56
The California Department of Insur- ance (CDI) has submitted proposed amendments to its Standards for Repair and Use of Aftermarket Parts Regula- tion. Included in language is a require- ment that insurers disclose in writing if they require “that such parts are of like kind, quality, safety, fit and perform- ance as original equipment manufac- turer replacement crash parts.” “No insurer shall willfully depart from or disregard accepted trade stan- dards for good and workmanlike repair in the preparation of claim settlement offers or estimates prepared by or for the insurer,” reads the proposed amend- ment. “An insurer shall not prepare an es- timate that is less favorable to the claimant than the standards, costs and guidelines provided by the third-party automobile collision repair estimating software used by the insurer to prepare the estimate.” The amendments also specify that the insurer would incur the cost of re- placing non-original replacement parts if they require those parts to be used. Insurers specifying the use of non- original equipment manufacturer re- placement crash parts that the insurer has implied, actual, or constructive knowledge are not equal to the original equipment manufacturer parts in terms of kind, quality, safety, fit and perform- ance, or do not otherwise comply with this section, shall pay for the costs as- sociated with returning the part and the cost to remove and replace the non- original equipment manufacturer part with a compliant non-original equip- by John Yoswick Perhaps the most interesting ques- tion at the latest Collision Industry Conference (CIC) came at the end of a 2-hour discussion regarding Part- sTrader, the electronic parts ordering system State Farm is requiring its Select Service shops in four markets to use (see related cover story). Denise Caspersen, the colli- sion division manager for the Auto- motive Service Association (ASA), asked State Farm’s George Avery the same question the association first posed to the insurer formally five weeks ear- lier in a press re- lease, namely, what benefit, fi- nancially or op- erationally, does required use of PartsTrader offer shops? “If State Farm is not able to clearly demonstrate the benefits of this pilot application to the repair community, then this application should not move forward,” ASA’s June 12 press release stated. State Farm and PartsTrader Defend Parts Program, Questioned about Benefits to Shops See CDI Aftermarket, Page 20 See PartsTrader Defends, Page 40 CDI Proposes Amendments to Standards Regulation on Usage of Aftermarket Parts Court Rules California Couple Entitled to Diminished Value Claim Against Mercury Insurance The Superior Court of the State of California has ruled that James and Patricia Scott are entitled to dimin- ished value from Mercury Insurance Company, notwithstanding that their vehicle had been repaired. Judgment was entered, and no appeal was filed within 60 days as permitted by Cali- fornia law. Thus, the judgment was made final. What distinguishes this case from all others, says Montie Day, at- torney for the plaintiffs, is that it’s an “unlimited jurisdiction case,” mean- ing that it has sufficient legal effect, or “collateral estoppel,” on future lit- igation or claims made by Mercury. “Thus, for future claims against Mercury Insurance Company, the doctrine of ‘collateral estoppel’ should bar Mercury from alleging that a claimant is not entitled to considera- tion for diminished value in Califor- nia,” says Day. “Furthermore, the denial of such claims on the basis that Californians are not entitled to claim diminished value against Mercury would be subject to a violation of the California Insurance Code and should be reported to the state’s insurance commissioner.” For years, Day claims that Mer- cury has denied in California that it or its insureds are liable for diminished value based upon California law. “This, among other practices, in- cluding suggesting that the victim- claimant can avoid the damages from diminished value by simply selling the vehicle to an individual without disclosing that the vehicle was in an accident, has resulted in Mercury avoiding such liability on a massive scale in that the average consumer/in- sured does not have the ability to liti- gate against such insurance giants,” says Day. “If Mercury continues its current practices, the California state insur- See Diminished Value, Page 3 PartsTrader Coverage Continues from Cover Stories See additional coverage of PartsTrader on pages 34, 35 and 42 by Autobody News Staff A capacity crowd of more than 400 heard State Farm Claims Consultant George Avery and PartsTrader CEO Rob Cooper give an overview of the very controversial parts procure- ment system at the CIC in San An- tonio. Avery, who is also the incoming Chairman of the CIC starting in Jan- uary, has endured some harsh criti- cism since the details of the PartsTrader program were first an- nounced. Avery and Cooper out- lined the pro- gram for the few unaware of it, and explained State Farm fore- sees shops order- ing all their parts (recycled, aftermarket and OEM) from a single provider, PartsTrader. PartsTrader Draws Blistering Reaction at CIC, Shop Owners Line Up to Comment in Person See PartsTrader Pushback, Page 36 George Avery Rob Cooper California Nevada Arizona YEARS www.autobodynews.com 30 30 ww.autobodynews.com ww Western Edition VOL. 30 ISSUE 7 AUGUST 2012 Presorted Standard US Postage PAID Oceanside, CA Permit #236 P.O. BOX 1516, CARLSBAD, CA 92018 Change Service Requested

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The California Department of Insur-ance (CDI) has submitted proposedamendments to its Standards for Repairand Use of Aftermarket Parts Regula-tion. Included in language is a require-ment that insurers disclose in writing ifthey require “that such parts are of likekind, quality, safety, fit and perform-ance as original equipment manufac-turer replacement crash parts.”

“No insurer shall willfully departfrom or disregard accepted trade stan-dards for good and workmanlike repairin the preparation of claim settlementoffers or estimates prepared by or forthe insurer,” reads the proposed amend-ment.

“An insurer shall not prepare an es-timate that is less favorable to theclaimant than the standards, costs andguidelines provided by the third-party

automobile collision repair estimatingsoftware used by the insurer to preparethe estimate.”

The amendments also specify thatthe insurer would incur the cost of re-placing non-original replacement partsif they require those parts to be used.

Insurers specifying the use of non-original equipment manufacturer re-placement crash parts that the insurerhas implied, actual, or constructiveknowledge are not equal to the originalequipment manufacturer parts in termsof kind, quality, safety, fit and perform-ance, or do not otherwise comply withthis section, shall pay for the costs as-sociated with returning the part and thecost to remove and replace the non-original equipment manufacturer partwith a compliant non-original equip-

by John Yoswick

Perhaps the most interesting ques-tion at the latest Collision IndustryConference (CIC) came at the end ofa 2-hour discussion regarding Part-sTrader, the electronic parts orderingsystem State Farm is requiring itsSelect Service shops in four marketsto use (see related cover story).

Denise Caspersen, the colli-sion division manager for the Auto-motive Service Association (ASA),asked State Farm’s George Averythe same question the associationfirst posed to the insurer formally

five weeks ear-lier in a press re-lease, namely,what benefit, fi-nancially or op-erationally, doesrequired use ofP a r t s Tr a d e roffer shops?

“If State Farm is not able toclearly demonstrate the benefits ofthis pilot application to the repaircommunity, then this applicationshould not move forward,” ASA’sJune 12 press release stated.

State Farm and PartsTrader Defend Parts Program,Questioned about Benefits to Shops

See CDI Aftermarket, Page 20

See PartsTrader Defends, Page 40

CDI Proposes Amendments to StandardsRegulation on Usage of Aftermarket Parts

Court Rules California Couple Entitled to DiminishedValue Claim Against Mercury InsuranceThe Superior Court of the State ofCalifornia has ruled that James andPatricia Scott are entitled to dimin-ished value from Mercury InsuranceCompany, notwithstanding that theirvehicle had been repaired. Judgmentwas entered, and no appeal was filedwithin 60 days as permitted by Cali-fornia law. Thus, the judgment wasmade final.

What distinguishes this casefrom all others, says Montie Day, at-torney for the plaintiffs, is that it’s an“unlimited jurisdiction case,” mean-ing that it has sufficient legal effect,or “collateral estoppel,” on future lit-igation or claims made by Mercury.

“Thus, for future claims againstMercury Insurance Company, thedoctrine of ‘collateral estoppel’ shouldbar Mercury from alleging that aclaimant is not entitled to considera-tion for diminished value in Califor-nia,” says Day. “Furthermore, thedenial of such claims on the basis that

Californians are not entitled to claimdiminished value against Mercurywould be subject to a violation of theCalifornia Insurance Code and shouldbe reported to the state’s insurancecommissioner.”

For years, Day claims that Mer-cury has denied in California that it orits insureds are liable for diminishedvalue based upon California law.

“This, among other practices, in-cluding suggesting that the victim-claimant can avoid the damages fromdiminished value by simply sellingthe vehicle to an individual withoutdisclosing that the vehicle was in anaccident, has resulted in Mercuryavoiding such liability on a massivescale in that the average consumer/in-sured does not have the ability to liti-gate against such insurance giants,”says Day.

“If Mercury continues its currentpractices, the California state insur-

See Diminished Value, Page 3

PartsTrader Coverage Continues from Cover StoriesSee additional coverage of PartsTrader on pages 34, 35 and 42

by Autobody News Staff

A capacity crowd of more than 400heard State Farm Claims ConsultantGeorge Avery and PartsTrader CEORob Cooper give an overview ofthe very controversial parts procure-ment system at the CIC in San An-tonio.

Avery, who is also the incomingChairman of the CIC starting in Jan-uary, has endured some harsh criti-cism since the details of the

PartsTrader program were first an-nounced. Averyand Cooper out-lined the pro-gram for the fewunaware of it,and explainedState Farm fore-sees shops order-ing all their parts

(recycled, aftermarket and OEM)from a single provider, PartsTrader.

PartsTrader Draws Blistering Reaction at CIC,Shop Owners Line Up to Comment in Person

See PartsTrader Pushback, Page 36

George Avery

Rob Cooper

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REGIONALA&A Midwest Auto Wrecking ExpandsService to Vegas . . . . . . . . . . . . . . . . . . . . 6

Alaska Troopers Search for AutobodyScammers . . . . . . . . . . . . . . . . . . . . . . . . . 8

Autovation Reality Brings Car to Life . . . . . . . . 9Barrett-Jackson Wraps Up OC Auctionwith 400 Cars Sold. . . . . . . . . . . . . . . . . . 43

Bay Area Voters Name Top 5 Auto Body Shops . 4Black & White Auto Helps to Clean Waterways. 13Boyd Group Buys Pearl Auto Body for$4.4 Million . . . . . . . . . . . . . . . . . . . . . . . . 6

CA, AZ Among Top 5 States with HighestRepair Costs . . . . . . . . . . . . . . . . . . . . . . 12

CAA Santa Clara Hosts LETF and RecapsActivities . . . . . . . . . . . . . . . . . . . . . . . . . 16

Calif. Deposits $1.5 Million from TravelersInsurance . . . . . . . . . . . . . . . . . . . . . . . . . . 6

Calif. Legislators Act on Two Insurance Bills . 14California Takes Top Three Spots for MostCars Stolen–Again . . . . . . . . . . . . . . . . . . 16

CARSTAR Adds 30-Yr Old Escondido Shopto Network . . . . . . . . . . . . . . . . . . . . . . . . 10

CAWA Says it Helped Stop CA Key Access Bill . 14CDI Proposes Amendments to StandardsRegulation on Usage of Aftermarket Parts. . 1

Chief Automotive Approves GarageFlyNational Account . . . . . . . . . . . . . . . . . . . 12

Court Rules California Couple Entitled toDiminished Value Claim Against MercuryInsurance . . . . . . . . . . . . . . . . . . . . . . . . . 10

Designer Rich Evans Travels to Nova Scotia to Film New Show “World Wide Car Building”. 22

Fatality in ‘03 Leads to New Car Safety Laws . 34Fire Destroys Fontana Shop . . . . . . . . . . . . . . 4Fire Ravages Auto Body Shop inCoos Bay, OR. . . . . . . . . . . . . . . . . . . . . . 10

Haddick’s Hosted Hot Rods . . . . . . . . . . . . . . 4Kaanapali Collision Relocates . . . . . . . . . . . . . 4Labor Enforcement Task Force VisitsSan Diego CAA Meeting . . . . . . . . . . . . . . 46

More Details on New CA AB 1854 Safety Law. 34NABC Schedules CIC Golf Tournamentfor Jan. 23 . . . . . . . . . . . . . . . . . . . . . . . . 13

New Law Protects California Car Buyersfrom ‘Junk Cars’ . . . . . . . . . . . . . . . . . . . . 13

Ontario Metal Theft Leads to Hostagesand Standoff . . . . . . . . . . . . . . . . . . . . . . 22

Part 2: Western Schools Prep the Futureof Collision Repair . . . . . . . . . . . . . . . . . . 49

Perfection Auto Body Stays in BusinessDespite Fire . . . . . . . . . . . . . . . . . . . . . . . 12

Precision Collision Adds Two . . . . . . . . . . . . . 4Santa Clara’s CAA 29th Annual Golf Tournament Attracts 80 Competitive Golfers . . . . . . . . 23

Scrap Dealers Charged with EnvironmentalViolations . . . . . . . . . . . . . . . . . . . . . . . . . . 6

The Body Shop Partners with Insurer onCar Giveaway. . . . . . . . . . . . . . . . . . . . . . 14

Top 5 Sacramento Area Auto Body Shops

Named . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4VQ Medallion Status for Drew Collision-FixAuto & Glass . . . . . . . . . . . . . . . . . . . . . . . 9

Watsonville Shop Owner Due Back in Court . . 6

COLUMNSAttanasio - Collision Repair is an Art Format Uptown Body & Fender . . . . . . . . . . . . . 32

Franklin - Capturing the Tough Ones . . . . . . . 26Hey Toby! - Part 2: Matrix Wand is aGame Changer . . . . . . . . . . . . . . . . . . . . . 50

Insider - With Estimates, Insurers See theEmperor’s Underwear . . . . . . . . . . . . . . . 51

Weaver - Problem on the IN-Side . . . . . . . . . 31Yoswick - Non-OEM Parts Industry Meetsto Discuss Patent Law Change . . . . . . . . . 24

NATIONALAdelmann Elected to CAPA Board . . . . . . . . . . 4America’s Top Auto Students Crowned atSkillsUSA Competition Held in Kansas City . 45

Brunori Elected to CREF Board . . . . . . . . . . . . 4CARSTAR Adds 8 New Independent Locations. 12First Ever SEMA Mustang Build Poweredby Women . . . . . . . . . . . . . . . . . . . . . . . . 18

Mike Causey Wins Republican Nomination for North Carolina Insurance Commissioner. . . 3

Mustang Build Powered by Women TeamFinalized. . . . . . . . . . . . . . . . . . . . . . . . . . 19

NABC Needs Seven Directors . . . . . . . . . . . . . 4NHTSA Publishes Changes to SafetyGuidelines . . . . . . . . . . . . . . . . . . . . . . . . 45

Rhode Island Gov. Chafee Vetoes Auto BodyBill for Insurers. . . . . . . . . . . . . . . . . . . . . 41

Service, Diagnostic and Mechanical News . . 30Supreme Court Won’t Hear Appeal onKia Brakes Suit . . . . . . . . . . . . . . . . . . . . . 10

Texas’ Collision Repair Schools—No LoneReason for Success . . . . . . . . . . . . . . . . . 38

Tie Rod for 1975 Maserati . . . . . . . . . . . . . . . 4Two New Members Elected to SEMA Board . . 8Win a Trip to SEMA as a Garmat Sharp Shooter. 16WMABA Labor Rate Survey Complete. . . . . . 10YouTube is a Valuable Sales Tool forBody Shops . . . . . . . . . . . . . . . . . . . . . . . 48

PartsTrader CoverageASA-Michigan Members and Vendors Discuss State Farm’s PartsTrader Pilot Program. . . 35

PartsTrader Announces 5-Year Deal with Oneof the Largest U.S. Auto Insureres; Adds 3 New Leaders . . . . . . . . . . . . . . . . . . . . . . 34

PartsTrader Draws Blistering Reaction at CIC, Shop Owners Line Up to Comment in Person . 1

PartsTrader Forms Industry Advisory Council . 34SCRS Says PartsTrader Has Sparked FourNew Industry Associations . . . . . . . . . . . . 42

State Farm and PartsTrader Defend PartsProgram, Questioned about Benefits to Shops. 1

Contents

Publisher & Editor: Jeremy HayhurstGeneral Manager: Barbara DaviesAssistant Editor: Melanie AndersonContributing Writers: Tom Franklin, David Brown,John Yoswick, Lee Amaradio, Rich Evans, Janet Chaney,Toby Chess, Mike Causey, Tom McGee, Ed Attanasio,Chasidy SiskAdvertising Sales: Joe Momber, Sean Hartman,Jay Lukes (800) 699-8251Sales Assistant: Kristy NavarroArt Director: Rodolfo Garcia

Serving California, Nevada and Arizona, Autobody Newsis a monthly publication for the autobody industry. Per-mission to reproduce in any form the material publishedin Autobody News must be obtained in writing from thepublisher. ©2012 Adamantine Media LLC.

Autobody NewsP.O. Box 1516, Carlsbad, CA 92018(800) 699-8251 (760) 721-0253 Faxwww.autobodynews.comEmail: [email protected]

AAPEX Trade Show . . . . . . . . . . . . .13Audi Wholesale Parts Dealers . . . . .49Automotive ID . . . . . . . . . . . . . . . . . .31BMW Wholesale Parts Dealers . . . .33Buerge Chrysler-Jeep-Dodge . . . . . .5California Superstores . . . . . . . . . . .11Capitol Mazda . . . . . . . . . . . . . . . . .41Chief Automotive . . . . . . . . . . . . . . .23Classifieds . . . . . . . . . . . . . . . . . . . .54Downtown Motors of LA(Audi, VW, Porsche) . . . . . . . . . . .17

Drew Hyundai . . . . . . . . . . . . . . . . .38Elk Grove Toyota . . . . . . . . . . . . . . .20Enterprise Rent-A-Car . . . . . . . . . . .47Equalizer Industries . . . . . . . . . . . . .43Ford Wholesale Parts DealersAZ, CA, & NV . . . . . . . . . . . . . . . .15

Galpin Motors . . . . . . . . . . . . . .27, 35Garmat USA . . . . . . . . . . . . . . . . . . .10GM Wholesale Parts Dealers . . . . . .42Henderson Chevrolet . . . . . . . . . . . .20Honda-Acura Wholesale PartsDealers . . . . . . . . . . . . . . . . . .28-29

Hyundai Wholesale Parts Dealers . .45I.C.E. Institute . . . . . . . . . . . . . . . . . .24Irvine Subaru . . . . . . . . . . . . . . . . . .16Kearny Mesa Subaru-Hyundai . . . . .18Kia Motors Wholesale Parts Dealers .25Levan Group, Inc. . . . . . . . . . . . . . .32LKQ . . . . . . . . . . . . . . . . . . . . . . . . .55

Maita Subaru . . . . . . . . . . . . . . . . . . .6Malco . . . . . . . . . . . . . . . . . . . . . . . . .2Mazda Wholesale Parts Dealers . . .52MINI Wholesale Parts Dealers . . . . .48Mitsubishi Wholesale Parts Dealers .53MOPAR Wholesale Parts Dealers . .37Nissan/Infiniti Wholesale PartsDealers . . . . . . . . . . . . . . . . . . . . .46

North County Kia . . . . . . . . . . . . . . . .4Preval . . . . . . . . . . . . . . . . . . . . . . . .56Prevost USA . . . . . . . . . . . . . . . . . . . .9Rare Parts Inc. . . . . . . . . . . . . . . . . .14RBL Products, Inc. . . . . . . . . . . . . . .19Reliable Automotive Equipment . . .12Replica Plastics . . . . . . . . . . . . . . . .41Riverside Metro VW-Honda-Hyundai-Nissan-Mazda . . . . . . . . . . . . . . . .8

Safety Regulation Strategies . . . . . .36SEMA Trade Show . . . . . . . . . . . . . .21Shingle Springs Nissan-Subaru . . .22Sierra Chevrolet-Honda-Mazda-Subaru . . . . . . . . . . . . . . . . . . . . .39

Solution Finish . . . . . . . . . . . . . . . . .50Star-A-Liner . . . . . . . . . . . . . . . . . . .26Subaru Wholesale Parts Dealers . . .44Timmons VW-Subaru . . . . . . . . . . . .40Toyota Wholesale Parts Dealers . . .49Volkswagen Wholesale Parts Dealers .51Volvo Crash Wholesale Dealers . . .53Weatherford BMW . . . . . . . . . . . . . . .7

Inde

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Western

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 3

Mike Causey, a former AutobodyNews columnist, advocate and lobby-ist for auto body associations in theSoutheast, has earned the Republicannomination for North Carolina Insur-ance Commissioner.

Causey ran for the office previ-ously and once served as the Directorof Government Affairs for the Inde-pendent Auto Body Association(IABA). He was a registered lobbyistin North Carolina for the IABA, theNorth Carolina Autobody and GlassAssociation, and the Automotive Serv-ice Association of North Carolina.

He defeated Richard Morgan ina July 17 runoff election for the nom-

ination, earning 57 percent of thevote.

Causey ran as the Republicannominee against former DemocraticInsurance Commissioner Jim Long in2000. He was defeated when Longcaptured 57 percent of the vote.

In a newspaper interview withthe Beaufort Observer in January ofthis year, Causey said, “One of themain reasons I’m running is that Iwant to help people who are havingproblems with insurance compa-nies.”

Causey has a website to supporthis campaign: www.gocausey.com.See his columns at autobodynews.com.

Mike Causey Wins Republican Nomination forNorth Carolina Insurance Commissioner

ance commissioner may bring an ac-tion against them, which he has failedto do for years. Furthermore, it wouldappear that attorneys, including per-sonal injury attorneys who have prin-cipally ignored this issue, are now

obligated to seek such relief on behalfof the clients and the public againstMercury and other insurance compa-nies. With respect to Mercury, such at-torneys may use a ‘certified’ copy ofthe judgment and jury verdict with the‘collateral estoppel’ argument to de-feat Mercury’s claim that a claimant-victim is not entitled to diminishedvalue if the vehicle was repaired.

Continued from Cover

Diminished Value

Page 4: August 2012 Western Edition

4 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

Fire Destroys Fontana ShopA fire that erupted in a pallet yard onJune 28 in Fontana, CA destroyed anadjacent auto body shop and severalvehicles housed inside it.

The two-alarm blaze, reported at6:15 p.m. in the 8600 block of Beech Av-enue, was extinguished in about an hour,said Christopher Prater, a spokesmanfor the San Bernardino County Fire De-partment. Firefighters remained on scenefor several hours of mop-up operations.Investigators have yet to determine howthe fire started, he said. No one was hurtand no evacuations of nearby homeswere needed, Prater said.

Precision Collision Adds TwoPrecision Collision Auto Body, amultiple shop operator (MSO)headquartered in Bellevue, WA, an-nounced it acquired two new colli-sion centers in Tacoma, WA andKennewick, WA. The acquisitionbrings the Precision Collision AutoBody network to 20 locations inWashington.

“With increased growth over thepast few years, Precision Collision isone of the fastest growing auto bodycompanies in the U.S. maintainingexcellent customer service,” saidMark Lovell, marketing director.

Kaanapali Collision RelocatesKaanapali Collision is now open at anew location on Limahana Place inLahaina on the island of Maui inHawaii. A wide range of services areoffered, from headlight restoration topaintless dent repair. The technicianscan repair any year, make or modelcar.

Kaanapali Collision can acceptclaims from all insurance companies.

“We do not work for any insur-ance company, so a quality repair iswhat we strive for - not the insurancecompany’s bottom line,” the com-pany noted.

Haddick’s Hosted Hot RodsOn July 14, Haddick’s Auto Body &Towing, in conjunction with the citiesof Industry and La Puente, CA heldthe 2nd Annual Charity Hot Rod &Car Show at its primary facility.Sponsored by local businesses andlarger corporations, the event fea-tured food, games and a live band.Proceeds benefitted the Los AngelesCounty Sheriff’s Department Indus-try Station’s Youth Activities League(YAL) program that supports andhelps at-risk youth in the area withfree after-school sports and activities.Last year’s event raised $12,500.

