Hammer & Dolly October 2018

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www.wmaba.com

October 2018 Volume 12, No. 10 $5.95

www.grecopublishing.com

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October 2018

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PHONE: 732-495-7900 FAX: 732-495-7904 E-MAIL: bill@rae1.com www.raeservice.com VISIT US ON FACEBOOK www.facebook.com/ReliableAutomotiveEquipment

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October 2018

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CONTENTS October 2018 38 COVER STORY THIEVES AMONG US: TACKLING THE COUNTERFEIT PARTS CRISIS

BY JOEL GAUSTEN Fake auto products threaten the industry.

LOCAL NEWS

ADVERTISERS’ INDEX

12 MARK YOUR CALENDARS! WMABA MEETING ANNOUNCEMENTS

AJK Industries . . . . . . . . . . . . . . . . .42 ATI . . . . . . . . . . . . . . . . . . . . . . . . . . .42 Audi Group . . . . . . . . . . . . . . . . . . . .35

NATIONAL NEWS

Axalta Coating Systems . . . . . . . . . .IFC

SCRS EXPLORES INDUSTRY HEALTHCARE 18 CONCERNS, DRP RANKINGS

BASF . . . . . . . . . . . . . . . . . . . . . . . .13 BMW Group . . . . . . . . . . . . . . . . . . .16 Chesapeake Automotive Equipment 29

Increased benefits to come for employees.

Crashmax Equipment . . . . . . . . . . . .25

OEM REPAIRS, TECHNICAL DEMANDS

22 PROMPT CIC DISCUSSIONS

Empire Auto Parts . . . . . . . . . . . . . .29 Fairfax Hyundai . . . . . . . . . . . . . . . .42

Tackling technology through manufacturer guidelines.

Ford Group . . . . . . . . . . . . . . . . . . . .42 GM Parts Group . . . . . . . . . . . . . . . .7

AVOIDING DISASTER: SCRS’ CHESS 28 ON MAINTENANCE, SAFETY & PREVENTION Staying alive in a hazardous environment.

Goliath Carts . . . . . . . . . . . . . . . . . . .23 Honda Group . . . . . . . . . . . . . . . . . .26 Hyundai Group . . . . . . . . . . . . . . . . .17 Koons Ford . . . . . . . . . . . . . . . . . . . .20 Malloy Hyundai . . . . . . . . . . . . . . . . .3 Mazda Group . . . . . . . . . . . . . . . . . .37 MINI Group . . . . . . . . . . . . . . . . . . . .21

SEMA PREVIEW

Mitsubishi Group . . . . . . . . . . . . . . . .36

32 THREE BIG REASONS TO ATTEND THE

Mopar Group . . . . . . . . . . . . . . . . . .30 Nissan Group . . . . . . . . . . . . . . . . . .30 Nucar . . . . . . . . . . . . . . . . . . . . . . . .9 O’Donnell Honda . . . . . . . . . . . . . . .19 Packer Norris Parts . . . . . . . . . . . . .IBC Polyvance . . . . . . . . . . . . . . . . . . . . .25

Why Las Vegas is the place to be next month.

Porsche Group . . . . . . . . . . . . . . . . .31 PPG . . . . . . . . . . . . . . . . . . . . . . . . .OBC Reliable Automotive Equipment . . . .4

DEPARTMENTS 6 8 10

SEMA Show . . . . . . . . . . . . . . . . . . .34

Calendar of Events

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JOEL GAUSTEN

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Editor’s Message

Executive Director’s Message JORDAN HENDLER

WMABA Sponsorship Page WMABA Member Spotlight

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WMABA Membership Application

What’s WMABA Up To?

Sherwin-Williams . . . . . . . . . . . . . . .40 Subaru Group . . . . . . . . . . . . . . . . . .36 Toyota Group . . . . . . . . . . . . . . . . . .27 VW Group . . . . . . . . . . . . . . . . . . . . .41 Wheel Collision Center . . . . . . . . . . .19 Stock Images © www.istockphoto.com

October 2018

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Industry training opportunities and don't-miss events.

CALENDAR OF

EVENTS CLASS LISTINGS

October 2, 2018 CORROSION PROTECTION Manheim Harrisonburg Auto Auction, Harrisonburg, VA

October 3, 2018 PLASTIC & COMPOSITE REPAIR FinishMaster, Springfield, VA HAZARDOUS MATERIALS, PERSONAL SAFETY & REFINISH SAFETY Enterprise Rent-A-Car, Linthicum, MD

October 4, 2018 ADHESIVE BONDING Gaithersburg High School, Gaithersburg, MD CORROSION PROTECTION Auto Parts Plus, Baltimore, MD MEASURING FinishMaster, Springfield, VA HAZARDOUS MATERIALS, PERSONAL SAFETY & REFINISH SAFETY Tidewater Community College, Chesapeake, VA AUTOMOTIVE FOAMS RMS Pro Finishes, Charleston, WV VEHICLE TECHNOLOGY TRENDS & DIAGNOSTIC OVERVIEW RMS Pro Finishes, Charleston, WV October 9, 2018 REPLACEMENT OF STEEL UNITIZED STRUCTURES LKQ Keystone Meeting Room, Halethorpe, MD AUTOMOTIVE FOAMS Manheim Harrisonburg Auto Auction, Harrisonburg, VA October 10, 2018 MEASURING North Point High School, Waldorf, MD

October 11, 2018 MEASURING Gaithersburg High School, Gaithersburg, MD ADHESIVE BONDING Alexandria Training Center, Alexandria, VA CORROSION PROTECTION Tidewater Community College, Chesapeake, VA SECTIONING OF STEEL UNITIZED STRUCTURES FinishMaster, Fredericksburg, VA

October 13, 2018 THE ART & SCIENCE OF ESTIMATOR INTERACTIONS Fairfield Inn & Suites, Easton, MD SYNCHRONIZING WORKFLOW THROUGH TEAM COMMUNICATION Fairfield Inn & Suites, Easton, MD

October 16, 2018 STEEL UNITIZED STRUCTURES TECHNOLOGIES & REPAIR Manheim Harrisonburg Auto Auction, Harrisonburg, VA SECTIONING OF STEEL UNITIZED STRUCTURES LKQ Keystone Meeting Room, Halethorpe, MD October 17, 2018 PLASTIC & COMPOSITE REPAIR Fairfield Inn & Suites, Easton, MD STRUCTURAL STRAIGHTENING STEEL FinishMaster, Springfield, VA

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October 2018

WMABA Fall Meeting

For upcoming information visit wmaba.com

October 29-November 2, 2018 SCRS Repairer Driven Education at SEMA 2018 Las Vegas Convention Center, Las Vegas, NV For more info, visit scrs.com/rde

October 18, 2018 ADVANCED STEERING & October 30, 2018 SUSPENSION SYSTEMS Collision Industry Conference DAMAGE ANALYSIS Renaissance Hotel, Las Vegas, NV Frederick Co. Career & Tech, For more info, visit ciclink.com Frederick, MD 2015 FORD F-150 STRUCTURAL REPAIR TRAINING COURSE Gaithersburg High School, Gaithersburg, MD STEEL UNITIZED STRUCTURES TECHNOLOGIES & REPAIR Auto Parts Plus, Baltimore, MD PLASTIC & COMPOSITE REPAIR Tidewater Community College, Chesapeake, VA October 23, 2018 STRUCTURAL STRAIGHTENING STEEL Manheim Harrisonburg Auto Auction, Harrisonburg, VA October 24, 2018 CORROSION PROTECTION North Point High School, Waldorf, MD SQUEEZE-TYPE RESISTANCE SPOT WELDING FinishMaster, Springfield, VA October 25, 2018 STRUCTURAL STRAIGHTENING STEEL Gaithersburg High School, Gaithersburg, MD AUTOMOTIVE FOAMS Tidewater Community College, Chesapeake, VA WHEEL ALIGNMENT & DIAGNOSTIC ANGLES FinishMaster, Fredericksburg, VA

October 30, 2018 SECTIONING OF STEEL UNITIZED STRUCTURES Manheim Harrisonburg Auto Auction, Harrisonburg, VA

