https://www.marchtaylor memorial.org/.

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Lawsuit Against AirPro

asTech has finally learned through the courts that AirPro meets and exceeds its Ten-Minute Response pledge and that it is far from ‘mathematically impossible’. If asTech decides to continue on its failed path of senseless litigation, AirPro will certainly prevail as it proves AirPro delivers superior customer service using OEM software ‘local’ to the vehicle.” The litigation, filed April 15, accused AirPro of false or misleading badmouthing of asTech and followed and exchange of cease and desist letters between the two companies. On April 9, AirPro shared those letters with the industry and issued a challenge to asTech for “an independently monitored side-by-side comparison between our tools, methods and services.” In response, Repairify issued a statement on April 15 in which Repairify CEO Doug Kelly said “We are extremely proud of our product, which has undergone extensive testing and works as promised. Our team

is focused on promoting the differentiating characteristics of our product and the superior quality of our customer service. We believe the right way to build market share and customer loyalty is by highlighting the positive aspects of our product and business interactions, not by running around and bad-mouthing our competition.” Kelly continued, “Having said that, we fully intend to defend ourselves in the appropriate forum against malicious, false and unfair attacks by others. Unfortunately, we have been forced into a frustrating distraction from the focus on our product and customers resulting in the filing of the attached lawsuit.” On April 28, Repairify requested an injunction against AirPro, asking the court to force AirPro to remove various statements from its website; AirPro opposed the injunction and in a May 15 statement said “This case is all about our Truth Campaign posted on our website, which we firmly stand by. We welcome this opportunity to finally flush out the truth to educate repairers, OEM’s and the industry at large regarding the honest differences

SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

between our technology and services versus that of asTech.” Repairify’s lawsuit stated that AirPro’s attacks against the asTech product had no foundation: “The AirPro website includes misleading statements suggesting that AirPro does have insider knowledge of the current asTech device, and thus is qualified to compare the asTech device with AirPro.” Because the allegedly misleading comments are found on AirPro’s website, they are available for the whole world, including Texas to see. Judge Werlein’s ruling shows how the court evaluates jurisdiction in cases against companies with broad online presences. Although Judge Werlein stated that asTech would be free to sue in Texas if they had produced evidence that AirPro had directly emailed Texas customers with the allegedly defamatory comments, according to the final judgement, “Defendant’s uncontroverted evidence is that, although it distributed the materials about which Plaintiff complains (and which Defendant maintains are truthful), ‘none of the individuals or entities that received

the information were located in the state of Texas or ‘based in the state of Texas.’” asTech’s argument that AirPro had emailed Asbury Automotive Group, a national chain doing business in Texas and an asTech customer, Judge Werlein said it did not create Texas jurisdiction since the email was sent to a regional manager in Atlanta. In the lawsuit, asTech pointed out that AirPro Sales and Marketing Vice President Frank LaViola has a home in Houston, but Judge Werlein wrote, “Plaintiff infers that based on his title, LaViola must be responsible for the allegedly defamatory statements in Defendant’s advertising campaign (which Defendant calls the ‘Truth Campaign’), but Defendant produces uncontroverted evidence that LaViola was hired in January 2019 and ‘was not involved in the planning, development or initial execution of the Truth Campaign,’ was not ‘involved in any aspect of creating the Truth Campaign,’ does not control the content of Defendant’s website, and ‘did not direct, order or authorize any of the posts complained of in asTech’s complaint. Given this un-

controverted proof regarding the facts that underlie the Plaintiff’s claims, LaViola’s mere presence in Texas does not support Plaintiff’s assertion of specific personal jurisdiction.” Judge Werlein also rejected consideration based on the fact that two percent of AirPro’s customer base is located in Texas, resulting in an attempt to hire staff in that location. He stated, “allegation or evidence that these minimum contacts have any relation to the allegedly false statements that form the basis of Plaintiff’s claims.” Insisting that AirPro’s comments must be demonstrated to specifically target Texans or reference Texas,

Judge Werlein wrote, “In the absence of any statements by Defendant about or expressly directed at Texas, the mere fact that Plaintiff is a citizen of Texas is insufficient to establish specific jurisdiction under both parties compete nationwide ‘effects test,’ particularly where and not only–or even primarily–in Texas,” Werlein wrote. Though asTech’s argument for jurisdiction was supported by the claim that Texans could directly interact with AirPro through ORION and the site’s “Contact Us” feature, the judge stated, “Plaintiff argues that these features make Defendant’s website active, or at least interactive, under the Zippo test used by the Fifth Circuit. [However,

Industry Snapshot Survey Updated The Collision Repair Education Foundation (CREF) and I-CAR have collaborated to provide an updated executive summary of the Snapshot of the Collision Repair Industry survey, which is now available for download. The survey provides data on both the business environment and the technician workforce. “The research clearly shows the

collision repair industry’s need to build its workforce development efforts,” said Jeanne Silver, from CARSTAR Mundelein who serves as chair of the CREF Board of Trustees. “The Snapshot Survey of the Collision Industry results provides a detailed view of the challenges facing the collision industry’s workforce and clearly identifies op-

asTech hadn’t claimed] there is anything false, misleading or otherwise improper about the interactive portions of Defendant’s website.” Regarding asTech’s disputes with AirPro’s “Truth Campaign” page, Werlein wrote, “Defendant produces uncontroverted evidence—and indeed Plaintiff does not argue to the contrary—that the portions of the website containing the statements that Plaintiff identifies as false and misleading are not interactive and do not allow for the exchange of information.” In regards to asTech’s petition for limited jurisdictional discovery, Judge Werlein rejected the request, writing “Plaintiff does not state what

portunities available to people in the industry.” The updated Snapshot of the Collision Repair Industry survey is available for download from the CREF’s web site or via I-CAR’s web site. Industry members with questions about the survey should contact Director of Development, Brandon Eckenrode at (312) 2310258.

additional evidence it reasonably expects to find if discovery were allowed. The parties, which know each other well and have engaged in previous litigation against each other, have filed full briefs including their verified evidence related to Defendant’s contacts with Texas alleged in Plaintiff’s complaint. As observed, the evidence submitted fails to establish that Defendant is subject to personal jurisdiction in Texas. Without stating what other facts pertinent to jurisdiction are expected to be discovered and a plausible basis for that expectation, Plaintiff fails to carry its burden to show that additional jurisdictional discovery is warranted.”

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SCC’s New Dean Receives National Award

Southeast Community College’s Jon Kisby recently attended the North American Council of Automotive Teachers Conference in Calgary, Alberta. He was recognized as Mitchell 1’s Educator of the Year 2019. “Being chosen for this award has been a great honor,” said Kisby. “I really appreciate the way Mitchell 1 supports technical education, and the one-year subscription for SCC to use their products will be valuable to our students and instructors. I look forward to putting the same effort into my new position as Dean of Agriculture, Welding and Transportation as I did in my teaching career.” Kisby recently moved into his Dean position after several years as an instructor in SCC’s General Motors Automotive Service Educational Program. The five-day conference had numerous breakout sessions and activities about auto education, motivating students and what’s in store for the future. For more information, log on to the website at http://www.nacatconference.org/.

Houston Company’s Vehicle Storage License Revoked for Flipping Scheme At their July 15 public meeting, the Texas Commission of Licensing and Regulation voted to revoke a Houston company’s vehicle storage facility (VSF) license because of its dishonest and fraudulent conduct. Commissioners also assessed a $5,000 administrative penalty—the maximum allowed by law—reflect-

ing an upward enhancement from the standard penalty due to the nature of the violation. The Commission’s action came after an administrative law judge at the State Office of Administrative Hearings found that Subhi H. Abuhamra, who held a VSF license

SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

for South West Carzone Auto Storage, had engaged in a “flipping” scheme. “Flipping” is deceptive and illegal conduct by towing companies and vehicle storage facilities aiming to convince vehicle owners to waive their rights and have their vehicles taken to, or transferred to, unregulated body shops after automobile accidents. Texas law generally requires that vehicles must be taken to, and remain at, licensed vehicle storage facilities where fees and costs are regulated. In the incident involved in the TDLR case, a wrecked vehicle was taken to Abuhamra’s VSF after an accident. An employee at the VSF deceived the vehicle owner into signing documents that would transfer the vehicle— which was totaled—to Abuhamra’s unregulated body shop, where he collected more than $1,600 in fees, despite the fact that no work was done to the vehicle. Without a VSF license,Abuhamra is no longer allowed to operate South

West Carzone Auto Storage as a vehicle storage facility. Consumers who have been involved in an auto accident—especially those in Harris County and the surrounding area—are urged not to sign any documents relating to their vehicle until speaking to their insurance company. This includes documents that may be presented by a tow operator responsible for removing their vehicle from the accident scene. Anyone who has additional information on cases within the city of Houston limits, or who may be a victim of flipping, is urged to contact the HPD Auto Dealers Detail at 832-3944800 or 832-394-4969 (after-hours) or send an email to: hpd.autodealers @houstonpolice.org. Obtained via TDLR.

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John’s Automotive Care Is In It to Win It With WD-40 Brand Products ®

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To perform O.E. repairs on today’s sophisticated cars, the crew at John’s Automotive Care needs the finest products and tools for the job, and WD40® Brand fits neatly into those categories. Owner John Eppstein opened his first shop in 1998 and worked solo for three years.

move onto something else for ten minutes and it doesn’t create a big mess. Usually when they come back it drills right out and they can proceed with the repair without losing any time.” Eppstein’s passion for the job made him a great addition to WD-40 Brand’s “Live Life Hands On” campaign. The cam-

John Eppstein, owner of John’s Automotive Care, regularly uses WD-40 Specialist Rust Release Penetrant Spray on rusted nuts, bolts and more.

John Eppstein is an ASE Certified Master Technician and opened John’s Automotive Care in San Diego in 1998.

