Page 1

Montana Automobile Dealers Association JANUARY 2017 NEWS BULLETIN

Montana Automobile JanuaryAssociation 2017 MTADA Updates Dealers Wow. It is hard to believe that another year has passed. I hope that it was good for you and that you are ready for 2017. I hate to inform you, but if you are not ready it is here anyway and with it comes the annual forecasting and planning that is always good as we look back over the past year and ahead with new opportunities and challenges that may come our way. It is my pleasure to serve as your president this year and would like to sincerely ask you to let me know if there is anything that the association or I can do for you to make your business more viable.

the session for consideration. We wish them the very best.

With that being said, the 2017 Legislative Session is ready to go and the MTADA Legislative Committee has two bills that are going to be presented. Senate Bill #108 will eliminate the option of the right of first refusal for the manufactures and Senate Bill #89 relates to wrongful termination in that a manufacturer must take into account the local market variations when it comes to required sales. The board has hired a lobbyist, Scott Reichner, to assist Bruce and the Legislative Committee with the task of presenting the bills to

I will try to keep you informed, throughout the year, of other items as they are scheduled.

Another offering from the MTADA is the Next Gen meetings that are made available to all next gens who are going Chuck Notbohm to be the future of our association. MTADA President Please take time to look into this program and contact Kelsey at the MTADA office for more information about the next meeting in Chico Hot Springs, March 6 & 7.

So as we look into 2017 and the first quarter with all its challenges from weather conditions to the demands from the manufacturer, may you take every opportunity to plan ahead and focus on what we can do and what we have control of not what we have no control of. n

Sign Up Today for NADA Headlines


If you would like to receive the NADA headlines, go to http://preferences.nada. org/Subscriptions/Headlines.aspx and subscribe to their newsletter.

Director’s Message


Retail Warranty Reimbursement p3 December Trivia


Legal Update


Next Gen Meetings

p6 and more!

Montana Automobile Dealers Association • 501 North Sanders • Helena Montana • 406.442.1233

Montana Automobile Dealers Association Montana Automobile Dealers Association


NADA’s Welch: Seize the Political Opportunity, Dealers must fight rising prices National Automobile Dealers Association President Peter Welch said it is critical to take advantage of a Republicanled government to reduce government regulations and keep annual new-vehicle sales growing. Welch, 63, speaking at the Automotive News World Congress last week, predicted annual U.S. new-vehicle sales will be between 16 million and 18 million for the next few years. But, he warned, “there will be serious challenges to all of us” to keep sales strong. One is the potential for rising prices, which would put vehicle ownership out of reach for many Americans, he said. Last year, the average price of a new vehicle was about $34,000. The average monthly new-car payment is $508 on a 68-month loan, he said. Factor in other, related expenses,

and it can cost a consumer about $750 a month to own a car, Welch said. “Over the past 20 years, the single biggest driver of vehicle price increases has been government regulations and mandates,” he said.

Don Kaltschmidt

NADA Director

Welch harkened back to 100 years ago, when a group of new-car dealers traveled to Washington and successfully opposed a proposed luxury tax on cars. That group gave rise to NADA. During the past century, Welch said, vehicles have become economic necessities and not luxury goods. Therefore, dealers must continue to fight to keep vehicles affordable for consumers. The risk is that lawmakers could impose more regulations, including a new luxury tax, and destroy consumers’ demand for vehicles. Continued on PAGE 8

IMAGINE... Paperless RO Process! DOCUMENT MANAGEMENT FOR AUTO DEALERS The “RO” Process at most dealerships is very paper intensive which creates a number of challenges. What if the RO process was paperless and the RO jacket was digital? What would that mean? - Use Digital Tablet to Create RO (No more Hard to Read ROs) - Faster RO Approvals with Digital Routing (Including Mobile) - Link Customer Accessory Orders with PO’s and Invoices - No More Scanning, Filing Cabinets or Paper RO Jackets! - More Pleasant Customer Experience & Faster Service