In Sacramento, CA, KCRA Channel3 viewers recently voted for their topfive auto body shops for the 2012KCRA A-List. More than 273,000votes were collected to determine thewinners. Coming in first wasBertolucci’s Body Shop. Bertolucci’sBody and Fender Shop, located at1717 Stockton Blvd., first opened itsdoors in 1948. Sixty years later, theyare Sacramento’s premier collisionrepair facility and one of the largestin the area, with a capacity to repairover 100 vehicles concurrently.

Runner-up is Kniesel’s Colli-sion Centers, a family-owned autobody business with three locations inthe greater Sacramento area. Since1968, the Kniesel family has beencommitted to quality repairs andgreat customer service.

The three finalists are TNT AutoBody, Nor Cal Auto Body, and Cap-ital Auto Restoration Inc.

TNT Auto Body is located at 321051st Ave., Nor Cal Auto Body is locatedat 7621 Auburn Blvd. in Citrus Heightsand Capital Auto Restoration Inc. is lo-cated at 6224 Turner Rd., Ste A.

Top 5 Sacramento Area AutoBody Shops Named

ABC Channel 7 recently announcedits 2012 Bay Area A-List. Votingtook place in February and Marchand was conducted by ABC7 andCityVoter. With 72,000 votes col-lected, 113 body shops were nomi-nated out of more than 2,500 autobody shops. The top 5 are:

Coming in at #1 is SpectrumAuto Body in San Francisco.

In second place is Fremont’sMaaco Auto Body and Paint. Forthe second year in a row, the shophas been honored by local resi-dents as one the top five collisioncenters in the community. Lastyear, the shop placed first. Theauto body shop serves Fremont,Newark, Union City and surround-ing areas.

In third place is Cars Dawydiakin San Francisco, an authorized,dealer-approved body repair facilityfor Rolls-Royce, Bentley, LandRover and Panoz automobiles as wellas a Jaguar authorized aluminum col-lision repair center for structural andnon-structural repairs.

In fourth place is Mike Rose’sAuto Body located in Walnut Creek,and the fifth place winner is UptownBody Shop in Oakland.

Bay Area Voters Name Top 5Auto Body Shops

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Tie Rod for 1975 MaseratiRare Parts Inc. is now manufac-turing Diamond Series tie rodassemblies for the 1975 MaseratiKhamsin, part number RP29180.This assembly is now greaseableand is made from larger forgingsfor increased strength. RareParts manufactures steering andsuspension parts for anymake/model/year vehicle. Allparts are made in the USA. If wedon’t have it, we will build it.For more information, call us at800.621.2005 or visit our web-site at www.rareparts.com.

CAPA has elected Tim Adelmann,executive vice president of businessdevelopment at ABRA, Inc., to itsboard of directors. Adelmann waselected to the collision repairer posi-tion vacated by Mike West, who re-cently retired and closed his repairshop in Tukwila, WA. “Tim Adel-mann is a long-standing and respectedleader in the collision repair industry,and we’re excited to have him joinCAPA’s efforts to insure that the mar-ket has truly high quality alternativeparts,” said Jack Gillis, CAPA’s ex-ecutive director.

Adelmann Elected to CAPA Board Brunori Elected to CREF BoardExecutive VP/GM, Dave Brunorihas been elected to the CollisionRepair Education FoundationBoard of Trustees. The mission ofthe Collision Repair EducationFoundation is to secure and distrib-ute charitable donations to supportendeavors that promote, qualify,and properly train employees en-tering the collision industry.Brunori brings over 29 years of ex-perience in the Vehicle Refinishmarket and has been with MatrixSystem Automotive Finishes for 19years.

NABC Needs Seven DirectorsThe National Auto Body Council(NABC) is now accepting nominationsfor its 2012 board of directors. TheNABC said it will fill seven vacant po-sitions on its board. Board candidatesmust be members of the organization ordesignated representatives of membercompanies in order to be included onthe voting ballot. Candidates can benominated either by themselves, or bythree other NABC members. Boardnominations can be submitted by mail,email or fax by Aug. 11, 60 days prior tothe election. Visit autobodycouncil.orgfor details to submit a nomination.

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A&A Midwest Auto Wrecking has ex-panded from its primary location inthe Chicago area to now offer end-of-life vehicle processing at its locationin the Las Vegas area. The companypurchases vehicles that are ready tobe recycled and exports many itemsto developing countries.

“Though a vehicle may nolonger be usable to the owner, A&AMidwest Auto Wrecking sees greatvalue in the parts that can be disas-sembled and reused,” said ScottStolberg, president and CEO. “Webuy used vehicles and parts, sell usedauto parts for remanufacturing, andexport used vehicles and parts. Plus,we offer top dollar whether the vehi-cle is running or not.”

The Las Vegas location willprocess approximately 25 vehicles amonth and ship one or more contain-ers for export to developing coun-tries. Parts salvaged for reuse includeengines and transmissions, steeringgears, sheet metal including doors,hoods and clips, wheels, catalyticconverters and tires. All vehicles aredisassembled in accordance with allregulations that apply to the properrecycling or disposal of all automo-tive related fluids and components.

A&A Midwest Auto WreckingExpands Service to Vegas

The Boyd Group Income Fund inearly July completed its $4.4 millionacquisition of Pearl Auto Body basedin Denver, which doubled its pres-ence in the Denver market with theacquisition of Pearl Auto Body andits six locations.

With the new acquisition, theBoyd Group now operates 12 colli-sion repair centers in Colorado.

The six Pearl Auto Body loca-tions, which generated $13 million inrevenue during the past 12 months,will continue to operate under thesame trade name.

“Pearl represents our thirdmulti-location collision operator ac-quisition over the last 12 months.This is in line with our strategy ofbeing alert to opportunities for accel-erated growth through the acquisitionof multi-location operators in attrac-tive geographic markets that can ex-pand our footprint in North Americaand solidify our leadership positionin the industry,” said Brock Bul-buck, president and CEO of theBoyd Group. “These acquisitionsalso provide us an opportunity toleverage existing relationships withinsurance companies that have directrepair programs.”

The Santa Cruz Sentinel has reportedthat Martin Calvario Moya, 48, theowner of an Watsonville body shopwho prosecutors say bilked clients,is due back in court on July 31 to seta preliminary hearing date.

Moya was charged for forgingdocuments, making false insuranceclaims and failure to have requiredworkers’ compensation insurancecoverage for his employees.

Moya is the owner of MoyaAuto Body Shop in Watsonville, CA.The District Attorney’s Office filedthe charges after an undercover in-vestigation that began earlier thisyear, conducted by representativesfrom the California Bureau of AutoRepair, the Santa Cruz County AutoTheft Unit and the DA’s Investiga-tions Bureau. The investigation wasprompted by complaints from cus-tomers.

Moya has pleaded not guilty tothe current charges and is being rep-resented by Salinas-based defenseattorney Brian Worthington. He’scurrently being held in County Jailin lieu of $10,000 bail.

Moya is also charged with vio-lating the terms of his probation forprevious charges.

The city of Los Angeles has chargedfour Los Angeles-area scrap metalrecyclers with criminal misdemeanorcharges for environmental violations.

In a release, Los Angeles’ CityAttorney Carmen Trutanich has an-nounced that the department’s Envi-ronmental Justice Unit has filedcriminal misdemeanor chargesagainst the four companies followinga coordinated multi-agency sweepand inspection of the facilities thatwere completed in January and Feb-ruary 2012 to determine compliancewith environmental safety require-ments.

“The mishandling and unlawfulrelease of toxic chemicals and waterpollutants pose a serious threat to thehealth and safety of our residents,”says Trutanich. “Facilities that usesuch hazardous substances have theobligation to properly store and dis-pose of their wastes, and will be heldaccountable when they unlawfullyfail to do so.”

Assistant City Attorney Patri-cia Bilgin is prosecuting all of thecases.

Scrap Dealers Charged withEnvironmental Violations

Watsonville Shop OwnerDue Back in Court

Boyd Group Buys Pearl AutoBody for $4.4 Million

Calif. Deposits $1.5 Million from Travelers InsuranceTravelers Insurance Regulators inCalifornia announced that the state isreceiving more funds from an en-forcement investigation they broughtagainst Travelers Insurance for sev-eral violations that included denyingdiscounts to eligible drivers.

Travelers agreed with regulatorslast month to settle the case for a totalof more than $10 million in refundsand fines stemming from violations inthe first seven months of 2006. Com-missioner Dave Jones announced onJuly 3 that he deposited $1.5 millionfrom the case into the state’s generalfund.

During the investigation, regula-tors found 125 instances in which theinsurer charged policyholders incor-rect premium amounts. In some ofthose cases, drivers who were eligiblefor a 20 percent good driver discountwere denied the markdown becausethe insurer “did not follow proper pro-cedures,” according to a departmentstatement.

Investigators also uncovered 19instances in which policies were de-nied, canceled or not renewed againststate regulations. Some of those casesinvolved the insurer canceling poli-cies when the policyholder failed tocomplete informational actions withthe insurer.

One of those actions was the “pol-icy verification program” in which pol-icyholders would be interviewed byphone to verify coverage information.Regulators said they found cases inwhich policies were canceled becausephone interviews hadn’t taken place.

The insurer also canceled coveragebecause policyholders failed to return“quote acceptance” and “state cover-age” forms and erroneously cited stateregulations as their reason for doing so.

According to regulators, statelaw requires that policy cancellationsbe due to “an increase in the hazardinsured against,” a condition that theysaid invalidates the cancellationsmade by Travelers because policy-holders failed to submit information.

Regulators are available in everystate to deal with consumer com-plaints about insurers, conduct inves-tigations into market conduct andanswer auto insurance policy ques-tions that consumers have.

Pat McConahay, deputy presssecretary with the California Depart-ment of Insurance (DOI), said Joneswas “pleased with the cooperation”that the DOI received from Travelersduring the investigation.

“It’s not uncommon to havethese kinds of violations,” McCona-hay said.

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Two New Members Elected to SEMA BoardRussell Stephens, representing themanufacturer category, and NickGramelspacher, representing the dis-tributor/retailer category, have beenelected as new members of the SEMABoard of Directors.

Three incumbent Board mem-bers were re-elected to a three-yearterm: John Hotchkis in the manu-facturer category, Jim Bingham inthe distributor/retailer category, andLuanne Brown in the services cate-gory.

The new board members wererecognized during the SEMA Installa-tion Banquet & Gala Fundraiser onJuly 27 in Pomona, CA.

The event also recognized out-going members Ron Funfar, JohnIannotte, Bob Moore, Adrian Mur-ray, Ed Orzetti, Chris Thomson andTim Watts, along with the 2012SEMA Hall of Fame inductees NickArias Jr., Bill France Sr., MarkHeffington, and Bob Larivee Sr.

Members of the 2012–2013SEMA Board of Directors are:• Chairman of the Board: ScooterBrothers, COMP Performance Group• Chairman-Elect: Nate Shelton,B&M Automotive Group• Immediate Past Chairman: RickRollins, Rollins Performance Market-ing/Consulting

• Greg Adler - CEO, TransamericanAuto Parts• Joel Ayres - Vice President, Sales &Marketing, Bedslide/Takit LLC• Jeff Bates - Principal/Partner, BobCook Sales• Jim Bingham - President and CEO,Winner’s Circle Speed & Custom Inc.• Luanne Brown - President & CEO,eTool Developers• Jim Chick - Director, Sales & Mar-keting, Bestop Inc.• Donnie Eatherly - President, P&EDistributors Inc.• Nick Gramelspacher - NationalSales Manager, Meyer Distributing• John Hotchkis - President,Hotchkis Performance LLC• Myles Kovacs - President & Co-Founder, DUB Publishing Inc.• Tim Martin - Vice President, K&NEngineering Inc.• JR Moore - Director, WarehouseOperations, Performance Warehouse• Mike Spagnola - President, StreetScene Equipment• Russell Stephens - President, MSDPerformance• Steve Wolcott - CEO, ProMediaLLC• Van Woodell - President/Owner,Weathers Auto Supply• Jeep Worthan - Vice President,Sales, Auto Meter

Alaska Troopers Search for Autobody ScammersAlaska State Troopers are looking forhelp tracking down a small group ofscammers who have approached sev-eral people about autobody work thissummer in Fairbanks and have takenadvantage of two men, both in their70s. It’s believed the group, which ap-pears to consist of between two andfour people, has left Alaska, but troop-ers still are hoping to collect evidencefrom people who might have encoun-tered them, said Trooper Edward Hal-bert, who is investigating the case forthe Alaska State Troopers.

In one incident, one of the victimswas approached by a man and womanat Fred Meyer West.

The victim said he was not inter-ested in body work, but they were notdeterred. They followed him back tohis University West neighborhoodhome and started to work on his carwithout his permission. They left thevehicle worse than they found it,drilling holes on the side where therehad not even been any damage, Halbertsaid.

After an hour of work, they de-manded $1,000. The man did not knowwhat to do and to get rid of them, hewent to the bank and got $500 to givethem, Halbert said.

“They wanted cash only,” he said.“They’re bullies and they get right in

people’s faces.”In that case, the male suspect was

described as a bald, Hispanic-lookingman in his 40s, about 6 feet tall. Hewent by the name “Jack.” The womanalso was Hispanic-looking, slightlyheavyset and attractive.

In another incident, also about twoweeks ago, a North Pole classic car en-thusiast reported he was a approachedby a woman like the one described inthe other case and a man who couldhave been “Jack,” or maybe someoneelse, Halbert said.

The two talked him into havingthem do work on his vehicle and thendemanded $10,000 after doing abouteight hours of work. He paid it. A fewdays later they called back demandingmore payment, Halbert said.

In particular, troopers are trying tolink a license plate number with thescammers. Victims have reported see-ing them in a black SUV in Fairbanksand a blue Ford station wagon in NorthPole. Both were newer-model vehicles.

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VQ Medallion Status for Drew Collision-Fix Auto & GlassPresident Bill Drew of Drew Ford inLa Mesa, CA, announced that the DrewCollision-Fix Auto and Glass hasbeen awarded the coveted VQMedallion for collision repair qual-ity. The Medallion signifies recog-nition that the facility has achievedand sustained the highest possiblequality in collision repair, as deter-mined and documented by the in-dependent repair inspection firmVeriFacts Automotive. There areonly 54 collision repair businessesin the U.S. who have reachedMedallion level. Drew Ford’s col-lision center is the first auto dealerof any brand to have its collisionrepair operation so recognized.

The monthly VQ inspectionsare unannounced and exceptionallyrigorous. They exhaustively exam-ine and record over 300 differentaspects of the repair process, includingequipment, repair materials, technicalinformation, quality procedures andhands-on observed skills of the techni-cians. The Medallion rating must becontinually re-earned with every in-spection.

Bill Drew is the third generationto guide the Drew Ford dealership,which has operated in La Mesa for 85years, starting as a garage that servicedand repaired model T’s, including body

and fender repairs. The business be-came a Ford dealer in 1934.

Autovation Reality Brings Car to LifeA new display was recently unveiledat the Oregon Museum of Scienceand Industry (OMSI) in Portland,OR. The display features an autobody shell hanging from the ceilingand uses augmented reality technol-ogy to bring the vehicle’s inner work-ings to life.

Autovation was a collaborationby OMSI, Dick Hannah Dealershipsand Washington State University Van-couver’s Creative Media and DigitalCulture Program. The idea was to de-sign something that would highlighthow advances in automobile technol-ogy have improved safety and in-creased fuel efficiency.

“We are delighted to play the role

of hub between industry and acade-mia and display their work for thebenefit of the general public,” saidMark Patel, OMSI’s vice presidentof marketing, retail and sales. “Thisinnovative showpiece will allow visi-tors to see the automobile in a wholenew way.”

Dene Grigar, program di-rector of WSU Vancouver’sCreative Media and DigitalCulture Program, said, “I am soproud of these students whoworked tirelessly to deliversuch an amazing piece to beenjoyed by OMSI visitors foryears to come. This experiencewill be invaluable as these stu-dents pursue related careers.”

It’s easy to see how the aug-mented reality technologyworks. Visitors point one of thebuilt-in iPad viewers, or eventheir own smartphone, at the

car and it comes to life. For example,if you point at the hood, you’ll see ananimated 3-D engine that appears tofloat in space. Prompts on the screengive you more detailed views and ad-ditional information.

Autovation will be a permanentfeature at OMSI. It’s housed in themuseum’s engineering-themed Tur-bine Hall.

Attending the award ceremony (left to right)were Kevin Earlywine, VeriFacts Automotive VQCoach, Ted Stein, Drew Ford General ServiceManager, Larry Houk, Drew Collision-Fix Autoand Glass Center manager, Mike Stacy, VPMarketing of VeriFacts Automotive , and PaulGange, President of Fix Auto USA

The Oregon Museum of Science and Industry inPortland, OR brings automation to life with itsnew exhibit

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CARSTAR Adds 30-Yr OldEscondido Shop to Network

Fire Ravages Auto Body Shop in Coos Bay, ORBystanders said windows explodedand metal doors melted away as a fireraged inside Sweeney’s Auto Body &Paint on June 18.

Nobody was injured in the fire,but the building was completelyburned out.

Fire officials had no word on howthe fire started, but Coos Bay policeChief Gary McCullough said a UPSworker said welding work may havestarted the fire. He said welders wereset down on fire mats briefly, as work-ers attended to something, and whenthey returned, the fire had alreadystarted and was spreading quickly.

A man getting cigarettes at anearby gas station called 911 after hesmelled rubber and saw brown andblack smoke coming from the shop.

“You could hear the windowsshattering and see flames comingfrom the doorway,” Tim Orr said.“People were walking out in a daze.They looked pretty upset.”

Orr said a man in the shop toldhim a newly restored 1963 ChevyNova was lost in the blaze. An em-ployee of Bay City Ambulance alsosaid an ambulance was lost in the shop.

Bystanders said Sweeney’s is awell-respected body shop that doesgreat collision repair and body work as

well as paint jobs. Chief McCulloughsaid that Bay Cities uses Sweeney’swhenever they need work done.

Aguestin Cervera, who worksnext to Sweeney’s, said he heard some-thing explode and saw flames shootingfrom the side of the building before heran to the back of his building to avoidchemicals from the smoke.

Ryan Hutchins said he stood byand watched as a metal garage-styledoor on the side of the building crum-pled under the heat.

“It was cracking and popping,”he said. “It went like an avalanche andjust started incinerating.”

The call came into fire depart-ments around 1:45 p.m. as smoke bil-lowed down Newmark Avenue,completely engulfing Bay Area Ath-letic Club and neighboring busi-nesses. Police cars blocked off trafficon Newmark for a couple of blocksstarting at the 7-11.

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The Washington Metropolitan AutoBody Association (WMABA) has an-nounced that the results of its 2012labor rate survey.

The survey was conducted to de-termine a more equitable labor ratesince, according to WMABA Execu-tive Director Jordan Hendler, someareas around DC haven’t seen a rateincrease in five-plus years.

“So many of our members tell usthat they’re very rarely, if ever, sur-veyed by any insurer,” says Hendler.“When they attempt to tell the carriertheir new rates, they’re oftenstonewalled or referred to anothermanager. In many cases, the shop istold that their rates aren’t competitive,and [the insurer] will have to informall of their customers not to go to thatshop or risk paying the difference.This type of threat seems to be the un-necessary approach that most insurerstake with any labor rate request orneeded repair procedure.”

Results for average body laborrate were: Baltimore: $43.64; An-napolis: $43.51; Hagerstown: $43.59;Washington DC: $43.35; VirginiaBeach: $44.4; Charlottesville: $44.28;Richmond: $45.34; Roanoake: $43.34

In addition to showcasing postedlabor rates throughout the WMABA

region, the project uncovered a sur-prisingly small number of shops thatactually utilize paint and material(P&M) cost accounting programs.

“I think mostly it’s a lack of un-derstanding or going against thenorm,” said WMABA President BarryDorn. “I know that many insurers donot and will not recognize [a cost ac-counting program]. The old method ofusing a multiplier as a method of reim-bursement is antiquated at best. Petro-leum prices, and thus paint prices,continue to escalate; for some reason,the rates do not. The calculators takeall arguments away from everyone.They’re accurate and something thisindustry needs to embrace.”

According to WMABA, hun-dreds of shops participated in thelabor rate survey process, althoughmany didn’t, something that Dorndoesn’t understand.

“I don’t understand the logic be-hind their decision,” Dorn says.“Without this survey, you’re forced to‘go it alone,’ balance bill the customeror complain to anyone who will listen– none of which is a solution. I don’tremember the last time a carrier sur-veyed me. Your association did this toget a real, factual and third-party per-spective rather than hearsay.”

WMABA Labor Rate Survey Complete

CARSTAR Auto Body Repair Experts,one of North America’s largest multi-shop operator (MSO) networks, has an-nounced the addition of CARSTARAutopark Appearance Center of Escon-dido, CA, to its network of collisioncenters. Although new to CARSTAR’snational lineup, Autopark AppearanceCenter has served the “Hidden City” ofEscondido for more than 30 years, andshop owner Scott Hillery has worked inthe automotive industry since 1974.Bringing CARSTAR Autopark Appear-ance Center on board gives the com-pany a strong foundation of collisioncenters in the Southern California area.

CARSTAR says the new store willbenefit from the CARSTAR ManagementSystems, which provide resources to im-prove key business metrics such as cycletime, participation in CARSTAR’s 19 cor-porately managed DRP programs, and im-proved purchasing power from 45corporately managed purchasing programs.

“We are excited to welcome ScottHillery and CARSTAR Autopark Ap-pearance Center to the CARSTAR net-work,” said David Byers, CEO ofCARSTAR Auto Body Repair Ex-perts. “We are thrilled to expand ourpresence in California with this newtop-notch collision repair center.”

The Supreme Court refused to hearan appeal of a $5.6 million verdictagainst Kia Motors Inc. in a class-ac-tion suit over allegedly faulty brakesin Sephia sedans.

The high court decision ends an11-year legal battle.

The Pennsylvania SupremeCourt last December upheld a deci-sion that awarded $600 — $5.6 mil-lion total — to 9,400 owners of 1997to 2000 Kia Sephias in Pennsylvaniathat had brakes that allegedly woreout much faster than normal.

Owners in other states have pur-sued separate claims. A jury in New Jer-sey found Kia Sephia owners could bereimbursed up to $750 for brake repairs.

The Pennsylvania suit was firstfiled by a Kia owner that had gone toa dealer five times to get the brakesrepaired on her 2001 Sephia betweenJanuary and October 2000.

Kia changed the brakes begin-ning in the 2001 model year.

Supreme Court Won’t HearAppeal on Kia Brakes Suit

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Page 12: August 2012 Western Edition

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California, Wyoming, Utah, Mon-tana and Arizona have the highestaverage car repair costs, a study byCarMD.com finds. These states arealso home to half the nation’s topdriving destinations.

The study by the Irvine com-pany found that these states, home tohalf the nation’s national parks, havethe highest costs. CarMD, whichsells automobile diagnostic systems,analyzed more than 160,000 repairbills given to drivers in 2011 whopulled into auto shops because the“check engine” light came on.

The average nationwide cost ofrepairs in that situation was $334 in2011, down 6% from 2010, primarilybecause of a drop in labor costs, thestudy found. But the average cost ofthose repairs were higher inWyoming ($389), Utah ($379), Cal-ifornia ($368), Montana ($364) andArizona ($363), according to thestudy.

Road trips can put extra wearand tear on a car, resulting in moreserious automotive problems, saidKristin Brocoff, a spokeswoman forCarMD.com. “You can look at somany facets of this study and drawyour own conclusion,” she said.

CARSTAR Auto Body Repair Expertshas added eight new independentcollision repair centers to its networkin 2012, including the company’sfirst two locations in California.