Today, this ASE Certified Master Technician, who is also an active member of Automotive Service Councils of California and an ambassador of WD-40 Company’s PRO Board, has two locations in San Diego and La Mesa, CA. Eppstein relies on a range of WD-40 Brand products, including WD-40 EZ-REACH™, WD-40® Specialist® Rust Release Penetrant Spray, WD-40 Specialist Industrial-Strength Cleaner & Degreaser and WD40 Specialist True Multi-Purpose Grease. Eppstein’s crew uses WD40 EZ-REACH for many applications – the most common involves loosening pesky nuts, broken bolts, squeaky door hinges and stuck locks. “When we do exhaust work or under-car repairs, we use WD-40 EZ-REACH to save time,” he said. “We can get the product into tight spots with the eight-inch flexible straw. Our guys can spray it and then

test asking trades people and DIYers to share how they rely on WD-40 Brand product performance to Live Lives Hands On for a chance to win $5,000. U.S. residents can enter at

WD40.com/Contest until Sept. 15, 2019. Learn how WD-40 Brand empowers professionals and DIYers to Live Life Hands On at WD40.com/LLHO.

paign honors those who rolls up their sleeves and get their hands dirty by sharing real-life stories of DIYers and professionals who rely on WD-40 Brand products to get their jobs done right at work, at home or at play. With an arsenal of WD-40 Brand products, Eppstein uses them to work on high-end brands like BMW, Audi, Mercedes-Benz and Porsche. As an ambassador of the PRO Board, Eppstein and his crew test and review WD-40 Brand products to provide unbiased feedback about how to use them daily. “Our feedback has been positive and constructive,” Eppstein said. “As a technician and a shop owner, we need products we can depend on and WD-40’s products help us to do a better job every day.” Eppstein is just one of many people who work with their hands every day. WD-40 Brand recently launched a conautobodynews.com / SEPTEMBER 2019 AUTOBODY NEWS

ABAT Excitedly Preparing for 2019 Texas Auto Body Trade Show by Chasidy Rae Sisk

On Sept. 20 and 21, the Auto Body Association of Texas (ABAT) will host its 2019 Texas Auto Body Trade Show at the Will Rogers Memorial Center in Fort Worth, Texas. According to ABAT President Burl Richards, “After making headway in defending consumer safety during the latest legislative session, ABAT is now gearing up for the 2019 Texas Auto Body Trade Show. The engagement from new and returning exhibitors has already been phenomenal. When I compare where ABAT was at the time of last year’s show to where we are now, it’s clear that our message is getting out there. I encourage everyone to come out and be a part of this history-making event.” ABAT Executive Director Jill Tuggle added, “This year’s event will be like no other event in ABAT history. We are working hard on our 2019 Texas Auto Body Trade Show to bring in speakers and exhibitors from all over the country to deliver the latest education, equipment and technology right here to our home states. Burl and I are diligently doing background work and chasing down ideas to see if something is worth bringing to our members. Earlier this year, ABAT partnered with Greco Publishing to create a stronger, more comprehensive show experiences for repairers, vendors and other industry professionals in the Lone Star State.” Tuggle continued, “In addition to increased exhibitor support, this year’s show will boast an extensive educational slate that expands on the success of past events and adds fresh perspectives on industry issues that matter to the survival and growth of every body shop in Texas. If you’ve never attended this show, this will be the year to devote two days to explore the best training, discussions, education and networking opportunities available in your industry. I can say in all confidence that the best is yet to come.” The educational portion of the event will kick off on Friday, Sept. 20 with a private association roundtable. At 1 p.m., attendees can choose from three educational sessions. Danny Gredinberg of the Database En20

Reichen and Mark Olson of VECO the trade show is free. The trade show floor will open Experts and Collins’ presentation on “Using Proper Materials and Getting on Friday, Sept. 20 from 1-8 p.m. Paid for It.” Sam Valenzuela of Na- and on Saturday, Sept. 21 from 8 tional Auto Body Research will also a.m. until 6 p.m. Many exhibitors inform attendees how to “Use Bill- from previous years will be returning ableGenie to Get Paid for More Pro- in 2019. Additional sponsorship opportunities are still available, starting cedures at Better Rates.” Sure to be a popular attraction, at $1,000. Excited to return to the Texas the last seminar of the 2019 Texas Auto Body Trade Show Auto Body Trade Show for a secwill be “Life After the Law- ond year, David Willett of Intrepid suit: An Hour With Todd Direct Insurance stated, “We had a Tracy.” Tracy will share good flow last year and we’re extakeaways from the $42 mil- pecting a greater flow this year. We lion Seebachan litigation, dis- hope to land even more business cuss shop liability and the while helping current insureds update importance of OEM guideline and gain more knowledge. I love the adherence, and more in a pres- fact that [ABAT is] trying to impact entation sure to “leave every- things for the good and not just reOn Sept. 20 and 21, the Auto Body Association of Texas one in attendance motivated plow already plowed ground. They’re (ABAT) will host its 2019 Texas Auto Body Trade Show and engaged,” ABAT’s web- not afraid to venture into new areas at the Will Rogers Memorial Center in Fort Worth, Texas. and make something happen for the site proclaims. Credit: ABAT Collision repair industry good of everyone.” Paid for Your Work: Receiving Proper professionals can register for the Tuggle pointed out, “Over the Compensation for Proper Repairs.” 2019 Texas Auto Body Trade Show years, we’ve gone through a lot of McDorman promised, “People educational seminars for $40 per different evolutions in the balance who attend my seminar can expect to session or pay $199 to receive full between the show and the educaSee Preparing for 2019, Page 22 understand how to manage and pre- access to all classes. Admission to pare claims so they’re properly paid. It’s my belief that the vehicle’s value is one of the most critical components in the valuing of the claim. If the value is improper, then it will affect the diminished value of that claim and the decision by the carrier to either deem the car a total loss or fix it. It’s important that shop owners know how important the vehicle’s value is üNO Calibration in the processing of their claim.” üNO Lasers At 3 p.m., three additional seminars will be available, all of which üNO Targets will be encored on Saturday, Sept. üNO Adaptors 21. Gredinberg and Ron Reichen of üNO Magnets Precision Body and Paint collaborate ü Place car on Bench, in “Blue Printing: Not Your GrandLift or Ground father’s Estimate,” Matthew Mcü Mitchell Data Donnell from Big Sky Collision Center will share information on ü Simply Point and Measure “Shop Procedure Implementation” and Richards will partner with VeriWATCH OUR ONLINE VIDEOS facts Automotive’s Chris Olilla for QUICK www.accuvision-3d.com “Collision Repair Coaching: Giving Technicians What They Need to Do the Right Thing.” The educational session on Friday, Sept. 20 will conACCURATE 21 Lawrence Paquette Drive clude with a Body Shop Panel at 6-7 New York, NY 12919 p.m. Toll Free: Seminars that will only be availEASY-TO-USE able on Saturday, Sept. 21 include an OEM Panel Discussion moderated by hancement Gateway (DEG) will present “Commonly Missed, Included and Not Included Estimating Items,” while 3M’s Shawn Collins will discuss “Corrosion Protection: Is Your Shop Prepared for the Post Repair Inspection Era.” Robert McDorman of Auto Claim Specialists will teach industry professionals “How to Get

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Arizonan Who Embezzled $400K from Body Shop Sentenced by Gabriel Salazar, KYMA News

A local Arizona woman, who is accused of embezzling more than $400,000 from Dick’s Auto Rebuilders body shop and nearly causing it to go out of business, was sentenced to one year in jail on a work furlough.

As stated in the plea agreement, Laura Matus was sentenced to one year in Yuma, AZ, County Jail on a work furlough with five months’ probation, meaning that she will work her normal hours at her current job when she is not spending time in jail. Judge Haws previously stated that he planned to sentence Matus to

serve 60 months of probation, and order that she pay $346,000 in restitution to Dicks Auto Rebuilders, located at 201 West 24th St. She had worked at the auto shop for 34 years as the office manager before being fired. The wife of the business owner, Linda Rautenberg, said she would be willing to choose the one-year jail time which is the maximum amount of time the defendant can serve. Matus pleaded guilty May 15 to one count of theft as part of a plea agreement with prosecutors. In doing so, she had to admit that from January 2015 through Dec. 17, 2018, she embezzled more than $100,000 from the company by writing checks to herself and making unauthorized cash withdrawals. According to court records from December 2017, Linda Rautenberg, who is the wife of Warren Rautenberg, the owner of Dicks Auto Rebuilders, became suspicious that Matus might be stealing from

SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

the company after she went to pick up her dry cleaning and was given items that belonged to her, such as comforters and home goods. In January 2018, Linda Rautenberg reported the embezzlement to the Yuma Police Department, explaining that her husband had given control over their business’ bookkeeping, payroll, tax preparation and tax deposits to Matus. She added that in all of those years, her husband never checked into the management of those accounts. She also informed the police that she had noticed that Matus had made several high-end purchases, including a Harley-Davidson motorcycle and other off-road vehicles. She had also made several visits to a casino. We thank KYMA News for reprint permission.

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Preparing for 2019

tional component. This started off years ago as an educational event and morphed into a trade show. Now, with our Trade Show growing with more exhibitors, we’ve made a lot of changes to our education program to keep the traffic on the exhibitor floor steady at all times.” ABAT is very excited and optimistic for this year’s event, proclaimed to be the “largest show of its kind in the Southwest.” Richards predicted, “This year’s show will be bigger than ever before, so there will be more people to network with. With technology changing so quickly, you need to get educated and know what’s going on in the industry. You’re going to walk away from this show with information that you can utilize the first day you go back to work.” To get more information about the 2019 Texas Auto Body Trade Show or to register as an attendee or exhibitor, visit abat.us/events/2019 tradeshow.

autobodynews.com / SEPTEMBER 2019 AUTOBODY NEWS

Continued from Cover

CIC: Regulators

tendency to ignore that,” Bolerjack said, launching into a fictional conversation to offer an example. “‘Well, gee, you gave them a better deal.’ ‘Well, yeah, because he’s agreed to give me 50 percent of his business in the three-county area, so yes, I gave him a 10 percent discount. Do you agree to that?’ The answer likely will be ‘We just like the lower price. That’s what we’re interested in.’” Darrell Amberson, a collision repairer who chairs the CIC committee, said that’s the case with some MFNs in the collision industry. They may require that a shop give a particular insurer all of the lowest rates or biggest discounts the shop offers any other insurer on parts or labor, even if the shop offers no more than any one of those price-breaks to any other single insurer.