Call DocuWare - J&H, Inc. (800-923-8973) 2


Montana Automobile Dealers Association

Leveling the Playing Field Retail Warranty Reimbursement

Montana Automobile Dealers Association

By: Jordan Jankowski Managing Partner- Armatus Dealer Uplift

The factory-dealer relationship is anything but a level playing field, and unfortunately the behaviors of some manufacturers have necessitated state laws to protect dealers. These laws cover a myriad of issues, but one that is critical to your bottom line exists in 40 states, with more on the way. For years most dealers have submitted for annual increases to their warranty labor rate, but have been stuck with an artificially low parts mark-up stipulated in their dealer agreements. This mark-up is typically 40% over cost, although some manufacturers will pay you list or MSRP. By the way, don’t be fooled by the “list” claim you may hear; you are not collecting 67%, which is anecdotally thrown around by your factory rep, or by your managers – you are actually being paid a mark-up in the low to mid 50s. Based on favorable state laws, you are entitled to collect “retail” from your manufacturer for parts used in a warranty claim. No, retail is NOT list price or MSRP; in most cases it is clearly defined in the law. Basically, retail is what your customers pay you for a warranty-like repair. In a store with typical pricing and discounting practices, the mark-up normally falls in the 75% to 85% range. For dealers utilizing a list pricing model, you should expect something in the 60% range. So even in a conservative pricing Over 35 Years of environment, a dealer should expect Raising the Standard in to improve his warranty gross profit by 50%; however, something on the order of doubling the gross is very realistic. This is a one-time process, and does not need F&I Products to be repeated, unless you materially change your parts pricing strategy. Compliance Programs

This is not to say that the manufacturer will simply lie down and grant you a 100% improvement in your gross. First of all, the laws mandate a submission, and detail what is required of the dealer, Visit us at NADA but that’s just the beginning.

Automotive Training Academy Dealership Development Programs

Booth # 959Cin Several things need to be considered order to ensure the best possible result:

Thorough understanding of the law – Rest assured certain manufacturers will read the statute differently from you. Sometimes the positions they take are rather shocking, including those that

MasterTech Vehicle Protection Program®

Diamond Level – Compliance Training Platinum Level – F&I Training

800.967.3633 | www.AFASinc.com

Continued on PAGE 14



Montana Automobile Dealers Association Montana Automobile Dealers Association


MTADA has partnered with Armatus Dealer Uplift (Formerly Armada) to help Dealers receive full retail warranty reimbursement for parts and labor. It may be hard to believe but you could

add $80,000-$100,000 per store to your warranty parts gross profit without lifting a finger. Armatus does ALL THE WORK for you. Sound too good to be true? A Montana Dealer was able to add

over $500,000 per year to his bottom line in his 3 stores.

WHY YOU SHOULD CALL • Over 2,400 submissions approved Nationwide. • No upfront fees, we don’t get paid until you get paid. • Our proprietary software guarantees the best result.

FOR A NO OBLIGATION ESTIMATE OF YOUR GROSS PROFIT UPLIFT Contact us at: (888) 477-2228 or info@dealeruplift.com www.dealeruplift.com Armatus is the Exclusive Retail Warranty Reimbursement Partner of MTADA 4


Montana Automobile Dealers Association


Montana Automobile Dealers Association

Update On Service Writers Exemption From Overtime 9th CIRCUIT COURT OF APPEALS RULES SERVICE ADVISORS MUST BE PAID OVERTIME On remand from the Supreme Court, the 9th Circuit Court of Appeals held on January 9, 2017 in Navarro v. Encino Motorcars that service advisors do not fall within an exemption from the FLSA’s overtime-compensation requirement for “any salesman, partsman, or mechanic primarily engaged in . . . servicing automobiles” in part and reversed in part the district court’s dismissal of an action brought under the Fair Labor Standards Act against Encino Motorcars, reversing the dismissal of a federal claim for overtime compensation, and disagreeing with decisions holding that service writers were exempt from overtime pay requirements in the Fourth and Fifth Circuits. The panel held assuming that it must give no weight to the Secretary of Labor’s interpretation that service advisors were covered by the “any salesman” exemption. Felicia R. Reid, Hirschfeld Kraemer LLP, San Francisco, California and Douglas I. Greenhaus, NADA filed a brief and argued for Amici Curiae (friend of the Court) National Automobile Dealers Association and State