November 1, 2018 MEASURING Auto Parts Plus, Baltimore, MD REPLACEMENT OF STEEL UNITIZED STRUCTURES Tidewater Community College, Chesapeake, VA November 6, 2018 STRUCTURAL STRAIGHTENING STEEL LKQ-Keystone, Halethorpe, MD FULL-FRAME PARTIAL REPLACEMENT Manheim Harrisonburg Auto Auction, Harrisonburg, VA STRUCTURAL STRAIGHTENING STEEL Tidewater Community College, Chesapeake, VA November 7, 2018 PLASTIC & COMPOSITE REPAIR North Point High School, Waldorf, MD STEERING & SUSPENSION DAMAGE ANALYSIS Alexandria Training Center, Alexandria, VA AUTOMOTIVE FOAMS FinishMaster, Springfield, VA November 8, 2018 AUTOMOTIVE FOAMS Gaithersburg High School, Gaithersburg, MD SQUEEZE-TYPE RESISTANCE SPOT WELDING FinishMaster, Fredericksburg, VA

November 10, 2018 CORROSION PROTECTION Fairfield Inn & Suites, Easton, MD HAZARDOUS MATERIALS, PERSONAL SAFETY & REFINISH SAFETY Fairfield Inn & Suites, Easton, MD

2015 FORD F-150 STRUCTURAL REPAIR TRAINING COURSE FinishMaster, Springfield, VA November 13, 2018 UNDERSTANDING THE CYCLE TIME PROCESS Tidewater Community College, Chesapeake, VA WHEEL ALIGNMENT & DIAGNOSTIC ANGLES FinishMaster, Springfield, VA

November 14, 2018 HAZARDOUS MATERIALS, PERSONAL SAFETY & REFINISHING SAFETY North Point High School, Waldorf, MD

November 15, 2018 PLASTIC & COMPOSITE REPAIR Auto Parts Plus, Baltimore, MD REPLACEMENT OF STEEL UNITIZED STRUCTURES Gaithersburg High School, Gaithersburg, MD HAZARDOUS MATERIALS, PERSONAL SAFETY & REFINISH SAFETY Frederick Co. Career & Tech, Frederick, MD SECTIONING OF STEEL UNITIZED STRUCTURES Tidewater Community College, Chesapeake, VA HAZARDOUS MATERIALS, PERSONAL SAFETY & REFINISH SAFETY FinishMaster, Springfield, VA

November 20, 2018 STEEL UNITIZED STRUCTURES TECHNOLOGIES & REPAIR Fairfield Inn & Suites, Easton, MD STEEL UNITIZED STRUCTURES TECHNOLOGIES & REPAIR Tidewater Community College, Chesapeake, VA November 27, 2018 FULL-FRAME PARTIAL REPLACEMENT LKQ Keystone Meeting Room, Halethorpe, MD STEERING & SUSPENSION DAMAGE ANALYSIS Tidewater Community College, Chesapeake, VA

November 28, 2018 CORROSION PROTECTION Enterprise Holdings, Inc., Linthicum, MD ADVANCED STEERING & SUSPENSION SYSTEMS DAMAGE ANALYSIS Alexandria Training Center, Alexandria, VA PLASTIC & COMPOSITE REPAIR FinishMaster, Springfield, VA November 29, 2018 SECTIONING OF STEEL UNITIZED STRUCTURES Gaithersburg High School, Gaithersburg, MD 2015 FORD F-150 STRUCTURAL REPAIR TRAINING COURSE RMS Pro Finishes, Charleston, WV

www.i-car.com or (800) 422-7872 for info

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KEEP IT GENUINE

INSIST ON GENUINE GM PARTS

We stand behind our product, providing collision repair professionals and vehicle owners peace-of-mind and confidence.

Contact these Genuine GM Parts dealers for all your parts needs: NU CAR CHEVROLET 172 North Dupont Highway New Castle, DE 19720 Phone: 800-633-6606 Fax: 800-346-5285 e-mail: parts@nucar.com www.nucar.com

OURISMAN CHEVROLET 4400 Branch Avenue Temple Hills, MD 20748 Phone: 301-899-6990 Fax: 301-899-9375 www.ourismanchevrolet.com

POHANKA CHEVROLET 13915 Lee Jackson Memorial Highway Chantilly, VA 20151 Phone: 888-266-2993 Direct: 703-502-3729 Fax: 703-968-0932 www.pohankachevrolet.com

RADLEY CHEVROLET 3670 Jefferson Davis Highway Fredericksburg, VA 22408 Phone: 800-355-8202 Direct: 540-898-0055 Fax: 540-891-2074 www.radleychevrolet.com

OURISMAN CHEVROLET OF ROCKVILLE 807 Rockville Pike Rockville, MD 20852 Direct: 301-424-5332 Fax: 301-294-6381 www.rockvillechevrolet.com

October 2018

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Joel Gausten

EDITOR’S

(973) 600-9288 joel@grecopublishing.com

MESSAGE LIARS

If you truly care about this industry, then this month’s cover story will shock the heck out of you.

Without giving away too much in this space, I will say that the rise in counterfeit automotive parts currently infiltrating this country is absolutely frightening. It is also quite disturbing to know that a large percentage of the Collision Industry Conference (CIC) body has made it clear that there is a strong possibility that fake and dangerous products of this nature could be available from some of their current suppliers. The Department of Homeland Security is one of many entities currently working to address this escalating issue, and the collision industry needs to do more to monitor the quality of the parts it utilizes during the repair process.

As an automotive journalist, I know how hard the true professionals in this industry work to elevate the image of what they do. But as a consumer, I shiver when I think of the obvious dishonesty and greed fueling some of the less reputable segments of the field. Unfortunately, history has shown us that mainstream news outlets often jump at the chance to report on the negative side of automotive repair. There are people out there who are more than willing to give these people a story by cutting corners and WMABA OFFICERS PRESIDENT

VICE PRESIDENT

TREASURER

SECRETARY

IMMEDIATE PAST PRESIDENT

Torchy Chandler torchy.chandler@gmail.com 410-309-2242 Bill Hawkins whawkins@mybmwannapolis.com 410-349-2578 Barbara Chase barbara@siskautobody.com 301-855-5525 Phil Rice phil@ricewoods.com 540-846-6617 Mark Schaech, Jr. markschaech@gmail.com 410-358-5155

BOARD OF DIRECTORS

Don Beaver (donbeaver3551@gmail.com) 443-235-6668 Rodney Bolton (rbolton@aacps.org) 443-386-0066 Kevin Burt (kevinburt@walkermillcollision.com) 301-336-1140 Barry Dorn (bdorn@dornsbodyandpaint.com) 804-746-3928

ADMINISTRATION

Ben Gibson (bgibson@richmondmarinecenter.com) 804-355-8151 Steven Krieps (srkrieps@live.com) 304-755-1146 Ashley Kruger (akruger@baughautobody.com) 804-285-8045 Danny Szarka (danny@dynamiccollisionservices.com) 410-500-9200

EXECUTIVE DIRECTOR Jordan Hendler (jordanhendler@wmaba.com) 804-789-9649 WMABA CORPORATE OFFICE P.O. Box 3157 • Mechanicsville, VA 23116

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hurting the rest of the collision repair community in the process. These people are not your colleagues; they are liars who cheat customers and tarnish everything you’ve worked to accomplish.

How does the industry fight back? Well, for one thing, you have WMABA and other groups committed to bettering the industry through education. You have legislative endeavors and other forms of support. You have CIC, SEMA and other national events designed to keep you informed of how automotive repair is changing. You have an opportunity to join forces with like-minded shop owners, technicians and vendors in strengthening the professionalism of this trade. You have an opportunity to get more involved in pushing things in a positive direction and inspiring others to follow your example.