Attorney Stephen Bolerjack said government regulations interest in most-favored nation clauses used by Amazon might offer collision repairers a window to address similar provisions in direct repair program contracts. Credit: John Yoswick

Amberson works for a regional multi-location collision repair business, and said even if just one of its locations belongs to an insurer’s DRP, all of its locations must give any discounts that one store offers to that DRP to other insurers who use an MFN. Does he view MFNs as an important industry issue? It might not be up there with issues like OEM repair procedures, Amberson said, but MFNs can have a significant impact on a collision repair business. In the past, he said, it might take a shop two or three months to get all insurers on board with a labor rate increase. “If you’ve got an MFN clause in a DRP contract, you can’t ask that in24

surer for the higher labor rate until you get the very last insurer that you interact with to move up,” Amberson said, even if the insurer with the MFN would be willing to pay the higher labor rate. “It slows the whole process down and hurts your income.” MFNs in the health insurance market was in the news back in 2010. The U.S. Department of Justice (DOJ) and Michigan’s Attorney General sued Blue Cross Blue Shield of Michigan alleging that the “most favored nation” clauses of the insurer’s contract with hospitals are anti-competitive. The U.S. Department of Justice had brought the lawsuit against the health insurer, saying MFN clauses raise hospital prices, discourage discounting and prevent other insurers from entering the marketplace. It said that some Blue Cross clauses required Michigan hospitals to charge the insurer’s competitors up to 40 percent more for services. “This cannot be allowed in Michigan, and let me be clear: We will challenge similar anti-competitive behavior anywhere else in the United States,” said Christine Varney, the U.S. assistant attorney general’s office antitrust chief at the time. The Department of Justice later dropped the suit when Michigan passed a new law prohibiting “mostfavored nation” clauses in health insurer preferred provider contracts in that state. A similar law was enacted in North Carolina. The Department of Justice and Federal Trade Commission (FTC) held a joint workshop in 2012 that many saw as an indication that antitrust regulators have “a reinvigorated focus on most-favored-nation (MFN) clauses.” “Although, at times, employed for benign purposes, MFNs can, under certain circumstances, present competitive concerns,” the two agencies noted prior to the workshop. “This is because they may, especially when used by a dominant buyer, raise other buyers’ costs or (prevent) would-be competitors from accessing the market. Additionally, MFNs can facilitate collusion and stabilize coordinated pricing among sellers.” At CIC in Indiana in late July, attorney Bolerjack said antitrust regulators tend to take particular interest in MFNs when a buyer imposing

SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

them has a significant market share (30 percent or more). Still, he said, the interest shown by regulators in MFNs used by tech giants like Amazon might offer an opening for collision repairers.

CIC Chairman Jeff Peevy said his strong belief that education can bring solutions to industry challenges, drives his leadership of CIC. Credit: John Yoswick

“It may be a time when you have an opportunity … with the feds or it might be a good time to go to your state legislatures,” he said. “These have been outlawed in certain states.” Given that an informal survey of the approximately 350 attendees at CIC in Indianapolis indicated they were first-time attendees to the quarterly conference, CIC Chairman Jeff

Peevy started the two-day meeting by reiterating three of his personal core beliefs he feels are relevant in his role of leading CIC. “One is respectfulness or professionalism,” Peevy said. “I believe that being disrespectful to one another is counter-productive to our goal. So, as tempting as it may be at times to take a shot at an individual, at a role or at a segment within our industry, it will not be tolerated because it’s counterproductive.” His second core belief results in a bias toward learning and education, he said. “I believe that education provides the solution and solves most of our challenges on any topic,” he said. The third belief is actually the most important, he said, and that’s always putting passenger safety first. “Those families who ride in eh cars that our industry repairs should be at the forefront of our thoughts,” Peevy said. “In fact, there is an empty chair sitting on the stage to help remind us that those individuals are not here and able to speak for themselves.”

autobodynews.com / SEPTEMBER 2019 AUTOBODY NEWS

Teslas, Other EVs Get Barred From Drag Racing Event in Texas by Simon Alvarez, Teslarati.com

The Universal Technical Institute Drags event at the Texas Motor Speedway is a celebration of cars that are incredibly quick off the line and dominating in a straight line. The event, which recently held its finals for this season, played host to powerful muscle cars, stunning foreign automobiles and even large diesel-powered trucks, to name a few. Amidst the participants in the popular drag racing event, there is one class of vehicles that was notably absent: electric cars. There was no Tesla in sight; not a Model S, Model X, or even a Model 3. This is due to one of the rules of Friday Night Drags. Looking at the event’s official page, the organizers of the event clearly noted that electric vehicles are prohibited from competing in the drag races. “Electric vehicles are not allowed,” the organizers wrote. This is quite a shame, considering that electric vehicles, particularly Tesla’s Performance-branded cars, have developed a reputation for being incredibly formidable in straight-line

VP of Public Relations David Hart explained that electric cars such as Teslas could crash and catch fire in the event, which would be difficult to put out. Crashes with gas and diesel-powered cars and trucks could also happen, but it is far easier to extinguish gas fires than those resulting from batteries. Unfortunately for EV owners, the speedway’s emergency vehicles are not equipped to handle electric car fires. “The reason for the exA Tesla Model 3 and a Model X. Credit: Andres GE clusion is, in the event of a crash and possible reance, a four-door family car, has even sulting fire, our emergency vehicles beaten a Ferrari 458 in a 1/8 mile currently do not carry the specific equipment required to suppress EV race. A look at past winners of Friday fires. As I’m sure you’re aware, conNight Drags show vehicles that have ventional extinguishers are of no use traded blows with Teslas in the past, in fighting lithium-ion battery fires,” including the Nissan GT-R, the Hart noted in a statement to TesChevrolet Corvette and the Ford Mus- larati. It should be noted that Teslas tang. As such, it almost seems like the event was lacking a popular, recogniz- are actually eight times less likely to able competitor due to the absence of catch fire than their internal combustion engine-powered counterAmerica’s all-electric muscle cars. Addressing the event’s strict parts. As mentioned by the electric No-EV rule, Texas Motor Speedway car maker in its most recent quarraces. The Model S P100D, particularly the “Raven” iterations of the vehicle, is downright deadly in the quarter-mile, beating supercars on a regular basis. The Model 3 Perform-

SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

terly safety report, data from 20122018 shows that there was approximately one Tesla vehicle fire for every 170 million miles traveled. In comparison, the National Fire Protection Association (NFPA) and the US Department of Transportation listed one vehicle fire for every 19 million miles traveled. One could only hope that events such as Texas Motor Speedway’s Friday Night Drags would eventually open their doors to electric vehicles in the near future. The era of EVs being grossly inferior to the internal combustion engine, after all, has definitively ended. This is especially true since Friday Night Drags uses a 1/8-mile strip, which is pretty much Tesla territory at this point. We thank Teslarati.com for reprint permission.

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return for promoting positive reviews and hiding negative ones. The film opens with Davide Cerretini, owner of Botto Italian Pizza Bistro in Richmond, CA, who claims that Yelp’s salespeople called him 20 times a week pressuring him to advertise on the platform. They finally wore him down and he signed up for a six-month contract, which he didn’t renew. Once he stopped paying for advertising, Cerretini claims his positive Yelp reviews vanished, only to be replaced with new and mysterious negative reviews. “To me, this is the mafia,” Cerretini says in the film. A few years ago, Nielsen conducted a study and the numbers were pro-Yelp. • 88 percent of customers trust online reviews as much as personal recommendations. • 85 percent of consumers read online reviews. • Yelp gets 142 million monthly visitors and 77 million local reviews in industries ranging from auto repair

to food and entertainment. • 98 percent of Yelp users report making a purchase at a business they found on Yelp, with 85 percent doing so within seven days and 27 percent doing so within one day. • 80 percent of Yelp users visit the site with the intention of buying a product or service. • Consumers consider Yelp to be the most trustworthy, influential online review site with the highest quality reviews. So, we reached out to Yelp and asked them the big question—do you extort small businesses or manipulate their system? Their short answer was an emphatic no, but the longer explanation came in a document from Yelp that addressed many issues. “We understand that there are a lot of misconceptions out there, so we’re here to clear the air: the only thing you can buy on Yelp is advertising, not reviews or stars,” Yelp said. “Here’s what money won’t buy any business owner on Yelp: A higher rating, the removal of negative reviews and positive reviews.” Does Yelp show more favorable reviews for advertisers or penalize non-advertisers?

“Advertising (or not advertising) on Yelp has no impact on reviews,” stated in Yelp’s document. “This is core to our trusted relationships with users and businesses alike, and it’s a principle on which we never compromise. These claims have been investigated and rejected in multiple courtrooms and disproven by independent scholarly studies.” Yelp then also offered some methods for interacting with reviewers for best results: “If a review has incorrect information, this is a good chance to correct it,” according to Yelp. “While you should always take the high road and respond considerately, correcting incorrect information is okay. Remember, it’s not just what you say but how you say it. Since everyone can see your public comment, respond in a way that will impress your potential customers.” “Responding to a review with critical feedback can be tricky,” said Yelp. “You want to act quickly because it’ll improve your chance to turn the situation around, but also take your time to think of the right thing to say. First, read the review. Then reread the review. Reread it

again. On your third take, start looking for the value. Ask yourself: What did the customer expect? Why did they expect that? Where was the misunderstanding? Why did that occur? What changes can I make to make sure this situation doesn’t happen again?” “After rereading the review a few times, you’ll almost always find helpful information,” Yelp added. “Looking at difficult feedback as an insight into how you can improve will make a big difference. It will help you craft your response. It’s a good idea to start with a public response that includes a thank you, even if you disagree with the review. Look at it this way; the reviewer took the time to share what went wrong. There are lots of consumers who won’t take the time to give you those insights. Your reviewers are giving you the chance to improve.” So, is Yelp a buddy or a bully? If we believe in their statement, they are more of a friend than a foe, but there are tons of companies out there slamming them. If you’re on the fence about Yelp, watch Billion Dollar Bully, a horror film for any small business owner anywhere, and be careful.

autobodynews.com / SEPTEMBER 2019 AUTOBODY NEWS

Too Many Openings & Too Few Techs—A Crisis With No End in Sight by Ed Attanasio

When I interview shop owners or managers all over North America for various articles, they usually end up asking me the same question. “I need a new technician; do you know anybody good?” After an awkward pause they often say, “Someone with a pulse?” From New York City to Los Angeles and everywhere in between, the collision repair industry has too many openings and too few people to fill them. It’s all about supply and demand, and tech schools are enrolling more and more students, but it’s still a matter of “too little, too late.” A recent study conducted by TechForce Foundation quantifies the growing seriousness of the body technician supply shortage. A non-profit organization whose goal is to get more young people interested in careers in auto repair, TechForce has a steep hill to climb as trade schools close or reduce class sizes. The growing gap between postsecondary graduate numbers and job openings in mechanical and collision repair is hitting the panic stage, according to the TechForce Foundation’s Transportation Technician Supply Report. Based on the comprehensive analysis performed by the National Center for Education Statistics with 2011-2016 data, TechForce discovered that the postsecondary supply of new body technicians entering the field has not kept up with the expanding demand. The schools are trying to fill the void, but it is growing at a rapid rate. This shortage has been getting worse for the past 15 years, but hit its alltime low in 2013, as the gap between the supply and the demand has continued to grow every year. New technicians breaking into the industry are filling the growth in new positions, as well as replacing those who retire or exit the profession primarily through retirement. They are distinguished from seasoned body technicians who move between employers but don’t add to the overall trained workforce. It’s like a bad drought that isn’t being helped after some heavy rainfall because the need is increasing and 28

many technicians are reaching the retirement stage. The TechForce report reveals that auto tech postsecondary graduates have been declining in a big way since 2013. The number of postsecondary auto graduates decreased by 1,829 in 2016. There were approximately 38,829 graduates for 2016

when compared to the projected Bureau of Labor Statistics demand for 75,900 new techs. Private-sector colleges have experienced the biggest decline while public two-year institutions (mostly community colleges) have stepped up their efforts and proactively increased their recruitment efforts. So, what can be done to lighten the supply shortage and how long will it take to see some tangible results? Jennifer Maher, CEO/executive director of TechForce, recently said one of the main problems is that the auto tech education system in this country, has stigmatized trade-school education and killing the trades. Prospective students are still holding onto the outdated image of the greasy and sweaty mechanic because parents, instructors and counselors support the theory. Today’s new technicians are compensated well and possess skills that set them up for ongoing success but are burdened by more school debt than their fouryear school counterparts. Maher and her foundation are currently creating programs and supporting more students interested in becoming collision repair technicians. Greg Settle, TechForce’s director of National Initiatives, said that with only a small number of students interested in entering a skilled trade as opposed to seeking a college de-

SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

gree, the competition among all the skilled trades for those graduating students is fierce. Body repair technicians can make a very solid, middle-class income, but not initially. Five-year collision body techs are pulling down great salaries and commissions, but starting wages are among some of the lowest. This heavily influences what young men and women will focus on when considering a career decision. Add to that the fact that entry-level auto techs are expected to take on their first job with their own tools, and it does not make these careers very attractive when compared to other choices, according to Settle. In conclusion, without some form of specifically focused collective action, the transportation industry will continue to suffer from insufficiently financed and seriously fragmented efforts to solve this dilemma, Maher explained. A solution requires pooling

resources and consistent public messaging, she said, in order to change the perceptions about the industry and construct a talent pipeline for tomorrow’s mechanical and collision repair technicians. It’s going to be an enormous undertaking, but unless organizations such as the TechForce Foundation dedicate themselves to solve the root causes of the problems in this industry, the shortage of qualified people will continue to hamstring the industry in many ways. In the 1950s, there was a shortage of engineers in the U.S. In the 1960s, the country didn’t have enough teachers, and in the 2000s, there was a serious need for computer programmers. Those gaps were filled by promoting those careers and getting more young people into the fold. If auto repair programs and tech schools can learn from history and get more people into shops as mechanics and body technicians, one of the industry’s major dilemmas will happily go away, and all of us will benefit as a result.

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780 Denver West Colorado Mills Blvd. Lakewood, CO 80401

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Fax: (303) 278-8503 Hours: M-F: 7am-6pm; Sat: 8am-5pm dwallace@stevinsonauto.com autobodynews.com / SEPTEMBER 2019 AUTOBODY NEWS

P HONDA ARIZONA

Chapman Honda Tucson

800-461-6744 520-202-5770 Dept. Hours: M-F 7-6; Sat 8-4 carlkeefe@chapmantucson.com COLORADO

Mike Maroone Honda Colorado Springs

888-431-0294 719-785-5045 Dept. Hours: M-F 7-6; Sat 7-5 rick.williams@mikemarooneauto.com

Mile High Honda

Denver

800-548-4730 303-369-7800 Dept. Hours: M-S 7-6 lhoover@autotree.net LOUISIANA

Superior Honda Har vey

800-943-4227 504-368-5687 Dept. Hours: M-F 7-5:30 parts@superiorhonda.net

ACURA ARIZONA

Acura of Peoria Peoria

866-347-4507 623-792-2559 Dept. Hours: M-F 7-6; Sat 7-5 dcavanaugh@vtaig.com COLORADO

Mile High Acura Denver

800-548-4730 303-369-7800 Dept. Hours: M-S 7-6 lhoover@autotree.net

Pikes Peak Acura Colorado Springs

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SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

Please contact these dealers for your Honda or Acura Genuine parts needs. LOUISIANA

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Dept. Hours: M-F 7-7; Sat 8-5 www.bankstonhonda.com

Dept. Hours: M-F 7-7; Sat 7:30-5:30 cedgar@mcdavid.com

Dept. Hours: M-F 8-6; Sat 7-4 ggregory@russellsmith.com

Cleo Bay Honda

Honda of San Marcos

Rusty Wallis Honda

Killeen

San Marcos

Dallas

877-253-6229 254-699-2478

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Dept. Hours: M-F 7:30-6; Sat 8-5 parts@cleobay.com

Dept. Hours: M-F 7:30-6; Sat 9-5 csmith@hondasanmarcos.com

Dept. Hours: M-F 7-7; Sat 8-5 darryldotsy@rustywallis.com

Fiesta Honda

Kelly Grimsley Honda

Wholesale Parts Direct

San Antonio

Odessa

Austin

800-727-8705 210-340-0831

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Honda Cars of McKinney

McDavid Honda Irving

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Dept. Hours: M-F 7-7; Sat 8-5 mkratky@mcdavid.com

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Walker Acura

David McDavid Acura

Mike Hale Acura

Metairie

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Russell & Smith Honda

Dept. Hours: M-F 7-7; Sat 8-5 dgrajczyk@mcdavid.com

Sterling McCall Acura

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Hous t o n

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Autonation Acura League City

800-749-6227 713-371-4700

713-596-2337 713-596-2338 Dept. Hours: M-F 7:30-7; Sat 7:30-4 jlambert@sterlingmccallacura.com

Dept. Hours: M-F 7-7; Sat 8-5 CarranzaB1@autonation.com

autobodynews.com / SEPTEMBER 2019 AUTOBODY NEWS

Truck Topics with Gary Ledoux

Gary Ledoux is an industry veteran with 48 years’ experience in the automotive and OEM collision parts industry. His column appears exclusively in Autobody News. He can be reached at YesterWreck@yahoo.com

Hey Buddy … Got a Millisecond? During the 2nd annual HD Repair Forum event held in Fort Worth, Texas, in March 2019, John Spoto, National Heavy Duty Truck Commercial Fleet manager for the 3M Company gave a fascinating presentation on the effects of a crash and how so much can happen in a very short amount of time. The following is a brief synopsis of that presentation. It is not meant to be scientifically precise, but only meant to give some perspective on what happens during a crash and what must be done to return the vehicle to road-worthiness. To begin with, there are many variables that determine the severity of a crash including:

• The speed of the moving vehicle. Did you know the faster you drive, the greater the impact or striking power of your vehicle? The laws of physics determine that the force of impact increases with the square of the increase in speed. So, if you double the speed of a vehicle, you increase its force of impact four times. • The weight of the moving vehicle. This is especially crucial with trucks. Is the truck traveling empty or loaded? If it is loaded, how much does it weigh and how secure is the load? • What is the nature of the object the truck will come into contact with? Is it completely stationary and immovable, like a reinforced brick or block wall, a bridge abutment, or a large tree? If so, the impact energy of the truck will be pushed back in an equal amount and the truck will sustain the entire force of the crash. If the truck hits something that will move, like a parked vehicle, for instance, the other vehicle will absorb some of the energy. The deceleration of the truck would not be so abrupt and thereby mitigating some of the damage to the truck and occupants. • If truck “A” is going 60 mph and hits truck “B” of equal size and weight in a head-on manner, also going 60 mph, it would be the same as truck “A” hitting an immovable object at 60 32

mph. The identical speeds and mass cancel out each other or, better said, the two objects push back on each other with equal force. But this rarely happens. Chances are if a head-on collision is to occur with a semi-truck, it will more likely be with a car of considerably smaller mass and weight. From a pure physics point of view, this would help mitigate the damage to the truck, but could be catastrophic for the car. • What is the direction of impact? In other words, was it a head-on crash or a glancing blow which could have dissipated much of the crash energy? What isn’t a variable is a law defined by Sir Isaac Newton – the law of inertia. It says an object in motion tends to stay in motion until acted upon by an outside force. Think in terms of the payload being transported by the truck in question. When the tractor hits the brick wall, Newton’s law of an outside force taking over to stop motion takes over to stop the tractor – but his law of inertia says the load and trailer want to keep going! And just think … what is going to take days or maybe weeks to repair, happened in a matter of milliseconds. How long is a millisecond? It is onethousandth of a second – the time it takes a camera flash to go off. A housefly’s wings flap every three milliseconds. Eight milliseconds is equal to 1/125th of a second or a common camera shutter speed. Researchers at MIT determined that the human eye can interpret images exposed for as little as 13 milliseconds. Anything faster goes undetected.

Zero Milliseconds This is the point where the front bumper first makes contact with a barrier or some other object – what you might call the “point of no return.” Using specific materials, parts and fastening protocols, engineers have designed the truck to collapse in a predictable manner to protect the truck’s occupants. This is where all that engineering pays off. And if the truck has been in a prior accident, this will tell if the repair was done in

SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

a safe and complete manner—or not. Five Milliseconds The truck’s body structure is already absorbing and managing crash energy. Each section area within the cab has a specific function in the event of a collision to channel the impact energy around the occupants. Ten Milliseconds The front bumper is fully collapsed and crash forces are being channeled through upper and lower members and body panels. Panels are designed to collapse to a certain point to not only absorb the energy, but to keep the occupants from becoming trapped inside. This is also called “Controlled Deceleration.” Starting in January 1965, Ford Motor Company crashed over 175 cars into a concrete barrier at 30 mph. The reason, to build a vehicle frame and structural parts that

deform in a uniform manner upon impact to absorb the energy and mitigate cabin deformation, thereby saving the car’s occupants. The culmination of this testing would be introduced in all 1968 model Ford cars with what was being called a “Controlled Crush” front end. Other car and truck makers would follow. 15 Milliseconds The engine has been contacted and the subframe is being deformed. Different strengths of metal are used in the truck’s construction to either “break away” or transfer collision energy to other parts of the truck. (Before the days of “Controlled Deceleration” the engine may have penetrated the cab at this point injuring the driver.) 20 Milliseconds The structure forward of the engine is now fully deformed and the crash

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energy is being channeled into the roof rails, rocker and rear portion of the engine subframe. 30 Milliseconds The cab continues to deform. Crushzones crumple and redirect the crash energy around the truck’s occupants. (Crush Zones can be seen as dimples, slots drilled in body parts or different types and thicknesses of metals. Ribs or stamped areas across the width of a part are also called convolutions and designed to aid in a Controlled Deceleration event.) In a repair bulletin, Volvo notes, “The cab frame and body panels form a cage that protects the driver and passenger. The cab exceeds protection safety standards in case of collisions or rollovers. Unlike conventional cab structures, where a load carrying frame supports the outer body panels, both the VN and VHD cab frame and body panels are designed to be part of the load carrying structure.” 40 Milliseconds As the crush zones deform, the crash energy is transferred to the dash, front cowl, floor pan and rockers. At this

point, some sheet metal may have been bent, some kinked. Bent metal, depending on its strength and hardness may be bent back into shape. Kinked metal generally has to be replaced, especially if it is high-strength steel. (Straightening kinked metal could weaken it making it collapse in a subsequent crash.) 50 Milliseconds The engine assembly contacts the dash. The “A” pillar, roof, door pillar, rockers and floor pan carry the balance for the crash load. 67 Milliseconds The truck has reached maximum deformation. The penetration into the occupant area was controlled and limited due to the construction of the truck and materials used. The crash load was directed around and under the truck occupants. But even in the moment, the truck has completely stopped, momentum continues possibly forcing the payload through the back of the cab.

