May 2022 West Edition

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40 YEARS

WE ST EDITIO N

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Oregon Auto Body Shops Struggle Under Pressure of Parts Shortages, Many on Back Order by Bola Gbadebo, News Channel 21

If things were a struggle before, Bend, OR, body shops are working even harder these days to get their job done and satisfy waiting customers. “Part delays are getting worse,” Professional Auto Body Manager Tom Stockero said March 22. Meanwhile, the owner of Crabtree Auto, Michael Crabtree, said it’s pretty impossible to predict wait times, because many parts are still on back order, with no delivery date in sight. “We had a grill for a Tahoe that

we just got last week that’s been on back order since September,” Crabtree said. After a couple years struggling due to the pandemic, both auto body shops still aren’t seeing the turnaround they had hoped for. Stockero said the most common needs are hoods, fenders and headlights. Although things were difficult before, Stockero said people could still be on their way after a temporary patch-up. “Now, we’re in a situation See Parts Shortages, Page 6

U.S. Rep. Warren Davidson of Ohio Co-Sponsors Federal REPAIR Act by Camille Sheehan, Auto Care Association

The Auto Care Association, Automotive Aftermarket Suppliers Association (AASA), CAR (Consumer Access to Repair) Coalition and Specialty Equipment Market Association (SEMA) applaud U.S. Rep. Warren Davidson, R-OH, for co-sponsoring the Right to Equitable and Professional Auto Industry Repair (REPAIR) Act. Introduced in February by U.S. Rep. Bobby Rush, D-IL, to provide consumers rights to their vehicle’s repair and maintenance data and safeguard a free and fair repair market, the

Credit: wirestock

REPAIR Act (H.R. 6570) is the only federal right to repair legislation that addresses this critical need in the automotive industry. Davidson is an automotive industry alumnus who ran his family

Vol. 40 / Issue 5 / May 2022

California Unveils Plan to Phase Out New Gas-Powered Vehicles by 2035 by Madison Hirneisen, The Center Square

California air regulators are setting new targets to increase sales of electric vehicles in the coming years as the state moves to phase out the sale of new gas-powered cars by 2035, according to a new recommendation released April 12. The proposal, released by the California Air Resources Board, would require 35% of new vehicles delivered to California be zero-emission or plug-in hybrid vehicles in the 2026 model year. Then, by 2035, the proposal would require 100% of new

car sales in California to be electric vehicles, with 20% allowed to be plug-in hybrid electric vehicles with combustion engines. The regulations would put California on a path to achieving a goal set by Gov. Gavin Newsom to phase out the sale of gas-powered vehicles in California by 2035. The governor signed an executive order in September 2020 that would require the sale of all new passenger vehicles to be zero-emission by 2035. In March, the Biden administration reinstated California’s ability to See California Unveils Plan, Page 16

Bad Driving Has Americans on Edge The roadways changed drastically at the onset of the pandemic, even with fewer drivers on the road, traffic deaths have soared throughout the pandemic. According to the National Highway Traffic Safety Administration, despite miles driven declining by 11%, there was a 6.8% increase in fatalities from motor vehicle crashes in 2020.

See Federal REPAIR Act, Page 20

The problem continued to get worse as people returned to the roadways with fatalities increasing 12% through the first nine months of 2021. Despite a decrease in miles driven, accidents are likely to be more severe—even fatal—from reckless driving behaviors like

speeding or not wearing a seat belt. As we enter Distracted Driving Awareness Month, a new study from Nationwide found drivers are practicing poor driving behavior despite fears of others driving dangerously. Drivers say the road is considerably more dangerous today than before the pandemic, with half saying that driving is more stressful. Reckless behavior behind the wheel is happening everywhere and drivers are taking notice of other people’s wild actions. Compared to 2020: 81% think drivers are more aggressive 79% think drivers drive faster 76% think drivers are more reckless Even more frightening, more than a third of drivers (34%) believe it is safe to hold your phone while driving—whether that is to make a call, send a text or use navigation. This feeling is more prevalent in younger drivers: • 39% of Gen Z and Millennials think it’s safe to be using the phone See Bad Driving, Page 25

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CONTENTS REGIONAL

ASE Training Conference Set ��������������������������� 18

A Passion for Cars and a College Education

Bad Driving Has Americans on Edge ����������������� 1

Autonomy Continues Expansion in California with EV Subscription in San Diego ���������������� 8 CA School District Places Largest Order of Electric School Buses in Blue Bird’s History �������������������������������������������������������� 14 California Could Send Up to $800 in Rebates to Car Owners to Ease Pain at the Pump ����� 18 California Unveils Plan to Phase Out New Gas-Powered Vehicles by 2035 ��������������������� 1 CARSTAR Camarillo Auto Body Opens in Southern California �������������������������������������� 12 Clean Cars 2030 Signed into Law in Washington State ��������������������������������������� 10 Crash Champions Continues West Coast Expansion with Four Acquisitions Across Three States �������������������������������������������������� 6 Oregon Auto Body Shops Struggle Under Pressure of Parts Shortages, Many on Back Order ���������������������������������������������������� 1 Personal Accounts Underscore California Agency’s Tesla Racism Lawsuit ������������������ 19 SoCalGas to Start Construction of EV Chargers ����������������������������������������������������� 11 Volvo Trucks Receives Order for 110 VNR Electric Trucks from Performance Team ������ 12

Anderson - Tips to Help Auto Body Shops Get Paid for Crucial Step of Destructive Weld Testing ����������������������������������������������� 28 Yoswick - Collision Repair Industry Trend Data Shows Need for Changes to Insurer DRP Metrics ������������������������������������������������ 34

Investments in EVs, ADAS, Autonomous Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Contributing Writers: John Yoswick, Janet Chaney, Toby Chess, Ed Attanasio, Stacey Phillips Advertising Sales: Joe Momber, Norman Morano, (800) 699-8251 Office Manager: Louise Tedesco Digital Marketing Manager: Bryan Malinski Art Director: Rodolfo Garcia Graphic Designer: Vicki Sitarz Online and Web Content Editor: Abby Andrews Accounting Manager: Heather Priddy Permissions Editor: Randi Scholtes Office Assistant: Dianne Pray

Serving Alaska, California, Hawaii, Idaho, Montana, Nevada, Oregon, Washington and Wyoming. Autobody News is a monthly publication for the collision industry. Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher. ©2022 Adamantine Media LLC.

American Icon Automotive Finishes ��������������� 16

Kia Downtown Los Angeles ��������������������������� 34

Audi Wholesale Parts Dealers ������������������������ 41

Kia Motors Wholesale Parts Dealers ��������� 42-43

AutoNation Infiniti Tustin �������������������������������� 30

Kia of Carson �������������������������������������������������� 38

Axalta Coating Systems ����������������������������������� 5

Kia of Irvine ���������������������������������������������������� 19

BMW Wholesale Parts Dealers ���������������������� 40

Larry H. Miller Chrysler-Jeep-Dodge-Ram ������ 24

Appealing as Gas Prices Soar: Report ��������� 47

Car-O-Liner ����������������������������������������������������� 15

Lithia Honda of Medford ��������������������������������� 22

Farmers Insurance Wins NABC Award ����������� 46

Car-Part.com �������������������������������������������������� 14

LKQ Corporation ��������������������������������������������� 21

GM to Expedite Hummer EV Production as

Car Pros Kia ������������������������������������������������������ 8

Matrix Edge ����������������������������������������������������� 7

Car Pros Kia Renton ��������������������������������������� 24

Mazda Wholesale Parts Dealers ��������������������� 51

Certified Automotive Parts Association ���������� 20

Mercedes-Benz Wholesale Parts Dealers ������� 51

Classifieds ������������������������������������������������������ 50

Michael Hohl Motor Company ������������������������ 18

Colortone Automotive Paints �������������������������� 25

MINI Wholesale Parts Dealers ����������������������� 40

Courtesy Chevrolet San Diego ������������������������ 39

MOPAR Wholesale Parts Dealers ������������������� 31

Craftech ��������������������������������������������������������� 12

Niello Audi ����������������������������������������������������� 28

DCH Chrysler-Dodge-Jeep-Ram-Fiat �������������� 18

Nissan/Infiniti Wholesale Parts Dealers ���������� 45

Dominion Sure Seal, Ltd ��������������������������������� 11

Porsche Wholesale Parts Dealers ������������������� 48

Eagle Abrasives ��������������������������������������������� 23

PPG ������������������������������������������������������������������ 9

Equalizer Auto Glass Tools ������������������������������� 8

Reno Buick-GMC ���������������������������������������������� 6

FH Dailey Chevrolet ���������������������������������������� 32

Sandberg Volvo Cars �������������������������������������� 24

Ford Wholesale Parts Dealers ������������������������ 35

Santa Monica Audi ���������������������������������������� 25

Future Nissan of Roseville ������������������������������ 28

SATA Dan-Am Company �������������������������������� 13

Galpin Motors ������������������������������������������������ 37

Spanesi Americas �������������������������������������������� 2

Garden Grove Kia ������������������������������������������� 19

Steck Manufacturing ���������������������������������������� 6

Glenn E. Thomas Dodge-Chrysler-Jeep ���������� 10

Subaru Wholesale Parts Dealers �������������������� 47

GM Wholesale Parts Dealers ������������������������� 49

The Bay Area Automotive Group �������������������� 33

Honda-Acura Wholesale Parts Dealers ������26-27

Volkswagen Pasadena ����������������������������������� 36

Hyundai Wholesale Parts Dealers ������������������ 46

Volkswagen Wholesale Parts Dealers ������������ 44

Women Award Winners During Hybrid

Industrial Finishes and Systems ��������������������� 52

Volvo Wholesale Parts Dealers ����������������������� 46

Educational Conference ������������������������������� 22

Kearny Mesa Subaru-Hyundai ������������������������ 29

Wrenchers ����������������������������������������������������� 17

Vehicles �������������������������������������������������������� 4 Branch Launches 6 New States ���������������������� 14 Catalytic Converters and Insurance Minimums Lead List of Introduced California Bills �������� 38 CCC Launches Integration with asTech ����������� 20 CDK Global Supports ASE Foundation ������������� 50 Chevrolet Resumes Bolt Production Following Battery Issues ����������������������������� 20 Dingle Family Continues Journey with Their Recycled Ride ������������������������������������ 44 EagleMMS Software Soars to the Top of Auto Body Shops’ To-Do Lists ��������������������� 36 EV Operating Costs Appear Much More

Reservations Increase to 65,000 ����������������� 51 Improved Semiconductor Supply Drives Truck Market Share Gains for GM ��������������� 51 New Standardized Independent Adjuster Competency Exam Announced ������������������� 46 GUNIWHEEL™ Makes the Collision Repair Porsche to Replace 1,000-Plus Cars Lost on Sunken Cargo Ship ��������������������������������� 48

See The Tesla Cybertruck’s Rear-Wheel Steering Feature in Action ��������������������������� 50 Supply Chain Issues and Repair Complexity Major Concerns in 2022 ������������������������������ 30 U.S. Rep. Warren Davidson of Ohio Co-Sponsors Federal REPAIR Act ������������������ 1 USDOT Announces New Vehicle Fuel Economy Standards for Model Year 2024-2026 ���������� 24

NATIONAL ‘Who Pays for What?’ Survey Shows More Auto Body Shops Billing, Being Paid for Masking During Priming ������������������������������ 48 1Collision, Auto Techcelerators Partner ����������� 48

800-699-8251

Biden’s FY 2023 Budget Proposal Includes

Repairify Completes Record Scans ����������������� 10 COLUMNISTS

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Vehicle Connectivity Surging, but Consumer Paid Subscription Share in Sharp Decline ������ 4 WIN to Recognize 2022 Most Influential

INDEX OF ADVERTISERS

Turned into a Collision Repair Career ����������� 16

AUTOBODY

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

autobodynews.com / MAY 2022 AUTOBODY NEWS 3


Biden’s FY 2023 Budget Proposal Includes Investments in EVs, ADAS, Autonomous Vehicles President Joe Biden released his $5.8 trillion budget proposal for fiscal year 2023, which builds on the investments made in the Infrastructure Investment and Jobs Act, passed last year, by allocating $105 billion to the U.S. Department of Transportation.

Included in the budget are important projects for independent vehicle repair shops related to vehicle safety, autonomous vehicles, electric vehicle deployment and emissions reductions. The budget includes $49.8 million for the National High-

“From roads, tunnels and bridges to airport and port improvements, electric vehicle chargers, safe bike lanes and more, we are building a first-rate transportation system for all Americans.” — Pete Buttigieg “The investments in the presdent’s budget make traveling safer, easier, cleaner and more affordable for the American people,” said U.S. Transportation Secretary Pete Buttigieg. “From roads, tunnels and bridges to airport and port improvements, electric vehicle chargers, safe bike lanes and more, we are building a first-rate transportation system for all Americans.”

way Traffic Safety Administration’s (NHTSA) Vehicle Safety Research program, which studies vehicle improvements and other technical advances that can better protect people in a crash and reduce the likelihood of crashes. Portions of the $49.8 million will go toward Advanced Driver Assistance Systems (ADAS) and Automated Driving Systems

(ADS) research that facilitates innovation and development of new tests, tools and procedures to properly evaluate the safety of new technologies surrounding highly and fully automated vehicles. In the proposal, the Federal Highway Administration (FHWA) is allocated $1 billion in advance appropriations to work with the newly formed Joint Office of Energy and Transportation to implement the new National Electric Vehicle Infrastructure (NEVI) Formula Program. This program will assist states in creating a network of convenient, affordable, reliable and equitable electric vehicle charging stations along the Interstate Highway System to build designated Alternative Fuel Corridors. The FHWA budget also includes $400 million to implement the new Charging and Fueling Infrastructure Grants Program, designed to further increase electric vehicle charging access in locations throughout the country through competitive grants, and

$1.3 billion for the Carbon Reduction Program, which will provide formula grants to states to reduce transportation emissions. The budget proposal aligns with Biden’s climate and energy goals and includes $27.5 million in funding for the Corporate Average Fuel Economy (CAFE) program and $14.5 million for the New Car Assessment Program (NCAP). In August 2021, NHTSA responded to Biden’s Executive Order on Protecting Public Health and the Environment by amending the CAFE standards for vehicles model year 2024-2026 to require increased stringency for fuel efficiency standards. The release of the president’s budget proposal is the kickoff for the months long budget process. Lawmakers can now begin crafting the legislation that will make up the 2023 federal budget, using Biden’s proposal to guide them in the administration’s priorities. Source: Automotive Service Association

Vehicle Connectivity Surging, but Consumer Paid Subscription Share in Sharp Decline According to global technology intelligence firm ABI Research, connectivity will be available in more than half of new vehicles sold in 2022 and more than 70% in 2028.

Carmakers are committed to connectivity because of its various benefits, including fleet management, reduction of warrant costs, convenient electric vehicle (EV) ownership and over-the-air (OTA) updates. However, they still have not found an effective strategy to recoup the connectivity and airtime costs. Connected services adoption is low, especially among lower-tier vehicles, and the increase in free trial periods means the ratio of paid subscriptions will contract by 20% between 2021 and 2028. Despite moving to become ubiquitous, vehicle connectivity is still not a significant revenue source.