CARSTAR said its new shoplocations include the following:• CARSTAR Grove Collision Centerin Lemon Grove, CA, owned byMichael French• Crown Coachworks CARSTARAuto Body in Los Angeles, ownedby Jacob Dunkel• Tyler’s CARSTAR Collision Cen-ter in Niles, MI owned by Scott andChris Tyler• Preferred Collision CARSTAR inMacon, GA, owned by Walter Lee• Memorial CARSTAR Collisionin Houston, owned by EliasMichalopoulos• CARSTAR Magic Auto Solutionsin Redmond, WA owned byGabriela Amaral• CARSTAR Bothell Auto Rebuild inBothell, WA owned by Kevin Parsons• CARSTAR 911 Auto Centers inSan Antonio, TX owned by MartinGutierrez

Bob’s Perfection Auto Body Repairin Shoshone, ID is rebuilding after afire destroyed half of the shop onApril 7. Owner Bob Jutila said thenew shop would be larger and moremodern.

Jutila didn’t wait long to get backto business. Just a week later, he wasback to work fixing automobiles andgetting people back on the road.

Jutila said the fire left him with-out many of his tools and melted agreat deal of the wiring inside thePinehurst shop. He and his staff arerepairing cars from the parking lotand the portion of his shop that sur-vived. He said working outdoorsmakes things more strained, as theweather plays a big part in keepingbusiness going without a roof over-head. However, Jutila’s weather woeshaven’t been too costly. He said hiscustomers have been loyal and pa-tient.

“We appreciate our customer’ssupport through this,” Jutila said.

Investigation into the cause ofthe fire was left undetermined, but Ju-tila said it appeared to be electrical.

“We will be coming back with anew, more modern shop the first orsecond week of August,” Jutila said.

Perfection Auto Body Staysin Business Despite Fire

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Chief Automotive Technologies hasadded Arizona-based GarageFly,LLC to its official list of national ac-counts for structural repair and com-puterized measuring equipment.Chief will offer GarageFly-affiliatedcollision repair shops throughout Ari-zona a full-range of products andservices to meet all their pulling,measuring and data needs.

“Our relationship with Chief Au-tomotive Technologies ensures that ourmore than 110 affiliated collision shopshave access to state-of-the-art equip-ment at competitive prices, as well astraining from Chief University,” saysJohn Rang, president of GarageFly.“We are committed to encouraging andassisting our affiliates to become prop-erly equipped and trained to repair thevehicles of today and the future.”

“We are pleased to have beenselected as one of GarageFly’s equip-ment partners,” says Robert Holland,Chief national sales manager. “Chiefis committed to providing Garage-Fly’s affiliated collision shops withthe equipment, specifications, train-ing and support that will enable themto continue to improve their cycletimes, increase efficiency and docu-ment their repairs.”

Chief Automotive ApprovesGarageFly National Account

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Black & White Auto Helps to Clean WaterwaysBlack & White Auto and Paint in Col-orado Springs, CO announced its par-ticipation in the City of ColoradoSprings’ Adopt-A-Waterway Pro-gram. The program focuses on keep-ing the city’s waterways clean byencouraging local businesses and or-ganizations to formally sponsor astream or river to protect and improveriparian habitat and water quality.

When asked why his shop em-ployees, who normally stick to paint-less dent repair and other various carservices, decided to sign up for theprogram, owner Rick Lujan com-mented, “We heard that with all therecent fires in Colorado that the qual-ity of our drinking water was going tobe low due to all the erosion settlinginto the streams and rivers. We kindof decided as a group that the least wecan do for the community is to helpthe waterways out as much as we canby cleaning one up a few times ayear.”

In order to qualify for the pro-gram, each business must have a min-imum of six people, with at least oneadult of over 21 years of age. In addi-tion, the adopted waterway must be atleast a quarter mile to half mile stretchof creek or stream. Larger areas arealso open for adoption, but must be

approved by the Colorado Springsstorm water staff.

Black and White Auto will thenbalance its normal regimen of autobody with at least two days a year ofcleaning their adopted waterway. Thecity will provide the auto body staffwith trash bags and equipment inorder to help support Black & WhiteAuto and Paint’s goal of keeping theiradopted waterway clean.

Lujan continued, “After all, thiscommunity has been great to our busi-ness for decades. We want to show themthat we are good for more than just autorepairs. We want to give back.”

The shop, which normally pro-vides services such as paintless dentrepair and body work, will adopt itswaterway for at least two years, withthe option to renew when the allottedtime has passed. Black & White Autoand Paint will receive recognition fortheir work by having signage pro-vided by the city by the businesses’adopted waterway.

The National Auto Body Council(NABC) has selected Wednesday,January 23, 2013 for its upcomingAnnual Golf Event Fundraiser,which will again take place at theTahquitz Creek Golf Resort in PalmSprings, CA. The event is being heldin conjunction with the NABC’sopen board meeting, which will takeplace the day before, Tuesday, Janu-ary 22.

Because it’s a major source offunding for the NABC, the fundrais-ing event plays an integral part inproviding the resources that supportthe organization in its mission ofpromoting the image of all dedicatedcollision industry professionals,while ensuring the industry is rec-ognized as essential in serving thecommunity.

The event is open to both indi-viduals and teams, and will beplayed using a four-person scrambleformat. Breakfast will be served atthe course prior to the 10 a.m shot-gun start and the event will concludewith a buffet reception, awards cer-emony, and prize package drawings.Transportation will be provided toand from the conference hotel toTahquitz Creek Golf Resort.

Car buyers in California will get in-creased protection under a new lawthat took effect on July 1.

Most bills passed by the Legisla-ture and signed by the governor takeeffect on Jan. 1 each year. But all orpart of about two-dozen other lawsare taking effect at midyear.

The state is enacting a first-in-the-nation law to protect those shop-ping for used cars.

As of July 1, car dealers mustmark vehicles with bright red warningstickers if they are listed in the Na-tional Motor Vehicle Title Informa-tion System database as junk, salvageor inundated during floods. Recre-ational vehicles, motorcycles and off-highway vehicles are exempted fromthe requirement.

“California is a dumping groundfor salvage cars. We’re the biggestmarket. We have a lot of young peo-ple and low-income people, a lot ofimmigrants and military people,” saidRosemary Shahan, president ofSacramento-based Consumers forAuto Reliability and Safety. “Whatwe tell consumers is any time you’rebuying a used car, look for that redwarning sticker. If it’s there, you don’twant that car.”

New Law Protects CaliforniaCar Buyers from ‘Junk Cars’

NABC Schedules CIC GolfTournament for Jan. 23

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Accept no Substitutes!

Page 14: August 2012 Western Edition

14 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

Civil Service Employees InsuranceCompany, in partnership with BenClymer’s The Body Shop, hosted a cargiveaway July 3. Yucaipa Mayor,Dick Riddell was present for thegiveaway. Rick Lozano from Fox 11local news was the Master of Cere-monies.

The car was given to a deservingfamily, and came equipped with a fullyear of auto insurance donated by aCSE Insurance Group IndependentAgent, SCP Insurance Services, and atrunk full of groceries. This year’swinner was Rhonda Abrams, a resi-dent of Yucaipa, CA, a certified nurs-ing assistant at Loma Linda V.A.hospital. She has five children, in-cluding a high schooler and anotherwho is college-bound. Ms. Abramshas also worked for the Palm SpringsUnified School District, working onautistic and bipolar student programs.

“CSE Insurance Group is proudto partner with The Body Shop to helpa family in need. This family has beenthrough very difficult times and hasmanaged to persevere with limited re-sources,” said Pierre Bize, presidentand CEO of CSE Insurance Group. “We are pleased to bring relief to thisdeserving family of six.”

The Body Shop Partners withInsurer on Car GiveawayTwo bills seeking to regulate auto in-

surance coverage in California saw re-cent action from lawmakers, includingone that would exempt public safetyofficers from liability in work-relatedcrashes and transfer that liability to thepublic agency employing the officer.

AB 1551 would apply to fire-fighters, police officers and other pub-lic peace officers using their personalvehicle for work-related functions andduties, barring insurance companiesfrom raising premiums on those poli-cyholders because of crashes whileusing their cars for those purposes.

The legislation passed the stateAssembly by a 69-3 vote in late Maybefore clearing the Senate InsuranceCommittee in late June. It is currentlyin the Senate Appropriations Commit-tee.

One of the bill’s main backers,the California Professional Firefight-ers (CPF), said firefighters are espe-cially strained by an increase of “dailydetails” in which they use personalcars to, among other duties, attendtraining exercises and transport reliefcrews and equipment.

“With more ‘detailing out’ of fire-fighters comes an increased demandon fire departments to provide trans-portation and, in certain cases, greater

pressure on firefighters to use their pri-vately-owned vehicles for such activi-ties,” stated the Senate InsuranceCommittee’s legislative analysis.

Current law protects authoritiesfrom insurance liability when they areinvolved in on-the-job crashes inagency vehicles authorized by theiremployer, but those involved in the“few instances” in which they have touse their personal vehicle are exposedto unfair financial risk, according tothe bill’s supporters.

However, several local andcounty agencies have decried the billas an excessive burden on them. TheCalifornia Association of Joint PowerAuthorities (CAJPA) said transferringliability to local agencies exposesthem to the same financial risk, some-thing that they “cannot afford in thesetimes of economic stress,” accordingto the analysis.

The Regional Council of RuralCounties (RCRC) has also publiclyopposed the bill, saying that the shiftof financial responsibility to ruralcounties would be “troubling.”

“Employees will be required touse scarce public safety vehicles totravel to non-emergency work desti-nations,” RCRC officials stated in aletter to the Senate committee. “This

will add costs to providing work-re-lated vehicles or result in existing ve-hicles being used for alternativepurposes.”

Assemblywoman Norma Torres(D-Pomona), who authored the bill,called it “simple and straightforward.”

“This measure will help safe-guard public safety employees fromjeopardizing their personal financeswhen engaging in on-duty, employer-directed activities,” Torres said in astatement.

AB 1551 last saw action with anamendment striking language from thebill that would have set looser crashreporting rules for authorities. In thebill’s original version, officers wouldnot have had to report work-relatedcrashes in their personal vehicle totheir insurer.

The bill’s latest version requiresthe employer and employee to give no-tice to the insurer about such crasheswithin 10 days of the incident.

California Legislators Act on Two Insurance Bills

CAWA Says it Helped Stop CA Key Access BillThe California Automotive Whole-salers Association (CAWA) celebrateda victory on June 28 with the failureof SB 750 to garner the state assem-bly vote.

California State Sen. Ed Her-nandez’s (D-24) Senate Bill 750, re-lating to motor vehicle manufacturerproduction of replacement keys, re-cently failed to pass the California As-sembly. The bill would makeindefinite an exemption from a re-quirement for motor vehicle manu-facturers to provide for the productionof replacement keys.

According to CAWA, the defeatof SB 750 marked a victory for con-sumers and the automotive aftermar-ket alike because the bill aimed atlocking out the industry from impor-tant information relative to key infor-mation for replacement in certainautomobiles. The bill failed to passthe Assembly Floor by a vote of 29 to25, with 41 votes needed to pass. SB750, sponsored by BMW, sought toexempt automakers from providingelectronic key code information tolocksmiths, requiring motorists tocontact the automaker to get a re-placement key for their vehicle.

Under current California law,motor vehicle manufacturers are re-quired to provide a way for the regis-

tered owner of a car, or their familymember, to access information thatwould allow them production of a re-placement key by a locksmith. A pro-vision in the current law allowsexemptions until 2013.

Under the leadership of CAWA,industry advocates and AAA success-fully communicated concerns aboutmotorists being inconvenienced andoften stranded in dangerous situationsbecause they were not able to obtain areplacement key from a locksmith dueto automakers refusal to provide thisinformation. These concerns helpedconvince legislators to vote againstSB 750. In addition, CAWA arguedthat this bill is anti-consumer and anti-competitive, which resonated withmany legislators.

“The key is much more than theinstrument that enables one to starttheir vehicle,” stated Steve Sharp ofWORLDPAC and CAWA Chair. “Thekey is coded with security informationthat is tied into the vehicles computersystem and will disable a number ofauto components, including, in somecases, the transmission, making thevehicle immobile as well as prevent-ing a vehicle from being started aftercertain major repairs.”

CAWA successfully argued that

Autobody News ispleased to announce our

Great Lakes Editionwill publish in September!

See CAWA Says, Page 42

Page 15: August 2012 Western Edition

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 15

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Page 16: August 2012 Western Edition

16 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

The National Insurance Crime Bu-reau’s annual report has again namedCalifornia as the state in which yourcar is most likely to get stolen. Thestate has seven spots on the list of thetop 10 cities, with Washington andSouth Carolina filling out the otherthree.

Fresno, Modesto and the Bakers-field area take the top three spots, re-spectively, unchanged from last year.Spokane, WA again takes number four.

Auto theft dropped 3.3 percentlast year to a total of 712,816 carstaken.

2011 Rank (2010 Rank)1. Fresno, Calif. (1)2. Modesto, Calif. (2)3. Bakersfield-Delano, Calif. (3)

4. Spokane, Wash. (4)5. Yakima, Wash. (10)6. San Francisco/Oakland/Fremont,Calif. (9)7. Stockton, Calif. (7)8. Anderson, S.C. (33)9. Vallejo-Fairfield, Calif. (5)10. Visalia-Porterville, Calif. (8)

Tips to Avoid TheftUse Common Sense: The

common-sense approach toprotection is the easiest andmost cost-effective way tothwart would-be thieves.You should always:• Remove your keys fromthe ignition.• Lock your doors and closeyour windows.• Park in a well-lit area.

Warning devices: The secondlayer of protection is a visible or audi-ble device that alerts thieves that yourvehicle is protected. Popular devicesinclude:

• Audible alarms• Steering-column collars• Steering-wheel/brake-pedal locks• Brake locks• Wheel locks• Theft deterrent decals

• Identification markers in or on thevehicle• VIN etching• Micro-dot marking

Immobilizing device: The thirdlayer of protection is a device that pre-vents thieves from bypassing your ig-nition and hot-wiring the vehicle.Some electronic devices have com-puter chips in ignition keys. Other de-vices inhibit the flow of electricity orfuel to the engine until a hidden switchor button is activated. Some examplesare:• Smart keys• Fuse cut-offs• Kill switches• Starter, ignition and fuel-pump dis-ablers•Wireless ignition authentication

Tracking devices: The final layerof protection is a tracking device thatemits a signal to police or a monitoringstation when the vehicle is stolen.Tracking devices are very effective inhelping authorities recover stolen ve-hicles. Some systems employ telemat-ics, which combine GPS and wirelesstechnologies to allow remote monitor-ing of a vehicle. If the vehicle ismoved, the system will alert the ownerand the vehicle can be tracked viacomputer.

California Takes Top Three Spots for Most Cars Stolen–Again

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Irvine SUBARUCAA Santa Clara Hosts LETF and Recaps ActivitiesThe Santa Clara Chapter of the Cali-fornia Autobody Association held itsrecent meeting on July 18, hostingguest speakers from the Labor En-forcement Task Force. The LETF is acoalition of state and federal agenciesworking together to fight the under-ground economy through educationand enforcement. Participating agen-cies include: Division of Labor Stan-dards Enforcement (DLSE) for wageand hour issues; Employment Devel-opment Department (EDD) for payroll;CAL/OSHA for health and safety;Board of Equalization (BOE) for salestax; and the Bureau of Automotive Re-pair (BAR) for licensing. The LETFhas been visiting CAA chapters acrossthe state to discuss auto body compli-ance. The task force is randomly in-specting body shops to ensure they arein compliance with laws regardingwages, payroll taxes, OSHA compli-ances, sales tax and fair labor practices.

In a recap of chapter accomplish-ments so far this year, the CAA - SantaClara chapter newsletter reported: “Ourfirst big event was legislation day, April18. Six members of our chapter madethe trip. This represented the largestnumber of people from any chapter ofthe California Auto Body Association.We met with various senators and rep-resentatives from our areas to discuss

issues affecting our industry. The hottopic was SB1460, known as the auto-motive repair replacement parts bill, in-troduced by Senator Yee. Our firstappointment was with his office. Ourgoal was to point out the problems withthe bill. The bill was withdrawn twodays later after a letter from the insur-ance commissioner and has been laid torest for the time being.

“In May our board members BobMcTaggart, Auto Body Instructor, andNathan Chukes, Paint Instructor fromCCOC ( Central County OccupationalCenter) gave us the names of their topfour students. We presented each stu-dent with $250 worth of tools and ma-terials, certificates for an I-CAR class,and Martin Auto Color donated a $100gift card for each student and an addi-tional $200 for the students to upgradetheir tools.

“The 9th annual CCOC Customand Classic Car Show was held May11. Teachers, administrators and classi-fied staff all pulled together to make theshow a huge success, promoting CCOCand SkillsUSA. With food sales, CTAraffle, participant fees and donationsfrom partners of the school, the sum of$10,393 was raised. All proceeds gointo the SkillsUSA club fund to supportstudents competing in their chosenfield.

GARMAT USA has announced thereturn of the immensely popular Gar-mat Sharp Shooter contest for shopowners and paint techs. This contestis designed to recognize quality painttechs and shop owners that use Gar-mat equipment.

The Garmat Sharp Shooter Con-test will run through September 18.Paint techs and their managers willhave the opportunity to tell their Gar-mat story, in either video testimonialor written statements. Judging isbased on the shop owner and painttech's dedication to providing qual-ity paint jobs, superior customerservice, attention to safety and over-all equipment knowledge. Bonusquestions include an inquiry on howGarmat can improve their Garmatexperience with product improve-ments.

The first 100 entrants will re-ceive a custom Garmat Sharp ShooterCap. First place prizes of two leatherjackets (one for the contestant andone for the owner) will be awarded tofive finalists, and the Grand Prize ofa trip for two to Las Vegas will go tothe contest winner. Contest rules andregulations can be found at www.gar-mat.com.

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Page 17: August 2012 Western Edition

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 17

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Page 18: August 2012 Western Edition

18 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

Thousands of fans voted for a satinblack luxury Mustang concept in thefirst ever SEMA Mustang Build Pow-ered by Women. The project, which isa collaboration between Ford MotorCo. and the Specialty Equipment Mar-ket Association (SEMA), invited the

public to view three concepts onlineand vote for the one they would liketo see built by a group of female vol-unteers.

The winning concept, “HighGear,” was designed by JenniferSeely of Ford Motor Co. Inspired byinternational products in categories

such as jewelry, couture clothingand architecture, the concept ismeant to stimulate the senses by fus-ing luxury and power. Highlights in-clude Rosegold chrome accentsthroughout the exterior and interior,satin black body, plush quilted suede

seats and a leather wrapped interior.Women builders will perform modi-fications to the engine, undercar-riage, drive train and sound systemthis summer.

As title sponsor of the project,Ford Motor Co. donated a 2013 FordMustang GT for the project.

The finished vehicle will debut atthe 2012 SEMA Show in Las Vegas,then auctioned off on eBay to raisemoney for the SEMA MemorialScholarship Fund. The fund is dedi-cated to fostering the next generationof automotive aftermarket leaders andinnovators.

“We appreciate our readers andfans helping us determine whichconcept will be used for this very ex-citing project,” said Doug Evans,Executive VP of Source InterlinkMedia (SIM). SIM, a partner in theproject, hosted the voting on severalof its websites and will also host thephysical build at its El Segundo, CAheadquarters.

“The concept selected by every-one who voted is amazing,” continuedEvans. “It will be very exciting to seethe vehicle transformed in just eightshort weeks by the dedicated group ofwomen participating in the project.The drive and talent this collaborationof women from the SBN, Ford andSource Interlink Media brings to thisproject is nothing short of phenome-nal.”

The SBN Vehicle Build Task Force

is comprised of Task Force Chair RoseKawasaki (Exports International),Project Vehicle Coordinator SherryKollien (Ford Motor Company), As-sembly Coordinator Kellie Colf (eTool

Developers), PR/Media CoordinatorCamee Edelbrock (Schiefer MediaInc.) and Product Coordinator SusanCarpenter (JR Products). Advisors in-clude Mike Spagnola (Street Scene),Joel Ayres (Bedslide) and MarlaMoore (Hypertech).

To learn more about SEMA Mus-tang Build Powered by Women, visitwww.sema.org/SEMAMustangBuildor contact SEMA Project ManagerBryan C. Harrison at:[email protected].

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Page 19: August 2012 Western Edition

The all-female build team is finalizedfor the SEMA Mustang Build Poweredby Women. The team of technicians,enthusiasts and industry personnel willwork together in El Segundo, CA tocustomize a 2013 Ford Mustang GTdonated by Ford Motor Co. The fin-ished vehicle debuts Oct. 31 at the2012 SEMA Show in Las Vegas, NV.

The SEMA Businesswomen’s Net-work (SBN) assembled more than 30women for the team that will install 50-state, street-legal aftermarket parts pro-vided by SEMA-member manufacturersand suppliers on to the Mustang GT. Theteam will transform the vehicle into thewinning black chrome satin luxury Mus-

tang concept knownas “High Gear,”which was designedby Jennifer Seely ofFord. The com-pleted vehicle willbe auctioned off oneBay Motors withproceeds being do-

nated to the SEMA Memorial Scholar-ship Fund.

Kellie Colf, SBN Assembly Coor-dinator and President of Colf Creative

Resources, said, “I am thrilled to beworking with such a talented team ofwomen. There are SBN members com-ing in from all corners of the industry,with all levels of expertise and it’samazing to witness. The best part is that

I get to work withother like-mindedfemale gearheads,build an amazingcar and help fundscholarships for fu-ture industry lead-ers all at the sametime!”

The SEMA Mustang Build was abrainchild of JoAnn Bortles after sheparticipated in a successful all-femalemotorcycle build. Bortles has morethan 30 years of experience as anaward-winning custom painter, air-brush artist, welder/fabricator, photo-journalist and is the author of sixbooks. In addition to having owned aMustang repair shop in the early ‘80s,she is one of the first women to ownand operate a custom paint shop in theUnited States.

With a background in graphicdesign, Theresa Contreras’ vast ex-

perience includesvehicle designconcepts and ren-derings, with aspecialty in cus-tom painting.She’s been fea-tured numeroustimes in paint tech

articles and recently participated inan episode of “Car Warriors,” whereshe was the first female team leader.During the competition, Contrerasled her team to victory with their1970 Chevrolet C-10.

Mollie Lewis has been in the au-tomotive/dieselservice and repairindustry for 25years. As an ASEcertified techni-cian, Lewis iswell equipped tolead the team ofwomen who will

install the aftermarket exhaust, sus-pension, wheels and tires.

Kristin Cline’s automotive expe-rience began when she acquired herfirst classic car more than six years

ago. Cline is comfortable working onvarious years/makes/models of vehi-cles and maintains a blog about theautomotive hobby at greasegirl.com.She is also a founding member of theGasoline Girls car club where sheshares her knowledge and encouragesother women to get their hands dirtyin the garage.

Jennifer LaFever has been in theautomotive industry for several years

and has earned aBachelor of Sci-ence degree inMechanical Engi-neering and at-tended UniversalTechnical Institutefor automotivetechnology and

motorsports. LaFever’s expertise is incomponent inspections, mathematicalcalculations and diagnostics with astrong understanding of electronics.

For more information about thewomen behind the project, visitwww.sema.org/SEMAMustang-Build and follow the build atwww.youtube.com/MotorTrend andwww.HOTROD.com.

