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NY-based MSO Collision Experts Drops State Farm’s Select Service Due to Parts Procurement Requirement Collision Experts, a New York-based MSO with two locations, said it will no longer be included in State Farm’s Select Service Program because the collision repair shop wants to have the right to decide where to purchase its parts. State Farm’s customers can still choose to have their vehicles repaired at Collision Experts’ shops in Schenectady or Clifton Park, but the national office may no longer refer customers to Collision Experts. Collision Experts CEO and owner Maryann Bowman said it was more important for Collision Experts

to have the freedom to buy parts from trusted vendors that the company has built relationships with over the years rather than be included in State Farm’s Select Service Program, which requires collision repair shops to purchase parts from PartsTrader. Richard Bowman said “Many of my parts vendors signed up with PartsTrader so we couldn’t use them.” “Sometimes you have to part ways in a partnership,” said Maryann Bowman. “In this case, I believe that the national changes don’t work for my business model. We do not want

Despite vehement opposition from a handful of residents, the Napa Planning Commission approved a city zoning change that will allow MSO Mike’s Auto Body to expand its operations to two adjoining parcels on Vallejo Street, according to the Napa Valley Register. The properties, 819 and 827 Vallejo St., were previously zoned for residential housing. Much to the chagrin of others who tried to purchase the land in the past, the city had previously said it was not available for business purposes. “I tried to buy the properties in 2007 for overflow parking for my business,” said Napa resident Geor-

gene Liehau. “But my realtor was told by the city’s planning department that the property would never be rezoned. So I want to understand why I was told ‘no,’ and now this company is told ‘yes’.” According to Napa associate planner Michael Allen, the city typically tells people they cannot rezone residential land for commercial uses. “In fact, we told this applicant no at first, too,” said Allen. “However, Mike’s Auto Body did their homework. They showed us why it would be a good move and brought forward a project that made sense.” Mike Rose, who owns Mike’s

See Collision Experts, Page 16

Mike’s Auto Body Wins Zoning For Expansion

See Mike’s Auto Body, Page 9

VOL. 32 ISSUE 4 APRIL 2014

Utah Offers Grants to Body Shops to Convert to Waterborne, Not Many Applicants So Far by Ed Attanasio

As the collision industry in Utah undergoes the transition to waterborne paint and everything that comes along with it, many are embracing the new products, techniques and equipment while others are not as enthusiastic. The state deadline for Waterborne Paint Trainer Jeff Brasier (right) from Supewaterborne is looming (July 1, rior Paint Supply demonstrates waterborne application 2014) and as was the case in techniques for Corey Kaggie, a painter at ACS Precision other states with similar man- Finish in Salt Lake City dates, some shops are waiting until the so it’s more of a hand up than a handout, according to the state’s Division of Air last moment. But some valuable news involving grants might just speed up the Quality and the Utah Clean Air Partnerconversion process for body shops that ship (UCAIR), a statewide alliance that were previously lagging. Any body shop was created to make it easier for indithat wants the state grant money will viduals, businesses and communities to See Utah Offering Grants, Page 31 have to match the grant dollar for dollar,

Maryland Parts Bill Gets Unfavorable Vote in Cmte

In a vote in the MD House Economic Matters committee on March 14, Maryland House Bill 574 (HB574), sponsored by Delegate John A. Olszewski, Jr., received an unfavorable report out of the committee. Introduced in January, HB574 and its companion, Senate Bill 487, sponsored by Senator John C. Astle, sought to prohibit insurance company personnel from specifying a specific vendor for parts or materials or part procurement process, and would have required OEM crash parts for a period of three years after the date of manufacture of a vehicle. In a 16 to 7 vote on March 14, the MD House Economic Matters committee voted for an unfavorable report on HB574. In Maryland, committees report to the legislature on the bills that are assigned to them as favorable, with or without amendment, unfavorable, or without recommendation. Having been voted out of committee, the bill now returns to the floor of its

chamber of origin accompanied by a report of committee action for consideration. No action has yet been taken on SB487. The bills provided common ground for insurers and non-OEM parts suppliers in opposition. Several insurance and aftermarket parts groups testified in opposition to the bill. Repair facility operators that support the legislation believe it protects consumers and preserves a repair facilities ability to manage its operations. The Washington Metropolitan Auto Body Association, WMABA, supports the proposed legislation believing it necessary to protect the rights of repair facilities to operate their business independently and protect consumers. The Automotive Body Parts Association (ABPA) publicly denounced the legislation prohibiting insurers from requiring the use of alternative collision parts on vehicles less than See Maryland Parts Bill, Page 22

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2 APRIL 2014 AUTOBODY NEWS | www.autobodynews.com


COLUMNS Attanasio - Louisiana Shop Owner Uses Twitter to Survey Other Shops in Real Time . . . . . . 50 Franklin - A Missing Hat In Most Shops. . . . . . 32 Sisk - LaCIA Meets to Talk Progress and Future Plans . . . . . . . . . . . . . . . . . . . . . . . . 26 Sisk - MSCRA Conducts Outreach to Industry . 54 Yoswick - 20 Years Ago In The Collision Repair Industry (April 1994) . . . . . . . . . . . . 44 Yoswick - Helpful Documents, Tools, Information Only a Click Away For Shops . . . . . . . . . . . 20

NATIONAL ‘Kiss Bandits’ Vandalize Cars at Body Shop in Saddle Brook, NJ, Doing $40K in Damage . 55 3D-Printed Concept Car at Geneva Auto Show . 65 AAAS Busy Strengthening Industry in 2014 . . 30 ABRA Acquires 13 Repair Centers in Charlotte, NC . . . . . . . . . . . . . . . . . . . . . 57 Afgan War Veteran Wins ‘Metal of Honor’ from CollisionMax in Pennsauken, NJ . . . . . . . . . 40 AkzoNobel Celebrates Milestone during Conference . . . . . . . . . . . . . . . . . . . . . . . . 64 Applications for Five $1,000 AMI Scholarships to Attend 2014 NACE and CARS Events Due June 20, 2014. . . . . . . . . . . . . . . . . . . 62 ASA Announces Incentives for Select I-CAR Qualified Shops to Attend NACE/CARS . . . . 37 ASA’s Annual Business Meeting Held in Kansas City . . . . . . . . . . . . . . . . . . . . . . 62 Auto Body Bills in Rhode Island Draw Heavy Fire, Accusations of Lying . . . . . . . . 46 Auto Industry Champion, John Dingell (D), to Retire . . . . . . . . . . . . . . . . . . . . . . . . . . . 65 Autorama World of Wheels’ Student Career Day . 59 Car-O-Liner Offers New Ford 2015 F-150 Equipment . . . . . . . . . . . . . . . . . . . . 63 CARSTAR Extends Partnership to

Offer AutoWatch. . . . . . . . . . . . . . . . . . . . . 65 CIF is Now the Charitable Conscience of the Industry . . . . . . . . . . . . . . . . . . . . . . . . 38 Collision Repair Education Foundation Golf Fundraiser. . . . . . . . . . . . . . . . . . . . . . 61 Colors Edge Named PPG Platinum Distributor of the Year . . . . . . . . . . . . . . . . . 59 Education Foundation Doubled Down on Its Future in 2013 . . . . . . . . . . . . . . . . . . . . 48 Ford Recommends LORD Fusor in F-150 Repairs . 60 Ford Sued Over Patented Turn Signal Technology . 64 Freak Tire Accident Kills Gainesville Body Shop Employee, Injures Shop Owner, Driver Also Shop Worker . . . . . . . . . . . . . . . . . . . 64 Get Ready for Earth Day with LKQ Get Green Promotion . . . . . . . . . . . . . . . . . . . . 61 GM Readying Aluminum Body Trucks for Late 2018 . . . . . . . . . . . . . . . . . . . . . . . 60 GM's Handling of Fatal Switch Recall Being Investigated . . . . . . . . . . . . . . . . . . . 60 IAA’s Bill Mayer Re-Elected To NABC Board Of Directors . . . . . . . . . . . . . . . . . . . 64 I-CAR Has Implemented a New Initiative to Close OEM Informational Gaps . . . . . . . . 42 I-CAR Introduces Training Solution for Full-frame Partial Replacement Repairs, Replaces Two Other Courses . . . . . . . . . . . 62 Is My Gas Can Safe? . . . . . . . . . . . . . . . . . . . 36 Italian-American NY Shop Owner Receives Award . 24 Keenan Auto Body’s 16th Charity Golf Outing is June 5 . . . . . . . . . . . . . . . . . . . . . 59 Latest Edition of CIECA-TV: E-Commerce Done Right . . . . . . . . . . . . . . . . . . . . . . . . . 61 Maryland Parts Bill Gets Unfavorable Vote in Cmte. 1 Michigan’s HB 5339 Seeks to Address Steering, Non-OEM Parts, and Parts Procurement . . . 45 Minnesota Bill Proposes More Comprehensive Restrictions on Insurer Vendor Requirements . 57 Mitchell Acquiring FAIRPAY . . . . . . . . . . . . . . 61 Mitchell Announces Liability Adjusters’ Software Release . . . . . . . . . . . . . . . . . . . . 61 Montana Shop Open to Airmen Working on their Own, Offers Training in Paint and Body Repair . 17 NABC Accepting Nominations for Industry Awards. 62 NACE/CARS and Industry Week 2014 Update: Show Expected to Double in Size . . . . . . . . 17 NAPA Collision Conference in Orlando, FL, April 15–17 . . . . . . . . . . . . . . . . . . . . . . . . 64 NC Shop Wins Nationwide Short-Pay Arbitration Case . . . . . . . . . . . . . . . . . . . . . 41 North Texas Student Says Two Mobile Dent Repair Businesses Took Him for a Ride. . . . 24 NY-based MSO Collision Experts Drops State Farm’s Select Service Due to Parts Procurement Requirement . . . . . . . . . . . . . . 1 NYC Potholes Take Toll on Tires but not Crashes . 56 PA Body Shop Owner Wants More Gov. Oversight. 64 Paice Sues Ford for Patent Infringement on Hybrids . . . . . . . . . . . . . . . . . . . . . . . . . 63 PPG Announces Distributor Training Schedule . 63 Premiere Services Partners with LKQ on Electronics . . . . . . . . . . . . . . . . . . . . . . 65 Preston Group Now Gold Class . . . . . . . . . . . 59 Pro Spot Donates Over $115K in Welders to Schools . . . . . . . . . . . . . . . . . . . . . . . . . 59 Property and Casualty Insurers Hit With Antitrust Suit by Florida Auto Body Shops . . 41 RDA Board Tours East Valley Institute of Technology. . . . . . . . . . . . . . . . . . . . . . . 13 Record $9.4M Donated to Collision School Programs . . . . . . . . . . . . . . . . . . . . 63 San Rafael Honors 3 Businesses at ‘State of the City’ dinner . . . . . . . . . . . . . . . 12 SEMA Data Co-op Grows 300% . . . . . . . . . . . 61 SEMA Seeks Nominations for Hall of Fame by March 21, 2014 . . . . . . . . . . . . . . 61 Sherwin-Williams Vendor of the Year Award Winners. . . . . . . . . . . . . . . . . . . . . . 63 Shop Owner in Helena Arkansas Creates Shelwes Automatic Contour Sander . . . . . . 58 Sustainability Challenge Grant Winners Announced. . . . . . . . . . . . . . . . . . . . . . . . . 63 Testimony on Maryland Parts Bill Involves Representatives from WMABA, PCI, LKQ, CAPA and Shops, Some Repairers ‘Cannot Afford to Refuse’ PartsTrader . . . . . . . . . . . 52 Transtar Acquires ETX . . . . . . . . . . . . . . . . . . 61 Universal Technical Institute and mikeroweWORKS Foundation Launch $1 Million Scholarship Program . . . . . . . . . 59 WMABA Responds to Unfavorable Vote . . . . . 53 Zurich Insurance Cuts Jobs to Boost Profitabiltiy . 64

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REGIONAL 3-Alarm Fire at San Francisco Cab Company Body Shop . . . . . . . . . . . . . . . . . . . . . . . . . 13 A Modern Body Shop is a Lean Body Shop Says Capitol Collision. . . . . . . . . . . . . . . . . 18 A Statement from the New President of Glendale/Foothill Chapter, Daniel Panduro of Fix Auto Sun Valley (Edited) . . . . . . . . . . 10 Arizona Body Shop Launches Free Online Estimating Tool for Consumers, Aims to Demystify Customer-Pay Decisions . . . . . . 18 ASA-AZ Golf Outing is April 25, Procedes to Scholarships . . . . . . . . . . . . . . . . . . . . . 13 Auto Collision Repair Program Open House at Portland CC . . . . . . . . . . . . . . . . . . . . . . 12 Bill Luke Fiat Comes from a Long Line of True Pioneers . . . . . . . . . . . . . . . . . . . . . . 6 CAA Santa Clara Chapter Meeting to Host Scott Biggs to Talk on OEM Certification: The Next Frontier . . . . . . . . . . . . . . . . . . . . . 4 California’s Largest Insurers’ Community Development Investment Policies Now Available on CDI Website . . . . . . . . . . . . . . . 4 CARSTAR Adds Location in Palmdale, CA. . . . 13 FIX Auto Adds Five New West Coast Locations . 12 Franklin - CAA Glendale/Foothill Chapter Meeting, February 18, 2014 . . . . . . . . . . . . 10 How Do Your Estimates Compare with the Industry’s Top Performers? . . . . . . . . . 14 Mammoth Lakes, CA, Shop Guy Became Fixer at the Olympics . . . . . . . . . . . . . . . . . 12 Mike’s Auto Body Wins Zoning For Expansion . . 1 Pole Position Raceway Hold DUI PS Message Event. . . . . . . . . . . . . . . . . . . . . . 49 Power Up at the 2014 WIN Educational Conference in San Diego, CA, May 5–7, ‘14. . 6 Safelite Dropped From Rollover Suit by Nevada Court . . . . . . . . . . . . . . . . . . . . . . . . 4 SCRS and CIC are April 8–9, 2014, in Portland, OR . . . . . . . . . . . . . . . . . . . . . . . 16 SEMA Product Development Expo on April 10 in CA. . . . . . . . . . . . . . . . . . . . . . . 16 Sisk - ASA-AZ Meets to Discuss Survival Skills for Service Advisors . . . . . . . . . . . . . . 8 Sisk - CAWA Expands Advocacy Reach through Coalitions Involvement . . . . . . . . . 14 Susan McDaniel and Her Career at Bill Luke . . . 6 UT Companies Gift Car to Single Mom with Autistic Son . . . . . . . . . . . . . . . . . . . . . 9 UT Deputy Accused of DUI Crash Resigns, To Be Arraigned . . . . . . . . . . . . . . . . . . . . . 12 Utah Offers Grants to Body Shops to Convert to Waterborne, Not Many Applicants So Far . 1

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Audi Wholesale Parts Dealers . . . . . . . .60 Automotive ID . . . . . . . . . . . . . . . . . . . . .9 AutoNation Chrysler-Jeep-Dodge-RamFIAT . . . . . . . . . . . . . . . . . . . . . . . . . .10 AutoNation Chrysler-Jeep-DodgeRam of North Phoenix . . . . . . . . . . . .12 Axalta Coating Systems . . . . . . . . . . . . . .5 Bill Luke Dealerships . . . . . . . . . . . . . . . .7 BMW Wholesale Parts Dealers . . . . . . .47 Bob Smith BMW . . . . . . . . . . . . . . . . . .41 Bob Smith MINI . . . . . . . . . . . . . . . . . . .41 CCC Information Services . . . . . . . . . . .15 Certified Automotive Parts Association (CAPA) . . . . . . . . . . . . . .27 Chapman Scottsdale Autoplex . . . . . . .17 Classifieds . . . . . . . . . . . . . . . . . . . . . . .66 Colortone Automotive Paints . . . . . . . . .14 Creative Metal Manufacturing . . . . . . . .26 DCH Chrysler-Jeep-Dodge-Ram . . . . . .45 DCH Kia of Temecula . . . . . . . . . . . . . . .45 Downtown Motors of LA (Audi, VW, Porsche) . . . . . . . . . . . . . .33 Drew Hyundai . . . . . . . . . . . . . . . . . . . .57 East Bay BMW-MINI . . . . . . . . . . . . . . . .31 Elk Grove Toyota . . . . . . . . . . . . . . . . . .38 Enterprise Rent-A-Car . . . . . . . . . . . . . .18 Equalizer Industries, Inc . . . . . . . . . . . .24 Ford Wholesale Parts Dealers AZ, CA, NV & UT . . . . . . . . . . . . . . . .43 Galpin Motors . . . . . . . . . . . . . . . . .30, 40 Glenn E. Thomas Chrysler-Jeep-Dodge .21 GM Wholesale Parts Dealers . . . . . . . . .65 Honda-Acura Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . .34-35

Serving California, Nevada, Arizona and Utah. Autobody News is a monthly publication for the autobody industry. Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher. ©2014 Adamantine Media LLC. Autobody News P.O. Box 1516, Carlsbad, CA 92018 (800) 699-8251 (760) 603-3229 Fax www.autobodynews.com Email: news@autobodynews.com

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Contents

Hyundai Wholesale Parts Dealers . . . . .48 Kearny Mesa Subaru-Hyundai . . . . . . .53 Ken Garff Automotive Group . . .19, 28-29 Kia Motors Wholesale Parts Dealers . . .51 LKQ . . . . . . . . . . . . . . . . . . . . . . . . . . . .67 Los Gatos Luxury Cars . . . . . . . . . . . . .37 Maita Subaru . . . . . . . . . . . . . . . . . . . . .32 Malco . . . . . . . . . . . . . . . . . . . . . . . . . . .11 Matrix System Automotive Finishes . . .16 Mazda Wholesale Parts Dealers . . . . . .63 MINI Wholesale Parts Dealers . . . . . . . .46 Mitsubishi Wholesale Parts Dealers . . .52 Momentum Auto Group . . . . . . . . . . . . .25 MOPAR Wholesale Parts Dealers . . . . .39 Mossy BMW of Vista . . . . . . . . . . . . . . .13 Nissan/Infiniti Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . . . . .56 Pro-Spray . . . . . . . . . . . . . . . . . . . . . . . . .2 Reliable Automotive Equipment, Inc . . .23 Replica Plastics . . . . . . . . . . . . . . . . . . .42 Riverside Metro VW-Honda-HyundaiNissan-Mazda . . . . . . . . . . . . . . . . . . .8 Shingle Springs Nissan-Subaru . . . . . .49 Sierra Chevrolet-Honda-Mazda-Subaru .36 Sonnen BMW . . . . . . . . . . . . . . . . . . . . .20 South Bay Volkswagen . . . . . . . . . . . . . .4 Subaru Wholesale Parts Dealers . . . . . .55 Toyota Wholesale Parts Dealers . . . . . .59 Valspar Automotive . . . . . . . . . . . . . . . .68 Volkswagen Wholesale Parts Dealers . .61 Volvo Wholesale Parts Dealers . . . . . . .58 Weatherford BMW . . . . . . . . . . . . . . . . .22

www.autobodynews.com | APRIL 2014 AUTOBODY NEWS 3


California’s Largest Insurers’ Community Development Investment Policies Now Available on CDI Website In 2010 Assembly Insurance Committee Chair Jose Solorio authored AB 41, requiring each insurer that collects more than $100 million in premiums from Californians to file a policy statement detailing that company’s goals for community development and infrastructure investments in underserved communities. Insurance Commissioner Dave Jones announced March 14 that the community investment policies of the top 206 insurance companies are now available on the California Department of Insurance website. “I encourage those seeking investments in underserved communities to review these investment policies,” said Commissioner Jones. “By knowing what types of investments California insurers plan to make, as well as their decision process on making investments, community organizations seeking investments can target their pitch to the right people at the right insurance companies.” Of the 206 insurers that were required to file policy statements, all filed statements that fully satisfied the statute. Insurers with formal community development policies are more likely to make community development investments.

Insurers provided specific information on their community investment policies, specific goals, and contact information for insurer investment staff. A major life insurer reported that the company “supports community development ventures that do not meet the customary investment criteria of private and institutional investors, usually structured as loans, social investments offer favorable terms for projects that address significant social needs. In general the program is seeking organizations with a record of achievement and the potential for growth that apply innovative approaches to emerging or intractable social problems.” Another large California-based company “has historically invested in local communities through small community banks and low-income housing developments and will continue to evaluate opportunities for similar investments that are aligned with these principles.” California law provides that insurance companies that write a substantial amount of insurance in California should be encouraged to invest in community development projects that benefit low-to-moderate income and rural communities.

CAA Santa Clara Chapter Meeting to Host Scott Biggs to Talk on OEM Certification: The Next Frontier

When: Wednesday March 19, 2014 6pm Where: 3 Flames Restaurant 1547 Meridian Ave San Jose Cost: $25 CAA Members, $35 NonMembers

Scott Biggs is the CEO and founder of Assured Performance Network, headquartered in Irvine, California. Assured Performance is a Co-Op and non-profit consumer advocacy organization that provides 3rd party Certification for Ford, Chrysler, GM, Nissan, Enterprise, and others. Their joint-effort program provides certification for at least 2,500 shops nationally. Assured Performance is also the largest Co-Op for collision repair businesses in the world with approximately 3,500 Member body shops. In the last 8 years, Assured Performance has provided body shops with over $12 Million in rebates. Biggs has been a highly visible and active part of the collision industry for 30 years starting with a stateof-the-art management system and later through products such as Body Shop Video Magazine, Collision Concepts (audio industry news), Business

Development Group, EOM, eBOSS, BodyShopTV.com, and now Assured Performance Network. During his 30 years in the industry, Biggs has delivered over 850,000 hours of management education with over 7,000 class attendees. Scott was the host and founder of the Collision Business of the Year Awards, and the Night to Remember program, administrator of the Hall of Eagles for 13 years, and an original co-founder of the National Auto Body Council (NABC). Biggs has been recognized twice with the SCRS Industry Achievement Award, inducted into the Collision Industries Hall of Eagles, and recognized as one of the 25 most influential leaders in the Collision Industry. Biggs is also the author of numerous business books, video programs, and management workshops. Biggs has degrees in Communications and Business, and a graduate degree in Industrial Psychology.

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4 APRIL 2014 AUTOBODY NEWS | www.autobodynews.com

Safelite Dropped From Rollover Suit by Nevada Court

Safelite Group has been dismissed from the lawsuit by a woman who says she lost both her husband and young daughter in a rollover crash, according to documents filed in the U.S. District Court in Clark County, NV. Iwona Patnaude initially alleged that the windshield separated from the vehicle in a North Dakota crash and listed Safelite as a defendant in her suit, claiming the company had replaced the windshield. The U.S. District Court for Clark County, NV, issued an “order to dismiss Safelite Group” from the lawsuit “with prejudice,” meaning the company cannot be sued again in the matter. “After a thorough inspection of the vehicle and the windshield by an expert accident reconstructionist, we are extremely confident in the quality of the windshield installation, and contrary to the allegations in the lawsuit, the roof did not collapse,” says Melina Metzger, PR manager for Safelite. Brian DiMasi, senior corporate counsel for Safelite, adds, “We continue to extend our sympathies to the Patnaude family for their loss. Tragedies like this serve as an important remind in our industry that we all must hold

ourselves to the highest possible standards for the safety of our customers.” The company entered no settlement agreement with Patnaude, Metzger noted. In late 2011, Jason Patnaude, Iwona Patnaude’s spouse, was driving a Toyota Tundra Westbound on I94 in North Dakota when he began to “slide upon contacting a patch of snow and ice on the roadway.” Both Iwona and Victoria Patnaude, her daughter, were passengers in the vehicle at the time of the accident. “Directional control of the subject Tundra was lost and could not be regained,” attorneys wrote in court documents. “The subject Tundra crossed the highway’s median and rolled over across the Eastbound lanes and off the roadway. … Jason R. Patnaude and Victoria Patnaude sustained fatal head injuries in the crash. Jason R. Patnaude and Victoria Patnaude died at the scene.” Safelite PR manager Melina Metzger had confirmed the company performed a windshield replacement on the vehicle six years prior to the accident.

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www.autobodynews.com | APRIL 2014 AUTOBODY NEWS 5


Bill Luke Fiat Comes from a Long Line of True Pioneers In 1873, a teenager with an adventuresome spirit rode into a remote western town populated by about 1,000 hardy souls, liked what he saw, and decided to put down his roots in the desert. His name was Frank Luke and the town was Phoenix. In the years that followed, Frank married, raised nine children, prospered in business and spent the last 20 years of his life in public service. At the time of his death, in 1939, he was State Tax Commissioner.

Frank Luke Jr. was the fifth child of Ottilia and Frank Luke. He only lived for 21 years but his name and deeds will live forever in American military history. Second only to Captain Eddie Rickenbacker as the leading ace of World War I, Luke was credited with 18 kills in nine months of combat. Rickenbacker was quoted

as saying “Had he (Luke) lived, he would have put me out of business as the Army’s leading ace.” Lieutenant Frank Luke, Jr. was posthumously awarded the Congressional Medal of Honor, had a statue erected in his memory in the mall of the State Capitol and was further honored when Luke Air Force Base was named after him.

William ‘Bill’ Luke was the youngest of Ottilia and Frank Luke, Sr.’s nine children. He was always fascinated by machines and in 1927, at the age of 18, jumped at the opportunity to get in on the ground floor of a young, growing industry. He was to become the founder of Bill Luke Chrysler-Plymouth and continued as head of the automobile dealership until his passing in 1988. During his years as an automobile dealer, Bill Luke found time to pursue interests in farming, cattle ranching, and was a breeder of thoroughbred horses. At one time he owned a stable of 70 race horses and won the Arizona Breeders Award many times. Dorothy and Bill Luke had five children. The youngest was named Donald ‘Don’ Luke, and, like his father, displayed an early interest in machines. He began working in the family business at the age of 13, progressed up the ladder to General Manager and then to President and CEO of the Bill Luke Dealerships. Don has three sons, Ryan, Chris, and Eric— bringing the total number of direct descendants of the Arizona pioneers, Ottilia and Frank Luke, Sr., to well over 100. In May of 2012, The Bill Luke Automotive Group added Bill Luke

Fiat to it’s line-up. Bill Luke Fiat is located in the Tempe Autoplex in Tempe, AZ. Eric Luke is the Fiat Director and has remained in the top 3 of the Phoenix Zone for car sales since taking over the franchise. This article was previously published in April 2013 Autobody News.