Please join those who are already fighting for you. None of us can afford to see the liars win. H&D

October 2018

STAFF

PUBLISHER SALES DIRECTOR EDITORIAL DIRECTOR CREATIVE DIRECTOR EDITORIAL/CREATIVE COORDINATOR

OFFICE MANAGER

Thomas Greco thomas@grecopublishing.com

Alicia Figurelli alicia@grecopublishing.com

Joel Gausten joel@grecopublishing.com

Lea Velocci lea@grecopublishing.com

Alana Bonillo alana@grecopublishing.com

Donna Greco donna@grecopublishing.com

PUBLISHED BY TGP, Inc. 244 Chestnut St., Suite 202 Nutley, NJ 07110 973-667-6922 FAX 973-235-1963 Reproduction of any portions of this publication is specifically prohibited without written permission from the publisher. The opinions and ideas appearing in this magazine are not necessarily representations of TGP Inc. or of the Washington Metropolitan Auto Body Association (WMABA). Copyright © 2018 Thomas Greco Publishing, Inc.

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EXECUTIVE DIRECTOR’S

MESSAGE State Farm Settles for $250 Million: What Does That Even Mean?

Court or legal issues are mostly “boring,” but lately for State Farm, they’re playing out like a mystery novel you can’t put down. I’m not a lawyer, but I do have opinions on this – as you can imagine!

The point of the $10 billion RICO or “racketeering” lawsuit (Hale et al. v. State Farm et al.) was to expose the nonprofit entity usage by the insurer to covertly fund an election of Illinois Supreme Court Justice Lloyd Karmeier, who later had voted to overturn a $1.05 billion verdict against them. The funding amounted to as much as $4M of his $4.8M in campaign contributions. That’s no chump change!

The settlement may allow them to deny liability unto themselves, but what I find more interesting is that this could lead to the possible revisitation of the $1 billion suit Karmeier helped overturn. This is where the real meat of this issue lies. Even though State Farm still maintains denial of these actions, the case of Avery et al. v. State Farm is the base of where the problem for them began.

What is so interesting is that there may be grounds for this case to be readdressed by the Court, and the findings may not play out the same. It depends on how the judiciary process allows for a special case of deceptive practices. And this suit may not be the only one clamoring for the same attention to the fairness of their verdict.

Here’s the summary of Avery et al. vs. State Farm class action (which was overturned), which you may not have known: Insureds brought a class action against an automobile insurer to recover for breach of contract and for consumer fraud and deceptive acts in violation of Consumer Fraud and Deceptive Business Practices Act and sought declaratory and injunctive relief, alleging the insurer’s failure to pay for original equipment manufacturer (OEM) parts for repairs of the insureds’ damaged vehicles and insurer’s misrepresentations or failures to disclose regarding quality of non-OEM parts.

Jordan Hendler

(804) 789-9649 jordanhendler@wmaba.com

Then here’s what the findings were in the Denial: The Supreme Court, McMorrow, C.J., held that: [1] whether insurance contracts in 48 states could be given uniform interpretation should have been decided at class certification stage rather than at trial; [2] contracts could not be given uniform interpretation, and thus, commonality and predominance requirement for class certification did not exist; [3] insurer did not breach the insurance contracts; [4] mere specification of non-OEM parts did not constitute damages; [5] “installation damages” for removing non-OEM parts were speculative; [6] insurer did not have to disclose that non-OEM parts were “categorically inferior;” [7] insurer’s representations regarding quality of non-OEM parts were non-actionable puffery; [8] a non-resident plaintiff may pursue private cause of action under the Consumer Fraud and Deceptive Business Practices Act only if the circumstances that relate to the disputed transaction occur primarily and substantially in Illinois; [9] non-resident insureds did not have private cause of action under the Act; and [10] plaintiffs must prove the elements of a private cause of action under the Act by a preponderance of the evidence, overruling General Motors Acceptance Corp. v. Grissom, 150 Ill.App.3d 62, 103 Ill.Dec. 447, 501 N.E.2d 764, and Munjal v.

Baird & Warner, Inc., 138 Ill.App.3d 172, 92 Ill.Dec. 809, 485 N.E.2d 855.

As you can imagine, the collision community – especially our media outlets – are watching this closely. If there is released deposition from Judge Karmeier as part of the settlement hearings that may be leading toward mishandling of that case, then there’s sure to be another attempt to get that billion-dollar class action in front of the Court again.

And you thought our judicial system was just the learning of third graders! H&D

Check the WMABA website and newsletters for regular updates and reports from the Executive Director’s perspective.

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WMABA THANKS

YOU WMABA thanks their generous supporters of the

LEVEL 1

Corporate Sponsor Program for 2018!

We encourage YOUR SUPPORT of those who SUPPORT US! For more information about the sponsorship program, please contact Executive Director Jordan Hendler at (804) 789-9649 or email jordanhendler@wmaba.com

LEVEL 2 Certified Automotive Parts Association

www.wmaba.com

FinishMaster • Mid-Atlantic Paint & Supply National Coatings and Supplies • WheelsOnsite

October 2018

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The latest from WMABA members and supporters.

LOCAL

NEWS October 25, 2018

Mark Your Calendars!

December 13, 2018

“Shop Processes, Culture and Quality Control while reducing Liability” - Presented by Mark Olson

**as seen in Repairer Driven News and on Collision Hub

WMABA is bringing you the grit with industry expert Mark Olson of Vehicle Collision Experts. Mark’s workshop will give you actual changes that can be made through his “10 steps for quality and efficiencies”, while also walking you through a self-assessment. Giving insight to liability, he will show you how to make a Bulletproof File. Mark will also feature how to improve process and culture over time, while stressing the importance of OEM procedures.

1:00 – 3:30pm (Lunch at 1pm) Registration and Location at www.wmaba.com Cost will be $50 (members) $95 (non-members)

Enjoy an evening of insight and remembrance for the WMABA 60th anniversary membership celebration dinner (members and non-members welcome).

Heading back to the old stomping ground of PJ Skidoo’s, the dinner will be MC’d by Mike Anderson of Collision Advice, and a former Board member of WMABA. Included in the festivities will be a state of the industry address by Executive Director Jordan Hendler, as well as some open town hall time.

6:00 – 9:00pm (Dinner at 7pm) Registration is open at www.wmaba.com Cost will be $55 (members) $95 (non-members) PJ Skidoo’s 9908 Fairfax Blvd.

Fairfax, VA 22030

I appreciate WMABA working on my behalf at the state capitol(s)!

Here is my contribution to the legislative efforts.

P.O. Box 3157 • Mechanicsville, VA 23116

Name: ______________________________________Company: __________________________________ Address: __________________________________________________________________________________ City:____________________________________________State: ______________________Zip: ________ Phone:

______________________________Email:

Donation Amount: Check Enclosed

$50

$100

____________________________________________ $500

Other ________________

Credit Card (Visa, Amex, MC)# __________________________________________________________ Exp: ________

Name on Card: ______________________________Signature: __________________________________

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MEMBER

SPOTLIGHT

Doug (left) and Kevin Meadows of 2Brothers Collision Brothers Doug and Kevin Meadows have always enjoyed working together on automobiles. As teenagers, they often spent time in the garage honing their skills on motorcycles and three-wheelers. Eventually, they both worked for the same Acura dealership as auto body technicians. As the industry changed, Doug shifted more towards paint and Kevin pursued his interest in bodywork.

In 2005, it came time for the two brothers to start their own business, and 2Brothers Collision in Beckley, WV was born.

Initially, they had plans to build their very own facility. Blueprints were all set and concrete was almost ready to be poured when the Meadows brothers found out they were losing their jobs at the dealership in 30 days. This changed their plans, as they could not afford to wait for the construction of a building. After quickly finding a 5,000-squarefoot shop to rent, they hired three employees and hit the ground running.

“It was rough at first,” Doug recalls. “The first two years, we worked seven days a

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October 2018

week. A 12-hour day would be a short day.

They were more like 16-hour days.”

Their mission was to build their business, so they worked at it non-stop.

Neither brother took a paycheck the first year; this enabled their employees to get paid and the shop to continue to buy equipment. Before long, they purchased the land where the shop they rented was located and continued to build. Within a year, they had doubled the size of the shop.

“We never really cared about the profit.