Mustang Build Powered by Women Team Finalized

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 19

Theresa Contreras

Kellie Colf

JoAnn Bortles

Mollie Lewis

Jennifer LaFever

Page 20: August 2012 Western Edition

20 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

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The proposed amendments includethe following additional text:

■ If partial losses are settled on thebasis of a written estimate prepared byor for the insurer, the insurer shall sup-ply the claimant with a copy of the es-timate upon which the settlement isbased. The estimate prepared by or forthe insurer shall be of an amount whichwill allow for repairs to be made in ac-cordance with accepted trade standardsfor good and workmanlike automotiverepairs by an “auto body repair shop”as defined in section 9889.51 of theBusiness and Professions Code, and inaccordance with the standards of auto-motive repair required of auto body re-pair shops, as described in the Businessand Professions Code, and associatedregulations, including but not limited toSection 3365 of the California Code ofRegulations, Title 16, Division 33,Chapter 1, Article 8. No insurer shallwillfully depart from or disregard ac-cepted trade standards for good andworkmanlike repair in the preparationof claim settlement offers or estimates

prepared by or for the insurer. An in-surer shall not prepare an estimate thatis less favorable to the claimant than thestandards, costs and guidelines pro-vided by the third-party automobile col-lision repair estimating software usedby the insurer to prepare the estimate.

■ Reasonably adjust any written es-timates prepared by the repair shop ofthe claimant’s choice and provide a copyof the adjusted estimate to the claimantand the claimant’s repair shop. The ad-justed estimate provided to the claimantand repair shop shall be either an editedcopy of the claimant’s repair shop esti-mate or a supplemental estimate basedon the itemized copy of the claimant’srepair shop estimate. The adjusted esti-mate shall identify the specific adjust-ment made to each item and the costassociated with each adjustment madeto the claimant’s shop’s estimate.

■ Insurers specifying the use of non-original equipment manufacturer re-placement crash parts warrant that suchparts are of like kind, quality, safety, fitand performance as original equipmentmanufacturer replacement crash parts.The insurer must disclose in writing, inany estimate prepared by or for the in-surer, the fact that it warrants that suchparts are of like kind, quality, safety, fit

and performance as original equipmentmanufacturer replacement crash parts.

■ Insurers specifying the use ofnon-original equipment manufacturerreplacement crash parts that the insurerhas implied, actual, or constructiveknowledge are not equal to the originalequipment manufacturer parts in termsof kind, quality, safety, fit and perform-ance, or do not otherwise comply withthis section, shall immediately ceasespecifying the use of these parts andshall, within thirty (30) calendar days,notify the collision repair estimatingsoftware provider, or other estimatingentity it contracts with, of the part andrequest this part be removed from thecollision repair estimating software.

■ Insurers specifying the use ofnon-original equipment manufacturerreplacement crash parts that the insurerhas implied, actual, or constructiveknowledge are not equal to the originalequipment manufacturer parts in termsof kind, quality, safety, fit and perform-ance, or do not otherwise comply withthis section, shall immediately ceasespecifying the use of these parts andshall, within thirty (30) calendar days,notify the distributor of the part of thedefect, safety issue or non-compliantaspect of the part.

■ Insurers specifying the use of non-original equipment manufacturer re-placement crash parts, which are certifiedby a non-original equipment manufac-turer replacement crash part certifyingentity and the insurer has implied, actual,or constructive knowledge are not equalto the original equipment manufacturerparts in terms of kind, quality, safety, fitand performance shall, within thirty (30)calendar days, file a report with the non-original equipment manufacturer re-placement crash part certifying entity.

■ Insurers specifying the use of non-original equipment manufacturer re-placement crash parts that the insurer hasimplied, actual, or constructive knowl-edge are not equal to the original equip-ment manufacturer parts in terms of kind,quality, safety, fit and performance, or donot otherwise comply with this section,shall pay for the costs associated with re-turning the part and the cost to removeand replace the non-original equipmentmanufacturer part with a compliant non-original equipment manufacturer part oran original equipment manufacturer part.Comments can be submitted for this reg-ulation until Aug. 9, 2012.

To view the full text of the proposedamendments, please visit ASA’s legisla-tive website at www.TakingTheHill.com.

Continued from Cover

CDI Aftermarket

Page 21: August 2012 Western Edition

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 21

Page 22: August 2012 Western Edition

22 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

Longtime Autobody News columnistRich Evans is taking his brand inter-

national, having setout in July with ateam of nine otherautomotive expertsto Elmsdale, NovaScotia for the film-ing of an upcomingepisode of “WorldWide Car Buildingwith Rich Evans,”

a car building show with a culturaltwist.

“World Wide Car Building withRich Evans (WWCB)” is a docu-mentary-style TV series in whichEvans collaborates with car buildersaround the world, engaging the audi-ence in a cultural exchange of cre-ativity, technique, and the universallove for the automobile. In thisepisode, Rich and crew teamed upwith Curtis MacLean of Curtis Cus-toms Designs for a ten-day build inlate July. Together, the team built acustomized 2004 Hummer H2. Evansalso made a public appearance on theCurtis Customs Classic Car Show onJuly 28 and 29.

Each episode of WWCB begins

with a client’s request for Rich Evansto build a one-of-a-kind car. Evans as-sembles a team of specialists who travelto that country for the build. Workingwith the local crew, Rich and his teammust confront and adapt to challengesas they use local resources, collaborateon technique, and work with a limitedamount of time on the build.

Evans is widely known as a cardesigner and builder ready for a chal-lenge. His unique vehicle graphics,customization and modification aresought by celebrities who want Evansto work on special projects around theglobe.

Evans was team leader on CarWarriors on SPEED Channel as an All-Star fabricator, painter and designer. Heappeared in 26 episodes of Chop, Cut,Rebuild on SPEED Channel, twoepisodes of Junk Yard Wars on TLCand once on MTV’s Pimp My Ride.Evans also teamed up with Ebay Mo-tors on Mod Jobs for a custom build.

Designer Rich Evans Travels to Nova Scotia toFilm New Show “World Wide Car Building”

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Ontario Metal Theft Leads to Hostages and StandoffA Whittier man held two family mem-bers hostage near Montclair, CA afterfleeing from police for alleged metaltheft.

Felipe Vega, 43, was arrested byOntario police officers after taking thehostages and barricading himself formore than two hours in their residenceon Kadota Avenue.

The hostages were able to safelyescape during the ordeal, Ontario po-lice Sgt. David McBride said.

“He forced his way into the homebut there was no damage,” McBridesaid. “He then forced them into a roomand told them not to go outside.”

Vega was arrested on suspicionof possessing stolen property, grandtheft, burglary, kidnapping and falseimprisonment.

Vega had allegedly been involvedin metal thefts along with Steven RayHarris, 53, of Rancho Cucamongaand Jason Isaac Day, 32, of Norco.

Detectives had been investigatingthe theft of more than $1,500 worth ofrecyclable metal products and palletstaken from an Ontario business.

Their investigation led to aPomona recycling center on East Mis-sion Boulevard where three men weretrying to sell what was believed to bestolen metal products.

Police officers had made areascrap yards aware of the theft andwere informed about 4 p.m. Tuesdayby a worker at the Pomona center thatsomeone was trying to sell the metal,McBride said.

Detectives arrested two of themen - Harris and Day - for possessionof stolen property and grand theft.

A third man - later identified asVega - fled to a nearby neighborhoodand forced his way into the home onKadota Avenue. The house was sur-rounded and officers tried for twohours to order him out of the house.

Vega retreated to the attic of thehouse, but was taken out of the houseafter a police dog bit him, McBride said.

More than 20 police officers re-sponded to the house.

San Bernardino County sheriff’sdeputies assisted in the investigation.

The battle with metal thieves hasbeen an ongoing problem for Ontarioas well as many Southland cities as theprice of metal increases, McBride said.

The Ontario Police Departmenthas even dedicated two detectives anda technician to track metal thefts inthe area, he said.

“Most cities battle with thesethieves because metal brings in topdollar,” McBride said.

Rich Evans

www.autobodynews.comC

www.autobodynews.com

Page 23: August 2012 Western Edition

by Ed Attanasio

For some automotive vendors, bodyshop owners and employees, golf is alost afternoon spent in the bushes, sandtraps and water hazards. But for others,golf tournaments like the one held bythe Santa Clara Chapter of the Califor-nia Autobody Association’s (SCC-CAA) held at Cinnabar Hills Golf Clubin San Jose, CA on June 27, it’s a greatopportunity to network, imbibe, tell talltales and even actually play some golf.

Famous golf names graced the an-nual tournament’s leader board, likeChoi, Kim and Nelson. But, unfortu-nately, K.J. (Choi), Anthony (Kim)and Byron (Nelson)–professional golfstars of today and yesterday–weren’t

in attendance. Instead, Ron Nelson(Enterprise’s Foursome #1), YongKim and Jae Choi (both in AnnexAutomotive’s Foursome #3), were allmembers of winning teams.

There were 20 foursomes who en-joyed the great weather and wonprizes on a beautiful northern Califor-nia day. It was a paint jobbers’ warwhen a pair of them captured the tour-nament’s two top spots by playingstrategic, skilled game on Cinnabar’stough Lake and Canyon courses. Thefirst place team was comprised ofMark D’Angelo, Rod Baker andBob McKim, representing D‘An-gelo’s Automotive Coatings. The sec-ond place team was comprised ofYong Ko, James Mariner, Jae Choi,and Brandon Rojas and represented

Annex Automotive Finishes.The tournament’s chairperson was

once again Tobias Padilla from Hertz.“Tobias did an awesome job of pullingthe tournament together, which is not aneasy task,” SCC-CAA Past Presidentand Treasurer David Mello said. “Thisis his second year as the chair of theevent, and he really stepped up againthis year and was our go-to guy all theway. Every successful tournamentneeds a person like Tobias and we’regrateful to have him. I should also thankour platinum sponsors–Hertz, PPG,3M, and Enterprise Rent a Car and ourgold sponsors–National Auto Parts,Last Call Marketing, FinishMaster,Carborundom and Lord Fusor.”

One of the tournament’s winners,Mark D’Angelo from the D’Angelo’sBusiness Group, was pleased to see agreat turnout and all of the talentedgolfers on the course. “This eventraises money for the chapter and of-fers a good opportunity to spend sometime away from our businesses. I amhappy to see more body shops partic-ipating and surprised to learn some ofthem are very good golfers.”

SCC-CAA President Randy

Greenblatt was pleased about thetournament’s turnout and is anticipat-ing a larger crowd in 2013.

“The tournament raises much-needed money for us help the chapterin several ways. The funds go directlyinto our operational budget, so that wecan donate money to organizationslike the Central County Occupational

Center’s (CCOC) automotive repairschool. We recently gave them $1,000earmarked for operations and another$7,500 to completely build a vehiclein their classes. If the golf tournamentwill allow us to do things like that, it’sa win-win for the chapter and for greatorganizations like CCOC! The buzzthis year was very positive, so I thinkwe’ll get even more people to partici-pate next year,” Greenblatt said.

Santa Clara’s CAA 29th Annual Golf Tournament Attracts 80 Competitive Golfers

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 23

The afternoon’s second place team was AnnexAutomotive Foursome #3, represented by(from left) Yong Kim, Brandon Rojas, JaeChoi and James Mariner

The SCC-CAA tournament’s first place teamwas from D‘Angelo’s Business Group andconsisted of (from left) Rod Baker, MarkD’Angelo and Bob McKim, with a score of14 under par

The Having Too Much Fun Team (EnterpriseFoursome #1) finished third and featured(from left) Razo Navari, Shawn Saidi (witha huge cigar), Chad Iken and Ron Nelson

Page 24: August 2012 Western Edition

Non-OEM versions of many more ve-hicle parts could be manufactured andavailable much sooner after a new ve-hicle model is introduced if backers ofproposed changes to federal patentlaws are successful.

An update on the legislation beingpushed by the Quality Parts Coalition(QPC) was among the topics at the re-cent Automotive Body Parts Associa-tion (ABPA) convention, held inVancouver, British Columbia.

Eileen Sottile of the QPC urgedthe aftermarket part manufactures anddistributors attending the conferenceto contact Congress to support thecoalition’s legislation (HR 3889),which would reduce the time au-tomakers can use design patents toprevent other companies from pro-ducing replacement crash parts. Sot-tile said the bill would reduce thepatent protection from 14 years to just2.5 years, and the 2.5-year clockwould start ticking when the au-tomaker introduces the car, even ifthat vehicle introduction is in anothercountry months before it is introducedin the United States.

Sottile said the QPC wanted toeliminate all design patent protectionon the parts, as called for in earlierbills it introduced in Congress, but set-tled for a 2.5-year moratorium be-cause Rep. Darrell Issa (R.-Calif.),who is sponsoring the bill in the U.S.House, “felt very strongly that we hadto find a balance between protectingintellectual property and allowingcompetition.”

She said a sponsor is being soughtto introduce a similar bill in the Sen-ate. Although one has not yet been an-nounced, the QPC has recentlyannounced that three more membersof Congress have signed on as co-sponsors of the House bill. Reps. BillCassidy (R-La.), Walter Jones (R-N.C.) and Dennis Ross (R-Fla.) arenow supporting the bill

At the ABPA event, Sottile out-lined how the QPC’s monthly lobby-ing and public relations budget ofabout $70,000 is being funded. LKQCorporation has donated $3.7 million,she said. The ABPA has contributed$1.5 million, mostly through an op-tional $50 fee that some ABPA mem-

bers voluntarily contribute for eachshipping container of non-OEM partsthey ship or receive. Other major con-tributors include Nationwide and StateFarm ($115,000 each), the Automo-tive Aftermarket Industry Association($99,000), Allstate ($92,000) and Au-toZone ($60,000).

Certification program updateAlso speaking at the ABPA event, BobFrayer of NSF International, said hisorganization has certified about 1,800non-OEM parts, and is adding about100 parts a month to that list.

Launched in 2010with the backingof the ABPA, theNSF parts certifi-cation program isin part a responseto unhappinesswithin the non-OEM parts indus-

try with the time and expenseinvolved with having parts certifiedthrough the 25-year-old Certified Au-tomotive Parts Association (CAPA)program.

Frayer acknowledged that most ofthe NSF-certified parts are bumper-re-lated parts, the first category for whichNSF offered certification, but he saidNSF is now certifying non-OEM plas-tic, sheet metal and lighting parts aswell.

He said EMC Insurance, Farmers,Grange and USAA are among the in-surers calling for the use of NSF-cer-tified parts.

“We’re continually talking to in-surance companies, and hopefully asthe program grows and we have morepart in the program, you’ll see moreinsurers writing NSF parts,” Frayersaid.

Unlike the CAPA certificationprogram, NSF does not require thatits labs conduct the actual testing ofthe parts; NSF merely audits that theparts manufacturer has had testingdone by a qualified facility. ButFrayer said NSF subsequently pulls25 to 30 individual parts out of thedistribution stream each month fortesting at NSF.

“We expect by the end of this yearto have over 250 parts that we’ve ac-

tually tested at NSF,” Frayer said. “Ifwe do see problems with parts, thosetesting numbers will increase. We’llbe testing more parts if we see any in-dication that there’s something lessthan what was (initially submittedand)certified and being supplied to themarket.”

Frayer was asked at the ABPAevent how it develops the specifica-tions that determine whether a partearns certification.

“The basis for the certification isalways the OE (original equipment)service part,” Frayer said. “The OEservice part is the standard with whichwe use to measure the aftermarketpart.”

Frayer said a committee, whichincludes parts manufacturers, deter-mines acceptable tolerances for devi-ations from the OEM service part.

“Because we can measure the OEservice part and find, for example, ithas a yield strength of ‘x’ or an ten-

sile strength of ‘y,’” Frayer said. “Thequestion is: What kind of tolerancewould seem reasonable to put aroundthose numbers. So the (non-OEM)manufacturers help provide the initialguidance with that. But I can tell you

what happens is aswe go forward, westart testing parts.We start seeinghow much varia-tion we see in theOE parts. And thatgives us a prettygood indication of

whether the tolerances that we ini-tially applied (for non-OEM part cer-tification) are appropriate or not. I cantell you without exception the toler-ances that our manufacturers havegiven us and worked with us to de-velop up front are as tight or tighterthan what we’re seeing in the OEservice parts.”

Non-OEM Parts Industry Meets to Discuss Patent Law Change

24 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

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Industry Insightwith John Yoswick

John Yoswick is a freelance writer based in Portland, Oregon, who has a body shop in thefamily and has been writing about the automotive industry since 1988. He is the editor of theweekly CRASH Network (for a free 4-week trial subscription, visit www.CrashNetwork.com).Contact him by email at [email protected].

See Patent Law Change, Page 27

Bob Frayer

Eileen Sottile

Page 25: August 2012 Western Edition

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 25

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Page 26: August 2012 Western Edition

I was recently talking with an esti-mator at a relatively busy shop in myarea. I asked what his biggest prob-lem was these days. He said it wasthe people who came in for an esti-mate but wouldn’t leave the car. Hesaid no matter how much he prom-ised, he couldn’t close the deal onmany of the tough customers. It oc-curred to me that he might be puttingtoo much faith in the power of words.Some people simply have a distrustof sales pitches, phony promises andfancy words. Maybe they respondedto one too many TV commercialpromises or a phone solicitor or oneof the many over-hyped ads for prod-ucts that never live up to their prom-ises.

So what do you do when you runinto one of these supreme word skep-tics? I suddenly remembered aCaribbean black fellow who owned asmall shop in an affluent white neigh-borhood and had an almost perfect

record for closing jobs and getting thekeys. I asked him how he does it. Hetold me that because of his color, hehad to work harder to win a prospec-tive customer’s trust. He knew theymight doubt what he said, so he usedseveral tactics to hold onto a prospec-tive job. He would often bring his topbody man out to give a professionalopinion on what needed to be done.He might also take a prospect into theshop and show him or her some jobsin progress and a couple of recentlycompeted jobs. If that didn’t close thedeal, he had one final strategy. Hewould have his body man come outand actually buff out a scratch or twoor make some minor repair right onthe spot. Then he’d have the customertouch a buffed out area to feel howsmooth the surface had become. Hesaid when a customer would see howserious he was about going the extramile, they would almost always let hisshop do the job.

It occurred to me that another rea-son for his show-and-tell success withsome of these people is the fact thatnationally, about 28 million peoplehave some sort of hearing loss. Andthere are probably another million orso who have English as a second lan-guage. And then there is the possibil-ity that the prospective customer’smind is distracted. Perhaps he or she isstill emotionally tied up in recallingthe accident. It’s possible that manyestimators mistakenly think that theirprospective customers have heardwhat they were saying. And even ifthey did hear it, how many might nothave understood what they heard? MyCaribbean friend’s show and tell – andpossibly touch – approach to sellingthe job could have somehow bypassedthese comprehension limitations andreached the prospective customer on adifferent level.

There are several major wayspeople receive and process informa-

tion: the usual auditory method oflistening, plus visual-verbal (readingwords), visual non-verbal (simplyseeing an object), and tactile (alsocalled kinesthetic). Kinesthetic peo-ple mostly respond to real-life situa-tions or objects they are able to touchand feel. These people perceive bestby experiencing or doing things. Itwould seem some other industriesmake use of this information. Miller& Associates (Dallas, Texas) excelsas a premier provider of sales, cus-tomer service, and support to thefoodservice equipment industry.They say they view themselves asthe customer’s best conduit for in-formation. They say they take a tac-tile approach to sales by encouragingtouching every channel in whichequipment is supplied. Through thiskind of education and after-the-saleservice they say they thrive withend-users like schools, chains, andinstitutions.

Capturing the Tough Ones

26 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

On Creative Marketingwith Thomas Franklin

Tom Franklin has been a shop sales and marketing consultant for fifty years. He haswritten numerous books and provides marketing solutions and services for many busi-nesses. He can be reached at (323) 871-6862 or at [email protected]. See Tom’s columns at www.autobodynews.com under Columnists > Franklin

Page 27: August 2012 Western Edition

OEM replacement part is the standardFrayer said NSF uses OEM replace-ment parts – rather than those origi-nally sold on the vehicle – as thestandard because it has found exam-ples of variation between OEM re-placement parts and the original parts.He cited an example of bumper ab-sorbers for a Ford Mustang.

“What we found was there was ahuge difference between the OE partand the OE service part,” Frayer said.“It’s obviously a change made by themanufacturer. The vehicle was intro-duced with one set of requirements forthe absorber, and then they changed toa different set (of requirements). Ourthinking is that, generally speaking,the OE service part represents whatthe manufacturer’s latest thinking is asto what is needed for that vehicle.”

Frayer said NSF has not receiveda single verified complaint about acertified part.

“We’ve had three complaints todate that I’ve been made aware of,”Frayer said. “One complaint was due tosome shipping damage. One was a part

that was actually shipped to the bodyshop as a certified part but as it turnedout it was not a certified part. And thethird one was a part that reportedly didnot fit the application. We were not ableto get the part back. But through somepictures that we received, we were ableto verify the lot number of the part. Weacquired another part from that samelot, put it on a vehicle and verified thatit did fit. So we were not able to verifythat there was a problem with that part.”

Frayer said anyone with concernsabout a NSF-certified part can notifyhim directly through NSF’s website(www.nsf.org), or “there should besome indication on the part or pack-aging itself who you would contactrelative to a complaint.”

Frayer said the problem of shopsreceiving a non-certified part when acertified part was ordered is somethingNSF’s parts distributor certificationprogram is designed to address. Sepa-rate from the parts certification pro-gram, the distributor certification waslaunched last year. Three companies –LKQ Corporation, PartsChannel, andmost recently Michigan-based MicroPlaters and Paint – have earned theNSF distributor certification, andFrayer said about a half-dozen other

distributors are in “various stages ofdiscussion with NSF regarding gettingcertified.”

A certified distributor can sell anyparts, whether those parts are certified(by NSF or CAPA) or not. A distribu-tor can be certified, however, only if it(among other requirements) picks upreturn parts from customers within twobusiness days (for customers serviceddaily); has a system of tracking re-turned parts confirmed to be defective;evaluates on a case-by-case basis re-imbursement of a shop for labor asso-ciated with the sale of a defective part;and has a tracking and recall procedureto support a manufacturer’s recall ofsafety-related parts (hoods, lights, ra-diator supports and bumper parts).One of the keys to the distributor cer-tification program, Frayer said, is en-suring that distributors have a systemin place to ensure that a non-certifiedpart is not substituted when a certifiedpart is ordered.

A visual and tactile approach hasalso been used to improve drivingskills. Usually we steer a car usingmainly visual information to perceivethe road’s shape and bends. One pro-fessional driving school went beyondthis usual approach and developed adriving simulator with visual and/ortactile information guides. Thesewere used to virtually present thedrivers’ lateral position and to en-hance their steering performance. Thetactile guide improved driving accu-racy more than the visual guide, prov-ing that the tactile information of thevirtual position of a car is the moreuseful for assisting and improving adriver’s performance.

The estimator doesn’t have to getinto these technical details on why aprospective customer will respondbetter to a visual and/or tactile pres-entation than to a predominantly talk-ing approach. Just knowing it ispossible to have this alternative to theusual estimate delivery should im-prove closing results. And thereshould be some satisfaction in know-ing the prospect won’t be turned offby distrust of what he or she thinksmay just be exaggerated sales pitchesand phony promises.

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 27

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2013 FORD FUSION

Continued from Page 24

Patent Law Change

Autobody News ispleased to announce our

Great Lakes Editionwill publish in September!