6 APRIL 2014 AUTOBODY NEWS | www.autobodynews.com

Susan McDaniel and Her Career at Bill Luke

ABN: How did you get started on being a Parts Manager? I started out working for Chief Auto Parts stocking shelves on the corner of 4th Avenue and 16th Street in Yuma, AZ. I began working for Bill Luke Chrysler Plymouth in 1988. This November will mark my 26th year with the company now named Bill Luke Chrysler Jeep Dodge & Ram. I have seen many changes over the years since working on that small retail parts counter in the store originally Susan McDaniel built in the 1960’s. In the early 1990’s, Don Luke purchased a Dodge Dealership next door to the Chrysler Plymouth Store and then a year later added a Jeep franchise. ABN: So you worked your way up to become a Wholesale Parts Director? In 1992, I began working on the wholesale counter and soon after was named the Wholesale Manager. In 1997, I became the Assistant Parts Manager and in April 2000 I was promoted to Parts Manager. In June of 2004, we moved the Chrysler Jeep and Dodge stores Parts Departments and Body Shop into a beautiful 150,000 square foot building that was once our back lot. Today, I am the Parts Director of our Chrysler Jeep Dodge Ram location on Camelback Rd. and I-17 and our Suzuki Fiat Parts Department in Tempe, AZ. Between the two Parts Departments, we stock over 1.4 million dollars in inventory. ABN: You’ve also been involved with the Mopar Masters Guild, right? Yes. MMG is a national parts managers’ guild representing the best dealerships that started in the early 1990s. I am a former Parts Guild President for the Phoenix Chapter and currently hold the office of Secretary for The Mopar Masters Guild of which I have been a member since 2001. Today I really feel like I have made a difference.

Power Up at the 2014 WIN Educational Conference in San Diego, CA, May 5–7, 2014

Attendees will “Power Up” to be the best they can be at the annual Women’s Industry Network (WIN) Educational Conference May 5–7, 2014, at the Paradise Point Resort and Spa in San Diego, CA. The conference will feature keynote speakers Colette Carlson and Dr. Verna Cornelia Price, and cover everything from sustainability, a trending issue in the collision industry, to honing your negotiation and interpersonal skills. “We are thrilled to have the opportunity for Dr. Price and Ms. Carlson to address the WIN members at this year’s Educational Conference,” said Jessica Rob, co-chair of the conference planning committee. “Their messages are in alignment with WIN’s mission; their presentations focus on personal power, masterful communication, change and positivity in the workplace.” In the inaugural year of WIN’s presentation of the Most Influential Women awards, the gala dinner will focus on recognizing women who have been nominated by their peers as outstanding business and civic leaders. 2014 will also usher in a new era of scholarships for WIN. For the first

time, WIN will award tuition scholarships to applicants from both secondary and post-secondary schools as the winners pursue their education in technical colleges across the country. Some of those winners will be in attendance at the conference. Additional special events will include welcome luau dinner on the beach and the annual scholarship walk. In addition, WIN is focusing on reducing their carbon footprint for the conference to foster a more sustainable future by reducing printed materials (invitations, brochures, and program materials), shifting in-session practices to reduce waste, and shifting resources from purchasing giveaways” to the scholarship fund. Registration opens in March 2014. Learn more about the conference at http://thewomensindustrynetwork.ning.com/page/2014-conference

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Western Associations

Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@chasidyraesisk.com.

ASA-AZ Meets to Discuss Survival Skills for Service Advisors with Chasidy Rae Sisk

On Saturday, February 22nd, the Auzona. Most attended to learn better tomotive Service Association of Ariways on how to communicate with zona (ASA-AZ) hosted a course others [came for] a rewith Chasidy Rae customers, Sisk entitled Survival Skills for Service Adfresher course.” visors at the Phoenix Airport Hilton. The focus of the event was on the Luz A. Rubio, Executive Director of importance of developing good communication skills, and the group discussed various scenarios with Chasidy Rae Sisk and examples, examining the best way to handle each unique situation. “Being able to listen to the customer with Chasidy Rae Sisk and addressing the reason they came into the shop should be the primary focus. Being able to educate and inform with Chasidy Rae Sisk the customer on the ASA-AZ, says it was a “great class! importance of maintaining their vehicle We had 30 Service Advisors in attenin order to prevent costly repairs was dance, representing shops around Arialso an area of focus,” Rubio told us.

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Attendees’ expectations were exceeded, Rubio believes. “Several experienced service advisors who have been in their position for more than ten years enjoyed the class and walked away with at least one idea that they can implement to improve how they have been doing their job.” In 2014, the ASA-AZ’s goal is to provide their members with education and training by attracting indus-

try speakers who will share fresh content that members can relate to and learn from. “The benefit of being a member is the opportunity to exchange ideas with peers and learn from each other. We promote that we are not an association of competitors, but an association of peers where we identify challenges and come up with ideas that will maximize the success and longevity their businesses.” ASA-AZ is very excited to offer a full calendar of meetings, events and

with Chasidy Rae Sisk

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roundtables this year as they continue to strive to provide a forum for members to share valuable information that will help elevate the standard in the in-

dustry. Rubio poses a question: “Where else can you go to exchange information with your peers, people that have found what works or what does not? We urge shop owners to attend these events and network with their fellow peers; the return on their membership investment will be more than just financial.”

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UT Companies Gift Car to Single Mom with Autistic Son

Elizabeth Melde walked in to Martins Collision Repair with no idea she would leave in a new set of wheels. The body shop, and several other local companies, teamed up to fix a car donated by Bear River Mutual Insurance that was legally totaled, bring it back to tip-top shape and donate it to a family in need. Melde and her two children fit the description perfectly. Her son, Jackson, 5, is autistic and suffers from severe hemophilia, and needs to get to the doctor quickly when in need. Her new sedan will help alleviate the pressure, and danger of not having her own vehicle. Melde’s old car was running on a leaking head gasket for six months before it finally gave out. “I’ve just been being optimistic,” Melde said. “Hoping I’ll get to my next destination.” She had pulled over more and more frequently to let the car cool down after it overheated, making her kids later and later to school. All those worries are gone now. “I’m just in shock,” she said. “This is a miracle right now. I’ve Give your opinion on never heardus of anything like this happening to anyone.” It happens to be in her favorite color, turquoise.

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Mike’s Auto Body

Auto Body shop at 804 Napa St., proposed building a new, 1,986-squarefoot structure that would serve as shop office space and a covered vehicle wash bay. He will connect his expansion to Soscol by way of a driveway so Vallejo street will not see increased traffic from commercial trucks, he said. Napa Street lost its link to Soscol when the Napa Wine Train track was relocated, which occurred during Napa Flood Project work. Afterward, Vallejo Street became the area’s main connection to Soscol Avenue, which often caused traffic jams along the mostly residential road. Allen said that because the auto shop’s expansion would reconnect the two streets, thereby reducing traffic on Vallejo Street, it made the proposal more attractive to the city planning department. “Because of the traffic reduction and the fact that these lots have been vacant for more thanthe 20 years, staff felt matters affecting industry. that this was a strong project,” he said. Allen’s response outraged several Vallejo Street residents, who

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cursed loudly from the audience and disagreed with his argument. “The reason the lots have sat empty is because the city wouldn’t let anyone do anything with the land,” said Colleen Moore, who lives at 877 Vallejo St. “I think this is an unfair situation and I don’t understand why the rules could be changed for certain people.” But the Planning Commission agreed with city staff’s conclusions and approved the general plan zoning amendment unanimously. “I was concerned about losing residential lots when I first saw this project,” said Commissioner Gordon Huether. “But it’s a good project, it makes sense and I commend the applicant and staff for what they’ve done.” Commissioner Paul Kelley sympathized with frustrated neighbors, but ultimately supported the zoning change. “Traffic is going to be diverted, access to Soscol will be provided and it will be a great thing for the shops and the neighborhood in general,” he said. Mike RoseWant does not the property toown Contribute yet, but will either purchase the land or lease it and construct the new building, said Allen.

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Western Associations with Thomas Franklin

Tom Franklin has been a sales and marketing consultant for fifty years. He has written numerous books and provides marketing solutions and services for many businesses. He can be reached at (323) 871-6862 or at tbfranklin@aol.com. See Tom’s columns at www.autobodynews.com under Columnists > Franklin

CAA Glendale/Foothill Chapter Meeting, February 18, 2014 The California Autobody Association I-Car. He said Gene was a major help Glendale-Foothill Chapter met Tues- in providing understanding of shop isday, February 18, 2014, at the Brook- sues and he has invited Gene to parside Country Club, 1133 with EdRosemont Attanasioticipate in the agency’s Business Ave. Pasadena, California, to hear Advisory Group. Patrick Durais, the new Chief of the Consistency is one of Patrick’s Bureau of Automotive Repair (BAR). biggest priorities. He noted that there The February issue of Autobody News are differences in how North and did an in-depth interview with Patrick, South field offices handle issues. In but at the meeting he spoke at length fact he said two offices in the same about his evolution from a foreign af- city right across town might handle an fairs student to his involvement with issue differently. He aims to strive for the Clean Air Act in Washington, and consistency within the agency. He to a position in Sacramento as a BAR wants the agency to get back to basics. Deputy Chief. He also discussed in By this he says he means to get the depth, what he considers the three focus back on consumer concerns. guiding principles of his administra- Dan Povey seconded this focus when tion: communication, collaboration he was asked if the agency had enand consistency. He says he hopes to forcement targets or quotas. Dan said improve all three during his term in they are strictly rated on speed of hanoffice, starting with communication. dling complaints and consumer satisHe noted that what makes broad faction with the way complaints are communications difficult are financial handled, not the number of complaints constraints imposed by the state handled. budget. Where they once had funds to Mention was also made about the publicize BAR activities like inspec- new On-Board Diagnostic Smog tions, this year they have no funds at Check program that can replace the all for that purpose. To compensate, old tail pipe inspection method that they’re even putting their message on cost inspections stations about the bottom of invoices. The main av- $30,000. They can obtain the new proenues of information continue to be gram for about $3000. their website, Facebook, Twitter and Patrick was also asked if there YouTube. Collaboration also gives was a way for a shop to report an unthem a way to get the word out. He licensed or fraudulent shop anonymentioned a number of different ways mously. Cindy explained that the the agency was collaborating, but he report could be filed with the CAA specifically mentioned Gene Lopez at and would then be passed on the

Media Matters

A Statement from the New President of Glendale/Foothill Chapter, Daniel Panduro of Fix Auto Sun Valley (Edited)

I’m really excited to have the opportunity to serve as your President for our Foothill-Glendale CAA chapter. It is my sincere intention to bring value to this organization and to restore the voice that this platform deserves to have. As you get to know me, you will find that theme to my madness is centered around unifying the leadership that I know exists in our industry and more importantly in our direct market. I’m open to any and all input that all of you may have as I firmly believe it is this input that will get us closer to our immediate goal of bringing shops back to CAA. [Please plan to attend the next three meetings which] we are certain will bring value to you and your organization. If you have not

had the opportunity to hear Mike Anderson or Robert Rick speak in person, now is your chance. Their understanding of our rapidly changing industry is cutting edge and will undoubtedly have a positive effect on how you look at your business model. All three meetings are interconnected so please don’t make the mistake of missing any of the three meetings. This is only the start but the voice of the CAA will be restored and its relevance will continue to grow. In order for this to happen, I’m asking for all of you to contribute by showing up. Again, I’m extremely thankful for the opportunity to server as your chapter President and will take the role seriously. —Daniel Panduro

10 APRIL 2014 AUTOBODY NEWS | www.autobodynews.com

BAR. The question was also raised about licensing collision repair shops, but both Patrick and Dan said this would not be addressed soon. Dan noted an attempt about ten years ago to use a red light, green light designation but it went nowhere, so nothing is likely to be tried any time soon. The meeting was sponsored by Jordan Lewis at Estify, an on-line software program that can convert any type of estimate or supplement to the estimate system a shop uses. People from Marcos Auto Body spoke highly of the way the system has performed for their shop. Further information is available at estify.com or by calling 888-708-4950. A presentation was also made by Robert Spitz from Management Success, 818-500-9631. A free business analysis is available at managementsuccess1.com/fb. And Roman Castaneda from Enterprise Rent-a-Car did a presentation of the ARMS Automotive Exchange.

A highlight of the meeting was the election of a new slate of Chapter officers. The incoming president of the chapter is Daniel Panduro, from J & L Body Shop in Sun Valley, CA. Daniel joined his father, John, in the business after graduating from U.C. Irvine with a degree in economics and business administration. The new Vice President is Dan Moran, with Classic Collision Centers. The Treasurer, Chuck Bistagne, with Bistagne Brothers Body Shop, will serve again. Immediate past President Linda Holcomb, with J.R. Sandoval Enterprises & Consulting, will serve as Secretary. Board Members will include Sandy Panduro, Mark D’Angelo and Peter Mikeloff. The State Board Rep. will also be Sandy Panduro from J & L Body Shop. From the audience response to President Danny Panduro’s acceptance speech, it would seem he can count on enthusiastic support from the Chapter members this year.


www.autobodynews.com | APRIL 2014 AUTOBODY NEWS 11


Mammoth Lakes, CA, Shop Guy Became Fixer at the Olympics

UT Deputy Accused of DUI Crash Resigns, To Be Arraigned

If something broke in Sochi, they just called John Teller. The Mammoth Lakes, CA, native was in Sochi to compete in ski cross and he financed his switch from Alpine skiing to ski cross by working at his family’s auto body shop in his hometown. The 30-year-old discusses his transition from Alpine to ski cross, being a first-time Olympian, working as a mechanic and motocross. For more go to: www.nbcolympics.com/wpxi/news/ getting-know-ski-cross-racer-johnteller?ctx=team-usa

A Washington County, UT, deputy has resigned after authorities say he rolled his police vehicle while under the influence. Lt. Jason Lynn Adams tendered his resignation. Adams had been on leave since Feb. 9, when he crashed his unmarked Ford F-150 on highway 17 near LaVerkin. He and his four children had only minor injuries. Adams was charged with driving under the influence with a child in the vehicle, possessing of a firearm while under the influence, and making an unsafe lane change.

The Portland Community College (PCC) Auto Collision Repair Technology program hosted an open house for faculty, staff, and students to check out its revamped 17,000-square-foot shop and new state-of-the-art paint booths, training classroom, and 3D virtual paint simulator. The open house was from 5:00 p.m. to 8:00 p.m. on Wednesday, March 12, 2014, in Room 131, Building 2, of the Rock Creek campus in Portland, OR.

During its “State of the City Dinner,” San Rafael and the San Rafael Chamber of Commerce honored three businesses and two individuals. Bertolli’s Auto Body Shop won the small business of the year award, Redwood Credit Union won the large business of the year award and Strategic Energy Innovations won the Joe Garbarino green business of the year award. Police Lt. Ralph Pata received the employee of the year award and Hugo Landecker received the citizen of the year award.

Auto Collision Repair Program Open House at Portland CC

San Rafael Honors 3 Businesses at ‘State of the City’ dinner

12 APRIL 2014 AUTOBODY NEWS | www.autobodynews.com

FIX Auto Adds Five New West Coast Locations The rapid growth of the Fix Auto USA franchise network across the Western United States shows no sign of slowing as the organization announced new locations in Springfield, Oregon and Watsonville, Salinas, San Clemente, and Sun Valley, California. Fix Auto Springfield, formerly A Street Automotive & Collision, is the eighth Fix Auto center in the state of Oregon and the 17th in the Northwest franchise group. Owners Cris Kuhnhausen and John Kimpton, attuned to market trends, noted changes in the industry which they believed they could benefit from if they aligned with a larger group. In the Fix Auto franchise model they found the best of both worlds, — the opportunity to reposition their business into the MSO segment while maintaining control of the business they had spent over 25 years building. WAB Collision Center, locally owned and operated by Mike Garland and family, opened for business in Watsonville in 1981, adding a second location in Salinas in 2012. Recently aligned with Fix Auto as Fix Auto Watsonville and Fix Auto Salinas, the two shops are the fourth and fifth centers to open in Northern California under the Fix Auto brand,

making it an exciting new frontier for the organization. Fix Auto Sun Valley, formerly known as J&L Body & Paint Shop, was recently added in the Los Angeles metropolitan area. Siblings Daniel and Sandy Panduro, who own the facility, grew up in the business learning the ropes from their father, John, who opened the business in 1983. Fix Auto San Clemente is the second franchise operation owned by partners Richard Fish and Bill Lawrence (and the fourth center owned by Fish). Fish’s rapid expansion with Fix Auto testifies to how existing standards and operations encourage rapid, organic market growth. “Fix Auto’s methodology provides a template for how a successful franchise should operate, which removes much of the guesswork that goes into getting a new operation up-and-running,” Fish explained. “Each of our franchises has its own flavor and its own set of unique challenges, but having a clearly defined, proven methodology in place for operational excellence certainly makes things easier.” The addition of these five new facilities brings the total Fix Auto USA count to 54 locations.


3-Alarm Fire at San Francisco Cab Company Body Shop

Six people escaped injury after a three-alarm blaze ripped through a cab company service garage in San Francisco’s Bayview District. The fire, reported at 11:53 a.m., was brought under control around 3 p.m., fire department spokeswoman Mindy Talmadge said. The blaze caused the roof to collapse at the building, which was still smoldering late in the afternoon, Talmadge said. Charles Rathbone, assistant manager with Luxor Cab Co., said the fire destroyed the service garage on Upton Street that the company used for maintenance and body repairs. “It’s a total loss,” Rathbone said. He said all employees inside the building escaped without any injuries. However, he said, “We lost a bunch of cars in there, including a beautiful 1938 Plymouth we had hoped to showcase as part of our history.” “It’s nothing that money can’t fix,” Rathbone said of the fire. “Nobody was hurt so we’re fortunate in that event.” Employees at other neighboring businesses were also evacuated because of the fire. Luxor is one of the city’s original cab companies, operating since 1928.

ASA-AZ Golf Outing is April 25, Procedes to Scholarships

Join Friends and associates in the industry to enjoy a fun afternoon at the Raven Golf Course. Support our students – Sponsor a Hole! Proceeds from the golf tournament will go to the ASA Scholarship Education Fund. In the last 10 years, ASA of Arizona has awarded over $40,000 in scholarships to high schools students pursuing a career in the automotive repair industry. Date: April 25, 2014 Time: 01:00 PM - 05:00 PM Location: Raven Golf Club in Phoenix Contact: Luz Rubio 602-544-2600 Email: info@asaaz.org Date/Time Details: Shotgun Start at 1 PM Fees/Admission: Registration: $75 per golfer (golf, Cart, range balls, tee prizes, awards) Hole Sponsors: $250 For more information see: http://cloud.chambermaster.com/us erfiles/UserFiles/chambers/9145/Fil e/Golfflyer2014.pdf

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CARSTAR Adds Location in Palmdale, CA

Precision CARSTAR, located at 38554 6th St. East, Palmdale, Calif. has joined the CARSTAR Auto Body Repair Experts network. Precision CARSTAR is owned and operated by Warwick and Karen Bryan and managed by Jeff Goldenberg. “Precision CARSTAR has been serving the Antelope Valley area of Southern California for over 25 years,” said Warwick Bryan. “In our highly competitive marketplace of advancing vehicle technologies and MSO consolidation, we have the confidence that partnering with CARSTAR will not only make us more proficient at what we do but will also propel our business well into the future. We are proud to join the CARSTAR family.” “We congratulate the Bryans and Precision CARSTAR on joining the CARSTAR family and their commitment to operational excellence,” said David Byers, CEO of CARSTAR Auto Body Repair ExGive us your opinion on perts. “CARSTAR’s network includes more than 440 independently owned collision repair facilities in 31 states and 10 Canadian provinces.

RDA Board Tours East Valley Institute of Technology

The Refinish Distributors Alliance (RDA) held its February Board meeting in Mesa, AZ. While there, Dr. Sally Downey, Superintendent of East Valley Institute of Technology (EVIT) gave them a tour of their campus. RDA Member, Leading Edge, has a partnership with EVIT that provides state-of-the-art training to collision industry technicians as well as to those preparing to enter the industry. The EVIT is a state-of-the-art training facility for collision industry technicians, preparing them to enter the industry. It is considered one of the top collision repair educational programs in the country, RDA said in a release. RDA/IMPACT is the largest national group of refinish jobbers dedicated to providing quality services and products to their collision shops. RDA has 16 members, representing 185 locations. Members service over 3,600 collision centers throughout the United States. We represent a cross-section all major matters affecting the ofindustry. refinish brands and do over $455 million in sales as a group, comprising around 17% of the refinish business nationwide.

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www.autobodynews.com | APRIL 2014 AUTOBODY NEWS 13


Western Associations

Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@chasidyraesisk.com.

CAWA Expands Advocacy Reach through Coalitions Involvement with Chasidy Rae Sisk

CAWA’s government relations advocacy efforts on behalf of its members is a top priority for Association leaders and members alike. To help further expand the reach of advocating on behalf of a strong and vibrant aftermarket parts distribution and repair industry, CAWA has joined a number of coalitions committed to furthering important legislative and regulatory goals. CAWA works in collaboration with the following coalitions: ● Car Care Council—The Car Care Council is the information source for the “Be Car Care Aware” consumer education campaign, providing information on the benefits of regular vehicle care, maintenance and repair. ● California Coalition on Workers Compensation—Works to repair California's high-cost and litigious workers' compensation system. CCWC is a statewide coalition of public and private employers, both large and small, representing more than 250 employers and numerous trade associations. ● California Employers Coalition— Comprised of employers and employer association representatives, CEC reviews and comments directly on issues that affect the employer/employee relationship. This coalition is the consensus voice of California employers to the state Legislature and state agency boards regarding the impact of

proposed laws and regulations on businesses. ● Regulatory Oversight and Accountability Reform (ROAR) Coalition Focuses on legislation that will help improve California’s business climate so as to attract new investment and grow jobs. A crucial first step in achieving that goal is fixing our burdensome, inefficient and uncertain regulatory environment. The coalition seeks more oversight of government bureaucracies, credible economic impact analyses of regulations, and the streamlining or elimination of outdated or inefficient regulations. ● Coalition for California Jobs—Protecting and creating jobs in California through economic growth and job creation. ● Green Chemistry Alliance—A collection of trade associations and businesses that are working to ensure effective implementation of the California Green Chemistry Program. The goal of the alliance is to ensure that the Green Chemistry Program is implemented in a way that allows for maximum environmental benefit and minimizes the economic impacts. ● Get Real California—Advocates that California schools should provide a balanced education that includes challenging academic studies and career technical education for “hands on”

How Do Your Estimates Compare with the Industry’s Top Performers? Come to the Glendale-Foothill CAA Meetings ...

The Glendale-Foothill CAA chapter is bringing a three part series that will emphasize the theme of adding cash to your shop’s bottom line! Part 1 – On April 17th, you’ll work with industry leaders to create “The Perfect Estimate”. This exercise will cover key concepts that MUST be considered in order to complete a profitable repair plan. Part 2 – On June 2nd, our chapter is pleased to announce the first of two presentations that will undoubtedly affect the way you do business moving forward. We excitedly welcome industry guru Mike Anderson who will speak on the topic of “Negotiations – Educate Don’t Alienate” Part 3 – On July 24th, we will feature the expertise of Robert Rick who will explain the importance of understand-

ing the KPI’s that are most meaningful to our collision repair industry. Come be a part of a group where the focus is to reenergize the voice of the collision repairer. Date: April 17, 2014 Location: Brookside Country Club 1133 Rosemont Ave. Pasadena, CA 91103 Time: Social Hour at 5:30 PM Meeting starts at 6:30 PM Cost: $45 (members) and $100 (nonmembers) To secure your place, please RSVP no later than Monday April 7th, 2014 by calling Cindy Shillito at (714) 9444028. Please be aware that priority for future meetings will be awarded to guests a.ending part 1 of the 3 part series. Get involved and be a part of the change.

14 APRIL 2014 AUTOBODY NEWS | www.autobodynews.com

learning. ● Right to Repair Coalition—The Right to Repair Coalition is committed to legislation that would require automakers to provide the same service information and tools to independent auto and maintenance shops, as well as to consumers, that the automaker dealership service centers receive. ● Quality Parts Coalition—Committed to developing and securing a permanent legislative change to U.S. design patent law to preserve competition and to ensure the availability of quality, lower-cost alternative collision repair parts for consumers. “There are so many issues that the CAWA government affairs team tracks and advocates for on behalf of our members, it’s imperative we are working with the right people in Sacramento, Carson City, Phoenix and Washington DC to make sure our voice is heard,” stated CAWA Presi-

dent & CEO Rodney K. Pierini. “Participation in important coalitions helps us achieve our legislative and regulatory goals and ensures we are at the forefront of issues impacting CAWA members.” CAWA is a regional automotive aftermarket trade association, which represents auto parts jobbers, warehouse distributors, retailers, manufacturers, manufacturer representatives and program groups. The Association provides education, legislative, regulatory and business support to the industry and its membership. It is one of the largest trade associations of its kind in the United States and recognized as a leader in the automotive aftermarket industry. For more information about CAWA coalition involvement visit www.cawa.org or contact Government Affairs Director Jennifer Zins at Jennifer@perrycom.com or call her at 916-871-0603.

