Q&A

with NCDA’s New Board Chair: Peter Heppner “As a BC association, government relations must remain a top priority.” Q&A

Signals: What motivated you to serve on the NCDA board and become the chairman? Peter Heppner: I believe strongly in the value of the collective voice of our dealer associations. Whether it be to various levels of government, manufacturers or the public, dealers have more in common than we have differences. We need to stand together and be heard. Given our meaningful economic contribution and dedication to our communities as employers and community partners, it is my view that our opinions and corporate wellbeing matter.

S: Tell us one thing about the work and value of the association that most dealers aren’t aware of. PH: I can’t think of a better example of the value of dealer associations—provincial or national—than the present challenges of the COVID-19 pandemic. Our associations’ ability to communicate with government in a meaningful way has made all the difference to many new car dealers. Early on in this crisis, the amount of information coming at a business owner was overwhelming. The regular updates from both the NCDA and CADA, for me, quickly became the most trustworthy source of critical information. I applaud both organizations on a job very well done.

S: What are your top priorities for the association over the next year of your term as chairman? Share what you are hoping to accomplish at the NCDA on behalf of BC’s New Car Dealers. PH: We have very important work to be done in the next couple of years. First and foremost, we are well on our way to enjoying greater participation by our dealer members in their association. Over the last couple of years, we have transitioned to a largely new Board of Directors with fresh ideas and enthusiasm. We are very well represented regionally. Newly established term limits for board members and a planned rotation of the executive ensure that serving is not a life sentence but rather a short-term and hopefully rewarding experience. Every dealer should take their turn—can we count on you?

Other work of note: 1. With the postponement of the 2020 Vancouver International

Auto Show, and the fate of the 2021 show uncertain, our financial wellbeing must be carefully planned for. Our budget has been thoroughly reviewed by our Finance and Audit Committee. Each source of association revenue has been identified as a business unit capable of contributing to the overall operation.

Related expenses have been right-sized to the business-unit revenue. The goal was to reach an operating plan that most importantly allows our core member services to continue indefinitely without reaching further into cash reserves. We have achieved this goal, and the budget was unanimously approved by the board at our virtual meeting of September 24. Unfortunately, due to the catastrophic financial loss of the last minute cancellation of the 2020 auto show, we will have to increase membership dues for 2021 just to break even. We ask for your support and understanding during this most difficult time. Further details will follow. 2. Government relations: as a BC association, this must remain a top priority. Whether it be taxes, employment law, the VSA,

ICBC, WorkSafeBC, or other matters, we all face the same concerns and issues. Our interests must be prominently and fairly represented. 3. Continued dialogue with manufacturers for future auto shows— do we need to change? How do we go forward? 4. Having secured the approval of our budget and mandate from our board, we will now assemble our sub-committees, and action plans will be prepared and executed.

S: How do you see the industry changing over the next few years? PH: Clearly, industry disruptors are challenging our business model like never before. This is nothing new. I believe that we as dealers are a most necessary conduit between the manufacturer and the consumer. We will, of course, have to embrace new ways of doing things and follow consumer wishes in terms of how we communicate and transact. Those that do should have a bright future.

S: What are the greatest challenges you see ahead for BC New Car Dealers? And for the NCDA? PH: There is a tremendous burden placed on employers in this province as of late. All the new taxes, minimum wage increases, etc. cannot simply be absorbed without increased revenues. Where will this come from? Commercial property values are soaring and property taxes along with them. At some point, the business model just doesn’t make sense. We must work together to educate government on the realities of our business model.