Now, the damage estimating and repair process begins. Referring again to a Volvo collision repair bulletin, they specifically point out, “When major body damage occurs, you should replace entire sections instead of changing parts within a section. Replacing an entire section preserves the structural integrity of the cab and generally takes less time.” When reviewing or estimating a crash, the primary point of impact, probably the front of the cab, will no doubt get the most attention as it is the most obvious place to look. However, there could be considerable “Indirect Damage” which could include the frame or any part of the truck as the force of the collision was dissipated through the entire vehicle. This is why it is so important to look over the entire truck, not just the point of impact. Indirect Damage could have occurred on mechanical parts, electrical

100 Milliseconds Event is complete

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parts, engine brackets, seat brackets, air valves, dashboard and door trim panels just to name a few. Indirect Damage could have also loosened, deformed or separated seam sealer, cavity foams or those parts secured with adhesives. Some repairers may overlook foams and sealants, yet they perform a vital role in the drivability, and performance of the truck as well as driver comfort. Foam and sealants can be used to reduce noise, vibration and harshness in the cab, stiffen the body structure, as well as seal out dust, rainwater or unwanted fumes. And while you’re at it, don’t forget to apply corrosion protection. When making collision repairs, remember to never compromise safety. Return the truck to the driver/owner with the same structural integrity it had prior to the crash because in a subsequent accident … milliseconds still count!

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Solving the Tech Shortage: In-Prison Automotive Programs Provide Education & Training for Potential Hires by Stacey Phillips

Terrance Jones didn’t have any automotive experience when he entered Washington State Penitentiary, let alone a skill or trade. He learned about the educational programs offered by Walla Walla Community College at a minimumsecurity unit of the correctional facility and decided to enroll in auto body repair. During the one-year certificate program held on the facility grounds, he learned how to disassemble and reassemble vehicles, do bodywork and paint vehicles for the local community who brought in their cars for repair. “I loved it,” said Jones. “A lot of these guys, including myself, when we go in, don’t have any experience in any type of field let alone being able to hold down a decent job. The

instructor, Lee Brickey, have been crucial to his success. “He is that guy who actually cares about what happens to the gentlemen who come through this program,” said Jones. As a result, he has been able to move up the ranks quickly at H & I Automotive. “I’m one of their lead technicians and ‘go to’ guy, which feels good,” he added. Jones said the experiences students have in the auto body program give them hope that they can work rather than return to their previous lives. “I know countless guys who I knew when I was inside prison who have gone back already and there’s only a handful of us who are still out and doing well,” said Jones. “It was really based on the skills and trades we learned while in prison.”

upon release,” according to the Washington State Board for Community and Technical Colleges. “Offenders who are provided opportunities to gain job skills are much more likely to be successful in the community upon release and educated offenders are statistically less likely to commit additional crimes.” To help reverse this trend, inprison educational programs are offered by community and technical colleges around the country. The goal is to educate incarcerated individuals so they can re-enter society and be able to work and contribute. Walla Walla Community College in Walla Walla, WA, is one of these. The college has established an inprison auto body and diesel mechanic program at Washington State Penitentiary and an automotive mechanics program at Coyote Ridge Corrections Center. Washington State Penitentiary Hired through Walla Walla Commu-

nity College, Brickey has worked as the auto body instructor for Washington State Penitentiary for the last decade. Prior to that, he instructed at Columbia Basin College for five years and has worked in collision repair facilities for more than 20 years. On a typical day, Brickey’s students spend about six hours a day, five days a week, at the body shop, which was set up at the minimum-security unit of the facility by the college and Department of Corrections. Teaching up to 18 students at a time, Brickey teaches them how to repair vehicles for the surrounding community following the same curriculum that is taught on the college campus. Students have the option of participating in a nine-month program or working toward an associates degree. Upon graduating, they receive a certificate from the community college. If they have done well in the class and haven’t been released from the correctional facility yet, they are invited to work as TAs and are paid

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fact that when I got out I was going to have a trade skill under my belt and I could get a decent job when I first got out was really exciting.” Once Jones earned his auto body certificate from the college, he became a teaching assistant (TA) for the next year and a half before being released from prison in 2016. As part of Washington Department of Corrections’ work release program, Jones was placed at a Maaco facility where he worked for a short time before being hired at H & I Automotive in downtown Seattle. He said the skills he learned in the community college in-prison program from his 36

He encourages body shops to be patient with new technicians who might have gone through a similar program and “not to give up on these guys.” “You might have to sift through a few bad apples before you find a good one but don’t give up because we are out there,” said Jones. Studies have repeatedly shown that increasing education initiatives in prison lead to lower recidivism rates. “Most of the men and women entering correctional facilities lack the literacy and employment skills needed to succeed in our communities

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for helping with grades and student questions. “For anyone who has completed one of the programs, we’ve found that the rates of reoffending go way down,” he said. Brickey recalls one of his students who was 21 years old and had a challenging time working with others. The collision repair instructor gave him a project to focus on—painting a bright red sports car. When the vehicle was unmasked and pushed out of the paint booth, Brickey said it looked impressive. “Everyone was standing around and said it looked really nice,” he recalled. “I talked to him later and he said it was the first time in his whole life that anybody gave him a compliment about anything he had accomplished.” Personal experiences like these are gratifying for Brickey who always had an interest in the automotive trade. When Walla Walla Community College approached him about teaching, he decided it would be a good fit. “I like making a difference in people’s lives,” he said. “It’s amazing sometimes and it’s frustrating some-

times because you find out these guys get into trouble and it’s not going to turn out perfect for all of them, but there are ones that it does.” With baby boomers retiring and not enough workers to fill their positions, Brickey said vocational train-

Coyote Ridge Correction Center Over the past two years, Douglas

An in-prison automotive mechanic program was set up at Coyote Ridge Correction Center by Walla Walla Community College. Credit: Walla Walla Community College program at Coyote Ridge Correction Center

ing in state correctional facilities will help address the gap. “It’s amazing the shortage of

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skilled people we have,” he said. His advice to body shops looking for employees is to give inmates a chance.

SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

Leclair has taught an automotive services program at Coyote Ridge. Similar to the Washington State Penitentiary

program, a full-service auto repair shop was established by Walla Walla Community College about a decade ago on the prison grounds where students work on vehicles throughout the week. He currently has 18 students and six teaching assistants (TAs) who take part in the program. At Coyote Ridge, the main focus is on mechanical repair. “Many cars require major assembly removal in order to do the repairs,” said Leclair, who has worked in the automotive field since 1992. “We’re finding in the body shop industry the big body shops will have a mechanic; they have to.” Leclair helps them learn to think critically to diagnose problems and work on soft skills, which he has found to be essential to prepare them to work when they are released from prison. “What made Southwest Airlines so successful is that they don’t hire people with the skillset, they hire people with the right attitude and teach them the necessary skills,” he observed. “We call it ‘men teaching men.’ In the prison system, it’s really

hard for an inmate to tell another inmate what to do, but I think we’ve overcome that in our little area of the world. My TAs are well-respected by the other guys.” By state law, most inmates receive $40 and a bus pass when they are released. Leclair hopes that by teaching them a trade, they can make a living wage when they are released. “A lot of these guys have been incarcerated at a young age and don’t have a skillset or a trade,” said Leclair. “If they leave here with a trade, then they don’t have to resort to activities that are less than desirable. If we give them a skill, they make great employees.” An advisory committee is set up where the automotive instructors regularly meet with the industry as part of the curriculum development to find out what types of positions they are searching for. Last year, one of the inmates who took part in the automotive program was released from prison and hired as a foreman at a Ford dealership in Arizona. Another, who had served 17 years, was hired to work as a mechanic in Yakima, WA.

“He took the skills he learned in the program and within three weeks, he was promoted to be the main mechanic in the facility,” said Leclair. For those questioning whether or not to hire a former inmate, Leclair said if they are given a skill, studies have shown they make great employees. “I had a teacher in high school who took a chance on me,” he recalled. “The guys in here, on average, are good, solid people and they made a mistake.” He also recommends paying new technicians fairly, even those with little to no experience. Through his experience managing a car dealership, Leclair found that offering a competitive wage up front and training individuals from the onset most often led to success; he encourages body shops to do the same. Clayton Long recently completed the automotive mechanics’ program at Coyote Ridge. “I had no prior automotive experience outside of knowing how to drive a vehicle,” said Long. “With that in mind, I knew I had an uphill battle on my hands.”

He said the course curriculum was a system-by-system approach, which made understanding the material much easier. “I soon realized that we weren’t expected to know everything, as this field is constantly evolving,” said Long. “I had to learn that learning never stops; I have to adapt to technology constantly changing and I have to work hard and remain dedicated in order to be successful in my trade.” When Long is released, he said his educational certificate will help get him through the door and into the interview process. “The personal growth that I have achieved is what will get me the job I want,” said Long. “Once I get through the door, I want to do everything—especially the work that nobody wants to do.” Samuel Laur was also one of Leclair’s students at Coyote Ridge who completed the automotive program. “The program has given me hope that I’ll be able to get out and get a good job with a wage that will allow me to support myself and not come back to prison,” said Laur.

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The 2019 AAPEXedu program will include ten sessions for automotive service professionals, auto parts retailers and warehouse distributors to help them prepare for the future, while also enhancing the service they provide to today’s customers. AAPEX represents the more than $1 trillion global automotive aftermarket industry and will take place Tuesday, Nov. 5, through Thursday, Nov. 7, 2019, at the Sands Expo in Las Vegas. The content for this year’s AAPEXedu is based on the results of an AAPEX survey during which buyers were asked to identify topics of interest to them. The sessions are part of a robust AAPEXedu program that also includes Let’s Tech presentations, and Mobility Garage: Products and Training for Tomorrow featuring underhood training and two sections - Shop Equipment and Technology and Electric Car and Alternative Fuel/Energy. To register, visit aapexshow.com/attendee. For more information, visit www .aapexshow.com or email info@ aapexshow.com.

