hammer & dolly april 2014

www.grecopublishing.com

April 2014Volume 8, No. 4

www.wmaba.com

$5.95

WMABA Advocates Consumer Choice in Senate & House Hearings - Page 36

HD APRIL 2014.qxp_Layout 1 10/6/15 2:38 AM

3April 2014


COVER: Photo by Joel Gausten

THIS PAGE, CLOCKWISE FROM TOP:

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DEPARTMENTS8 Calendar of Events

10 Editor’s MessageJOEL GAUSTEN

12 President’s MessageDON BEAVER

14 NewsFlash

22 Technician of theMonth: Dustin Mottley

26 Headliners

46 Advertisers Index

28ALLIES IN ANNAPOLIS:SUPPORT GROWS FOR WMABA’S CONSUMER PARTSCHOICE CAMPAIGNLegislators make their support of the association’s Parts Bill known. BY JOEL GAUSTEN

36

WMABA holds its own during crucial hearings on thefuture of parts. BY JOEL GAUSTEN

SPECIAL FEATUREPower of Truth: WMABA Advocates Consumer Choice in Senate & House Hearings

COVER STORY

CONTENTSAPRIL 2014

32A wake-up call on education and equipment. Is yourshop ready? BY LARRY MONTANEZ III, CDA & JEFF LANGE, PE

TECHNICAL FEATUREWarning on Aluminum Repair: Don't Believe the Hype! - Part 2

5April 2014

20How to protect yourself when you are forced to closeyour business for an extended period of time. BY JAMES A. CLEAVER

LEGAL PERSPECTIVEDo You Need Business InterruptionInsurance?

LOCAL NEWSMD and VA Volunteers Gear Up for SkillsUSARepairers and educators join forces to support collisionand refinishing students. BY JOEL GAUSTEN

16


6 April 2014


8 April 2014

Industry training opportunitiesand don't-miss events.

April 3, 2014insPeCting rePairs For quality ControlCoxton’s Gold Team Collision Center, Yorktown, VA

April 7, 2014raCk & Pinion & Parallelogram steering systemsFirst Team Toyota, Chesapeake, VA

April 8, 2014vehiCle teChnology & trenDs 2014Southern Auto Group, Norfolk, VA

April 8, 2014vehiCle teChnology & trenDs 2014Coxton’s Gold Team Collision Center, Yorktown, VA

April 8, 2014PlastiC & ComPosite rePairHarrisonburg (Manheim) Auto Auction, Harrisonburg, VA

April 10, 2014Wheel alignment & DiagnostiC anglesFrederick Co. Career & Tech, Frederick, MD

April 10, 2014rePlaCing exterior aluminum PanelsSouthern Auto Group, Norfolk, VA

April 10, 2014measuringCoxton’s Gold Team Collision Center, Yorktown, VA

April 14, 2014WelDeD & aDhesively BonDeD Panel rePlaCementCoxton’s Gold Team Collision Center, Yorktown, VA

April 14, 2014Wheel alignment & DiagnostiC anglesFirst Team Toyota, Chesapeake, VA

April 15, 2014seCtioning oF steel unitizeD struCturesHampton Inn, Salisbury, MD

April 15, 2014steering & susPension Damage analysisSouthern Auto Group, Norfolk, VA

April 17, 2014struCtural straightening steelCoxton’s Gold Team Collision Center, Yorktown, VA

April 21, 2014eleCtroniCally ControlleD steering &susPension systemsFirst Team Toyota, Chesapeake, VA

April 22, 2014aDhesive BonDingHampton Inn, Salisbury, MD

April 22, 2014WelDeD & aDhesively BonDeD Panel rePlaCementHarrisonburg (Manheim) Auto Auction, Harrisonburg, VA

April 24, 2014vehiCle teChnology & trenDs 2014Frederick Co. Career & Tech, Frederick, MD

April 28, 2014steering & susPension Damage analysisFirst Team Toyota, Chesapeake, VA

April 29, 2014squeeze-tyPe resistanCe sPot WelDingCoxton’s Gold Team Collision Center, Yorktown, VA

April 29, 2014PlastiC & ComPosite rePairHampton Inn, Salisbury, MD

May 1, 2014aluminum-intensive vehiCle rePairsCoxton’s Gold Team Collision Center, Yorktown, VA

May 5, 2014steering & susPension Damage analysisFirst Team Toyota, Chesapeake, VA

May 6, 2014Corrosion ProteCtionHampton Inn Salisbury, Salisbury, MD

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

april 8, 2014sCrs open meeting & annual election Red Lion Hotel on the River, Portland, OR

For more information, visit www.scrs.com

april 9, 2014repairer roundtable, sCrs industry awards & sCrs Corporate memberrecognition luncheon