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customers and look forward to continuing to work with local State Farm agents to provide the best repair for our mutual clients,” said Bowman. to sever the relationships we’ve built Collision Experts’ parting with with our vendors over the years.” State Farm is amicable, Bowman said. State Farm has been rolling out However, some body shops have filed the changes incrementally and just re- lawsuits or traveled across the councently implemented the mandate in try to heighten awareness of State New York. Collision Experts is the Farm’s changes. only local body shop to publicly opt “We will continue to have a good out of the program as a result of the working relationship with State changes. Farm,” said Bowman. “It’s disap“Although we value the business pointing that they may refer custhat State Farm has referred us over tomers to Edition? different shops despite our Want to Contribute totothis Southwest the years, the new Select Service Prohigh rating because of a difference of gram does not fit our business model,” opinion. We are willing to work tosaid Bowman. “This is strictly a busigether so we can give our customers ness decision based on changes to the the best service at a time when they publisher@autobodynews.com Select Service Program that would reneed it most.” quire us to change parts vendors. We have great relationships with our parts Promote withus Promote your business with vendors, and your we feelbusiness that this helps provide an exceptional If at an exclusive article featuring an exclusive articleproduct. featuring anyyour time State Farm decides to change your products or services. products or services. or adjust their Select Service Program, we will be more than happy to revisit this in the future.” However, State Farm customers are still choose Collision ExCALL: free Joe to Momber for details! Call for details! perts for their body repairs. 800-699-8251 800-699-8251 “We still welcome all State Farm Continued from Cover

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SCRS and CIC are April 8–9, 2014, in Portland, OR

The Society of Collision Repair Specialists (SCRS) Industry Awards and Corporate Member Recognition Luncheon will be held on Wednesday, April 9, 2014, from 11:45 a.m. to 12:45 p.m., just prior to the Collision Industry Conference (CIC) at the Red Lion Hotel on the River Jantzen Beach in Portland, OR. In additon, the SCRS Open Board Meeting will be on Tuesday, April 8, 2014, from 3:00 to 5:00 p.m. Following the board meeting at 5:15 p.m., current SCRS members can vote for four board members. Collision repair shop owners and managers are further invited to attend a special Collision Repairer Roundtable meeting on Wednesday, April 9, 2014, from 8:30 to 11:00 a.m. RSVP by March 26, 2014, to info@scrs.com or 1-877-841-0660. Contact the Red Lion Hotel on the River Jantzen Beach at 1-800-7335466 to make hotel reservations and mention CIC to get the group rate.

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SEMA Product Development Expo on April 10 in CA

The Specialty Equipment Market Association (SEMA) Product Development Expo on April 10, 2014, in Diamond Bar, CA, will help SEMA members learn about new tools and resources available to increase efficiencies and decrease costs. Co-sponsored by the SEMA Data Co-op (SDC) and the Emerging Trends and Technology Network (ETTN), the conference includes live demonstrations of 3D scanning and printing machines; discussions on connected vehicles and the future of transportation; and updates about automotive apps, including Ford’s OpenXC platform. Participants will also learn about and tour the SEMA Garage. Conference participants will discover how to avoid reverse engineering, what products require emissions certifications and how to obtain the proper certifications, and why data standards can help or hinder distribution. The registration fee, which includes lunch and a networking reception, is $47 for SEMA members and $97 for non-SEMA members. Register at www.sema.org/pde.

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ewsletter Free Twice Monthly Newsletter s.com Matrix, Div. of Matrix, Div. of at www.autobodynews.com Quest Automotive Products Quest Automotive Products TECHNICAL REPRESENTATIVE TERRITORY MANAGER Matrix offers a competitive benefit

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Positions In: Houston, TX and San Antonio, TX Matrix Territory Manager is responsible to cultivate and grow Matrix Sales within a given territory. This position will grow sales at the Warehouse, Jobber, and Body Shop Levels. üMake sales calls to the Warehouse, Jobber, and Body Shop Level üWork with local jobber sale personnel to grow sales by calling on body shops üConduct Paint Clinics at WD, Jobber, and Body Shop Level üPerform market analysis üImplement and communicate Matrix programs to customer in a timely manner üMust be able to travel at least 60% to 75% of the time 16 APRIL 2014 AUTOBODY NEWS | www.autobodynews.com

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Positions In: Phoenix, AZ and Dallas, TX Matrix Technical Services Representative is responsible to support the Matrix Regional Sales goals and objectives by providing technical assistance, field training at the Warehouse, Jobber and Shop Level. This position must work closely with the Matrix Regional Sales Manager, Warehouse Distributor and Jobbers Distributing Matrix to improve customer relations, knowledge and grow sales of complete Matrix product systems through existing and new prospective body shop customers. üProfessionally train Warehouse, Jobber and Body Shop personnel on proper use of the entire system üHandle Technical Calls from Customers and support Matrix Customer Service with Technical Assistance üConduct Paint Clinics at the Jobber and Body Shop Level üWork in the field with customer and sales team üMust be able to travel at least 50% to 70% of the time


NACE/CARS and Industry Week 2014 Update: Show Expected to Double in Size

The first round of exhibit space draw for the International Autobody Congress and Exposition (NACE) and the Congress of Automotive Repair and Service (CARS) 2014 show is complete, and more than half the exhibit floor is sold out. “This represents a significant change in events and a strong commitment on behalf of the automotive market to support the only national show solely dedicated to both the collision and service repair industries,” said Dan Risley, ASA President. “Last year, we sold approximately 24,000 square feet. We’ve already surpassed that by 20 percent in the initial space draw and are on pace to sell out. The show will feature more than 50,000 square feet of exhibit space and another 30,000 dedicated to live demonstrations and show cars.” Companies that booked space come from all segments of the collision and mechanical repair markets, including OEMs, parts suppliers, estimating system and information providers, insurance companies, and training companies. NACE/CARS will take place Monday-Saturday, July 28-August 2,

2014, at the Cobo Center in Detroit, MI, and will be held in conjunction with Industry Week 2014, a series of automotive repair industry events and co-located meetings, including board and other private meetings, Collision Repair Education Foundation annual golf fundraiser, Collision Industry Conference (CIC) quarterly meeting, Inter-Industry Conference on Auto Collision Repair (I-CAR), gala 35th anniversary networking reception, Canadian Collision Industry Forum (CCIF) meeting, NACE/CARS expo, business and technical sessions, MSO Symposium, Mechanical Symposium, on-site I-CAR training, and technical presentations. In addition, the ASA and Alliance of Automobile Manufacturers (AAM) jointly announced on March 7, 2014, that the inaugral OEM Technology and Innovation Expo will be held on August 1, 2014, as part of Industry Week. The OEM Expo will include panel discussions with OEM experts, product and application demonstrations, and connected vehicles to give attendees a hands-on experience. For additional information, visit naceexpo.com.

Montana Shop Open to Airmen Working on their Own, Offers Training in Paint and Body Repair by Airman 1st Class Joshua Smoot

Airmen who enjoy working on their own car or don’t want to drive into town to have their car repaired have a place to go. The Malmstrom Auto Hobby Shop on the Malmstrom base has many services to offer for military members of any rank, dependents and retirees. Some of the services the shop offers are engine diagnostic checks, brake checks, welding and paint booths and classes on each. There are also three mechanics available at the shop to help Airmen with any projects they may have. “The single Airmen program makes it so people can take the welding and auto body paint classes for a low charge,” said Clint Mallory, the auto hobby shop chief. The welding class is the first Wednesday of the month and the painting class is the second Wednesday of the month. “The classes normally start at 5:30 p.m. and end around 8:30 p.m.,” Mallory said. “It all depends on how many questions the class members have. Participants must go to the class for one session before they receive a

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certification to use the paint and welding booths.” For those who are interested in a more thorough learning experience on painting, the shop also offers a six to eight-week auto body paint class. “We have a lot of Airmen who come here,” Mallory said. “Once they come in once, they keep coming back. Even though we have a lot of people coming in, I have heard a lot of people say they have never been here before or that they didn’t even know there was an auto shop on base.” In the shop, people have completed an array of projects for their car. “We have Airmen who have pulled and rebuilt their motors, installed suspension lifts on their trucks and removed and replaced their transmissions,” Mallory said. “There have also been quite a few little jobs such as putting in freeze plug heaters for their car because it was winter time. In the warmer months people come in to put on new tires for their car.” “They supply you with any tool you need,” said Airman 1st Class Jeremy McNeal, 341st Logistics Readiness Squadron vehicle maintenance apprentice.

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A Modern Body Shop is a Lean Body Shop Says Capitol Collision Founded in 1988, Capitol Collision Repair is one of the largest independent auto body shops in Phoenix, AZ. After 26 years in business one might think that this Phoenix body shop could go into cruise control as far as change and growth in the business, but that is the furthest thing from the mind of Capitol Collision Repair owner Dan Deary. Recently, Deary and the team at Capitol Collision Repair went 100% headfirst into the lean process after a complete buy in from the entire Capitol team. “Transforming into lean processing was something that needed to be done to not only maintain our growth, but to be a leader in the Phoenix body shop market,” Deary stated. He went on to say “that the entire organization buy in was necessary before the decision was made. We have many long term, quality people in our organization and the very last thing I was going to do was force change upon them, without a 100% buy in.” The team at Capitol Collision researched and chose a lean process used by one of the more successful shops that they visited and spent time with. The shop underwent many changes to accommodate the lean process change.

A new management system was added, giving the Capitol team the ability to track their productivity in real time via monitors throughout the auto body repair shop production and paint areas. The manner in which vehicles are processed was updated to enhance tracking and completion times. Signs were posted throughout the shop, detailing updated procedures and labeling key areas. Most importantly was team building, the shop came together as a team and created the common goal to be the best body shop in Phoenix. Capitol Collision Repair owner Dan Deary had heard all the horror stories of other auto body shops failures after the implementation of a lean process, which in some instances resulted in the majority of company personnel quitting. Deary vowed not to make the same mistake. “We want to make improvements and move forward, not end up going backwards. We have long term team members and losing them was not an option.” When adopting the lean process the biggest question was “how do we cut down the amount of time it takes to complete repairs, while still maintaining a quality product?” The solution was as old as auto manufacturing

Arizona Body Shop Launches Free Online Estimating Tool for Consumers, Aims to Demystify Customer-Pay Decisions

A new tool aims to help consumers cost for the consumer by including quickly and easily estimate the cost “paintless dent repair” and “spot reto repair minor vehicle damage from pair” options when available to reto this theirSouthwest own computersEdition? or mobile de- duce repair costs. vices. “This tool generates tremendous Nexus Collision Repair Center, traffic to our site from consumers located in Tempe, AZ, has released a who are searching the Web for an alfree, 100-percent Web-based body ternative to the ‘carbon-copy’ body autobodynews.com shop estimating tool designed to help shop websites or ‘confess and subconsumers quickly and easily esti- mit’ damage photo apps offered by mate the cost to repair minor vehicle insurers,” said a Nexus spokesperson. damage fromPromote their own computers or “Consumers today want information ness with your business with mobile devices. online, free and instantaneously, so featuringThe toolanaims exclusive article to demystify the featuring they can make informed decisions. customer-pay decision consumers We want consumers who will walk in services. your products or services. face when their damage may be the door for a $65 PDR repair beunder or close to their deductible, but cause we will earn their trust and they have no way of knowing without will come back again when they file consulting an insurer or body shop. their insurance claim.” The tool’s simple design allows The next release of the tool will or details! Call forthan details! estimates to be created in less 60 include actual year/make/model/ seconds while educating the con- color images so consumers can se251 sumer about their800-699-8251 vehicle and its lect their vehicle image in their color damage. Since the tool is designed and rotate it for an enhanced experifor customer-pay repairs, it optimizes ence.

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itself, the concept of the assembly line was the answer. Making full use of the 18,000 square foot Phoenix body shop, Capitol Collision Repair was reconfigured to make the repair process a one direction assembly line, starting from damage discovery and ending at a complete wash and detail. Using an assembly line process wasn't the only answer though. The rest was in the damage discovery process. The first, and most important step, is to completely discover all of the damage upfront and to devise a repair plan to ensure timely completion of all repairs without the need to drag out due dates from undiscovered damage. This not only makes repair times faster, but it also allows technicians to complete more work, with no stress, and zero defects. In the collision repair industry there is an overabundance of body shops, and as the automotive industry changes, it’s the shops that lean out their process that will stand out in the industry. Using a lean process, Capitol Collision Repair is now able to get customers out of a rental and back into their own car sooner than the competition, giving them an edge in the highly competitive Phoenix body shop market.

Although leaning out the repair process and shortening repair times has made Capitol Collision Repair a better shop, they aren't done making changes. With the automotive industry continuing to evolve, Capitol Collision Repair will continue searching for new ways to make the shop better as they move forward. An A+ rated BBB Company, Capitol Collision Repair provides high quality, guaranteed repairs and is one the highest rated and reviewed Phoenix body shops. They offer ICAR trained technicians are ASE certified and state of the art equipment and are approved by all the major insurance companies. Rental vehicles and free loaner cars are offered by Capitol Collision Repair.

Capitol Collision Repair 5154 N 27th Ave Phoenix, AZ 85017 Phone: (602) 253-1630 Fax: (602) 253-6158 http://www.capitolcollision.net Email: info@capitolcollision.net

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Industry Insight with John Yoswick

—John Yoswick is a freelance writer based in Portland, Oregon, who has a body shop in the family and has been writing about the automotive industry since 1988. He is the editor of the weekly CRASH Network (for a free 4-week trial subscription, visit www.CrashNetwork.com). Contact him by email at jyoswick@SpiritOne.com.

Helpful Documents, Tools, Information Only a Click Away For Shops Looking for tips, tools and resources cians on general job boards,” Jeff Herto help your business, defend your po- man, CEO of TopTech Finder, said. sitions or do your part for the indus- “They aren’t designed for the mechantry? Here’s a collection links to ical repair industry and don’t draw with EdofAttanasio sites, documents and information you many technicians. In contrast, TopTech may find interesting and useful. Finder allows candidates to show off — More and more state legislaindustry-specific qualifications, maktures are considering bills that would ing it a natural place for techs to find place new limits on insurer mandates, jobs.” such as State Farm’s mandated use of TopTech Finder is free for jobPartsTrader. Meanwhile theAttanasio Automoseekers and will remain free for emwith Ed tive Service Association (ASA) is exployers for a limited time. pected to issue a preliminary report — It’s a common belief in the insoon on the response it has received dustry that in markets with lower from state attorneys general and insurlabor rates, estimates have more line ance regulations regarding the legality items to make the bottom line about of State Farm’s PartsTrader mandate. the same as it would be in a market “ASA has had discussions with a with a higher labor rate. Some analyEd have Attanasio number of thesewith states that sub- sis from Mitchell International indimitted inquiries for additional sup- cates that may not be the case. porting information,” the association Download Mitchell’s most restates in its press release. “It’s imporcent “Industry Trends Report,” tant to note that subsequent to our an- (http://tinyurl.com/cpbt9ks) to read nouncement relative to sending letters how the company analyzed estimates to each state, State Farm sent states a in states with the highest labor rates letter arguing the legitimacy of such to compare them to those with the mandates.” lowest labor rates. The states with the Want to see what State Farm is lowest average body labor rates – telling some state regulators? Click Massachusetts ($37.07), Tennessee here (http://tinyurl.com/StateFarm- ($41.14), Florida ($41.29), Georgia Letter) to see one such letter. ($42.04) and Maryland ($42.12) – did “Our goal was to resolve this issue not tend to have more repair (versus without government oversight, interferreplace) operations, more refinish ence or legislation,” Dan Risley, execuhours or more overall estimate lines tive director of ASA, said. “As such, we than the states with the highest averhave persisted in our efforts to work age body labor rates – Montana with State Farm to change the current ($63.05), Alaska ($61.35), California PartsTrader mandate policy. This has ($60.46), North Dakota (59.52) and included multiple meetings and other Wyoming ($57.45). discussions that continued throughout “Only 1.2 hours of total labor 2013. ASA believes that there are poseparates the average of the bottom tential solutions (if) State Farm is willfive labor rate states from the top five ing to work toward an amicable labor rate states,” the report found, for resolution that benefits State Farm, colexample. lision repairers and the consumer.” — Which states are doing the — Looking for another way to remost to improve highway safety? The cruit new technicians? Shops should 11th annual report card from Advonote that use of the TopTechFinder.com cates for Highway and Auto Safety (www.toptechfinder.com) recruiting measuring state progress in passing site is still free for both shops and those highway safety laws gives Illinois, looking for work. Oregon and the District of Columbia Since launching in early 2012, the top grades for having enacted 12 TopTechFinder.com has connected with of 15 laws the organization supports. over 1,350 candidates and 350 repairAnother six states, including Indiana, ers in the collision repair business. It have passed 11 of the laws. has since expanded to help mechanical States receiving the lowest grades, repair shops find qualified employees. having enacted five or fewer of the “It’s hard to find qualified technilaws, are South Dakota, Mississippi,

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Arizona, Iowa, Montana and Nebraska. Download the report at: http://tinyurl.com/lctnvv9 — Here’s a link that has nothing to do with collision repair directly, but could save a life. Joe Arnold, vice president of Arnold’s Body Shop in Davenport, Iowa, is urging people to learn the symptoms of a stroke after his wife suffered a stroke on the day after Christmas. “She is only 39 years old and healthy,” Arnold posted on Facebook. “It can happen to anyone at any age. At the start we thought it was just a migraine. As it progressed, it became clear that it was a stroke. I only knew because of my past training as an EMT (14 years ago) what it really could be. She will make a full recovery because we recognized the signs and symptoms and took immediate action based upon them.” The three key symptoms are outlined at: http://tinyurl.com/ltg3q63

“The more you know, the safer you and your loved ones will be,” Arnold wrote. — Another anti-DRP website, StopDRP.com, has launched; its content includes an animated video cautioning consumers about the use of non-OEM parts (comparing them to having a diamond replaced with cubic zirconium) and one fictionalizing a conversation between a shop and an insurer about what the shop must do to become part of the insurer’s DRP. The site includes a link to another such site, StopSteering.com, which launched in 2008. — Looking for help explaining their automaker’s position on nonOEM parts or reconditioned wheels? The OEM Roundtable this year launched a new consumer website, www.CrashRepairInfo.com. The site includes: information for vehicleowners on how to choose a body shop; See Only a Click Away, Page 23

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Continued from Cover

Maryland Parts Bill

five years old. “Senate Bill 487 will severely limit the choices that the consumer has in getting their vehicle repaired,” said ABPA Executive Director Edward Salamy. “These types of anticonsumer bills not only eliminate competition, a foundation of the American free enterprise system, they also increase the potential for higher insurance costs.” ABPA claims that a representative of the Washington Metropolitan Auto Body Association (WMABA) made a series of false claims, including: ● OE radiators have a better warranty than alternative supplier radiators. ● Consumers will be required to pay additional rental car fees caused by delays due to alternative parts. “The ABPA is not only monitoring the legislation in Maryland, but it has also come to our attention there is similar anti-consumer legislation being introduced in Rhode Island and Michigan,” said Salamy.

“Having your vehicle involved in a collision is already a very stressful experience for the consumer. Having a repair association such as WMABA using scare tactics to achieve their own agenda is not in the best interest of the consumer.” Maryland Senate Bill 487 would prohibit “…a specified adjuster, appraiser, insurance producer, or em-

in opposition to the legislation. Oyango Snell, State Government Relations Counsel said, “PCI and our members encourage lawmakers to closely examine the possible negative ramifications for consumers that could result if Senate Bill 487 passes. This legislation not only imposes severe restrictions on how insurers manage the auto body repair process and deliver a

“[This legislation] imposes severe restrictions on how insurers manage the auto repair process and deliver a quality repair experience...”

—Oyango Snell, PCI Govt. Relations Counsel

ployee of an insurer from requiring a motor vehicle repair facility to use a specific vendor or process for the procurement of parts or other materials necessary for the repair of a motor vehicle; requiring an insurer that issues or delivers in the State a policy of motor vehicle liability insurance that provides coverage for the repair of physical damage to the insured motor vehicle to authorize specified repairs to be made using genuine crash parts; etc.” The Property Casualty Insurers Association of America (PCI) testified

quality repair experience, but it also could hurt consumers by increasing the costs associated with getting vehicles repaired and increasing the cost of insurance premiums. Currently Maryland’s average collision premium ranks 13th highest in the nation and that ranking could rise by forcing more repairs to always be made with original equipment parts, which can be as much as 60 percent more than aftermarket parts.” Snell continued, “We believe lawmakers will see that this bill limits

consumer choice and stands in the way of insurers providing high quality repairs at reasonable costs for their constituents. We are urging lawmakers to table this legislation and continue to fight against higher costs for consumers.” The Coalition for Auto Repair Equality (CARE) that represents companies in the automotive aftermarket including NAPA, AutoZone, Advance Auto Parts, O’Reilly Auto Parts and Bridgestone-Firestone Retail Operations, raised concerns about the proposed legislation’s impact upon low-income consumers and that it stigmatizes non-OEM parts by requiring the consumer to consent to their use. “If passed, House Bill 574 and Senate Bill 487 would require motorists who need vehicle replacement parts to specifically sign for the use of aftermarket parts in their vehicles before accepting them. This is unfair because these same vehicle owners do not have to sign for the more expensive car company-labeled parts. In addition, this plants a seed of doubt in a consumer’s mind that the aftermarket parts are somehow of inferior quality, frightening them into spending extra money

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that they may not have,” said the executive director of CARE. Addressing the issue of the three year requirement for OEM parts, an analysis prepared on the bills by the Maryland Department of Legislative services noted that the Maryland Automobile Insurance Fund (MAIF), an independent state agency created by the Maryland State Legislature in 1972 to provide insurance to residents who could not secure it on the private market, already has a policy to pay for OEM parts for two years after the date of manufacture. While adding a year to the current policy would raise costs, the analysis states, “However, despite the prevalence of motor vehicle accidents and collisions in society at large, any expenditure increase due to covering an additional year is likely to be minimal.” The MAIF reported that in 2013 it wrote a total of 460 estimates on 2011 model vehicles (three year old vehicles that would be covered by the expanded OEM-only waiting period) and that the average difference between estimates using OEM parts versus aftermarket parts was $117.32, for a total estimated increased cost of $53,967. If that cost was passed on to consumers in pre-

mium, the two percent tax on insurance premiums paid to the state would result in $1079 tax collected. The Washington Metropolitan Auto Body Association, (WMABA) supported the proposed legislation believing it necessary to protect the rights of repair facilities to operate their business independently and protect consumers. WMABA also believes that the impact on costs from the OEM-parts only requirement would be minimal and that there is no correlation between this type of provision and the cost of insurance. According to WMABA, while Rhode Island with a 30-month prohibition, and West Virginia, with a 3-year prohibition, have historically higher premiums than Maryland, Indiana, with a 5-yr prohibition, and Minnesota with a complete aftermarket prohibition have lower premiums than Maryland. WMABA also drew attention to the fact that consumer choice is preserved in the legislation because consumers would still have the ability to consent to the use of aftermarket parts if they choose to do so. For more detailed discussion of the testimony see p. 52.

Continued from Page 20

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definitions of common terms used in collision repair and auto insurance claims; automaker position statements on vehicle safety systems, counterfeit or salvage airbags, etc.; and videos such as Honda’s demonstration of a mistimed airbag’s impact on a watermelon. — Ten insurers (including Farmers, USAA, Chubb and MetLife) are offering a branded app (http://tinyurl.com/Snapsheet) through Snapsheet (www.Snapsheet.com) that enable “self-service” claims for customers. Snapsheet CEO Brad Weisberg said when an insured calls to report a loss, the insurer can offer them the option of using the app to upload six to 15 photos of the damage. Estimators at Snapsheet’s offices then prepare an estimate based on the photos and sends it back to the customer within three business hours. The customer has the option of a direct-deposit cash-out, or can use the app to schedule an appointment with one of the insurer’s DRP shops. Supplements are handled through Snap-

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sheet. Insurers pay a flat fee per estimate for the service, Weisberg said. He emphasizes that his company produces “visual estimates” only. How do Snapsheet estimators ensure their estimates comply with various state laws regarding use of non-OEM parts, etc.? “There are some states where we absolutely cannot write in,” Weisberg said. “But what we pride ourselves on is writing accurate estimates. Not only accurate to fix the car but also according to a carrier’s guidelines. So we spend a lot of time with the carriers calibrating with their claims organization how they want us to write the estimates. They review a lot of our estimates to make sure we’re writing according to plan.” Prior to Snapsheet, Weisberg was the founder in 2011 of BodyShopBids, which enabled consumers to upload photos of their damaged vehicle and receive quotes from nearby body shops within 24 hours. “BodyShopBids was a great idea and a great way to start, but it wasn’t a real business,” Weisberg said. “This is needed in the industry and this is wanted by consumers, so it’s a perfect fit.”

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North Texas Student Says Two Mobile Dent Repair Businesses Took Him for a Ride Driver claims mobile dent repair businesses did $3,700 in damage

When cameras from the NBC 5 Investigates Consumer Unit started rolling, two so-called repairmen went running, according to Deanna Dewberry, of the NBC 5 Investigates Consumer Unit. A North Texas student told the news team that after his bad experiences with two different mobile dent repair businesses he wanted to warn others to steer clear of drive-up, fix-it auto repairmen whose promises and prices seem too good to be true. Joshua Bissonette is a cashstrapped college student trying to finish up school after serving in the U.S. Army. With his car in need of repair, Bissonette turned to Craigslist and found an ad for “mobile auto body” repair men who fix dents and damage at a person’s “work or home” for “less than a traditional” body shop. He decided to give them a try. “They got to work right away,” said Bissonette. “They started prying the dent out. It seemed like they knew what they were doing.” But he soon learned otherwise. “The dents look gone, but it doesn’t look good,” he said. Bissonette said they didn’t finish the job either. “They said due to the cold weather they couldn’t apply paint,” Bissonette said. They left with the repairs incomplete and his wallet $250 lighter. “I just wanted them to go away, so I paid them their money,” he said. But with the work unfinished, Bissonette went back to Craigslist again where he found another ad for a different mobile auto body repair business. This ad had pictures and promises. So he called and set up a meeting in an Arlington parking lot. “They said it was going to look

like new,” Bissonette said. He paid them $250 cash for the job. Bissonette said these guys covered their shoddy work with green goop saying it would protect the paint. When he got home and washed it off he was horrified. He saw a scratched sandpaper surface and spray paint spattered on his windshield, mirror, and tire. “It looks horrible,” he explained. Bissonette then called NBC 5 Investigates Consumer Unit and they called the numbers from both ads to set up meetings. We showed up at the first location in our station Chevrolet Tahoe, which had a dent. Their cameras were in tow. We told a guy, who said his name was Tony, that some of his past customers were unhappy with his work. “No comment at this point. I have to get in touch with my lawyer,” he said. When Investigates pressed further he got in his car and sped away. Investigates then called the number in the second ad and set up a time and place to meet. When they identified themselves, the repairman immediately covered his face, never got out of his car and left faster than the first guy.