Automobile Dealers Associations for Alaska, Arizona, California, Hawaii, Idaho, Montana, Nevada, Oregon, and Washington State, the states that are included in the 9th Circuit and that are affected by the decision. The Court held that Congress enacted the FLSA in 1938 to “protect all covered R. J. “Jim” Sewell, Jr. workers from substandard wages and oppressive working hours.” To that end, MTADA General Counsel 29 U.S.C. § 206 imposes a minimum wage requirement, and § 207 requires the payment of overtime compensation for hours exceeding a standard workweek. The Court recognized that all workers are not covered by the Act and that Congress amended § 213(a) to exempt from both the minimum-wage and overtimecompensation requirements all employees of automobile dealerships. The Court went on to state that in 1966, Congress repealed § 213(a)(19) but added paragraph (b)(10). The new provision exempted only a salesman, partsman, or mechanic primarily engaged in selling or Continued on PAGE 13


Montana Automobile Dealers Association Montana Automobile Dealers Association


Next Generation Dealers Meeting Agenda March 6-7, 2017 – Chico Hot Springs

Monday, March 6th 5:30 PM: Meet at Chico Hot Springs Townsend Room for Welcome Reception and Dinner

Tuesday, March 7th 9AM-10AM: LAUREN BAILEY NADA Regulatory Affairs Lauren will speak about the new Trump Administration and what it means for regulations affecting franchised new car dealers. The election of President Donald Trump has ushered in changes for a wide range of federal laws and regulations. Dealers will be made aware of these changes and the new “sheriffs” in charge in the federal government and their new agendas. 10-11 AM: JOHN LUCKETT Senior Vice President Sales & Marketing The Warranty Group—Resource Agent Group/First Extended Luckett is an expert on dealer’s re-insurance and he will discuss how to create solutions that will improve your dealership’s bottom line. Luckett is a 31-year veteran John Luckett of the automotive industry. He joined First Extended in 1999 after spending 14 successful years in the retail segment. From single point family dealerships to multi location mega dealerships, Luckett has extensive retail management experience in every phase of variable and fixed operations. Starting out as a Regional Sales Manager at First Extended, he quickly moved up the ranks holding senior level positions not only with First Extended, but also with Resource Dealer Group. Luckett is currently responsible for overseeing Resource Agent Group/First Extended. He is the winner of several sales awards, sits on multiple industry advisory boards, and is an active participant on many industry event panel discussions.

11AM- 12PM: MAX ZANAN President of Total Dealer Compliance Zanan was a member of the panel at the most recent compliance summit in Las Vegas and is an expert on dealership compliance. Zanan will Max Zanan give an overview of compliance and its importance to the dayto-day operations. Zanan will discuss the following: Why dealers make great targets for Federal and State regulators, Lack of proper complaint resolution procedures triggers investigations, deceptive advertising, used car violations, payment packing, disparate impact and F&I products, along with ways to protect your dealership and improve customer satisfaction through effective compliance training. 12:00-12:30 LUNCH 12:30-1:00: MTADA LEGISLATIVE GOALS, UPCOMING EVENTS, AND ANNOUNCEMENTS. 1:00-2:30: BRAD OULDHOUSE Social Media For Businesses Brad Ouldhouse is a social media marketing strategist. In 2015, he founded Imaginbound Media, LLC, a social media marketing agency focusing specifically on small businesses in Montana to grow their bottom lines through the use of social networks like Facebook, Instagram, Twitter, Snapchat and Brad Ouldhouse many others. Brad will be speaking about one idea: How to transform your business into it’s own media company using social media. He will talk about each social networks strength, how they can be leveraged to tell stories, and ultimately be used as customer service tools. If you are running a business, these are actionable tactical strategies you can use right away to make an impact on your income! Bring your social media questions for the Q&A session, where you’ll receive the most value for your time spent! Follow Brad everywhere on ‘the socials’ as NextGenBizMan or check out www.imaginboundmedia.com 2:30- Closing Remarks



Montana Automobile Dealers Association

Do You Know How Much Your Upcoming Medical Procedure Will Cost?