Page 28: August 2012 Western Edition

28 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

®

++

Page 29: August 2012 Western Edition

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 29

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Nelson HondaEl Monte

626-258-3494Dept. Hours: M-F 7-7; Sat [email protected]

Robertson HondaNorth Hol lywood800-508-3894818-301-3511

Dept. Hours: M-F 7-6; Sat 8-5

San Francisco HondaSan Francisco415-913-5125

Dept. Hours: M-F 8-5:[email protected]

Selma HondaSelma

800-717-3562559-891-5111

Dept. Hours: M-F 7-6; Sat 7:30-4:[email protected]

University HondaDavis

800-585-8648530-758-8770

Dept. Hours: M-Sat 8-6; Sun [email protected]

Findlay Honda HendersonHenderson

888-234-4498702-568-3531

Dept. Hours: M-F 7-6; Sat [email protected]

Bell HondaPhoenix

866-682-9802602-772-4159Dept. Hours: M-F 7-6

[email protected]

Chapman HondaTucson

800-461-6744520-202-5770

Dept. Hours: M-F 7-6; Sat [email protected]

Santan HondaChandler

800-765-1353480-285-2804

Dept. Hours: M-F 7-5:30; Sat [email protected]

Showcase HondaPhoenix

800-537-8236602-230-7306

Dept. Hours: M-F 7-7; Sat 8-5; Sun [email protected]

Tempe HondaTempe

800-571-7019480-421-4860

Dept. Hours: M-Sat [email protected]

CALIFORNIA CALIFORNIA CALIFORNIA ARIZONA

CALIFORNIA CALIFORNIA CALIFORNIA ARIZONA

The Honda and Acura Dealers Listed Here are

NEVADA

Subscribers:HONDA

ACURA

Acura of FremontFremont

888-435-0504510-431-2560

Dept. Hours: M-Sat [email protected]

Acura of PleasantonPleasanton

888-985-6342925-251-7126

Dept. Hours: M-F 7:30-6; Sat [email protected]

Metro AcuraMontc la i r

800-446-5697909-625-8960

Dept. Hours: M-F 7:30-5:[email protected]

Power Acura South BayTorrance

310-784-8647Dept. Hours: M-F 7-6; Sat [email protected]

Santa Monica AcuraSanta Monica

866-332-4950310-449-0064

Dept. Hours: M-F 7-7; Sat [email protected]

Findlay AcuraHenderson

877-770-5873702-982-4160

Dept. Hours: M-F 7-6; Sat [email protected]

Acura of PeoriaPeor ia

866-347-4507623-792-2559

Dept. Hours: M-F 7-6; Sat [email protected]

Acura of TempeTempe

866-455-6601480-344-6703

Dept. Hours: M-F 7-6; Sat [email protected]

NEVADA

ARIZONA

Page 30: August 2012 Western Edition

www.autobodynews.comwww.autobodynews.com

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Autobody News August 2012CALIFORNIA • NEVADA • ARIZONA

30 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

Audi Recalls 13,000 Q5Crossovers for Faulty Glass Lexus is Latest in Toyota Pedal Entrapment Recall

The long, nagging problem of reportsof unintended acceleration and stickypedals just won’t go away for ToyotaMotor Corp.

The Japanese automaker expandedits 2009 recall of vehicles for pedal en-trapment to include 154,000 model year2010 RX 350 and RX 450h (hybrid)SUVs from its Lexus luxury line, the firstnew recall for the issue since early 2011.

The automaker told NationalHighway Traffic Safety Administra-tion that it is still seeking a fix for theLexus vehicles.

“We are aware of 12 reports ofaccidents and two reports of minor in-juries that may have resulted from thiscondition,” Toyota spokesman BrianLyons said.

This is the third expansion of therecall. Toyota has now recalled morethan 7 million vehicles to address theissue since November 2009, when itfirst recalled 4.5 million vehicles. Intotal, Toyota recalled more than 10million vehicles to address trappedpedals and sticky accelerator pedals.

NHTSA said it was urging “con-sumers impacted by the recall to im-mediately remove the floor mat and

have their vehicles serviced promptly.”The government safety agency said

it approached Toyota regarding this mostrecent condition in May, “after theagency observed an increase in consumercomplaints and other reports regardingpedal entrapment in these vehicles.When Toyota confirmed last week it hadreceived a significant volume of com-plaints on the same issue, NHTSA askedthe manufacturer to conduct a recall.”

Toyota said, “The remedy plan isunder development, but will involvemodification or replacement of the ac-celerator pedal and replacement ofany Toyota-designed all-weather floormat not specified for the vehicle.”

The 2009 recall initially covered2004-10 models because the accelera-tor pedal can get stuck wide open by anunsecured or incompatible floor mat.

That remedy was different thanthe November 2009 entrapment re-call, so if both versions of pedal en-trapment are counted, Toyota hasrecalled 7.8 million vehicles.

The government already has im-posed fines of nearly $49 million on Toy-ota for failing to conduct three separaterecall campaigns in a timely manner.

Volkswagen, the corporate parent ofAudi, will recall over 13,000 Q5crossovers because the front glasspanel on its panoramic sunroof mayshatter in extremely cold temperatures.

In a filing posted to the websiteof the National Highway TrafficSafety Administration, VW said itwas made aware of the problem lastwinter by dealers who reported thatthe front glass panel on some Q5shad broken.

Subsequent laboratory testing ofthe sunroof panels at temperatures aslow as -40 indicated that the glass onsome units might separate from thesurrounding frame, potentially caus-ing the glass to shatter. If the glasswere to break with the vehicle in mo-tion, the glass could injure passengersand cause a potentially hazardous dis-traction for the driver, the automakersaid. On June 20, VW decided to con-duct a recall.

Andrew Lipman, an Audispokesman, wrote in an e-mail thatthere were no known accidents or in-juries attributable to the defect.

VW said that beginning in earlyAugust, dealers would replace the frontglass panel on the affected vehicles.

Honda Recalls 172,200 USVehicles for Faulty DoorsHonda is recalling 172,200 smallSUVs and cars in the U.S. becausethe doors may not close.

The recall affects 166,000 CR-V SUVs from the 2012 model yearand 6,200 Acura ILX small luxurycars from the 2013 model year.

Honda says that if the insidedriver or passenger door handles areused at the same time as the power ormanual door locks, the inner doorlatch may not work. This means adoor may not latch, or it could latchand open when the locks are used.

The company says no crashesinjuries have been reported becauseof the problem.

Honda says dealers will inspectthe cars and fix them if needed. Own-ers should get letters from the com-pany starting in mid-August

Ford Recalls 2013 Escapes for Engine Fire Danger,Previously Carpet Potentially Interfering with BrakingFord Motor Co. is telling owners of oneversion of the brand-new Ford Escapenot to drive the SUVs until dealers canfix fuel lines that can crack and spillgasoline, causing engine fires. The com-pany issued the unusual warning on July19 and said it is recalling 2013 Escapesequipped with 1.6-liter four-cylinder en-gines. Dealers will pick up the Escapesand drop off a loaner car that customerscan use until the repairs are finished.The company is hoping to ship parts andget all the SUVs repaired in the next twoweeks.

Ford says it has three reports offires: two at the factory and one while acustomer was driving an Escape. Noone has been injured.

The recall affects 11,500 Escapesin the U.S. and Canada. Only 4,800have been sold to customers. The restare on dealer lots and will be fixed be-fore they are sold, spokeswoman

Marcey Zwiebel said. “We are obvi-ously taking very quick action in the in-terest of our customers’ safety,” shesaid. Escapes powered by other enginesare not affected, nor are other Fordmodels with 1.6-liter engines, Zwiebelsaid.

This is the second recall of the re-designed Escape, which went on sale inJune. On July 14, the company said itwould recall more than 10,000 Escapesto fix carpet padding that could interferewith braking. The new version of theSUV is among Ford’s top-selling vehi-cles. People bought 28,500 Escapes lastmonth, up 28 percent from June 2011.

Ford says owners should call deal-ers to get the problem fixed. If partsaren’t available, dealers will drop offloaner cars for use until the repairs canbe made. Once the parts arrive, it willtake less than an hour for technicians toreplace the fuel lines, Zwiebel said.

Isuzu Recalls Rodeo Sport,Amigo SUVs for Rust RiskMore than 11,000 Isuzu SUVs arebeing recalled because parts in therear suspension can rust and breakaway from the frame. The recall af-fects Amigo SUVs from the 1998to 2001 model years and RodeoSport SUVs sold as 2001 and 2002models, the National HighwayTraffic Safety Administration saidin documents posted on its web-site.

Isuzu said the rear suspensionlink brackets can rust and become de-tached from the frame. The problemcan hurt the vehicle’s handling andcause a crash, but it was unclear ifthere have been any wrecks or in-juries.

The recall covers SUVs sold orregistered in 21 states and Washing-ton, D.C. Those are places where saltis used to clear the roads. Salt cancause metal to rust.

GM to Recall 413,418 CruzesMade in 2011 and 2012GM says it will recall a total of413,418 Chevrolet Cruze cars in theU.S. from the 2011 and 2012 modelyears to fix a problem that couldlead to an accumulation of automo-tive fluids in the engine compart-ment. It’s the car’s fifth recall in thepast two years.

The company said fires canbreak out during engine oil changeprocedures. Oil spilling or drippingonto hot parts of the engine, ex-haust-system or the engine shieldcould cause the shield to ignite andfire could spread in the enginearea.

The company knows of 30fires caused by the problem, butno injuries have been reported,spokesman Alan Adler said.Flames engulfed and destroyedcars in two cases reported to fed-eral safety officials. GM said itwill modify engine shields underthe vehicles to prevent fluids frombeing trapped. GM is notifyingowners about the repairs, whichare free and should take about 30minutes.

Page 31: August 2012 Western Edition

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 31

The tow truck came around the cor-ner of my shop with a 2003 Focusstrapped down on the bed. It’sStacey’s daughter’s car. Stacey is theoffice manager at the body shop justdown the street from my shop. Herdaughter’s little Ford had called itquits at a stop sign for a trip on theback of a tow truck. Now it was up tome to find out what’s going on.

The tow driver brought the keysin to Katie (my daughter and officemanager), she had already talked toStacey and had the work order filledout. Katie asked the tow driver,“Where did you drop it at? Staceysaid it won’t start.”

“It started great for me,” the towdriver said, “I put it along the side ofthe building for ya.”

I found the car right where heleft it and I’ll have to admit, it didstart up, but I wouldn’t call it great. Imade it into the service bay with itbucking, jerking, and coughing like

crazy, along with a terrible rotten eggsmell coming from each end of thecar. The service light was on so Ithought I would start with finding outwhat trouble codes were stored.P0300, P0301, P0302, P0303, P0304,and P0316 - all misfire codes. It’s agood thing it didn’t have any morecylinders because I’d bet it wouldhave added them onto its list of trou-ble codes too.

Rather than get into looking atthe actual data logger section of theIDS, I figured I’ll open the hood andsee what’s going on.

The car has the 2.0 liter ZETECengine under the hood. It’s a fairlyeasy engine to pull the spark plugs onso I thought I would at least take alook at them. The odometer shows184,000 miles on the little pavementpounder, so I was thinking the worst,that many miles… hey, anything ispossible. As I pulled the first spark-plug boot off, a splash of coolant

came out of the cavity. Well, that’s alittle different, didn’t quite expectthat. I pulled #2, same thing. Then thenext one, again more coolant, andonly the very tops of the spark plugswas sticking out. There were no signsof any kind of leaks anywhere on theengine, in fact, the reservoir was fulland the engine showed no outwardsigns of overheating. It just didn’tmake any sense how all this coolantcould end up in there.

I blew all the coolant out, driedall the plug wires off, and re-installedthem. After giving the key a turn thelittle engine came back to life andpurred like new. Amazing, simplyamazing how well it ran consideringhow badly it came into the shop. Butwithin 15 minutes or so the enginestarted to act up again. It coughed andchugged, shucked and stuttered, andthen it finally died. Now it won’trestart, what the? What’s going onhere? Time to check a little further…

I pulled #1 spark plug. It wasbone dry, actually “very dry” and“very hot.” Exhaust gasses, I’ll bet. Ilet the car sit for about another 15minutes and tried it again. A quickturn of the key and it ran like new justas before, but this time I was readyfor it. I had it hooked up to the scan-ner and checked out the O2 sensorreadings. It was just as I suspected.The front O2 readings were a com-plete mess. There was no pretty os-cillating wave going up and down onthe screen, more like a jagged oldsaw blade with half its teeth missing.I watched the scope patterns for sev-eral minutes, soon the engine startedto cough and die just as it did before.I checked the compression this time.Well over 200 PSI, yikes! Looks likeall those misfires added up to a lot ofraw gas going into the converter.With all the plugs firing now the con-verter was only getting even morecooked than before.

I filled Katie in on everything Ihad found. She can handle it fromhere. I was expecting Katie to comeout and tell me to order a converter,or send it to the exhaust shop, or dropwhat I’m doing because it was goingto be more than she wanted to spend

on it… something like that, but thatdidn’t happen. Somehow the word“IN” had more meaning to it thanoriginally intended.

Before I knew it a call camefrom Stacey, she was going to have anew engine installed. Huh? I didn’tknow I was putting a motor in. thinkI missed something here. So how inthe world did a clogged converterturn into a new engine?

It was the very first thing Katiehad told Stacey. Katie said to her, “Hefound coolant in the spark plug area.”Even though she mentioned that Iblew off all the coolant that was onthe sparkplugs, somehow it gotturned into a leaking head gasket. (Ithink the guys at the body shop werehelping out with the diagnostics.) Ittook the better part of the afternoonto get the whole thing straightenedout.

Katie asked Stacey how thecoolant ended up in the spark plugarea. It was from a coolant hose thathad split about two weeks earlier.Stacey’s daughter had someonechange the hose for her, but theynever thought about looking for anycoolant getting trapped on top of theengine. My guess is it probably tooka day or so before it ever started tomiss. About then the service lightwould have come on and the realtrouble would have started to build.I’ll bet she drove around with it mis-firing for a week or so before she toldher mom how bad it was.

Katie explained the mix-up tome and how everyone had the wrongidea about the engine’s condition. Ican’t blame anyone for all of this. Inmost cases, when someone hearsthere is coolant “in” the engine theyassume it’s a bad deal and most likelyin the combustion chamber causingmajor problems. Well, in this case, itwas only “ON” the engine and not“IN” the engine. A new converter in-stalled and everything is back “IN”great shape again.

I’ve got to make a point of ex-plaining things a little better nexttime. My bad, I made the assumptionthat everyone knew what I meant

Problem on the IN-Side

with Gonzo WeaverGonzo’s Toolbox

This is a new story by Scott “Gonzo” Weaver as posted on his website, www.gonzostoolbox.com.Gonzo has been serving the Tulsa area at Superior Auto Electric for over 27 years. See his book“Hey Look! I Found The Loose Nut”, which provides a Good Laugh for Mechanics of Any Age.The book is available at amazon.com. Contact Gonzo at [email protected].

See The IN-Side, Page 54

Page 32: August 2012 Western Edition

When people see the facility at Up-town Body & Fender in Oakland, CA,for the very first time, they’re usuallypleased, confused and definitely in-trigued simultaneously. “This is abody shop?” they ask. “It looks like an

art gallery or a really nice coffeehouse!” they say. Some have calledUptown Body & Fender the “anti-body shop” and one magazine under-stated it as “out of theordinary.” All of the aboveare accurate descriptions ofthis amazing shop that pipesin classical music, features achic interior design and hasan espresso/tea bar for itscustomers and visitors.

Since it opened its doorsin 1992, Uptown Body &Fender has been fixing carsand providing its facility tolocal non-profit and artscommunity organizations forfundraisers, showings, performancesand meetings. If you check Uptown’smonthly schedule by signing up fortheir email newsletter online atwww.uptownbody.com, you’ll findevents such as the First Friday ArtMurmur, silent auctions, jazz per-formances and much more—as many

as 12-15 per month, in some cases.Co-Owners Lisandro Allendre

and Giovanna Tanzillo started Up-town Body & Fender to create a placewhere its customers could come and“forget why they are here,” accordingto Tanzillo. Both owners are service-focused and well aware of the fact thatthe customer experience is just as vitalas the repair, Allendre explained, buttheir connection to the community isjust as important.

“We’re very concerned aboutdoing the highest quality of repairs wecan, but in the end, we also value ourrole in this neighborhood,” Tanzillosaid. “Over the years, we’ve been ableto help so many people by loaning ourfacility to non-profits and by encour-aging local artists to display theirworks here. As a result, we’ve becomea part of the creative scene here inOakland. We believe in doing morethan repairing cars, because we wantto be more than just a body shop andvaluable to the community.”

The Uptown district is a formerlydepressed industrial area in Oaklandthat has recently undergone a lot ofchanges and today is a Mecca for newrestaurants, cafes, performance spacesand art galleries. Right smack in themiddle of it all, Uptown Body &Fender has become an integral part ofthis burgeoning scene, Tanzillo ex-plained.

“It’s an exciting time for this area,because it’s going through changesand in a good way. We have a placethat stores classic cars right next to usand nine art galleries around us. Welove being here, because every day isdifferent and the people we encounterare wonderful, vibrant and creative in-

dividuals and we feed on that type ofenergy.”

The body shop’s sleek and originaldesign was created by Oakland’s AceArchitects, and it’s been praised in pub-lications such as World ArchitectureNews and San Francisco Chronicle

magazine. An enclosure that containsall of the shop’s offices is called the“Car-Beast.” It’s a steel enclosure thatlooks like a truck that married a tank.This amazing structure is the center-

piece of Uptown’s shop and surely aconversation starter for first-time cus-tomers coming through the door.

Tanzillo started her career in col-lision as a bookkeeper for an autobody shop in downtown Oakland in1978. Her late husband at the time was

in the insurance business, sohe helped her to get a job ata busy shop and find relieffrom their four teenage chil-dren, she said. After learningthe business while workingthere, Tanzillo started Up-town Body & Fender withher business partner Lisan-dro Allendre 20 years ago.He is a body man with morethan 50 years of experienceand together they’re a for-

midable team. She runs the office, in-teracting with customers and makingthem comfortable about the repairprocess, while he operates as the

Collision Repair is an Art Form at Uptown Body & Fender

32 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

CERTIFIED AUTO PARTS

OEM QUALITYMECHANICAL PARTS

BAY AREA

408-293-6122650-610-8852510-380-8718

MONTEREYPENNINSULA

831-783-1220

CAPA CERTIFIEDAUTO BODY PARTS

Servicing Northern California collision shops since 1988

LEVANSINCE 1988

GROUP, INC.

SACRAMENTO

916-381-5712

with Ed Attanasio

Shop Showcase

Ed Attanasio is an automotive journalist based inSan Francisco, California. He can be reached [email protected].

Co-Owners Lisandro Allendre (left) andGiovanna Tanzillo have owned and operatedUptown Body & Fender for two decades

Uptown’s amazing blue and gold “Car-Beast” contains allof the shop’s offices and has been lauded in several publi-cations for its sleek and unique look

The interior of the “Car-Beast” looks more like a high-endcafé than a body shop office

See Uptown Body & Fender, Page 35

Page 33: August 2012 Western Edition

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 33

Original BMW Parts

bmwusa.com

When you repair a BMW, use the parts that are identical to those used in Seriesproduction – and just as reliable. Choose Original BMW Parts. Because youcan’t repair your reputation.

Southern California BMW Centers

BMW of EscondidoEscondido(800) 544-4269

BMW of MurrietaMurrieta(888) 805-2393FAX (951) 698-2086www.bmwofmurrieta.com

BMW of Palm SpringsPalm Springs(760) 324-8314

BMW of San DiegoSan Diego858-560-0268FAX (858) 277-7928

Bob Smith BMWCalabasas(818) 340-9640FAX (818) [email protected]

Center BMWSherman Oaks(818) 990-9518

Long Beach BMWSignal Hill(800) 794-4269(562) 427-5494www.longbeachbmw.com

New Century BMWAlhambra(626) 576-2867

Nick Alexander BMWLos Angeles(800) 800-NICK(323) 583-4108 [email protected]

Savage BMWOntario(800) 241-4269

South Bay BMWTorrance(310) 939-7342(310) 939-7343

Sterling BMWNewport Beach(949) 645-8729

Niello BMWSacramento(916) 486-1299

Sonnen BMWSan Rafael(415) 482-2040

Weatherford BMWBerkeley(800) 995-9269

Northern California BMW Centers

You only get one chance at the first repair.Original Thought #78

• Original BMW Parts & Accessories

Page 34: August 2012 Western Edition

34 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

More Details on New CA AB 1854 Safety LawExisting law makes it a misdemeanorfor any person to install or reinstall forcompensation or distribute or sell anypreviously deployed air bag that is partof an inflatable restraint system if theperson knows that the air bag has beenpreviously deployed.

This bill would also make it a mis-demeanor for a person, for compensa-tion, to install, reinstall, rewire, tamperwith, alter, or modify a vehicle’s com-puter system or supplemental restraintsystem, including, but not limited to,the supplemental restraint system’s on-board system performance indicators,so that it falsely indicates the supple-mental restraint system is in properworking order, and for a person toknowingly distribute or sell a previ-ously deployed air bag or componentthat will no longer meet the originalequipment manufacturing form orfunction for proper operation.

Because this bill would expandthe definition of an existing crime, itwould impose a state-mandated localprogram.

This bill would provide that no re-imbursement is required by this act fora specified reason.

SECTION 1. Section 27317 ofthe Vehicle Code is amended to read:

27317. A person who installs, rein-stalls, rewires, tampers with, alters, or

modifies for compensation, a vehicle’scomputer system or supplemental re-straint system, including, but not lim-ited to, the supplemental restraintsystem’s on-board system performanceindicators, so that it falsely indicatesthe supplemental restraint system is inproper working order, or who know-ingly distributes or sells a previouslydeployed air bag or previously de-ployed air bag component that will nolonger meet the original equipmentmanufacturing form or function forproper operation, is guilty of a misde-meanor punishable by a fine of up tofive thousand dollars($5,000) or by im-prisonment in a county jail for up toone year, or by both the fine and im-prisonment.

SEC. 2. No reimbursement is re-quired by this act pursuant toSection 6 of Article XIII B of the Cali-fornia Constitution because the onlycosts that may be incurred by a localagency or school district will be in-curred because this act creates a newcrime or infraction, eliminates a crimeor infraction, or changes the penalty fora crime or infraction, within the mean-ing of Section 17556 of the Govern-ment Code, or changes the definition ofa crime within the meaning of Section6 of Article XIII B of the CaliforniaConstitution.

Fatality in 2003 Leads to Airbag and Safety LawsIn 2003, a young San Diego man waskilled when the lifesaving air bag in histruck failed to deploy. It was later dis-covered the air bag wasn't even in-stalled.

Tragically, as Bobby Ellsworth'sgrieving father later found out, the autobody shop that had bought the truckfrom a salvage yard had rewired thesystem to show it worked and alsostuffed the compartment with newspa-pers and glued it shut to save moneyand avoid detection.

Robert Ellsworth’s grief was com-pounded when he later learned that therewas no law against what the auto bodyshop had done, so prosecutors were vir-tually helpless to pursue criminal charges.

That will change Jan. 1, thanks inpart to the San Diego County resident’sefforts.

Gov. Jerry Brown on July 13signed legislation championed byEllsworth that makes it a crime totamper with a vehicle’s air bag andother safety features such as seat belts.

“I’m elated,” Ellsworth said.“This is another step to achieving thegoal of safety.”

Ellsworth eventually won a civiljudgment against the body shop butnever collected the $15 million awardbecause the owner died shortly there-after.

“It was never about the money.Money doesn’t replace lives,” Ellsworthsaid. “It was for the shock amount tosend a message and so the law could bechanged.”

Julia Haus, a San Diego attorneywho represented Ellsworth, said in astatement that research suggests “thishappens all of the time.”

Bobby Ellsworth, then 18, was apassenger in the truck when it was in-volved in a head-on crash on DehesaRoad near El Cajon. The truck hadbeen involved in a previous wreckand the air bags had deployed. Thebags were supposed to have been re-placed.

“No one knew the air bags weremissing,” Robert Ellsworth said.

Assemblywoman Julia Brown-ley, D-Santa Monica, carried the bill.