“The Worst I’ve Ever Seen” Brian Johnson, a certified collision repairman for Service King in Irving, evaluated Bissonette’s car. “It is the worst I’ve ever seen for someone to call that a finished product,” he said. “It looks like they used spray paint out of a can.” Johnson said he sees fly-by-night auto dent repairmen come out of the woodwork in the DFW area, especially after weather events like storms, hail and ice. “Just since the beginning of this

Italian-American NY Shop Owner Receives Award

Joseph Carubba, president of Carubba Collision Corp., received the 2014 Anthony M. Castiglia Achievement Award at the annual Italian-American Leadership Council St. Joseph’s Day Table celebration on March 19, 2014, at Salvatore’s Italian Gardens in Depew, NY. Salvatore’s prepared a traditional St. Joseph’s Day Table feast. The council was organized by successful Italian Americans in business and public service whose primary goal is to recognize and promote the best that the Italian-American ethnic pride brings to western New York.

Over the years, Mr. Carubba has generously supported several nonprofit organizations. “Joe Carubba is a great Italian-American leader in our community and more than deserving to receive this award,” stated ItalianAmerican Leadership Council chairman, Charles M. Castiglia. “I am very grateful to have been selected for this recognition,” said Carubba. “This is a day that my family and I will never forget and this honor is special because it is symbolic of my Italian heritage, which I am very proud of,” added Carubba.

24 APRIL 2014 AUTOBODY NEWS | www.autobodynews.com

year, I have seen three cars personally with the same situation,” said Johnson. Johnson said the looks of Bissonette’s car are the least of his worries. “There is probably no structural integrity left in that panel,” Johnson said. In his opinion, because of how the work was done, the panel might not perform as it should in a wreck, potentially putting Bissonette’s safety at risk. He recommended replacing that panel. In total, the repairs would now cost $3,700. Texas has no state agency that regulates collision repair, so it’s up consumers to do their homework. The News Team reported that consumers should ask repairers if they have certification from an organization like I-CAR, or ASE, the National Institute for Automotive Service Excellence. They should also ask about warranties. If a repairman doesn’t offer one, experts suggest finding someone else. “You want to make sure the company is standing behind their work,” said Steve Sikes, Service King’s associate vice president of business development.

Experts also said any paint work needs to be done in a controlled environment, so if someone offers to paint outside, that’s likely a red flag too. In the end, Bissonette’s plight struck a chord with Richardson-based Service King. “It’s certainly unfortunate what you’ve had to deal with, with the subpar repairs,” Sikes said to Bissonette. In a gesture of goodwill, the company, a supporter of U.S. servicemen and servicewomen, said it would fix his car for free, leaving Bissonette astounded and smiling from ear to ear. The Enterprise Rent-A-Car location attached to this particular Service King location said it would also pick up the tab for his rental car while the repairs are done. Bisonette said he learned his lesson and he’ll be less trusting next time and that he hopes his story helps others avoid being taken by rogue mobile dent repair businesses. “I decided to call NBC 5 Investigates because I don’t want this to happen, you know, to anybody else,” he said.


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Southwest Associations

Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@chasidyraesisk.com.

LaCIA Meets to Talk Progress and Future Plans with Chasidy Rae Sisk

The newly-formed Louisiana ColliHis son is the third generation of his sion Industry Association (LaCIA) has family to enter this industry, and Mebeen busy settingwith up theirChasidy organization Rae dine Siskwants to effect change so that his and is working toward their goals. son can have the same long and sucThey held a meeting on January 21 to cessful career. discuss their progress thus far as well Randy Mclachan of Performas their future plans. Over 180 people ance Finish & Collision feels that attended this meeting, which Derek LaCIA is taking the correct profesStubbs, Vice Chairman of LaCIA, atwith Chasidy Rae sional Sisk approach to their development, tributes to the fact that “we are all here and he believes the association can be because we care about this business, useful in providing training and eduand we care about what happens to it.” cation to its member. He said he hopes Chairman Lynn Lejeune called that they will be “an association of edthe meeting to order, welcomed attenucation.” He is confident that by workdees and led a prayer before the assoing together LaCIA members can with Chasidy Rae make Siskmeaningful change that will benciation’s general counsel Lance Kinchen, of Breazeale, Sachse and efit LA’s collision repair industry. Wilson LLP, read the anti-trust stateReid Heiser of Mitchell International spoke about three things that associations such as LaCIA can do, such as providing a sense of community, with Chasidy Rae offering Sisk training and changing perspectives. In regards to these benefits, Hanks said, “it’s a great thing to walk into a room of neighbors and not a room of competitors. Mitchell has a lot of training they can send in to help our group. They benefit when our industry benefits. The industry is rapidly LaCIA Chairman Lynn Lejeune speaks to changing, and if you don’t keep up the group with it, you will not succeed. We need ment. Next, Executive Director Alysia to embrace those changes and plan for Hanks touched base on a few things what is coming down the line. [In relike the upcoming Southern Automogards to perspective], unless you get with Ed Attanasio tive Repair Conference in Biloxi and out and see what others are doing, told the group what she hopes to acnothing will ever change—‘you can’t complish with the association. work on your business if you’re workEach member of the association’s ing in your business.’” Board of Directors then provided some The day after the meeting, Hanks background on their experiences and emailed notes to participants, along spoke about their plansEd forAttanasio LaCIA. with some additional information about with Lejeune stressed that it is about “comthe association’s progress. Their webing together and agreeing to make a site is now finally operational, though it difference.” is still being improved, and can be Stubbs emphasized the imporfound at www.la-cia.com. tance of focusing on the present and In response to questions at the the future instead of the past. “Last meeting about social networking, Attanasio year is over, andwith we stillEd have battles Hanks provided the address of the asto fight everyday this year, but we sociation’s Facebook page, agreeing need to face these problems together that social networking is “an avenue to make a difference. We have national we will explore.” Since the meeting, issues that we have to handle first on a Hanks has established a Twitter acstate level.” count @LouisianaCIA and a Facebook Chris Medine from Medine’s page (www.facebook.com/SeLaCRA). with Thomas FranklinHanks has drafted a formal reCollision said he believes LaCIA has potential to be and do many good quest to the LA’s commissioner’s ofthings through having so many indus- fice, requesting that they look into the try professionals working together. legality of PartsTrader in their state,

Southeast Associations

similar to what ASA has initiated, and she is currently awaiting comment from the association’s attorneys. Additionally, the email provided a link to

Northeast Associations

Great Lakes Associations National Associations

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Associations Assembling

Association Meetings

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26 APRIL 2014 AUTOBODY NEWS | www.autobodynews.com

Lance Kinchen, General Counsel for LaCIA, addresses the meeting

the website for the Southern Automotive Repair Conference and a link to Mike Watson’s article on partial refinish. Also attached were LaCIA’s general membership application and an application to a GM training course that was held on February 25th at the Holi-

day Inn in Baton Rouge. Many members for LaCIA attended the event where topics included aluminum in new vehicles and price matching as it pertains to CollisionLink and GM’s Bump the Competition Program which allows price matching on select parts when an insurer estimate calls for aftermarket parts to be used. GM’s course also discussed 2013/2014 cores on fascias and headlights, how to recognize counterfeit airbags and warranty information. More information on technology and their service bulletins can be found at www.genuinegmparts.com. LaCIA supports and will be attending the Southern Automotive Repair Conference in Biloxi, MS, on April 11–12, 2014 where they have reserved a booth. LaCIA’s next meeting is scheduled for Tuesday, May 20th in Monroe, LA. As LaCIA continues to develop and becomes increasingly involved with industry issues, stay tuned for updates.

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www.autobodynews.com | APRIL 2014 AUTOBODY NEWS 29


AAAS Busy Strengthening Industry in 2014 by Chasidy Rae Sisk

Despite the harsh and unusual weather in the southeast portion of the country, the Automotive Aftermarket Association Southeast (AAAS) has been hard at work in their efforts to strengthen the industry—they aren’t going to let a little snow and ice slow them down! Currently, their main focus is on two upcoming lobbying events, but they are also preparing to award scholarships as their scholarship deadline draws near and planning for their annual conference in June. AAAS held their second Annual Capitol Day at the GA State Capitol in Atlanta on Wednesday, February 19th. GA members of AAAS were invited to join the association for a full day of legislative sessions and visits with elected officials as AAAS seeks to personally advocate for the industry’s priorities. On March 18th and 19th, AAAS members from the Sunshine State are encouraged to attend their Annual Capitol Day event in Tallahassee, FL, again attending legislative sessions and visiting with legislators as they at-

tempt to strengthen the industry. Regarding these two events, President of AAAS Randal Ward explains, “members join us for a day or two of walking the halls of the legislature and visiting representatives.” Ward believes this is a proactive networking opportunity that allows them to gain advocates for future legislative concerns they may encounter. AAAS is also preparing to award scholarships in the near future. The deadline for the AAAS Educational Foundation Scholarship is March 31, 2014. The AAASEF Scholarship Fund was established in 2005 to encourage and financially support individuals wishing to continue their education in a technical training school or college. Applicants must be sponsored by an AAAS member to be eligible, but all eligible candidates will be considered, regardless of their chosen field of study. Applications can be submitted at: www.automotivescholarships.com /AAAS. Additionally, AAAS is making arrangements for their upcoming Annual Conference and Trade Show, to

30 APRIL 2014 AUTOBODY NEWS | www.autobodynews.com

be held at the Baytowne Warf of Sandestin on June 5-8, 2014. They are excited to present keynote speaker John Washbish, President and CEO of the Aftermarket Auto Parts Alliance, Inc. With over four decades of experience in the automotive industry, Washbash’s leadership skills have been recognized with numerous awards, including the Automotive Warehouse Distributors Association Leader of the Year Award and Northwood’s Automotive Aftermarket Management Education Award. AAAS Chairman Mike Morgan feels “very fortunate to have John joining us for our annual conference. We look forward to his visit and him sharing his views and insight on the industry and the economy… We are honored to welcome an impressive list of guest speakers who will deliver very timely educational and informative presentations on some of the most important topics facing the aftermarket industry today.” On Saturday morning, the conference will begin with Washbish discussing changes and trends that

impact aftermarket businesses. Next, Scott Luckett, Chief Information Officer of the Automotive Aftermarket Industry Association (AAIA) will present “The Connected Car: The Impact of Vehicles Telematics in the Auto Care Industry,” and this will be followed by a presentation on “Aftermarket Access to OEM Vehicle Repair Information,” given by Skip Potter, Executive Director of the National Automotive Service Task Force (NASTF). The program will conclude with Wayne Bowling, Senior Vice President of Employee Benefits at Willis Group, who will discuss Obamacare’s effects on attendees, their businesses and their employees. In addition to the educational aspect of the event, AAAS promises networking opportunities and plenty of fun with a full schedule that includes a deep fishing charter, a reception at Baytowne Marina, a Saturday night dinner cruise on the Solaris, and the Bell/Hines Memorial Scholarship Fundraiser Golf Tournament. AAAS will continue providing updates on this event at www.aaas.us.


Continued from Cover

Utah Offering Grants

add equipment or processes that will improve the cleanliness and breathability of Utah’s air. The Utah’s Department of Workforce Services has earmarked $300,000 now to help small businesses to improve the state’s air quality and an additional $1 million after June 30, 2014 through the state Department of Workforce Services. The goal of the program is to help small businesses reduce emissions through improved equipment and the maximum amount is $15,000 and must be matched dollar for dollar. In addition to auto body shops, dry cleaners, restaurants, print shops and other small businesses with fewer than 100 employees can apply. The first collision repairer to take advantage of the grant money offered by the state was ACS Precision Finish in Salt Lake City, a shop owned by Candido Gallegos and his son Anthony. Both father and son were a little reluctant to try something new after having spent so much time mastering the solvent-based paint techniques, but their paint jobber, Superior Paint

Supply, made the transition easier for them, while the grant money also made the decision a little more palatable, Anthony Gallegos said. “We’re getting $15,000 to change over, and for us it was a no-brainer, because all of the shops in Utah are going to have to switch to waterborne anyway,” Gallegos said. “We looked at Superior Paint Supply’s waterbased paint system (De Beer’s Waterbase 90 by Valspar) because we heard very good things about it. So, we applied for the grant and then we were pretty shocked when the state contacted us and told us we were the first shop to apply. “I read an article about the grants in the paper and told my son,” Candido Gallegos said. “We figured let’s get some financial help if it’s being offered. From what we’re hearing, body shops aren’t applying for these funds, which I find surprising. The money is right there on the table. They want to give us money! How often does that happen?” The local media flocked to ACS Precision recently to cover the shop’s conversion to waterborne while letting small businesses know that the grant money is available for them, as long

as they’re willing to improve their air quality. “We were surprised when the local newspapers and news stations called us and wanted to interview us about the grant money,” Gallegos said. “It’s a big deal for Utah and a big deal for this industry and an eye opener for everybody.” According to the Division of Air Quality, if every paint tech in the state used waterborne instead of solvent, daily emissions would drop by 572 pounds per year. In fact, the industry will be required to make this change by June 1, 2014 to comply with new air quality regulations. The big challenge for small businesses is, of course, the cost to make the upgrades. Gwen Springmeyer is the Assistant Executive Director for UCAIR which is administering the state grants. She wants body shop owners to know that the grant application process is easier than they might imagine and that her organization is willing to help shops with the application process. “The grant application is easy for several reasons,” Springmeyer explained. “There is no competition for the grant, so if you qualify and there is still money in the budget, you’ll get it. Secondly, we don’t ask for your finan-

cials. The application is seven pages and we’re more than willing to help you with it. The money is there, so we want to encourage body shops and other small businesses to apply and get these dollar for dollar grants. And maybe most importantly, the deadline is June 30, 2014, but then we’re also going to make another $1 million available as part of the same program. So, essentially, the state is offering $1.3 million in air quality matching grants.” Jeff Brasier is a paint trainer for Superior Paint Supply in Salt Lake City. He has been working literally non-stop for the last five months as shops rush into the waterborne game before the deadline of July 1. “I’ve got shops lining up and it’s been crazy,” Brasier said. “I’m training 2-3 shops all the time, back to back and once we’ve got them covered, here come 3-4 more.” While many shops in his region are embracing the new paint and quickly learning how to apply it correctly, some smaller shops are dragging their feet, Brasier explained. “If someone is onboard, I can train them in three days without issue. But, if they’re reluctant for whatever reason, it can take months, because they have See Utah Offering Grants, Next Page

www.autobodynews.com | APRIL 2014 AUTOBODY NEWS 31


On Creative Marketing A Missing Hat In Most Shops with Thomas Franklin

By now most shop owners know the advantage most new media people collision repair world is changing rap- lack. Your ten years or more of accuidly. Last month I wrote about the Sci- mulated customer contacts are a solid, Fi Shop of the Future. New materials experienced crowd. Now the time has and new smart cars require new skills come to maximize that resource. It’s time to take a new look at and new technology. But what is changing even faster is the way peo- your professional image. Unlike servple communicate with one another. ice stations and mechanical shops, Facebook’s recent purchase What- your customers don’t come in for regwith DickofStrom sApp for 19 billion dollars to enhance ular maintenance or simple battery the mobile segment of its 1.2 billion and tire purchases. In a sense they’re users says that mobile communication somewhat like the family doctor between users may become the pre- whose patients come in for annual dominant way people communicate in checkups and exams. But the collision the future. But how many shops em- shop owner is more like a surgeon ploy someone solely for the purpose who only sees a patient when a major of connecting with this segment of the operation is needed. And so much of population? And is there any good your marketing must be similar to that of the surgeon or other professionals reason to do so at this time? My answer would be that it all who only see clients in extreme times depends on how much a shop’s busi- of need. How do they build a reliable Leewith Amaradio Jr.base? ness depends onwith connecting rela- client Many professionals must rely tively young vehicle owners and drivers. Older customers are usually heavily on client referrals and conmore affluent and drive higher end ve- tacts. To build on these, most seek to hicles. If a shop maintains a database join clubs, associations and charitaof at least ten years of past customers, ble organizations that their clients the odds are good that more than half frequent or belong to. If they belong of those customers is older and possi- to a particular religion or philosophbly less tech-savvy. More importantly, ical group, they will participate in these prior customers and their that group to have an opportunity to friends, families and contacts may meet with various members and bemake up the biggest part of your fu- come known as a specialist in their with Sheila Loftusspecific field. High-priced profesture customer base outside of insurance and dealership referrals. As the sionals like CPAs, lawyers and surnew market becomes more and more geons can afford to invest serious tied to websites, Facebook, Twitter time in developing a deeply personal and other media, the general game de- relationship with a potential client. A pends on who can come up with the typical body shop owner can’t afford most captivating message and images to dedicate substantial time to any on the new media. But you have an one potential collision repair cus-

Opinions Count

Action Counts

Your Turn

and dirt all around. It’s not rocket science, so if a good painter is motivated, Utah Offering Grants he or she can be adept at using it rather quickly.” with Janet Chaney to unlearn so many old habits. The For more information about getwaterborne paint goes on wetter and ting a clean air grant, you can find it stays wet longer and you have to use more information and the grant appliit in a clean environment without dust cation at www.ucair.org.

Tom Franklin has been a sales and marketing consultant for fifty years. He has written numerous books and provides marketing solutions and services for many businesses. He can be reached at (323) 871-6862 or at tbfranklin@aol.com. See Tom’s columns at www.autobodynews.com under Columnists > Franklin

tomer. So how can a shop owner do the kind of depth marketing that will gain the loyalty of this kind of reliable referral source? One shop owner in the California San Fernando Valley had a wall full of contacts. He belonged to the Knights of Columbus, the Sheriff’s Supporters League, and the American Legion. He sponsored a Boy Scout Troop, a Ladies Auxiliary and several school sports teams. It sounded like this guy was everywhere and his volume of business attested to the effectiveness of his efforts. How did he do it? Obviously not alone. Later I learned that his sister had started a woman’s business referral service. His son was active in the business at a young age. In general I don’t think he had paid P.R. people doing any of this work, but it’s not much of a stretch to consider that possibility. Family is great if you have it, but if not can it be cost-effective to employ a real public relations person

to handle this in-depth membership and schmoozing activity? Many businesses calculate the lifetime value of a customer. Figuring one collision repair every 3-to-5 years generates an approximate number. But this ignores the people in that customer’s surrounding universe. The opportunity to specifically refer a repair facility just when an accident happens is quite rare. That’s why the P.R. person is needed to amplify the praise of a satisfied customer in a group. This marketing person must have the ability to speak for the shop at groups, community events, company meetings and more. He or she should be of a comparable age to the prospective customers, with a background in sales and public speaking but with enough familiarity of the collision repair shop to present a credible story and reason to patronize the shop. As the crowd turns to social media, personal contact still has the advantage.

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Shop Showcase

Give us your opinion on matters affecting the industry.

write us!

Industry Overview publisher@autobodynews.com with Janet Chaney

32 APRIL 2014 AUTOBODY NEWS | www.autobodynews.com

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Is My Gas Can Safe? by Sam Celly, MS JD CSP

The maintenance and operation of gasoline tanks, both aboveground and underground, has become expensive, highly regulated, and burdensome. Automobile dealers have resorted to gas dolly equipment where a small amount of gasoline can be added to each new automobile delivered to the dealership. We note that automobiles delivered to dealerships from manufacturers have very small amounts of gasoline; this being a result of U.S. Department of Transportation (DOT) regulations, which dictate that minimal amounts of gasoline be retained in gas tanks of vehicles in transport. We write this memo to discuss DOT, OSHA, and CARB regulations applicable to gasoline being transported from a public gasoline station to dealerships for a later fill in automobiles on the lot. Federal DOT Regulations: Gasoline transport is discussed in Section 173.6 of the DOT regulations under “material of transport exceptions.” The regulations require that a container being used to transport gasoline must be less than 8 gallons

per container and a maximum of 72 total gallons (440 pounds). The containers must be secured in the pickup truck and properly labeled. The driver should be trained in DOT regulations. We recommend that the containers are UL certified. Beyond that, there are many other regulatory agencies with enforcement in the hazmat arena. http://www.gpo.gov/fdsys/pkg/CFR2011-title49-vol2/pdf/CFR-2011title49-vol2-sec173-6.pdf Safety: Safety concerns for gasoline containers are as follows: * Properly labeled container with hazard warnings and employee training in Hazard Communication Program (OSHA Regulation 29 CFR § 1910.1200). * 29 CFR § 1926.152(a)(1) states that “Only approved containers and portable tanks shall be used for storage and handling of flammable liquids. Approved safety cans or DOT approved containers shall be used for the handling and use of flammable liquids in quantities of 5 gallons or less...” * Bonding of containers to eliminate static electricity be followed both at the time of filling up the containers

and when transferring from container to container. Keep containers on the ground when filling and not on the bed of the truck. Use grounding wire when necessary. Keep nozzle in contact with can during filling. Do not fill containers over 95% to allow for expansion. Spilled gasoline must evaporate before containers are put on the truck. * Containers must be closed so as to minimize the risk of spill and creating a fire hazard. * Spill proof spouts also lock in vapors so as to avoid vapor release while in storage. Don’t overfill gas tanks on automobiles. Keep fire extinguisher close by! * Transport truck must have a spill kit available with a trained operator on containing, cleaning, and proper disposal of spill absorbent. * Studies at Worcester Polytechnic Institute’s Department of Fire Protection Engineering, as reported by NBC News in late 2013, have indicated that under certain conditions, plastic cans are vulnerable to fires with an explosive force. The conditions that present the higher risk include having a very small amount of gasoline (a few

teaspoons) inside the gas can, cool temperatures, tilting the can at 42 degrees (typical pour angle) and of course a spark! The employees should be trained to avoid these risky conditions and maybe even buy metal cans in the future. http://www.nbcnews.com/news/investigations/watchgas-can-explode-lab-test-v21744014 CA Air Resources Board (CARB): As of July 1, 2007, all Portable Fuel Containers (PFC) sold in California must be certified by the Air Resources Board as meeting lowemission standards and regulatory requirements. This regulation is applicable to manufacturers and retailers who place the gas cans in the stream of commerce. Only containers of 10 gallons or less are covered by this regulation, so the sale of a 25 gallon gas caddy for shop use is exempt from CARB regulations. The following table provides a listing of those CARB approved containers certified for sale. http://www.arb.ca.gov/consprod/fuel-containers/pfc/eo/eo.htm Summary: CA based businesses have only CARB approved containers available. Other states may use these

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CARB approved containers with vapor locks that are spill proof and emit negligible flammable vapors and hence, are safer. Training in hazardous materials, including information on risks associated with plastic cans, should be provided to employees. Following safety and operation instructions on the PFC is also mandatory. Sam Celly has trained auto dealers regarding EPA/OSHA compliance in 9 western states since 1987. Celly was the first staff engineer at KPA after earning his Bachelor’s of Engineering degree and later, his MS degree in Chemical Engineering (School of Mines & Technology). In 1997, he received his Doctorate of Jurisprudence from Southwestern University in Los Angeles with emphasis on Labor & Environmental Law. Sam is a Certified Safety Professional and has served as the Chair of the Law Committee and Environmental Issues Committee of the American Industrial Hygiene Association (AIHA). Additionally, he is a member of American Institute of Chemical Engineers (1985) and the AIHA, where he is the President of the Southern California Section. Send your comments to sam@cellyservices.com.

ASA Announces Incentives for Select I-CAR Qualified Shops to Attend NACE/CARS

The Automotive Service Association (ASA) is preparing for NACE/CARS 2014 which will be held at the Cobo Center in Detroit, MI, during the last week of July. It will be held in conjunction with other core industry events, including I-CAR, CIC, and CREF’s annual golf outing. ASA Executive Director Dan Risley stresses the importance of NACE and CARS as “the only events solely dedicated to those who service and repair cars.” One of ASA’s goals in 2014 is to attract the “best of the best industry leaders,” so they are offering a special incentive for shops or repairers that are I-CAR Gold or Platinum certified or who have received ASE’s Blue Shield or Master Technician certifications—to reward their investment in training and as an acknowledgement of their commitment to the industry, these shops/individuals will be able to purchase the super pass (allowing them full access for the entirety of Industry Week) at a 50% discount. Risley is excited about the number of changes to this year’s program and the responses received thus far. “The concept is to bring people together and provide a place where people can get the technical information they need to repair today’s cars.”

Industry Week will begin on Tuesday, July 29 with CIC’s meeting, followed by I-CAR meetings on July 30. On Wednesday afternoon, the Canadian Collision Industry Forum (CCIF) will hold a four to six hour event. The week will conclude with NACE/CARS on Thursday, July 31, and Friday, August 1. Other important changes include moving the date of NACE/CARS 2014 from October to July, as well as holding the event in Detroit instead of a “destination location,” such as Las Vegas, as they normally do. Risley explains that this choice was intentional for several reasons– “Detroit isn’t a destination trip so attendees will be more inclined to spend time on the floor and in training classes. There are around 5000 shops within a three hours driving radius of the city who we want to reach. We want to give attendees a new experience coupled with class A training and information; we plan the show to be for and about people who work on cars.” Some of these experiences that ASA hopes to provide take the form of various tours. As yet, the tour plans are still unconfirmed, but Risley hopes to offer tours to “some pretty unique venues”, including the Henry Ford Museum, the BASF facility (hosted by BASF), the Chrysler plant, the Ford F-

150 plant, and the Dodge Viper plant, if their line is running at that point. Also unconfirmed as yet are ASA’s hopes to hold their annual graduation ceremony at the GM Heritage Center. The hype surrounding this year’s NACE/CARS is also reflected in the fact that exhibitors have already contracted several thousand square feet more than the show floor space last year. Risley believes that they are in position to sell out the 50,000 square foot floor, and this doesn’t even include the 30,000 square foot dedicated to specialty vehicles, show cars and a new demonstration area. Exhibitors are also supporting NACE/CARS by promoting the event to local shops. Of course there is a full schedule of training. “We are bolstering the training offered. You will see a distinct difference with a LOT of technical training,” Risley promises, which is in keeping with this year’s theme of Repairability. This year’s schedule is heavily laden with technical training on both the collision and mechanical sides of the business. ASA is also collaborating with I-CAR to provide a full slate of ICAR training for the collision repairers in attendance. One of their most highly anticipated courses will involve aluminum-specific training sessions.

