Texas Automotive March 2019

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The official publication of the Auto Body Association of Texas and the Houston Auto Body Association

March 2019 $5.95

UNITED FOR THE

CONSUMER: ABAT and HABA Join Forces at the Capitol Page 18

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Contents

MARCH 2019

on the

18

cover

UNITED FOR THE

ABAT BOARD OF DIRECTORS

Vice President Brandon Dodd Lloyd's Body Shop brandon@lloydsbodyshop.com (903) 734-5175

CONSUMER:

President Burl Richards Burl's Collision Center burl@burlscollision.com (903) 657-8082

ABAT and HABA Join Forces at the Capitol

Chairman of the Board Corey Pigg S&W Expert Collision Repair coreyp@swcollision.com (936) 634-8361

By Joel Gausten

Treasurer David Osburn South West Collision Center dosburn@southwestautogroup.com (855) 395-2720 Executive Director Jill Tuggle jill@abat.us (817) 899-0554

ABAT BOARD MEMBERS

DEPARTMENTS

6 8 10 15 23 26

Official publication of the Auto Body Association of Texas and the Houston Auto Body Association

Kevin Ellison Westway Ford kellison@vtaig.com (972) 584-9033

Chad Neal Innovative Collision Equipment Chadwneal@yahoo.com (817) 527-2143

Chad Kiffe Berli's Body & Fine Finishes chadk@berlisbody.com (512) 251-6136

Darrell Smith McDaniel’s Quality Body Works Inc darrell-mcdaniels@sbcglobal.net (903) 753-5391

Dean Griffin Moritz Dealerships dean.griffin@moritzmail.com (817) 696-2000

PRESIDENT’S MESSAGE By Burl Richards We’re on a Roll!

EXECUTIVE DIRECTOR’S MESSAGE By Jill Tuggle “I’m Just a Bill…”

Robert McDorman Auto Claim Specialists rmcdorman@autoclaimspecialists.com (817) 756-5482

Manuel Rubio Miracle Body & Paint manuelr@miraclebp.com (210) 843-9564

Mike Williams All Star Collision Center sales@allstarcollision.us (903) 589-3160

Eric McKenzie Park Place Dealerships emckenzie@parkplace.com (214) 443-8250

EDITOR’S MESSAGE By Joel Gausten Never Give Up ASK THE EXPERT By Robert L. McDorman How Do Non-OEM Certified Repairs Affect Vehicle Value?

INDUSTRY ADVICE: ASK MIKE By Mike Anderson How Has the World of Estimating Evolved?

VENDOR SPOTLIGHT By Alana Bonillo Wheel Technologies

HABA BOARD OF DIRECTORS

President John Kopriva Kopriva Body Works jtkopriva@gmail.com (713) 923-4412

Vice President Ronnie Brush Westside Lexus Collision Center rbrush@westsidelexus.com (281) 584-2285 Chairman of the Board Greg Luther Helfman Collision Center gluther@helfman.com (713) 533-6226

PUBLISHER Thomas Greco / thomas@grecopublishing.com

ASSOCIATION NEWS 28 ABAT MEMBER PROFILE

SALES DIRECTOR Alicia Figurelli / alicia@grecopublishing.com

30 HABA MEMBER APPLICATION

Tipotex Chevrolet

ADVERTISING SALES: Jill Tuggle / jill@grecopublishing.com CREATIVE DIRECTOR Lea Velocci / lea@grecopublishing.com

29 ABAT MEMBER APPLICATION

EDITORIAL DIRECTOR Joel Gausten / joel@grecopublishing.com EDITORIAL/CREATIVE COORDINATOR Alana Bonillo / alana@grecopublishing.com

ADVERTISERS’ INDEX 300 Advantage ..........................................................11 AAMStraining.com ....................................................10 AkzoNobel ..................................................................13 Auto Claim Specialists ............................................3 Beacon Equipment Resources ..............................16 Capital Paint & Refinish............................................21 CAR-O-LINER Southwest ........................................IFC Classic Chevrolet Sugar Land................................24 Classic Chevrolet Grapevine..................................9 Dallas Dodge..............................................................OBC English Color & Supply ............................................11 Guni-Wheel ................................................................11