“Due to the prevalence of high traffic phone data plans, end consumers have little motivation to pay for connectivity and rarely renew subscriptions after the free trial period, which carmakers are constantly extending,” said Maite Bezerra, smart mobility and automotive research analyst at ABI Research. “This is especially true for infotainment services that compete with free phone mirroring. This reality signals that it will be challenging for carmakers such as Stellantis, Ford and GM to achieve their recently announced goals to generate $20 billion in software and services revenues annually by 2030, at least 13 times what they generate today.” From premium to volume cars, nearly all carmakers are committed to deploying software-defined vehicle platforms and betting on revenues from delivering software-enabled services and features OTA. That requires the establishment of a revenue-generating consumer touchpoint where these new services will be bought or updated, essentially relying on user engage-

4 MAY 2022 AUTOBODY NEWS / autobodynews.com

ment with embedded infotainment systems rather than mirroring through CarPlay or Android Auto.

dle. ABI Research expects more than 70% of active infotainment subscriptions to be on a free trial or

“Due to the prevalence of high traffic phone data plans, end consumers have little motivation to pay for connectivity and rarely renew subscriptions after the free trial period, which carmakers are constantly extending,” — Maite Bezerra “However, most subscription revenues presently derive from essential telematics and remote services rather than infotainment,” Bezerra pointed out. Connected services subscriptions are being extended to drive higher customer engagement. The average free trial period in the U.S. is increasing from three to six months, in Europe from one to three years (e.g., Polestar), and in China, many carmakers offer free for life connectivity (e.g., NIO, SAIC-GM). The drawback of such a strategy is the ratio of subscriptions paid by the final consumers will dwin-

free-for-life arrangement in 2022. Further adding to the connected vehicle monetization challenge, software-defined vehicle platforms will considerably increase monthly data consumption—from 400500 MB to up to 2-20 GB—and connectivity costs, which neither carmakers nor end consumers have been willing to pay so far. “Nevertheless, EVs could be the panacea for low connected services adoption by final users as they significantly improve ownership convenience,” concluded Bezerra. Source: ABI Research


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Continued from Cover

Parts Shortages

Crash Champions Continues West Coast Expansion with Four Acquisitions Across Three States

where we can’t even put the cars back on the road until the stuff is available,” Stockero said. But that’s not the only hardship. “You know, there’s not as many people in this industry that there was 25 years ago. There’s 10 of us leaving, and you might get one to replace,” Stockero said. With the severe hiring struggles many small body shops are having, he fears many of them are on their way out of business. And as Bend keeps growing, the situation is only getting worse. “Everybody’s busy—there’s a lot more activity, a lot more cars around,” Crabtree pointed out. Without parts and personnel, patience is the only avenue for many. “We are at the mercy of the parts suppliers,” Stockero said. In spite of the challenge, they’re taking it one day at a time. “You’ve just got to do what you can and keep moving forward,” Crabtree said.

Crash Champions, LLC, one of the nation’s fastest growing independent collision repair companies, announced April 6 it has expanded its West Coast footprint. The company has acquired Artistic Auto Body, consisting of two shops in the Portland, OR, Metro Area; Blackstone Collision, a single shop located in the Seattle Metro Area; and Len’s Auto Body, a single-shop collision center located in San Diego County. The acquisition of Len’s adds a key location in Southern California, making the Golden State the company’s largest market based on shop count. The additions of Artistic and Blackstone represent further expansion into the Pacific Northwest market and follow the recent Spokane-area acquisitions of Ed’s Premier Auto Body, River City Body & Paint, Custom Body Collision Repair and Coachman Auto Body. “What these collision centers all have in common is a dedication to high quality repair and customer service that serves as the foundation for everything they do,” said Matt

RA C E R E R INN B SAVE HU

Ebert, founder and CEO of Crash Champions. “While Crash Champions started out as a regional collision repair outfit in the Midwest, over the last few years we have grown into a truly national player with an extensive footprint that stretches from coast to coast. I look forward to welcoming these new shops and their respective teams into the Crash Champions family, and I am eager for us to continue providing vital collision repair services to our new neighbors in these communities.” “This is terrific milestone for everyone at our organization,” said Len Verheyen, owner of Len’s Auto Body. “While we are becoming part of a larger national platform, we will be staying true to our local roots, as Crash has demonstrated a commitment to operate its locations with a community mindset rooted in operational excellence and friendly service. They have a corporate culture where the stated mission, vision and values aren’t just words on a page, they actually inform the company’s activities and daily operations. In combination with the additional re-

sources, size and scale we gain, I am confident that this transaction will meaningfully enhance the experience we can provide our customers.” “The past 40 years of building Artistic into what it is today has been an incredible experience, and it is only fitting that an owner and operator like Matt and his team at Crash Champions are the ones to take the reins to help continue that growth,” said Terry Mostul, owner of Artistic Auto Body. “It has been a privilege to help restore our customers’ peace of mind in difficult times through high-quality repairs and compassionate service, and I know that while the sign on the front will change, people will still find the same level of professionalism and repair excellence when they walk through the doors.” For more information about Crash Champions, visit crashchampions.com. For those collision repair companies interested in selling their business, Crash has made it easy. Visit crashchampions.com/sell-yourshop to learn more. Source: Crash Champions

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Autonomy Continues Expansion in California with EV Subscription in San Diego Electric vehicle subscription company Autonomy, the cheapest, fastest and easiest way to get a Tesla Model 3, continues to expand its services in the state of California, adding the San Diego market to its coverage area, the company announced April 7. Autonomy had a successful commercial launch in Los Angeles in January, adding service in the San Francisco Bay Area in March, and in a short time, it has drawn hundreds of active subscribers to its service. “Our mission is to provide consumers with easy, affordable access to electric vehicles,” said Scott Painter, founder and CEO of Autonomy. “We know California to be both the car capital of the world and an early adopter of disruptive new technologies that improve quality of life. We began in L.A., and naturally are excited about expanding into San Diego, the second largest city in California, as we continue to build our presence throughout the state.” Customers eager to drive a Tesla Model 3 will have access to Autonomy’s fast, easy and affordable subscription service. With new pricing announced in March, Auton-

omy’s monthly subscription costs less than Tesla’s own leasing or loan plans.

Subscribers can reserve a Model 3 via Autonomy’s app or website and a $100 refundable deposit. A payment dial allows customers to personalize subscriptions from as low as $490 per month with an initial $4,900 payment, to $1,000 per month with an initial $1,000 payment. A $500 refundable security deposit is required when the subscription is activated. Autonomy’s monthly payments cover the traditional costs of ownership, including annual registration and licensing fees, routine maintenance, roadside assistance and wear and tear on tires, which are all ad-

ditional expenses with a traditional lease or loan. Adding to the cost advantage, Autonomy drivers have the flexibility to subscribe month to month after a three-month minimum hold period. The platform becomes a viable option for those who do not want or cannot afford the long-term commitment of buying or leasing an electric car.

“Our mission is to provide consumers with easy, affordable access to electric vehicles,” — Scott Painter Autonomy’s subscription model offers a new radical solution to the rising demand for electric cars. An additional advantage is the company’s stock of Model 3s available for delivery within a few days, compared with the six- to nine-month wait for a lease or loan. Autonomy is the first U.S. company to offer a comprehensive monthly subscription for a Tesla Model 3, with other popular EV models scheduled in the near future.

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“San Diegans are moving quickly toward adopting electric vehicles, and the city already has over 1,400 charging stations, including 250 DC Fast Chargers, which make it more convenient for consumers looking to get into an Autonomy subscription,” said Bauer. Autonomy recently received $83 million in debt and equity financing to support its expansion.

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autobodynews.com / MAY 2022 AUTOBODY NEWS 9


Repairify Completes Record Scans Repairify, Inc., unveiled key insights from its record 2021 yearend, including that its family of brands completed more than 12.4 million automotive diagnostic scans and delivered more than 4.9 million diagnostic reports across the collision, mechanical, dealership, auction and reconditioning repair markets. The record-setting year marked a watershed moment for Repairify. The company completed five acquisitions and expanded its capabilities beyond collision repair technology into diagnostics for mechanical repairs, data insights for ADAS calibrations and vehicle reconditioning workflow and inspections. Beyond the delivery of a record-setting year, Repairify’s 2021 performance was capped by several strategic investments, multiple industry partnerships and a new exclusive global patent licensing and supply agreement with LAUNCH Tech. Source: Repairify, Inc.

Clean Cars 2030 Signed into Law in Washington State Washington State Gov. Jay Inslee signed into law a bill setting a date of 2030 for all new cars registered in the state to be electric. The measure, known as Clean Cars 2030, sets the most aggressive state target in the U.S. for the phaseout of gasoline cars—a full five years ahead of California’s 2035 deadline—and establishes

“The war in Ukraine and the burden of high gas prices on families demonstrate the importance of ending our dependence on gasoline and preparing for an all-electric transportation future,” said Matthew Metz, co-executive director of Coltura, a nonprofit focused on phasing out the use of gasoline. “By targeting 2030 as an end

“Clean Cars 2030 outlines a clear path forward for the future of the electric vehicle transition in our state,” — Sen. Marko Liias an interagency council tasked with creating a plan for achieving the 2030 target. Passed as part of “Move Ahead Washington,” a nearly $17 billion transportation package, Clean Cars 2030 will spur public and private investment in EVs and EV charging infrastructure and help Washingtonians save money on vehicle fuel and maintenance while enjoying cleaner air and water.

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date for the sales of gasoline cars in Washington, Clean Cars 2030 gives confidence to consumers, automakers, utilities, investors and others that now is the time to go all-in on an all-EV future.” “Clean Cars 2030 outlines a clear path forward for the future of the electric vehicle transition in our state,” said Sen. Marko Liias. “This part of our Move Ahead Washington plan will create a timeline with the data, tools

and guidelines that every sector from governments to businesses can plan for with confidence. This is a monumental step towards reducing our carbon emissions in Washington, and I’m proud that Washington is once again a leader in addressing the climate crisis.” “Clean Cars 2030 puts Washington on the road to powering its vehicles with cheap, clean, renewable electricity produced in-state and reduces the threat that oil and gasoline pose to our air, water, health and economy,” said Rep. Nicole Macri, who first introduced the measure in 2020. Research commissioned by Coltura and conducted by Yale University, George Mason University and Climate Nexus found 55% of voters nationally support a full phaseout of gasoline cars starting in 2030. Bolstered by its success in Washington, Coltura is leading coalitions working to pass similar Clean Cars 2030 measures in other states. Earlier in March, a Clean Cars 2030 bill was introduced in the Rhode Island legislature. Source: Cortura

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SoCalGas to Start Construction of EV Chargers Southern California Gas Co. (SoCalGas) took another major step toward its ASPIRE 2045 sustainability goals March 30, announcing plans to install more than 240 electric vehicle (EV) chargers this year at nine company locations. SoCalGas also pledged to install EV chargers at 67 company facilities by the end of 2024, for a total of 1,500 new chargers over the next three years. A year ago, SoCalGas became the largest gas distribution utility in North America to set a net zero emissions target, consistent with California’s climate goals and the Paris Agreement. To help reach that goal, the company aims to replace 50% of its over-the-road fleet with clean fuel vehicles by 2025 and operate a 100% zero-emission fleet by 2035. “Today’s announcement is the latest example of SoCalGas making critical investments in the infrastructure that California will need to reach net-zero emissions by mid-century,” said Sandra Hrna, vice president of supply chain and operations support at SoCalGas. “Whether they’re

powered by cutting edge batteries or hydrogen fuel cells, electric vehicles will be a big part of helping SoCalGas and California reach our shared climate and air quality goals. And thanks to our use of renewable electricity, the vehicles charged at most of these locations will be powered almost exclusively by solar and wind energy.”

“It’s no secret the transportation sector is the largest contributor of greenhouse gases in California,” said Assemblymember Miguel Santiago. “Electric vehicles will help reduce our state’s carbon footprint, and SoCalGas’ installation of EV chargers is one of many steps the utility is taking to help California decarbonize faster.”

“Southern California Edison is excited to help fleet owners, including fellow energy companies like SoCalGas, make the transition to zero-emission electric vehicles,” said Lisa Cagnolatti, SCE senior vice president of customer service. “All of our customers will benefit from lower greenhouse gas emissions and cleaner air.” SoCalGas is applying for SCE’s Charge Ready program, which provides assistance with installing electrical infrastructure for EV charging stations. To help reach its goal of replacing 50% of the company’s over-theroad fleet with clean fuel vehicles by 2025, SoCalGas recently purchased 50 Toyota Mirai hydrogen fuel cell vehicles (HFCEV), making SoCalGas among the first utilities in the nation to start transitioning to hydrogen-powered vehicles. Last year, SoCalGas converted 200 new Ford F-250 service pickup trucks to run on renewable natural gas. The service trucks are outfitted with the newest Landi Renzo Eco Ready™ equipment, a California Air Resource Board certified ultra-low

emissions vehicles system. The company plans to purchase Ford F-150 Lightning electric trucks to be serviced by the new chargers. A full charge on one of the trucks provides a driving range of up to 300 miles. Since fleet charging typically occurs overnight, employees can charge their personal vehicles during the day to support a clean commute. Currently, a third of SoCalGas’ fleet already operates on clean fuels and the company is on track with replacing 50% of its over-the-road fleet with alternative fuels by 2025 and operating a 100% zero-emissions fleet by 2035. This year SoCalGas announced its ASPIRE 2045 sustainability strategy to further integrate sustainability across its business. This strategy builds upon its climate commitment to achieve net zero greenhouse gas emissions in operations and delivery of energy by 2045. The company is the largest North American gas distribution utility to set an ambitious net-zero goal that includes scopes 1, 2 and 3 GHG emissions. Source: SoCalGas

autobodynews.com / MAY 2022 AUTOBODY NEWS 11


Volvo Trucks Receives Order for 110 VNR Electric Trucks from Performance Team Volvo Trucks North America has received its largest global order of Class 8 electric trucks to date with Performance Team-A Maersk Company, making a total commitment to purchase 126 Volvo VNR Electric trucks. The logistics company placed its first order of 16 Volvo VNR Electrics in Q3 2021 which Performance Team will begin operating in Q2 2022 in its Southern California fleet operations serving port drayage and warehouse distribution routes. Performance Team has ordered an additional 110 Volvo VNR Electric trucks to scale its zero-tailpipe emission freight logistics fleet in 2022. All 126 trucks are scheduled for deployment by Q1 2023. “Volvo Trucks, in partnership with our dealer TEC Equipment, is excited to continue growing our collaboration with Maersk on its fleet sustainability goals and commends the organization’s scaled investments in electromobility solutions,” said Peter Voorhoeve, president of Volvo Trucks North America. “Incredibly, this is the second time in less than a year that Volvo Trucks

has had the opportunity to announce that Performance Team-A Maersk Company has placed the largest order of Volvo VNR Electrics to date, which underscores their organization’s firm commitment to reducing its carbon footprint.”