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www.autobodynews.com | APRIL 2014 AUTOBODY NEWS 37


CIF is Now the Charitable Conscience of the Industry by Chasidy Rae Sisk

On January 16th, the Collision Industry Foundation (CIF) held their fourth annual gala fundraiser in Palm Springs, CA. This was the first time Bill Shaw the event was not held in Las Vegas in conjunction with CIC’s fourth quarter planning meeting, but according to CIF President William Shaw, the gala was very successful and exceeded CIF’s expectations. Nearly 100 people attended the two-hour cocktail reception at Lulu’s Bistro, and this year’s event saw an increase in the number of underwriting sponsors showcased. CIF began by selling raffle tickets at the door, a venture that raised $820. They also held a silent auction for eight items, including electronics and even an Indy Car Race Package. The auction generated over $4000. CIF’s goal was to raise $25,000, but they exceeded this goal by raising $32,000. The proceeds from the event will be added to the organization’s Disaster Relief Fund which is used to support industry participants who are impacted by natural disasters. This annual event is a vital part of their efforts to collect donations, and Shaw sees it as a “great opportunity to create awareness and let the industry know how to participate and that CIF exists to help when disaster strikes… we are really creating good momentum moving forward.” On March 12, the Board of Trustees met in Chicago to discuss current disaster needs and fund allocations. In addition, the Trustees established its goals and plans for the next 12 months. CIF is also pleased to announce that two new Trustees were just elected. Casey Steffen with Saint-Gobain Abrasives and David Henderson with AutaExplore/Autowatch will join the Board and work with the Foundation to carry on its initiatives. CIF was created in 2001 by the National Auto Body Counsel (NABC) as a national non-profit organization to collect and distribute charitable funds.

The first campaign they supported was Montana’s Camp Mak-A-Dream, a program dedicated to helping children and teens suffering from cancer, and they collected over $500,000 for this cause in their first years of operation. The funds were used towards building an on-site health care facility for the camp, and in 2005, CIF supported Camp Mak-A-Dream yet again by donating funds to help purchase a bus for the program. Since beginning, CIF has supported a number of campaigns, planning and implementing various projects. They supported a three-year campaign called “Crash Hunger” that focused on raising funds to feed Americans. Another project, in 2008, was “Blanket the City: Detroit,” a fundraising effort to support the city that was so disproportionately impacted by economic turmoil. In their attempt to help a broad base of organizations providing vital services to the city, CIF made donations to the Children’s Home of Detroit, Clean Downtown Detroit Partnership and Gleaner’s Food Bank. In addition to providing donations to Recycled Rides, CIF part-

lision repair industry,” when Hurricane Katrina struck LA and MS in 2005, CIF’s Board of Directors created the Disaster Relief Fund to aid victims of natural disasters. Their fundraising efforts allowed them to aid over 100 collision industry professionals impacted by Katrina. This project was so successful that CIF decided to make it an ongoing program and through their efforts, they’ve supported victims of many natural disasters, including Hurricane Irene, the tsunami in Japan and, most recently, Superstorm Sandy which devastated the entire east coast of the US in the fall of 2012. All of these programs support CIF’s mission “to collect funds from all facets of the collision repair industry to be distributed to repair professionals chosen by the Foundation’s selection committee.” CIF’s assistance is limited to individuals and not provided to businesses or organizations. A committee reviews all requests and distributes funds based on individual needs. Those interested in helping are encouraged to make donations, join CIF’s volunteer committee or aid with Victim Location/Assistance.

Currently, CIF’s short-term goals include creating awareness about who CIF is, as well as their mission and vision – to bring awareness and emergency relief to collision repair professionals. Their primary focus remains helping those in need.

Further down the road, Shaw hopes CIF will establish a sustainable fund with “enough money in reserve to help those in need and help subsidize the costs not covered by insurance in the event of a natural disaster. In the meantime, we will continue to support various campaigns in our efforts to reach out and engage the collision repair industry so they can give something back.” Regarding challenges that CIF faces in order to maintain operations,

• Dedicated Wholesale Staff with Over 100 Years Experience • Large Inventory • Daily Local Deliveries nered with Skills USA and the World Skills Competition to sponsor the US Collision Team, sending two competitors to the World Skills Competition in Helsinki, Finland. CIF also participates in “Leave Something Behind” initiatives throughout the year; while attending CIC meetings around the nation; this program serves as a gesture of gratitude to the host city. Over the years, this effort has yielded book donations to a Portland library and monetary donations to Children’s Hospitals in Phoenix, AZ, and Washington DC, as well as Toys for Tots in Las Vegas and the Utah Food Bank in Salt Lake City. Though these programs are more than sufficient to illustrate that CIF is “the charitable conscience of the col-

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Shaw mentions the number of those who need assistance, but he feels that the resolution to this dilemma is “to articulate our message and inform contributors how their donations will be used to support the industry.” CIF is run by a Board of Trustees, comprised of 12 leaders from all segments of the industry. This group is still in the planning stages of their 2014 agenda, but Shaw hopes to be able to define this year’s goals by the end of the first quarter. Shaw succinctly wraps up CIF’s mission and goals as follows: “We want the collision repair industry to be aware that there are people in need and to encourage them to get involved and give back. We are trying to create a culture that gives back because the benefits are tremendous for both sides. The message we want to share is this—whether you’re directly involved with CIF or not, it’s very important to get involved with local organizations and to support charities.”

Collision Industry Foundation (CIF) PO Box 3007 Mechanicsville, VA 23116 855-4CIFAID (855-424-3243) http://collisionindustryfoundation.org

Afgan War Veteran Wins ‘Metal of Honor’ from CollisionMax in Pennsauken, NJ Evan Graham, a 31-year-old Army veteran who came back from Afghanistan with six Purple Hearts for combat wounds, has been selected as the latest winner of CollisionMax’s ‘Metal of Honor’ Award. CollisionMax of Pennsauken, NJ, will repair his 2012 Chevrolet Silverado pickup truck free of charge. Graham, who lives in Somerdale, NJ, served two tours of combat duty in Afghanistan with the 82nd Airborne Division from 2007 to 2010. After his discharge from the Army in 2010, he served in the Army National Guard until he retired from the military as a sergeant in 2011. Seeing action in Afghanistan in both cities and the rural countryside, he was shot twice, hit by a hand grenade once and injured by multiple roadside improvised explosive devices. He now suffers from traumatic brain injury that impairs his short-term memory, and is being treated for post-traumatic stress disorder, which makes it difficult for him to talk about his

40 APRIL 2014 AUTOBODY NEWS | www.autobodynews.com

combat experience. “I lost a lot of friends,” he says while visibly trying to control his emotions. Despite his multiple wounds, he returned to combat each time because “I wanted to get back to help my buddies. They were like family to me.” Graham was nominated by his wife, Genna, and his brother-inlaw, John Cajio, who was at the wheel of the truck last year when it hit a lamppost, damaging the left rear quarter panel. Mr. Cajio felt obliged to pay for the damage, but was unprepared when the estimates came in at thousands of dollars. “I heard about the Metal of Honor Project on WMMR-FM, and thought I’d take a chance,” he said. “I owed Evan, and this is a great way to pay him back.” Through its Metal of Honor project, CollisionMax is giving away auto body repairs to 11 US military veterans, one per month for each of its locations in the Delaware Valley. The company chooses the winner from nomina-

tions it receives from the public on the project’s web site,www.metalofhonorproject.com. The company is now accepting nominations for a veteran from the Northeast Philadelphia, PA area. “The Metal of Honor Project is our way of saying thank you and honoring the men and women of our armed forces who put their lives on the line for all of us,” said Jim Tornetta, CollisionMax president and CEO. In New Jersey, CollisionMax operates shops in Blackwood, Cinnaminson, Glassboro, Marlton, Pennsauken, Sicklerville and Westmont. In Pennsylvania, it has repair centers in Oxford Valley, Warminster and two in Northeast Philadelphia (both on West Grant Avenue.) For information visit: www.collisionmax.com. Contact Information: Mark Boada CollisionMax http://www.ceinetwork.com 1-215-485-4241


Property and Casualty Insurers Hit With Antitrust Suit by Florida Auto Body Shops On February 24, 2014, a group of Florida auto body shops filed an antitrust action against over forty property and casualty insurers in the U.S. District Court for the Middle District of Florida. In the case, A&E Auto Body versus 21st Century Centennial Insurance Co., d/b/a Farmers Insurance Group et al., the plaintiffs allege that the State Farm vendor agreement requires shops desiring to participate in this preferred provider program to accept the market rate for such services, and that State Farm calculates those rates in an improper manner that keeps them artificially low and not representative of the true market for such services. The plaintiffs also allege that the remaining insurer defendants in the state have advised plaintiffs that they will pay no more than State Farm pays for labor at their shops, thus resulting in a stabilizing of rates at these allegedly low levels. In addition to a number of common law counts, plaintiffs assert that defendants' conduct constitutes price

fixing under Section 1 of the Sherman Act. In search of evidence of agreement amongst the defendants (a necessary element of a Section 1 claim), plaintiffs allege that the insurers agreed to control and suppress automobile damage repair costs at meetings amongst themselves that they refused to allow members of the auto collision repair industry to attend. Plaintiffs also contend that defendants' alleged conduct constitutes unlawful boycott activity. In support of that assertion, plaintiffs maintain that the defendants' alleged acts of steering customers away from plaintiffs, through allegations and intimidations of poor work quality places defendants' conduct beyond the limited antitrust exemption that the insurance industry enjoys under the McCarran Ferguson Act. The action is only in its very earliest stages, and the insurers have not yet responded to plaintiffs' allegations. However, given the number of insurer defendants, and the nature of the issues, the case will be a major collision industry event in 2014.

NC Shop Wins Nationwide Short-Pay Arbitration Case Pack Brothers Collision Center of Belmont, NC, has won a short-pay arbitration case in a Lincoln County North Carolina court against Nationwide Mutual Insurance Company. On Feb, 3, 2014, a judge awarded a customer of Pack Brothers a little more than $3,000, which was owed to Pack Brothers for collision repairs that Nationwide refused to pay upon completion of their insured’s car. The lawsuit was filed on behalf of the customer with a Power of Attorney assigned by the customer in cooperation with Pack Brothers. The customer was insured by Nationwide, which refused to pay for repairs for a first-party claim. According to Pack Brothers, Nationwide did not honor their policy and refused to pay them for the repairs. A judge found that under the policy language, Nationwide did owe their policyholder so he could satisfy his collision repair bill. The judge entered a judgment against Nationwide finding in favor of the customer so that he could pay Pack Brothers. “Insurance companies are so used to saying that they will not pay for correct repairs, and they know that very few shops will push it into

litigation,” said Ronnie and Larry Pack. “Therefore, they continue to deny payment to the shops because they know it’s time consuming and expensive for the shop owners to pursue. “What we are seeing is that insurance companies are shortcutting repairs, and so the repairs to the car are now compromised because of the insurance company refusal to pay for the correct repairs needed. Therefore, some of the shops are shortcutting the repairs to make up for that loss— which ultimately makes the customer the loser. “Our victory means nothing unlesswww.autobodynews.com the whole industry gets involved and demands to be IT paid for correct CHECK OUT! repairs.”

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I-CAR Has Implemented a New Initiative to Close OEM Informational Gaps OEM repair information today is good, but not perfect, says Jason Bartanen, director of industry technical relations for I-CAR. It needs to be better and more readily accessible for shops.

Bartanen says there is significant inconsistency between auto manufacturers regarding the type and amount of information they distribute. Some manufacturers have a wealth of information available, while others don’t have any collision repair information available in the U.S. market. I-CAR held a series of discussions with a group of 50 auto manufacturers, shop professionals and insurers to outBartanen says the OEM informaline 13 standard pieces of information tion available today still isn’t comprethat repairers need access to from every hensive. Several gaping holes exist, a OEM. The list includes items such as problem causing shops and insurers to material identification, material remake procedural guesses on jobs with pairability guidelines, sectioning prono way to verify their judgments. Some cedures, seam sealer identification and shops have a hard time obtaining the location, and corrosion protection reinformation at all, Bartanen adds. Vequirements. hicle manufacturers have strong distriThe broader impact of the matrix, bution methods for their affiliated though, is development of more comdealerships, but don’t have an efficient prehensive OEM repair manuals, Bartactic to deliver that same information tanen says. Members of the RTS to independent facilities, which repair a initiative have communicated the gaps majority of collision-damaged vehito every OEM to help release more incles. formation, many of which are now I-CAR last summer launched a working on producing those standard new Repairability Technical Support items for the industry.The RTS created (RTS) initiative to tackle the proban OEM technical information matrix lem—a four-member team dedicated that outlines which manufacturers proto communicate with auto manufacvide which pieces of information. That turers to fill the informational gaps and document is a major benefit to repairdistribute the information to the indusers, Bartanen says, because it’s a single try at large. The initiative—which will resource to identify whether the inforbe a continual, ongoing effort moving mation they need exists, and where forward—is expected to improve work they can find it. The information maand productivityEdition? for independtrix will be updated and expanded as to quality this Southwest ent shops by providing centralized acnew information becomes available, cess to more consistent, detailed and and is viewable for free at rts.i-car.com. standardized repair information. Doug Craig, collision repair manautobodynews.com A new website has been created, ager of the Chrysler Group, for examrts.i-car.com, which is designed as a ple, says he is working with Chrysler’s “centralized, comprehensive distribuvehicle design and materials engineers tion mechanism” for OEM information, to update and distribute new technical nessBartanen with says. Promote your businessrepair withbulletins to reflect the identified featuring an exclusive article featuring All technical-based information informational gaps. Many other OEMs from every auto your manufacturer—paint, are doing the same. services. products or services. materials, parts and processes—is Another notable improvement listed on the website and stored in the came from Kia—a company that hisdatabase. Rather than linking users to torically hasn’t released collision inforan auto manufacturer’s website, the inmation in the U.S. market. Bartanen formation is housedCall directly the says the company now has a “highly or details! forondetails! RTS website in an easy-to-read format. comprehensive” collision manual avail251 The website also 800-699-8251 includes all of able online for its Soul model. I-CAR’s latest technical briefs and OEM information sometimes daily articles. fails to provide specific necessary

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steps to perform a recommended repair procedure, Bartanen says. OEM information provides shops with highlevel processes to make a repair, but lacks detailed information to make them correctly. For example, an OEM procedure might recommend “making and dressing a GMA MIG plug weld.” But it may not specify how far to grind the weld, how to dress it, or the grit of sandpaper to use. The RTS website includes an online informational communication portal for shops. It’s a technical inquiry submission process that provides the industry with a strategy to communicate and resolve repair gaps they encounter, Bartanen says. Shops can submit technical inquiries, and the RTS team initiates communication with auto manufacturers to answer questions and share information. All technical inquiries and findings are sorted and searchable by vehicle manufacturer and subject matter. OEM Standardization Bartanen says OEMs use different formats, phrases and terminologies in their repair manuals, which makes them dif-

ficult to read and causes shops to misinterpret directions. All OEMs have been solicited to develop more standardized communication processes. Craig says auto manufacturers understand the confusing—and sometimes contradictory—information they produce, and most companies are in favor of working together to simplify and unify their procedures. The RTS initiative is not necessarily meant to address the industry’s repair standards issue, but it’s one direct improvement that has resulted from those discussions, says Bob Keith, treasurer of I-CAR’s international board of directors and multi-store director for CARSTAR Auto Body Repair Experts. And it will prove to be a major benefit for shops, he says. Repairers will have access to more robust information and a more efficient strategy to clarify technical questions to improve performance on the shop floor. In addition, Keith says the RTS initiative has opened better lines of communication between the industry and auto manufacturers to boost responsiveness surrounding informational needs.


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Historical Snapshot

—John Yoswick is a freelance writer based in Portland, Oregon, who has a body shop in the family and has been writing about the automotive industry since 1988. He is the editor of the weekly CRASH Network (for a free 4-week trial subscription, visit www.CrashNetwork.com). Contact him by email at jyoswick@SpiritOne.com.

20 Years Ago In The Collision Repair Industry (April 1994) with John Yoswick

(Retired Automotive Service Associaof a lower control arm or other fronttion lobbyist Don) Randall told the end suspension part is entered on an group that current antitrust laws are with Chasidy Raeestimate, Sisk the system should in some strangling collision repairers by giving way prompt the estimator to also ininsurers an unfair advantage to meet clude an alignment on the estimate. and to set policy language and contract Matejzel said the industry infordefinitions. In essence, he said, insurmation providers are focusing much of ers have the ability to set market prices their efforts this year on Y2K compliwhile collision repairers do not. ance issues. But he said his committee Chasidy “Our systemwith is control losses Rae – –Sisk which includes insurers and shops – which sounds like a pretty good idea,” will continue to meet with the estimatRandall said. “But that system is de- ing system providers to discuss these stroying the free enterprise system in changes throughout the year. this state.” “If you’d Insurance policies, he said, are been at one of this laden with loopholes that give insurcommittee’s meetwith Chasidy Rae Sisk ers the opportunity to change a $100 ings, you’d have deductible into one costing much actually seen a more. group of repairers “In the event of a loss, ‘We will and insurers stand make you whole,’ but who decides up and face the inBob Matejzel what is whole,” Randall said. “You f o r m a t i o n with Chasidy Raeproviders Sisk and say with one voice, ‘This have a variable. If you take the car to the shop of your choice, and it isn’t is what we want,’” said CIC Chairman one they choose, they may say to you, Dale Delmege of the committee’s meet‘You just pay the difference between ings earlier this year. “That was a magic the one you picked and the one we moment in this industry.” picked.’ They may also say, ‘We don’t Linda Holcomb said the CIC Chasidy RaeWrite Sisk It Right Committee’s discuspay for…’ or “It with is not customary…” or ‘It is not usual and ordinary.’ They sions with the estimating system are now engaging in ‘dancing around providers has also focused on the need the contract.’” to make the systems easier to use. Randall railed against the current “Our estimators are really spenddirect repair programs, saying they ing a lot of time writing estimates and breed corruption with and cheating. Chasidy Raewe’d Sisklike to see that done quicker,” “It’s wrong and it ought to be she said. stopped,” he said. “But it will not stop – as reported in Autobody News until this industry gets organized.” – from coverage of a forum in 10 years ago in the collision repair Portland, Ore., sponsored by Fairness industry (April 2004) in Auto Insurance Regulations (FAIR) A videotape of an interview with one with Chasidy Rae Sisk vehicle owner about his experience with an auto claim generated some 15 years ago in the collision repair discussion when shown at the Colliindustry (April 1999) Could the computerized estimating sion Industry Conference (CIC) in systems be improved to improve the Nashville largely because of who the ease and accuracy of estimating? vehicle owner is: Joe Maxwell, the with Chasidy Raelieutenant Sisk governor of Missouri. Three Collision Industry Conference (CIC) committees continued explor“The thing I was most amazed by ing this issue at the CIC meeting in was how quickly I was contacted by Denver in April. [the other driver’s] insurance comBob Matejzel of the CIC Esti- pany, which almost immediately called mating Committee said his group has me and said they already had the check identified an initial list of about a in the mail to pay for my automobile,” dozen procedures that it believes the Maxwell said. “I asked ‘How did you estimating systems should automati- even know how much damage was cally remind users about. As an exam- done?’ They said, ‘Well, from the reple, Matejzel said that if replacement port.’ So I was offered a settlement be-

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with Ed Attanasio

fore anybody even viewed the damage to the vehicle.” Maxwell said that while the insurance company representatives were pleasant and that he never felt harassed, they did refer him to a shop in Columbia, Missouri, 45 miles away. When he told the insurer the first check they sent would not cover the cost of repairs, they made an appointment to send someone out to look at the vehicle at his office. Maxwell doesn’t know if that happened. The shop received a revised estimate – still insufficient to cover the cost of repairs – but Maxwell said the adjuster never contacted him. “They claim the guy came and viewed the car, but he never came into the building, never jacked the vehicle up,” Maxwell said. “The car was parallel parked on the street and the damage was on the driver’s door side so the guy would have had to lay down on the street to look under the car, which wouldn’t have been safe. And clearly without opening the door, which was locked, they could not have seen all the damage. So that troubled me some.” Maxwell said he’s concerned that many people in his situation would have accepted that first check and “in doing so accept settlement on the claim and then discover it wasn’t enough to have a professional, quality job done.” He said he’s also concerned about insurers steering work or owning shops. “The idea of having an insurance company that would control where I repaired my car is kind of like having a fox watch the chicken house,” he said. “You may wind up with less chickens.”

– as reported in Autobody News

5 years ago in the collision repair industry (April 2009) Under a settlement agreement reached last week, LKQ Corp. will be the only company allowed to sell certain nonOEM collision parts for Ford vehicles. The non-OEM parts involved are those designed to replace parts for which Ford owns design patents. As part of the agreement, LKQ will pay Ford a royalty fee for each part sold, and has agreed not to challenge the validity of Ford’s design patents during the term of the agreement (which extends until October 2011 but may be renewed). Other details of the agreement were not disclosed. Ford said the settlement “does not endorse the quality or use of non-OEM replacement parts sold by LKQ Corp.” The agreement ends two legal battles Ford has waged to protect its design patents on collision parts for its F-150 pickup and Mustang. It also is likely to split the non-OEM parts industry which has been working as the “Quality Parts Coalition” to limit automakers’ rights to hold design patents on collision parts. – As reported in CRASH Network (www.CrashNetwork.com), April, 2009. LKQ currently faces a lawsuit from Chrysler over the sale of parts that the automaker claims violate its design patents. The Quality Parts Coalition continues to back proposed federal legislation that would slash (from 14 years to just 30 months) the time that automakers can use design patents to prevent other companies from producing replacement crash parts.

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Michigan’s HB 5339 Seeks to Address Steering, Non-OEM Parts, and Parts Procurement Michigan House Bill 5339, introduced on February 19, seeks to amend the Michigan Insurance Code of 1956 to restrict insurance companies from numerous actions that irk collision repair facility operators. The broadly worded bill has not yet been scheduled for hearings. The bill, as sponsored by Representatives Dale W. Zorn ,Greg MacMaster, Anthony G. Forlini, Peter Pettalia, Michael D. McCready, would ban insurance companies from compelling the use of specific collision repair or claim centers, restrict non-OEM parts usage, and prohibit an insurer from specifying specific vendors for parts or other materials. Specifically the bill would prohibit insurance personnel from the following: ● Compel or coerce the insured or claimant to choose a particular repair facility, claim center, or other similar facility regardless of whether the repair facility, claim center, or other similar facility is under the insurer's direct control. This subdivision would not prohibit an insurer from requesting the

insured or claimant to take the a particular repair facility, claim center, or other similar facility after informing the insured or claimant that the insured or claimant is not under an obligation to do so. ● Must not fail to inform the insured or claimant that the insured or claimant has the freedom to use a repair facility of the insured's or claimant's choosing, or fail to inform the insured or claimant of the insurer's ownership interest in, or agreement with, a repair facility, claim center, or other similar facility Communicate the need to delay the commencement of repair to allow the insurer to inspect the automobile for more than 1 full business day from when the insured or claimant presented the claim or automobile for loss adjustment or inspection. Dispute coverage of the loss without performing a physical inspection of the automobile. Specify a non-original equipment manufacturer aftermarket crash part to replace a structural component of an automobile, including, but not limited to, a bumper reinforcement, radi-

ator or core support, or any other part that affects the structural integrity or airbag timing of the automobile. Specify a non-original equipment manufacturer aftermarket crash part in the repair of the damaged automobile if the part is not certified by a national testing board to guarantee quality, fit, and crashability. Specify the use of a particular vendor to procure a part or other material necessary for the satisfactory repair of the automobile. This subdivision does not require an insurer to pay more than a reasonable market price for parts. Unilaterally or arbitrarily disregard a repair operation or cost identified by an estimating system that the insurer and repair facility have agreed to use in determining the cost of repair. Place a limit on the maximum cost of paint or other materials required to repair the damaged automobile. This subdivision does not require an insurer to pay more than a reasonable market price for paint and materials. Disregard a repair facility's posted labor rate without proof of the range

of posted door rates available to the public in the market. The bill also would provide an insured, claimant, repair facility owner, potential repair facility owner, or person aggrieved by this act the ability to bring a civil action against an insurer for a violation of this section. A plaintiff who prevails could receive Damages in the amount of 3 times the actual loss or $500.00, whichever is greater as well as attorney fees and costs. Ray Fisher, executive director of the Automotive Service Association (ASA) of Michigan, explained “ASA Michigan did not author or introduce this bill but we are glad that Representative Zorn along with the other co-authors, has taken a key role in trying to resolve some of the issues that have plagued our collision shops here in Michigan. I have passed this on to our leadership for their review and we are looking forward to working with Representative Zorn as this moves forward. Obviously he is trying to cure many of the burdens that our collision repairers have faced for quite some time.”