We just wanted to be the best at what we do.”

Today, they have two locations in Beckley – one on either side of town – and employ 46 people. Doug says they are on track to open a third location in 2019.

“It’s not fun if we’re not growing.”

What also makes 2Brothers special is the presence of other members of the Meadows family. Kevin and Doug’s father, George, is a retired educator and works parttime in their accounts receivable department.

Doug’s two sons, Jordon and Ryan, work as painters in the shops. His daughter, Chelsey, is their in-house bookkeeper.

The brothers’ interest in becoming members of WMABA was the result of their desire to interact with other like-minded facility owners and help address industry

Stories from WMABA facilities.

BY ALANA BONILLO

issues. Doug believes the biggest challenge for shop owners today is making sure they make enough profit to continue to grow their businesses and stay on top of the best technology and equipment without having to borrow money they may not be able to pay back.

“Until our Labor Rates can get where they need to be – a lot higher – it’s going to continue to be hard.”

2Brothers hasn’t had much need for traditional advertising over the years, as they believe their work is the best form of advertising out there. They must be doing something right, as they’ve been voted the number one shop by readers of the Raleigh County Register Herald for the past seven years.

In addition to exceptional collision repair, 2Brothers provides in-house rental with Enterprise Rent-A-Car, caring customer service and a lifetime warranty on their paint and refinish.

“We’re passionate about what we do,” Doug says. “We have the best people and the best equipment. I feel like we are the best in the area.” H&D

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Find more association updates at www.wmaba.com.

WHAT’S UP TO? WMABA MEMBERSHIP: THE UN-SECRET PLAYBOOK It’s always a good time to get involved in WMABA. If you’re reading this, your first benefit is already being realized: Staying up to date on the news in our area and beyond.

Get Your Team Jersey Supporting WMABA is an investment in the future of your business and your industry. By becoming a member, you are represented in all the places the Board or executive director go. Whether at a trade show like SEMA, assisting with the SCRS OEM Technology Summit regarding certified repairs or locally at the state capitol meeting legislators or testifying at a hearing, your interests and the interests of all repairers are at the forefront. Though repairers often feel competitive, the association is a place for camaraderie and community. Here, we’re all on the same team.

Get Educated WMABA offers issue-specific, topic-driven education throughout the year.

Participation in special events and local meetings, such as the Audi Training Center-hosted seminar and tour, offers your business the best in opportunities to advance your understanding of changes within our industry.

The Playbook The association is your resource for all things related to your business.

Whether you have a question about current Labor Rate data, operations, customer interaction, insurer relationships, vendor products or national news, your association is the place to ask first. Through our relationships nationally, we can even take issues to the forefront of places such as the Society of Collision Repair Specialists, Collision Industry Conference or national contacts for insurers and vendors.

Locally, we research governmental regulations and oversight to make sure the repair industry is protected from any negative legislation. Represented in both Virginia and Maryland, WMABA proposes and opposes recommended bills that come into the legislature during open session. Also, we work with consumer-related entities, government agencies and other related industry organizations to ensure that the voices of the repairer and their customer are heard.

Many repairers take advantage of the knowledge and community the association has for navigating situations that arise. A simple phone call or email can circumvent many issues our members encounter.

Call the Game As a member, you decide your personal level of participation. Do you have interest in committees that address particular issues you feel passionately about? Would you want to be a Board member and assist in guiding the direction of the association? How about sitting on the sidelines so you can focus on your own business? All answers can be correct! While WMABA would like to encourage your spirit of volunteerism, it is solely up to you at what level you get involved.

The minimum is getting your membership. This year can WIN with your commitment to the betterment of your business and your industry. Sign up today! H&D

JOIN TODAY!

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THEY’RE CALLED “ORIGINAL BMW PARTS” FOR GOOD REASON. FOR UNCOMPROMISING PRECISION AND INCOMPARABLE QUALITY, YOUR BMW CENTER IS YOUR ONE-STOP SHOP FOR EVERYTHING BMW. For Original BMW Parts, contact one of these authorized BMW centers: BMW of Annapolis 25 Old Mill Bottom Road Annapolis, MD 21409 410-349-2565 Fax:410-349-2586 mybmwofannapolis.com

Passport BMW 5000 Auth Way Marlow Heights, MD 20746 301-423-0733 Fax: 301-423-2717 passportbmw.com

BMW of Alexandria 499 South Pickett Street Alexandria,VA 22304 Direct: 703-684-5255 Fax: 703-647-1853 bmwofalexandria.com

Northwest BMW 9702 Reisterstown Rd Owings Mills, MD 21117 410-363-1461 Fax: 410-363-7749 northwestbmw.com

BMW of Silver Spring 3211 Automobile Blvd Silver Spring, MD 20904 866-737-8937 Direct: 301-890-3015 Fax: 301-890-3748 bmwofsilverspring.com

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October 2018

Richmond BMW 8710 West Broad Street Richmond, VA 23294 800-237-0130 Direct: 804-527-6860 Fax: 804-965-6254 E-mail: tdailey@crownauto.com richmond-bmw.com BMW of Catonsville 6700 Baltimore National Pike Baltimore, MD 21228 855-996-2906 410-744-2000 Fax: 410-818-2600 bmwofcatonsville.com

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Unsurpassed Quality. Genuine Hyundai Parts.

HYUNDAI IS PROUD OF ITS REPUTATION FOR QUALITY AND SERVICE. SO ARE THE DEALERS AND BODY SHOPS WHO RELY ON GENUINE HYUNDAI PARTS. TO MAKE CERTAIN THAT YOU GET THE RIGHT HYUNDAI PART, ASK FOR A HYUNDAI WHOLESALE PARTS SPECIALIST. For Genuine Hyundai parts, contact an Authorized Hyundai Dealer.

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Fitzgerald Lakeforest Hyundai 905 North Frederick Ave. Gaithersburg, MD 20879 Phone: 301-670-4881 Fax: 301-670-1595

Malloy Hyundai 1880 Opitz Blvd.

Woodbridge, VA 22191 Parts Direct: 703-490-8263 Fax: 703-490-3864 E-mail: hmkparts@aol.com

October 2018

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NATIONAL

NEWS

SCRS Executive Director Aaron Schulenburg announced exciting plans for the association.

Explores Industry Healthcare Concerns, DRP Rankings There is no shortage of frustrating costs in the collision repair industry, but healthcare is easily at the top of the list for many.

In an effort to help its members gain greater financial strength while still providing valuable benefits to employees, the Society of Collision Repair Specialists (SCRS) has partnered with Decisely, a benefits brokerage and HR services firm, to develop and offer discounted health insurance programs for member shops. The announcement was made during the recent SCRS Open Board of Directors Meeting in Atlanta, GA. “There are many shops out there that can’t or don’t offer [health insurance], and there are many that do and struggle with that because they want to provide quality benefits to employees who are loyal to them,” explained SCRS Executive Director Aaron Schulenburg. “The costs are enormous. If you look over the past several years, the rate of increase in health insurance premiums has just skyrocketed.”

In order to work with Decisely to develop the most advantageous programs possible, SCRS is encouraging members to complete the employee information form at

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scrs.com/census and email it to peter@decisely.com.

“If you’re a collision repair business and you would like to see an offer like this within the industry, we could really use your assistance in providing data that can help SCRS market the best information possible to [health insurance] carriers and put together solutions that leverage the size and scope of SCRS’ membership to the industry businesses’ advantage.”

Schulenburg is confident that the endeavor will provide stronger protection and incentives for the industry’s current and future workforce. In other similar programs, SCRS has learned that “close to 35 percent of the full-time employees who enrolled had never received benefits before.”

In addition to building on program development for its members, SCRS has been working to investigate concerns uncovered in State Farm’s online Select Service shop locator. The association has received feedback from members in a variety of markets indicating that, earlier in the year, ABRA Auto Body & Glass had risen to occupy the top spots on the locator in many instances. SCRS’ subsequent

research revealed that ABRA was listed in the top spots in nearly 300 markets across the country. While State Farm and ABRA did not provide official responses to inquiries into the reasons behind this trend, Schulenburg shared the perspectives reported by Repairer Driven News on the matter during the Open Meeting.