As the world’s largest integrated container logistics company, Maersk is leading a variety of initiatives to improve supply chain sustainability throughout each of its business lines. The acquisition of zero-tailpipe-emission, Class 8 Volvo VNR Electric trucks is part of Maersk’s environmental social governance (ESG) strategy to decarbonize logistics. “Our customers are looking for tangible actions on sustainable supply chains—not just conceptual,”

said Vincent Clerc, CEO of Ocean & Logistics at A.P. Moller-Maersk. “With this in mind we move decisively towards building an end-toend, landside decarbonization offering for our customers—in line with our target to extend Maersk net-zero efforts to all transport modes in our global operation. These investments in our North America network will generate valuable experience for the continued journey towards similar customer offerings across the globe.” The landmark order was facilitated in collaboration with TEC Equipment, Volvo Trucks’ largest West Coast dealership and the first to achieve the Volvo Trucks Certified Electric Vehicle (EV) Dealer designation in North America in 2021. TEC Equipment’s Fontana and La Mirada locations in Southern California will support Performance Team in maximizing the uptime of their Volvo VNR Electric fleets. As Volvo Trucks Certified EV Dealers, the two TEC Equipment locations have trained and equipped their service teams to safely perform battery-electric truck maintenance and

repairs for customers. “Our excitement for this partnership with Performance Team continues to grow as we see their commitment towards offering more sustainable transportation solutions in Southern California accelerate,” said David Thompson, founder and CEO of TEC Equipment. “We stand ready to help all our EV customers maximize their uptime, and celebrate the advancement of electromobility.” The Volvo VNR Electric model has been designed as a sustainable transportation solution for fleet operators supporting local and regional distribution, pickup and delivery, and food and beverage distribution. In January, Volvo Trucks announced production plans for its next generation VNR Electric model with an operational range of up to 275 miles. The enhanced Volvo VNR Electric comes with state-of-the-art 250kW charging capability, enabling an 80% charge in 90 minutes for the six-battery package and 60 minutes for the four-battery version. Source: Volvo Trucks North America

CARSTAR Camarillo Auto Body Opens in Southern California CARSTAR, North America’s largest multi-store network of independently owned collision repair facilities, announced the opening of CARSTAR Camarillo Auto Body, located at 695 Via Alondra, Camarillo, CA 93012. Gary Reichenbach, owner of CARSTAR Camarillo Auto Body, got into the auto body industry in 1962 and opened his own collision repair facility in 1981. Since then, Reichenbach and his team have built a premier reputation serving Ventura County. “This has grown into a proud family business for me, with three generations working in our shop,” said Reichenbach. “We are grateful that the communities we serve have recognized the hard work we put into our services, and we look forward to continue expanding our reach through the support of CARSTAR.” CARSTAR Camarillo Auto Body is a massive, state-of-theart, 24,000-square foot facility. Expertly trained, having earned their I-CAR Gold certification, the

25 employees at CARSTAR Camarillo Auto Body are committed to providing the highest level of repair quality and service to their community. “Independent owner-operators join our CARSTAR family when they need support in growing their business,” said Dean Fisher, collision group president, Driven Brands. “We’re thrilled to be welcoming this exceptional facility to the CARSTAR team and support this family-owned business as they look to take their center to new heights.” Please join us in celebrating the opening of CARSTAR Camarillo Auto Body. CARSTAR Camarillo Auto Body 695 Via Alondra Camarillo, CA 93012 (805) 987-6007 Monday to Friday: 8 a.m.–5 p.m. For more information on CARSTAR, visit CARSTAR.com. Source: CARSTAR

12 MAY 2022 AUTOBODY NEWS / autobodynews.com

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3/21/22 4:35 PM


Branch Launches 6 New States

CA School District Places Largest Order of Electric School Buses in Blue Bird’s History

Branch, a full-stack insurance company that pioneered instantly-bundled home and auto insurance, announced April 1 its expansion to six new states including Idaho, Iowa, New Hampshire, South Dakota, Tennessee and Virginia. These new additions bring Branch’s total state roster to 25 and means 49% of Americans can access Branch’s instant-pricing capability. Through Branch’s rapid growth, the company maintains a stellar customer service experience with an impressive 4.8 Trustpilot rating. Having launched in six new states since the beginning of 2022, Branch continues to attract new members with its instant-pricing capability and average annual bundled savings of $535. With the goal of national coverage halfway completed, Branch continues to pave the way for convenient and affordable insurance with the aim of being available in all 50 states before the end of 2022. Source: Branch

Blue Bird Corporation has received the single largest order of electric school buses from a school district in its history. Modesto City Schools in California purchased 30 zero-emission school buses, which will enable the school district to rapidly convert nearly 50% of its diesel-powered bus fleet to clean energy, considerably reducing harmful greenhouse gas emissions while improving community health. Modesto City Schools will benefit from significant cost saving opportunities by reducing or eliminating the fuel and maintenance costs tied to traditional diesel-powered vehicles. Select Blue Bird customers reported fuel costs of up to 49 cents per mile for their diesel buses, compared to an average 14 cents per mile in energy costs for electric buses. Modesto City Schools anticipates saving more than $250,000 a year in fuel costs alone by converting nearly half of its diesel-powered fleet to electric vehicles. “The price of diesel fuel contin-

14 MAY 2022 AUTOBODY NEWS / autobodynews.com

ues to skyrocket. Our sustainability projects are designed to address climate change, reduce air pollution and lead the next generation of students in learning about a sustainable lifestyle

with renewable energy, carbon reduction and clean mobility options,” said Tim Zearley, associate superintendent of business services, Modesto City Schools. “I’m proud that Modesto City Schools is leading the way in public education sustainability initiatives in Stanislaus County.” “Blue Bird is recognized as a technology leader and innovator of low- and zero-emission school buses in North America,” said Matthew Stevenson, president and CEO, Blue Bird Corporation. “We are pleased to help Modesto City

Schools turn its vision of clean and sustainable school bus transportation into reality. Soon, nearly 30,000 school children in California’s Central Valley will enjoy emission-free transportation and cleaner communities.” Modesto City Schools purchased Blue Bird All American Type D electric school buses. The district anticipates delivery of the zero-emission vehicles in the fourth quarter 2022. Blue Bird electric buses can carry a maximum of 84 passengers for up to 120 miles on a single charge. They take between three and eight hours to fully recharge depending on the charging infrastructure. Blue Bird’s electric school buses were partially funded by California’s Hybrid and Zero-Emission Truck and Bus Voucher Incentive Project (HVIP). The California Air Resources Board (CARB) launched the program in 2009. HVIP is administered by CALSTART, a national clean transportation nonprofit consortium. Source: Blue Bird


autobodynews.com / MAY 2022 AUTOBODY NEWS 15


A Passion for Cars and a College Education Turned into a Collision Repair Career Camille Eber’s parents purchased a collision repair center in 1963, and by the time she was finishing her collegiate studies in accounting and business management in 1986, she was ready to join the family business. But she had to persuade her parents she could bring enough value to the business to pay her salary, and

vehicle repair and experience, then takes the time to let us know and shares their experience with their family and friends,” said Eber. “This is what fuels what I do personally and what we do as a company. When you and your team repeatedly earn this feedback, and you have solid business volume, then you see your

“Many women bring a high level of awareness of what is going on in their surroundings, a type of vigilance per se, and this is good in the fast-paced and process-driven work we do,” — Camille Eber started out doing everything from sweeping to bookkeeping. Today, Eber is the owner-operator of Fix Auto Portland East, Fix Auto Gladstone and Fix Auto Clackamas, all in the Portland, OR, area. Fix Auto USA is proud to celebrate this female owner as it wraps Women’s History Month this March. “My favorite part of working in this industry is when the customer is thrilled with the outcome of their

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California Unveils Plan set its vehicle emissions standards, which Newsom called a “major victory for the environment, our economy and the health of families across the country.” “Mobile sources” are the greatest contributor to greenhouse gas emissions (GHG) in California, “accounting for about 80% of ozone precursor emissions and approximately 50% of statewide GHG emissions,” air regulators said in the proposal. Increasing the use of electric vehicles would “significantly reduce” GHG emissions caused by gas-powered vehicles, the board wrote. However, regulators recognized gas-powered vehicles “will remain in use on California’s roads well beyond 2035,” as they would not ban Californians from driving pre-owned gas-powered automobiles. Consumers would also be able to continue selling pre-owned gas-powered cars under the regulations. The board estimates the primary businesses impacted by these

reward in the bottom line.” Eber took the reins of the family business a bit earlier than planned after her mother passed away unexpectedly and her father struggled after she passed. “They were partners in life as well as business,” said Eber. “Dad decided to sell me the business and retire, and in 1989, I became the owner-operator. He didn’t offer much opinion about my decision to have

regulations are manufacturers that sell on-road light-duty vehicles in California. Currently, 17 companies would be subject to the rules, regulators said. “The cost to manufacturers will be high per vehicle in the early years, but significantly decrease over time by 2035,” regulators said. The proposal also sets out durability requirements for electric cars, requiring vehicles to get at least 150 miles per charge. Regulators said this will ensure consumers can replace gas-powered vehicles with electric cars that “meet their needs for transportation and protect the emission benefits of the program.” “These standards will also reduce the total cost of ownership for passenger cars and light trucks, saving drivers money in the long term and further promoting consumer adoption,” the proposal stated. The California Air Resources Board is scheduled to hold a board hearing on these regulations June 9. The proposal will require the approval of the Environmental Protection Agency, according to the Associated Press.

16 MAY 2022 AUTOBODY NEWS / autobodynews.com

a career in collision repair, which is unusual because he had strong opinions. But he, like most men I’ve worked with over the years, has been supportive. “I’ve interacted with substantially more men than women in my career,” said Eber. “I’ve maintained a professional demeanor and positive approach whether customer, vendor or insurer. I found that often it was the men in my grandfather’s age bracket who would think what I was doing was cool because they had granddaughters and they wanted them have access to any opportunity possible.” That family business experience with her mother and father paid dividends and impacts how Eber runs the business today. “I’ve learned through years of observation and experience to be conscientious, and that has served me well,” she said. “This helps me be more thorough, careful and vigilant. The industry will benefit from having more women involved because of this high level of conscientiousness, all qualities needed in almost every area of repairing collision damaged

vehicles.” Eber said she works to create a family environment and be supportive of the women in the workplace and of people in general. “Many women bring a high level of awareness of what is going on in their surroundings, a type of vigilance per se, and this is good in the fast-paced and process-driven work we do,” she noted. “I also want to give a shoutout to most men I’ve met in the industry, as they are supportive of women in it too.” Some 30-plus years since she took the reins, Eber has lived up to the standards set by her parents and built a business of which they could be proud—certainly a family tradition worth celebrating. Visit FixAutoUSA.com for more information. Source: Fix Auto

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ASE Training Conference Set

California Could Send Up to $800 in Rebates to Car Owners to Ease Pain at the Pump

The 2022 ASE Instructor Training Conference is scheduled for July 12-15 at the Embassy Suites Hotel in Frisco, TX. Hosted by the ASE Education Foundation, the conference is planned for high school and college instructors from auto, truck and collision repair programs nationwide. Offering more than 20 hours of technical update training, the in-person conference will provide separate tracks for auto, medium/heavy truck and collision repair instructors. The cost for instructors from ASE-accredited programs is $550 per person while the cost for instructors from non-accredited programs is $650 each. For more information and to register, visit the ASE Education Foundation website at https://aseeducationfoundation.org/events/ase-instructor-training-conference Source: ASE

by Madison Hirneisen, The Center Square

Gov. Gavin Newsom wants to send $400 payments to registered vehicle owners in California as part of an $11 billion relief package that comes as residents face the nation’s highest gas prices. The proposal announced March 23 would send at least $400 per registered vehicle, with a two-vehicle cap. The payments will come in the form of $400 debit cards for each registered vehicle owner, and individuals would be eligible for up to two cars, according to the governor’s office. Eligibility is based on vehicle registration, not tax records—a measure Newsom’s office said will ensure seniors on Social Security Disability income and low-income non-tax filers also receive relief. The governor will be meeting with legislators to discuss the proposal in the coming days, and if approved, payments could become available in July. Newsom estimated the tax refunds would cost the state $9 billion. “We’re taking immediate action

to get money directly into the pockets of Californians who are facing higher gas prices as a direct result of Putin’s invasion of Ukraine,” Newsom said in a statement. “But this package is also focused on protecting people from volatile gas prices, and advancing clean transportation—providing three months of free public transportation, fast-tracking electric vehicle incentives and charging stations, and new funding for local biking and walking projects.” The governor’s proposal also includes $2 billion for additional relief, including $750 million in grants to transit and rail agencies to provide free transit for Californians for three months. In a news release, Newsom’s office said this would cover the 3 million Californians per day who take the bus, subway or light rail. The proposal also includes $600 million to pause part of the sales tax rate on diesel for a year and $523 million to pause the annual inflationary adjustment to gas and diesel excise tax rates. Currently, California’s per gallon excise tax rate is 51.1 cents and is sched-

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uled to increase in July unless it is paused. The proposal comes as state officials and lawmakers face increasing pressure to address skyrocketing gas prices. As of March 23, the average price for a gallon of gas in California was $5.87 per gallon, according to AAA. Democratic leadership in the Assembly and Senate revealed they are crafting a proposal to send $200 rebates to California taxpayers and dependents. That came after a separate group of Democrats proposed sending $400 to all California taxpayers. Republicans have also pushed to suspend the state’s gas excise tax for six months, though that measure has faced pushback from Democratic lawmakers who say it would interrupt funds for schools and infrastructure. Under Newsom’s proposal, people who own electric vehicles would qualify for a rebate, but most businesses with car fleets would not be eligible, according to the Associated Press.