Red Lion Hotel on the River, Portland, ORFor more information, visit www.scrs.com

april 9-10, 2014Collision industry Conference Red Lion Hotel on the River, Portland, ORFor more information, visit www.ciclink.com

May 6, 2014CosmetiC straightening aluminumCoxton’s Gold Team Collision Center, Yorktown, VA

May 8, 2014Full-Frame Partial rePlaCementFrederick Co. Career & Tech, Frederick, MD

May 13, 2014aluminum-intensive vehiCle rePairsBest Western Westminster, Westminster, MD

May 20, 2014Wheel alignment & DiagnostiC anglesCoxton’s Gold Team Collision Center, Yorktown, VA

May 20, 2014rePlaCing exterior aluminum PanelsHarrisonburg (Manheim) Auto Auction, Harrisonburg, VA

May 27, 2014CosmetiC straightening aluminumHarrisonburg (Manheim) Auto Auction, Harrisonburg, VA

May 27, 2014WelDeD & aDhesively BonDeD Panel rePlaCementHampton Inn Salisbury, Salisbury, MD

May 29, 2014hazarDous materials, Personal saFety& reFinish saFetyFrederick Co. Career & Tech, Frederick, MD

CLASS LISTINGS

CALENDAR OFEVENTS


9April 2014


2014 WmaBa oFFiCersPresiDent Don Beaver

[email protected] 443-539-4200 ext. 17061viCe PresiDent torchy Chandler

[email protected] 410-309-2242treasurer mark schaech Jr.

[email protected] 410-358-5155seCretary John krauss

[email protected] 703-534-1818immeDiate Past PresiDent Barry Dorn

[email protected] 804-746-3928

BoarD oF DireCtorsRodney Bolton ([email protected]) 410-969-3100 ext. 250Mark Boudreau ([email protected]) 703-671-2402

Kevin Burt ([email protected]) 301-336-1140Bobby Wright ([email protected]) 434-767-4128

aDministrationexeCutive DireCtorJordan Hendler ([email protected]) 804-789-9649WmaBa CorPorate oFFiCeP.O. Box 3157 • Mechanicsville, VA 23116

staFFPuBlisher thomas greco

[email protected]

managing eDitor alicia [email protected]

eDitor Joel [email protected]

art DireCtor lea [email protected]

oFFiCe manager sofia [email protected]

aDvertising DireCtor norman [email protected] 800-991-1995 Fax 732-280-6601

PUBLISHED BY TGP, Inc.244 Chestnut St., Suite 202Nutley, NJ 07110973-667-6922 FAX 973-235-1963

Reproduction of any portions of this publication is specifically prohibited without written permission from the publisher. The opinions and ideas appearing in this magazine are not necessarily rep re sen ta tions of TGP Inc. orof the Washington Metropolitan Auto BodyAssociation (WMABA). Copyright © 2014Thomas Greco Publishing, Inc.

along to someone else to cover) while he or she took the time to show his or her support ofWMABA’s legislative efforts. Can you imagine stepping into your offices or bays after 10amto start your day? That’s what the folks in that room did after the gathering.

As I looked around the room, I couldn’t help but take note of the kind of WMABA mem-bers who showed up: Shop owners acclaimed in their communities, dealership shop man-agers committed to embracing current technologies and Board members dedicated tobuilding a better profession. All of these people produce great repair work at their shops,but they know that being great at their craft simply isn’t enough. If you want positive changeto occur in your business, you need to be an active participant in events like this most re-cent Lobby Day. Bringing a hard hit back to pre-accident condition takes great skill, but en-suring your right to choose the best parts for that vehicle sometimes takes a trip to see yourelected officials. Even if the demands on your business prevent you from attending func-tions of this nature, you can still make a huge difference by sending a letter or making aphone call to a senator or delegate when asked by WMABA to do so. Anything you are ableto give is helpful and greatly appreciated.

To learn more about WMABA’s Lobby Day, check out this month’s cover story onpage 28. H&D

WHY GOODWORK ISN’TENOUGH

Recently, I traveled down to Annapolis inthe wintry cold of February to attend a specialLobby Day hosted by WMABA and bolstered bythe presence of key senators and delegateswho have voiced their support of the associa-tion’s Parts Bill. Despite the fact that it was8:30am on a snowy Wednesday morning, thespecial breakfast meeting drew everyone fromshop owners to parts suppliers to dealershipcollision center managers. Together, these in-dustry members joined forces to create a posi-tive energy in the room that was impossible toignore. While the general spirit in the room wasimpressive, I was equally awed by the fact thatthese members of the WMABA community werein the room in the first place. There they were:Tables full of people, early in the day in the mid-dle of a workweek, having breakfast in theMaryland Inn after making their way through thenot-so-pleasant weather outside. I’m very surethat every WMABA member in that room had ajob that was put on hold (or at least passed

Joel gausten(973) 600-9288

[email protected]

MESSAGEEDITOR’S

10 April 2014

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I’d especially like to thank Executive Director Jordan Hendler. Those of us here on theEast Coast (and, more specifically, in the Washington Metropolitan area) know what theweather has been like in recent weeks. While most of us were safe and warm at homecurled up in front of the TV or with a book, Jordan was braving the inclement weather inAnnapolis, walking the halls of the State House soliciting support for our bills.