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Auto Body Bills in Rhode Island Draw Heavy Fire, Accusations of Lying, from Both Sides On March 18, 2014, three auto body bills were heard by the House Committee on Corporations that the Property Casualty Insurers Association of America (PCI) says should be defeated in Rhode Island to protect inherent rights as consumers, according to reports by Randal Edgar in the Providence Journal. There were accusations of lies and counteraccusations of self-interest. There were numbers that suggest costs have risen dramatically and other numbers that suggest they’ve been stable. This year’s clash mostly revolves around two bills, both supported by the Auto Body Association of Rhode Island and opposed by the Property Casualty Insurers Association of America. House Bill 7404, sponsored by Rep. Stephen Ucci, D-Johnston, expands a law that requires owner approval when aftermarket parts are used on vehicles that are less than 30 months old. Under current law, the rule applies to body parts, but Ucci’s bill would make it apply to all parts. Supporters said the bill would protect owners and ensure that damaged parts on newer cars are replaced with

parts from the car’s manufacturer. But opponents said the change would affect even minor parts and could drive up repair costs. House Bill 7796, sponsored by Rep. Arthur Corvese, D-North Providence, establishes two tiers of autobody repair shops—“Class A” shops that would be capable of repairing new cars with the latest technologies and materials, and “Class B” shops that would work on older cars. Supporters said the bill reflects changes that are coming with the use of new materials in the latest cars, and opponents did not dispute that idea. But they did oppose language in the bill that calls for different labor rate surveys for the two types of shops. Stephen Zubiago, a lobbyist for the Property and Casualty Insurers Association of Rhode Island, said the motivation is money. “What this bill is aimed at is a labor rate,” he told the House Corporations Committee. But James Moy, a senior consultant with Precision Auto Group, in New York, disagreed. “It’s not about charging more,” he

said. “It’s about getting the car fixed.” While the bills were the reason people came to testify, the recent history of auto body shop owners clashing with insurers made the 2½-hour meeting seem like the latest installment in a feud. The Property Casualty Insurers Association came into the meeting with a “Special Report” titled “It’s Time to End the ABARI Campaign.” The report was subtitled: “Stop Excessive Cost Hikes Caused by a Decade of Body Shop Legislation.” The report says collision repair costs, body shop labor costs, collision claim costs, collision insurance premiums and vehicle insurance premiums have all risen during the past decade— one in which the Auto Body Association of Rhode Island has supported 17 bills that have become law. The report also says Rhode Island had the 13thhighest average body shop collision repair cost in the nation 10 years ago and now has the second-highest. PCI and other insurers are supporting a website campaign focused on legislation in Rhode Island and Maryland called Auto Body Choice in an at-

tempt to sway consumers. See websites at http://www.autobodychoice.com/ri/. Jina Petrarca-Karampetsos, attorney spokeswoman for ABARI, responded with her own report that says average repair costs rose just 2 percent from 2004 to 2010. She also said that in 2011, the average premium for auto insurance in Rhode Island was $1,148— “exactly 19 dollars more than your premium was in 1996.” “I am so tired of coming up here with facts and figures and having to defend against lies,” she said. Francis O’Brien, vice president of state government relations for the Property Casualty Insurers Association of America, said he stood by the association’s report and “would be happy to provide the committee” with a rebuttal. The committee held the bills for further study.

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Education Foundation Doubled Down on Its Future in 2013 by Chasidy Rae Sisk

The Collision Repair Education Foundation (CREF) is always busy working on ways to improve the prospects of the industry, and the first quarter of 2014 is no exception as they calculate 2013 donations, collect applications for their Student Scholarship and School Makeover programs, and prepare for their 2014 Summer Golf Fundraiser. Brandon

Eckenrode, Director of Development for CREF, eagerly shares some information about their recent tallies and future plans. As 2013 drew to a close, donations to CREF for the year totaled $9.4 million, nearly double the amount of donations as they received in 2012. Of those contributions, 10% was received in monetary contributions with the remainder being received via in-kind product donations, such as tools, equipment, supplies, parts and other donations to assist instructors in their collision repair programs. When questioned about the reasons behind this increase in contributions to CREF, Eckenrode states “year after year, we are able to reach more and more industry businesses and help communicate to them about how we are looking to support high school and college collision school programs, instructors and students. Knowing that these students are the future professionals of the industry, our supporters understand how their technical education is vital, and with school instructors working with limited/reduced budgets, the industry has really stepped up to support them through our organization.” The monetary donations received in 2013 will be used to fund CREF’s projects, such as their scholarships for

students and school grants, as well as to keep the organization running. The 2013 tallies help Eckenrode remain optimistic about CREF’s fundraising efforts for 2014: “we anticipate another great year with both monetary and inkind product donations. I would invite and challenge repair facilities, especially the independent owners, to consider an annual tax-deductible donation of $500, $750 or $1000 to the Foundation. Through strength in numbers, if even a quarter of the total number of repair facilities were able to make this donation, we would be able to completely transform collision school programs across the country and work towards the graduating students being properly trained and ready for entry-level work. Owners across the country have expressed their desire for productive, efficient and ‘ready to work’ entry-level staff, and we can make this possible by all working together.” Next up for CREF will be awarding their student scholarships and annual school makeover grants. The deadline for scholarship applications ended in the middle of February, so the applications are now being reviewed by the Board of Trustees Selection Committee, and CREF plans to announce the winners later this spring. The scholarships are available to high school seniors and collegelevel students who have studied collision repair for at least one semester. CREF has over $200,000 reserved to be awarded as various scholarships and tool grant opportunities for students looking to enter the collision repair industry. The deadline for CREF’s School Makeover Grant falls on June 6th, but Eckenrode encourages applicants to begin the process well ahead of time since a great deal of information is requested. He enumerates, “the Makeover application requires many different pieces of information; however, it provides our Board of Trustees Selection Committee a great overview of the program and the budget that they are working with to provide the best technical ed-

48 APRIL 2014 AUTOBODY NEWS | www.autobodynews.com

ucation possible for the students. Our Makeover Grant is available to nonprofit high school and college collision school programs, and the grant is meant to help those collision programs who are facing a reduced budget and need additional tools, equipment and supplies for their program.” Since 2008, when the CREF began its philanthropic focus, the collision industry has provided over $20 million in various types of donations, and though CREF anticipates that this number will continue to increase over the years, Eckenrode believes “it’s important for the industry to know that, in addition to the support we are providing to schools, we are also getting actively involved in helping to bridge the gap between graduating and employment. We want to ensure that students graduate with the entry-level skill sets that employers are looking for and make these students aware of the various employment opportunities there are in all segments of the industry. By CREF providing such tools as a donor ‘entry-level employment job board’, we can not only showcase

these opportunities to students but also to parents, guidance counselors and school administration to show that these collision programs are worthwhile to support and invest in.” As such, Eckenrode is pleased that CREF will be presenting and exhibiting at the American School (Guidance) Counselor Association’s annual conference this summer where guid-

Brandon Eckenrode (l) of CREF and Mark Algie of 3M

ance counselors from around the country will gather. During the conference, CREF plans to explain the “worth-

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while career opportunities collision students have within this industry and why guidance counselors shouldn’t think badly about a technical education for students.” This summer, CREF will also be busy with their 13th Annual Summer Golf Fundraiser, to be held the afternoon of July 31st in conjunction with Industry Week in Detroit. The event will take place at the Northville Hills Golf Club outside the city, and CREF anticipates “another sold out crowd with funds being raised going towards assisting us in supporting high school and college collision school programs, students and instructors. The event has gone from raising $19,000 in 2009 to averaging $75,000 the past two years. The Education Foundation has tried raising the quality of the event year after year; however, this increase in funds raised has been made possible by our sponsors and attendees.”

The funds raised at the golfing event will aid CREF in providing student scholarships and School Makeover Grants in the future. In addition to offering a nice afternoon of golfing fun and networking, CREF sees the events as a chance to

“communicate to industry leaders about how we are making a different in collision school programs.” Eckenrode encourages anyone interested in participating in the golf fundraiser as a player or sponsor to contact him as soon as possible as the event has historically sold out months in advance. Those who are unable to attend can still participate by purchas-

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Pole Position Raceway Hold DUI PS Message Event

The Nevada Highway Patrol and Sudden Impact Auto Body are teaming up for an event to educate drivers of the dangerous effects of drinking and driving. The event took place at the Police Position Raceway located at 4175 South Arville on March 17 from 1-3 p.m. Locals Angelique Gorges and Crystal Thurman volunteered to serve as crash test dummies as they race during the special event. Beginning at 1 p.m., the women drove intermittently as they consume alcohol between the seven to 10 minute races. Then, NHP used a breathalyzer device to track blood alcohol content and lap times were measured electronically with a high-tech timing and scoring system to show a direct correlation. The experiment was held on a private closed course, separate from the public. Volunteers from Sudden Impact Auto Body, were there to create awareness by demonstrating a vehicle after a severe collision. The vehicle serves as a powerful visual aid of the dangers caused by alcohol-impaired driving. For more information, call 702-2277223.

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Social Media for Shops with Ed Attanasio

Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.

Louisiana Shop Owner Uses Twitter to Survey Other Shops in Real Time A Louisiana body shop owner saw his when I walked into that room and lisdaughter using Twitter to survey her tened to what everyone said, a light friends on an important social matter, bulb went on in my head. Hey, a lot of and a light bulb went off in his head. us are in the same boat, I thought!” withrepeatedly Ed Attanasio He was fuming about havAfter the LaCIA’s January meeting to wrestle with insurance compa- ing, there was a question and answer nies over what they will and won’t session and that’s when Cantrelle pay for. But, rather than getting mad, shared his brilliant idea with the he’s now using the social media site to membership in attendance. “After query other shops about what is and seeing my 14-year-old daughter (Ashisn’t being paid for elsewhere. ley) on her cell phone texting her Abel Cantrelle, 49, is the owner of friends, I realized that we can use this Advantage Collision Center in Houma, social media to help the organization LA. He recently purchased a 40-inch and each other,” he said. “All these smart television and hung it on the wall kids now are on Facebook, Instagram it in his reception area in his shop where and Twitter every day communicating both customers and insurance adjusters with [their peer group], so why can’t body shops do the same thing?” Cantrelle is not a techie and surely not a social media expert, but he knows that communication and networking can be powerful if used properly, he said. “It’s all about communicating with the tools we’ve got. I remember way back when they started telling us about personal computers and programs like CCC and Mitchell. Lots of us didn’t know anything about comAbel Cantrelle saw his 14-year-old daughter Ashley tweeting one day and came up with the idea of using puters and now they’re in Twitter to survey other shops on repair compensation front of us every day. We in real time can go to Twitter and comcan see it. But, they’re not watching The municate back and forth and get anView or Dr. Phil. What they’re seeing is swers right away—at our fingertips.” a real-time feed of Cantrelle’s Twitter Cantrelle is using Twitter to call account, so that when insurers deny anyout insurance adjusters that want to thing for any reason, he can tweet the deny when it comes to repair processes details to shop owners and companies they don’t want to reimburse. “If an inlike CCC and Mitchell to get their imsurance company comes in here now mediate feedback. and says we don’t pay for this or that, The story begins late last year, all I have to do is say let’s stop right when Cantrelle got wind of a new trade here and ask these shops in America association that was in its infancy, he about whether they ask for this supexplained. “Back in December, my plement or not,” Cantrelle said. paint rep walked into our shop and “It freaks them out, to be honest. asked me if I was going to be attending Mitchell and CCC are also on Twitter, a meeting of the new Louisiana Colliso they can answer the question too, if sion Industry Association (LaCIA) and they want to. I want them on there, beI told him I hadn’t heard about it. So, cause that way they’re accountable as on December 5, I walked into their well. The repair procedures are right meeting in Baton Rouge and I was surthere listed on CCC and Mitchell, so if prised to see over 200 people there. In it’s there, it should be paid for.” my experience, people in this industry Cantrelle used to have several tend to work against each other, but DRPs, but no more, he explained. “I’m

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50 APRIL 2014 AUTOBODY NEWS | www.autobodynews.com

done with it and now they’re steering ‘Enough is enough—I’m tired of us away to other shops,” he said. “I working for free,’ and everybody don’t think they’re happy with the loved it.” Twitter thing and I’m certain that they “Last week, we did a car and they do not love the idea of it all being dispaid me for the seam sealer and every played on a TV in my front office. It’s single process I had to do. I tell any inalso gaining momentum, because we surer if there is a process I’m not doing now have more than 100 followers on on a vehicle, I will pay you back. I will Twitter and body shops are joining prove everything I’m doing. We’re takevery day. There are now folks from ing pictures of every single thing now.” the United Kingdom and all over the country that have joined us and I’m astonished by all the people that are going through the same thing and really care.” Alysia Hanks is the executive director at LaCIA and an administrator at Lakeway Collision Center in Mandeville, LA. She strongly believes that Cantrelle’s use of The whole shop is on Twitter Twitter is an ingenious and perfectly “One big insurer told me some of timed idea, for many reasons. “I’m all these shops in the backyard will for using social media, because it’s a charge for this and this, and I say do great way to keep connected to our your job and go catch them and find members, other body shops through- them not doing those things and make out the country and other state associ- them pay you back. I recently wrote a ations,” she said. “We always want to car for $5,040 and State Farm wrote be networking, so that we know an estimate for $2,800, threw it on my what’s out there and be ready for the desk and ran. I made them come back next thing. We talked to other state as- out, rewrite it and go over it with me sociations and one of the main prob- and they ended up writing the same lems they encountered was a lack of estimate as me.” communication, so things like FaceBy telling the collision world book and Twitter can keep us in the about his new communication tool and loop.” process, Cantrelle hopes other shops Hanks appreciates the trans- will join Twitter and realize it’s a great parency and accountability of the way way to know what other shops in other Cantrelle is using Twitter. “We’re tak- parts of the country are dealing with. ing to it the insurance companies, be“If everyone [joined Twitter], the cause it’s been too long,” she said. screen would be popping and jumping,” “We’re not doing this to start a fight Cantrelle says. But when you’re in Misand we’re not intending to start a law- sissippi and I can tweet, ‘I have a Prosuit. We just want the body shops in gressive guy [for example] here and he’s this state to know that we’re here, to telling me shops aren’t charging for this work together and make a better busi- or that,’ and then ask, ‘Are you charging ness environment for all of us.” for this?’ and they say, ‘Yes,’ I can look A man on a mission, Cantrelle at the Progressive guy and say, ‘Well, wants body shops at a national level there’s your answer.’ to get involved in what he calls, “this “United we stand, divided we fall. Twitter thing.” If people don’t start joining hands, it’s “If we could get, say, 800 to 1,000 going to get bad,” said Cantrelle. shops on this thing,” Cantrelle said, To join Cantrelle’s Twitter feed “Well, now, we would have something go to #advantageccinc. “Hop onboard really special. Since I don’t have any and ask me a question,” he said. “If I DRPs, I’m not afraid of telling the can’t answer it, somebody will be able truth. One of my first tweets was to and that’s the beauty of it!”


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Testimony on Maryland Parts Bill Involved Representatives from WMABA, PCI, LKQ, CAPA and Shops, Some Repairers ‘Cannot Afford to Refuse’ PartsTrader by Chasidy Rae Sisk

The MD House Economic Matters committee, on March 14, voted 16 to 7 for an unfavorable report on HB574. No action has yet been taken on SB487. See cover story this issue. This article provides some background on the testimony pro and con in front of the committee. On February 21, the Washington Metropolitan Auto Body Association (WMABA) testified at the MD House Hearing on Economic Matters in support of House Bill 574 (companion to Senate Bill 487), entitled Motor Vehicle Liability Insurance – Replacement Parts for Damaged Motor Vehicles. During the hour-and-a-half that this bill was discussed in committee, House delegates heard from several panels representing various segments of the collision repair industry. The first panel consisted of Jordan Hendler, Executive Director of WMABA, Mark Schaech of Mark’s Body Shop, and Joe Tucker of JQ Restorations. Hendler began by expressing her belief that HB574 would provide collision repair shops with the ability to service vehicles with what they deem to be the highest quality parts, stressing the need to trust the collision repair professionals to know what’s best for their customers. “As an industry, collision repairers are the first line of defense and considered the professional when it comes to fixing your car and doing what’s right for you,” she said. Support of this bill is important, Hendler continued, because use of aftermarket parts can impair warranties on newer vehicles, especially those that are less than three years old. Before a collision, a consumer’s warranty is 100% intact, but if their vehicle is repaired with aftermarket parts, the warranty is no longer 100% intact; portions of the warranty will not be valid because OEM parts were replaced with parts not recommended by the factory warranty. Additionally, even when the parts vendor or insurer offers a warranty on aftermarket parts, it is non-transferable should the car be sold to another consumer. “Aftermarket parts, in our industry’s perspective, are inferior to genuine parts. We have fit, finish and functionality issues, even just for cosmetic purposes,” Hendler reiterated.

Another problem Hendler cited with the use of aftermarket parts is that they aren’t full vehicle crash-tested, and according to IIHS 2010 Chief Research Officer, there is a lot of engineering that goes into making a crash protection system, so changing parts may result in the system being unable to function as intended by the manufacturer. MD code requires shops to inform the consumer when aftermarket parts are used, and most insurers permit customers to opt for using OEM parts instead; however, the customer must pay the difference in price between the parts options. Speaking to claims that HB574 will lead to higher insurance premiums, Hendler pointed out that though RI and WV have a three-year prohibition on aftermarket parts and historically higher rates, IN has a five-year prohibition and MN has a complete prohibition on aftermarket parts, and both of these states enjoy lower premiums than MD. Furthermore, insurers admit that premiums are mostly predicated on the individual driver, their driving record and where the live, in addition to state bodily injury laws. A report by the Property Casualty Insurers Association (PCI) indicates that a complete ban on aftermarket parts would affect premiums by 2.6%, or $24 per year on average. Thus, Hendler concluded, there is no evidence of a correlation between using OEM parts and increased insurance premiums. Schaech provided an example of installing an aftermarket radiator which fails and ruins the vehicle’s engine. The engine will not be covered under the manufacturer’s warranty because the failure was caused by the aftermarket part. Tucker addressed the parts procurement portion of the bill, explaining how DRPs work and comparing insurer-mandated parts procurement to steering, an activity prohibited by MD law. When asked who is responsible for faulty parts, Schaech noted the shop is liable, and though a shop can ask the consumer to sign a “Hold Harmless” letter if they know they are going against OEM recommendations, he believes it’s not right for shops to be put in this position at all. While MD law requires shops to dis-

52 APRIL 2014 AUTOBODY NEWS | www.autobodynews.com

close use of aftermarket parts, giving the consumer the option of spending more money to repair their vehicle with OEM parts, many DRP shops are rated on how often they use aftermarket parts in their repairs. The next panel called to testify consisted of insurer representatives. Noel Patterson began by arguing that half the cost of insurance premiums is dictated by the cost of coverage; if the cost of repairs increases, so will the price of the premiums. She also believes that the use of aftermarket parts promoted competition in the marketplace while allowing insurers to control costs even as they strive to restore the vehicle to its pre-accident condition. On behalf of USAA and the MD Insurers Alliance trade association, Kimberly Robinson said she opposed HB574 because many insurers offer consumers the choice to pay for OEM parts in their repair, allowing for competition between insurance companies in MD, but this law would shift the cost of parts, increasing insurers’

expenses and translating into higher premiums “despite other states’ experiences.” A representative from Liberty Mutual also objected, arguing that customers can get an extended warranty on aftermarket parts by going to DRP shops. This led to a delegate questioning how the insurers can claim that they are restoring a vehicle to its pre-loss condition when they’ve already acknowledged that using aftermarket parts may lead to diminished value, to which the insurer replied that their goal is to restore the vehicle to its previous condition, not its pre-accident value. Several representatives from LKQ-Keystone were called to testify next, and Bruce Barriano argued that aftermarket parts are the same as OEM parts essentially; the term “aftermarket” simply means the part was made after the vehicle was manufactured. He insisted that the term is not a connotation of inferior quality as aftermarket parts are built brand new and to specifications. Barriano said

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that aftermarket parts are only cheaper in price, not in quality or safety, and using these parts benefits consumers by keeping insurance costs down. In contrast, HB574 creates a three-year monopoly which is anticompetitive, allows OEMs to charge whatever they want for these parts, and will clearly lead to increasing rates—“this bill is not without financial implications,” Barriano insisted. Additionally, consumers receive a warranty on the life of LKQ aftermarket parts, plus the shop that repairs the vehicle receives indemnification from LKQ who will defend the collision repair facility if a lawsuit is filed. Two General Managers of LKQKeystone facilities in MD, Jim Lohan and Marcel Hoover, spoke about how the businesses they run contribute to the state’s economy, and they claimed that many customers call them seeking an alternative to highpriced OEM parts. Jack Gillis, Executive Director of CAPA and on behalf of the Center for Auto Safety, opposes the bill because it limits consumer choice, protects an unfair monopoly, restricts competition, and will increase crash repair costs for MD consumers.

In addition to arguing that competition lowers prices, Gillis points out that using OEM parts doesn’t necessarily mean restoring the vehicle to its pre-loss condition, and because OEM parts are frequently recalled, he doesn’t think they should be the only option. Arguing that “there’s nothing wrong with generic products,” he asked why aftermarket parts aren’t banned altogether if they’re substandard and suggests a middle-ground option of requiring aftermarket parts to be functionally equivalent to OEM parts. The final portion of testimony began with Laura Marta Harding of State Farm who focused on the parts procurement portion of HB574, noting that PartsTrader has only been in effect in MD for two weeks. She argued that the collision repair shops control the inputs in PartsTrader, specifying the type of parts they use, and indicated that shops who object to interference in this business are welcome to opt out of State Farm’s Select Service Program. Testifying on behalf of the opposition was Laura Gay, owner of Fort Washington Auto Body and Sullivan’s Auto Body. Gay discussed the de-

WMABA Responds to Unfavorable Vote

The Washington Metropolitan Auto Body Association (WMABA) is disappointed with the outcome of the unfavorable decision by the Maryland House Economic Matters Committee on March 13 for what they believe to be a very important piece of consumer protection legislation. Despite the vote, WMABA legislative liaisons remain encouraged by MD legislators’ reaction to understanding collision consumer issues, as the process and pursuant discussion amply highlighted the workings of the collision industry and how certain claims settlement practices can disadvantage the consumer. Hearing video shows that the association’s representatives did well to outline the issues, advocate for both the WMABA membership and the consumers they serve, as well as to debunk the myths and contradictions put forth by the opposition. WMABA encourages all repairers to view the video in addition to the voting record and furSee WMABA Responds, Page 58

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crease in the collision repair business due to advancing technology, admitting she cannot afford to refuse PartsTrader because she needs the business generated by being on State Farm’s DRP. Lawrence Christiansen of Nationwide estimated that HB574 would increase Nationwide’s premiums by $12 million over the next six months, and as this insurer only writes around 10% of MD’s insurance, the bill would seriously impact MD’s economy. Oyango Snell, Counsel for PCI, concluded the testimony by pointing out that the bill’s advocates haven’t provided proof of consumer complaints, thus aftermarket parts usage poses no threat to the consumer in his opinion. Aftermarket parts only represent 10% of the parts market, so he feels the goal of HB574 seems to be creating even more of a monopoly. He finishes his testimony with the double-edged reminder that “insurance companies don’t sell parts.” If you’re interested in viewing the hearing, you can access it from the link on the www.autobodynews.com website. Search for the online story with the same title as this article.

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www.autobodynews.com | APRIL 2014 AUTOBODY NEWS 53


Southeast Associations

Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@chasidyraesisk.com.

MSCRA Conducts Outreach to Industry with Chasidy Rae Sisk

The Mississippi Collision Repair As- the Insurance Committee, Mosley and sociation (MSCRA) has a busy sched- Doug White, a fellow shop owner, met ule of meetings and Chasidy conferences the Capitol, prepared to answer any with Rae atSisk planned for the beginning of 2014. questions the committee members Currently, the association’s president, might ask about the bill; however, John Mosley, is engaged in a whirl- their anticipation quickly turned to wind of traveling from state to state shock and disappointment when Sen“educating and hopefully helping fel- ator White invited them to his private low shop owners find the strength to office where he informed them that he Chasidy Rae would Sisk not introduce the bill because make business with decisions based on sound business principles rather than “we had put him between a rock and a fear.” hard place with his fellow committee Over the last two weeks of Feb- members,” Mosley recalls. “He said ruary, Mosley will be visiting eight there had been so many people calling cities, all the way from Seattle, WA to them, pressing them to support the Rae bill, Siskthat he feared they would be Palm Bay, FL, aswith part ofChasidy his commitment to deliver information and assis- looked down on by the people they tance across the country. Though represented, [but] if the committee MSCRA’s primary service area is the voted for the bill, they could forget state of MS, the association is very any campaign funding by the insursupportive of neighboring states, and ance industry.” they strive to help industry members When Mosley questioned in other states form associations for whether the matter really came down the bettering of the industry as a to an issue of money instead of doing whole. With 59 member shops, what he knew was right for the pubMSCRA routinely has at least 100 lic, he was appalled at Senator White’s people at their association meetings, response: “I will never forget his representing their members’ interests. reply —‘whether you like it or not, the Ed Attanasio MSCRA waswith established in 1999 money the insurance industry puts because a group of MS shop owners into these campaigns is the grease that were concerned that using imitation makes the wheels of this Capitol turn.’ parts did not serve to restore the vehi- You can imagine how betrayed we felt cle to its pre-loss condition. As they as an association. We gradually quit formed a group to educate themselves, meeting regularly. It was back to the consumers and their with Edlegislators, Attanasioevery shop for themselves.” they seemed to be making a lot of Thus matters with MSCRA stood progress. for a decade until May 2012 when State Senator Richard White, a Mosley and his comrades learned member of the Insurance Committee, about State Farm’s introduction of agreed to meet with the group, claim- PartsTrader. Many shops in MS began ing to be 100% on-board with their calling one another as it quickly beEd Attanasio mission to protectwith consumers. At Sen- came obvious that they needed to reator White’s suggestion, the group unite with the objective of preserving hired a lobbyist, attended meetings their businesses. Mosley was “disapand testified before the Senate’s In- pointed in the lack of respect this giant surance Committee. corporation had for the small busiAfter helping the group draft a nesses that make up this industry.” bill to protect consumers, Senator MSCRA is opposed to Partwith Thomas Franklin White instructed them to get the sTrader and any other parts procurephones ringing at the Capitol to garment program forced on the industry ner support for this issue, so the in- instead of being offered as a possible volved shop owners called their solution to be accepted or rejected customers who had voiced concerns based on its performance. “I have over the use of imitation parts, asking been in many states and talked to them to call theirwith legislators express thousands of people, and the overEd toAttanasio support for the proposed bill. whelming response is that PartsTrader On the morning that the bill was is a failure! State Farm recognizes this scheduled to be put to a vote before but pushes forward, destroying rela-

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Old School Know How

tionships and businesses with no regard to anything but the premise that it will save them money,” Mosley shares, continuing, “the quality of a repair is directly related to the parts used in the repair, and when the shop loses any part in the decision-making process, quality could be sacrificed. This is not fair to the consumer or the shop who is ultimately responsible for the repairs.” Along with their campaign against PartsTrader, MSCRA has a plethora of short and long-term goals that they strive to achieve. In the present and immediate future, the association’s goals “are to promote growth in the association, educate our members, educate the consumers we serve, and strengthen our ability to work with the insurance company on a united front,” Mosley explains. Looking forward, MSCRA hopes to ensure that every member shop has the necessary information to acquire training specific to the repair being performed, and they hope to do this by becoming a resource for every member in their attempts to level the playing field. The association plans to supply members with information on equipment and factory resources as well as by securing I-CAR training opportunities in an effort to aid shops in achieving I-CAR’s Gold Class status. MSCRA is also dedicated to building their reputation with MS consumers so customers will feel comfortable putting their trust in any shop that displays a MSCRA plaque. In conjunction with this plan, the association hopes to build a warranty program among all association members to ensure the customer is aware that their repair is covered by any member shop in MS. Mosley explains the benefits of this plan: “This serves to combat the steering efforts of some insurance companies when they tell the consumer ‘we don’t guarantee their work.’ We could see the DRP would not be a viable option for shops that were not willing to allow the insurance industry to run their business.” MSCRA also intends to work with state and national officials to pro-

tect consumers by exposing bad legislation and promoting safe legislation designed to benefit both the repairers and the consumers. Currently, MSCRA is gathering support for legislation that will protect the consumer when they have their vehicle repaired. In conjunction with federal officials, the association is assessing the 1963 Consent Decree in order to determine the degree to which it can be enforced; many agree that this federal consent is equally enforceable as it was half a century ago. Mosley explains, “the importance of the 1963 Consent Decree is it places the body shop in control of the repair and the insurance company in control of the insurance. What could be more important or fairer for all?” Like with other associations, MSCRA faces challenges when attempting to support legislation to improve the collision repair industry. “The problem with any legislation is the amount of money the insurance industry will pour into campaigns via lobbyists and donations to buy decisions that tend to prioritize their profits over the consumer’s safety,” Mosley laments. Still, Mosley is optimistic about his belief that MSCRA’S actions will positively impact the future of this ever-changing industry. “The pressure created by the ever evolving greed of the DRP relationship and the PartsTrader scheme is having a galvanizing effect on the collision repair industry. The industry is changing with repairers realizing they are needed now more than ever. As repairers, we are also realizing there are fewer and fewer who are trained and equipped to repair the cars we are beginning to see and will continue to see in our shops. The insurance industry is trying to reign in any control they can exert over our industry as it changes. They make deals with MSOs in areas where the repairers are not bowing down and accepting their cost-cutting measures that can lead to poor quality, unsafe repairs. They did not expect the resistance they are experiencing from the repairers. I ask every shop owner to start making business decisions based See MSCRA, Page 56


‘Kiss Bandits’ Vandalize Cars at Body Shop in Saddle Brook, NJ, Doing $40K in Damage On March 8, 2014, a group of four vandals wearing masks resembling those of the band Kiss did an estimated $40,000 worth of damage to about two dozen vehicles parked the Maaco Auto Body Shop in Saddle Brook, NJ. The group can be seen on surveillance video jumping on hoods, spraying graffiti, and smashing in windows. Police said that the suspects appear to be men in their teens or early

20s. A surveillance camera sitting above a Mercedes caught the men as

they set to work, destroying it using metal pipes, shovels, spray paint, and a fire extinguisher. The Mercedes is now in police custody as they process it for prints. Shop owner, Walter Karol, said that he had to tell many of his customers that their vehicles were now in worse shape than when they dropped them off for repairs. Karol said that he has filed an insurance claim and is repairing the cars that were damaged.