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From the Desk of Mike Anderson with Mike Anderson

Mike Anderson is the president and owner of Collision Advice, a consulting company for the auto body/collision repair industry. For nearly 25 years, he was the owner of Wagonwork Collision Center, an OEM-certified, full-service auto body repair facility in Alexandria, VA.

Check OEM Procedures Before Disconnecting, Reconnecting Batteries The “Who Pays for What?” summer survey looked at how often shops research the OEM procedures related to disconnecting and reconnecting batteries. The results report won’t be tabulated until early this fall, but for now, we can take a look at some of the intricacies of disconnecting and reconnecting batteries when repairing a vehicle. What was once a seemingly easy step has become more complex and time-consuming as vehicle technology has evolved. Disconnecting the battery prior to repairs has become a common requirement. In the past, it was often considered necessary prior to performing any welding on the vehicle; but, many other procedures require disconnecting the battery, such as removing or disconnecting any electrical component.

• On a particular Audi, the automaker’s procedures state that when reconnecting the battery, you must “activate the one-touch up/down function for the power window regulators.” It also requires that you “Check DTC memories of all control modules, and delete the displayed entry “Undervoltage” under the vehicle diagnostic tester.” Most automakers say disconnecting the battery will set diagnostic trouble codes (DTCs). You can’t check for those without doing a post-repair vehicle scan in conjunction with reconnecting the battery. • Do you think reconnecting the battery is only a more complex process on high-end European models? Guess again. The procedure for the 2018 Chevrolet Cruze is seven pages! It notes that you also need to inform the customer that the “start/stop” feature

Automakers may designate wait times for how long after shutting off the ignition switch a technician must wait before disconnecting the battery; for the Nissan Armada, it can vary based on engine type. Credit: Nissan

varies even by engine type. You have to wait four minutes before disconnecting the battery on Armadas with some engine types, and 12 or even 20

minutes on Armadas with other engine types. Some automakers also have designated wait times after the battery has been disconnected before

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The OEM procedure for reconnecting the battery on the 2019 KIA Stinger includes steps related to the sunroof and auto-up/down power window. Credit: KIA

It’s important to remember that disconnecting and reconnecting the battery is a non-included operation. There is no standard for what procedures are required by the automakers when reconnecting the battery; it varies based on the specific year, make, model and options of the vehicle being repaired. That’s why you MUST research it for every single repair. Let’s look at some examples: 40

on the vehicle “will not be available until the vehicle is allowed to sit for at least three hours undisturbed.” How would you know to do that unless you read the procedures for reconnecting the battery? • Many vehicles have specific wait times after the vehicle is turned off using the ignition before the battery is disconnected. For the 2017 Nissan Armada, for example, the wait time

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you can disconnect certain electrical components. • You also need to check the OEM procedures for what systems need to be initialized or calibrated after the battery is reconnected. Toyota’s procedure for reconnecting the battery on some Camrys, for example, lists five such systems that need to be initialized.

tance of checking the OEM procedures for every job before you do

something as simple as disconnecting or reconnecting a battery. It’s not as

• The OEM procedures also will tell you what type of test drive (or “drive cycle”) is necessary after a battery has been reconnected. Hopefully, these examples alone are enough to convince you of the impor-

The OEM procedures, like this one, for the 2018 Toyota Camry, list the systems that must be initialized or calibrated after reconnecting the battery. Credit: Toyota

Caliber Collects Over $900,000 in Donations More than 85 food banks across 37 states will be able to restock their shelves to ensure at-risk kids do not go hungry this summer thanks to Caliber Collision’s 2019 Rhythm Restoration Food Drive collecting over $900,000 in donations or 5.4 million meals from April through May. Caliber’s 20,000 teammates were

inspired to serve their local communities by raising cash and food donations through fundraising events such as car shows, motorcycle rallies, golf tournaments, dunk tanks and other giving opportunities. “We set a lofty goal of raising five million meals in 2019. Our teammates challenged themselves, our business

partners, friends in the community and each other by collecting more than 5.4 million meals across more than 1,100 locations,” said Steve Grimshaw, Caliber Collision’s chief executive officer. Over the past eight years, Caliber’s annual food drive has become one of the largest food drives in the U.S.

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simple as the procedure once seemed. And two side notes: Don’t put “R&I battery” on your estimate or invoice if what you are actually doing is just disconnecting and reconnecting one terminal. Doing so could be seen as “work billed but not performed.” Also, have you ever had to buy a battery for a customer because the one in the vehicle died while it was at the shop? If so, avoiding that is another great benefit of performing a pre-repair scan of every vehicle when checking them into your shop. That scan can catch voltage errors that point to a weak battery. You can then inspect the battery, check its date, and maybe sell the customer the new battery they need on ‘day one’ of the repair.

Your leading source for SOUTHWESTERN Collision Repair News! southwestern.autobodynews.com

autobodynews.com / SEPTEMBER 2019 AUTOBODY NEWS

Garmat Builds Upon CARSTAR Partnership

At the CARSTAR Acceleration 2019 Conference in Chicago, Garmat USA continued its long partnership with CARSTAR, hosting the welcome reception on Tuesday, July 16 for new CARSTAR franchise partners and top independent collision shop owners exploring opportunities with CARSTAR. “We’ve been partners with CARSTAR for many years and are honored to work with so many CARSTAR franchise partners,” said Debbie Teter, director of sales and marketing for Garmat. Themed “Picture Yourself in a Garmat Booth,” the reception featured a photo booth where guests could don paintsuits— along with fun hats, glasses and props—and take snaps in front of the Garmat paint booth backdrop. “We are proud of our many partners like Garmat who support our efforts to welcome new franchise partners to the CARSTAR family,” said Dave Foster, vice president of development for CARSTAR.

Ford, Volkswagen in Partnership Towards Autonomous and Electric Vehicles ing costs. On the same forward-thinking A joint venture between Ford and note, VW is going to invest $2.6 bilVolkswagen (VW) was announced lion into Argo AI, Ford’s self-driving on Friday, July 12. The two well- car venture and Ford plans on buildknown automotive companies will ing an electric car from VW’s MEB be collaborating on their autonomous electric vehicle platform. Herbert Diess, VW’s chief executive, said: “Our global alliance is beginning to demonstrate even greater promise and we are continuing to look at other areas on which we might collaborate.” Ford is looking to build over 600,000 electric vehicles by using VW’s parts, Ford and VW Collaboration. Credit: Volkswagen Group, which will eventually bring Twitter manufacturing costs down and electric vehicles and technolo- for both companies. According to Citi analysts, the gies considered critical for the future collaboration is “transformational” of the industry. Billions of dollars’ worth in in- for both companies. Even though the companies will vestments will call for intellectual property and hardware, among the be working closely together and sections of the two auto companies, crossing manufacturing paths regularly moving forward, the alliance to be shared moving forward. What technologies will the com- will not require cross-ownership. By working closely together, panies be exchanging? The joint venture aims to cut and sharing a pool of knowledge and down developing and manufactur- industry innovation, the auto compaby Fabienne Lang, Interesting Engineering

nies will leverage a clear advantage in the field.

2019 Ford F-150 Raptor. Credit: YOURCAR via Youtube

As Diess said, “In such a competitive environment, it just makes sense to share investments, pool innovation capabilities and create scale effects that are clearly defined.” If we already take a look at what the automakers combined built in 2018 alone, they produced 18 million vehicles, approximately 20 percent of the global new-vehicle market. Imagine what they will create moving forward by working together. We thank Interesting Engineering for reprint permission.

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Heidi King Steps Down as Head of the NHTSA by Emmariah Holcomb, glassBYTEs.com

“How do you know when you are working too hard? When your vacation is reported as a career change,” a LinkedIn post from Deputy NHTSA Administrator Heidi King reads, who will now be resigning effective Aug. 31, 2019. The post highlighted King’s discomfort with not being named as the head of the National Highway Traffic Safety Administration (NHTSA). She has worked there for two years. King suggested she would be stepping down from her position, and at the time did not state a reason why. King has been trying to gain confirmation as the head of the National Highway Traffic Safety Administration (NHTSA) since June 2018, when she was chosen by the

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administration to lead the agency for the first time. King, however, did not gain Senate approval in last year’s Congress and was nominated by the administration for a second time at the start of 2019. When she gained the Senate’s approval in April 2019 there was no set timeframe for deliberations from the Congressional Floor. Now she has decided to step down amid a battle between the federal government and California over gas mileage rules. King will be replaced by U.S. Department of Transportation (DOT) Deputy General Counsel James Owens, who will serve as deputy NHTSA administrator and the agency’s acting chief according to the DOT. We thank glassBYTEs.com for reprint permission.

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VeriFacts Automotive LLC Renews Commitment to CIECA Standards VeriFacts Automotive LLC recently renewed its commitment to CIECA and the CIECA Standards. Founded in 2002 and headquartered in Newport Beach, CA, VeriFacts is an independent third-party provider that verifies and reinforces the implementation of best repair practices within the collision industry. “Our focus is on quality repairs and keeping drivers safe on

the road,” said Farzam Afshar, CEO of VeriFacts. The company offers a wide variety of services and technology solutions to collision repairers, original equipment manufacturers (OEMs), insurers and other entities in the supply chain. This includes on-the-job technician coaching, equipment and process validation, and repair quality measurement

and assessment solutions. “We joined CIECA because the organization is committed to reduce the cost of electronic commerce and significantly improve efficiency throughout our industry,” said Afshar. Since joining the organization, Afshar has been a CIECA chairman and volunteer. “CIECA standards are important for our industry because any time there is a standard, there are rules of engagement and a direct path for higher innovation,” he said. “This allows all industry participants to leverage data sharing and connectivity, which ultimately benefits the consumer and the entire industry.” For more information about VeriFacts Automotive, visit http://www .verifactsauto.com/.

For more information about CIECA, visit www.cieca.com.

NABC Names Kristle Bollans From Hertz as New Board Member The National Auto Body Council (NABC) has named a new member to the NABC Board, filling an open position. Kristle Bollans, director of Replacement Accounts for the Hertz Corporation, joined the NABC Board in August. She has been with The Hertz Corporation for 16 years, holding positions in both the Airport and Off Airport Divisions. In her current role, Bollans oversees a large team of Account Representatives across the US who support both Insurance and Fleet Replacement companies onsite at their facilities. Her team has daily interaction with insurance adjusters and collision repair shops. Prior to that, she worked in several different rental locations, and as an on-site at claim centers interacting directly with adjusters and shops on a daily basis. Bollans has an incredible passion for people and service and is a bold, progressive, forward thinker. With these attributes, she has been able to drive results not only in her division, but in other segments of the business as well. She is a trusted advisor for Hertz and her customers.