“In talking with lower-level managers and even managers of competing [repair] organizations, we found out that it seems as if it’s not atypical for some of the new programs with larger organizations to have a ‘reset’ platform essentially where, for a period of time, [the ranking] can be reset in the locator and the RPM score, which would place [those shops] at the top. The argument that was used was that even if [this presents] an advantage, it would be temporary and would then get filtered back down to the scores being appropriately recalibrated as the feedback comes in. The concern from a lot of the people who brought the issue to us is even if it is a temporary advantage for individual large organizations – and it may rotate through each or all of them – independent, single-store operators never receive that same advantage. You can

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Solving a critical issue.

almost say that they are particularly disadvantaged by others receiving the advantage through the reset. It certainly raises a legitimate question for the industry to look at with some of the special considerations that are being given to individual organizations that aren’t given to others in the marketplace but who are asked in turn to [agree to] a Most-Favored Nation agreement or things along those lines. It’s important that we, as an organization, be aware of it and address it when we can.”

In other news, Schulenburg announced that SCRS is currently surveying the Departments of Insurance in all 50 states on their role in consumer protection and how they respond to specific complaint items in regard to the automotive repair process. SCRS is currently fielding responses from various DOIs for eventual dissemination to the collision industry.

Information on SCRS activities and upcoming events is available at scrs.com.

H&D

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October 2018

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NATIONAL

Automakers know best.

NEWS OEM Repairs, Technical Demands Prompt CIC Discussions

This is not the industry it was 10 years ago.

In 2008, the major selling points of the Toyota Camry included a reclining backseat, standard side-impact/side curtain airbags and optimal stability system. Now, the same vehicle comes complete with a bird’s eye view camera (with perimeter scan), lane departure alert/assist, automatic high beams, dynamic cruise control and a precollision system that applies the brakes if it detects a potential frontal collision. Evolutions in automotive design and functionality have made it critical for technicians to be fully aware of advanced driverassistance systems (ADAS) like adaptive cruise control, automatic braking, automatic parking blind spot detection, collision avoidance, night vision, tire pressure monitoring and intelligent speed adaption.

As a way to tackle these overwhelming changes, the recent Collision

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Industry Conference (CIC) in Atlanta devoted hours to in-depth examinations of the technologies already here, the realities ahead and what the automotive repair and insurance industries need to do to weather the storm.

Unsurprisingly, the CIC Emerging Technologies Committee spent considerable time reviewing the rise of autonomous vehicles.

Referring to SAE International’s autonomous vehicle scale from Level 0 (where the human driver does everything behind the wheel) to Level 5 (where the automated vehicles can perform all driving tasks under all conditions), Committee Chair Jack Rozint noted that the industry is already at Level 2 (where an automated system can perform some driving tasks while the driver still monitors the driving environment) and Level 3 (where the vehicle can perform some

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October 2018

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NATIONAL NEWS driving tasks and control some of the driving environment with the driver taking back control when the automated system requests). He added that Level 4 – where the driver does not need to take back control, but the automated system can only operate in certain environments and under certain conditions – is expected to begin impacting the industry as early as 2019.

“If you think it’s going to be 20 years away, then you’re wrong.”

Guest presenter Michael Simon, director of accounts for Bosch North America and the provider of the aforementioned Camry comparison, revealed that 120 million electric vehicles are expected to be on the road by 2028. According to an April 2018 article in Inc. cited in Simon’s discussion, electric vehicles require 90 percent less maintenance and will reduce traffic accidents by 90 percent.

In response to the clear demand for a greater focus on preparing technicians to handle the trends discussed, 86 percent of the CIC body voted for the Emerging Technologies Committee to form a workgroup to explore a new category of technician specifically devoted to safety, ADAS and computerized systems. (Previous CIC discussions on this possible new designation were covered in our June 2018 issue available at grecopublishing.com.)

Naturally, the growth of technologically advanced vehicles is having a strong impact on collision repair standards and procedures. As the automotive repair and insurance industries continue to butt heads over the appropriateness and financial necessity of pre-and post-repair scanning, Emerging Technologies Committee panelists shared their views on the matter.

“At our company…we are now at the point that we perform pre- and post-repair scans on virtually every collision vehicle that we fix,” shared Darrel Amberson (LaMettry’s Collision). “Now, calibrations are becoming the new thing. Frankly, scans are kind of becoming the norm. We continue to research factory repair information and add equipment.”

Comparing scanning to a medical exam, Simon opined that scans are necessary to identify issues beyond mere warning lights.

“There’s only one mandate out there for Check Engine Lights; it says that the only time [that light] needs to come on is if emissions exceed 2.5 times the federal test procedure. That means you can have codes and problems in the car that will not turn on the light.”

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Simon suggested that “a good aftermarket scan tool” would provide solutions to shops looking to stay ahead of the changes and challenges surrounding them.

“There are a couple of companies that make really good aftermarket scan tools…They cover about 95 percent of what’s out there today.”

Later in the discussion, industry consultant Michael Anderson (Collision Advice) spoke from the CIC floor to “vehemently disagree” with Simon’s endorsement of aftermarket scan tools, citing potential telematics issues when they are used on vehicles equipped with systems such as OnStar and Toyota Safety Connect, which OEM tools detect for disabling during a repair.

“If I’m a collision repairer and I have a vehicle that’s connected to the internet and I do not disable that OnStar-type system, it will generate emails back to the consumer, and I will get consumer complaints.”

Anderson wasn’t alone in expressing support for OEM tools, equipment and methodologies.

During the Conference’s second day, the CIC Governmental Committee explored legislation that became law in Rhode Island in July that promotes the utilization of OEM procedures. Key provisions of the new law include the following: Whenever an insurance company intends to specify the use of aftermarket parts, it shall notify the vehicle owner in writing. Any auto body repair shop conducting business in the state of Rhode Island shall not use aftermarket parts in the repair of an automobile without the vehicle owner’s consent.

Mike Anderson endorsed the use of OEM scan tools.

CIC Emerging Technologies Committee Chair Jack Rozint

No insurance company may require the use of aftermarket parts when negotiating repairs with any repairer unless the repairer has written consent from the vehicle owner to install those parts. This applies only to automobiles that are less than 48 months old.

For any automobile that is less than 48 months old, the insurer and the repair shop must provide a written notice to the vehicle owner that he or she may require the insurer to pay for and the shop to install OEM parts, or that he or she may require the insurer to pay and the shop to install “non-original equipment manufacturer parts” in the repair of a motor vehicle. To comply with this provision, written notice may be provided on the appraisal written on behalf of the insurer and the estimate prepared by the auto body repair shop.

Bosch’s Michael Simon recommended “a good aftermarket scan tool” to address repair

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When “OEM part(s)” are used in the repair of a motor vehicle, no insurance company may require any repairer to use repair procedures that are not in compliance with the recommendations of the original equipment manufacturer.

This law does not apply to the repair or replacement of motor vehicle glass performed by licensed motor vehicle glass repair shops.

Panelist Wayne Weikel, senior director of state government affairs for the Alliance of Automobile Manufacturers and one of the industry representatives who testified in support of the legislation, reasoned that the rise in focus on OEM procedures in the past decade stems from pressure on manufacturers to increase fuel mileage through lighter/more advanced materials and the ongoing development of vehicle automation. In his mind, these realities have caused further strains in the shop/insurer relationship.

“In the context of these two things, it now develops a public policy question of how the repairers are going to get paid for doing this. I think what we’ve heard from most repairers is that [if they’re] given their druthers to do what they wanted, they would [follow] the OEM procedures. But as we’ve found…it’s other pressures being placed on the shops that get them pushed to the middle.”

Despite this conflict, various collision industry organizations have a clear history of firmly supporting manufacturer-endorsed

procedures. Addressing the panel from the audience, Society of Collision Repair Specialists (SCRS) Executive Director Aaron Schulenburg reminded the CIC body of the 2011 joint statement by SCRS, the Automotive Service Association (ASA), the Alliance of Automotive Service Providers (AASP) and Assured Performance Network that stated their recognition of original equipment manufacturers’ published repair procedures as the official industryrecognized standard. He added that over 30 state associations later enforced the document.