OFFICE MANAGER Donna Greco / donna@grecopublishing.com

Innovative Collision Equipment ............................14 J&J Paint Supply ........................................................IBC Phantom Equipment & Hydraulic Repair ............7 PPG ..............................................................................5 ProLine Tool & Supply..............................................27 Reliable Automotive Equipment............................17 Scott Portfolio ............................................................22 Sherwin-Williams ......................................................25 Spanesi ........................................................................14 Tasco Auto Color ......................................................9 Wheel Technologies ................................................27 Yesterwreck ................................................................24 4 MARCH 2019 Texas Automotive

Published by: Thomas Greco Publishing, Inc. 244 Chestnut Street, Suite 202, Nutley, NJ 07110 Corporate: (973) 667-6922 / FAX: (973) 235-1963

www.grecopublishing.com TEXAS AUTOMOTIVE is published monthly and is sent to ABAT and HABA members free of charge. Subscriptions are $24 per year. TEXAS AUTOMOTIVE is published by Thomas Greco Publishing Inc., 244 Chestnut St., Nutley, NJ 07110. The editorial contents of TEXAS AUTOMOTIVE are copyright © 2019 by Thomas Greco Publishing Inc. and may not be reproduced in any manner, either in whole or in part, without written permission from the publisher and/or editor. Articles in this publication do not necessarily reflect the opinions of Thomas Greco Publishing Inc. Stock Images courtesy of www.istockphoto.com.

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President’s Message

We’re on a Roll!

I’m excited that you’re holding this month’s issue of Texas Automotive in your hands, as it details what is quickly becoming the best and most active time in ABAT and HABA’s history.

T

is month, you’ll read all about our recent day in Austin in support of our consumer-safety bill. Although I walked away from the event encouraged and inspired by our interactions with legislators, what stood out most for me from the experience was seeing how passionate and articulate our industry has become.

As an example, I looked on in awe and admiration as members of ABAT and HABA (as well as the Southeast Texas Collision Repair Group) chatted with representatives from the Office of Public Insurance Counsel (OPIC) – an entity that represents the interests of Texas consumers in insurance matters – on the steps of the Texas State Capitol

and clearly communicated our concerns and issues. It was impossible to ignore these members’ intelligence, enthusiasm and willingness to step up for their customers and industry peers. Collision repairers are the real experts on what it takes to properly restore a damaged vehicle to a safe condition, and we are now succeeding in sending this message to the people who need to hear it most.

When I look back at how far we were able to go during the previous legislative session, it’s like comparing night and day. We have a lot more momentum behind us this time, and that progress is sure to continue. We’re on a roll, and I’m incredibly proud of everyone who has helped ABAT and

Burl Richards ABAT President HABA expand our reach and influence in recent times.

Moving forward, both associations will continue working together to push for proper enforcement of current laws and promote new ones that benefit the motoring public. Please reach out to us or HABA if you would like to learn more about our current bill and how you can help shape the future of our industry.

TXA

burl@burlscollision.com

Collision repairers are the real experts on what it takes to properly restore a damaged vehicle to a safe condition, and we are now succeeding in sending this message to the people who need to hear it most.

6 MARCH 2019 Texas Automotive

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7 MARCH 2019 Texas Automotive

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Executive Director’s Message

“I’m Just a Bill…”

House Bill 1348 is getting a lot of recognition in Texas and across the country.

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ere has been a lot of interest in supporting it, but many people are unsure of how to do so.

Government was not something that interested me much in the past, so I didn’t even have a basic understanding of how this all worked.

When ABAT announced its plan to submit a bill in Texas, I just buried my head in the sand hoping the Board of Directors would take the reins. However, that response could only last me so long. Members and meeting attendees began asking me questions about the bill and the process, and I soon realized I was not alone in my lack of understanding. Eventually, I had to “put on my big-girl pants” and venture into this new territory. With much help along the way, I have gained an understanding of how a bill becomes a law. (Cue the Schoolhouse Rock song.)

Understanding the legislative process does not have to be daunting. By looking at the big picture, it’s much easier to understand how a bill is born and then either passes as law or dies. ere are a lot of circumstances that can happen or times when special processes are implemented, but understanding the normal life course is the best place to start. e basic process is shown in the graphic at left.

When a group wants to create a law, the first step is to get the attention of either someone in the Texas House of Representatives or a Texas senator. In order to write the bill and have it introduced in the House or Senate chambers, you must have a legislator to sponsor your bill. Bills either start in the House and move to the Senate or vice versa. e most favorable scenario is for it to run in both chambers at the same time. at requires a sponsor in each chamber when the session opens.