Her passion about the collision industry extends to giving back those in need. She is a member of the WIN committee and the CREF scholarship review committee. In addition, she is a leader in Hertz’s Woman’s Employee Resource Group committee volunteering her time to the community. Bollans studied Human Resources and Business Management and currently resides in Madison, WI, with her husband and two children. “We have accelerated our strategic initiatives through the guidance and leadership of our NABC board members,” said Bill Garoutte, president and CEO of the NABC. “We welcome Kristle to the NABC board and look forward to working with her and our current volunteer board members to continue to build positive awareness for the collision industry and enhance the foundation of the wonderful institution of The NABC. Also, we thank these board members for their commitment of time and resources to help advance our important cause.”

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In Reverse with Gary Ledoux

50 Years - A Retrospective Fifty years ago this month, September 1969, I took my first job in the automotive industry. I worked at a family-owned auto parts store, Towers Motor Parts, located in my hometown of Nashua, NH, that also sold automotive refinish paint and related supplies. In the days before PBE Jobbers, many auto parts stores divided shelf space between spark plugs, distributor points and condensers with refinish paint, sandpaper and body filler. Nashua, with a population of 55,000 was served by five auto parts jobbers, one of which was a NAPA store who carried a small amount of RM paint and another independent jobber carried a small amount of Ditzler paint. Neither store actively pursued the collision industry. Our store carried a full line of DuPont refinish products, 3M products and mostly everything a body shop of the time could need or want. Being the most aggressive collision-industry jobber in town, we did a brisk business in supplying body shops within about a tenmile radius. Here is a brief overview,

as I remember it, of the collision repair business, 50 years ago. The Job When I started, my responsibilities included mixing paint, delivering parts as well as paint supplies and eventually, waiting on customers. As a DuPont jobber in 1969, our two main paint products were Dulux enamel and Lucite lacquer. Another paint product, Duco, a nitrocellulose lacquer, which had been developed in the 1930s, was still in use, mostly for use on import or “non-domestic” 48

cars because Lucite had not been developed for those cars yet. Within a year or so, Duco was phased out in favor of Lucite and almost as quickly, Centari acrylic enamel and Imron polyurethane enamel was introduced. Initially, Imron, developed primarily for fleet use was available in only about a dozen colors. Before the days of computers (and even before microfiche) paint mixing formulas were printed on index cards and kept in file drawers similar to book index cards in a library of the time. Lord help you if you spilled paint on an index card and destroyed it. Being the town’s major supplier of mixed paints, some days we were backed up for hours.

The Product Inventory The two largest selling paint products were gallons of Dulux for overall refinishing and pints of Lucite for panel refinishing. Most shops would accept a mixed pint of paint if we didn’t have a “factory package” but most shops preferred the factory packaged paint. At any given time, we might have around 1,600 pints of factory-packaged Lucite in stock. The basic colors, like white or beige or yellow were designated with an “L” after the stock number. All “L” colors were about $1.90 a pint as I recall. Those with an “LH” or “LM” suffix were different shades of red and were about $2.25 for LH and $2.75 for LM colors. We carried a full complement of 3M abrasives in various sheet sizes and configurations as well as 3M Glazing Putty and various adhesives. (I wish I had a nickel for every tube of 8001 3M weather strip adhesive I handled!) Nitro-Stan putty in tubes was a big seller as were Detroit brand tack-rags and Marson Fish Eye Eliminator. We carried a full line of Unican body filler products including SnoBall body filler. SnoBall came four 12pound gallons to a case and it was not unusual to sell a case at a time to some

SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

shops. Unican also had various fiberglass repair products. In 1969, fiberglass was used to repair Corvettes, repair rust holes in cars (more on that later) and repair front cowls on snowmobiles. (Remember, this was NH … snowmobile country.) Besides plastic body filler, we also sold a fair amount of body lead in one-pound bars, 50 bars to a case. To get paint on the car required a spray gun and the most popular guns at the time were DeVilbiss MBC and JGA guns in siphon configuration. Binks and Sharpe guns were later added. The Customers Maybe because I enjoy the collision repair part of the business so much is why I remember many of the people and reconnected with some of them years later in my capacity as the administrator of American Honda’s

ProFirst body shop certification program. Nashua, in 1969, had few large shops including the local Chevrolet dealer, Lincoln-Mercury dealer, Buick dealer and an independent shop run by four owners. But most shops were small, two and three-man operations. As was typical of the time, with the exception of the Chevrolet body shop, all interior shop surfaces were steeped in a fine coating of filler-dust, and offices and non-production spaces were unkempt. In many cases, it was difficult to find a place to set-down whatever I was delivering. Many used car dealers did bodywork to spruce-up the rusted quarters and rocker panels of a car that was otherwise good mechanically. Before factory-applied E-coat, New England winters with salted and sanded roads caused cars to rust quickly and thoroughly. It was not uncommon to

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pull-away the mats or carpet in the footwells of the front seat and find large-gaping rust holes. Not far from our store was a Ziebart dealer who did a land-office business applying their rust-preventive under-coating on new cars. There were two, one-man shops I distinctly remember. One ran a body shop in a bay in his Atlantic (later ARCO) gas station. Working without a spray booth, he came into the store one hot, sticky summer day to pick up some more paint, covered in overspray … stuck to his hair, eyebrows and clothing. Rather than do mechanical work, he thought bodywork was more profitable. The people from Atlantic Richfield thought otherwise and he moved his collision repair business. The other one-man shop was in a small, one-car garage, with a dirt floor, outside of town in a secluded, wooded area. I drove up to the garage to deliver his paint. He greeted me at the garage door with a beer and lit cigar in one hand and spray gun in the other. Today, 50 years later, his garage is gone, he’s gone and that area is fully commercialized with strip malls.

The Technology In 1969, two-stage and three-stage paints were still a ways into the future. The paint was either metallic— or not. Metallic finish was not new in 1969, but some people still had some issues with it, spraying it wet enough to get the flakes to lie down but not so wet that it would run. “Paint effects” as they are known today, was still the realm of car customizers— people who had the time and ingenuity to experiment with multiple coats of clear and color. Two-tone paint jobs on cars were pretty much gone by 1969. However, that concept was still popular with pick-up trucks—the main body being one color and a wide swath of the side and top of the cab being white. Before the days of OSHA and the EPA, few shops had spray booths or if they had one, it was a makeshift affair and not overly effective. Some shops that were short on space even painted cars outside. At Towers, we sold a few steel “repair panels” – sheet metal that was designed to replace rotted-out body sections such as rocker panels or headlight buckets. In 1969, nobody had yet

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heard of aftermarket sheet metal, as we know it today. Before computers, all estimates were written by hand—a slow, arduous process. Also around that time, insurance companies made their customers go around and get estimates from three different body shops, then they generally choose the cheapest one. Needless to say, knowing this, many shops didn’t put a lot of effort into writing estimates. In 1969, it was not uncommon to do collision repairs with a full front or rear clip—made possible because cars were so much simpler. One in particular I recall was done at a local shop, a 1968 Plymouth Road Runner built from two “donor” cars, one severely damaged in the rear, the other severely damaged in the front. The car looked great when they were done. But even my non-technical mind wondered how a car capable of that amount of wheel-torque or speed would fare under severe conditions or worse … a subsequent accident.

or Chrysler vehicles with a smattering of VW’s, Volvo’s, Saabs and Renault’s. Body shops just didn’t like to work on “those foreign cars.” They claimed parts were difficult to get, they could never find the paint code and if they did and could get some paint, it was difficult to match. Eventually, DuPont came up with factory packaged Lucite for import cars and mixing formulas became more readily available.

The Fleet In 1969, the majority of cars on America’s roads were domestic—GM, Ford

www.autobodynews.com

ARIZONA

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The following dealerships are eager to serve your needs. Call your local Subaru collision parts specialist today! 50

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West Valley (844) 378-9875 (623) 232-7202 Local (623) 232-7303 Fax Mon.-Fri. 7-6; Sat. 7-5 WholesaleWest@ShopSubaru.com

The Future The automotive industry and especially the collision repair industry changed a lot in 50 years. I consider myself fortunate to have had the chance to enter the industry at that time and place at Towers, and was able to make a pretty good career of it. Now, two years into retirement, I don’t have to actually “do the work” anymore … I get to follow my other passion … and write about it.

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Tips for Busy Body Shops with Stacey Phillips

How to Leverage the Certified Repair Model OEM certification programs are increasingly becoming a major topic of discussion among collision repair facilities across the country. Scott Biggs, CEO and chairman of Assured Performance Network, recently shared

The team at Mission Viejo Auto Collision in California, an Assured Performance Network certified shop. (l to r) James Dean, Victor De La Torre, Brad Clark, Todd M. Hesford, Kip Hoover and Frank Elo

how to leverage the certified repair provider model during an Elite Body

Shop Academy webinar. Biggs talked about the specialized business tools, processes and strategies that are crucial to successfully operating as a certified repairer in the changing marketplace. “Nearly 90 percent of automakers in the country have a certification program or a repair network of some kind,” said Biggs. “This has permanently changed the collision repair world.” Many shops are adopting a new business model based on becoming a certified repair provider. Not only are the programs being designed to produce a certified repair, but Biggs said they are also focused on offering customers an exceptional repair experience. Part of this includes creating a repair plan that requires OEM procedures, documents every single repair and enforces quality control throughout the business.

Stacey Phillips is a freelance writer and editor for the automotive industry. She has 20 years of experience writing for a variety of publications, and is co-author of “The Secrets of America’s Greatest Body Shops.” She can be reached at sphillips.autobodynews@gmail.com.

tion, which he defined as the process by which goods lose their economic value and are indistinguishable in terms of their uniqueness or brand in Four Contributing Factors to the OEM the eyes of the market. “This means that your product Certification Model Just a decade ago, Biggs said there and what you sell has the same price, was a perfect storm of conditions that look and name,” explained Biggs. In this case, he was referring to body shops having many similarities in the early 2000s, which didn’t allow for them to differentiate themselves from their competitors. Biggs said the second condition that had a significant impact was the negativJoshua Fuller (left) with customer Eric Steinberg at Fuller ity buyers often associated Auto Body in Massachusettts, one of Assured Performance with having a poor collision Network’s certified shops repair experience. “About 62 percent of the time, led to the creation of the compelling if customers had a bad repair, they model that is altering the industry. The first of these is commodiza- would blame it on the car manufacBiggs said these components will help the shop achieve and maintain high efficiency and profitability.

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turer or the car, and they would have the propensity to change brands,” explained Biggs. As a result, car manufacturers were spending excessive amounts of money trying to retain customers. The threat of liability was another condition that Biggs said contributed to the OEM certification model.