“There is certainly documentation of industry acceptance of following the OEM procedure as the standard of repair.”

The next Collision Industry Conference will be held October 30 in Las Vegas. More information is available at ciclink.com.

H&D

Executive Director’s Thoughts

Many industry concerns make it to the CIC floor before any other public place. Technology is a huge factor for the future of collision repair, and autonomy is one of those. Repairability will become more computer-centric than ever, and it will be the job of the repairers to know what they’re doing. The days of not doing your research and “winging it” are over. - Jordan Hendler

October 2018

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It Takes Genuine Honda Collision Repair Parts To Achieve a Genuine Honda Fit. Honda collision repair parts are engineered and manufactured to Honda standards.

In the collision-repair business, time is money, and you can’t waste time on parts that almost fit properly. Use Genuine Honda replacement parts. Your reputation depends on it.

For Genuine Honda parts, contact these Authorized Honda dealers.

Ourisman Honda 3371 Ft. Meade Rd. Laurel, MD 20724 Direct: 301-498-6050 Fax: 301-498-0157 www.laurelhonda.com

Honda of Tysons Corner 1580 Spring Hill Rd. Vienna, VA 22182 Direct: 703-749-6652 FAX: 703-821-4229 www.hondatysonscorner.com E-mail: sebastian.venegas@hondaoftysonscorner.com

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October 2018

Miller Honda 3985 Valley Pike Winchester, VA 22602 Direct: 800-296-5020 Direct Local: 540-868-9916 Fax: 540-869-1074 E-mail: bmorgan@drivemiller.com

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October 2018

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NATIONAL

NEWS Avoiding Disaster: SCRS’ Chess on Maintenance, Safety & Prevention

It was a tragedy that no body shop should ever have to experience.

During the recent Collision Industry Conference (CIC) in Atlanta, California-based educator Toby Chess shared a harrowing tale of shop co-owners who were indicted for

Toby Chess is calling for a stronger focus on shop maintenance.

manslaughter after two first responders died in a blaze at their facility. The heroes perished after they entered the building to rescue two employees who were believed to still be inside. However, it turned out that the pair had already escaped the fire safely. Unfortunately,

WMABA member Barry Dorn provided an example of an in-shop maintenance checklist.

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October 2018

this confusion was the result of the shop operating without an official evacuation plan, resulting in shop employees not knowing where to meet up and two people needlessly losing their lives.

Chess used this story to help illustrate the need for shops to increase their focus on employee safety and equipment maintenance.

At both CIC and the recent SCRS Open Board of Directors Meeting, Chess offered a host of tips to assist industry members in establishing a safer and more compliant environment at their businesses. In his mind, shops need to stop being reactive to issues and instead take a proactive approach to prevention.

Although the Occupational Safety and Health Administration (OSHA) currently doesn’t require facilities to have printed evacuation maps in the event of an emergency, it does require them to have an Emergency Action Plan for any facility with 11 or more employees. (OSHA allows facilities with 10 or fewer employees to communicate the Plan orally. More information is available at osha.gov/SLTC/etools/evacuation/eap.html.)

Other government entities could have specific rules for evacuation maps, so Chess encouraged attendees to check with their insurance carrier, the fire marshal and state/local agencies to ensure compliance.

Chess stressed regular tool and equipment maintenance as a way to reduce the risk of catastrophic injuries or events.

“Maintenance and safety go hand in hand…Do we wait until the thing breaks down, or do we do it on a regular basis?”

Unsurprisingly, he offered insight into safety procedures that even the most conscientious shops might overlook. For example, fire extinguishers should never be

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Tips for safer work. less than four inches from the floor, and their location must be identified in a way that makes them readily available to employees without subjecting them to injury. A unit that weighs less than 40 pounds should be installed in a manner that guarantees that the top is no more than five feet above the floor, while units weighing more than 40 pounds should be stored with the top no more than 3.5 feet from the ground. Additionally, fire extinguishers need to be inspected by shop personnel on a monthly basis and then once a year by a certified technician.

For squeeze-type resistance spot welders, Chess recommended checking the tip alignment on a regular basis and keeping an eye on the electrode/electrode tips for wear and imperfections. Additionally, the water level should be checked monthly on water-cooled machines, and coolant should be changed as per the manufacturer’s requirements. Regular reviews of plugs, electrical cables and computer upgrades are also recommended. He advised that compressors should be maintained through (among other things) regular oil changes, belt inspections, air filter replacement (if installed), regular desiccant changes and daily water drainage from the tank.

As an example of how a shop could stay on top of its various requirements, he shared an Excel spreadsheet created by SCRS and WMABA member Dorn’s Body & Paint (Mechanicsville, VA) to enable that shop’s technicians to follow a regular and thorough maintenance schedule. (See image on page 28.)

Chess’ presentation also featured a video on the maintenance and setup of MIG/MAG welders, which has been been made available at SCRS’ official YouTube channel (youtube.com/user/SCRS Collision). His complete discussion from the SCRS Open Board of Directors Meeting (which features insights into additional topics including labeling, first aid kits, electricity, spray bottle transfer requirements and hazardous material containment) is available at scrs.com. H&D

Executive Director’s Thoughts I don't know about you, but I didn’t know until Toby presented this info that having an emergency action plan was a law. Many safety concerns aren’t just suggested guidelines; they are rules with punishable penalties. Know what you need to do to keep your employees and equipment safe! - Jordan Hendler

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October 2018

Sheehy Nissan of White Marsh 8115 Belair Rd. Nottingham, MD 21236 Parts: 443-270-9001 Parts Fax: 443-270-8993 wmparts@sheehy.com sheehynissanofwhitemarshparts.com

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Euroclassics Porsche 11900 Midlothian Turnpike Midlothian, VA 804-794-3399 Fax 804-794-9771 euroclassics.porschedealer.com

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October 2018

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NATIONAL

NEWS

W

ith less than 30 days until this year’s SEMA Show in Las Vegas, excitement is building by the minute. From October 29 through November 2, the Las Vegas Convention Center will be packed with more than 100,000 automotive enthusiasts. Among that large crowd will be auto body professionals ready to meet and hear from the industry’s leading experts, speakers and exhibitors coordinated through the Society of Collision Repair Specialists (SCRS). The variety of anticipated features SCRS brings forth year after year – including the Repairer Driven Education (RDE) Series, the OEM Collision Repair Technology Summit and the Sky Villa After-party – will return. Additionally, the 2018 installment of SEMA will feature the debut of SCRS’ IDEAS Collide Showcase, which will focus on innovations and outside-thebox concepts for the collision repair world. Read on for three very important reasons to attend SEMA 2018.

By Alana Bonillo & Joel Gausten

Don’t Miss Out!

If you haven’t made your travel arrangements to attend SEMA yet, now is the time to do so! For the full program schedule, visit semashow.com/scrs. More information on SCRS can be found at scrs.com. More SEMA 2018 pre-Show coverage can be found in the August and September 2018 issues of Hammer & Dolly at grecopublishing.com.

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A time like no other.

Getting Inside Technology

pressure – what I call ‘the race to the bottom’ – to be the low-cost provider. They do that in sundry ways, and it is not always necessarily correct for the automobile or for providing the proper safety for the American motoring public.”

Gredinberg believes that many repairers still need to realize that these changes are here to stay.

“It’s been coming. It’s here. It has arrived, and this is what we are dealing with. Essentially, this is a general wake-up call that this is not a game. It’s a serious matter.”

Reichen adds that attendees will gain further insight into the much-discussed lawsuit against John Eagle Collision Center in Texas, which has been a huge eye-opener into what can happen if a repair shop deviates from following OEM guidelines.

“You own that repair from cradle to grave. Many repairers don’t realize that once that vehicle is off their lot, they are still responsible even if the car is passed on to another owner.”

