2020 NATM Annual Report by NationalAssociationTrailerManufacturers

NATIONAL ASSOCIATION OF TRAILER MANUFACTURERS

2020 Annual Report

2020 At A Glance

When COVID-19 halted the country in March, NATM drastically changed course alongside its members. In those early days, NATM was sending regular updates to its members about changing guidance and the definition of essential. The Association created an online COVID resource center for members as well. Meanwhile, NATM transitioned its Compliance Verification Program (CVP) to a remote process as well to continue to assist members in ensuring their compliance. As the country began to reopen, members brought back their workforces, and NATM again pivoted, bringing members Workplace Safety Guidance, a webinar series with Marsh and McLennan Agency, and again altering the CVP to allow for onsite trailer inspections while the remaining portion would be handled remotely to ensure participant safety. The Association surveyed its members about the impacts of COVID and advocated for member needs on Capitol Hill for the first of its kind virtual Regulatory Roundup. As COVID changed the world, NATM adapted to deliver member value in a “new normal” time and time again.

FINANCIALS

NATM was fortunate in 2020 to be able to hold the Annual Convention & Trade Show in late February. As early March brought significant shifts with the pandemic, NATM’s usual expense patterns and revenue streams shifted dramatically as well. Advertising quickly came to a halt, with revenue declining more than 44% compared to 2019. Decal sales declined for a short time and then continued to climb back toward a normal buying pattern, ending 11% below 2019. The Association saw other small declines this year, averaging a loss of 5% revenue compared to 2019. As NATM grappled with uncertainty and declining revenue, the Finance Committee, Board, and staff quickly looked at how to cut expenses. With travel impractical for many months and then a hybrid consultation process instituted, travel expenses declined significantly. The Association cut expenses in every category except for professional services, which can be accounted for by an increase in investment management fees as the Association added to its investment portfolio early in the year and then adjusting its investment strategy to include a more lucrative portfolio blend. Overall, expenses dropped in 2020 by 17%. CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US CONTACT US BOOKKEEPER CONTACT US CONTACT US CONTACT US CONTACT US

Financial Questions?

CINDY STREETER

advertising

Convention

other dues

Overhead

Compliance

EXPENSES

REVENUE Convention

Prof. Services

Gov. Affairs

Publications

decals

MEET YOUR NATM COMPLIANCE TEAM

Terry Jones

Technical Director

COMPLIANCE The onset of COVID-19 has presented both significant challenges as well as opportunities to improve the NATM Compliance Verification Program (CVP). Efforts to slow the spread have resulted in the Association adopting safety protocols such as avoiding air travel, requiring face coverings, temperature checks, and more. The most prominent obstacle has been maintaining a thorough and high-quality compliance process while protecting everyone involved. With this in mind, the NATM Board of Directors approved a new hybrid format for the Compliance programming beginning in mid 2020 and carrying through 2021. In short, the new hybrid format breaks the consultation into two parts, the physical trailer inspection and the documentation review. The physical trailer inspection will continue to be conducted onsite, but the remainder of the consultation, predominantly documentation, recommendations, and informational items, will be covered in a follow-up, remote meeting. Click here to read more.

Sean Sloan

Compliance Consultant

Scott Crimmins

Compliance Consultant

Despite the challenges presented, the NATM Compliance Team successfully completed a total of 271 consultations in 2020.

COMPLIANCE

An in-depth look into the NATM decal.

Compliance Decals: $0.20

Cost of supplying decals to members.

Running of the Compliance Verification Program: $0.58 Includes resource costs such as staff, travel, and supplies.

Guidelines Upkeep: $0.02

Includes staff time as well as associated costs such as permissions to reprint materials.

Government Affairs and General Counsel Representation: $0.14

Includes monitoring of regulations, meeting with agencies and legislators regarding the regulatory environment and Compliance Verification Program, and legal counsel on compliance matters.

Marketing of Compliance Verification Program: $0.01

Includes trade show attendance and other marketing efforts.

MEMBERSHIP BY THE NUMBERS

Membership Questions?

# OF NATM MEMBERS

MEGHAN RYAN

# OF EMPLOYEES

34 dealers across 24 states. New for 2021, NATM is launching a Trailer Dealer Affiliate Committee to develop additional resources and programming.

GET SOCIAL WITH NATM

MARKETING Questions?

SAVANA MORRISON

RISING TO THE CHALLENGE

As a global pandemic raged and the world was learning together about how to live with COVID-19 until a vaccine would be made available, the trailer manufacturing industry was forced to wade into the unknown. In lock-step, NATM worked tirelessly to keep its members abreast of new information, resources, and changing guidelines for safety. While the Association churned out content and resources for its members and a new normal was created, NATM also looked to how the industry could support communities in need.