Corey Ricketts, a technician at Mission Viejo Auto Collision, using Assured Performance Network’s repair documentation tool to send scan results

“Liability always remains on the repairer or body shop,” explained Biggs. With the advent of advanced safety features in automobiles today, he said functionality is integral to vehicle safety and is critical to the vehicle’s performance to ensure a proper repair. “Even too much paint over a sensor could cause a deathtrap,” he said. The fourth condition that created the perfect storm, according to Biggs, was that the majority of shops didn’t have the necessary equipment and training to repair vehicles properly. “The shops in the industry had no choice,” said Biggs. “They realized they were going to need to retool, retrain and re-engineer. That was a daunting task.” The Formation of Assured Performance Network From his experience working with OEMs and shops across the country as well as sitting on various board of directors of industry associations, Biggs quickly realized something significant needed to be done to help bring about change. He established Assured Performance Network in 2004 to help address what was going on in the industry. 52

The non-profit consumer advocacy organization and certifying entity (501 C6) was created in 2008 to address customer service and quality issues as well as what he referred to as “repair capability.” Within a few years, Assured Performance, the Automotive Service Association (ASA), the Society of Collision Repair Specialists (SCRS) and the Alliance of Automotive Service Providers (AASP) signed a joint position statement acknowledging that OEM repair procedures are the industry’s repair standards. “This is a milestone that has permanently changed the industry,” said Biggs. “Up until that point, it was never official that those OE procedures were, in fact, the default standard in the industry.” Since then, Assured Performance has focused on certifying “bestin-class” collision repair businesses across the country. The company’s strategic partners include several of the largest auto manufacturers including Nissan, INFINITI, FCA, Hyundai and Kia, and others. Nearly 6,000 shops have been through the five-step Assured Performance auditing process, which includes management review and evaluation, proof of compliance, an onsite inspection and audit, and OEM approval. Biggs said that only the top five-to-ten percent of all businesses qualify.

ments are adopted to raise the repairers’ technical capabilities and meet the industry’s growing demands.

Mission Viejo Auto Collision technician Luis Cisneros reviews print out and confirms and documents weld count and location. Management then reviews and confirms communication and documentation from a mobile device or PC

In this environment, Biggs said a shop’s number one job is to increase the value of its business. “If you took two businesses sideby-side and one is certified and one is not, the one that is certified is worth

more,” he said. Biggs highlighted some of the direct and indirect benefits of OE certification: • Being a unique differentiator and having the credentials to prove it; • Increasing market share through growth; • Gaining a competitive advantage to leverage OEM brands and credentials; • Developing and improving performance based on a certified repair culture; • The ability to attract, hire and train the best employees; and • The opportunity to build customer credibility and satisfaction. Biggs also shared Kaoru Ishikawa’s model of 5M Quality Production Management Principals. He said many car manufacturers have been influenced by the Japanese theorist who referenced five principals: Man, Machine, Material, Method and Measurement. Biggs demonstrated how these principals could be applied to the collision repair industry and the certified repair model. See Certified Repair Model, Page 56

The RIGHT

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Quality control/detailer Manual Marquina, Mission Viejo Auto Collision, checks off his final quality control list

“Our number one objective was to achieve full and complete market coverage with qualified operations,” said Biggs. “Certifying these shops has laid the groundwork for the next frontier.” The Benefits of Certification Every year, more rigorous require-

SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

Utah

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autobodynews.com / SEPTEMBER 2019 AUTOBODY NEWS

Hyundai and Kia Airbag Lawsuit Says Airbag Control Units Fail by David A. Wood, CarCompaints.com

A Hyundai and Kia airbag lawsuit alleges both automakers, in addition to parts manufacturer ZF TRW, are guilty of installing defective airbag control units in these models.

• 2012-2016 Kia Optima Hybrid • 2013 Kia Forte • 2013 Kia Forte Koup • 2013-2019 Kia Optima • 2013-2019 Hyundai Sonata • 2013-2019 Hyundai Sonata Hybrid • 2014 Kia Sedona

According to the plaintiff, the airbag problem is especially dangerous because it occurs only when a crash occurs, the very time an airbag is necessary. The allegedly defective component is the integrated circuit of the airbag control unit that can suffer from electrical overstress.

The problem of overstress is allegedly caused by the electrical signals from the airbag sensors which prevent the airbags from deploying. The proposed class-action lawsuit also alleges the seat belt pretensioners will fail at the same time the airbags fail. Hyundai and Kia allegedly knew about the airbag problems for years before finally letting customers know. The plaintiff claims ZF TRW and both automakers investigated airbag failures between 2011 and 2015 but waited until 2015 to inform the National Highway Traffic Safety Administration (NHTSA). Hyundai and Kia also allegedly downplayed the serious defects even when vehicles were finally recalled in 2018. According to NHTSA, airbag failures killed four people and injured six by March 2018 when federal safety regulators opened an investigation into failures in 2011 Hyundai Sonatas and 2012-2013 Kia Fortes. Tennessee plaintiff Jennifer Johnson owns a 2014 Hyundai Sonata she purchased in July 2015 from a Kia dealership. Although she doesn’t claim the vehicle has suffered airbag prob-

lems, Johnson says if she would have known about the airbag control units she wouldn’t have purchased the Sonata.

The plaintiff says Hyundai and Kia vehicles are worth less than they should be because of the airbag control unit problems and allegedly none of the vehicles were fit for ordinary use by consumers when the vehicles were sold. In addition, Hyundai and Kia continued to profit from selling the vehicles by concealing the true nature of the problems. By claiming the automakers

Original Thought #78

YOU ONLY GET ONE CHANCE AT THE FIRST REPAIR. TEXAS

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SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

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knew of airbag problems, the plaintiff points to an incident in August 2011 when a Kia Forte airbag failed in a Chinese crash. An investigation conducted with ZF-TRW allegedly showed the airbag control unit told the airbags not to deploy. Then in February 2012, Hyundai learned of a crash of a 2011 Hyundai Sonata with airbags that failed to deploy. ZF-TRW allegedly determined the airbag control unit had been damaged by an electrical overstress condition. Both Hyundai and Kia issued recalls due to airbag control units that were susceptible to electrical overstress that occurred during crash impacts. But the lawsuit alleges Hyundai and Kia failed to recall all the affected vehicles, making owners believe similar vehicles were safe. The Hyundai and Kia airbag lawsuit was filed in the U.S. District Court for the Central District of California, Southern Division - Johnson, et al., v. Hyundai Motor America, Inc., et al. The plaintiff is represented by Keller Rohrback. We thank CarCompaints.com for reprint permission.

• Original BMW Parts & Accessories 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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omarr@audifortworth.com jasons@audifortworth.com www.audifortworth.com autobodynews.com / SEPTEMBER 2019 AUTOBODY NEWS

Ford Warns Elon Musk That Tesla is Competing With the ‘Ultimate Disruptor’

Ford CEO Jim Hackett admits that the future of the automobile will be electric. Amidst this transition, the CEO noted that there will be disruptors that are bound to emerge. Yet, despite the arrival of these competitors, Hackett believes Ford will ultimately have what it takes to maintain its place in the auto industry. Poppy Harlow of CNN Business, who was interviewing the Ford CEO, mentioned how Tesla CEO Elon Musk remarked that the Detroit-based veteran carmaker will likely not make in the next recession. Responding to the interviewer, Hackett candidly noted while he respects Musk as a competitor, Tesla will be facing a great challenge in Ford because the automaker is a disruptor itself. “There’s a disruptor coming. I happen to compete with a rocket scientist who’s really smart, and I respect that about him. And yet, he’s competing with the ultimate disruptor in Henry Ford. When you go seven miles from here and you see the Rouge Complex, Henry bet the company, he goes bankrupt because there’s no industrial model in the world that has 100,000 people work-

eration. The automaker already sells more electric cars than any other car company on the market, but production-wise, Tesla’s factories are yet to achieve the same unanimous recognition as Henry Ford’s River Rouge facility. This, according to Hackett, is where Ford has a distinct advantage over Tesla. Thus, the CEO noted that he is not too worried about competition from the Silicon Valley-based electric car maker. “So let’s go back to the challenges of the disruptor. How well does their pro2019 Ford F-150 Raptor. Credit: YOURCAR via Youtube duction system work? How Hackett’s statements harken fast were they building cars? Which back to what could very well be the is saying that fitness, as we were saymost disruptive era of Ford’s history. ing, is a compendium of things that Led by Henry Ford, the company you have to get right. It’s not just the opened its River Rouge factory in technology in this case. You have to 1917, and it revolutionized the pro- have an industrial model. Ford’s reduction of automobiles to such a de- ally good at this,” Hackett said. Apart from his statements about gree that Henri Citroën, Louis Renault and Kiichiro Toyoda, the the competition rising from compafounder of Toyota, all visited the nies like Tesla, the Ford CEO stated that the Detroit-based automaker is plant to study how Ford operated it. Tesla, for its part, has exhibited fully committed to the transportation great growth over its 16 years of op- industry’s shift to autonomous vehiing in it. That one did, and [it] took 12 hours to build a vehicle before [Henry Ford] built it. It went down to 52 minutes. Today, we build an F-150 every 53 seconds,” Hackett stated.

Continued from Page 52

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AutoNation Names Cheryl Miller CEO, President

AutoNation, Inc., America’s largest automotive retailer, announced on July 22 that Cheryl Miller, AutoNation’s chief financial officer, has been appointed chief executive officer and president, replacing Carl Liebert. Miller is the first female CEO of a publicly-traded automotive retailer. “On behalf of AutoNation, I would like to thank Carl for his service, including the passion and enthusiasm he brought to the company. We wish him all the best in his future endeavors,” said Mike Jackson, AutoNation’s executive chairman. Jackson went on to say, “Cheryl has extensive knowledge of automotive retail, having been with AutoNation since 2009 and served as CFO since 2014. In addition, her broader career, including at JM Family Enterprises and Alamo/National Car Rental brands, will bring outside, industry-leading, automotive experience to the role, as AutoNation continues to build its core business and brand extension strategy.”

SEPTEMBER 2019 AUTOBODY NEWS / autobodynews.com

cles. Hackett said he expects Ford to have fully autonomous cars ready by 2021, which will be ready for realworld testing without human drivers. Similar to Musk’s statements, the Ford CEO mentioned that the company’s self-driving initiatives will largely be dependent on regulators. For now, and with upcoming vehicles such as the Tesla Pickup Truck preparing to enter its most profitable segment, Ford is keeping busy by establishing strategic partnerships. Among these involve electric truck startup Rivian, which received a $500 million investment from Ford, and Volkswagen, whose partnership will allow the companies to come up with two new electric vehicles for the European market. Ford has also invested $1 billion in Argo, a company that develops autonomous driving technology. We thank Teslarati.com for reprint permission.

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