Action on the Floor

Fronzaglia-Murray. “People experience things in different ways, so we hope we resonate with a couple of their senses. We take our paint offerings seriously, but we know the wonders that can be created with a little imagination. It’s always fun to see the customer react to the artwork developed.”

Fronzaglia-Murray promises even more fun from PPG. “We have some exciting events, including appearances by renowned painters Charley Hutton and Bobby Alloway as well as Tom and Mitch Kelly. Each year, Tom and Mitch design exclusive, one-of-a kind collectible posters. Once they are gone, we do not reprint. Racing fans will enjoy meet-and-greet sessions with the John Force Racing Team and Tasca Racing. We have Mark Worman and the team from Graveyard Carz, and it’s always great to have Kenny Youngblood, one of drag racing’s most talented graphic artists. The lines will be forming fast, so we hope to see everyone stop in to get a poster and autograph from these legends. But most of all, do not miss all of the fantastic artwork created by some of the most talented artists in the industry. We have more than 30 artists participating this year alone. It is an awesome display of incredible talent and showmanship. SEMA is one of the best events to connect with the people who use our products every day. We look forward to ‘talking paint’ with them and learning what we can do to help them achieve outstanding colors and finishes.”

Finding Solutions to Common Issues

remains a valuable venue for exchanging thoughts and gaining knowledge. Attendees will leave with a sense of awareness and connection to the greater industry. Tentative areas of discussion for the October meeting include an update on issues previously raised and developed by the Emerging Technologies Committee regarding calibration, scanning and their relationship to OEM procedures and an overview of regulatory and legislative updates that may impact the industry on a state and national level. More information on CIC is available at ciclink.com.

On November 1, the 2018 OEM Collision Repair Technology Summit will cover topics crucial to the ever-evolving technology side of the automotive field. Attendees will hear from some of the best in the business, who will address the sophisticated advancements of vehicles today and into the future.

Ron Reichen (Precision Body & Paint) and Danny Gredinberg (Database Enhancement Gateway) will moderate “The Rules – and Challenges – of Structural Repair on Modern Architecture,” which will address on the importance of following OEM procedures and methodology.

“There is still a tremendous lack of average shops really staying up and being abreast of these huge changes we are seeing in vehicle construction and the necessary changes in repair methodology in order to do these cars correctly,” says Reichen about the importance of OEM procedures. “Knowledge is power. If you don’t understand, you can be manipulated by third-party players. There is a lot of

In addition to educational opportunities, industry members who attend SEMA can walk the Collision Repair & Refinish sections and visit with a slew of vendors that are traveling from all around the nation to showcase their products, innovations and technologies. One such exhibitor, Chesapeake Automotive Equipment, will participate in SEMA for the 12th year running. For 2018, they plan to showcase the new i4s welder from Pro Spot and new equipment from Hunter Engineering. A regular exhibitor since 2013, Polyvance will again make their presence known at SEMA. Polyvance President Kurt Lammon is pleased to announce that the company has upgraded to a peninsula booth this year, which will give them an additional area to demonstrate products and allow more room to interact with their visitors.

“The best thing about trade shows is meeting people face to face that you normally would only get to talk to on the phone.”

As veteran SEMA showgoers already know, longtime Show supporter PPG is known for its amazing displays year after year. The company always strives to bring an artistic perspective to the show, and this year’s display will have an array of custom artwork pieces that showcase the unique way PPG’s automotive paint products can be used.

“The goal is to always have fun with the booth and appeal to different customer senses,” offers PPG spokesperson Cristina

While at SEMA, members of the automotive community will have an opportunity to take part in the last Collision Industry Conference (CIC) of 2018. On October 30, CIC will again provide an open forum where attendees can experience discussions of current industry issues. Committee presentations, made by various industry stakeholders, provide up-to-date information and possible solutions.

This includes insurer-repairer relations, advancing vehicle technology, human resources and many other critical topics.

With networking between all segments of the industry, CIC

H&D

October 2018

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OCTOBER 30–NOVEMBER 2, 2018 • LAS VEGAS, NEVADA

SUCCESS STARTS HERE Innovation sells, and if you want to compete in today’s market, you’ve got to have the newest and best products. All the products and technologies your customers will be buying next are yours for the taking. It’s all here: more than 3,000 new product introductions, 500+ first-time exhibitors, plus all the brands, innovations and opportunities that will drive your business to success.

R E GI S T E R F OR S U CC E S S AT S E MA S HOW. C OM

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Audi dealers strive to make you an Audi Genuine Parts fan •

Audi Parts Professionals are your subject matter experts on collision parts, replacement components and mechanical items.

•

Many Audi dealers offer technical service support hotline access that can reduce your repair times and help you meet an on-time promised delivery.

•

Installing Audi Genuine Parts contributes towards improved cycle time that makes both your customer and their insurance company happier.

•

Regardless of the age of your customer’s Audi, Audi dealers have access to over 200,000 part numbers.

No other supplier comes close.

Helping you do business is our business. Order Audi Genuine Parts from these select dealers.

Audi Arlington 3200 Columbia Pike Alexandria, VA 22204 703.739.7490 Fax: 703.684.8420

Audi Bethesda 5206 River Road Bethesda, MD 20816 Parts Direct: 240.762.5636 Parts Fax: 301.718.1847 www.audibethesda.com

Rockville Audi 1125 Rockville Pike Rockville, MD 20852 Parts Direct: 301.296.2870 Parts Fax: 301.762.5055 www.rockville-audi.com

Audi Owings Mills 9804 Reisterstown Road Owings Mills, MD 21117 Parts: 877-411-6825 Parts Fax: 410-372-3380 www.audiowingsmills.com

Audi Annapolis 1833 West Street Annapolis, MD 21401 Parts Direct: 443.482.3280 Parts Fax: 443.482.3281 www.audiannapolis.com

Audi Chantilly 14839 Stonecroft Center Court Chantilly, VA 20151 703.956.2100 Fax: 703.956.2139 www.audichantilly.com

Audi Silver Spring 3151 Automobile Boulevard Silver Spring, MD 20904 844.413.6929 Fax: 301.890.3748 www.audisilverspringparts.com

Audi Virginia Beach 2865 Virginia Beach Boulevard Virginia Beach, VA 23452 Toll Free: 800.277.2122 Parts Direct: 757.687.3483 Fax: 757.687.3490 www.checkeredflag.com

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For Genuine Subaru Body Parts, contact these Authorized Subaru Dealers.

Wilkins Subaru 6913 Ritchie Hwy #2, Glen Burnie, MD 21061 410-689-8066 Fax: 410-689-8008 subparts@wilkinsautomotive.com www.wilkinssubaru.com

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Fitzgerald Lakeforest Subaru 905 North Frederick Ave., Gaithersburg, MD 20879 Phone: 301-670-4881 Fax: 301-670-1595

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Superior service starts with superior parts.

Rely on what Mazda drivers already know-Genuine Mazda parts extend a car's life.

Designed specifically for Mazda vehicles Get the right part the first time We're an accurate, trusted resource as close as your phone Give us the opportunity to serve you

Contact these Mazda dealers for all your parts needs: Brown’s Fairfax Mazda 10570 Lee Hwy. Fairfax, VA 22030 Toll Free: 800-234-8642 Phone: 703-385-3994 Fax: 703-591-5348

Nu Car Mazda 172 North Dupont Hwy. New Castle, DE 19720 Toll Free: 800-346-5283 Fax: 302-322-7135

Ourisman Mazda of Rockville 801 Rockville Pike Rockville, MD 20852 Parts Direct: 301-340-7668 Phone: 855-417-4511 Fax: 240-499-2488 e-mail: rockvilleparts@ourismanautomotive.com www.ourismanmazdaofrockville.com

Fitzgerald Mazda 114 Baughmans Lane Frederick, MD 21702 Toll Free: 800-545-4745 Fax 877-696-1841 E-mail parts@fitzmall.com www.fitzparts.com

Fitzgerald Mazda of Annapolis 1930 West Street Annapolis, MD 21401 Toll Free: 866-280-8022 Phone: 410-224-4636 Fax: 410-224-4264 www.fitzmall.com

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COVER

STORY

“ Ec o n o mi c te r r o r is m ”

That was how Department of Homeland Security Special Agent Jon Ruttencutter described the rise of counterfeit products in the American marketplace during a recent presentation at the Collision Industry Conference in Atlanta. In a world where every dollar counts, unscrupulous merchants resort to selling illegal and faulty items to make a quick buck. While a fake CD or piece of clothing might result in little more than buyer’s remorse, the counterfeit issue takes on a more sinister tone when applied to the collision repair industry.