Montana Automobile Dealers Association

Are you in the process of needing to schedule a medical procedure? Have you reached out to your healthcare provider (doctor or hospital) asking how much your procedure would cost, only to be told they are unable to give you an answer? If you have ran into either of these situations, there is an important piece of information you should know and that comes from Section 50-4-512 of the Montana Code Annotated 2013 Disclosures required of health care providers - which says upon request, you shall be provided an estimated charge for a health care service or course of treatment that exceeds $500.00. This estimate is to be provided within 10 days of the request in writing or electronically. By collecting cost information ahead of time, you will be more informed to understand what you’re out of pocket costs will be. Through contacting EBMS (the administrator of the MTADA health plan) at 1-800-777-3575 and working with a Customer Service Representative, you will know your benefits and what would be the allowable amount for the service. This information is not a guarantee of payment, as it is often difficult to predict the exact amount due to unforeseen conditions that may affect the exact procedure being performed. By being a wise consumer and asking questions ahead of time you may be able to compare prices and shop around – potentially saving significant out of pocket expenses you may have as well as keeping your future premium cost down. Below is exactly what is stated in the Montana Code Annotated 2013: 50-4-512. Disclosures required of health care providers. (1) Upon request of a patient or a patient’s agent, a health care provider, outpatient center for surgical services, clinic, or hospital shall provide the patient or the patient’s agent with its estimated charge for a health care service or course of treatment that exceeds $500. The estimate must be provided for a service that a patient is receiving or has been recommended to receive. The estimate must be provided at the time the service is scheduled or within 10 business days of the patient’s or agent’s request. (2) The patient or patient’s agent may request that the information required under this section be provided in writing or electronically. (3) The estimated charge: (a) must represent a good faith effort to provide accurate information to the patient or the patient’s agent; (b) is not a binding contract upon the parties; and (c) is not a guarantee that the estimated amount will be the charged amount or will account for unforeseen conditions. History: En. Sec. 3, Ch. 206, L. 2009. n

Check in, even when you’re out. As the only High Tech, High Touch DMS provider, Dealertrack operates in the cloud, enabling users to access key dealership metrics from any location on any device. Call 888.645.4058 or visit go.Dealertrack.com/DMSAnytime.



Montana Automobile Dealers Association Montana Automobile Dealers Association

Director’s Message CONTINUED FROM PAGE 1

The U.S. presidential election has “served up a unique opportunity” for dealers and NADA to act to protect consumers’ demand for and affordable access to new vehicles, Welch said. “I understand the reluctance in some quarters not to be seen as too eager to push the regulatory pendulum back in the other direction just because a Republican is soon to be in the White House,” Welch said. “But if demand is sapped four years from now because new-vehicle price points are no longer attainable for otherwise willing buyers,” he said, “we’re going to have much bigger problems on our hands than political optics.” n Source: Automotive News. January 16,2017- Jamie LaReau



Win a $20 Gift Card and a Chance to Win 4 Tickets to the Cat-Griz Game The answer to last month’s trivia question “In south central Montana is the city of Billings. It is nicknamed the “Magic City” because of its huge expansion in the 1880s due to what event?” is the Arrival of the Northern Pacific Rail Road. The Northern Pacific Railroad arrived in the area in 1882, with Billings being the western railhead. The city was named after Frederick H. Billings, the railroad’s president. In the 21st century, Billings has been the major trade center for not only much of Montana but also for parts of neighboring states, such as Wyoming and North Dakota. We did not have a correct answer to the December trivia question! Better luck in January, trivia buffs!! January Trivia Question: One of Montana’s many nicknames is “The Treasure State”, due to the large amounts of gold and silver that were mined there. But Yogo Gulch, in the Little Belt Mountains, is famous for producing another type of treasure, a gemstone that has long been identified with Montana. What gem is this? T:4.5”

As you can tell, doing right is kind of our thing. It’s why we’re a little obsessed with helping your dealership succeed. Okay, very obsessed.