So far, there is no motive in the case and police are asking for help in identifying the masked men, hoping to make this performance their last. Call the Saddle Brook Police Detective Bureau at 1-201-587-2940 with any information.

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Continued from Page 54

MSCRA

on good business principles and stop giving in to fear. I encourage them to market their business and their conviction to serve the consumer over the insurance industry. When the public knows what a shop stands for, they will pick the independent shop out of the maze of consolidators… By educating our shops and consumers and making repairs that don’t sacrifice quality for insurance profit, we will grow strong businesses with loyal customer bases.” MSCRA also faces many challenges similar to those impacting other associations across the country. Mosley acknowledges these difficulties, even as he looks forward to a brighter future: “Probably the biggest challenge is helping a shop owner overcome the fear that he will be ostracized by the insurance industry for coming to the association meetings, much less being a paid member. Beyond that, we are faced with keeping the interest of the shop owners by providing a tangible benefit for the money they spend on their member-

ship. This isn’t going to be a problem in the near future. With all the changes our industry is facing relating to vehicle construction and repairability, the need for knowledge will generate the interest. We are committed to providing the information to ensure our members can succeed.” At MSCRA’s last meeting, they addressed the need to secure services from a company to inspect member shops and identify any concerns that could result in problems with OSHA. MSCRA stresses the importance of a safe, healthy workplace, and identifying the cause for concern, Mosley explains “OSHA is working to identify isocyanate hazards, and we don’t want any shops’ employees to suffer from isocyanate sickness nor do we want the shop facing fines that could have been avoided with the proper training. The association also recently furnished members with information on new tool and equipment requirements, provided by Ford, pertaining to the introduction of the 2015 F-150 with its aluminum body and high-strength steel frame. MSCRA has already begun setting up I-CAR training for the aluminum F-150 to have available when the vehicle is released late this summer.

This year will also see the continuation of the association’s activities against insurer-mandated parts procurement programs as Mosley and “many members of our association feel the PartsTrader scheme and the direct repair programs are illegal and are a tortious interference in our business relationships which leads to a direct violation of our fiduciary responsibility to our customers. “Because of that, we are dedicated to taking the fight on for the consumer and for our right to do business to the highest courts in the land. We are working tirelessly to expand this effort from coast to coast, and the reception from our industry has been a humbling experience for all. Many brave men and women are paving the way for all who stay in the repair business and those who come after we are gone.”

Mississippi Collision Repair Association (601) 924-2159 www.mscra.net

NYC Potholes Take Toll on Tires but not Crashes

From Nov. 1 to March 1, the New York State Thruway Authority received 57 damage claim forms from motorists. In the same period last year, the agency received just 18. AAA New York handled an astounding 80,023 roadside assistance calls in January, of which 13,068 were for flat tires—30% more than last year. Joseph Weinberger said two tires on his car were flattened when he hit potholes in separate incidents on the FDR Drive in Manhattan. His front and rear bumpers have taken a beating from hitting piles of snow and ice maneuvering in parking spaces. But, alhough potholes are causing more flat tires, they don't appear to be causing more car crashes, Westchester police spokesman Kieran O’Leary said. “We had fewer accidents (in February) than in the same month a year ago,” O’Leary said. Local shops are reporting plenty of suspension damage. “They are coming in with a lot of cracked plastic bumpers,” shop manager Matt Zippelli said, “a lot of damage from potholes... We’re Give20us your opinion on at least to 30 percent busier than last year.”

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Minnesota Bill Proposes More Comprehensive Restrictions on Insurer Vendor Requirements A proposed bill in Minnesota, House File 2690 (HF 2690), seeks to amend Minnesota Statutes 2012, section 72B.092, subdivision 1 to include more stringent prohibitions against insurance company requirements placed upon repair facilities. Introduced by Representatives Joe Atkins, Greg Davids, Joe Hoppe, Debra Hilstrom, Jim Davnie and Melissa Hortman on Monday, March 3, HF 2690 changes two subsections of the existing law, including provisions the repair industry supported and were added into the law in 2007. The first amends adds a prohibition against insurance companies and their representatives from requiring that a vehicle be presented “… at a particular motor vehicle repair shop designated by the insurer” in addition to the existing ban against drive-in claim centers. According to Judell Anderson, executive director of AASP-MN, whose organization supports the bill, this amend seeks to expand the existing prohibition on requiring vehicle owners present their cars at a drive-in because insurers have adapted to the

existing prohibition by requiring vehicle owners to take their vehicles to a specific repair facility for inspection. “We’ve heard from our members that insurance companies now tell people to go to a specific repair facility to get their vehicle inspected,” said Anderson. “In many cases the insurer will actually have staff on site at the body shop one or two days a week, essentially running a drive in claim center in the repair facility. This section is really about combating insurance company steering.” The second amendment adds a section to the existing law that expands upon the types of requirements that insurance companies may not place upon repair facilities. The added section states that insurance company representatives shall not: ● specify or require any motor vehicle repair shop to utilize specific vendors, distributors, manufacturers, suppliers, business platforms, or internal processes in order to carry out vehicle repairs for an insured or claimant. This expands upon another subsection that was added into the exist-

ing law in 2007 that says insurance company representative shall not: ● specify the use of a particular vendor for the procurement of parts or other materials necessary for the satisfactory repair of the vehicle. This clause does not require the insurer to pay more than a reasonable market price for parts of like kind and quality in adjusting a claim In October 2013, AASP-MN filed a formal complaint with the Minnesota Department of Commerce requesting administrative and/or legal action to prevent State Farm from requiring that collision repair shops that participate in the insurer's direct repair program use the PartsTrader parts procurement system based upon the existing section of the law. According to Anderson, the addition of the new section should help address numerous concerns AASP-MN members have with increasing insurance company requirements for specific vendors and business processes beyond the existing law that prohibits that activity for parts and materials.

DREW HYUNDAI

ABRA Acquires 13 Repair Centers in Charlotte, NC

On March 7, 2014, ABRA Auto Body & Glass announced the purchase of all 13 Wilburn Auto Body repair centers in the Charlotte, NC, metro area. ABRA now has 145 company-owned locations and 48 independently-owned franchises for a total of 193 collision repair centers in 17 states. Don Wilburn, founder and CEO of Wilburn Auto Body, embraces the acquisition. “This is a significant milestone for me. Wilburn Auto Body has served Charlotte since 1975. I have complete confidence ABRA will continue the legacy of delivering top-notch customer service and repair solutions to our customers and the community.” Building on its increasing success, ABRA plans to continue expanding in the months and years ahead as part of its aggressive national growth strategy. It is actively seeking new opportunities to acquire repair centers and integrate them into its industry-leading operating system.

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Shop Owner in Helena Arkansas Creates Shelwes Automatic Contour Sander When Shelley Haynes took her son’s truck to a local AR body shop for repairs in 2010, she never dreamed that she and the body shop owner, Wesley King, would become good friends and ultimately launch a product that could change the global auto body industry. “Wesley showed me several things he had made and asked me to help him find out about patenting,” said Haynes, CEO of Shelwes Tools and Equipment. At the time, Haynes was a science and English teacher at Marvell Academy in Marvell, AR. King’s body shop was outside of West Helena on Highway 49 on Hayne’s route to school. As she looked at King’s ideas, she fell back on her science-fair experience to help pave the way for the invention of the Shelwes Automatic Contour Sander. She also began taking classes through the Helena Entrepreneur Center for Business, a small-business incubator operated through a partnership between the UA-Phillips Community College and Thrive, a nonprofit community and economic development design firm. She and King worked with the center on testing and development of the tool for more than three years. Shelwes continues to operate out of the incubator, where its manufacturing facility and business offices are both located. The product is an attachment for a power sander. It automatically conforms to irregular surfaces. “It cuts your work time down, I would say, to less than half,” said cofounder Haynes. The auto body sander was launched at the 2013 SEMA show in Las Vegas in November. Continued from Page 53

WMABA Responds

ther understand what the opposition said about the collision industry, and the repairers who work in the business. The collision repairers were represented well by all those who participated in the hearing and work group processes for both the House and Senate committees. WMABA’s Executive Director Jordan Hendler and Hannah Garagiola, WMABA’s lobbyist and government relations consultant with Alexander & Cleaver combined efforts with Maryland collision repair business owners to create an effective team in Annapolis, both prior to and during the legislative session. Repairer business owners participated in these same meetings, and even more throughout the state commu-

“Starting the patent process with Wesley, along with developing the Automatic Contour Sander and entering the SEMA trade show was very much like a science fair,” she said. There were more than 2,000 products submitted for judging, including the Shelwes sander. “To our pleasant surprise, we

Shelwes Automatic Contour Sander

found out at the New Products Breakfast—the kickoff of SEMA—that we won runner-up in two different categories: Best New Tool and Equipment and Best New Collision Repair and Refinish Product,” Haynes said. The sander was competing against products developed by industry giant 3M and other well-known companies. The judges rated the products based on superiority of innovation, technical achievement, quality and workmanship, consumer appeal and marketability. “We had a great reception at SEMA and lots of interest in our tool,” Haynes said. “We’ve been filling orders since we returned, receiving orders from all over the nation. We’ve had a lot of interest from Canada and other countries as well.”

nicated with their representatives just how important this law could have been in protecting Maryland policyholders. “While this consumer legislation is straight-forward in our opinion, it turned out to be more controversial as medical marijuana and the minimum wage bills,” opined Garagiola. “Legislators typically do a good job of putting themselves in the place of the consumer, but opposition tactics to promulgate lies and kick up dirt can be hard to overcome. Given how close this year’s efforts came to fruition, I think the groundwork has been laid, and there are good opportunities to succeed with the same language—and some added ammunition—in future sessions.”

For more information please call 804-789-9649 or email jordanhendler@wmaba.com

58 APRIL 2014 AUTOBODY NEWS | www.autobodynews.com

Because there’s no other product like it on the market, Shelwes has a patent pending on the sander due to its technologically innovative design to cut labor time for sanding jobs. It automatically conforms to the sanding surface, no matter how curved or irregular. Because of that conforming ability, the workflow doesn’t stop to make adjustments or to change tools. “The body men who help us test it, say they will not go back to the ‘caveman way’ of sanding again,” Haynes said. “It is our hope that anyone whose work requires sanding technology has this tool. It can be used on military vehicles, planes, boats, automobiles, just about any surface that needs to be sanded.” Mike Green worked with King for several years, and he recently opened his own body shop in West Helena. Green said he admires King’s innovative mind. “He’s always thinking outside of the box… He’d thought about (the sander idea) for years,” Green said. “It’s easy to think about it, but a lot harder to actually do it. It’s a really neat product, and it eliminates a lot of labor time.” This was the problem that led to the idea of the sander by King, who has more than 30 years of auto body experience. He believed there was a need to find a way to get the job done more efficiently because sanding is the most

time-consuming job in the industry. Green agrees that the new sander saves a lot of labor time. “I’ve always been kind of oldschool, but we’ve been using the sander since we opened. You don’t have to manipulate everything with your hands (as with other sanding tools). It’s a lot easier—almost like you’re cheating,” Green said with a laugh. Green said many times insurance companies don’t want a panel replaced on a car—instead they want it repaired. “I was doing a job about three weeks back on an Infinity with a damaged quarter panel,” Green said. “The sander turned sideways and wrapped around the area. I was thinking, ‘Wow, this is amazing.’” The sander is 100 percent manufactured in the United States at Shelwes Tools and Body based in Helena. Winning the SEMA awards gave Haynes and King recognition worldwide. “It proved that small-town America can still compete,” Haynes said. “Launching not only our product, but also our company at a worldwide event and receiving such recognition has helped with advertising on a global scale while giving us that SEMA stamp of approval that so many in the auto body industry recognize and trust when looking for new products and ways to improve quality and workmanship.”

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Autorama World of Wheels’ Student Career Day

Collex Collision Experts was at the Cobo Center in Detroit, MI, on March 7, 2014, talking to students about their services and career opportunities through Collex. The annual Autorama World of Wheels Student Career Day is an initiative put together to support the automotive educational programs at various schools. Career day exposes students to all the opportunities they have in the automotive industry. Students learn about automotive design, engineering, manufacturing, and more. “We are excited to participate in the 62nd Annual Autorama in Detroit. This show helps illustrate the incredible craftsmanship and skill set it takes to create terrific automobiles”, said Nick Booras, vice president of sales and marketing at Collex Collision Experts. Collex Collision Experts encourages any high school and college students interested in the automotive industry to attend an Autorama World of Wheels Student Career Day. View upcoming career days at https://autorama.com/student-day.

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Pro Spot Donates Over $115K in Welders to Schools

Pro Spot International, Inc. donated the Pro Spot PR-2000 Inverter Resistance Spot Welder and the i4 Inverter Resistance Spot Welder to eight collision repair programs that applied for the Collision Repair Education Foundation 2013 Ultimate Collision Education Makeover school grant: • Herndon Career Center (Raytown, MO) • Maxwell High School of Technology (Lawrenceville, GA) • West Side Career and Technology Center (Kingston, PA) • Assabet Valley Tech High (Marlboro, MA) • South Central Technical College-Mankato (North Mankato, MN) • Washtenaw Community College (Ann Arbor, MI) • Linn State Technical College (Linn, MO) • Ranken Technical College (St. Louis, MO) The welders will aid in the students’ technical education. Learnus more about the grant on at Give your opinion http://collisioneducationfoundation.org/ultimate-collision-education-makeover-grant.

Universal Technical Institute and mikeroweWORKS Foundation Launch $1 Million Scholarship Program

Universal Technical Institute (UTI) launched the mikeroweWORKS Foundation (MRW)/UTI Scholarship Program on March 3, 2014, for individuals pursuing technical education at UTI campuses. The program will make available approximately US$1 million in tuition scholarships for future students who are passionate about a career in the transportation industry. Mike Rowe, creator, executive producer, and host of the Discovery Channel “Dirty Jobs with Mike Rowe” show, is challenging the idea that an expensive four-year degree is the best and only path for most people, while calling attention to thousands of career opportunities with companies who are struggling to fill technical jobs. “We are thrilled to partner with the mikeroweWORKS Foundation and join Mike's mission to spread the word about the importance of technical education and filling jobs in the skilled trades,” said Kimberly McWaters, chairman and CEO of UTI. “This new scholarship program provides hard-working men and women across matters affecting theopportunity industry.to the country with the

writePrestonus! Group Now Gold Class

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follow their passion and obtain careers in the transportation industry, where the demand for technicians continues to rise.” UTI develops programs that meet the evolving needs of the industry, preparing students who are highly skilled and ready to work. The program will help more qualified individuals obtain a skilled trade education and bring the country one step closer to closing the skills gap. “As a country, we continue to put traditional higher education on a pedestal and accept the fact that students are graduating with tons of debt—and no job opportunity in sight,” said Mike Rowe, CEO of mikeroweWORKS. “What we really need to be doing is supporting people who have a solid work ethic and desire to learn a useful skill. These scholarships are designed to provide people with the training needed to fill jobs that actually exist. We need more skilled workers in the U.S. And we need them now.” Submit your scholarship application by 5:00 p.m. PDT on July 12, Want to Contribute 2014 at www.uti.edu/mrw.

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Keenan Auto Body is hosting its 16th annual charity golf outing on June 5, 2014, at Penn Oaks Golf Club in West Promote your busines Chester, PA. Registration starts at noon, an exclusive article shotgun start at 1:00 p.m., and a dinner fe following. There will be aproducts helicopter ball your or serv drop, raffles, and a silent auction. Learn more at www.keenanautobody.com.

e-mail: Colorsjmomber@autobodynews.com Edge Named PPG Platinum Distributor of the Year CALL: Joe Momber for

PPG Automotive Refinish has rec- in Scottsdale, AZ. Colors Edge presognized www.autobodynews.com Colors Edge, Inc., as its ident Darren DeWitt800-699-825 accepted the 2014 Platinum Distributor of the award on behalf of the Colors Edge team. The PPG Platinum Distributor program began in as a loyalty and support Register Your Email 1995 for Our initiative for PPG single-line distributors with the ultimate goal of providing exceptional service and benefits for PPG Refinish customers. The proat www.autobodynews.com gram delivers competitive advantages to its participants by aligning the technology, training, and customer support of PPG with the entreYear. Bob Wenzinger, director of the preneurship, customer awareness, PPG Platinum Distributor program, local market knowledge, and service announced the honor at the annual capability of the independent disPPG Platinum Distributor Confer- tributor. ence held February 20-23, 2014, at For more information, visit: the Westin Kierland Resort and Spa www.ppgrefinish.com.

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GM Readying Aluminum Body Trucks for Late 2018

General Motors Co. is working towards a largely aluminum-bodied pickup truck by late 2018, under pressure from federal fuel efficiency standards, The Wall Street Journal reported, citing people familiar with the matter. GM recently locked in supply contracts with Alcoa, Inc. and Novelis, Inc., and both suppliers are now working to increase their aluminum sheet production to supply the nextgeneration GM pickup, according to the Wall Street Journal. Aluminum sheet for automotive bodies is in such high demand that companies need to order it years in advance, the newspaper said. GM has been working to put its full-size pickup trucks on a severe diet to meet future U.S. fuel economy standards and stay competitive with rival, Ford Motor Co. “We are going to continue to improve the fuel efficiency of all of our products,” a GM spokesman said today in an email. “For competitive reasons, we are not talking about technical details of future products at this point.” Mark Reuss, GM product chief, made no secret of his interest in aluminum when he saw Ford’s

aluminum F-150 pickup at the Detroit, MI, auto show last month. “I want to get my hands on it,” Reuss told reporters. “I’m going to be looking at how much aluminum is in it. ‘What are the panels? … How are they constructed?’ I’m going to look at what they advertise as the weight savings from it. Then I’m going to go back and do some math.” Reuters reported in July 2013 that GM will start using more lightweight materials such as aluminum and composites in place of conventional steel. Ford has already made the switch. The new F-150’s latest upgrade’s body is 95 percent militarygrade aluminum alloy, used in Humvees, and will weigh up to 700 pounds less than the current model. Alcoa and Novelis, a private company, could not immediately be reached for comment by Reuters.

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Ford Recommends LORD Fusor in F-150 Repairs

LORD Fusor 108B, a metal bonding adhesive designed for body shop is now recommended by Ford Motor Company for the repair of their new 2015 Ford F-150 aluminum cab. Unveiled at the 2014 North American International Auto Show in Detroit, Mich., Jan. 13, Ford Motor Company approved LORD Fusor 108B metal bonding adhesive for repairs on the 2015 F-150 military-grade aluminum alloy cab by their dealers and independent body shops. This new design will require adhesive in nearly all joints in the cab. Ford will be listing specific repair procedures in the collision repair manual along with instructions that will be provided with service parts. “Over the years, Fusor has led the industry with innovative metal bonding applications such as quarter panel bonding, rivet bonding on laminate steel and weld bonding with STRSW by working with the OEM repair teams before the vehicles launch. LORD Fusor has been a sponsor of the Ford Paint and Body Technology Center and continues to work with them to develop important vehicle repair procedures,” says Julie Miller, market manager at LORD Corporation. “We recommend follow-

GM's Handling of Fatal Switch Recall Being Investigated

The U.S. Justice Department has started a preliminary investigation into how General Motors (GM) handled the recall of 1.6 million vehicles with faulty ignition switches linked to at least 13 deaths. The inquiry is focusing on whether GM might have violated criminal or civil laws by failing to notify regulators in a timely fashion about the switch failures, said a person familiar with the probe who asked not to be named and isn’t authorized to discuss investigations. Lawyers in the U.S. Attorney’s office in the southern district of New York are leading the investigation. The inquiry comes as House and Senate committees and the National Highway Traffic Safety Administration (NHTSA) are also investigating GM’s actions leading up to the recall. The initial recall on February 13, 2014, covered 778,562 Chevrolet Cobalts and Pontiac G5s. It was widened less than two weeks later to more than 800,000 additional vehicles. Those include 2003–2007 Saturn Ions, 2006–2007 Chevrolet HHRs, 2006–2007 Pontiac Solstices, and 2006–2007 Saturn Skys. Other models affected are the 2005–2006 Pontiac Pursuit sold in Canada and the

2007 Opel GT sold in Europe. NHTSA, whose decision not to investigate the switch failures years ago is also under scrutiny by Congress, is focusing on what steps the automaker took to investigate and rectify engineering concerns and consumer complaints dating back to at least 2004. GM has until April 3, 2014, to answer questions posed by the regulator in a 27-page order issued in early March 2014. GM has said that heavy key rings or jarring can cause the ignition switches to slip out of position, cutting off power and deactivating air bags. The automaker has linked the defect to at least 23 crashes, including 13 deaths. NHTSA could fine GM as much as US$35 million, which would be the most ever by the U.S. government, if it finds the automaker didn’t pursue a recall when it knew the cars were defective. GM’s stock has slid 9.2 percent in 2014 through March 10, 2014, and the recall is emerging as the first major test for new CEO, Mary Barra, who was promoted two weeks before the company decided to implement the recall on January 31, 2014.

60 APRIL 2014 AUTOBODY NEWS | www.autobodynews.com

ing the OEM procedure when using Fusor 108B for vehicle specific procedures. LORD Fusor 108B metal bonding adhesive is one of three approved repair adhesives by Ford Motor Company, including Motorcraft TA-1B.” Gerry Bonanni at Ford Motor Company’s Paint and Body Technology Center stated that the developed procedures are easy to follow and can be performed by any body shop that performs collision repairs on F-150 trucks today. “The approved adhesives are widely available and training will be available by I-CAR to assist technicians with this mainstream repair process,” says Bonnani. Ford will present information on the 2015 F-150 and aluminum repair at the AASP/NJ Northeast Show March 21-23 in Secaucus, N.J. Additional details will be presented at the Collision Industry Conference (CIC) April 9-10 in Portland, Ore., NACE CARS 2014 July 31-Aug. 2 in Detroit, Mich., and at the SEMA Show Nov. 4-7 in Las Vegas, Nev. LORD Fusor 108B is currently available to all dealers and body shops. For more information please visit LORD.com, or call at 1-877-275-5673.

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Get Ready for Earth Day with LKQ Get Green Promotion

SEMA Seeks Nominations for Hall of Fame by March 21, 2014

Mitchell Acquiring FAIRPAY

Collision Repair Education Foundation Golf Fundraiser

Leading up to Earth Day on April 17, 2014, the 2014 LKQ Get Green promotion is encourages all LKQ customers in environmentally-friendly practices, while offering a chance to win valuable prizes, including solar backpacks, LKQ gift cards, Raleigh ALYSA FT0 bicycles, and a 2014 Honda Accord. For more information and the official rules on the 2014 LKQ Get Green promotion, visit: www.LKQGetGreen.com.

The Specialty Equipment Market Association (SEMA) is accepting nominations for its Hall of Fame. Created in 1969, the SEMA Hall of Fame is designed to honor outstanding people in the industry who have enhanced the stature of, or significantly contributed to, the industry and/or association’s growth. Submit a nomination before March 21, 2014, at http://fs17.formsite.com/ginalsemaorg/form2/index. html.