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8/7/20 11:31 AM


Personal Accounts Underscore California Agency’s Tesla Racism Lawsuit by Domenick Yoney, InsideEVs

In February, after a three-year investigation, the California Department of Fair Employment and Housing (DFEH) filed a lawsuit against Tesla, alleging its Fremont auto factory is rife with racism targeting black workers. Now, new reporting shares the stories of former employees who claim to have experienced harassment, underlining the apparent seriousness of the situation. The personal stories related to the Los Angeles Times by three former employees echo the accusations in the DFEH lawsuit, including the frequent use of the N word, other race-based harassment and seeming retaliation against those making complaints. The electric automaker has denied the specific allegations made by the individuals to the Los Angeles Times. Tesla also defended itself in February against the allegations made in the state agency’s lawsuit. In a blog post titled “The DFEH’s Misguided Lawsuit,” Tesla said it “strongly opposes all forms of dis-

crimination and harassment” and it not only has an Employee Relations team that responds to all types of complaints, but it also has a Diversity, Equity and Inclusion (DEI) team. A report published by that DEI team said 10% of the Tesla U.S. workforce is black and minorities make up the majority. However, it also said black people hold only 4% of leadership positions, while white people make up a strong majority (59%) of that group. The blog post raises the point that DFEH had been contacted almost 50 times over a span of five years with complaints of discrimination or harassment, but seemingly dismisses the grievances because the civil rights agency closed the cases without any legal action against the company. Tesla also claimed DFEH has not provided it with “the specific allegations or the factual bases for its lawsuit.” In a separate article, Insider described how a litany of lawsuits alleging harassment based on race and gender have been filed over the

past five years, and relayed personal accounts from a number of individuals involved in those actions. Tesla, it said, has relied on private arbitration—a practice used by other automakers as well—to help keep settlement details from becoming public. Although most of the discrimination lawsuits against Tesla have failed, there has been one notable award. A former Tesla contractor was granted $137 million from the company by a federal jury in October 2021. Tesla is appealing that settlement amount. Out of 90 arbitration complaints filed against the company since 2016, only one has been successful so far. That case resulted in a $1 million reward for a former worker. Tesla is not the only automaker with incidents or allegations of ra-

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cial discrimination. A three-judge panel of the 6th U.S. Circuit Court of Appeals recently reversed an earlier decision, reviving an action against Ford for a former worker’s allegations of racial and sexual harassment. A Fiat Chrysler subcontractor employee was fired in 2018 after a noose was found at the Toledo Jeep Assembly Complex. The next year, another noose was spotted at Sterling Heights Assembly Plant. The woman who reported it was initially fired, ostensibly for posting a video of it on social media, but was later reinstated. In 2018, a number of employees launched a lawsuit against General Motors after a number of disturbing racially-motivated incidents, including nooses left at work stations.

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Continued from Cover

Federal REPAIR Act business: a small-batch machining and fabricating business which was transformed into a high-volume contract fabrication and injection molding manufacturer during his tenure. “By prohibiting vehicle owners from accessing and sharing data they generate, manufacturers stop consumers from accessing third-party repair shops,” said Davidson. “American vehicle owners have a right to control their data, and a right to access third-party repair shops, tools and parts. This bill would end manufacturers’ anti-competitive practices and restore consumer property rights.” “Thanks to Congressman Davidson, the bill is now a bipartisan effort,” said Bill Hanvey, president and CEO, Auto Care Association. “We thank the representative for recognizing that consumers deserve the right to choose where they get their vehicle repaired. In a time where Americans rely on their vehicles more than ever and are keeping their

vehicles longer due to economic uncertainty, we hope that other legislators follow suit.” “AASA applauds Rep. Davidson for joining Rep. Rush on this critical legislative push,” said Paul McCarthy, president and CEO, AASA. “The consumer’s ability to continue to have choice in where to repair, service, and maintain their vehicles is at stake. The bipartisan support from this bill, as we saw with the bipartisan-supported ‘Nixing the Fix’ report from the FTC, speaks to the fact that this automotive right to repair effort is not partisan, it is to support consumers, competition and free markets. Without action, consumers will face rising costs and fewer options. We look forward to working with both representatives on this important effort.” “The CAR Coalition applauds Rep. Davidson for co-sponsoring the REPAIR Act,” said CAR Coalition Executive Director Justin Rzepka. “This bipartisan legislation is critical to protecting the rights of consumers in the post-collision auto repair market. It is also crucial to ensuring the security and accessibility of vehicle

data. As the cost of cars and repairs rise, consumers need more choices, not fewer, when it comes to repairing their own vehicles. The CAR Coalition looks forward to working with Rep. Davidson and Rep. Rush to advance the REPAIR Act on behalf of consumers across the country.” “SEMA and the specialty automotive aftermarket appreciate Rep. Davidson standing up for free and fair competition for consumers looking to service, repair or modify their vehicle,” said Daniel Ingber, vice president, government and legal affairs, SEMA. “The bipartisan REPAIR Act must be passed to protect access to vehicle systems, tools and information necessary for independent repair and modification services for millions of consumers.” Automotive aftermarket companies can urge legislators in their district to also co-sponsor the bill by visiting autocareadvocacy.org/takeaction-tell-congress-support-rightto-repair, aftermarketsuppliers.org/ repairact, carcoalition.com or semasan.com.

CCC Launches Integration with asTech CCC Intelligent Solutions on March 31 announced asTech®, a Repairify company and a leader in diagnostic, calibration and programming solutions, has joined the CCC® Diagnostics network. The integration makes it easier for repair facilities to capture and document scan information in CCC ONE® workfiles. This streamlined service is available now via CCC ONE. The integration does not require a physical connection between the asTech device and CCC ONE. Information is uploaded wirelessly and the scan report is automatically attached to the vehicle’s CCC ONE workfile. Activation is simple. Repair facilities using CCC ONE select their preferred diagnostic provider(s) from those available through CCC’s network and providers send scan data directly to the workfile. Source: CCC Intelligent Solutions

Source: Auto Care Association

Chevrolet Resumes Bolt Production Following Battery Issues by Joey Klender, Teslarati

Chevrolet has resumed production of the Bolt EV and EUV following a series of battery issues that would sometimes result in spontaneous fires. General Motors, the parent company of Chevrolet, spent $1.8 billion throughout the Bolt’s battery issue saga to resolve the problems. General Motors issued a series of recalls on the affected vehicles, described as “unpredictable” due to their defective battery modules. LG Energy Solution provides the battery cells for the vehicle and said in a joint statement with GM in July 2021 “the simultaneous presence of two rare manufacturing defects in the same battery cell” were increasing the risk of potential fires. Production of the Bolt EV was halted in late August. GM said in a statement it would “not resume repairs or restart production until we are confident LG is producing defect-free products for us.” GM said in mid-February the

Bolt would resume production in early April. Things appear to be right on schedule, as GM Authority is now reporting the Bolt EV and EUV are resuming production at General Motors Orion Assembly Plant in Michigan. The battery defects caused a widespread issuance of preventative measures from various entities to prevent the possibility of a fire. For example, a parking lot in California advised owners of the Bolt EV’s affected models to not park on their property due to the potential danger of fires. Meanwhile, the U.S. agency responsible for vehicle recalls, the NHTSA, officially closed its investigation of the Bolt fires in February. The NHTSA reviewed reports of 24 Bolt fires, while GM said it only suspected 18 of the 24 could be linked to battery defects. The Bolt still holds plenty of credibility in the sector, especially as it beat out some of the industry’s biggest names, like the Tesla Model 3, to win U.S. News’ Best Electric Vehicle of 2021 award.

20 MAY 2022 AUTOBODY NEWS / autobodynews.com

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WIN to Recognize 2022 Most Influential Women Award Winners During Hybrid Educational Conference by Leona D. Scott

tial’ standard every day.”

According to Catalyst.com, women in automotive repair and maintenance make up only 9.9% of the automotive workforce. In 2014, when Mary Barra became CEO of GM, she was the first woman to run a major OEM. While women are making progress in the industry, it can happen slowly and with great challenges. That’s why programs like the Women’s Industry Network (WIN) Most Influential Women (MIW) Awards are vital. The collision industry looks forward to WIN’s annual announcement of its stellar lineup of recipients, and 2022 is no different. WIN’s 2022 MIW recipients will be honored at a gala held during WIN’s 2022 Annual Educational Conference, May 2-4 in Greenville, SC. This year’s conference will be hybrid, offering an in-person event, alongside an online program to make the event accessible to more attendees. To learn more, visit www.womensindustrynetwork.com. Autobody News reached out to the seven recipients who make up the 2022 class of Most Influential Women to get their thoughts and reflections on receiving this prestigious industry award.

Alicia Figurelli, vice president, Thomas Greco Publishing, believes the recognition that awards like this provide Alicia Figurelli will help elevate the work of all women in collision repair. “Being recognized in this way as someone who has helped make a difference in our industry is exhilarating! It’s a definite milestone in my career, and I’m so grateful to help represent one of the many areas of collision repair where a woman can excel and contribute,” said Figurelli.

Allison Boever, chief human resources officer, Repairify, values the opportunity to mentor women for leadership Allison Boever roles at Repairify. “I am beyond humbled by the recognition as one of WIN’s Most Influential Women,” said Boever. “As a human resources leader, I’m a believer that when we strive for diversity, we strengthen the organization as a whole. One of my most rewarding activities in business and life is to mentor and help prepare women for leadership opportunities as our industry continues to evolve. I’m surprised and honored and will strive to live up to the ‘most influen-

Shirin Hezar, director, strategic accounts, Caliber Collision, said as a result of recent economic and cultural dynamics, Shirin Hezar she found opportunities to contribute in unexpected ways. “In today’s evolving environment, it will be key for female leaders in our industry to leverage innovative, out-of-the box thinking to ensure we keep pace with rapidly changing customer expectations,” Hezar said. “The collision industry offers many unique opportunities for female leaders. Their fresh perspectives and new ideas will shape our future, and I am honored to be part of this amazing journey.” Jennifer Hubbard, client engagement manager, CCC Information Services, looks forward to promoting careers for women in col- Jennifer lision repair even Hubbard more as a result of the award. “I am grateful for being recognized and I intend to live up to the level of success this award demands,” Hubbard said. “I am dedicated to

22 MAY 2022 AUTOBODY NEWS / autobodynews.com

spreading the word on how a career in the automotive collision industry is very rewarding. The people I meet on a daily basis are an amazing group of individuals with a strong worth ethic and are driven by our ever-changing and exciting industry.” Samantha Kita, regional vice president, operations, Gerber, is grateful for the award’s legacy and is humbled by the Samantha Kita recognition. “... It’s hard to find the words to explain how I feel. All the amazing women out there who are paving their own way while finding work-life balance, have my utmost respect,” Kita said. “Knowing that I have the support and dedication of my Gerber family makes me want to be better. I am so honored to have my work recognized by the Women’s Industry Network.”

Micki Woods, owner, Micki Woods Marketing Genius for Body Shops, is thankful for the recognition and believes the Micki Woods award highlights the overall contributions of women in collision repair. “I know I work hard and do well for my clients but there are so many other women out there working their tails off doing their best that deserve to be honored,” said Woods. “I’m proud, I’m surprised, I’m grateful, I’m humbled and I’m freaking pumped UP!” Debbie Menz, strategic account manager (retired), Axalta, will also be recognized at this year’s event. She was unable to be reached for comment before press deadline.

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USDOT Announces New Vehicle Fuel Economy Standards for Model Year 2024-2026 The U.S. Department of Transportation’s National Highway Traffic Safety Administration on April 1 announced new, landmark fuel economy standards which follow President Joe Biden’s executive order to drive American leadership forward on clean cars. The new standards will make vehicle miles per gallon more efficient, save consumers money at the pump and reduce transportation emissions. The new Corporate Average Fuel Economy (CAFE) standards require an industry-wide fleet average of approximately 49 mpg for passenger cars and light trucks in model year 2026, the strongest cost savings and fuel efficiency standards to date. The new standards will increase fuel efficiency 8% annually for model years 2024-2025 and 10% annually for model year 2026. They will also increase the estimated fleetwide average by nearly 10 miles per gallon for model year 2026, relative to model year 2021. Strong fuel economy standards strengthen U.S. energy indepen-

dence and help reduce reliance on fossil fuels. Since CAFE was signed into law in 1975, the standards have reduced American oil consumption by 25%, or approximately 5 million barrels a day since then. The new CAFE standards for model year 2024-26 will reduce fuel use by more than 200 billion gallons through 2050, as compared to continuing under the old standards. Increasing vehicle efficiency and reducing fuel use will save American families and consumers money at the pump. Americans purchasing new vehicles in 2026 will get 33% more miles per gallon as compared to 2021 vehicles. This means new car drivers in 2026 will only have to fill up their tanks three times as compared to every four times that new car drivers today do for the same trips. “Today’s rule means that American families will be able to drive further before they have to fill up, saving hundreds of dollars per year,” said U.S. Transportation Secretary Pete Buttigieg. “These improvements will also make our

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country less vulnerable to global shifts in the price of oil, and protect communities by reducing carbon emissions by 2.5 billion metric tons.” The new standards will also reduce greenhouse gas emissions and air pollution. These reductions will improve public health and provide environmental justice for communities who live near freeways and other heavily trafficked roadways, which are disproportionately low-income communities of color. “NHTSA is helping American families by making life more affordable—and the air cleaner for their children,” said Dr. Steven Cliff, NHTSA’s deputy administrator. “These vehicles will be better for the environment, safer than ever, and cost less to fuel over their lifetimes. We are proud to fulfill President Biden’s mission to move us to a more sustainable future, one that strengthens American energy independence and helps put more money in American families’ pockets.” This announcement of new standards comes as the automobile

s

industry is retooling production for future models in response to rapidly growing market demand for cleaner, more fuel-efficient vehicles. Nearly all auto manufacturers have announced new electric vehicle models. More robust fuel economy standards will encourage the industry to continue improving the fuel economy of cars powered by internal combustion engines as the transportation sector transitions to electrification. The final fuel economy standards follow Biden’s Executive Order 13990, which directed NHTSA to review the 2020 “The Safer Affordable Fuel-Efficient (SAFE) Vehicles Rule for Model Years 2021-2026 Passenger Cars and Light Trucks” final rule. These CAFE standards also support the Biden-Harris Administration’s priorities to cut costs for American families, improve public health, combat climate change and create and sustain good-paying jobs with a free and fair choice to join a union. Source: NHTSA

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24 MAY 2022 AUTOBODY NEWS / autobodynews.com 59725_COL21_8thV_AB .indd 1

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Continued from Cover

Bad Driving while driving • 35% of Gen X think it’s safe to be using the phone while driving • 20% of Boomers think it’s safe to be using the phone while driving “Half of the drivers Nationwide surveyed said in the last six months they have held a cell phone to talk, text or use an app while driving,” said Beth Riczko, Nationwide’s president of P&C personal lines. “Far too many drivers are multitasking behind the wheel, putting everyone at risk by creating dangers for themselves, their passengers, pedestrians and others on the road—I promise you it isn’t worth it.” Despite reports of increasing danger, everyone thinks other drivers are to blame and they are not the ones contributing to the problem. 85% rate their driving as excellent or very good, but only 29% give the same rating to other drivers on the road around them. Drivers of all generations seem to

share this sentiment: • Gen Z—82% say they are good drivers/36% say others around them are good drivers • Millennials—86% say they are good drivers/38% say others around them are good drivers • Gen X—86% say they are good drivers/30% say others around them are good drivers • Boomers—85% say they are good drivers/20% say others around them are good drivers While people think they are good drivers, some of the behaviors they reported doing behind the wheel would indicate otherwise. Despite two-thirds of drivers (66%) saying holding a cell phone to talk, text or use an app while driving is dangerous, half (51%) reported doing this in the past six months, with Millennials doing this more than any other age group (67%). During the past 12 months: • 54% of drivers reported driving 10+ mph over the speed limit • 53% reported eating while behind the wheel • 23% said they have audibly

yelled at another driver • 21% have given an obscene gesture • 17% ran a stop sign/light “The first step to correcting bad driving behavior is recognizing when you’re doing it, and surprisingly enough, technology can help with that,” said Riczko. “Nationwide’s SmartRide mobile app provides customized feedback on phone distractions to help our members reduce distracted driving on roadways. The app’s feedback has reduced everyday hand-held distractions by nearly 10% among those who use it.” Nationwide is advocating for state lawmakers across the country to enact hands-free legisla-

tion allowing drivers to only use hands-free mobile phone technology while operating a motor vehicle. The intent is to curb crashes caused by drivers distracted by their mobile devices. To date, 24 states have enacted hands-free-primary enforcement laws with active legislation pending in 21 states. Survey Methodology: Edelman Data & Intelligence conducted a national online survey of 1,000 adults (ages 18+) US car-owning consumers on behalf of Nationwide. The study was fielded March 4-11, and has an overall margin of error of ±3% at the 95% confidence level. Source: Nationwide