December Trivia Contest

Submit your answers to kwandke@mtada. All correct responses to this month’s trivia question will be put in a drawing for a $20 Amazon Gift Card. The winners of the monthly trivia questions will be put in the drawing for the grand prize, four tickets to the Cat-Griz Game!! Good Luck!

©2017 14 Ally Financial Inc. Continued on PAGE



Montana Automobile Dealers Association MTADA WEBINAR

Retail Warranty Reimbursement— A 360 Degree View SESSION DESCRIPTION: Forty states allow for warranty claims to be reimbursed at “retail.” That’s where the simplicity ends, and the complexity begins. This session will define the opportunity, the challenges and solutions in an area that may just be one of the most misunderstood subjects in the retail automotive industry. This session will demystify the: ■■ True definition of retail (it’s not what the manufacturer tells you it is)

Montana Automobile Dealers Association

THANKS FOR YOUR SUPPORT! The Montana Auto Dealers would like to take this opportunity to thank our members for the hard work and support they have put into NADA memberships and NADA PAC (formerly the Dealers Election Action Committee, or DEAC) donations. Through NADA memberships, the MTADA was able to achieve a GOLD award. We couldn’t have done this without the tireless support of our members and donors. NADA PAC is NADA’s political action committee and represents the interests of all franchised dealers of new cars and trucks by supporting pro-dealer congressional candidates of both political parties. The MTADA would also like to send a special “thank you” to our President Club Members for their outstanding support of the NADA PAC in 2016: Denny Menholt Randy Point

■■ Complexity of the State Statutes

William P. Underriner

■■ Manufacturers’ submission protocols

William B. Underriner

■■ Process of Optimization

Joseph Billion

■■ Factory warranty managers’ techniques

Peder Billion

■■ Manufacturer push-back and resolution

Donald Kaltschmidt

Who is Armatus?: Armatus is the industry leader in this area, and now has over 2,400 approvals with 24 manufacturers in 40 states. The average Armatus Client gains an additional $80,000 – $100,000 in annual gross profits for each store. The Presentation will be given by Joe Jankowski, who serves as the Managing Partner of Armatus Dealer Uplift, a firm specializing in Retail Warranty Reimbursement submissions. Joe has been personally involved in the drafting of 6 retail warranty statutes, and is widely recognized as a subject matter expert in this highly technical arena. Previously, Joe spent more than 20 years as CFO, COO and CEO, of a large automotive group in Maryland. n


In order to be a Presidents Club Member, a dealer must donate a minimum of $2,500 per calendar year. NADA PAC plays an important role in shaping the rules and regulations that govern our industry. Our strength has come from both the monetary and grassroots support from members like you! By contributing to NADA PAC, you can ensure that your contribution goes towards electing candidates who are supportive of family‐owned new car and truck dealerships. NADA PAC provides our industry with the ability to be a stronger, more unified force in the political arena.