The last year has been information overload with new details about the novel coronavirus coming almost daily, especially in the early months. To help keep members up to date without flooding already full inboxes, the Association created the COVID-19 Resource Center. An online reference for the industry about the changing landscape of safety precautions, regulatory guidance, government assistance, and beyond. Open to the entire industry, and not just NATM members, the Resource Center was updated in real time and would serve as a point of reference when the industry needed information. Managing a workforce and keeping a business afloat is hard enough without trying to parse through a barrage of updates from countless sources. The COVID-19 Resource Center was designed specifically for the trailer manufacturing industry with content sourced from experts, ensuring the most up to date and accurate information available. It was also designed to be concise, providing necessary information quickly so that overworked and understaffed teams could get what they needed and keep moving forward.

2020 REGULATORY ROUNDUP

Hill visit Discussion discussion Points • Information about industry - 1,067,000 new trailers registered in the U.S. in 2019 - Approximately $4.86 billion in sales - NATM members employ more than 485,000 American workers. • Trailers are motor vehicles • Impact of COVID-19 on the industry • Trailer Safety Week • Skilled labor shortage • Impacts of tariffs • Need for a long-term, fully funded Infrastructure Bill

The 2020 Regulatory Roundup and Capitol Hill Visits were held virtually on July 22, 2020. The Regulatory Roundup was held as a webinar and featured NHTSA Deputy Administrator James Owens. Following the Roundup, attendees divided into teams and used virtual meeting platforms to meet with Members of Congress and their staff. During the 2020 Capitol Hill visits, NATM members had a record number of 50 congressional meetings.

Speakers

James Owens

NHTSA Deputy Administrator

Tanya Topka

Trends Analysis Div., Office of Defects Investigation for the department of transportation

Stacy Ettinger Partner, K&L Gates

Ed Mortimer

Vice President, Transportation Infrastructure United States Chamber of Commerce

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INTERESTED IN NATM’S ADVOCACY Programs?

NATM Post-Election Update with K&L Gates Dennis S. Potter, Government Affairs Advisor at K&L Gates LLP and Brody Garland, Government Affairs Analyst at K&L Gates LLP

NATM FEEDS AMERICA While the early months of the pandemic had industry businesses drastically slashing budgets where possible and preparing for the worst, as the year came to a close, many industry businesses found themselves with more work than they could take on. Still, some within the industry certainly continued to feel the ramifications of the pandemic and were faced with difficult choices. In evaluating the pulse of the industry, which was largely positive though not without challenges, most businesses were fiscally sound. The same was true of the Association. However, in looking at communities across the country, many Americans were still out of work and the number of Americans who were food insecure continued to climb. The time was ripe for those who were able to join NATM in its first annual giving campaign, NATM Feeds America, a fundraising effort for Feeding America. The Association set a goal of raising $5,000 dollars from members and would match dollar for dollar up to that amount. In just 24 hours the industry showed up and exceeded the $5,000 goal. In total, including the NATM donation of $5,000, the campaign raised $16,000 and created 160,000 meals for those in need. While many members participated, a special thanks is owed to KampCo Steel Products who was the largest donor to the campaign.

KENDRA ANSLEY

Enhancing Your benefits

NATM is pleased to announce the launch of the NATM Resource Library! In line with the Association’s mission and the 2019-2022 Strategic Plan, NATM is excited to provide members with relevant educational information that’s easily accessible. Members can access the NATM Resource Library by visiting www.NATMShop.com. After logging in to the NATM Resource Library, members can either utilize the search bar or browse through the five categories: Technical, Compliance Verification Program, Membership/Marketing, Business Administration/HR, or Consumer Information. This exclusive benefit will be updated regularly with new articles and topics ensuring NATM members have access to the latest information regarding the trailer industry. Questions? Reach out via the chat box on NATMShop.com or by email at Library@natm.com.

Have article questions?

ELIZABETH MOORE

Workforce Development Webinar Series

This three-part series hosted in November aimed to help the trailer manufacturing industry address growing challenges of recruiting and retaining a skilled, reliable workforce. Attendees learned about workplace culture, onboarding tips, recruiting and retention strategies, and how these have changed in the time of COVID-19.

Wheel attachment 101 Webinar In December Ted Schorn covered the history of the Trailer Safety Industry Coalition (TSIC) and wheel separation issues. Additionally, the webinar delved into how the wheel stays on the trailer with the attachment/ fastening process and fundamental assembly practices required for good results.

MMA COVID-19 Series

In May, NATM partnered with Marsh and McLennan Agency (MMA) to bring members and dealer affiliates a five-part weekly webinar series on adapting to COVID-19 intended to help the trailer manufacturing industry move forward. The series discussed the modification of insurance policies based on cash flow, employee benefits considerations, and protecting the workplace.

MEMBER EXCLUSIVE BENEFITS Launched In 2020 Dealer Compendium

Launched on Sept. 1, the Dealer Compendium is full of educational content and materials that will help trailer dealers access essential information quickly and easily in one place. The document includes state laws, trailer safety information, as well as resources Dealer Affiliates can pass along to their customers.

Sponsorship Program

A new sponsorship program launched that featured marketing opportunities for NATM members to reach trailer manufacturers, dealers and suppliers. New opportunities to reach customers were established with sponsorships available for webinars, new member communications, and Trailer Safety Week.