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

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autobodynews.com / MAY 2022 AUTOBODY NEWS 27


From the Desk of Mike Anderson with Mike Anderson

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

Tips to Help Auto Body Shops Get Paid for Crucial Step of Destructive Weld Testing In a previous column, I wrote about the critical necessity to perform destructive testing of welds prior to welding on any vehicle—and regardless of whether your shop is being paid for that procedure. But I also believe you should be paid for this crucial work, and that’s what I hope to address here. Those of you who have read my articles in the past on better negotiating know I believe the process involves four questions: Is the procedure necessary? Is it included in any other labor operation? Are there pre-determined times? If not, what it is worth? Looking at any of the OEM repair procedures should convince you that it is necessary. Here is some of the wording I’ve seen:

spot-welding, carry our spot-weld shear tests on sample sheet metal.” Ford: “Place the welded sample in a vice and carry out destructive weld tests by peeling the scrap metal apart using large lock-type pliers. Measure the weld nugget to determine the nugget meets Ford weld nugget requirements.” Hyundai/Kia: “Test welding must be performed before welding vehicle body.” Toyota: “Welding strength must be validated by tuning the welder and performing destructive testing.” I could go on and on, but you get the idea: It is a necessary procedure. The next negotiation question: Is it included in any other labor operation? No matter which estimating

BMW: “To determine the optimum electrode contact force for

system you are using, you should be able to find that the user’s guide— often referred to as “procedure pages”—lists set-up and performing test welds as a not-included operation. If you can’t find it, visit the Database Enhancement Gateway website (www.DEGweb.org), and read the estimating system providers’ responses to inquiries about this, including #15358 (Solera/Audatex), #12565 (Motor/CCC) and #16652 (Mitchell). None of the estimating systems publish a labor time for destructive testing of welds, so the answer to the third negotiation question is no. That leaves you with the fourth question: What is it worth? I can’t answer that question for you. Perhaps you could conduct your own time study. In any case, remember it should be based on how long it takes an average tech-

nician—one with five to seven years of experience—to gather the tools, equipment and supplies needed, perform the task safely, and return the tools, equipment and supplies to their store area, and clean the work area. Remember, too, material costs for this process are not included. That can include OEM-approved wire, welding tips/nozzles, shielding gas and gun liner. If you’re buying welding coupons, keep that cost in mind. You can also improve your chances of being paid for this necessary step by documenting the process. Shoot images of the test welds prior to testing, while the test welds are in the vise, and after they destructively tested. If you use an electronic quality control app, you can set it up to require these photos, ensuring they are time- and date-

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stamped. Some shops also actually label and store the test welds to help limit their liability should any questions about the repair arise down the road. Remember the automakers state the welding coupons you use should be of the same material with the

International and a program consultant for Jaguar Land Rover North America and Subaru of America. Others mistake he sees: Not checking to ensure the correct wire type is in the machine, not understanding what makes a good quality weld, not following the specific

In addition to photographing the destructive testing of welds, some shops label and store the test welds as part of their documentation

same coating that the new replacement panel will be attached to. In some cases this may require multiple different coupon thicknesses and coatings, such as galvanized. That’s a common oversight, according to Rick Miller of Wadsworth

placement of welds called for by the automaker, or the use of MIG welding because of a perception that it’s easier than squeeze-type resistance welding. Potential sources of coupons include I-CAR, your welder manufac-

KEARNY MESA

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turer or Custom Metal Shearing in Ohio (www.custommetalshearing. com). Some other resources that may be helpful: CollisionHub offers a welding validation series (collisionhub.com/ product/oem-weld-validation) and will build customer QR series for shops to put on their welding equipment to offer “just in time” training for the tech. SCRS has some great information on its website, including video of a panel discussion on OEM expectations about welding at www. youtube.com/watch?v=x85ZcSGvbU4&t=9s American Honda offers twoday hands-on welding training for anyone in the industry, with a discount for Honda and Acura certified shops. Attendees will learn how to identify steel strengths and thicknesses on Honda vehicles, and how to find Honda service information requirements for each type of recommended attachment method. After completing 13 unique practice joints, attendees are expected to complete multiple replacement pro-

cedures. To register, visit academy.veri factsauto.com, or for questions, email collisioinrepairtraining@na .honda.com. “Anyone may enroll, but I would suggest this is not a class for beginning welders,” said Scott Kaboos, national assistant manager for collision repair training and technology for American Honda. “It is an advanced level class, and so far we have had a 50% pass rate, mostly because some attendees did not have prior basic training.” Listen, I mean this in love, but we as an industry need to get it together! We must follow the OEM procedures. Not setting up and performing destructive weld test is not negotiable. All of the steps above should help your shop join those being paid regularly for performing destructive testing of welds. But whether or not you choose to pursue being paid for it, I can’t stress enough that you need to ensure your technicians are absolutely performing this crucial step every time they will be welding on a vehicle.

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autobodynews.com / MAY 2022 AUTOBODY NEWS 29


Supply Chain Issues and Repair Complexity Major Concerns in 2022 by Ed Attanasio

Before the pandemic hit, people in the collision repair industry were most concerned about a lack of qualified employees and the growing complexity of OE repairs. Those problems still exist, but now the crippled supply chain has been added to the equation. It’s a whole new world and scary in many ways, so how will auto body shops be able to navigate through these uncertain and troubled times? Solid, carefully researched and highly relevant data can surely help everyone in this industry. Director/ Industry Analyst Susanna Gotsch from CCC Intelligent Solutions, Inc., is well-known for being the author of the company’s annual Crash Course since 1995, where she interprets the numbers and forecasts what is going to happen next. Gotsch’s historical perspective supported by data is invaluable for anyone who works in the automotive industry. Gotsch set the table for this year’s report before diving into the numbers. “It’s hard to fathom that we are nearly two full years into the pandemic, but one thing we know for sure: The natural pre-pandemic order of things has been altered, leaving us searching for a new normal or rhythm to how we live, communicate and conduct business,” she wrote. Obstacles created by supply chain issues are a concern to every body shop in the world right now. “Despite new variants and ongoing debates on how best to balance public health and economic well-being, the U.S. economy has roared back, with consumer buying things like cars, homes, furniture, electronics and other goods,” she said. “As a result of the increased demand, supply chains have been pushed to their brink, either from shortage of goods or people to deliver them. “Whether it’s the auto industry’s shortage of semiconductor chips or metals critical to development of electric vehicles, or the medical industry realizing many of the most critical drugs and supplies are only manufactured overseas, all industries are hav-

“Unfortunately, new vehicle pandemic, the Crash Course said. While repairers are seeing an technology such as ADAS and EVs increased number of non-driveable have added increased complexity DRP repairs relative to the preced- and requirements for new skillsets, ing two years, both driveable and training and tools for the collision non-driveable repairs are taking repair industry,” she said. “So, while longer, and repairer productivity is the industry has demonstrated its relower. silience and ability to adapt to new “Unfortunately, as repair costs vehicle technology over the years, climb, repairer productivity can adapting takes time, and today’s ensometimes suffer, custom- vironment means these repairs may er satisfaction can fall and cost more.” the likelihood that the cusA sharp increase in motor vetomer needs to bring their hicle fatalities occurred in 2020 and vehicle back for additional 2021 in the U.S., highlighting the work after repairs complet- need for new directives to improve ed also increases,” Gotsch vehicle safety. An estimated 20,160 people explained. “And it’s not just repair time that is tak- died in motor vehicle traffic crashes ing longer. The time to get in the first six months of 2021, acDirector/Industry Analyst Susanna Gotsch from CCC an appraisal has increased cording to the NHTSA—an increase Intelligent Solutions forecasts that supply chain problems, for traditional channels of 18.4% from the first six months inflation and repair complexity will continue to be major where the customer either of 2020, and the highest number of obstacles for collision repairers in 2022 is visited by an insurance fatalities during the first half in 15 data pointing to higher wages in staff appraiser or brings their vehicle years, based on this year’s Crash Course. 2022,” she said. “The disruption in for a DRP appraisal.” Ultimately, the key to combat The fatality rate per 100 million experienced over the last two years has accelerated the pace of innova- higher costs is to improve produc- vehicle miles traveled increased to 1.34 for the first six months of 2021, tion across all industries, leading to tivity, Gotsch outlined. the transformation of how business is conducted as technologies such as artificial intelligence (AI), telematics, mobile and cloud are being adopted to help inform and speed processes, and combat challenges stemming from labor shortages, new consumer expectations and other market dynamics.” The automotive repair industry is still struggling to find employees, Gotsch reported. “Representatives from Universal Technical Institute predict a wave of retiring baby boomers will create 100,000 auto technician job openings over the next decade or so, • Competitive • Daily Deliveries to the • Professionally Pricing & Greater Los Angeles Metro Trained Wholesale with the Bureau of Labor Statistics Discounts Area & Orange County Parts Specialists projecting a 4% decline in employment in the overall auto technician field through 2029,” she said. “Finding technicians with the right skillsets is also a growing challenge as Parts Parts Hours vehicle complexity increases.” Mon - Fri 7am - 5pm Most collision repairers inSat 8am - 5pm Ask for Tom Reeser - Wholesale Manager dicate the technician shortage has www.infinitioftustin.com been the primary reason for longer Parts2682@autonation.com 24 Hr Fax backlogs of work. Repair work is up as auto accident frequency has ris714-573-5497 33 Auto Center Drive l Tustin, CA 92782 en. Many shops have indicated they cannot repair as many vehicles at the same time as they did before the ing to re-examine and restructure their supply chains.” The supply versus demand imbalance has also impacted U.S. inflation in a huge way, which hit a 40year high in December 2021, Gotsch said. “Labor shortages have also driven up wages across nearly all industries, with Conference Board

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versus 1.28 for the first six months of 2020 and 1.07 during the same period in 2019. Fatal accidents either involving just one vehicle, speeding, illegal substances or failure to wear a seat belt rose disproportionately—underscoring how more drivers are more reckless than ever before. Some of those states with the highest fatality rate per 100 million vehicle miles traveled in 2019 are also those states experiencing the most growth in population. What caused this lack of inventory in 2021? “Extreme weather and cyber security were not the only challenges in 2021 that forced people and businesses to evaluate business models,” Gotsch wrote. “Many industries like the automotive industry had moved to a just-in-time inventory system prior to the pandemic—an approach that was sorely tested over the last year as consumer demand increased much faster than anyone had planned. “Inventories had been drawn down from plants being closed at the outset of COVID, and then operating at lower levels of production while trying to balance employee safety and production demand,” she continued. “As industries scrambled to meet demand, they met the same challenges: Higher raw material prices, higher transportation costs from higher wages and fuel prices, record spot container shipping rates (14 times higher now than during the same period in 2019), more money and time to unload goods at shipping ports, and shortage of employees on site.” In the P&C insurance and automotive sector, dealers, OEMs and aftermarket parts sellers have been operating with lower parts inventories, based on numbers outlined in the report. “Demand for parts has rebounded faster than many of the parts manufacturers and distributors expected, leading to an increase of ‘out of stock’ from aftermarket or ‘backorder’ scenarios for OEM parts,” Gotsch said. “Even when parts are available, they may be stuck overseas where the issue is getting the parts from the warehouse to the ports, onto the ship and then unloaded and delivered to the U.S.” Parts delays and challenges

finding qualified technicians are the two primary reasons repairers have seen their throughput of repairs and productivity fall and repair times grow. CRASH Network in Q4 2021 reported 96% of shops surveyed were experiencing delays, and the national average scheduling backlog reached 3.4 weeks, versus the pre-pandemic Q4 average backlog of only 1.7 weeks. Shops are focused more than ever on blueprinting the repair to identify parts needing replacement and delaying the start of the repair until all parts have arrived on site. This is leading to delays in the average days from estimate completion to vehicle in for both driveable and non-driveable DRP repairs. In conclusion, supply chain disruptions, extreme weather, cyber threats and labor shortages are disrupting historical trends, and have also made pricing and reserving for insurance much harder. Fewer commuters mean less traffic and fewer accidents. “Nearly two years in from the early shelter-at-home orders and a sizable share of the working population in the U.S. is still working remote at least one day per week,” the report said. “Many companies have postponed plans to bring employees back to the office numerous times, even in a hybrid model. Research from the Federal Reserve Bank of Atlanta, Stanford and University of Chicago suggests nearly 40% of U.S. jobs can be done at home, and office occupation levels tracked by Kastle Systems continue to stay well below 50% across their 10-city average.” With many vehicles traveling at faster speeds on less congested roads during the pandemic, vehicles in accidents were seeing higher Delta-v’s, with greater damage to both the vehicle and its occupants. Delta-v is a measure of a collision’s severity or force. Higher forces in an accident increase not only the damage to a vehicle but also the likelihood for occupant injury and more severe injuries. The professional disciplines of accident reconstruction and injury causation have clearly established axioms. All other factors being equal, the following are true: increasing the severity of an impact, in terms of impact force, increases

32 MAY 2022 AUTOBODY NEWS / autobodynews.com

the amount of damage to a vehicle, and increasing the severity of an impact, also in terms of impact force, increases the risk of injury to the vehicle’s occupants. According to a survey by Workplace.com, 37% of U.S. employees will be working remotely in 2022, according to Gotsch’s data, with between 29% to 39% of the time spent working in the U.S. possibly done remotely, with 22% of employees able to work remotely three to five days per week without affecting productivity. With potentially fewer people on the road during rush hour, congestion levels may remain lower, and some of the auto claim trends experienced during the pandemic may become more permanent. Overall miles driven and trips taken might not see a significant decline, but more telework would still lead to fewer rush-hour trips, less congestion in urban areas and freer movement of remaining traffic. This is important because the variable shown to be most highly correlated to vehicle accident frequency is a large number of vehicles

on the same road at the same time— i.e., congestion typical of morning and evening rush hour traffic. So, with miles driven recovering, but fewer during historic peak rush hour times, does automotive claims data suggest different driving patterns will continue in 2022 and beyond? Overall claim counts including comprehensive losses were up 9.6% in 2021 versus 2020, while non-comprehensive losses were up 10.2%. The acceleration of repair costs is always a major issue for body shops nationwide. Gotsch’s report said in 2021, the industry experienced a much larger increase in repairable claim costs than in prior years. The average total cost of repairs overall for all repairable appraisals was $3,708, up 8% from 2020 and up 14% from 2019. Growth in the average number of parts replaced per claim as well as more labor hours per claim largely account for the rise in repair costs. Increasing vehicle complexity—both in terms of the materials used in the construction of the vehicles, as well as an increased number of standard See Concerns in 2022, Page 35

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Industry Insight with John Yoswick

—John Yoswick is a freelance writer based in Portland, Oregon who 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.