Montana Automobile Dealers Association Montana Automobile Dealers Association

Healthy Work Snack Options It’s that time of year again. We’re at the point in January when our New Year’s resolutions sometimes begin to slip. You know the story. If we committed to working out every day, it’s now maybe once each week. Our schedule of 20 push-ups per day has turned into 20 minutes of Netflix before we take a nap. Our goals tend to be shoved aside as we get back into our normal paces post-holidays. However, it’s never too late to get back to our goals, no matter the time of year. If healthy eating was a personal resolution, you can still get through your office hunger spurts without indulging in the stash of candy hidden in the unofficial work snack closet. All you need to do is go to the grocery store about once a week and set aside 15 minutes before bedtime to get your snacks ready for the next day! ■■ Keep a container of peanut butter in your desk drawer. Limit yourself to two tablespoons to keep this snack under 200 calories. It’s sweet, healthy, and hits the spot just when that 3 p.m. hunger pain strikes. ■■ Nibble on half a cup of cottage cheese with a banana. This snack is about 200 calories of wholesome goodness. ■■ Enjoy an apple! Slice it up or take a bite… and try it with that peanut butter you have hidden in your drawer! A medium apple is about 80 calories. ■■ Greek yogurt is sweet and has an extra dose of protein, too. In fact, a six-ounce container of Chobani Greek yogurt is 140 calories and has 14 grams of protein. ■■ Stay toasty on the cold, winter office days by warming up a half cup of oatmeal, which is about 150 calories. Don’t feel the urge to add sugar; just combine it with Greek yogurt. That bit of sweetness will do the trick! ■■ Two celery sticks is only about 15 calories. Have some fun by adding a tablespoon of peanut butter and a few raisins for a filling snack that’s less than 200 calories.


■■ Three ounces of turkey is close to 100 calories and just the boost you need to make it through that afternoon meeting. Measure your portions at home and only bring what you need for the day. It’s an easy, healthy, grab-and-go snack!

By Gillette Vaira, M.A.

Communications Manager EBMS, INC.

■■ Keep a bunch of bananas at your desk. Shop for them on Sunday, bring them to work on Monday, and have one ready for each day of the work week. One banana is about 100 calories. ■■ Peel and wash your hard-boiled eggs before you leave for the office, or do it on your break at work. One hardboiled egg is about 80 calories and will reenergize you for the remainder of your work day. Now you can skip the vending machine and walk right past those homemade treats in the breakroom. The healthy snacks you’ll have on hand will fit into your calorie budget, get you through the work day, and keep you on track so you really can keep your New Year’s resolution this year. n Sources: www.fitbit.com

Educating Your Members Begins with You The Montana Automobile Dealers Association has partnered with EBMS to provide you and your employees with a variety of resources to keep you physically and financially well on your journeys. So pass it on! Consider sharing this information with your employees so you can empower them to be their healthiest selves. After all, a healthy workforce means a healthy business.


Montana Automobile Dealers Association


Montana Automobile Dealers Association

Register Online Now at www.mtada.com/registration/

103rd Annual Family Convention AUGUST 25-26, 2017

Fairmont Hot Springs Resort | Anaconda, Montana

See the ldest World’s O e! Corvett



Montana Automobile Dealers Association Montana Automobile Dealers Association

Essentials of Pre-Owned Vehicle Sales Management APRIL 6-7, 2017 Holiday Inn Express, Helena MT: 3170 N Sanders St, Helena, MT 59602. Reference the MTADA to get the special Group Rate Before March 5th. Target Audience: All Pre-Owned Department Managers within the Retailer environment Course Objective This 2-day course helps as our clientele is becoming more demanding and with the ever-increasing pre-owned profit expectations, is course is a must for the modern pre-owned manager. Participants are guided through the process of leveraging what they learn by creating a “Guarantee of Action” plan that they complete during the course. The initial implementation of this “Guarantee of Action” occurs when they return to their dealership upon dealer approval. Day 1: a.m. - KPIs 1. Responsibilities of the Pre-Owned Vehicle Manager 2. Pre-Owned Financial Metrics – Understanding your inventory’s makeup and ROI 3. Key Performance Indicators – Departmental Basics Day 1: p.m. – The Deal 4. Pre-Owned Strategy 5. Sales Staff Management 6. Ways to Sell Pre-Owned 7. The Appraisal Process 8. CRM – Customer Relationship Management Day 2: a.m. - Inventory 9. Key Performance Indicators – Department Basics Phase 10. Categories of Inventory 11. Sourcing – Auction, Wholesalers, Trades, Service Lane 12. Appraisal Process & Best Practices 13. Lease Pull-Ahead End of Lease Processing (EOL) 14. Certified Pre-Owned 15. Trade Walk – Inventory Walk Day 2: p.m. - Inventory 16. Pre-Owned Vehicle Reconditioning 17. Developing and Executing Your Retail Pricing Policy 18. Vehicle Presentation – On Lot 19. Digital Marketing 20. On-Line Presentation 21. Digital Marketing Your Pre-Owned Vehicle Department Course Length – 2 Days *A “What to Bring” document will be forwarded to all participants so they may learn from, and better understand their own dealerships unique metrics. *This Class Will Be Offered to Neighboring States- Reserve Your Spot ASAP!* The first participant is $699, second is $499 and the third is $200. They have to be from the same dealership. If you’re interested in Attending: Call Kelsey at 406-422-1233 or Email at kwandke@mtada.com n