Jill Tuggle ABAT Executive Director In our case, we are starting in the House of Representatives, and Rep. Travis Clardy is the sponsor for HB 1348. e sponsor can help you write the bill, and they will file it in their chamber. e bill is given a number based on the order it is filed. e lower the number, the better. e House and Senate session opens with a 60-day period for all bills to be filed. e deadline for this session is March 8.

After the bill is filed, it is then assigned to a committee. HB 1348 will most likely be assigned to the House Committee on Insurance. All legislators sit on a committee – sometimes more than one. e committee hears testimony from both the supporting and opposing side of the issue. is is a very important step in the process. We all have a First Amendment right to petition our government. Hearing from business owners who have to fight with insurance companies day in and day out can help to guide passage of the bill through committee. It will be crucial for us to fill the room with witnesses and supporters and educate committee members about the scope of the problem. e committee then votes to either amend the bill, pass it or let it die.

After passage through the House Committee on Insurance, the bill goes to the Calendars Committee to set a calendar date for consideration by the entire House. At this

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point, the chamber has the ability to debate and amend the bill once again. A full House vote is cast, and a bill may be passed by a simple majority vote. A bill can die here as well (usually from lack of attention).

Once the full House has voted to pass the bill, it goes to the Senate and the process starts all over in the Senate. If the House and Senate pass different versions of a bill, it goes to a “conference committee” where selected members from each chamber try to hash out their differences to create and vote upon a final bill. Once the bill makes it through all these processes, it goes to the Governor’s desk for final approval.

One thing that has been made clear to me is that when a bill “dies,” it is not the end of the road. You may resubmit your bill at the next session (every two years). Most bills take three or more attempts to get passed. Each time we submit our bill, we garner more attention and support for it. e snowball is growing, and we are very optimistic this session.

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9 MARCH 2019 Texas Automotive

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Editor’s Message

NEVER GIVE UP Joel Gausten Editor

ABAT and HABA did it.

A

A few weeks ago, nearly 100 members from both associations gathered in Austin on a Tuesday to inform legislators of House Bill 1348 and their combined aim to better protect Lone Star State consumers. A weekday is not exactly an ideal time for people to leave their business and spend the day at the Texas State Capitol, but an impressive number of industry professionals did exactly that to help generate support of their cause. is was a momentous achievement for everyone involved and a sign that things could very soon change for the better. Coverage of this special day is featured in this month’s issue. If you were unable to participate in this most recent event, ABAT and HABA

look forward to and greatly appreciate your time, help and support moving forward. After all, it’s very possible that a difficult and pothole-filled road to success is ahead. e legislative process can be long and frustrating, but it is never without hope. Yes, I’ve seen industry representatives continue to promote passage of a bill after 10-plus years, but I’ve also seen state associations knock it out of the park in a single session. e world of politics is complex, and you’ll often have more than a few adversaries standing in the way of what you want. However, that is no reason to throw in the towel if/when things get tough. e Texas collision repair community is striving for

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tremendous change on behalf of consumers, but progress at this level is rarely achieved without resistance. If my nearly 20 years covering the national automotive industry have taught me anything, it is that success at the Legislature is worth everything you put into it. ere will likely be moments when the journey will be more challenging than ever anticipated, but these are the times you’ll push harder. No matter how things go these next several months (or perhaps years), don’t give up.

You’ll get there.

Addressing safety issues in the workplace can result in: • Increased productivity • Higher quality products • Increased morale • Reduced turnover • Reduced injuries • Improved labor/management relations

10 MARCH 2019 Texas Automotive

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Ask the Expert

By Robert L. McDorman

How Do Non-OEM Certified Repairs Affect Vehicle Value?

Dear Mr. McDorman: I own and operate a collision facility in Tyler.

We always make it a practice to have our client’s vehicles disassembled and ready for inspection before the carrier’s appraiser arrives. We also make it a practice to have our OEM-approved repair plan completed prior to the carrier’s appraiser showing up at our facility. Even though we have these timely and costly steps performed and all OEM procedures documented, each carrier appraiser always discounts our OEM-approved repair plan and generally leaves us with a less than desirable non-OEM approved repair plan. Generally, after several supplements and hours of negotiation over the phone, we will end up with about 75 percent of the required OEM procedures being paid for by the carrier. Often, we’re faced with the same issues as the operator of the San Antonio facility who wrote in about short-pays in the November 2018 issue.