Collision Repair Industry Trend Data Shows Need for Changes to Insurer DRP Metrics

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Collision repairers have for some a little less than two full days longer ing to CCC. Today, it’s just over supplements has also grown, where time been saying changes they are than they were in 2019. By the time 30%. The percentage involving two, over 35% of the overall repair cost is seeing within their business point to we get to a $10,000 or higher repair, three or four supplements has nearly added during supplements for those with Ed Attanasio a need for insurers to adjust their key the average repair time exceeds 35 tripled over that time span to more claims with four or more suppleperformance indicators (KPIs) met- days. than 30%. ments,” the report said. rics for direct repair claims. Another interesting statistic Recent industry data from CCC for DRP shops concerned about the Intelligent Solutions support the metrics insurers are using to meatrends shops are reporting. sure their performance: The decline Average repair costs, for exin labor hours per day that has been with Ed Attanasio ample, rose 8% in 2021, about one occurring since 2017 only acceleratpercentage point higher than U.S. ed in 2021. Direct repair shops were inflation overall; the average part producing about 2.5 labor hours per cost across all part types—OEM and repair day on drivable vehicles in the aftermarket—was also up 8% last second half of 2021, down from just year, the “largest annual increase we over three hours during the same pehave seen” since CCC began reportriod in 2020, and down from more with Ed Attanasio ing that data in 1997, according to than 3.5 hours in 2016 and 2017. CCC’s Susanna Gotsch. For non-drivable cars, shops “Moving forward, most anawere producing about two labor lysts expect that we’ve seen most of With more larger repair jobs during the pandemic, cycle time across the industry has risen hours per day during the second half the increase in parts costs that we are of 2021, down from above 2.5 in going to see,” Gotsch said. “We’re “In addition, the share of the 2018 and 2019, and about three in “Subsequently, we hear more carriwith Ed Attanasio not likely to see part prices reverse ers saying their customers are run- overall repair cost added during 2017. substantially, but the largest increas- ning out of allocated rental days, es that we experienced in 2021 are and many carriers have said they are not likely to be repeated in 2022. looking at…their policies to deterWhere most analysists are predict- mine if those [limits] should be ading [the industry] will see the most justed.” pressure in 2022with will beStacey on wages.” Phillips Another data point of note from Average total labor hours per CCC’s recently-released annual repairable non-comprehensive claim Crash Course Report: The national grew slowly from 2011 (23 hours per average body rate in 2021 ($52.86) claim) through 2019 (23.9 hours), but was up just 1% from the prior year, then jumped to 24.7 hours in 2020, the smallest percentage increase and to 25.8 hours last Stacey year. Gotsch since 2011, in a year when overall with Phillips said the pre-pandemic growth was inflation in the country was 4.7%. related to vehicle complexity, but the CCC reports overall claim larger increase in the last two years counts were up nearly 10% in 2021 is based in part on the increase in the compared to the prior year, but still percentage of non-drivable claims. down more than 13% from 2019. Compared to 2019, there was “Month-by-month compariwith Stacey Phillips more than a full percentage point sons, however, show volumes have jump in DRP claims with repair been steadily rebuilding,” CCC said costs above $10,000 in 2021, and a in the report. For example, overall 2.5 percentage point jump in claims claim counts in January 2021 were Large Inventory of Genuine Kia Parts between $5,000 and $10,000. That down 19% versus January 2019, but Experienced Wholesale Parts Staff results in longer cycle times, Gotsch by December 2021, overall claim said. counts were down just 5.9% comwith Stacey Phillips “For each $1,000 increment, pared to December 2019. we essentially see an additional two One statistic in the CCC report 213.342.0980 Fax full days in the overall repair time, will be of little surprise to shops: The 1834 S. Figueroa Street or keys to keys time,” she said. “In- percentage of claims with suppleMon-Fri 7am-7pm Los Angeles, CA 90015 dustry wide, DRP repairs are now ments continues to increase. Back in taking over 12 days, two full days 2001, more than 50% of DRP claims above where they were in 2020, and did not have a supplement, accord-

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CCC cites such factors as the technician shortage and the increased number of non-drivable repairs as the likely cause of the change. But a number of shops said they would point to other causes. “For us, it’s absolutely the parts shortage,” one shop owner said. “It’s got us stopping and starting on jobs

going to continue because of the ever-increasing vehicle complexity. “It’s not like you can just hang a replacement fender or replace a bumper cover any more,” one shop manager said. “Those jobs have mostly gone away. There’s electronics involved with almost every part now.”

CCC data shows labor hours produced per day for DRP claims has been declining since 2017

like never before, and spending way too much time shuffling cars around in the shop and back lot.” Two other collision repairers said they think the decline is only

Still another had what he acknowledged was just a theory. “A lot of CCC’s data reflects only DRP claims,” he said. “Many of the top independent shops have

cut way back or eliminated DRP agreements in recent years, like we have. Not to knock the big MSOs, but even some people I know who work at them say they’re not as productive as shops with an owner on-site. They can help contain costs, but it’s not usually through better productivity. I think the CCC data reflects more DRP claims going through those MSOs.” MSOs with 25 or more shop locations last year accounted for 43% of uploaded DRP appraisals, according to CCC, a percentage that has grown nearly four-fold since 2008. Whatever the cause, even CCC acknowledged labor hours produced per day isn’t likely to rebound soon. “With many repairers seeing repair volumes grow while still unable to find the technicians needed, we expect we will continue to see labor hours per repair day remain below where it was pre-pandemic,” Gotsch said.

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Concerns in 2022 options—are helping to lift costs. The distribution of repair cost dollars has changed little over the last 20+ years, the timeframe in which CCC tracked this information. In 2021, the increase in both the share of overall dollars spent on replacement parts and sublet/miscellaneous operations continued. The average price paid per replacement part had historically experienced only moderate increases at an aggregate level. However, supply chain issues in 2021 drove prices up sharply. At the close of 2021, the industry’s share of replacement part dollars was split at 64.4% OEM versus 35.6% non-OEM. Between 2001 and 2021, the average number of replacement parts per non-comprehensive appraisals increased from 5.1 parts to 9.1 parts for driveable vehicles; from 18 parts to 22.3 parts for non-driveable vehicles; and from 8.0 parts to 12.1 parts for the combined driveable and non-driveable claims.

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EagleMMS Software Soars to the Top of Auto Body Shops’ To-Do Lists After a highly productive brainstorming session, Yanni and Alex Two brothers were driving from sought to develop a lightweight, Connecticut to Maine, and they de- high impact solution to address the cided to spend the time brainstorm- disparity regarding stagnant insuring instead of playing 20 Questions ance rates and rising materials costs or the license plate game. to help business owners in their misIt’s a 4.5-hour trek, so to kill sion of providing excellent car care time they began talking about diffi- and customer service, without sacriculties in the auto body industry and ficing their bottom line. how it has lagged from a technologAfter nearly a year and a half ical perspective for many years. of intensive development, they That journey turned out to be were poised to offer the industry a highly productive for the Koutmos cutting-edge solution that can help brothers, Yanni and Alex, because shops reclaim lost revenue on items by the time they reached their des- and products they used on almost every repair. That car ride has turned into a product gaining traction and receiving five-star reviews nationwide. “We started out venting about the industry and all of the problems associated with it,” Yanni said. “The insurance companies are always going to be playing Brothers Yanni, pictured, and Alex Koutmos developed with labor rates and ignorEagleMMS, a software program that can help shops get ing things like inflation and paid for materials and other expenses related to every car supply chain issues. Their repair numbers are consistently tination, the pair had an idea for a outdated and arbitrary. The paint product that could help any collision companies have informed the shops repairer track consumables usage earlier this year that they’re going to and get paid for them by the insur- raise their prices significantly. ance companies. “In addition, it’s harder and They named it EagleMMS and harder to find qualified people to were excited about their new baby fix these vehicles and it’s more and and how it could change the colli- more difficult to recoup their costs for materials. We knew if we could sion repair industry. EagleMMS is a technology come up with software that could company committed to providing help shops to recoup their costs, it collision repairers with the insight would be a hit.” Yanni’s mantra is “If something needed to run at peak efficiency. From family-owned independent comes into your shop and it costs shops all the way to large MSOs, you money, it should always make EagleMMS is a materials manage- you money on the way out,” he said. ment software saving shops thou“Too many shops have gotten sands of dollars month after month. used to not charging for things, so Yanni is a seven-year veteran of we’re re-educating them. Once they the auto body industry, having spent see how much they can recover, they nearly one year as a certified appraiser realize how much money has been from the insurance side and six years bleeding out of their businesses for as a frame tech and master body man. literally decades.” Alex is a former Amazon softBy creating precise documentaware engineer, currently one of the tion that clearly states the products leading experts in the Elixir pro- being used down to each piece of gramming language community, and sandpaper and every ounce of rubhas spent more than a decade devel- berized undercoating, for example, oping reliable and robust software EagleMMS is also educating the insurers. systems. by Ed Attanasio

36 MAY 2022 AUTOBODY NEWS / autobodynews.com

“The system builds an invoice and as the tech scans every QR code, it goes into the document,” Yanni said. “Every product you use is invoiceable and once your people become familiar with that concept,

By building a comprehensive and detailed invoice on every repair, EagleMMS is saving shops thousands of dollars every month

it becomes part of their daily lives. Then once you get the insurance company onboard, they will normally stop fighting you.” Simple is one of the best adjectives to describe EagleMMS, Yanni said.

“Getting started with EagleMMS is easy and straightforward. After adding all of the materials that you want to track into EagleMMS, you’ll be able to generate QR code tags to put near your materials. With your QR tags in place, all your technicians need to do is scan a QR tag,” he said. “Technicians scan the needed material QR tag and then provide checkout details. The technician selects the repair order and the quantity used, and it’s immediately added to the invoice. After the scan is completed, the repair order invoice is automatically updated. All that’s left to do is submit the shop’s EagleMMS invoices in order to get adequately reimbursed.” In addition to providing accurate repair order material usage invoices, EagleMMS also enables users to manage all aspects of material management from the shop floor. “Technicians can report low or out of inventory items, so that your parts people can order more inventory before running out,” Alex said. “You can also analyze your data to See EagleMMS Software, Page 41

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Catalytic Converters and Insurance Minimums Lead List of Introduced California Bills by Ed Attanasio

Every spring, CAA’s lobbyist, Jack Molodanof, has a huge job ahead of him, as he sifts through new legislative bills— more than 2,200 were introduced this year alone, not including the carry-over legislation from last year’s two-year bills. Many bills introduced so far are “spot bills,” meaning they are placeholders to be amended later. These bills will start making their way through the legislative process within the next several months. As the session moves forward, Molodanof will continually monitor the bills, including amendments that will be added to the list. Here are summaries of the bills currently on CAA’s radar. Ten bills have been introduced this year to address the catalytic converter theft issue. AB 1622: Would require smog shops to provide signs informing customers about strategies for deterring converter theft, including etching of identifying information on the converter. SB 919: Would focus on the crime of catalytic converter theft in three ways: New and used motor vehicle dealers would be required to permanently mark the VIN on the catalytic converter of any vehicle before they sell it. Metal recyclers would only be allowed to buy catalytic converters that have a clearly visible and untampered VIN on it, and they would have to keep detailed records of who sold them each specific catalytic converter and make those records accessible to law enforcement. The bill will require sales documentation and a VIN on the catalytic converters as well as increasing fines, intended to discourage theft. AB 1659: Revises the definition of auto dismantler to include a person who keeps or maintains two or more used converters not attached to a motor vehicle. AB 1740: Requires core recyclers who accept converters to maintain specified written records. AB 1984: A peace officer need not have actual knowledge that converter is stolen to establish probable

cause for arrest. AB 2398: Possession of detached converter would be a crime, either a misdemeanor or felony. AB 2407: “Spot bill,” meaning it’s a placeholder for legislation relating to theft of converters. AB 2682/SB 919: Prohibits a dealer from selling a vehicle unless converter has been engraved, etched or permanently marked with VIN. SB 986: Requires core recyclers who accept converters to maintain specified written records and prohibits a dealer from selling a vehicle unless converter has been engraved, etched or permanently marked with VIN. SB 1087: Requires core recyclers who accept converters to maintain specified written records and prohibits any person from purchasing used converter other than a dismantler or auto repair dealer. A catalytic converter is a smog-control device that first appeared on vehicles in 1975. Stolen catalytic converters can bring a thief up to $250, yet cost the motorist up to $4,000 to replace, according to a report by the California Bureau of Automotive Repair, presented by Terry O’Neil during an Engineering and Research Branch BAR Advisory Group Meeting last October. In February, there were approximately 1,600 converter thefts in California alone. Theft of an under-vehicle converter takes only minutes with basic tools such as a pipe wrench or a cordless Sawzall. Toyotas and Hondas are targeted because they are commonly certified as super low emission vehicles and their converters are coated with precious metals, such as rhodium, which has a value of more than $14,000 per ounce. “It’s become a major deal, and thieves are getting brazen about stealing catalytic converters because they can make a lot of money quickly,” Molodanof said. “One of the bills (AB1659) states that a body shop, for example, can’t keep or maintain two or more used catalytic converters in their facility or the shop would need to be licensed as an automobile dismantler, which we think is not reasonable. So, we will certainly be attempting to work with the author and

38 MAY 2022 AUTOBODY NEWS / autobodynews.com

get an exception on that one.” CAA’s Chairman of the Legislative Committee Monte Etherton weighed in on the proposed legislation.

Catalytic converters are the subject of several proposed bills this year and CAA lobbyist Jack Molodanof is on the job to decipher this legislation for the members of CAA and the collision repair industry in California as a whole.