“The deceitful practice of someunscrupulous vehicle repairers to maskflaws in vehicle safety systems has po-tentially life threatening consequencesfor unsuspecting motorists,” Brownleysaid in a statement.

Assembly Bill 1854 classifies thetampering as a misdemeanor, punish-able by a fine of up to $5,000 and aone-year prison sentence.

Ellsworth said he hopes to some-day increase the penalties even more.“To me, it’s still not enough.”

PartsTrader Announces 5-Year Deal with “One of theLargest U.S. Auto Insurers”; Adds 3 New ManagersIn a press statement released to mediain New Zealand, PartsTrader an-nounced that it has entered into a“locked-in five year agreement” with“one of the largest auto insurers in theU.S.”

While the release did not namethe insurer that it signed the contractwith, the New Zealand based Part-sTrader has been working with StateFarm in the U.S. to test its onlineparts bidding system for severalmonths now. In the statement, thecompany said that it has “just com-pleted a four-state pilot of its onlinetrading platform” in the U.S.

A New Zealand news source re-ported PartsTrader winning a five-year contract with State Farm tointroduce its online parts trading plat-form to U.S. collision repairers byearly next year. The online newssource said PartsTrader would addabout 45 employees in New Zealandand the U.S. as a result of the deal andcalled the U.S. contract its “first bigoverseas break, though its value willdepend on the volume of car parts or-dered.”

PartsTrader US LLC Chief Ex-ecutive Rob Cooper said, “We haveentered the U.S. market with a

locked-in five year agreement. If suc-cessful, the business will generate ahealthy profit and most of it will flowback to our NZ investors,” Coopersaid.

PartsTrader said that it “fendedoff an international field of con-tenders” to win the contract in theU.S. which is “modeled on the plat-form [that] has operated in NewZealand since 2004.”

The company said that last yearin New Zealand alone, vehicle partsvalued at more than $70 million wereobtained through the PartsTraderplatform, which is used by most ofthe major insurers and some 80 per-cent of collision repair shops in NewZealand.

In late June, PartsTrader also an-nounced it hired three industry lead-ers to its management team. DaleSailer, David Merrell and Troy Holmwill lead the company’s efforts in im-plementing the PartsTrader system inthe collision repair and collision partsmarkets. Sailer will serve as the com-pany’s Vice President of BusinessDevelopment.

Merrell joins the company as itsNational Account Director and Holmis its first Field Relations Manager.

PartsTrader LLC announced that ithas formed an industry advisorycouncil with the stated purpose ofproviding the platform’s two pri-mary user groups (repairers andparts suppliers) with the “opportu-nity to provide timely and criticalfeedback on the platform in order tomaximize the value created by theplatform.”

“Creating an industry advisorycouncil is both necessary and appro-priate” said Rob Cooper, PartsTraderChief Executive Officer. “While wespoke with many collision repairersand parts suppliers during our firsttwo years of research and initialbuilding of our U.S. product offering,it is only through an ongoing, openengagement with our primary cus-tomer groups that we can ensure ourproduct truly meets the needs of thoseusing it.”

The PartsTrader Advisory Coun-cil will consist of representativesfrom each user community. The ini-tial group will include four to five re-pair facility advocates, with bothmulti-shop operators and single loca-tion operators being represented.Likewise, the group will include fiveto six supplier advocates, with OEM,aftermarket and recycled each being

represented.The inaugural group will in-

clude Michael Quinn, Collision In-dustry Conference (CIC) Chairman(Tucson, AZ); Steve Tomaszewskiof Alpine Collision Centre (GrandRapids, MI); Michael LeVasseur ofKeenan Autobody (Clifton Heights,PA); Lou DiLisio of Automotive In-dustry Consulting (Mt. Kisco, NY);Amber Elenbaas of Pete’s AutoParts (Jenison, MI), and Christo-pher Northup of General Distribu-tion Consultants (Glendora, CA). Allof these individuals are active in var-ious industry associations and advo-cacy groups.

“We were very careful in choos-ing who to invite to participate in thisinitial group,” said Dale Sailer, Part-sTrader Vice President of BusinessDevelopment. “It was critical that weassemble a group of individuals whowill not be shy about expressing theiropinions and are willing to hold usaccountable for our stated commit-ments to the industry, while alsobeing forward thinking and businesssavvy. We think we’ve put together agroup that will be very demanding ofPartsTrader on behalf of their peers,to the ultimate benefit of both usergroups.”

PartsTrader Forms Industry Advisory Council

Page 35: August 2012 Western Edition

shop’s production manager, oversee-ing the repair of approximately 200cars monthly.

“Lisandro and I met while work-ing at Downtown Auto Body andthat’s where I learned the business,”Tanzillo explained. “I started out writ-ing estimates and pretty soon the cus-tomers thought I was one of theowners. When we left to start ourown shop, people asked us, ‘Whereare you going?’ I told them there’sonly one place to go from Downtownand that’s Uptown!”

The shop has received a ton ofbusiness by donating their beautifulfacility to non-profit organizations,but that’s not why they do it, Tanzillosaid. “By allowing non-profits, othercommunity groups and the local artcommunity access to our facility, itdefinitely creates goodwill and a lot ofpeople who would never know aboutour shop come here for art shows andfundraisers. We don’t even need toadvertise anymore, because peoplefind out about us through these eventsand through our ongoing involvement

in everything around us.”Karen Sternstein with the Oak-

land School for the Arts holds an an-nual fundraiser at Uptown Body &Fender. Without the shop’s facility,her organization’s event might nottake place every year, she said. “Gio-vanna dropped out from heaven tohelp us. They saved us at least $1,500,which is huge for a non-profit operat-ing on a small budget. I’ve also beento other events held at Uptown Body& Fender, and each time it’s a profes-sionally run operation. These peopleare special, because they’re not just allabout the money. It’s refreshing toknow that folks like Giovanna andLisandro are here in Oakland to give,instead of just taking—like so manycompanies do.”

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ASA-Michigan Members and Vendors Discuss StateFarm’s PartsTrader Pilot ProgramAutomotive Service Association(ASA) members and related colli-sion industry vendors in the Michi-gan area were recently invitedrecently by ASA-Michigan, an ASA-affiliated association, to attend a“facts to date” presentation andmember discussion centering aroundthe State Farm electronic parts or-dering application. The pilot is cur-rently taking place in Grand Rapids,MI.; Charlotte, N.C.; Birmingham,AL.; and Tucson, AZ.

Organized by Ray Fisher, AAM,president of ASA-Michigan, the June28 meeting was held in Lansing, MI.,at the Lansing Community College.ASA-Michigan provided the forum topresent the facts to date about thepilot, along with clear statements ofconcern from both repairers and sup-pliers in the Michigan area and aroundthe United States.

“Anytime there is a ‘game-changing’ situation – as this pilot isfor the industry – it is imperative thatwe inform the industry with factualinformation, allow time to digest thatinformation and work together to pro-vide solutions, on behalf of the mem-bership and potential members.During these challenging economic

times we must focus on helping repairfacilities generate revenue,” saidFisher.

During the four-hour meeting,Denise Caspersen, ASA collision di-vision manager, spoke about the pilotwith an audience of nearly 100 pre-registered ASA members, vehiclemanufacturers, staff representatives ofthe Michigan Auto Dealers Associa-tion and vendors. Audience memberswere encouraged to express their con-cerns, ask for clarifications to specificquestions and provide additionalquestions to be supplied to State Farmand PartsTrader, the company provid-ing the electronic parts ordering ap-plication.

Main concerns continue to behow this application, as introduced byState Farm, will affect profitability,the unknown impacts on the relation-ships between shops and suppliers,and the overall current “climate” be-tween repairers and insurers.

“The opportunity for ASA to par-ticipate in a discussion with ASAmembers and vendors in the pilot areaof Grand Rapids, MI. is invaluable inunderstanding the overall climate im-pression around the State Farm pilot,”said Caspersen.

Page 36: August 2012 Western Edition

Avery attempted some comic re-lief by joking that he had a button madeup saying, “I Love My Job, I Love MyJob, I Love My Job,” but questions andcomments from approximately 20members of the audience made it clearthat while electronic parts ordering wasunderstood and largely positive, therewas significant apprehension about in-surance companies intervening and/orcontrolling the process.

Avery said misinformation aboutthe program is widespread, and muchof the concern is based on speculationand rumors from individuals whohave not tried the product.

“We only have 158 stores on thepilot that are actually using the pro-gram,” Avery said. “So there’s a lot ofpeople out there that are starving for in-formation. That information comesfrom a variety of sources. It comes fromyour friends, it comes from associations,it comes from me, perhaps in the press,and of course press releases and blogs.”

“We give [repair centers] $3 bil-lion to purchase parts annually,” Averysaid. “We handle 35,000 claims per day.We are a mutual company, which isowned by the policyholders. We have amoral and legal obligation to make surethat money is spent in a prudent man-ner. We are not interested in short-termgain for our customers. We are inter-ested long term for our customers.”

Avery said that State Farm didnot expect a dramatic decrease in costof repair or dramatic changes in cycletime, “but it probably will happen.”He said that State Farm is not a com-pany that routinely asks repairers fordiscounts on repairs.

“We did not expect open arms,”Avery said. “We know change causesripples. We know we are getting intoyour business. However, in a previoustest with OEConnection, we main-tained the repair facilities’ parts mar-gin. We know how important that is.”He added that “there is no standardplatform for parts, and we think it willbenefit the insured.”

Avery said that after putting out arequest for proposal and selecting Part-sTrader, they spent over a year develop-ing the format. “We asked repairers,dealers and suppliers to help us build thistool, and they did. We just concluded ourfeedback phase last week with repairersand are evaluating that now.”

He also stressed what the insurer

did not expect:• “We didn’t expect e-mails, calls andfaxes with misleading information.”• “We didn’t expect press releasesmentioning non-Select Service repair-ers who we didn’t have contact with.”• “We didn’t expect to lose 17 facili-ties in one pilot area who never tried[PartsTrader].”• “We didn’t expect statements fromSelect Service shops that never used[PartsTrader].”

Avery emphasized that StateFarm is still in pilot mode, concludedthe feedback phase from all the pilotshops during the week of July 9–13and are now in an evaluation phase.

Avery concluded his presentationby saying, “It boils down to trust.Those who repair cars make a decisionabout who they want to partner with.State Farm is driven by the customer.Those who fight to maintain the statusquo will become irrelevant fast. I don’tthink we were number one for 90 yearsby beating up our business partners.”

“Good businessmen and womenneed to speculate,” Avery said at onepoint. “They need to look forward todetermine what the next step is. What’sdangerous is to speculate on faulty in-formation, or misinformation.”

PartsTrader CEO Cooper fol-lowed Avery with a brief presentationshowing how the program works. Hesaid he understood the skepticism ofthe industry, but wanted to assure re-pairers that PartsTrader’s interestswere in the right place.

“We’re 100 percent committed tomaking this product the best for partsprocurement, and making it a win forrepairers,” said Cooper.

Cooper then ran through a demon-stration of the product and commentedspecifically that:• The suppliers in the system are in therebecause the repairer invited them to join.• They have integrated with the threeinformation providers (CCC, Mitchell,Audatex). The files they get from themare EMS, but they convert them toBMS. Therefore, they’re not seeingany information that is not directly ap-plicable to parts.

“The two functions of Part-sTrader are parts sourcing and order-ing,” said Cooper. “You can do directorder now if you want, but if you dohave time, the expectation is thatyou’ll get quotes. But it’s completelyunder the repairer’s control.”

About 20 repairers, associationleaders and consultants spent the next90 minutes questioning and criticizing

State Farm’s pilot program. None ofthem spoke in favor of the program.

Aaron Schulenburg, executivedirector of the Society of Collision Re-pair Specialists, was the first person toaddress Avery and Cooper. He saidother parts vendor companies chose tocompete by providing a value proposi-tion, and let the customers choose to usetheir service based on merits and value.

He emphasized that the backlashagainst PartsTrader isn’t about theproduct so much as it is how it enteredthe market.

“SCRS and our members aren’topposed to [PartsTrader] for the sakeof opposition. We don’t have an issuewith electronic parts ordering, [ourmembers] already do that. We believethere are a large number of solutionsout there that already incorporate elec-tronic parts ordering. We don’t opposeefficiency and process improve-ment… we don’t oppose innovation.”

“What we do stand in opposition[to is] when insurers mandate solutionsthat don’t bring solutions to anyoneother than themselves and the benefitisn’t derived or understandable by any-one other than the person mandating it,”he said. “For a company who has pro-moted open platforms in other areas,

who’s taken estimates from all threecarriers, who’s worked hard to makesure the repairer had the opportunity touse whatever systems and processesand solutions they wanted, this is a stepbackwards for [State Farm].

“Companies here choose to com-pete: here’s our product and here’swhat it does,” said Schulenburg. “Thereal issue here isn’t that PartsTraderhas a solution; it’s about how it cameto the market. The largest insurer hired[PartsTrader] to come up with a solu-tion for them – that’s the problem.

“We won’t refuse [the product] forthe sake of refusing. We don’t opposeinnovation. We have yet to see the ben-efit for repairers being forced to use it.When insurers mandate solutions wherethere is no tangible benefit for anyonebut themselves, I think it’s a step backfor State Farm. It appears you enteredinto the market knowing what youwanted to do regardless of repairerfeedback. The need doesn’t seem to bethere on the repairer side, but it doesseem to be there for insurers.”

Dave McBroom, president of theFlorida Auto Body Collision Allianceand also representing the Florida Au-tomobile Dealer Association, said

36 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

See PartsTrader Pushback, Page 39

Continued from Cover

PartsTrader Pushback

Page 37: August 2012 Western Edition

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 37

Page 38: August 2012 Western Edition

by David Brown

The National Automotive TechniciansEducation Foundation (NATEF) is aLeesburg, Va.-based regulatory bodywhose sole purpose is to ensure qual-ity auto body training and education.NATEF continuously evaluates coursesand subjects being taught in collisionrepair schools.

In Texas, there are 11 NATEF-ac-credited programs, comprising sevenhigh school and four post-secondaryprograms that serve students and indus-try in the Lone Star State, reports TrishSerratore, president of NATEF, Threeof the secondary programs are at Trim-ble Tech, Pasadena and San Benito highschools. All use the I-CAR curriculum.

The Fort Worth IndependentSchool District has its only CollisionRepair Program at Trimble Tech HighSchool, says its instructor, Roger Al-faro, ASE Master Certified in Colli-sion Repair/Refinishing Technologyand Estimating. Dr. Alma Charles di-rects all CTE programs at FWISD.

Accredited by NATEF in Non-Structural Analysis and Damage Re-pair (Body Components) Structural

Analysis and Damage Repair, TrimbleTech has had a body-repair programsince 1956 and participates annuallyin SkillsUSA, Alfaro says.

Students begin in their freshmanyear, so a program graduate completes721 hours of instruction including thosefirst two components, 300 and 260hours respectively, and 161 hours forRefinishing Technology, guest speak-ers, field trips and potential-job visits.

“I actually took the Auto Bodyclass and graduated from Trimble Techin 1983,” he says. He then attended Tar-rant County College, earning an associ-ate degree in Applied Science in AutoBody. After working in a shop for about6.5 years, he was hired as the Collision

Repair instructor in January 1991.A 2011 graduate, Martin

Urbina, was an intern at Frank KentCadillac in Fort Worth. “I graduatedfrom high school and work to supportmy family,” he says. “I’m still goingstrong by also going to college to fur-ther my education. I believe thoseethics were instilled in me by havingmajored in Body Shop.”

Outside of Houston, PasadenaHigh School uses the I-CARtraining curriculum for a two-year course, articulated withnearby San Jacinto CollegeSouth for five courses. In placesince the 1960s, the programaccepts about 20 juniors annu-ally following intensive vet-ting, explains Chad Phillips,the program instructor, an ASEMaster Collision/Refinishingtechnician.

“A six-week-long safety programis followed by education in automo-bile construction and instruction oncorrectly disassembling and reassem-bling a variety of cars. Next, studentslearn to weld using ICAR standardsand train on vehicles provided through

donations from AYES, auto manufac-tures and San Jacinto College.

This is followed by dent-repairpractice on vehicles and donated pan-els from Toyota; then students primeand refinish their panels. “It’s a lot tocomplete in the first year along withthe six ICAR modules, but we have toget them ready for potential intern-ships,” Phillips says.

Pasadena High School hosts threemeetings a year for administrators, in-structors and local auto dealerships toget together and evaluate the programand its current needs. Throughout theyear, students work on portfoliospreparing to interview in April as wellas complete 24 hours of job shadow-ing. At this time, too, dealer/collisionshop managers visit the school to in-terview qualified students for possibleinternship placement.

Once placed, students will typi-cally work a 40-hour week with amentor during the summer betweentheir junior and senior years. “Whenwe return back to school, the intern,now a senior, goes to school a half ofa day and then to work,” he says, not-ing that Pasadena places 5-7 students

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Page 39: August 2012 Western Edition

bluntly that the program is a failure.“I’ve spent extensive time with

shops and vendors, some involvedwith the pilot program and some not,that are trying to make a decision onwhat to do,” he said. “I’ve spoken tomany who have said it is inefficient,cumbersome, creates additional work,and requires additional personnel atshops and at vendors. Most are losinggross profit dollars. Some refuse toparticipate in the bidding process.Used parts bidding is a total disaster.This is not good for this industry.”

Dan Hunsaker, owner of Dan’sPaint and Body in Tucson, AZ, intro-duced himself as a “Select Service-aholic.” He said his shop was one ofthe first to pilot the program fourmonths ago, and since then he has re-alized it doesn’t work.

“I feel like the donkey that gotdumped into the Kentucky Derby,” saidHunsaker. “It’s not efficient. How canI improve on a one-click efficiency? Icurrently electronically upload my partsorder. I have my vendors. Everything isdone instantaneously. Now I have to

wait for an hour and monitor the pro-gram. My big problem is that my partsguy is on that [PartsTrader] screen sixhours a day off and on. That represents$50,000 a year out of my pocket to ad-minister that program.”

Hunsaker concluded by saying,“It’s sad that this has happened. In ourindustry, [State Farm] was the one in-surer we could count on. Now, wedon’t trust State Farm like we did.”

Ron Reichen, a Select Serviceshop in Beaverton, OR, drew applausewhen he told Avery, “ I don’t go downto State Farm and say I need to evalu-ate your underwriting department be-cause I see a lot inefficiencies. Thereality is: Leave us alone. You guyssell insurance. Let us repair cars.”

Rick Starbard, president of theAlliance of Automotive ServiceProviders of Massachusetts (AASP/MA), as well as president of AASP Na-tional and owner of a Boston area bodyshop, said “When insurers meddle inrelationships between us and our cus-tomers, they cause irreparable harm toour industry. This product is redundant.We can do everything shown todaythrough our own management systems.We survive on parts profits. What we

in collision internships annually.San Benito High School serves

the San Benito community, adjacentto Mexico and separated by the RioGrande River.

In existence since 1978 at SanBenito High, the school’s CollisionRepair and Refinishing program pre-

pares students as if they were alreadyat a body shop or at the communitycollege, says Hector M. Rendon, di-rector of Career and Technical Educa-tion Programs.

One teacher provides the instruc-tion through three different classes forgrades 10 through 12. Courses includePrinciples of Manufacturing (9th); En-ergy, Power & Transportation Systems(10th); Collision Repair and Refinishing

(11th); Advanced Collision Repair andRefinishing (12th); and, for qualifiedstudents, a practicum in Transportation,Distribution and Logistics class (12th).

On completion of coursework,students can then test in twoNA3SA/ASE areas for certificationafter completing the two-and-a-half

year program: Painting andRefinishing and NonstructuralAnalysis and Damage Repair.The San Benito program has

been NATEF/AYES certifiedsince 2005.

“By participating in NATEF,we were able to restructure todefine the necessary tasksneeded by our local busi-nesses to assist in providingqualified entry-level employ-ees,” Rendon explains. Simi-

larly, through the AYES program,students can participate in a 400-hourpaid internship during the summer oftheir junior years.

When students complete their in-ternships, they may work full-time orcontinue their education at the respec-tive dealer manufacturer training cen-ters or college. A tool scholarshipvalued at $3,200 is made available atminimal cost.

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 39

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See PartsTrader Pushback, Page 51

Continued from Page 36

PartsTrader Pushback

Page 40: August 2012 Western Edition

While Avery skillfully addressedmost of the questions and commentsabout PartsTrader during the CICmeeting in San Antonio, Texas, he ac-knowledged State Farm did not yethave an answer for Caspersen as theinsurer is still evaluating feedback re-cently obtained from the 158 shops inthe pilot program.

“I don’t know the best way to an-swer that yet because I don’t believewe have all (the shop feedback),”Avery said. “And we are implementingchanges in the pilot that now puts mein a position of needing to go back andask, ‘Now after that change, what areyour results?’ So it’s sort of a fluidprocess. I’m not sure how to answeryour question yet, although we will re-spond when I have an answer. But atthis point I don’t have much.”

Avery and PartsTrader CEO RobCooper each spent about 15 minutesat CIC explaining the reasoning behindthe program and offering a demonstra-tion of how it works. Avery said hiscompany was surprised that 17 SelectService shops in the Birmingham, AL.,

market dropped the program withouttrying PartsTrader, a decision he feltcould be have been based on some ofthe inaccurate or misleading informa-tion he’s seen in press releases andblogs.

Cooper reiterated that shops con-trol which vendors have an opportu-nity to offer price quotes, and thatshops can even use the system to orderparts directly, bypassing the quoteprocess. He said now that vendors insome of the test markets are becomingfamiliar with the system, the minimumbid time will be reduced from one hourto 30 minutes. He said that—alongwith improvements in integration withthe estimating and management sys-tems—will improve the efficiency ofusing the PartsTrader system.

George Avery to chair CICGeorge Avery was named as the nextchairman of the conference. He be-comes the 16th person to chair thequarterly gatherings of shops, insurers,automakers and vendors, since its in-ception in 1984. His first meeting aschairman will be next January 23–25in Palm Springs, Calif.

In explaining the choice of Avery,which is made by those who have pre-

viously chaired CIC, Jeff Hendler saidhe and the other past chairs look forsomeone who has the skills, experienceand CIC involvement to “direct CIC inthe fashion it needs to be directed.” Hesaid such qualifications are more criti-cal than the candidate’s employer asthat can (and has, at times) changedduring a chairman’s 2-year term.

“We’re not choosing companies.We’re choosing people. And I thinkwe’ve chosen a great one,” Hendler,who serves as the CIC administrator butwas also its chairman in the late 1980s.

Avery acknowledged the timingof the announcement at the same meet-ing at which he faced strong criticismfor his company’s pilot test of Part-sTrader made it somewhat of “an awk-ward day.” But he asked CIC attendeesto keep in mind his reputation of beingapproachable and an active CIC par-ticipants.

“I know we don’t all agree, butI’ll leave you with this: You can’tshake hands over the phone. And CICis an opportunity where those withwhom we disagree have a chance toshake hands. We have some spiriteddiscourse, of course, which I think ishealthy, but it’s something we workthrough together, and I hope you see

and will support my desire to moveCIC forward as a place that everyonecan come together and express theiropinion and make the industry better.”

Avery is not the first insurancecompany representative to chair CIC.Joe Landolfi holds that distinction,chairing the conference in 1995 and1996 at which time he was an execu-tive with Kemper Insurance. RogerWright was working for CARSTARwhen he began his term as CIC chair-man in 2003, but joined AIG Insuranceseveral months into his term.

Avery will succeed Mike Quinn,who also had an employment changeduring his term, joining Caliber Colli-sion Centers this year after selling theconsolidator his chain of Arizona-based shops.

Quinn will reside over his finalCIC meeting as chairman on October31 and November 1 in Las Vegas.