& C O M M U N I C AT I O N S

Showroom Signage & Interior Displays Event & Tradeshow Promotion n Direct Mail Customer Marketing & Collateral Advertising n Branding

Montana Automobile Dealers Association


WHEELS FOR YOU montanawheelsforyou.com





a car

your car





www.cinchdesign.com n easy@cinchdesign.com n 406.422.4838

Yo u r O n e - S t o p S o u r c e

LUBE DEF & LIFT Equipment





• User-friendly • Large vehicle photos • Compare multiple vehicles • Contact participating dealers FIND YOURS AT






Car dealers interested in participating on the #1 local vehicle search platform, please call 406-657-1228. 13

Montana Automobile Dealers Association Montana Automobile Dealers Association

Warranty Reimbursement CONTINUED FROM PAGE 3

will simply refuse to follow the law, or others that will attempt to include non-warranty-like repairs in a deliberate attempt to lower your mark-up. Following the manufacturer’s protocol – It’s critical to understand the factory’s guidelines for the inclusion or exclusion of various aspects of the submission; each of them has different rules, and they typically won’t disclose them to you. If you can determine what they are, you should follow them within reason; do not be combative, or send up “legal signals” out of the gate. Optimization - Absolutely key to this process is achieving the best possible result, and that can only be done through the proper selection of your submission sample – this is something that should not be left to chance or inferior technologies. Missing your mark-up by even a few points can cost you thousands every year, perpetually. Do yourself a favor, and explore this aspect with some attention to detail – it will be worth it to you in the long run. Warranty Auditors - Beyond technology, however, is the need for a thorough audit process. Your declaration will be scrutinized by factory auditors that know every nook and cranny of countering retail warranty submissions, and you should have someone familiar with their techniques, in order to refute their sometimes questionable positions. Here again, it is better to get along with these folks, and in many cases, this is not a problem; however, without naming any manufacturers, some are extremely difficult. Factory Responses – In many cases your approval will not be smooth, and the manufacturer may rebut your calculations, or in some instances, summarily reject your submission. Responding in the proper manner is critically important, since it could be the difference between achieving a substantial increase in your warranty parts gross, or obtaining nothing at all. There are many dealers that have submitted two, three or four times over the course of a year or two, costing themselves multiple six figures in lost profit. The bottom line is that you have an extraordinary opportunity to receive a fair reimbursement for the parts utilized in the warranty work you perform. If this process is approached in a judicious and professional manner, you can quite possibly double your warranty parts gross profit. There are many pitfalls for the uninformed, but tremendous upside for those that perform the submission process properly. For more information, contact Armatus 888-259-4471 or email info@ dealeruplift.com. You can also visit their website at www.dealeruplit.com. Armatus has performed over 2,400 successful retail warranty submissions to 24 manufacturers in 40 states. n

ADS of Montana is the State’s leading provider of F&I training and products. We specialize in our State of the Art training concept through our Team One approach. We represent the best product lines available in the US! We are a MONTANA company and headquartered in Bozeman, no need for a company employee to fly in and see your store. We work with over 75% of non public New Car dealers in the State.