“Our shop is next door to a muffler shop and lately it seems we are ‘hearing’ a lot more cars being unloaded off the tow truck—cars that have had their exhaust cut and the catalytic converter stolen,” Etherton said. “I don’t know what the solution

is, but it seems the vehicle manufacturers should have thought of this and designed a theft-proof catalytic converter—maybe they’re working on it now. Many years ago, there were problems with stereos being stolen and the manufacturers pretty much made those theft-proof. “Aftermarket catalytic converter anti-theft devices are available— Google it—but most people won’t take that preventative measure until they get them stolen the first time,” Etherton said. “Maybe insurers should offer some incentive to car owners who add theft protection. Making stricter laws is great, but as long as thieves have an easy target and an outlet to sell their stolen goods, legislation alone is not going solve the problem.” Another significant bill that can impact the collision repair industry is SB 1107. This bill, among other things, would increase the amount of liability insurance coverage an owner of vehicle is required to maintain from the current $15,000 for single injury or death, $30,000 for injury

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or death of more than one person and $5,000 for property to $30,000, $60,000 and $25,000, respectively. According to Consumer Attorneys of California, California lawmakers took steps half a century ago to mandate minimum auto insurance coverage that protects innocent victims injured or killed by negligent, underinsured drivers. Approved in 1967, those minimums haven’t changed in 53 years. In 1967, the average price of a brand-new vehicle was $2,750 and the annual cost of an individual’s health care was just over $250. Today, the average new vehicle sells for more than $37,000 and the annual cost for health care has risen to over $11,000 per person. Emergency room visits start at $3,300. One report shows the average bodily injury claim after a car accident is approximately $16,000. After inflation, the 1967 minimum requirements would be $117,000/$234,000/$39,000. The state’s auto financial responsibility law was put in place to enforce personal responsibility. If you are injured in a collision by an-

other driver, the at-fault motorist’s insurance is supposed to protect you, your passengers and your property. But the current minimum limits in California are dangerously low. Victims of underinsured motorists can be sent spinning toward financial peril—on the hook for hospital bills, doctor visits, surgeries, rehabilitation, lost wages and vehicle repairs. “Inflation has eroded the value of the current minimum limits to low levels. Our members have seen victims of underinsured motorists placed into bad financial situations when they are unable to pay for vehicle repairs they thought were covered under the policy,” Molodanof said in a recent e-mail to CAA members. “Bringing our minimum liability limits into the 21st century would provide all California residents with a far better level of protection,” he said. “Many drivers today, unaware of the serious economic consequences of an accident resulting in injuries or damages, are under the false impression that simply carrying minimum auto insurance is enough. “To do right by California driv-

ers, we need to enhance auto insurance protection for all by increasing the state’s mandatory auto insurance minimums,” Molodanof said. “We need our drivers to be protected and this bill will do that.” Etherton said the bill is way overdue. “California’s current property damage minimum of $5,000 is outdated by decades,” he said. “Because the current minimum is so low, many California drivers are forced to purchase an additional ‘underinsured’ policy for their own protection, or not be fully insured themselves. The bad thing is that being ‘underinsured’ is legal! “We’ve had our share of customers who have been hit by ‘underinsured’ drivers, and they end up having their own insurance step in, or if they didn’t buy the additional coverage, pay out of pocket,” Etherton said. “We’ve been stuck more than once when the insurer failed to tell us of the limit and the combined repair and rental bills ended up being more than coverage allowed. Anyone who reads the fact sheet the supporters have put together, or reads the legis-

lation, would agree this needs to get done. It’s about time!” Since 2007, more than a dozen states have recognized the need to modernize their auto insurance minimums. Alabama, Illinois, Louisiana, Oregon, South Carolina and Ohio have all had recent increases. All but three other states have higher minimums than California. Alaska and Maine are atop the list, with California, New Jersey, Pennsylvania and Florida ($10,000, $20,000, $10,000) at the bottom. Overall, a majority of states that raised their auto minimums between 2007 and 2015 saw a decrease in premiums. A majority also saw a decrease in the number of uninsured motorists on the road. Where limit increases boost premiums, one study estimates those changes would cost as little as a cup of coffee each month—a small price to pay compared to the devastating financial instability that can result from an accident with an underinsured driver. “To better protect Californians from undue and unfair financial burdens, and to preserve the integrity of our auto insurance financial respon-

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sibility laws, we must modernize our mandatory minimums to 30/60/25,” Molodanof said. “It is well past the time to increase these inadequate minimum requirements and make sure California citizens are protected. At the current low levels, California’s statutory minimums clearly fail that test. Not being properly insured puts all Californians at risk, especially our most vulnerable residents.” Other bills on the slate for 2022 deal with employees and the pandemic, recordkeeping for hazardous materials, career technical education, BAR regulations and vehicle safety inspections. AB 1993: Requires employers to require employees to show proof of that employee has been vaccinated against COVID-19. AB 1949: Provides for five days of employee bereavement leave. AB 2059: Requires suppliers that provide certain amounts of hazardous materials to maintain electronic records for at least five years. AB 2899: Relates to misbranded and banned hazardous substance hearing procedures. AB 2058: This bill requires ap-

plicants for career technical funding to additional report data on the number of pupils taking career technical education course. The governor’s budget includes funding for the Department of Toxic Substances Control (DTSC) to implement last year’s SB 158, which created a new hazardous waste oversight board and the subsequent increase in hazardous waste fees. BAR is moving to implement last year’s AB 471 through regulations, which include an informal appeal process for citations, creating an independent three-member panel to hear citation appeals, remedial training and provider certification, storage fee clarification and vehicle safety inspection program. BAR is prioritizing the regulation packages and planning for more frequent workshops in 2022. BAR is proposing citation and fine regulations which would provide the BAR the ability to issue citations and fines to auto repair facilities, up to $5,000 per citation. The BAR has held three workshops on these proposed regulations. Due to the passage of AB 471,

the regulations will include the ability for shops to informally appeal citations before an independent panel and the option to take remedial training to prevent the citation from being posted on the BAR website. Concerns have been raised that any citations and fines issued must be based on objective and fair and reasonable guidelines. The BAR is working to address concerns raised by the industry. BAR is also working on a vehicle safety inspection program which will combine the current brake and lamp inspection and expand the vehicle inspection requirements. BAR is reaching out to stakeholders for feedback on what additional inspections should be inspected as part of the inspection program. Go here for a questionnaire. https://www.aftermarketmatters. com/regions/northern-california/ bar-launches-vehicle-safety-inspection-program-questionnaire/

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EagleMMS Software find out which materials are being used, by whom and at what rate, in order to better optimize your production process.” EagleMMS is web-based and does not require any cumbersome mobile or desktop applications. Techs can access their shop’s information and perform the job right from their phone. Another benefit is EagleMMS is not tied to any particular material manufacturer or supplier. “When we designed EagleMMS, a critical objective was to have a product that was extremely fast and streamlined,” Yanni said. “That’s why it takes less than five seconds—start to finish—to add material usages to repair orders. We’ve also made it very affordable with a monthly subscription of $49 and an optional $499 one-time setup fee if customers choose to have us set up their inventory and print their QR code tags and technician QR tag binders.”

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Dingle Family Continues Journey with Their Recycled Ride “It was so miraculous, I still can’t believe it happened even now,” As part of Autobody News’ “After Dingle said. “The people at Mike’s the Donation” series, we focus on Auto Body and the Rose family are families, individuals and nonprofit incredible, because they make their organizations who give away cars benevolence program a priority evthrough NABC’s Recycled Rides ery year. After receiving these blessings, I realized that I now have a reProgram. Mike’s Auto Body is a leader sponsibility to help others—to pay it when it comes to philanthropy, and forward.” Since receiving the vehicle, nationally known for giving people a hand up as opposed to a hand out April and Eugene Dingle have been through its Benvolence Program. In doing everything they can to give December, the California Bay Area back to their community, and their MSO, owned by the Rose family, Nissan Versa has played a signifigave four families “nearly new” cant role in their journey. “Back then, I was the chaplain completely refurbished cars—bringing its total number of donations to assistant at Moffett Field in Sunny100. vale, CA, so I had a 1.5-hour commute from our home in Suisun City,” Eugene said. “I was also studying to become a chaplain at Gateway Seminary in Fremont, and running the religious education programs at Travis Air Force Base at the same time.” In December 2018, Eugene transferred to MaryThe Dingle family is still driving the 2013 Nissan Versa land to join the 175th War they received in 2015 as part of Mike’s Auto Body’s Field Wing in Middle RivBenevolence Program er. He now proudly wears Many of these recipients have two hats—one as an active member decided to pay the benevolence for- of the Air Force and another as an ward and help others in need, and assistant chaplain. It’s a role he loves the Dingle family is a prime exam- because it allows him to help people ple of the power of giving. as they navigate through their lives In November 2015, Mike’s in the military. Auto Body presented a 2013 Nis“It can be a stressful existence san Versa to Staff Sgt. Eugene Din- and a lot of what I do involves crigle from Travis Air Force Base and sis management,” Eugene said. “I his wife April as part of its annual offer the men and women I help presentation on Veterans Day at the with 100% confidentiality, which company’s Fairfield, CA, location. is something they appreciate. We At the time, Eugene was a do everything we can to keep these member of the 60th AMXS Squad- people in the Air Force and this can ron and had to commute to and from be a very stressful job, but the rehis assignment at Moffett Air Base wards are many.” as well as get his children to and When Mike’s Auto Body gives from school. Thanks to their com- anyone a vehicle, they first re-conpletely refurbished vehicle from dition every part of the car. With Mike’s Auto Body, the Dingle fami- 112,000 miles now on the Dingles’ ly was able to function normally. 2013 Nissan Versa, the vehicle is In addition, the Rose family still going strong after a few treks gave the Dingle family one year of that tested its ability to go the disinsurance coverage and a trunk full tance. of gifts for the children. “When we moved to Maryland, Eugene said he couldn’t stop we drove there with the Versa and a smiling when he first saw his 2013 van that we purchased. It was a little Nissan Versa for the first time six scary with my wife, the kids and a years ago. dog and it was wintertime,” Eugene by Ed Attanasio

44 MAY 2022 AUTOBODY NEWS / autobodynews.com

said. “My friends told us take the southern route to avoid the snow and the mountains, and that was good advice. It took us six days to get there.” Before moving to Maryland, Eugene and April donated their time generously to Mike’s Auto Body, which included walking in the Veterans Day Parade in Fairfield, CA. In addition, Eugene did the invocation at the Veterans Day presentation and April sang the National Anthem at the 2016 Christmas presentation in Antioch. “We feel like we’re part of the family at Mike’s Auto Body now. Sal Contreras and the Rose family have been wonderful to us,” April said. “We’ve become good friends with the people at Mike’s—they’re truly special!” The car now gets Eugene to and from his job—another 1.5-hour commute—while April uses the van to transport her children to their activities. “The car is a workhorse and we wouldn’t be in the position we are

now without it,” Eugene said. “One of my daughters, Ariel, is now playing competitive basketball and volleyball, and we are also taking care of our parents who live in Washington, D.C. My father Lovair is 85 [former Air Force]; and we are also taking care of my wife’s parents [David, 78, and Carlisle, 76]. The car gets us to where they live, so we can take them to our appointments, etc.” One random and wonderful event happened as a result of the benevolence car, Eugene said. “Our little pug named Bishop was an escape artist and one day he ran off and we figured we’d never see him again,” he said. “But, because of the media coverage we got through Recycled Rides and Mike’s Benevolence Program, a veterinarian all the way in New Jersey knew my name when they found Bishop and scanned his microchip. We didn’t update the contact information, so if they hadn’t known our name from the press coverage, we would have never been reunited with Bishop!”

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New Standardized Independent Adjuster Competency Exam Announced by Ed Attanasio

When an adjuster walks into your auto body shop to write an estimate, the decisions they make can affect the repair from start to finish. If your number and their number don’t agree, it can lead to an avalanche of supplements and potentially open up a tug-of-war between you and the insurer. How qualified is the adjuster and can you rely on their assess-

its kind in the independent claims industry. Adjuster Score will provide secure, fully proctored multiple choice and practical claims testing for new and experienced property and auto adjusters. The exams will test key competencies including but not limited to basic computer skills, policy knowledge and application, estimating knowledge and application, building construction and vehicle knowledge, damage identi-

“We want IA firms to be able to assess an applicant at a glance—similar to a credit score or a standardized test score like the SAT or LSAT,” — Chris Stanley ment of the vehicle in question? A test score could help shops strip out a lot of question marks across the board, and be confident of an accurate sheet. AdjusterTV.com and IAPath. com have partnered to create a new company, Adjuster Score, offering a standardized independent adjuster core competency exam, the first of

Farmers Insurance Wins NABC Award The National Auto Body Council (NABC) President’s Award is designed to honor the NABC member company that supports the vision of the NABC through donation of its time and resources. For 2021, the NABC President’s Award was presented to Farmers Insurance, selected by a vote of the NABC Board members. The Farmers Insurance nomination received overwhelming support from the NABC Board based on Farmers strong commitment to the NABC. Throughout 2021, Farmers Insurance assisted with the gifting of nearly 30 NABC Recycled Rides vehicles, and provided its staff with the time and resources to act as chairman of the NABC Fundraising committee and support NABC activities.In addition to presenting Farmers with the NABC Presidents Award, the NABC will make contributions to two organizations in the recipient’s honor— one selected by NABC and one by Farmers. Source: NABC

fication and customer service skills. “It’s important that we test applicants not only on how well they can build a diagram in the estimating software, but also how well they can use that software in the context of a claim,” said Mathew Allen, Adjuster Score co-founder and owner of AdjusterTV.com. “We feel that Adjuster Score

scratches several important itches in the claims industry,” Allen said. “It will provide adjusters with a narrow roadmap for building their skills and equipment, and will calibrate third-party adjuster training companies to the skills that firms and carriers need new adjusters to have. It will also provide IA firms with an objective measure of an adjuster’s skills, knowledge and equipment.” “We want IA firms to be able to assess an applicant at a glance— similar to a credit score or a standardized test score like the SAT or LSAT,” said Chris Stanley, co-founder of Adjuster Score and owner of IAPath.com. A user’s Adjuster Score will have an aggregate total score that is then broken down into specific scores for soft skills, technical skills and policy skills, among others. In addition, adjusters will be able to gain points every time they get a new license, certification or important piece of equipment. This will help firms and carriers to know who’s ready to deploy. Adjuster Score is rapidly gain-

ing traction with insurance companies and the collision repair industry, as well as with both fledgling and veteran adjusters. Insurance claims adjusters play a vital role in the insurance industry. They are often called upon to conduct interviews, study police reports and inspect damages, among other duties. It can be a fast-paced career that has its financial rewards, and there are a number of different areas an insurance claim adjuster can work in. But education and licensing requirements vary state to state, so without a standardized national test, no one can quantify someone’s skillset definitively. A test levels the playing field and offers a number everyone can use to measure and compare, as well as offering that much-needed peace of mind to insurance companies and consumers alike.

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EV Operating Costs Appear Much More Appealing as Gas Prices Soar: Report by Steven Loveday, InsideEVs

According to a new analysis by the Zero Emission Transportation Association (ZETA), electric cars are saving owners money, attributed to operating costs, which comes as no surprise. To be clear, the general idea here is not news. We’ve shared comparisons time and time again showing how an electric car can be cheaper to own than a similar gas-powered car once you factor in long-term ownership costs. EVs are much more expensive up front, though they tend to save owners money on fuel and maintenance over the years. If this wasn’t already provable in a growing number of cases, it’s becoming even more of a reality as gas prices soar. While electricity prices are also rising, they’ve remained relatively consistent over the years, with a more gradual rise. Meanwhile, gas prices have proven more volatile over time. Moreover, due in part to Russia’s invasion of Ukraine, oil prices have spiked to record highs, and gas prices are following suit.