John Yoswick, is based in Port-land, Oregon, who has been writingabout the automotive industry since1988, is also the editor of the weeklyCRASH Network (for a free 4-weektrial subscription, visit www.Crash-Network.com). He can be contacted byemail at [email protected].

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Continued from Cover

PartsTrader Defends

Page 41: August 2012 Western Edition

Rhode Island Governor LincolnChafee vetoed a bill that would have al-lowed auto body shops to sue insurers,citing the bill would have sent car in-surance rates soaring in Rhode Island.

The legislation called for settingstandards for declaring a vehicle atotal loss if the cost to repair the vehi-cle is less than 75 percent of the valueof the vehicle; require an insurer to ne-gotiate payment for auto body repairsin good faith; and allow private rightsof action by auto body shops againstinsurance companies.

Gov. Lincoln Chafee said in anews release, “No other state in thenation allows auto body shops to setrepair prices outside of the market-place, determine whether a vehicleshould be totaled without the input ofthe consumer and the insurance com-pany, or to be an outside third partynow authorized to effect an existinginsurance policy between a consumerand an insurance company.”

He continued, “I believe this billwould hurt Rhode Island consumers byraising their auto insurance rates andimpairing their existing contract agree-ments with their insurance companies.”

Earlier in June, the proposal toallow auto body shops to sue insurancecompanies that do not pay them whatthey believe they should be compen-sated for repairs generated a fiery,hour-long debate on the floor of thestate House of Representatives. Thebill ultimately passed the 75-memberchamber on a vote of 38 in favor and20 against. However, Governor Chafeevetoed the controversial bill approvedby lawmakers that would have givenauto body shops the right to sue autoinsurance companies if negotiations donot lead to an “agreed price.”

Supporters, including Rep.Stephen Ucci, a Johnston Democratand the bill’s sponsor, repeated themantra that the bill would “level theplaying field” between local autobody shops and auto insurance com-panies and ultimately be good forRhode Island drivers.

But other lawmakers voiced con-cern that the proposal would only leadto higher auto insurance rates inRhode Island, which already hasamong the highest rates in the nation.

Rep. Robert Watson, R-EastGreenwich, called the proposal “spe-

cial interest legislation” put together“on the fly.”

“This is why we deserve criti-cism,” he said. “Nonsense like thisplays out in the final days of the ses-sion. This is wrong.”

A statement released by the AutoBody Association of Rhode Island(ABARI) said, “Though [Chafee’s]veto message states that he is con-cerned about the consumer, he clearlyput the consumer and small business’sinterests aside and bowed to the pres-sure of the real ‘special interestgroup’ —the billion-dollar insurancecompanies. Over 200 auto body repairshops have gone out of business in theState of Rhode Island in just the lastdecade. We’re in a crisis that hurts theconsumer. This veto is just another ex-ample of why Rhode Island is consid-ered one of the least friendly to smallbusinesses in the nation.

“ABARI has fought to pass lawsthat protect consumers and small busi-ness from insurers who care onlyabout their bottom line. H-7782A wasno different. Insurers always claimthat rates will go up, regardless of thelegislation’s substance, because it’s

the last scare tactic they have left. Thetruth is collision premiums have beendeclining in Rhode Island, the oppo-site of their certain predictions.

“As we have for almost twodecades, ABARI will be back next yearto continue to expose the lies, reveal thetruth, and fight to ensure that consumersreceive a safe and quality repair, andthat small businesses can thrive in theState of Rhode Island. We will continueto educate the consumer, the legislatureand the Governor’s office on the unfairand deceptive practices used by insurerson a daily basis —practices that benefitonly the insurers.”

The Property Casualty InsurersAssociation of America (PCIAA) ap-plauded the Governor’s decision, call-ing it a victory for consumers.

“Governor Chafee’s veto of H-7782A represents the triumph ofeveryday Rhode Island consumersover well-connected political insid-ers,” the PCIAA stated. “The gover-nor carefully considered thelegislation and rejected this latest at-tempt by a group of body shops to fur-ther increase their revenues at the

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 41

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the aftermarket industry has devel-oped a system for key coding and ve-hicle programming that the majorityof vehicle manufacturers follow toensure both the security of the vehicleas well as access to the independentrepair industry. SB 750 would haveinterfered with the ability to have avehicle serviced outside of the manu-facturers’ network, and this, in turn,would create a potential hardship for

the consumer as well as create anti-competitive forces for the independ-ent automotive repair industry.

“SB 750 is eligible and may bebrought up again by the Assembly, soCAWA will continue to remain vigi-lant in our lobbying and grassrootsefforts to defeat this anti-consumer,anti-competitive measure,” statedRodney K. Pierini, CAWA President& CEO.

To view the full text of the Cal-ifornia bill (Senate Bill 750), visitASA’s legislative website at:www.TakingTheHill.com.

Continued from Page 14

CAWA SaysSCRS Says PartsTrader Has Sparked Four NewIndustry Associations: UT, ID, AL, and TXAccording to Aaron Schulenburg,president of the Society of CollisionRepair Specialists, concern over StateFarm’s parts bidding program hascaused a spike in their membershipand prompted the formation of atleast four new auto body associations.

New associations have popped upin Utah, Idaho, Alabama and Texas.Though the banding together of shopsis primarily a defensive action against

State Farm’s online parts bidding andordering program through PartsTrader,Schulenburg said it was good to seemore unification in the industry.

“For that, I thank both StateFarm and PartsTrader,” Schulenburgquipped.

“I can tell you that I’ve had thepleasure of talking to a lot more re-pair shops that I haven’t had the op-portunity to speak with before.”

Page 43: August 2012 Western Edition

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 43

The third annual Barrett-Jackson Or-ange County Auction concluded itsJune 22-24 run at the OC Fair & Event

Center with $1 million increase insales and more than 400 cars sold.

Barrett-Jackson Auction Com-pany, The World’s Greatest CollectorCar Auctions, wrapped up its southernCalifornia automotive andlifestyle event by generatingmore than $14 million in salesof classics, muscle cars, hotrods, resto-mods, exotics andcontemporary collectibles infront of a crowd of over54,000.

The first 2013 SRT Vipersold for $300,000. The finalprice made the Viper the top

seller of the event. Bidding on theSRT Viper surpassed $250,000, then atrip to the SRT Track Experience and

tickets to Petit Le Mans wereadded, powering the car tothe $300,000 mark. Proceedsfrom the sale will go to theAustin Hatcher Foundation,which helps families and chil-dren affected by pediatriccancer.

The Viper, which debutedat the New York auto show inApril, carries an 8.4-liter,

640-hp V10 combined with a six-speed manual transmission. The new-generation car made news with itstraction and launch control, two firstsfor the nameplate. It will arrive in

dealerships near the end of this year.In January, a 2013 Ford Mustang

Shelby GT500 durability prototypesold at the Barrett-Jackson auction inScottsdale, AZ for the same price of$300,000. This no doubt will add fuelto the Hatfield and McCoy-level battlebetween Ford and Chrysler customers.

The three-day Barrett-Jacksonevent in OrangeCounty featuredmore than 400 vehi-cles and was also en-joyed by millionsacross the countryon the SPEED Chan-nel, with 16 hours oflive coverage. Salesfigures exceeded lastyear’s numbers, fur-ther bolstering this year’s trend of eco-nomic improvement and growingpopularity for the Southern Californialifestyle event.

The third Annual Orange CountyAuction also brought in a large num-

ber of new bidders with 66 percenthaving registered to bid at the eventfor the first time. Additionally, Bar-rett-Jackson saw some fantastic indi-vidual sales, including the followingvehicles:

2013 SRT Viper TwoDoor Coupe - $300,000(Sale benefitted theAustin Hatcher Founda-tion for Pediatric Cancer)

1969 Ford MustangBoss 429 - $253,000

1965 Ford RancheroCustom Pickup - $200,000(Sale benefitted the Loma

Linda UniversityChildren’s Hospital)

2012 Lotus EvoraS Two Door Coupe- $200,000 (Salebenefitted the CarolM. Baldwin BreastCancer ResearchFund)

1970 Oldsmobile442 Convertible - $154,000

“Southern California is without adoubt the car culture capital of theU.S.,” said Craig Jackson, Chairmanand CEO, Barrett-Jackson. “The qual-ity and variety of the vehicles we seehere is astounding and the success wehad here this year and every year is atestament to the large number of peo-

ple who live and breathe the collectorcar lifestyle in this region. We’reproud to be a part of it.”

Barrett-Jackson continued to spot-light and support a wide cross-section oflocal and national charities at the Orange

County event. Over $1.1 mil-lion was raised for eight char-ity vehicles that crossed theauction block. Barrett-Jacksonnot only waives all fees andcommissions on these charityofferings, but also promotesthe charitable vehicles leadingup to the auction to help cre-ate interest and awareness forthe respective charities.

Barrett-Jackson is currently ac-cepting consignment requests for thefifth annual Las Vegas Auction sched-uled Sept. 20-22, 2012. For more infor-mation, visit www.barrett-jackson.com.

Barrett-Jackson Wraps Up OC Auction with 400 Cars Sold

1958 Chevy Corvette. Photo by Mark Robinson

1956 Chevrolet Nomad. Photo by Mark Robinson

1954 Ford F100. Photo by Mark Robinson 1955 Chevrolet Bel Air. Photo by Mark Robinson

1968 American Motors AMX. Photo by Mark Robinson

1962 Austin-Healey. Photo by Mark Robinson

Page 44: August 2012 Western Edition

expense of Rhode Island drivers. Weapplaud the governor for taking thisimportant stand against special inter-est legislation and the politics-as-usualapproach which fails to protect thepeople’s interests.

“Residents in Rhode Island al-ready pay among the highest auto re-pair bills in the nation, and H-7782Acould have driven costs even higher

and possibly jeopardized driver safetyby forcing vehicles that should havebeen totaled to be repaired. The billwould have ultimately provided a bodyshop a blank check to charge whateverit wanted and deprived insurers of theability to negotiate a fair price by threatof litigation. No other state in Americarequires such a one-sided arrangement,and in the end, the consumers would bethe ones to lose out.

“This legislation was a dramaticoverreach by the body shops. We hopethis veto sends a strong message that

enough is enough. It is time to put anend to the body shops’ legislativeagenda which has caused the averagerepair cost to accelerate at a rate morethan twice the national average.”

The American Insurance Associa-tion praised Gov. Chafee for vetoing“reckless auto body legislation.” GaryHenning, Northeast region vice presi-dent for the American Insurance Asso-ciation (AIA), said: “AIA commendsGov. Chafee for vetoing H. 7782A,legislation which represented poorpublic policy that would have led to an

explosion of litigation. No other statein the nation allows auto body shops toset non-negotiable rates and attempt toforce them on third party payers underthreat of litigation. Rhode Island is al-ready one of the most expensive statesin the nation for auto body repair andthis bill would have made the problemeven worse.

“Governor Chafee stood withconsumers by taking a stand againstthis bill. The governor’s veto protectspolicyholders from increased repaircosts and increased litigation.”

44 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

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Continued from Page 41

Rhode Island Gov.

Page 45: August 2012 Western Edition

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 45

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Hundreds of automotive students gath-ered in Kansas City, MO for a show-down for gold. Armed with their toolboxes and spray guns, they repre-sented the top collision repair and au-tomotive refinishing students fromaround the country.

SkillsUSA returned to KansasCity on June 23-27, 2012 for its 48thannual National Leadership and SkillsConference, a showcase of career andtechnical education students. Qualitycareer and technical education was thecenterpiece of the conference. Morethan 15,000 students, teachers, educa-tion leaders, and representatives frommore than 1,100 national corporations,trade associations, businesses andlabor unions participated in the eventwith 94 hands-on skill and leadershipcompetitions. SkillsUSA organizesthis event, and it is considered the sin-gle greatest day of industry volun-teerism in America every year at anestimated cost of more than $35 mil-lion. Each SkillsUSA Championshipscontestant is a state-level gold medal-ist.

When the dust cleared, four stu-dents claimed the gold medals, takinghome the country’s top honors in theircompetitions, along with scholarships,prize money and new tools.

Automotive Refinishing TechnologyThe automotive refinishing technologycompetition included surface prepara-tion, spray gun operation, paint mix-ing, matching and applying, solvingpaint applications problems, determin-ing finish defects, causes and cures,and utilizing safety precautions.

The winners were:Spencer Cook (Gold) - High School,Mid-Coast School of Technology,Rockland, ME Derek Meehl (Gold) - Postsecondary,Saint Cloud Technical College, SaintCloud, MNJames Chesser (Silver) - High School,Lewis & Clark Career Center, SaintCharles, MOAaron Dressler (Silver) - Postsec-ondary, Penn College of Tech-Williamsport, PANathan Aguiar (Bronze) - HighSchool, Diman RVTHS, Fall River, MAJessica Crowley (Bronze) - Postsec-ondary, College of Western Idaho,Nampa, ID

“I plan to initially work on streetcars, but would really like to get intocustom refinishing,” said Meehl. “I’dlike to be like Chip Foose.”

Collision Repair TechnologyIn the collision repair competition, stu-

dents were tasked with straightening,welding, repairing a plastic bumperand conducting a structural analysis.There also was a written test on esti-mating and structural analysis, plus anASE exam.

The winners were:Jason Lucius (Gold) - High School,Vanguard-Sentinel Career & Tech Ctr- Sentinel, Tiffin, OH John Stanton (Gold) – Postsecondary,Kaskaskia College, Centralia, ILJackson T Winslett (Silver) - HighSchool, Alvin High School, Alvin, TXMichael Annis (Silver) – Postsec-ondary, Washburn Tech, Topeka, KSJames Johnson (Bronze) - HighSchool, Center of Applied Tech North,Severn, MDOwen Boyle (Bronze) - PostsecondaryPenn College of Tech, Williamsport,PA

Begun in 1967, the SkillsUSAChampionships has grown from 54competitors in three contests to morethan 5,600 competitors in 94 hands-on skill and leadership contests thisyear. SkillsUSA adds contests to theSkillsUSA Championships to meetthe demands of new and expandingoccupations. SkillsUSA affiliated in-structional programs represent 130different occupational areas.

America’s Top Auto Students Crowned at SkillsUSA Competition Held in Kansas City

The National Highway Traffic SafetyAdministration (NHTSA) recentlypublished amendments to the High-way Safety Program Guidelines forstates.

The proposed NHTSA HighwaySafety Program Guidelines Amend-ments include recommendations forperiodic motor vehicle inspection(PMVI). NHTSA’s proposal calls forevery state to have a periodic vehicleinspection program and require vehi-cle owners to correct these conditionsin order to reduce the number of ac-cidents.

According to the proposedguidelines, an inspection programwould provide, at a minimum, that:

Every vehicle registered in thestate is inspected at the time of initialregistration and on a periodic basisthereafter as determined by the state.

The inspection is performed bycompetent personnel specificallytrained to perform their duties andcertified by the state.

The inspection covers systems,subsystems and components havingsubstantial relation to safe vehicleperformance.

Each inspection station maintainsrecords in a form specified by the state.

NHTSA Publishes Changesto Safety Guidelines

Page 46: August 2012 Western Edition

46 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

by Melanie Anderson

The California Autobody Association,San Diego Chapter hosted the newLabor Enforcement Task Force(LETF) at its June 12 special meetingheld at Tom Ham’s Lighthouse onHarbor Island in San Diego.

The LETF is a coalition of stateand federal agencies working togetherto fight the underground economythrough vigorous education and en-forcement. Agencies involved in-clude: Division of Labor StandardsEnforcement (DLSE) for wage andhour issues; Employment Develop-ment Department (EDD) for payrollissues; Cal/OSHA for health andsafety concerns; Board of Equaliza-tion (BOE) for sales tax issues; andthe Bureau of Automotive Repair(BAR) for licensing requirements.

The goals of LETF include ensur-ing workers receive proper payment ofwages and are provided a safe work en-vironment, eliminating unfair businesscompetition by leveling the playingfield, and ensuring that the state of Cal-ifornia receives all employment taxes,fees and penalties due from employers.

That’s a lot to cover in a two-hourmeeting, and five speakers had tospeak quickly to impart important in-formation that all auto body and repairshops need to know. The five guestspeakers were: Aston Ling,Cal/OSHA Senior Safety Engineer,Department of Industrial Relations,Division of Occupational Safety &

Health; MarkJanatpour, Sen-ior Deputy LaborCommiss ioner,Department of In-dustrial Relations,Division of LaborStandards En-forcement; Gene

Kendall, program representative withBureau of Automotive Repair; Clau-dine DeBoer, tax compliance special-ist, Board of Equalization; and JustinGill, a tax auditor with the Employ-ment Development Department.

Formerly known as the EconomicEmployment Enforcement Coalition,which was founded in 2005, the LETFgot a new name under the Brown Ad-ministration. The LETF focuses on“the lower paid workers, the lower

socio-economic employees who tendto be more frequently abused,” saidLing. The six industries that the taskforce targets are: construction, agri-culture, garment shops, automotive,restaurants and car washes.

Auto body shops beware: this taskforce could show up unannouncedand issue citations for violations ofany agency requirements. “When wego out to do a compliance check, wearen’t there just because,” said Janat-pour. “Deputies will also ask whereeverything is posted. They don’t ran-domly choose a shop, they have donetheir research first.”

The Department of Industrial Re-lations includes the Division of LaborStandards Enforcement (DLSE) andthe Bureau of Field Enforcement.Topics Janatpour covered includednew legislation, minimum wage, over-time, meal periods, reporting time pay,record keeping, worker’s compensa-tion insurance, labor codes and more.

Effective January 1, 2012, newlegislation makes it illegal for willfulmisclassification of an individual as anindependent contractor to avoid em-ployee status. This could result in stiff

penalties. Also effective January 1,employers must provide notice to em-ployees hired after January 1, 2012 re-garding rate of pay and basis of pay,including overtime. If the deductionstatement does not include all required

information, suchas gross wagesearned, total hoursworked or piecerate units, the em-ployer risks a $250violation fine, or$1,000 fine for asecond violation.

In regards to record keeping, employ-ers must also keep track of an estima-tor’s time, including commission orpiece rate. The pay stub must also in-clude the name of the business or en-tity doing business as a partnership.

Every employer must secureworkers’ compensation insurance.Whether it’s your full-time employeeor a family member who only fills infor a minute to answer the phone, oncea person performs any task, they areconsidered employees under workers’compensation laws. Family membersare excluded only if they are part own-

Labor Enforcement Task Force Visits San Diego CAA Meeting

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Aston Ling

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Page 47: August 2012 Western Edition

ers in the business. Civil penaltiesrange from $1,500 to $10,000 per em-ployee or twice the premium the em-ployer would have paid for inworkers’ compensation premiumsduring the period the employer wasuninsured (whichever is higher) maybe assessed for failure to secure avalid workers’ compensation insur-ance policy. If your business does nothave workers’ compensation insur-ance, all employees must stop work-ing immediately. The state will issue

a stop order on anybusinesses thatfails to provideworkers’ compen-sation insuranceand any employeeaffected by workstoppage shall bepaid by the em-

ployer for time lost up to 10 days.Gene Kendall with the Bureau of

Automotive Repair kept his presenta-tion short, stating that his organizationis looking for a valid license postingon the wall. Fines range from $500-$5,000 for unlicensed facilities, plusthe possibility of closure until the shopis licensed. The cost to renew a licenseis $200.

The third speaker of the evening,Aston Ling, who has been withCal/OSHA for 18 years, stressed thatshop owners should understand theirrights, which include an informal con-ference, a pre-hearing conference anda formal appeal.

He cautioned business owners notto ignore a letter from Cal/OSHA, “orsomeone will show up” and laborcodes say they must show up unan-nounced. Mostly, Cal/OSHA makesvisits due to a complaint, an accident,or a programmed inspection.

He said that if a Cal/OSHA repre-sentative shows up, a shop ownershould ask questions, take good notes,gather all necessary staff, cooperateand make corrections as soon as pos-sible.

Citation fees have gone up, Lingsaid, because “Some people thought itwas cheaper to pay the fine than fixthe equipment or whatever.” Citationsfor regulatory problems, such as per-mits, posting, reporting or recordkeeping requirements, go up to$7,000. Those citations that are gen-eral but not of a serious nature go upto $7,000, but those that are seriousoffenses, where there is a realistic pos-sibility of death or serious physical

harm, go up to $25,000, or if willful,up to $70,000.

In regards to safety programs, itsseems you can’t have too many. Thereare injury and illness prevention pro-grams, emergency action plan/fireprevention plans, hazard communica-tion programs, respiratory protection,hearing conservation and many oth-ers. “The plan has to be effective, itmust be written and has to be imple-mented. Keep it simple,” Ling said.Material Safety Data Sheets (MSDS)

provided by each manufacturer mustbe accessible to employees as well.

During a visit, Cal/OSHA willlook for a first aid kit, a fire extin-guisher, electrical safety, machineguarding, exposure to chemicals,flammable liquid storage, personalprotection such as safety goggles andrespirators, permits to operate airtanks and maintenance of spraybooths. Compressed gas cylindersmust be secure. The explosion of gascylinders can be very powerful. Lingsaid they once found one that was aquarter of a mile away and it had gonethrough walls. Cal/OSHA will alsolook in your bathrooms. Are they san-itary? Do men and women have sepa-rate restrooms? Ling said they get a lotof restroom violations.

Cal/OSHA is not just here to bustyou. They offer a free service, a no-cost consultation, to review yoursafety programs, give you free sampleprograms, and walk around your shopand assist with any issues. Ling as-sured shop owners that Cal/OSHAdoes not use its free service to issuecitations for penalties. “We are thereto help identify issues,” he said. Thefree service is already paid for by taxdollars, it’s confidential, no penaltiesor citations will be made, and the in-formation will not be shared with theenforcement side of the agency. Toschedule a free consultation, call (800)963-9424.

The fourth speaker, ClaudineDeBoer, is a tax compliance special-ist with the Board of Equalization.She reviewed the mission of BOE,

which is to serve the public throughfair, effective and efficient tax ad-ministration. The goals of BOE in-cludes improving the taxpayersexperience and maximizing volun-tary compliance. In 2008, the BOEimplemented a program called SCOP- Statewide Compliance and Out-reach Program.

The main purpose of SCOP (pro-nounced “Scoop”) is to educatebusiness owners on their tax respon-sibilities, advise business ownerswhen they need a seller’s permit, ex-plain to business owners how to re-port and remit their taxes and feesdue, and review business operationscompared to sales and filed use taxreturns. There are seven SCOP teamsstatewide that conduct door-to-doorvisits by zip code. The SCOP teamsare located in Oakland, Sacramento,San Jose, Van Nuys, Norwalk, Irvineand Riverside. SCOP intends to visitevery non-residential business loca-tion statewide over time. The teamsdo not visit home-based businesses,DeBoer said. During visits, SCOPstaff will check for a seller’s permitand other required fee permits and li-censes and determine if the businessis reporting its sales and use taxesproperly.

In the San Diego area, DeBoer re-ported that SCOP-LETF statistics in theautomotive industry (from January 1-May, 31 2012) showed that out of 98 in-spections, nine businesses wereoperating without a seller’s permit, 20shops were operating without a city orcounty business license and 17 busi-nesses needed a registration update,mostly due to a change in ownership.For more information about SCOP, seewww.boe.ca.gov/sutax/SCOPOverview.The new BOE office in San Diego islocated at 15015 Avenue of Science,Ste. #200, CA 92128 and the phonenumber is 858-385-4700.

The last speaker of the nightwas Justin Gill, a tax auditor withEDD. This department collects anddistributes unemployment and dis-ability benefits and monitors payrolltax deductions. As part of the LETF,he explained worker classifications,employer responsibilities, and gavean overview on state payroll taxesand forms.