Even though we are concerned about being compensated fairly to perform a safe, OEMapproved repair, we are equally concerned for the consumers who elect to settle for a less than desirable carrier repair plan or decide to use another collision facility that does not recognize a proper OEM repair. Does a less than desirable collision repair or non-OEM approved collision repair affect the actual cash value (ACV) of the consumer’s vehicle?

In the event that the collision facility elects to shortcut the collision repair, not return the vehicle to its pre-loss OEM condition and only perform the operations they are paid for by the carrier – thus leaving the consumer with a non-OEM approved collision repair – how would this affect the consumer’s ACV of their vehicle since it has not been returned to its pre-loss condition? How would consumers be compensated for the diminished value they have suffered?

ese are great questions. Diminished value will always exist on a repaired vehicle. is is the case even if the vehicle has been repaired to the best of one’s human ability. Any variation of the OEMapproved repair will add to the diminished value of the vehicle and introduce potential safety issues.

In Texas, there is no set formula for diminished value claims, which are recognized because the Insurance Commissioner suggested they be so as part of the liability. With this said, it leaves a huge amount of subjectivity for these types of claims and discounted settlements. Each carrier handles these claims differently, and few of them put in an honest effort to make the damaged party whole.

When the carrier issues a less than desirable non-approved OEM repair plan, that company has aided in the diminished value of the vehicle and harmed the insured or claimant. In each of these cases, the insured or claimant has been underindemnified and financially harmed. ese types of issues go undocumented because the carriers seldom do reinspections by independent third-party appraisers. e collision facilities that realize inherent diminished value exists even when the repair is performed to the best of one’s human ability keep OEM-certified pre-owned brochures and checklist on file and will use these items to help detour the carrier from requesting any operation that would be in contrast with the OEM. In each case that the carrier authorizes or instructs the collision facility to perform an operation that directly precludes the vehicle from being able to qualify for OEM-certified pre-owned status, the insured or claimant is not made whole and is caused financial harm. Our subsidiary, Vehicle Value Experts, has a library of OEM brochures and checklists available upon request.

It is best to always have the client involved in the repair plan and negotiations with the carrier regarding what they will or will not pay for. In most cases, a motor vehicle is a consumer’s second-largest

15 MARCH 2019 Texas Automotive

Robert is a recognized Public Insurance Adjuster and Certified Vehicle Value Expert specializing in motor vehicle-related insurance claim resolution. As the general manager of Auto Claim Specialists, Robert expertly leads this National Public Insurance Adjuster Agency, which is currently licensed in 11 different states and specializes in providing automotive-related claim liquidation techniques, strategies and motor vehicle valuation services to all parties, including individual consumers, body shops, auto dealers, repair facilities, towing and storage operations, lenders, finance companies, banks, legal professionals, governmental agencies and others. The firm’s consistent success can be attributed to Robert’s 35+ years of automotive industry knowledge, practical hands-on experience and multiple certifications, including licensure by the Texas Department of Insurance as a Public Insurance Adjuster. Auto Claim Specialists clients can absolutely trust that they will be provided with analytical, sophisticated, state-of-the-art, comprehensive, accurate, unbiased and up-to-date data and information that all parties can rely upon as both factual and objective.

Robert can be reached at (800) 736-6816, (817) 7565482 or asktheexpert@ autoclaimspecialists.com.

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Ask the Expert purchase. e motor vehicle should always be treated as an investment. As with any investment, if it is mismanaged, the value will be lost. In my professional opinion, each time the consumer agrees to and or accepts a less than desirable non-OEM collision repair, they have accepted the inherent diminished value they have been dealt. We routinely see instances where a $900 non-OEM operation was performed on the vehicle and diminished the actual cash value by $1,600. When I am speaking with clients concerning proper repair procedures, we always look to what the OEM says is a proper and safe repair. Anything short of that adds to the diminished value of a collision repaired vehicle and/or the potential of an unsafe repair. e higher the quality of the repair in each collision, the less the diminished value. Even when the vehicle is returned to its pre-loss OEM condition and the collision repair was performed to the best of one’s human ability, inherent diminished value exists.

Please call me if you have any questions relating to the vehicle value before or after the OEM-approved repair process. A safe repair is a quality repair, and quality equates to value. I thank you for your questions and look forward to any follow-up questions that may arise.