“This month’s Consumer Price Index shows once again that gas prices are surging, which has been exacerbated by Putin’s invasion of Ukraine,” said ZETA Executive Director Joe Britton. “American families are losing money at the pump to a commodity that is increasingly unpredictable and unaffordable in an already-expensive pandemic year. Our analysis shows that American consumers don’t have to choose between driving their car or saving money. Electric vehicles are affordable now.” Note that “affordable” is highly subjective here. Just because a family can potentially save money over time by choosing an EV over a gas car doesn’t mean it will prove true in all cases. In addition, if a car shopper simply can’t afford the upfront cost of an EV, they won’t be able to take advantage of the potential opportunity. Finally, even with high gas prices, it almost always makes sense to keep the car you already own, especially if there aren’t major issues with it. Buying a new car right now

when inventory is scarce and prices are high may not be the best plan. At any rate, ZETA put together a report comparing the operating costs of electric cars versus gas-powered cars. We’ll say right up front these studies should always be taken with a grain of salt, though they do paint an interesting picture of the situation as it’s unfolding. Reports such as this typically rely on a small data set, and there are an immense amount of factors and variables involved. ZETA used three of the most popular gas-powered vehicles. It looked at a select number of U.S. states and aimed to compare the operating cost of the gas-powered vehicles to that of similar EV models. ZETA claims its research suggests, unlike gasoline prices, EV charging costs aren’t “dependent on global oil markets—and are therefore not subject to the same price shocks, disruptions and supply shortages.” “Instead, EVs run on electricity, which is cheaper than gasoline and is produced domestically from increasingly renewable and locally derived resources,” Britton said. “As Congress moves forward to pass

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new transformative clean energy investments to electrify the transportation sector and bolster domestic auto manufacturing, EVs’ sticker prices and total cost of ownership will only continue to come down, paving the way for electric vehicles to become the new—and affordable—normal in the United States.” Based on the details in the study, ZETA suggests, as of March, driving an electric car is significantly less expensive than a gas-powered equivalent. The EV advocacy group goes so far as to say “EVs are three to five times cheaper to drive per mile than gas-powered vehicles.” It added in some states, the savings appear to be even higher. ZETA mentioned earlier data from Consumer Reports that claimed EV owners were saving between $6,000 and $10,000 over the lifespan of the car as compared to gas-powered vehicles. That report was published in late 2020, when average U.S. gas prices were much lower than they are today, though several more expensive EVs have also come to market since then, and electricity prices have risen slightly.

San Bernardino (909) 888-8686 (909) 571-5483 Fax Mon.-Fri. 7:30-7; Sat 7:30-5 parts@subarusb.com www.sbsubaru.com

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autobodynews.com / MAY 2022 AUTOBODY NEWS 47


‘Who Pays for What?’ Survey Shows More Auto Body Shops Billing, Being Paid for Masking During Priming

1Collision, Auto Techcelerators Partner

The percentage of auto body shops saying they are paid regularly by the eight largest auto insurers for the labor involved in masking prior to applying primer has grown significantly since 2015, according to the “Who Pays for What?” survey series. Seven years ago, fewer than one in four shops (24%) said they were paid “always” or “most of the time” when masking was required as part of the priming process. In January of this year, that had grown to 45%, a figure that has been consistent for three years in a row. Perhaps just as significantly, the percentage of shops saying they have never billed for the procedure has fallen from about 39% in 2016 to just 25% today. While the surveys ask specifically about billing for the labor involved in the procedure, Mike Anderson of Collision Advice is concerned some collision repair businesses may not be sufficiently considering the costs for the materials involved.

presented. Anderson said the survey, which has been streamlined to take less than 15 minutes, can be completed by anyone in a shop familiar with the shop’s billing practices and the payment practices of at least some of the largest national insurers. Each shop’s individual responses are held in the strictest confidence; only aggregated data is released. The results of previous surveys are also available online at https://www.crashnetwork.com/ collisionadvice Collision Advice (www.CollisionAdvice.com) is an independent training and consulting firm featuring some of the most respected and experienced experts in the collision repair industry. CRASH Network (www.CrashNetwork.com) is a subscription newsletter offering news and information not available from other industry sources.

1Collision and Auto Techcelerators, LLC have announced a partnership where Auto Techcelerators will provide consulting, software, mobile apps and training to help 1Collision affiliate locations open and operate ADAS service and calibration businesses. 1Collision affiliates will now have access to advice, training, software, mobile apps and other solutions that will help them launch and operate a profitable ADAS services and calibration business in their local markets. The agreement provides support for site identification and preparation, equipment selection, software and mobile apps that identify ADAS systems, components and required calibrations to managing their calibration businesses and documenting, invoicing and validating all aspects of the calibration process.

Source: CRASH Network

Source: 1Collision

“As inflation drives up the cost of shop supplies, it’s important for shops to review their billing practices,” said Anderson, who conducts the quarterly “Who Pays” surveys in conjunction with CRASH Network. “We see many shops billing for this masking procedure through their parts code tables as a body operation with a manual line for materials, and they are not capturing enough for materials. Shops should review this because it can vary based on the specific job.” The latest quarterly “Who Pays for What?” survey is now open through April. It focuses on “not-included” body labor operations. Shops can take the survey at: https://www.surveymonkey. com/r/76X7BMV Survey participants receive a free report with complete survey findings along with analysis and resources to help shops better understand and use the information

Porsche to Replace 1,000-Plus Cars Lost on Sunken Cargo Ship by Anthony Alaniz, Motor1.com

In February, the Felicity Ace, a cargo ship on its way from Germany to the U.S., caught fire before sinking March 1. It also took around 4,000 VW Group cars with it to the bottom of the ocean. Lamborghini had to restart Aventador production to replace the 15 cars it lost on the ship, and now Porsche has announced it plans to replace the more than 1,000 vehicles it lost too, according to a new Autocar report. Porsche CEO Oliver Blume relayed the news to reporters during the company’s annual results call. Blume said it is “up to us” to replace the vehicles, which won’t be an easy task as the brand faces significant supply chain issues and semiconductor shortages like the rest of the auto industry. Neither situation will help Porsche, though the company is hopeful. Blume added Porsche is “used to working with challenges over the last two years.” Blume didn’t provide a timeline for when customers would receive their replacement vehicles, nor did Blume specify the models lost. We know Lamborghini lost 15

Aventador Ultimae models, though the cargo ship was also transporting Urus SUVs and Huracan supercars. Lamborghini lost 85 vehicles in the incident. VW Group dealers began notifying affected customers in February, with estimates suggesting the lost cars were worth more than $401 million. Bentley, Audi and VW also lost vehicles on the ship. Audi has already announced it will build an extra 1,800 vehicles to compensate for the loss, while Bentley plans to replace half of the 189 vehicles it lost on the ship. Bentley plans to replace the other half of missing cars by the end of this year. There had been hopes that the ship was recoverable, with a large salvage vessel towing the cargo ship to a safer area; however, that didn’t happen. The ship’s extensive damage could not withstand rough weather, dooming the ship. The ship now rests two miles below the ocean’s surface in international waters. The incident happened 220 nautical miles off the coast of Portugal’s Azores Islands in the North Atlantic. It’s unclear who will salvage the ship now.

48 MAY 2022 AUTOBODY NEWS / autobodynews.com

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autobodynews.com / MAY 2022 AUTOBODY NEWS 49


CDK Global Supports ASE Foundation

See The Tesla Cybertruck’s Rear-Wheel Steering Feature in Action by Dan Mihalascu, InsideEVs

CDK Global has expanded its support of the ASE Education Foundation with a second donation of $20,000 to provide technician toolboxes to aspiring automotive students with a demonstrated need. This donation is in addition to the CDK donation announced earlier in March that will support the foundation’s diversity, equity and inclusion program. Data shows 94% of students who focus on a CTE (Career and Technical Education) course of study graduate from high school on time versus 86% for other high school students, a result that holds true in low-income areas as well. For those students to start their first job, they need the basic tools of the trade. Even with a student discount, sets of starter hand tools can cost $1,000 to $2,000, and this can discourage otherwise promising students from pursuing automotive service careers before they even get started. Source: ASE

The Cybertruck was definitely the star of Tesla’s Cyber Rodeo event held April 7 at Gigafactory Texas in Austin.

It even got some time on stage next to CEO Elon Musk after Franz von Holzhausen drove it up there in a moment that reminded everyone of the Cybertruck’s November 2019 launch. This time, Tesla’s design boss refrained from throwing any metal balls at the pickup’s windows, though. Cyber Rodeo attendees got to see some of the electric truck’s updated features, including the doors that no longer feature any handles, the retractable rear glass, the side view cameras located in

the plastic cladding around the front wheels, as well as a charging port on one of the fenders. Visitors also got a chance to look at the interior, but there was nothing to write home about as the prototype didn’t feature a production-ready cabin. For example, the yoke sourced from the Model S and Model X did not feature an airbag and many of the parts were not in final production spec. But there was something special some of the people who kept a close eye on the Cybertruck got to witness at one point: the rearwheel steering feature. While this wasn’t an extensive demo, a video from Cybertruck Owners Club clearly shows the Cybertruck prototype’s rear wheels turn in the opposite direction of the front wheels. This feature will obviously come in handy during low speed maneu-

vers, helping to shorten the pickup’s turning radius and therefore making parking maneuvers easier. Rear-wheel steering is a necessary feature on a vehicle with a longer wheelbase than the Ford F-150. We’ve seen the difference it makes in terms of maneuverability on a massive vehicle like the GMC Hummer EV, although it remains to be seen whether Tesla will go the extra mile and offer something similar to the CrabWalk feature. Musk first announced the Cybertruck’s rear-wheel steering feature last year on Twitter. During the grand opening of Tesla’s new factory in Austin, Musk confirmed production of the Cybertruck would begin there in 2023, likely at the beginning of the year. The electric pickup was originally supposed to enter production in late 2021 and was later postponed to late 2022. Here’s hoping we won’t see another delay and Tesla will start making the Cybertruck in early 2023.

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Improved Semiconductor Supply Drives Truck Market Share Gains for GM General Motors Co. sold 512,846 vehicles in the U.S. in the first quarter of 2022, with improved semiconductor supplies supporting higher production and market share in key truck segments. “Our ability to meet pent-up demand improved dramatically thanks to a tremendous effort by our supply chain and manufacturing teams to keep our plants operating at close to normal levels,” said Steve Carlisle, executive vice president and president, GM North America. “Supply chain disruptions are not fully behind us, but we expect to continue outperforming 2021 production levels, especially in the second half of the year.” According to GM Chief Economist Elaine Buckberg, industry light vehicle volumes will grow this year and top 2021 levels, thanks to a strong labor market, higher vehicle production and pent-up demand. “Ordinarily, a U.S. economy this strong would translate into light vehicle sales in the 17 million range,” she said. “Improvements in the supply chain should lift auto sales as the year progresses, despite headwinds from higher inflation and fuel prices.”

GM estimates total light vehicle SAAR for the first quarter was 14.1 million, down from 16.8 million a year ago, due to lower inventory and production levels. GM deliveries in the first quarter were down 20% from a year ago, but they were up 16% from the fourth quarter. GM’s production in North America has increased sequentially each quarter since the end of September 2021, and the company ended the first quarter with 273,760 vehicles in dealer inventory, including in-transit units, which are rising. Inventories were 128,757 units at the end of the third quarter of 2021, and 199,662 at the end of the fourth quarter. GM expects inventory to remain relatively low throughout the year due to high demand. GM’s performance, along with a more stable operating environment, has already translated into market share gains for GM in key truck segments: The combined retail market share of the Chevrolet Silverado HD and GMC Sierra HD pickups was a segment-leading 41.5% during the first quarter, according to J.D. Power PIN— up more than 10 percentage points from a year ago and GM’s strongest

quarter in HD retail market share in over a decade. The Chevrolet Silverado 1500 and GMC Sierra 1500 also led their segment during the quarter, with combined retail market share of nearly 42%, up 2.6 points year over year, according to J.D. Power PIN. The combined retail market share of the Chevrolet Tahoe, Chevrolet Suburban and GMC Yukon and Yukon XL reached 69% during the first quarter, up 5 points year over year. GM’s sales in the segment were up 10%. The Cadillac Escalade had its best first quarter since 2007, with a 7% sales increase. In another sign of robust economic growth, commercial customers have been upgrading and expanding their fleets. GM delivered its best commercial sales quarter in nearly three years with sales velocity at the end of the quarter reaching a 15-year high. In the commercial market, sales of full-size pickups were up 5%, compact SUVs up 131% and mid-size pickups up 23%. Total first-quarter deliveries of the Chevrolet Low Cab Forward were up 48% compared to a year ago. The

GM to Expedite Hummer EV Production as Reservations Increase to 65,000

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Chevrolet Silverado medium duty line, which is a popular choice for upfitters, was up 23%. Fleet sales, which were 24% of GM total sales in the first quarter, grew 10% year over year, with commercial and government deliveries up 14% and 18%, respectively. Chevrolet Tahoe sales to government customers increased 243%. The first quarter saw GM reach several milestones as the company scales EV capacity in North America to more than 1 million units by the end of 2025. GMC’s launch of the HUMMER EV is going according to plan, with early production focused on satisfying orders of the launch edition. Production of the Chevrolet Bolt EV and Bolt EUV will resume April 4. Chevrolet dealers continue to repair customer vehicles and recently resumed deliveries of some completed Bolt EV and Bolt EUVs in inventory. Production of the Cadillac LYRIQ began March 21, nine months ahead of the company’s original target. Cadillac will begin taking orders for future editions May 19. Source: GM

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General Motors is expediting GMC Hummer EV production after receiving more than 65,000 reservations. “Production’s actually slightly ahead of plan, and we’re putting things in place now to actually expedite that as well, so we can deliver these reservations quicker than we originally thought. We’re seeing momentum building,” Duncan Aldred, GMC’s global vice president, told CNBC. He also said GMC Hummer EV reservations had exceeded expectations. Once again, the demand for electric vehicles remains strong. Ford was in a similar situation with the Mustang Mach-E. Aldred said about 95% of people are converting their Hummer EV reservations into orders, a much higher number than GM expected. Unfortunately, he estimated the company will not be able to fulfill new Hummer EV pickup orders until 2024. Meanwhile, the Hummer EV SUV is expected to arrive in 2023. “What we’re looking at now is how can we build the maximum

amount and how can we deliver, fulfill these reservations as quickly as possible? We’re doing all the studies on that, and we’re confident we can go a lot quicker than we originally thought, but it still means a reservation now probably means delivering in ’24,” said Aldred. GM has invested billions in transitioning from an internal combustion engine producer to an electric vehicle manufacturer. The legacy automaker plans to build most of its EVs at Michigan’s Orion and Factory ZERO facilities. The Orion plant is expected to produce up to 360,000 EVs per year by 2025, while Factory Zero could make up to 270,000 units by mid-decade. GM unveiled the Hummer EV SUV after the pickup version. Megan Hart, assistant marketing manager for the Hummer EV, noted newer reservations seemed evenly split between the SUV and pickup truck versions. In December 2021, GMC announced Factory ZERO had already produced the first 2022 Hummer EV pickup trucks. The announcement kicked off customer deliveries.

autobodynews.com / MAY 2022 AUTOBODY NEWS 51


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