He said you are an employer iftotal wages paid to one or more em-ployees are in excess of $100 in a cal-endar quarter period. All casual laboris employment, whether workers are

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 47

CAA San Diego members Richard Bender andPaul Amato

Claudine DeBoer

See Labor Enforcement, Page 54

Page 48: August 2012 Western Edition

by Ed Attanasio

Many body shop owners who have al-ready embraced social media are re-luctant to use YouTube to promotetheir businesses. They feel likes it’stoo expensive to produce videos andmany claim they don’t have anythingto say to their customers. But, oncethey try it, body shops are reportingpositive results via YouTube, with in-creased traffic to their websites, blogsand other social media sites. They’retracking new customers from theirYouTube videos and discovering thevalue in these short, informationalclips—ranging in subjects from “Howto Spray Waterborne” to “Online Esti-mates” to humorous TV commercialsand interviews with customers,painters, body men and front deskpeople.

The simple fact is that most suc-cessful YouTube videos aren’t profes-sionally produced and involve just oneperson talking to a camera. They’reshot with inexpensive equipment,without special effects, high-techsound or any special lighting. Shop’snormally use employees and friends intheir videos.

Here are five main things to con-sider when producing YouTube videosto promote your business: 1) Know the Market

Spend a few minutes goingthrough YouTube to see what othercollision repairers, vendors and job-bers are doing on the site. You willfind the videos that do the best aregenerally funny, upbeat and/or offeruseful information. Think either com-ical or instructional or both. Find outwhat videos in your market have at-tracted the highest number of views,favorable ratings, most subscribersand best comments.2) Use Keywords Galore

The easiest (and cheapest) way todirect potential customers to yourvideos on YouTube is by incorporat-ing carefully selected keywords andinserting them in the title, description,and tags of your videos. To find newkeywords, use the Google KeywordTool to devise variations of your key-words for additional tags.3) Create Your Own Channel andMake Playlists

Prior to uploading your videos,setup your own YouTube Channel, in-cluding a profile and a graphic lookyou devise. Always include a link to

your web site, blog, Facebook pageand Tweeter hash tag. Playlists are agreat way to get your videos watchedby a lot of people. To assemble one,add your videos to a new playlist andincorporate other peoples’ videosdealing with the same topic. Then, se-lect a catchy name that will help peo-ple to find them through a search. Byassembling a library of videos, youcan attract more people and hopefullykeep them engaged longer.4) Use Multiple Calls to Action

If you don’t ask, you won’t get it.Sure, they like your video, but howcan you get them to respond? Here aresome calls to action that are all avail-able on YouTube and can be used toget your visitors more involved:

•Please rate this video. •Follow me on Twitter. •Find me on Facebook. •Subscribe to my videos. •Visit my blog •Please post your comments.•Send this video to your friends. •Check out my channel.

5) Promote Your Videos Uploading videos to YouTube

isn’t enough. You need to promotethem. These are some ideas:•Ask people you know to share theirlists and contacts. •Embed your videos in your blog.•Email your YouTube link to yourfriends and contacts. •Write an article about your video andpost it to article directories and forums.•Post your video on LinkedIn, Face-book, Twitter and other social mediaforms.

So, now you’ve done a few or allof these things and here is the milliondollar question—will you get any re-sults and most importantly, will youattract new customers? Well, rest as-sured, because the final answer is anemphatic yes. I recently sifted througha wide range of YouTube’s body shop-related videos and was able to findseveral shops in different parts of thecountry that have garnered a ton ofviews and comments. But, have theyled to new business and increased rev-enues?

“No doubt,” Rich Villaneuva, themarketing manager at Michael J’sBody Shop in San Jose, CA said with-out hesitation. “Doing things likeFacebook and YouTube have taken usto a whole new level. We know we’reone of the only body shops in this val-ley that’s doing things like YouTube

as intently as we are, and that’s whyour organic search results put us rightat the top of all the search engines’rankings. And by polling all of ourcustomers, we know that YouTube isworking for us.”

“We’ve been working with acompany called Reach Local andthey’ve been excellent in teaching usand pushing us in the right direction.Lots of shops get a few DRPs and getcomplacent, but by doing things likeYouTube and linking them to ourFacebook page, blog, Twitter, etc.—we’re able to get a fair share of directbusiness. We never want to put all ofour eggs in one basket, so we’re al-ways looking for that ideal combina-tion of walk-in customers and DRPrepairs.”

Michael J’s Body Shop has pro-duced four videos and is currentlyproducing more, showing their repairtechniques through a series of do-it-yourself online tutorials. Villaneuva ispleased to report that making thevideos is virtually free, he said. “I doit all myself with a Sony camera andsome very simple software to do theediting. I narrate them and don’t let

them go over three minutes in length.”Steve Kendrick Jr., 36, is the

owner of Kendrick Paint and Bodywith three locations in the Atlanta, GAarea. He has been doing social mediasince day one, he said, and doesn’t un-derstand when he hears that mostbody shops see little or no value in it.

“My grandfather started this busi-ness in 1952, and I think a lot of shopsin this country are still operating withthat ‘50s mentality. In the past, if youworked hard and did quality repairs,you’d succeed. But now, with all thecompetition and technology out there,it’s a different world. If you’re not intosocial media, computerized systemsthat help your business and things likeYouTube, you’re already a step behindthe competition.”

By producing 16 videos, HendrickJr. is dominating YouTube, especially inGeorgia. “When people search throughYouTube for a body shop in Georgia orAtlanta, they’re going to find us first andthat’s so important. We hired a person ona part-time basis to handle all of thesethings, from Facebook to Twitter andcreating a YouTube Channel and it’s paidfor itself many times over.”

YouTube is a Valuable Sales Tool for Body Shops

48 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

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Page 49: August 2012 Western Edition

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 49

by David M. Brown

Last month in Autobody News, we rana story about two schools in Arizonaand California that are prepping forthe future in the industry. That articlefocused on two schools, The East Val-ley Institute of Technology in Mesa,AZ, and the Universal Technical In-stitute in Sacramento, CA.

This month, we highlight othereducational programs in the West —Arizona, Nevada and California —that are providing outstanding prepa-ration for careers in the collision re-pair industry.

In Arizona, a number of highschool collision programs are work-ing toward NATEF certification, ex-plains Mike McAfee, director ofEducation for the Phoenix-based Ari-zona Auto Dealers Association(AADA). He is also state manager forAutomotive Youth Education Sys-tems (AYES).

McAfee notes that AADA workswith the Arizona Department of Edu-cation, specifically its Career andTechnical Education (CTE) Depart-ment, providing job shadowing and

internship opportunities for collisionas well as mechanical automotive stu-dents. “The organization also sits onmany automotive advisory boards atthe secondary and post-secondarylevels, serving as a business and in-dustry representative and partneringwith our educational institutions,” hesays.

Those high schools are ParadiseValley High School, Paradise Valley;Phoenix Metro Tech, Phoenix; Tuc-son High School and Sunnyside HighSchool, both Tucson. “Most of thehigh schools I’m familiar with use theI-CAR curriculum for collision,which is continuously updated to in-clude the latest industry standards,”says McAfee, noting that YavapaiCollege in Prescott, north of Phoenix,is also pursuing NATEF certification.

Another post-secondary programin Phoenix is Maricopa Skill Center, adivision of GateWay CommunityCollege, one of the 10 MaricopaCommunity Colleges. MaricopaCounty includes Phoenix, Scottsdale,Glendale and other municipalities.

Celebrating its 50th year, MSCoffers Auto Body Basic Metal Repair

and/or Refinishing among 30 othervocational training certificates, ex-plains, Kristina Scott, manager ofmarketing and recruitment servicesfor the school.

This year, two instructors teach25 students in an open-entry/open-exit program, so students can enrollanytime during the year. “Due to theflexibility and our competency-basedprograms, students can also graduateat any point during the year once theydemonstrate that they have the skillsnecessary for today’s workforce,”Scott says.

The Maricopa Skill Center is ac-credited by the Higher LearningCommission of the North Central As-sociation of Colleges and Schools.Successful completion of the programalso ensures that graduates will leavewith I-CAR points in six areas, in ad-dition to their certificate of comple-tion from Maricopa Skill Center.

“Our instructional team workswith advisory councils to determinewhat industry wants from their em-ployees and ensures that our pro-grams offer exactly what an employeris looking for,” she says. “The goal is

to get students the training they needin a short period of time so that theycan quickly get back into the work-force.”

Students choose between BasicMetal Repair or Refinishing or doboth. “Our students gain experiencein welding, pushing out dents, repair-ing plastic bumpers, and removingand installing bolted-on parts,” sheexplains.

All MSC programs are short-termcertificate-training programs that takeabout a year or less to complete. Onaverage, a full-time Auto Body BasicMetal Repair student will completethe program in 27 weeks. If a studentis pursuing a certificate in BasicMetal Repair and Refinishing, the av-erage time is 48 weeks, she says.Nevada, California Programs

In Nevada, the Carson City cam-pus of Western Nevada College hastwo classes scheduled for the fall2012 semester: Automotive CollisionI and Automotive Refinishing I, saysEdward Martin, chairman of theWNC Technology Division.

Current NATEF certifications are

Part 2: Western Schools Prep the Future of Collision Repair

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See Schools Prep, Page 53

Page 50: August 2012 Western Edition

This month’s column is Part 2 of theMatrix Wand article that appeared inthe July, 2012 issue. See summary ofthe Matrix Wand’s capabilities at theend of the article referencing photos.If you missed last month’s article see itat www.autobodynews.com.

A customer at Autobody Hawaiibrought in his 2009 BMW convertiblewith the front bumper on the passen-ger seat. It seems that he caught thebumper on a concrete barrier in theparking lot as he was backing up andpulled it off. While he was waiting foran estimate, I photographed the car.What I found was amazing. I meas-ured from the strut tower to the core

support and from the strut tower to 2points on the bumper reinforcement. Inthe distance table of the photo, the leftside of the bumper reinforcement waslonger that the right side. Now, youcould not see any damage to the rein-forcement, but it was bent according tothe measurements. I asked the cus-tomer which part of the bumper gotcaught on the barrier and he stated itwas the driver’s side. The shop orderedboth the cover and reinforcement at thesame time instead of buying the coverand finding out when it was to be in-stalled that the rebar was also bent. Itshould be noted that parts come fromHonolulu once a week. Think of thecycle time savings plus the extra paperwork and phone calls. Dale Mat-sumoto, owner of Autobody Hawaii,told me that when they compared thenew reinforcement to the damagedone, it was very evident that the parthad sustained damage to the left end.

A 2009 Nissan Xterra had beenestimated by an insurance adjuster.Damage was to the right fender, rightsuspension and front bumper cover.

The adjuster wrote the estimate for anA/M fender and cover (Figure 1).

The gap on the fender was 3mmlarger with the AM fender than the

original on the left side. I measuredboth fenders, and in the distance table,the length at the back of the partshowed that the A/M fender was in-

deed 3mm shorter. The adjustor wroteno frame time on the vehicle. The ve-hicle was put on a hoist and raised sothat I could measure the bottom of the

frame. When the mechanic finishedinstalling the right side suspension, hetried to align it, but the right side with

50 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

Matrix Wand is a Game Changer—Part 2

Hey Toby!with Toby Chess

Toby Chess is an I-CAR program instructor, Training specialist, and former salvage yard operator.Toby is universally known in the collision industry for his work with first responders and advocacyfor body shops and consumers. He can be reached at [email protected]

Figure 1

Figure 2

Figure 3

Figure 4

See Matrix Wand Part 2, Page 52

Page 51: August 2012 Western Edition

Emperors and underwear? Referencingroyalty’s skivvies in an article aboutbody shops? Everyone in the kingdomthinks that the shops represent the peas-ants, while insurers are the heirs to thethrone. Rumor has it that a CEO fromone of the top three insurance carriers inthe U.S. is a second-cousin to the Queenof England.

If that’s true, as royalty, there areprivileges that we insurers are entitled tothat quite frankly shops aren’t. What is itexactly that us royals get that most ofmy readers don’t? I’m not talking about“money,” although I suppose there maybe some merit in that response.

What insurers get is tons and tonsof data. If we don’t have it, we can get it.Just like that gentleman in the red suitwho is recognized by his “Ho, ho ho,”we know if you’ve been naughty ornice. We also know who writes a goodestimate and who doesn’t.

We also see the Emperor’s Under-wear. That’s right, we see your BVDs,

Fruit of the Looms, or whatever yourbrand of choice is. We see and knowwhat you don’t want us to know. Weknow that the customer matters—andI’m not referring to customer service. Iam referring to the fact that the customermatters when you write an estimate.

I know that the estimate is the onething that shops claim is more holy andpure than the Pope himself. Shops oftensay, “The damage is the damage,” “Theestimate is the estimate,” “The cost torepair is the cost to repair.” I say that theroyal underwear is in need of cleaning.

The customer dictates the cost to re-

pair. It’s conceivable that we could havea dozen different estimates from thesame shop with different bottom lines torepair the same car. Sadly, you knowthat I’m right. I also know that SantaClaus isn’t real and the Wizard of Oz isa phony. I looked behind the curtain.I’ve seen. We’ve seen. We all know.

Here’s why you know I’m right. If theshop participates in a direct repair pro-gram, the labor rate is going to be $x inaccordance with the contract. The shopwrites x hours to repair a given panel, xto cover the car, and x to blend the adja-cent panel.

If the shop isn’t on a direct repairprogram, the labor rate, labor hours,cover car, blend time and P-pages willall be inserted into the estimate at a dif-ferent amount, say, x + y.

If the shop is working with an inde-pendent appraiser and it’s someone theyknow, it may be x + y + z.

If the shop is doing work for a fleetaccount, such as rental car company, itwill be x – y – y - y.

If the customer is paying for thework out of their own pocket and theshop is slow, it’s going to be x – y. If theshop is busy and doesn’t need the work,it’s back to x.

If the customer happens to be a neigh-

bor or friend, it’s going to be x – y – z.And if the customer is your mother-

in-law, it’s going to be x + y – z, plus afree detail.

I could continue, but the point ismade. The customer matters. But in caseit’s still not clear, let me drive it homefaster than a body man priming a 10-hour repair on a quarter panel after theshop has been notified that an adjusteris coming out to see the vehicle.

That “8-hour repair” on a quarterpanel becomes five hours for the rentalcar company, two hours for you mother-in-law, six hours to your friend, ninehours if an independent appraiser comesto your shop, 10 hours if the insurancecompany is reducing the refinish time ona repaired panel, 11 hours if you knowthe reinspector from the insurance com-pany is going to hack the estimate, andseven hours if it’s a customer-pay job.

How do we know this? Data, andlots of it. Almost every decision youmake when writing an estimate is de-cided by who is paying the bill. This isthe sad reality of the business. The dam-age is never just the damage. That’s the“Emperor’s Underwear” in this industrythat nobody is supposed to see.

And the actual cost to repair that ve-hicle? “Well, it all depends.”

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 51

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With Estimates, Insurers See the Emperor’s Underwear

with Rick WhiteShop Management

with Stefan GesterkampPaint Management

with Gonzo WeaverGonzo’s Toolbox

with Richard ArnoldJobber Journal

Mainstream Media

with Dale DelmegeAsk Dale

Mainstream Media

Automakers’ Actions and Analysisby Autobody News Staff

Shop Showcaseby Autobody News Staff

with Ed AttanasioShop and Product Showcase

with Ed AttanasioConsumer Callout

with Walter DanalevichShop Strategies for Savings

with The Insurance InsiderInside Insurance

with Ed AttanasioCustom Corner

with Chasidy Rae SiskCompany Connections

with Chasidy Rae SiskNortheast News

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with Erica SchroederShop Showcase

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The Insider is a corporate-level executive with a Top 10 auto insurerin the U.S.. Got a comment or question you’d like to see him addressin a future column? Email him at [email protected]

get for labor is peanuts.”Stating that the new parts pro-

gram would negatively impact repair-ers’ parts profit, Starbard continued,“In a state like mine, we survive onparts mark-up. I suggest repairers runthis agreement up the flagpole withtheir accountants.”

Tony Passwater, president andowner of AEII Consulting, said theprogram is not needed because theparts procurement model in theUnited States is efficient and repairershave trusted relationships with exist-ing suppliers. He also said that al-though it is only a pilot now, it couldevolve into a big problem for repair-ers, likening it to the evolution of thedirect repair program model.

John Mosley, who wrote a per-sonal letter to Avery in May to expresshis concerns over the parts program

and thank him for unifying collision re-pairers over their opposition to it, wasat the CIC meeting representing Ala-bama repairers. He said he had contin-ued confusion over the program detailseven after Avery and Cooper’s talk.

“I’m still as uninformed and con-fused as when I got here,” said Mosley.“Is this something that we’re going tohave in all states? Have you alreadysigned a contract?”

Avery responded, “To me, there’sa difference between a test and a pilot.You test something to see if it willwork; you drill a pilot hole beforeyou’re going to drill. So a pilot doessuggest that your intent is to continueto move, but you have to make sure thatpilot hole is in the right place and isright. We’re going to continue to workthe pilot in the four pilot areas and fixthese things that are clearly deficien-cies, and then we will evaluate whetherthat will be something company-widefor Select Service repairers.”

Continued from Page 39

PartsTrader Pushback

Page 52: August 2012 Western Edition

all of the new parts still had a negativecaster. I found that the right side wasback at the lower control arm mount-

ing brackets by 10mm. I proceeded tomeasure the under hood and bumperreinforcement. The photo showed thatthe vehicle was 10 mm short on theright rail. The adjustor was called on aWednesday, and we sent him the datafor additional frame labor and anotheralignment. He called back and author-

ized the supplement. The car waspulled and realigned that Friday andwas delivered the following week.The insurance company had to pay foran additional eight days of car rentaland all of this could have been

avoided with a Matrix photo.I left the Big Island on a Thursday

morning. The next day I went to Is-land Fender and met with VanTakamoto, the owner of the shop.

We photographed a 2008 ToyotaPrius, which was in the shop for afender replacement only. I measured

the vehicle and determined that theright rail was down by 10mm. Theproblem was there was no damage tothe rail. I proceeded to call Rob Bai-ley (the matrix guru) about this inac-curacy. The Matrix computer can be

hooked up to the office thru the Inter-net. Rob began looking at my pictureand noticed that I used the fender

holes on the passenger side (fenderwas already removed), but the top ofthe bolts on the driver’s side. He saidthat computer was picking up the dif-ference between the depth of the holeand the top of the bolt. He told me toeither remove the bolts or install thebolts and take another photo and re-measure. I installed the fender boltson the passenger’s side and re-checked the measurement and thistime there was no sag in the right rail.By the way, I measured the bolt headand sure enough it was 10mm high.

52 AUGUST 2012 AUTOBODY NEWS | www.autobodynews.com

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RX-8 2012

Continued from Page 50

Matrix Wand Part 2

Figure 5

Figure 6

Figure 7

Figure 8

Figure 9

Figure 10

Page 53: August 2012 Western Edition

in brakes, steering and suspension,electrical and engine performance.

Also at the secondary and post-secondary level, the California Cen-tral County Occupational Center inSan Jose is NATEF-and ASE-certifiedin Collision Repair and Refinishing.

As a Career Technical EducationCenter, CCOC attracts both highschool and adult students with ap-proximately 30-40 annual graduatesof the two-year program.

Students are not placed from theschool but are often referred to jobopportunities when available, ex-plains Nathan Chukes, auto body re-finishing instructor and the advisorfor the AYES Program for collisionrepair.

“We educate students with the in-tent that they will be prepared forentry-level work in collision repair,”says Chukes.

“Our curriculum covers autobody industry standards that will givestudents the skills needed to keep upwith the demand of a high-energyshop.”

CCOC is the only school that of-fers collision repair in six school dis-tricts in the South Bay area, Chukessays, noting that the program hasbeen offered for more than 35 years.

In the last five years, CCOC stu-dents have won three gold medals andone silver for refinishing and twogold and one silver medal for repairat the SkillsUSA state championshipcompetition.

One of California’s recentlystarted programs, Collision/Refin-ishing Technology, is offered at theSacramento campus of WyoTech,which debuted the progra in October2006.

Two other WyoTech campuses,Laramie, WY and Blairsville, PA,have the Collision/Refinishing Tech-nology program, following the samestructure. The program includes Col-lision I and II and Refinishing I andII.

Students learn MIG welding, ex-ternal sheet metal straightening, bodyfiller usage and abrasives, bolt-onpanel replacement and alignment aswell as disassembly and reassemblyprocesses.

In the mechanical repair section,students learn about basic electrical

and vehicle electrical systems, sup-plemental restraint systems, enginecooling and HVAC systems and steer-ing and suspension. Also covered areframe and unibody structural repair,including vehicle dimensioning uti-lizing both mechanical and computermeasuring systems, vehicle straight-ening processes and procedures,welded panel replacement and resist-ant spot welding.

The refinishing courses offer stu-dents the opportunity to learn aboutpersonal and environmental protec-tion, how to work safely with paintsand chemicals, spray booth operation,types of paint and paint chemistry,paint mixing and mixing room man-agement, spray gun operation andpaint application, surface preparation,masking techniques, paint surface de-tailing and care of finished surfaces,plastic parts repair, spot repairs, colormatch and blending, damage analysisand estimating.

All WyoTech programs are ac-credited by the Accrediting Commis-sion of Career Schools and Colleges,and WyoTech is a member of the I-CAR Training Alliance, the Inter-In-dustry Conference on Auto CollisionRepair.

Here are some of the types ofmeasurements that can be performedwith the Matrix Wand:• Measure width, length and heigth.(Figure 2)• Point-to-point measurements andcompare with Mitchell Data Inc.(Figure 3)• Measure under hood, bottom of ve-hicle to determine damage. (Figure 4)• Measure under hood damage andcompare to factory specs. (Figure 5)• Measure door openings and “B” pil-lar positions. (Figure 6)• Measure engine cradle for damage.(Figure 7)• Measure strut, knuckle, spindle andlower control arm for damage andalso determine what parts are badwithout guessing. (Figure 8).• Measure if a sub frame has shifted,and this procedure could be added tothe estimate at the time of tear downand not when it goes to the alignmentshop. (Figure 9 and 10)

The only way that you can ap-preciate this revolutionary piece ofequipment is to see it in operation atyour shop.

Either call me at 310-995-7909 oremail me at [email protected] I will set up a demo for you.

www.autobodynews.com | AUGUST 2012 AUTOBODY NEWS 53

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Continued from Page 49

Schools Prep

Page 54: August 2012 Western Edition

when I said there was coolant in thespark plug area. (I should have said“On top of the engine”). Katie knewwhat I meant, but as the phone con-versations went on, the word “IN” justkept pushing the coolant deeper anddeeper inside this little Ford. Katie isa wonderful gal, I got to hand it to her;she did a great job of explainingthings. I’m a lucky guy to be able to

work with my daughter in a familybusiness, and even luckier to have heras an asset “IN” the office, especiallywhen she can explain things to a cus-tomer and get good old dad “OUT” ofa jam.

hired for an hour, a day, a week or ona part-time basis. Correctly classify-ing workers is very important, as in-correctly identifying independentcontractors could result in fines up to$50,000, he said. An informationsheet for the automotive repair indus-try, called form DE 231B, is availableon the EDD website.

Federal and state laws require that

employers post complete, up-to-dateversions of labor notices. Currentposting requirements are available atwww.taxes.ca.gov/payroll_tax/postin-greqbus.shtml.

Gill stressed that really clean pay-roll recordkeeping makes things somuch easier, and although it’s a goodidea to retain records and returns forat least four years, with digital scan-ning, he says there’s no reason not tokeep records indefinitely. For payrolltax seminars and workshops, seewww.edd.c.gov/taxsem.

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Labor EnforcementContinued from Page 31

The IN-Side

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