Despite the presence of a healthy and legitimate national wholesale parts business overseen by professional dealerships and other vendors, counterfeit automotive parts are coming into this country – and sometimes are even produced within our shores – on a daily basis. Although US Customs works diligently to

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Repairers and consumers at risk.

BY JOEL GAUSTEN curtail this trend, they are unable to fully stop common counterfeit parts (including headlights/taillights, suspension systems, engines/drivetrains, glass, hoods, brakes, airbags and wheels) from making their way into body shops and ultimately into vehicles.

Perhaps unsurprisingly, the growth of counterfeiting in this industry has been a direct result of the expansion of e-commerce. While plenty of reputable dealership-hosted online parts sources exist, there are just as many fly-by-night websites operating out of homes or overseas just waiting to sell their questionable wares.

Fortunately, the American automotive industry is taking action. Formed in 2015, the Automotive Anti-Counterfeiting Council (a2c2.com) is a non-profit association of American automobile manufacturers committed to promoting consumer awareness, the use of genuine automotive components and the fostering of open communication within the US auto body community. Operation Engine Newity – a program operated by the National Intellectual Property Rights Homeland Security Special Agent Jon Coordination Center (iprcenter.org) in conjunction with Immigration and Ruttencutter is one of many officials Customs Enforcement (ICE), Homeland Security Investigations (HIS), US working to stop counterfeiting in the Customs and Border Protection, the Federal Bureau of Investigation (FBI) and collision field. other law enforcement agencies – also works to target the importation and distribution of counterfeit automotive components within American borders.

The government’s crackdown on industry thieves is working. As this issue of Hammer & Dolly went to press, Sacramento resident Pavel Ryzhenkov pled guilty to selling counterfeit airbag covers and nameplate badges. According to court documents, Ryzhenkov sold counterfeit airbag covers on eBay between December 2015 and September 2017. He purchased the phony parts from manufacturers in China and later advertised and sold them as genuine with the trademarks of various auto manufacturers, including Audi, BMW, Chevrolet, Dodge, Ford, Honda, Infiniti, Lexus, Mercury, Nissan, Subaru, Toyota and Volkswagen. He faces a maximum sentence of 10 years in prison, a $2 million fine and three years of supervised release. He will be sentenced this December.

As of this writing, 17 states – including Maryland – have laws making it a crime to knowingly sell, import, manufacture or install counterfeit or substandard airbags in a vehicle. Thankfully, Maryland’s strong stance against fake parts appears to have reduced the potential for these items hitting WMABA member shops in the region.

“I’ve been in the dealership environment for 18 years, and I have not seen it,” comments Bill Hawkins, WMABA vice president and collision center manager at BMW/MINI of Annapolis. “I’ve been in the BMW Certified Collision Repair Center [CCRC] world, and we’re ordering our stuff directly from BMW. I don’t even order LKQ stuff. As far as alternative vendors, I think I’ve ordered maybe three used doors in the last five years to save cars that were going to be totaled.”

Former WMABA President Mark Schaech, Jr. is another repair professional in the state who hasn’t seen a single illegal part hit his desk.

“I only order genuine parts. Aside from going online, I wouldn’t know where to get them. None of my suppliers have ever sourced counterfeit parts. I’m sure you can get anything online if you’re looking for it, but I guess those are customers looking to squeeze a profit margin out of parts replacement. In this or any other market, I think you’d have to really look for this stuff. I could see it being a real problem for rebuilders and people who are buying auction cars and throwing them together.”

Unfortunately, the very existence of the Automotive Anti-Counterfeiting Council and other endeavors to stop the trafficking of these dangerous products proves that there is a market for them somewhere in this industry. During CIC, attendees were polled to see if they thought it was possible to get a counterfeit part from a current supplier. A shocking 74 percent said it was “very likely.” As long as there are repair businesses out there looking for cost-savings over quality – whether because of internal greed or outside pressure – the fight against this vehicular underworld will likely continue.

As Schaech says, “When I see a lot of attention brought to an issue like this, it becomes clear that the real issue is underpayments and that insurers that won’t pay for OEM procedures and quality parts.” H&D

Executive Director’s Thoughts

With the increased prices for safety-related (or even non-safety related) components, it’s no surprise the market for counterfeiting is growing. When polling our own Board, we hadn't encountered it, but that doesn’t mean these parts aren't inadvertently getting into their shops. Sourcing parts from reputable places is the best way to mitigate the potential of getting one of these black market items. Seeing the changes to airbag timing was sickening! - Jordan Hendler

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Alexandria Volkswagen 107 West Glebe Rd. Alexandria, VA 22305 703-684-7007 Fax: 703-684-4138

Fitzgerald Volkswagen 114 Baughmans Lane Frederick, MD 21702 Toll Free: 800-545-4745 Fax: 877-696-1841

e-mail: parts@alexandriavw.com

e-mail: parts@fitzmall.com www.fitzparts.com

Karen Radley Volkswagen 14700 Jefferson Davis Hwy. Woodbridge, VA 22191 703-550-0205 Fax: 703-643-0081

King Volkswagen 979 North Frederick Ave. Gaithersburg, MD 20879 Parts Direct: 240-403-2300 Fax:240-403-2398 e-mail: parts@vwking.com www.vwking.com

Fitzgerald Volkswagen of Annapolis 34 Hudson Street Annapolis, MD 21401 Phone: 410-224-4636 Fax: 410-224-4264

Ourisman Volkswagen of Rockville 801 Rockville Pike Rockville, MD 20852 Parts Direct: 301-340-7668 Toll Free: 855-417-4511 Fax: 240-499-2488

www.fitzmall.com

e-mail: rockvilleparts@ourismanautomotive.com www.ourismanvolkswagenofrockville.com

Ourisman Volkswagen of Laurel 3371 Ft. Meade Rd. Laurel, MD 20724 Phone: 301-498-6050 Fax: 301-498-0157 www.laurelvolkswagen.com

Ourisman Volkswagen of Bethesda 5415 Butler Road Bethesda,MD 20816 301-652-2452 Fax: 301-652-2589 e-mail: vwwholesale@ourisman.co

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Get it right from the source.

Ford and Lincoln Mercury dealers are the one-stop source for all of your collision repair needs.

When you need fascias, grilles, headlamps, wheels or any other Ford Motor Company Genuine Part, call your local wholesaling dealership. They’re a great souce for technical and repair information as well. Using Genuine Parts can help your body shop reduce cycle time, improve relationships with insurance companies and satisfy customers. So get everything you need in just one call to your one-stop collision repair resource – your local Ford or Lincoln Mercury Dealership.

Contact us for all your parts needs: WALDORF FORD 2440 CRAIN HWY, WALDORF, MD 20601 Phone: 301-843-3028 Fax: 301-843-0334 e-mail: parts@waldorfford.com www.waldorfford.com

© 2018, Ford Motor Company

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Advancing the art of refinishing into the future.

NOW THAT’S HIGH PERFORMANCE The ENVIROBASE® High Performance refinish system combines the latest translucent and opaque pigments with an OEM-like spectral gray undercoat system. The result is a finish with a depth of clarity and crispness unrivaled by other paint systems. Another reason why the Envirobase High Performance brand is the leading premium waterborne basecoat system in North America.

SUPERIOR COLOR ACCURACY HIGH PRODUCTION THROUGHPUT COST-SAVING EFFICIENCIES

envirobase.com ©2018 PPG Industries, Inc. All rights reserved. The PPG Logo and Envirobase are registered trademarks of PPG Industries Ohio, Inc.