Sincerely, Robert L. McDorman TXA

16 MARCH 2019 Texas Automotive

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Cover Story

UNITED FOR THE CONSUMER: On a Tuesday morning, nearly 100 body shop owners, technicians and other automotive professionals united and hit the Texas State Capitol for a special “Collision Day” created to gain support for House Bill 1348.* As discussed in recent issues of Texas Automotive, this critical legislation will (among other things) establish that an insurer “may not consider a specified part or product for the repair of a motor vehicle to be of like kind and quality as an original equipment manufacturer part or product for any purpose” unless the insurer or the part manufacturer can demonstrate the following:

ABAT and HABA Join Forces at the Capitol February 12 was the day the Texas auto body community truly had its say.

18 MARCH 2019 Texas Automotive

e replacement part meets the fit, finish and quality criteria established for the part or product by the original equipment manufacturer of the part or product. e replacement part is the same weight and metal hardness established for the part or product by the original equipment manufacturer of the part or product. e replacement part has been tested using the same crash and safety test criteria used by the original equipment manufacturer of the part or product.

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By Joel Gausten

Opposite: Members of the TX auto body community gathered in Austin.

(Photo courtesy of Robert Castillo) Clockwise from top left: ABAT President Burl Richards speaks in Austin; the Honda Fit involved in the John Eagle case appears at the Capitol; HABA President John Kopriva urges legislative support of safe and proper repairs. (Photos by Texas Watch)

Industry members traveled from all parts of the state – and, in many cases, drove for several hours – to take part in “Collision Day.” Participants included the Auto Body Association of Texas (ABAT), the Houston Auto Body Association (HABA), the Southeast Texas Collision Repair Group and the non-partisan citizen advocacy organization Texas Watch (texaswatch.org). e massive turnout earned the attention of CBS’ Austin affiliate, which aired a 44-second report on

the event that focused heavily on the repair industry’s desire to ensure consumer safety. Additionally, the segment put a spotlight on the appearance of the Honda Fit involved in the John Eagle case, which “Collision Day” organizers arranged to have transported to the Capitol grounds.

Looking back on the day weeks later, ABAT President Burl Richards is still amazed by the level of interest received by the industry’s push in and around the Capitol.

19 MARCH 2019 Texas Automotive

“We had a very positive response from lawmakers. My local state senator, Bryan Hughes, had heard that I was going to be down there, so [his office] actually reached out to me the day before and asked me to come by and explain to him what the bill is about and what we were doing.”

“Collision Day” featured speeches by Richards, HABA President John Kopriva and Texas Watch Executive Director Ware Wendell. An inspiring highlight came

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Cover Story when Representative Travis Clardy, the main sponsor of House Bill 1348, asked those who traveled to support the bill to please stand. e sight of nearly 100 people rising up in the House Gallery left an everlasting impression on lawmakers and media.

Although the industry representatives in attendance did a stellar job of conveying the industry’s concerns and the proposed legislative solution, the greatest impact both associations made in Austin had nothing to do with the words they spoke. e presence of the Honda Fit sent shockwaves among spectators and said more about the need for OEM-required/recommended repairs than dozens of repair professionals hitting the halls of the Texas State Capitol ever could. “ere were a lot of people who, when seeing the car for the first time, put their hands over their mouths,” recalls Kopriva.

“Some people asked, ‘How could anyone survive something this severe?’” “e Fit really personifies everything,” adds ABAT Executive Director Jill Tuggle.

“You can tell people about an issue all day long, but when you can put a visual out there – and people can see the effects of an unsafe repair – that certainly makes an impact. People drive cars every single day.

When we see the Fit and how it was absolutely crushed, melted and gutted, we can all connect to that. All the legislators we’ve spoken to 100 percent agree that consumer safety is an issue and that we definitely need to do something about the current situation.”

With “Collision Day” fueling tremendous attention, ABAT and HABA

Ware Wendell of Texas Watch (left) and Rep. Travis Clardy spoke in support of House Bill 1348 and consumer safety. (Photos by Texas Watch)

have set their sights on getting the bill passed through the House Committee on Insurance and building support in the Senate. Tuggle encourages ABAT members and the greater industry to stay positive and actively involved throughout the legislative process.