Promoting trailer safety TRAILER SAFETY WEEK BY THE NUMBERS The 2020 Trailer Safety Week (TSW) went off without a hitch June 7-13. This national awareness campaign, which aims to educate end-users on trailer safety including safe towing practices and maintenance, saw incredible growth in its third year despite being held entirely online.

The 2020 Trailer Safety Week (TSW) went off without a hitch June 7-13. This national awareness campaign, which aims to educate end-users on trailer safety including safe towing practices and maintenance, saw incredible growth in its third year despite being held entirely online. NATM TSW SOCIALS The TSW Facebook page's FEATURED IN A SAFE REACHED OVER reach

32,000 People Online

Since the inaugural TSW the website has seen over

21,000 unique visitors.

grew by

2,523%

235

TOTAL ALLIES

99%

Website traffic grew by

IN 60 NEWS SEGMENT ON

KSL TV

Moving Forward STRATEGIC PLAN In response to COVID-19, NATM adapted its processes, created guidance resources, and provided regular updates to its members on government response and CDC recommendations. As a result, many resources were diverted from the NATM strategic plan as the Association staff invested in meeting the urgent needs of the industry during the pandemic. Still, despite re-imagining the Compliance Verification Program, adding webinars, creating two resource guides, reporting on COVID several times per week for many months, and increasing advocacy efforts on Capitol Hill related to relief packages and funding resources, the Association still made progress, though not as much as planned, on the 2019-2022 Strategic Plan.

Focus Area One – Support Industry Growth First Draft Complete of Quality Management System Recommendations

Launched the NATM 401(k) Program for All Members and Dealer Affiliates.

To be released in 2021, this document will feature insights and instructions in how to create a quality management system. It will include examples and templates to jumpstart the creation of a Quality Management System, but will also be useful to improving an existing system.

Take advantage of the expertise of NATM’s affiliation program sponsor Marsh and McLennan agency, offload a number of responsibilities, and gain access to user-friendly resources and support that are often unattainable for small businesses. To learn more, contact Duane Moppin at Duane.Mopping@MarshMMA.com.

Launched a Two-Pronged Association Health Insurance Program

Training Program

This offering, available to eligible trailer manufacturer members, provides and option for companies with 2-99 employees and 100+ employees. To find out more about the NATM Association Health Plan and determine if it is the right fit, contact Lisa Clark at Lisa.Clark@MarshMMA.

While NATM is not yet prepared to reveal too many details, the Association and a committee of members is working with a well-known industry group on creating an online training program for member companies.

Focus Area Two – Be the Recognized Leader in Trailer Safety • • •

Increased Dealer Affiliate Benefits

Dealer Compendium – over 300 pages of relevant federal and state law as well as industry best practices and consumer information. To get a copy today contact NATMHQ@natm.com NATM 401(K) Program NATM Annual Convention and Trade Show open to Trailer Dealers, - With new educational tracks and networking events tailored to dealers specifically.

Increased TSW Allyship 56% Over 2019 With over 235 TSW Allies signed on to help NATM generate trailer safety awareness, the campaign saw its most successful year despite being held entirely online for the first time.

Introduced TSW Champions and Partners

Launched the NATM Resource Library

Introduced new levels of involvement, working directly with the industry to expand the reach of Trailer Safety Week and grow content for end-users and dealers created by experts.

A members-only online resource center with archived Tracks articles, technical resources, and more. Members can access the information they want when they need it most.

Focus Area Three - Maintain the Integrity and Raise Value of the Compliance Verification Program Monthly Inspection Training for NATM Staff To ensure consistent enforcement and keep up to date with the latest industry trends the compliance team meets monthly.

Updated Enforcement Processes to Ensure Member Compliance and Program Effectiveness Tire Recordkeeping, Component Capacities

Vetted Potential Program Expansions Process to be Completed in 2021

ORDER YOUR NATM DECALS* * Available to NATM Trailer Manufacturer Members in good standing.

LOOKING TO 2021

We look forward to seeing you at the next NATM convention & trade Show!

MEET YOUR NATM board of Directors

Leadership

2018-2021 Leo Akins Forest River, Inc.

John Kerr Marsh & McLennan Agency

Lyle Berning Novae Corp.

Serena Moran Sun Country Trailers

2019-2022

Joel Bauer Midsota Manufacturing, Inc.

Carl Maxey MGS Incorporated – Ft. Collins

Owen Shelton

Marty Lorick

BoatMate Trailers LLC

Triple Crown Trailers, Inc.

Josh Johnson

Patrick Jennissen

Big Tex Trailer Mfg.

Felling Trailers

President

Vice President

Rick Coffey The Carlstar Group

Jim Berry Dexter

2020-2023

Jeff Jones Statistical Surveys, Inc.

Jon Devitt Midwest Industries, Inc.

Dustin Miller Cross Trailers, Inc.

Marco Garcia U-Haul International, Inc.

Mike Story

LOOK Trailers

Treasurer

Past President