Montana Automobile Dealers Association


Montana Automobile Dealers Association

MTADA Automotive Industry Technician Career Pathways Initiative This is a great opportunity to have a voice within the industry, present opportunities to Montana’s youth and to mold a curriculum that will develop competent technicians ready to work in your dealership UPCOMING PLANNING MEETINGS The meetings at each “Hub” are scheduled as follows: ■■ Havre Hub Havre, MT February 6, 2017- 9:00am-12:00pm MSU-Hensler Auditorium of the ATC ■■ Helena/Great Falls Hub Helena, MT- February 7, 2017- 9:00am-12:00pm Helena College University of Montana- Lecture Hall 2300 Airport Road, Helena MT 59601 (Airport Campus) ■■ Butte Hub Butte, MT- February 8, 2017 9:00am-12:00pm, Highlands College Hensler Auditorium of the ATC ■■ Miles City Hub Miles, City MT- February 27, 20179:00-12:00pm, Miles Community College Room 106 (North-West side of the Building Entrance) ■■ Billings Hub Billings, MT- February 28, 2017 9:00-12:00pm, Montana State University Billings-City College, HSCT 119 (Health Sciences- Off Shiloh and Central Ave)



Montana Automobile Dealers Association Montana Automobile Dealers Association

Manage Costs by Maximizing Your Tax Savings. American Fidelity Assurance Company provides a full suite of expense management services that can help you and your employees maximize tax savings and manage costs associated with various benefits. We specialize in providing employer administrative services for all of our services, which can easily coordinate with existing plans. Our expertise and experience in offering these services allow us to make recommendations on the programs that will work best in your specific situation. Also, we will explain how we can implement these cost-saving programs for you and your employees. • Section 125 Plans • Flexible Spending Accounts • Health Savings Accounts

• Health Reimbursement Arrangements • Dependent Verification Reviews • Enrollment Solutions


To learn more about what American Fidelity can do for you, contact:


Jeff McNeilly 800-654-8489, ext. 2492 jeff.mcneilly@americanfidelity.com


Montana Automobile Dealers Association Montana Automobile Dealers Association

2017 MTADA Board of Directors PRESIDENT



Chuck Notbohm Notbohm Motors Miles City 406-234-4480

Eric Hendrickson Subaru of Butte 3801 Harrison Ave Butte, MT 59701 406-494-7076

James Johnson High Plains Motors, Inc. PO Box 977 Wolf Point, MT 877-818-1913




Whitney Olson Bison Motors PO Box 1548 Great Falls, MT 59403 406-237-4480

Don Kaltschmidt Don “K” Whitefish Whitefish 406-862-2571

Jim Stanger Helena Motors 3365 Hwy 12 E Helena, MT 59601 406-442-6310



Debbie Jean Office Manager MTADA 406-442-1233 Cell: 406-461-6333

Eric Hendrickson Subaru of Butte 3801 Harrison Ave Butte, MT 59701 406-494-7076

Kelsey Wandke Director of Dealer Ops. MTADA 406-442-1233 Cell: 406-439-2692

Joe Billion Billion Auto Group Bozeman 406-582-7777

EXEC. VICE PRESIDENT & GOVERNMENT RELATIONS Bruce Knudsen MTADA Helena 406-442-1233 cell: 406-461-7680

Tony Pierce Snowy Mountain Motors Lewistown 406-538-4014 Chuck Notbohm Notbohm Motors Miles City 406-234-4480

James Johnson High Plains Motors, Inc. PO Box 977 Wolf Point, MT 877-818-1913 Eric Henricksen Subaru of Butte Butte 406-676-4420 Marissa Schoepp Eagle Country Ford 215 East Main Sidney, MT 406-443-1810 Wade Rehbein Rehbein Ford Plains 406-826-3381

Whitney Olson

Bison Motors PO Box 1548 Great Falls, MT 59403 406-237-4480



Profile for Montana Auto Dealers Association

Jan2017 newsletter final (2)  

Jan2017 newsletter final (2)