“In the national presidential races, there are people who feel like their vote doesn’t always count and they’re just one number in millions. But in this instance, it’s so much smaller that their voice really makes a difference. Because we’re up against something so strong and powerful as the insurance lobby, their support is going to matter.”

For Kopriva, passage of House Bill 1348 would go a long way in bringing

You can tell people about an issue all day long, but when you can put a visual out there – and people can see the effects of an unsafe repair – that certainly makes an impact.

- ABAT Executive Director Jill Tuggle on the presence of the crashed Honda Fit at “Colliision Day” at the Capitol.

20 MARCH 2019 Texas Automotive

insurers in line with the changing technological demands facing repairers. As the John Eagle verdict clearly demonstrated, there is a correct way and a catastrophic way to repair a vehicle in 2019 – and the collision industry in Texas is determined to stand on the right side of history. “e industry finally recognizes that you can’t repair cars today like you did just five or 10 years ago. It’s a different repair procedure now.”

Armed with a powerful bill, strong support in the Legislature and enthusiasm from their respective memberships, ABAT and HABA are committed to seeing House Bill 1348 reach the finish line. “Collision Day” was a rousing success, but it was only the beginning. “is is a different day, and people want to be involved,” Kopriva says. “e industry has finally awakened like a giant.” *e complete text of House Bill 1348 is available at capitol.texas.gov/tlodocs/ 86R/billtext/html/HB01348I.htm.

TXA

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Industry Advice: ASK MIKE

How Has the World of Estimating Evolved?

This month, we “ASK MIKE” to share some of his recent experiences working as a part-time estimator as part of his industry consulting business, Collision Advice. We at Texas Automotive hope you find the following exchange useful, and we encourage you to reach out to us if you have a question for Mike on this or any industry-related matter that he can answer in a subsequent issue.

Texas Automotive: In your current role as an industry consultant, you occasionally work as an estimator at your client shops. A lot has happened in this industry since you sold your shops almost nine years ago. What are the biggest things you experience now as an estimator that are surprising when compared to the way things were back when you ran your businesses?

Mike Anderson: When I was in business, we always did quality repairs. I know everybody says that, but we truly did. But today, the amount of time that it takes to research repair procedures, and the amount of sales that an estimator can handle now versus even five years ago, has changed greatly. e amount of time that it takes to meet customers’ expectations in regard to service is greater than in the past.

I recently wrote an estimate for a Nissan quarter panel replacement, and it literally took me five hours to research all the OEM repair procedures, calibrations and one-time-use parts. Writing an estimate today is much more labor-intensive than it ever was back in the day. Eight years ago, we could write a $20,000 job in four

hours. Today, it’s not just about taking the car apart and punching everything in.

In regard to human resources, I had someone – my assistant, Tiffany – doing all my bookkeeping, accounting and HR. Today, there are many more things that you have to worry about. You need to make sure your employees aren’t posting pictures of a client’s car on Facebook. You have to make sure you’re abiding by all the laws in regard to pay plans. ere’s so much more time in human resources now.

Today, there are so many more I-CAR classes and OEM training courses. KPIs were always important, but today there are three times as many of them that you need to manage as a business owner. ings have changed a lot in the past eight years. You really have to work smart and utilize technology to be efficient and effective. It’s not cut and dried anymore; it’s much more labor-intensive on the administrative side.

TXA: What is your impression of current shop-insurer relationships? Have you seen improvements in that over the years, or are there still major issues that haven’t been properly addressed?

23 MARCH 2019 Texas Automotive

Mike Anderson is an Accredited Automotive Manager (AAM) and the former owner of Wagonwork Collision Centers, two highly acclaimed shops located in Alexandria, VA. He has served as a member of many industry organizations throughout his career, including the WMABA Board of Directors, the Mitchell Advisory Board, the MOTOR Advisory Board, the ASE Test Review Committee, the National Auto Body Council, the Collision Industry Conference and the Society of Collision Repair Specialists. Additionally, he is a past Virginia SkillsUSA chairman, serves as a facilitator for Axalta Coating Systems’ highly recognized Business Council 20 Groups in both the US and Canada and facilitates numerous courses for Axalta Coating Systems’ Educational Series. He currently offers expert industry consulting via his latest venture, Collision Advice (collisionadvice.com).