Mitchell has agreed to acquire FAIRPAY Solutions, a workers’ compensation, liability, and auto cost containment and payment integrity services provider. Mitchell plans to offer FAIRPAY Solutions specialty bill review to auto and workers’ compensation markets and out-of-network negotiation services. Mitchell will maintain relationships with other bill review and negotiation service providers. For more information, visit www.mitchell.com.

The Collision Repair Education Foundation annual summer golf fundraiser will be on Thursday, July 31, 2014, at the Arnold Palmer-designed Northville Hills Golf Club in Detroit, MI, in conjunction with CIC, I-CAR, NACE, and other Industry Week meetings being held. that week. Funds raised assist the Collision Repair Education Foundation in providing support to collision repair students and school collision programs. Contact Brandon.Eckenrode@ed-foundation.org or at 847463-5244.

Latest Edition of CIECA-TV: ECommerce Done Right

The Collision Industry Electronic Commerce Association (CIECA) announced the newest edition of CIECA-TV: CIECA, E-Commerce Done Right. To meet the needs for safe and secure e-commerce, the industry needed standards that enable us to exchange the right data with the right player at the right time. To accomplish that, CIECA created the Business Message Specification (BMS). View a video about the CIECA BMS at: h t t p : / / w w w. y o u t u b e . c o m / watch?v=bxvxtesVx7I.

Transtar Acquires ETX

Transtar Industries, Inc., owner of automotive aftermarket brands including Transtar, Transtar Autobody Technologies, King-O-Matic, Axiom, and Nickels Performance, has acquired ETX, Inc. from Chicagobased, privately-held Jordan Industries and private equity firm The Edgewater Funds. ETX owns DACCO, Inc., Alma Products, and ATCO Products, Inc. With this acquisition, Transtar Industries expands to approximately 2,300 employees and over 130 locations throughout North America.

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Mitchell Announces Liability Adjusters’ Software Release

Mitchell announced on February 25, 2014, that the commercial release of Decision Point 8, a completely automated medical bill review and workflow solution for first- and third-party liability adjusters. Decision Point 8 is an end-toend medical bill review platform enabling adjusters in the auto casualty industry to make informed decisions around medical bills related to liability claims. For more information, visit www.mitchell.com.

SEMA Data Co-op Grows 300%

The Specialty Equipment Manufacturers Association (SEMA) Data Coop (SDC) is now helping more than 600 automotive specialty equipment Suppliers and re-sellers around the world standardize and manage their parts data to improve efficiency and increase sales, a 300 percent increase from August 2013. The SDC has seen unprecedented growth following a very strong formal launch of its Product Information Management System (PIMS) in May 2013 and the announcement of free product data exports to SEMA members.

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Applications for Five $1,000 AMI Scholarships to Attend 2014 NACE and CARS Events Due June 20, 2014

The Automstive Management Institute (AMI) offers various scholarship opportunities to assist automotive service and collision repair professionals interested in obtaining the AMI Accredited Automotive Manager (AAM) designation and broadening their overall professional knowledge of the industry. Each applicant must be an Automotive Service Association (ASA) member who displays a desire to improve their business skills through management education to be eligible to receive the award. The scholarship recipients will have the opportunity to attend the International Autobody Congress and Exposition (NACE) and the Congress of Automotive Repair and Service (CARS), an industry-wide event held July 30 through August 2, 2014, at the Cobo Center in Detroit, MI, that includes both the collision and mechanical segments of the automotive service and repair industry. Each US$1,000 scholarship is awarded annually and will be applied toward expenses to attend either NACE or CARS. Expenses include airfare, hotel, and NACE or CARS registration.

• Tom B. Babcox Memorial Scholarship: For an automotive service professional who works in an ASA Mechanical Division member shop to attend CARS • Arrowhead Automotive Aftermarket “High Octane” Scholarship: For an automotive service professional who works in an ASA Mechanical Division member shop to attend CARS • Emil Stanley Merit Award: For an individual who works in an ASA Collision Division member shop to attend NACE • Babcox Publication Body Shop Business Scholarship: For an auto body repair professional who works in an ASA Collision Division member shop to attend NACE • Richard Cossette/Gale Westerlund Memorial Scholarship: For an auto body repair professional who works in an ASA Collision Division member shop to attend NACE The deadline for all scholarship applications is June 20, 2014. Apply online at http://www.amionline.org.

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NABC Accepting Nominations for Industry Awards The National Auto Body Council (NABC) is now accepting nominations for its two industry awards that recognize shops for making a positive impact on their local communities and the collision repair industry, the Award of Distinction and the Body Shop Image Award. The Award of Distinction recognizes bravery, philanthropy, charity, and selfless acts of kindness by individuals or groups in the collision industry who selflessly give of themselves for the benefit of others, while helping further the NABC mission to promote a positive image of the collision industry. The Body Shop Image Award calls attention to the beneficial impact an attractive, well-designed facility has on its surrounding community. This award embodies the spirit and mission of the NABC to promote the image of the collision repair industry and become a vital asset to the neighborhood. Any body shop that completes a remodeling project during the 2014 calendar year can be nominated. One winner and three runners up will be recognized. As part of its 2014 recognition program, the NABC plans to call attention throughout the year to out-

I-CAR Introduces Training Solution for Full-frame Partial Replacement Repairs, Replaces Two Other Courses

I-CAR® has added a new live, in- structural technicians, auto physical structor-led course to its catalog: Full- damage appraisers, and estimators in Frame Partial Replacement (FFR01). the I-CAR Professional Development This course provides information on Program™ (PDP). OEM repair procedures and welding FFR01 will replace Steel Fullrequirements for full-frame vehicles Frame Sectioning (SPS03) and Steel and covers several important collision Full-Frame Technologies and Repair repair topics that are critical to com- (SPS08), resulting in three less credit plete, safe, and quality repairs for the hours of training for certain repair ultimate benefit of the consumer. professionals. Anyone who has previ“Properly repairing today’s full- ously taken either SPS03 or SPS08 uslose your opinion on has matters frame vehicles requires a command of Give will not training credit that an array of considerations. The content been earned. in this course can be applied on the job To register for FFR01, visit the www.autobodynews.com immediately following completion, re- I-CAR website at www.i-car.com or sulting in increased savings for the shop contact I-CAR publisher@autobody customer care at 1CHECK IT OUT! and the vehicle owner alike,” explained 800-I-CAR-USA (422-7872). Josh McFarlin, I-CAR director of curriculum and product development. Technicians will learn how to identify full-frame designs, partial replacement options and repair considerations for full-frame attachments To the advertise during course. They will also have The source for timely to HD-quality call access Advertising Salesvideos at: on fullinformation that every frame partial replacement procedures 800-699-8251 for some of today’s most popular fullbody shop needs! Give us your opinion on matters affecting the industry. e-mail: frame vehicles, including Ford F-150, advertising@autobodynews.com General Motors 1500 frames, RAM CALL 800-699-8251 1500, and Jeep Wrangler. www.autobodynews.com This three-credit hour course Start Your FREE meets training requirements for steel

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ASA’s Annual Business Meeting Held in Kansas City See the NEW

The Automotive Service Association nual business meeting. Darrell Amberstanding individuals and body shops (ASA) held its annual business meet- son, AAM, LaMettry’s Collision, Minwhose extraordinary efforts make a ing March 6, 2014, at the Sheraton neapolis, MN, continues his two-year positive impact in their communities To advertise Tocontinuing advertise OverlandThe Parkwww.autobodynews.com near Kansas KS. term as chairman. Also twoand the collision industry. source forCity, timely The event included an open meeting year terms arecall Ron Nagy, AAM, at: In addition to selecting overall call Advertising Sales at: Joe Momber information every Nagy’s Collision Centers, Orville, OH, of the board of directors,that a swearingAward of Distinction and Body Shop 800-699-8251 in ceremony of the new board, and chairman; Donny Image 800-699-8251 Award winners, the NABC body shop needs!an as immediate past ASA member reception immediately Seyfer, AAM, Seyfer Automotive, plans to recognize and share nomie-mail: e-mail: Inc., advertising@autobodynews.com jmomber@autobodynews.co following the meeting. Wheat Ridge, CO, as chairman-elect; nations throughout the year. CALL 800-699-8251 “The board has worked very hard and Gary Keyes, AAM, E&M Motors, “Any time someone in the inwww.autobodynews.com to move the association forward while Inc., Stuart,www.autobodynews.com FL, as general director. In dustry does something worthy, Start Your FREE supporting our membership and the inaddition, Dan Stander, AAM, Fix we’d like to encourage folks to go ToMail advertise Subscription. dustry. We eagerly begin our 2014 term Auto Highlands Ranch, Littleton, CO, the NABC website and fill out a call at:in mind, and has extended his role as Collision DiviwithSean some Hartman specific goals nomination form for either award,” we’re prepared to focus said Kent Seavey, NABC awards 800-699-8251on these initia- sion director for one year. tives meet or surpass each one,” said Roy Schnepper, AAM, Butler’s program chair. “The individuals See the NEW to e-mail: Register Your E Darrell Amberson, AAM, ASA chair- Collision Inc., Roseville, MI, was reand body shops that are recognized shartman@autobodynews.com man and vice president of operations at elected to serve a one-year term as secwill be featured in our member LaMettry’s Collision, Minneapolis, MN. retary/treasurer. Bob Wills, AAM, Wills newsletter and automatically bewww.autobodynews.com The board shared some of its Auto Service, Battle Creek, MI, begins come nominees for both the Award www.autobodynews.com at www.autobod goals for the association in 2014: pur- a two-year term as Mechanical Division of Distinction and the Body Shop chase a new headquarters building; en- director; and Bill Moss, AAM, EuImage Award.” hance legislative efforts, including roService Automotive, Inc., Warrenton, Winners of both awards will be strengthening the ASA PAC and more VA, begins a two-year term as general announced in November 2014, at involvement in insurance regulation; director. the Collision Industry Conference elevate member involvement and inDan Risley, ASA executive di(CIC) during the Specialty Equipspire individuals to consider associa- rector, also serves on the ASA board ment Market Association (SEMA) tion leadership; grow membership and of directors in an ex-officio capacity. show in Las Vegas, NV. Each finalcontinue to work closely with affiliThe next ASA national event is ist will alsoTo beadvertise featured and recogated associations; and enhance ASA the NACE/CARS 2014 expo and ednizedcall on the NABC website and in Sean Hartman at: training resources. ucational conference in Detroit, MI, other publicity efforts. 800-699-8251 The new ASA board of directors July 30–Augusut 2, 2014, held in conNomination forms are available began their term at the close of the an- junction with Industry Week. at NationalAutoBodyCouncil.org. e-mail: shartman@autobodynews.com

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PPG Announces Distributor Training Schedule

PPG Automotive Refinish unveiled its 2014 distributor training schedule. Consisting of more than 30 classes across 12 critical business areas, the training is for owners, managers, sales staff, and other key personnel involved in the operation of a PPG distributor business. Classes cover general operations, finance, business development and management, conflict resolution, selling skills, commercial business development, and more. “We’re always enhancing our distributor training offerings, making sure they’re relevant and rewarding,” said Bob Wenzinger, PPG distributor programs director. “We see PPG distributors at all levels learning and improving from our courses.” Training will be held from March to December in PPG business development centers and conference facilities throughout the U.S. and Canada. Courses are led by PPG leaders and prominent consultants in the automotive refinish industry. View the complete 2014 training schedule at http://us.ppgrefinish.com/PPG-Refinish/Training/Trai ning-Courses.

Car-O-Liner Offers New Ford 2015 F-150 Equipment

Car-O-Liner® has expanded their equipment offering included in the 2015 F-150 Collision Repair Program. New equipment includes three new welders, frame alignment solutions, and a mobile aluminum workstation.

“This equipment will greatly enhance the technician’s potential to have the exact tools they need for high quality, quick, and accurate repairs. With this expanded product offering, Car-O-Liner is excited to provide the total repair solution, giving technicians the right equipment to complete each repair order efficiently,” said Peter Richardson, key accounts manager for Car-OLiner. Visit www.car-o-liner.com for more information.

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Sustainability Challenge Grant Winners Announced

Record $9.4M Donated to Collision School Programs

The Collision Repair Education Foundation and AkzoNobel Automotive and Aerospace Coatings are proud to announce the winners of the new Sustainability Challenge Grant: ► Applied Technology Center (Rock Hill, SC) ►Cerritos College(Norwalk, CA) ►Gaithersburg High School (Gaithersburg, MD) ►Manhattan Area Tech College (Manhattan, KS) ►Northern Maine Community College (Presque Isle, ME) Winners were selected based on their submitted proposals for applying continuous improvement and sustainability principles that improve the school body shop process or how the shop interacts and impacts the community. Each winner will receive funding to introduce their proposed idea into their school and report on the success of their project. The program also provided a sustainability video series and other tools that served as a way to educate collision students about sustainability, its principles, and how to improve and make a positive impact on the environment.

In 2013, the collision industry nearly doubled the 2012 amount of support it provided to high school and college collision school programs through the Collision Repair Education Foundation with nearly US$9.4 million in product and monetary donations. Ninety percent of this support was in-kind donations, and the collision industry surpassed the US$20 million mark in total giving since 2008. Also, working towards being as lean of a charitable organization as possible with a full-time staff of four, 90 cents of every dollar donated went towards supporting the school programs, instructors, and students in 2013. “The incredible growth in support that the Collision Repair Education Foundation has been able to provide since 2008 is a direct result of the industry’s generosity, and to nearly double the amount donated in 2013 compared to 2012 shows how much our supporters believe in the technical education of industry’s future professionals,” said Clark Plucinski, Collision Repair Education Foundation executive director.

Sherwin-Williams Vendor of the Year Award Winners

Paice Sues Ford for Patent Infringement on Hybrids

Sherwin-Williams Automotive Finishes announced the recipients of its annual Associated Products Vendor

Awards at a special reception for more than 300 suppliers, employees, and V.I.P. guests at their annual sales meeting held at the Gaylord Palms Conference Center in Orlando, FL: •DeVilbiss, Sherwin-Williams Brand-of-the-Year •Meguiars, Sherwin-Williams Sales Excellence: U.S. •SATA, Sherwin-Williams Sales Excellence: Canada •P.P.C. (Powers Paper Company), Sherwin-Williams Operational Excellence For more information visit www.sherwin-automotive.com.

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Hybrid technology developer Paice filed a lawsuit against Ford, accusing the automaker of patent infringement. The Maryland-based company claims to have met with Ford more than 100 times between 1999 and 2004, providing modeling and component designs for hybrid versions of various Ford vehicles. Ford reportedly had entered into a licensing agreement in 2010 for a Paice patent, which has expired. The agreement included an arbitration clause; however Paice claims Ford declined to arbitrate and forced a formal lawsuit to resolve the infringement allegations. Previously Paice successfully sued Toyota in a case that dates back several years. The Japanese automaker was forced to pay US$4.3 million in damages, along with US$25 for every Prius, Highlander Hybrid, and Lexus RX400h sold. A damages estimate for Ford's alleged infringement was not fully detailed in the initial court filing, though Paice appears to be pushing Give us your opinion on for an injunction to halt sales of infringing vehicles if a royalty agreement is not established.

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Ford Sued Over Patented Turn Signal Technology

Ford Motor Co. is being sued over claims that it infringed a patent on technology for an automatic turn signal. Ford’s three-blink lane change technology infringes a 2008 patent held by Richard Ponziani, a former automotive design engineer for companies including General Motors and Valeo SA, according to a complaint made public today in federal court in Wilmington, DE. Ford pitched the turn signal as the solution to one of the top 10 driving pet peeves when it announced the technology in 2009. The turn indicator is designed to blink three times and automatically shut off. The technology is used in Ford’s F Series truck, Taurus, Edge, and Fusion models, according to the complaint, which seeks unspecified damages. Ford spokeswoman, Kristina Adamski, declined to comment on the complaint.

Zurich Insurance Cuts Jobs to Boost Profitabiltiy

Zurich Insurance Group will cut about 800 jobs globally to save around $250 million per year by the end of 2015 to help reduce costs and improve profitability. The job cuts, which are equivalent to 1.4 percent of its total headcount, will remove management layers between the group and its business units. Customer-facing activities will not be affected. “We continue to make significant progress towards our strategic goal to make Zurich a focused and more profitable business,” said chief executive, Martin Senn. Senn said that Zurich would invest in global corporate and midmarket business and its high-margin retail insurance lines, while turning around or exiting non-core, underperforming insurance businesses. Zurich also pledged to grow operating earnings through 2016 by reducing complexity, as it lowered its target for return on equity from 16 to 12–14 percent through 2016. Senn stressed that Zurich is striving to be at the upper end of that goal and that he would be disappointed if the was still on at Give us company your opinion 12 percent in three years.

AkzoNobel Celebrates Milestone during Conference

AkzoNobel Automotive and Aerospace Coatings North America (A&AC) marked the third decade of offering business services in the North American market through the Sikkens Acoat selected program during the Winter North American Performance Group meeting February 12–14, 2014, at the Hilton Hawaiian Village in Honolulu, HI. The three-day program was designed to enhance the performance of individuals and businesses represented through a mutually-beneficial exchange of information, success stories, and consultation. “As one of the world’s largest paint and coatings companies, we know our customers find value in these engagements,” commented Barry Rinehart, North American commercial services leader for AkzoNobel A&AC. “As always, the numbers tell the story. As we enter our third decade of providing cutting edge business development programs, many of the shops that were with us in the beginning remain with us today. We wouldn’t have that kind of loyalty if there matters industry. wasn’taffecting something ofthe value being delivered and received.”

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Freak Tire Accident Empublisher@autobodynews.com CHECK IT OUT! Kills Gainesville Body Shop IAA’s Bill Mayer Re-Elected ployee, Injures Shop Owner, Driver Also Shop Worker To NABC Board Of Directors www.autobodynews.com

Ivan James Sandquist, age 33, was vestigated, and that he asked for help killed in a freak accident on the morn- from the Florida Highway Patrol ing of March 3. The Williston Police (FHP). An FHP homicide investigator Department (WPD) reported that they will be assisting in trying to figure out received a report of two men being in- what happened. “We askedfor fortimely help To advertise The source jured while working at Sales Absolute call Advertising at:Auto from FHP because they have so much every in these kinds that of things.” body, located at 104 NW 10th Ave. experienceinformation 800-699-8251 shop Upon investigation, it was discovered They hope to body determine if theneeds! cause of e-mail:of Gainesville, the accident was a speed factor or a that Patrick Woodard advertising@autobodynews.com CALL 800-699-8251 who repairs cars at an auto shop in the mechanical problem. Raleigh area of Levy County, was Chief Strow added that the vehiwww.autobodynews.com Start Your FREE driving a 1999 Toyota northbound on cle, which Woodard had been driving Mail Subscription. US-41. As the vehicle approached Ab- at the time of the incident, had been solute Auto Body, the left front tire taken to Woodard (since he works at broke free from the vehicle and trav- an auto body shop) to be checked out. Seeof the eled north on the west shoulder the NEW He said that Woodard had not done highway. The tire struck a driveway anything to the car, including the apron, sending it airborne. The tire wheel, which came off of the vehicle, jumped over a six-foot chain link prior to taking it for a test drive. www.autobodynews.com fence, where it then struck Sandquist, Strow said the tire did not explode killing him instantly. After striking and was intact on the wheel. Sandquist, the tire struck the friend he A memorial was held for James was standing and talking to, James E. Sandquist at Knoff Funeral Home in Fender, 45, the owner of the Absolute Williston at 4 p.m., Thursday, March Auto Body Shop. Fender sustained se- 6. rious injuries and was airlifted to His mother requested that in lieu To advertise Shands Hospital in Gainesville. of flowers, donations be made to the call SeanPolice Hartman Williston Chief at: Dennis American Diabetes or the American Strow said the incident was being 800-699-8251 in- Heart Association.

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NAPA Collision Conference in Orlando, FL, April 15–17

The first National Automotive Parts Association (NAPA) Collision Conference for collision repair facility owners and managers and NAPA and Martin Senour paint customers will be held April 15–17, 2014, at the Gaylord Palms Resort and Convention Center in Orlando, FL. “This conference will help collision repair shop management run their business better in so many ways: how to improve cycle time; how to hire and retain the best technicians and staff; how to develop effective business marketing techniques; and how to increase productivity and profitability in all processes,” says Chris Nichols, NAPA director of PBE, U.S. Automotive Parts Group. The conference will include multiple education sessions and speakers, two evening receptions, and a collision industry trade show. The registration fee is US$495 for two nights at the Gaylord Palms Resort and all meetings and receptions, or US$95 for just the conference and receptions (airfare and travel expenses are not included). Register Want to Contribute oline at www.registernapa.com.

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publisher@au PA Body Shop Owner Wants More Government Oversight

South Philly body shop owner, Insurance Auto Auctions, Inc. (IAA), Promote youroverbusines Domenico Nigro, wants more announced that Bill Mayer, IAA disight and regulation by the city or state. rector of industry relations, was rean exclusive article fe He says it’s because he cares about the elected to the National Auto Body your or serv safety of customers andproducts other citizens. Council (NABC) board of birectors. To advertise “People who do heavy repair Mr. Mayer was re-elected for a secMomber ond three-yearcall termJoe by NABC mem- at: work on your car are not required to be certified to guarantee their compebers during the800-699-8251 2013 SEMA show in tence,” says Nigro. “Auto body shops Las Vegas, NV. e-mail: need businessCALL: and other to for Mr.jmomber@autobodynews.com Mayer will continue to lead Joelicenses Momber operate, but ‘there is no true certificathe NABC efforts to promote the tion” to test competence of repairs,” collision www.autobodynews.com industry and businesses 800-699-825 Nigro says. Competence should be through key NABC initiatives and tested because “I’m in an industry programs, and will serve as the diwhere people can die” if a job is done rector of procurement for the NABC wrong, he says. Recycled Rides program, which colAnother Nigro complaint conlaborates with insurers, collision reYour Email for Our companies. “They cerns insurance pairers, paint Register suppliers, parts don’t look at it as what you should be vendors, and other collision indusdoing, to do it well,” he says. “They try profesinals to repair and donate absolutely want the lowest price they vehicles to deserving individuals can get.” and service organizations. at www.autobodynews.com Nigro has spoken with a few city “Bill has done an exemplary job council members and state senators. in representing IAA and the collision Councilman Bill Greenlee said that he industry through his dedicated servhasn’t had time to delve into it yet and ice to NABC over the past several wonders whether it should be done on years,” said John Kett, president of the city or state level. State Senator Insurance Auto Auctions. “We conLarry Farnese’s office believes it gratulate Bill on his re-appointment should be at the state level “for a moreand look forward to his continued level playing field for Philadelphia contributions to the organization’s business.” mission.”

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Premiere Services Partners with LKQ on Electronics

Premiere Services, a leading provider of audio electronics to the insurance industry, has announced that it has partnered with LKQ Corporation to launch a new program that uses OEM electronics as a cost-effective option for mobile electronics replacement. The Mobile Electronics Quality Replacement Program (QRP) extends the company’s market beyond aftermarket products to OEM offerings for collision and theft. A key benefit of the program is that the QRP parts can be found in CCC ONE®, an estimating system commonly used by insurers for determining parts costs and labor rates on claims. Under the program, Premiere Services will ship the part directly to the collision repair facility to complete the repair or can coordinate having its installation team complete the repair. The parts also include a lifetime warranty. Insurers can also emphasize their commitment to being environmentally friendly by promoting the use of recycled parts.

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Auto Industry Champion, John Dingell (D), to Retire

Michigan Democrat, John Dingell, an ardent advocate of the auto industry who has held his seat in Congress since 1955—longer than any other person in history—said that he will retire from the House of Representatives, a senior House Democratic aide said. Dingell first entered Congress to finish his late father's term and went on to serve nearly six decades. “I'm not going to be carried out feet first,” Dingell, 87, told The Detroit News. “I don't want people to say I stayed too long.” Dingell said that he will not seek re-election in November 2014. In his heyday, Dingell wielded power as chairman of the House Energy and Commerce Committee and has shaped major laws for cleaner air and water, protecting endangered species, and providing health care for poor children. Dingell also expressed disappointment with Congress. “I find serving in the House to be obnoxious,” he told The Detroit News. “It's become very hard beGive us acrimony your opinion on cause of the and bitterness, both in Congress and in the streets.”

CARSTAR Extends Partnership to Offer AutoWatch

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At the Geneva Auto Show, German automotive and aerospace engineering company, EDAG, unveiled the Genesis, a visionary concept for the future of automotive design. Built using 3D printing, the Genesis is a complete auto body that could be produced by high-resolution fuse deposition modeling (FDM) machines in a single print run. According to EDAG, “Unlike other technologies, FDM makes it possible for components of almost any size to be produced, as there are no pre-determined space requirements to pose any restrictions. Instead, the structures are generated by having robots apply thermoplastic materials... By introducing endless carbon fibers during the production process, it is also possible to achieve the required strength and stiffness values.” Although the EDAG vision for automotive design is likely a decade or more away from realization, its introduction at the manufacturer-centric Geneva Motor Show represents another milestone for additive manWant to Contribute ufacturing and a clear vision for the to future of safer, more economical Give us your opinion auon ma tomotive production.

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CARSTAR Auto Body Repair Experts and AudaExplore announced that they have extended their agreement to offer AutoWatch to all CARSTAR locations in the U.S. under the CARSTAR Vision brand. AutoWatch allows customers to see the progress of their vehicle repair by clicking on the CARSTAR Vision icon on the store website. Each day, digital photos are uploaded and posted to the repair facility web site along with the latest vehicle repair status. “CARSTAR is always looking for ways to improve customer satisfaction and AutoWatch is an excellent tool for our collision repair facilities to keep customers informed regarding the progress of their vehicle repairs,” said David James, vice president of marketing for CARSTAR Auto Body Repair Experts. “We are pleased to extend our relationship with AudaExplore and plan on equipping even more of our facilities with the AutoWatch tool to deliver the industry’s highest customer satisfaction scores.”

3D-Printed Concept Car at Geneva Auto Show

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Autobody News April 2014 Western Edition  
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