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Industry Advice: ASK MIKE MA: Back then, the friction points were things like feather, prime and block or finish, sand and buff – stuff that you really wouldn’t have liability over. Today, the friction points are more over things that have a huge amount of liability. Today, the friction points are following OEM repair procedures to a ‘T,’ scanning, calibrations and more. Also, I think the entry-level costs for somebody to open a body shop today are much higher than they were 10 years ago for the different welders, rivet guns, aluminum stalls and certification fees. e overhead expenses are much greater. It was easier to make money 10-15 years ago. You can still make money today, but you’ve got to work harder to get it.

TXA: Based on your consulting work, what are some of the primary issues or areas of concern that you’d like to see shops make more of an effort to address this year?

MA: Before, you could run a business by your gut. Today, everything you do has to be strategic and well thought out. You need to decide what your return on investment is going to be. In some cases, you almost have to become a specialist in certain vehicle brands. You can’t be all things to all people today; you have to determine where your focus is going to be in the future.

We use computers so much today, and you need to worry about firewalls, spam and privacy. While they should have been a concern back then, they were not as important then as they are today. ere is a higher financial commitment today for IT infrastructure as opposed to 10 years ago.

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Vendor Spotlight

By Alana Bonillo

Wheel technologies Wheel Technologies stands at the forefront of wheel repair in the Lone Star State. e company is the brainchild of automotive industry veteran Danny Blaser. His strong background in the automotive field led him to see a need for wheel repair at a time when aluminum began to be the new material used in manufacturing.

“A lot of people hadn’t heard of wheel repair at the time,” he says of the early years. “We focused on getting our name out there and growing the business. As the market continued to grow, the need for our services increased as more cars came out with aluminum wheels.”

Aluminum wheels eventually became mainstream, and Wheel Technologies dedicated itself to the market by repairing wheels that had been damaged by any type of impact and returning them to “like-new” condition.

As the need for this expertise increased, so did the company’s footprint. Over the years, Wheel Technologies expanded out of Dallas into Houston, Austin and San Antonio and even moved into Oklahoma with locations in Tulsa and Oklahoma City.

As Blaser recalls, the goal of the industry at the time was to see who could fix the most severely damaged wheels.

But then, something changed.

Much like the aluminum that inspired Blaser’s innovation in wheel repair, the John Eagle lawsuit led him to reconsider the entire focus of his business.

Always forward-thinking, Blaser is now steering Wheel Technologies in a new direction. Due to mandatory OEM

Wheel Technologies provides expert service with special attention paid to OEMs.

requirements, his operation no longer performs structural repairs on wheels.

Instead, the company has modified its standards to closely align itself with manufacturers’ position statements while working with the body shops that want to be sure they are complying with the steps needed to properly and safely repair vehicles. e company’s focus will now be on recoating, repainting and refinishing. “ere are still companies that pride themselves on fixing wheels that should not be fixed, but we won’t do that. We are one of the few out there that really has changed its standards of what we will and won’t repair.”

If a wheel is non-repairable, the company will offer customers a reconditioned replacement wheel from stock. Wheel Tech has tested its reconditioned wheels at an independent facility and meet or exceed SAE J328 and SAE J175 impact, load and finish industry standards.

26 MARCH 2019 Texas Automotive

While Blaser admits that it was a big step to walk away from a lot of business by moving away from structural repairs, he feels stronger about putting quality first by adhering to OEM procedures.

“Even though we are in an imperfect industry, we try to be a leader and have the best techniques, best equipment, best employees and best professionalism out there. at is what we strive to do. We are trying to give the people – the customers, the body shops and even the manufacturers – what they want.”

For more information, please visit wheeltechnologies.com or call (800) 210-2371.

TXA

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27 MARCH 2019 Texas Automotive

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ABAT Member Profile

By Alana Bonillo

Tipotex Chevrolet BODY SHOP Tipotex Chevrolet has been a leader in the South Texas automotive sales and service business – including collision repair and refinishing – for more than 85 successful years. e new car dealership has been owned and operated by members of the Knapp family since 1934, when F. E. “Everett” Knapp, Sr. and his brothers purchased the Chevrolet dealership once located in Brownsville’s historic downtown center on Elizabeth Street. After WWII and graduating from Texas A&M University, Everett’s son, F. E. “Francis” Knapp, Jr., became the president and dealer operator for the next 65 years until his passing in 2014.

Today, Marsletta Knapp, Francis’ daughter and also an A&M graduate, assumed the leadership position. Francis’ son, F. E. “Rett” Knapp, III. serves as company officer. Mark Roberts is the vice president and general manager, having joined the business in 1989 as a partner.

In 1996, the dealership relocated to its current, modern facility located on North Expressway 77, which includes a new and larger collision center. Since 1995, Sergio C. Hernandez has headed up the department, increasing sales year after year with a loyal team of nearly 20 industry-trained technicians and support staff who know how to fix a vehicle right.

“Our slogan says it all: ‘We Fix It Right! We can say that because our shop is I-CAR Gold Class, and we are proud to have I-CAR Platinum technicians making the repairs and doing it the right way,” he says.

Hernandez further stated that all of his staff participate in General Motors Training as well as Automotive

Left to right: F. E. Knapp, Marsletta Knapp, Daniel Ledesma, Sergio C. Hernandez, Ubaldo Gamez, Luis Garcia, Eleno Herrera, Christine Puente and Mark Roberts

Management Institute (AMi) courses, where Hernandez himself has earned the Collision Accredited Master Automotive Manager (AMAM) standing. It’s Hernandez’s strong pursuit of the latest technology and repair technique training that makes Tipotex Body Shop so successful.

“It keeps the team on top of industry developments and repair procedures for safe outcomes. We are very careful in following all manufacturers’ repair procedures and not just for GM [our manufacturer]. It has to be done right for our customer’s safety.”

Tipotex’s involvement with ABAT is another valuable tool that helps the business stay up to date with the latest changes and challenges in the industry.

“It’s been a great networking opportunity for me as a manager. I bring it back here [to the shop], and we are able to improve upon what we were doing before.”

Hernandez has been attending ABAT’s Texas Auto Body Trade Show for the past three years and always returns armed with useful knowledge that he then applies in their own shop.

Last year, he brought along one of his estimators. He intends on bringing others to this year’s event and thereafter to keep the team apprised of industry developments.

Earlier this year, ABAT organized a group of industry leaders, including Hernandez, who visited with various Texas state legislators – including Brownsville State Representative Eddie Lucio III., the chairman of the state’s Insurance Committee; and his father, State Senator Eddie Lucio, Jr. – in support of the collision industry. ese legislators received the group and its message on pending legislation well.

Maintaining strong ties to the local community is another important culture of this dealership. In addition to being an ABAT member, Hernandez is heavily involved in the Brownsville Chamber of Commerce, serving on his second three-year term in support of the local business community’s interests. As a way to address the industry’s longstanding need for more technicians, the dealership makes it a point to support local high schools, post-high school and technical schools’ auto body programs. Tipotex recruits their future techs from the pool of students. ese students start out job shadowing in the Body Shop, then become interns and apprentice-techs while attending school. Upon graduation, a full-time position and career follows for the best students who demonstrate an ability to master the craft.

“We believe in getting them started early to get them prepared for the industry,” Hernandez says.

By being present and prepared for ongoing change, Tipotex Chevrolet Collision Center has found the secret to great success and longevity in a challenging – but always rewarding – industry.

28 MARCH 2019 Texas Automotive

TXA

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29 MARCH 2019 Texas Automotive

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HOUSTON AUTO BODY ASSOCIATION Membership Application Please Print

Company Name:

Primary Contact:

________________________________

________________________________

Business Address, City, Zip Code

Phone:__________________________

________________________________

Years in Business: __________

Email:___________________________

Website:_________________________

____ Member Dues $450 (all body shops)

____ MSO dues $250 Per Shop

____ Af liate dues $450

____ Sponsorships - See Attached

NOTE: Please make your check payable to Houston Auto Body Association or (HABA) and submit membership dues and application to: Houston Auto Body Association 4619 Harrisburg Blvd.

Houston, Texas 77011 or sign up online @ www.HABAonline.org All new membership applications require nomination and review from the Board and a majority vote for nal approval.

(Please Sign Here) X _______________________________________ Referred By:

_______________________________________

By signing this form, I agree to abide by the Association code of ethics including all bylaws that govern the Houston Auto Body Association.

OUR MISSION The Houston Auto Body Association is comprised of collision repairers devoted to the advancement of the collision repair industry. Our mission is to create an environment of professionalism, respect, accountability, excellence, enthusiasm and the ability to collect fair and reasonable compensation for collision repairers who properly restore vehicles to their safe pre-loss condition.

30 MARCH 2019 Texas Automotive

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