On the evening of February 12, a storm rolled into the capital city; after beating thehalls all day, Jordan took up residence in a hotel for the night so she wouldn’t miss theHouse hearing the next day. Well, that event ended up being postponed due to theweather. As I was sitting in my kitchen that day, drinking a cup of coffee as snow fell at therate of one-to-two inches a hour, I said to my wife, “I bet that crazy woman is at that StateHouse still drumming up support.” So I called her (for about the 20th time in the days lead-ing up to the hearing), and she was right where I expected: Still in Annapolis, roaming of-fice to office, delegate to delegate, senator to senator. I join the WMABA membership inthanking Jordan for everything she has done for us, and for having the passion, the fireand the belief that these bills before the Maryland General Assembly are so vital to ourfuture. That kind of selfless dedication means spending a lot of time away from her family,and that is a great sacrifice we will always appreciate and never forget. H&D

IT’S NOTALL BAD

There are times when I struggle with whatto write about in this message because thereare so many issues at hand within our industry.If it’s not one of our customers being steered,it’s an insurance company refusing to pay for arequired repair or specifying the use of an after-market part on a brand new vehicle. Whateverthe latest issue is, it always seems to be a hugebummer. When I reached out to Joel, our editor,for ideas for my next message, he said, “Howabout something a little more upbeat?” Boy, didI jump on that!

As difficult as this industry is at times, thereare still plenty of positives to enjoy. I was luckyenough to have become president at a timewhen we have incredibly talented, motivatedand enthusiastic individuals on our Board. (Notthat there weren’t before!) Whenever we have achanging of the guard, we always have newopenings on the WMABA Board. We are alwayslooking for new people, because our success isdirectly affected by new ideas and new enthusi-asm. Recently, members of the WMABA Boardhave been spending a lot of time in Annapolis insupport of Bills SB487 and HB574. In a nut-shell, the bills would prohibit insurance compa-nies from requiring any specified partprocurement program and/or the use of a speci-fied vendor. It also may prevent insurance com-panies from requiring the use of aftermarketparts on vehicles three years old and newer.The passion and the diligence that has beenshown in soliciting support and explaining ourcause is nothing short of stupendous and out-standing. Now, the battle isn’t over and the fatlady isn’t singing yet, but I can hear her back-stage warming up.

With all of that said, I give a big shout outand a huge THANK YOU to everyone involved.Mark, Torchy, Kevin, Hannah and anyone I mayhave missed - GREAT JOB!

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MESSAGEPRESIDENT’S

12 April 2014

Don Beaver(443) 539-4200 ext. 17061

[email protected]


13April 2014


14 April 2014

in 2013, the collision industry nearly doubled the2012 amount of support it provided to high schooland college collision school programs through theCollision repair education Foundation with nearly$9.4 million in product and monetary donations. Ninetypercent of this support was in the form of in-kind donations, and thecollision industry surpassed the $20 million mark in total givingthrough the Collision Repair Education Foundation since 2008. Ninetycents of every dollar donated went towards supporting the school pro-grams, instructors and students in 2013.

“The incredible growth in support that the Collision Repair Edu-cation Foundation has been able to provide since 2008 is a direct re-sult of the industry’s generosity,” said Clark Plucinski, Collision RepairEducation Foundation executive director. “To nearly double theamount donated in 2013 compared to 2012 shows how much oursupporters believe in the technical education of the industry’s futureprofessionals. The vast majority of the donations are in the form of in-kind donations, such as parts, tools, equipment and supplies, whichare greatly valued by the collision school programs due to their limitedbudgets. In 2014, we are increasing our focus on securing additionalmonetary donations in order to be more strategic and impactful as acollision industry foundation. As a result, monetary donations providethe greatest flexibility to fund the industry’s most pressing needs, aswell as emerging opportunities that cannot be addressed with in-kindsupport. Furthermore, the Foundation is working on innovative initia-tives and has developed a new model for collaboration that we be-lieve will deliver tremendous value back to the collision industry.”

“The collision industry is facing the perfect storm of an agingworkforce, shortage of qualified entry-level technicians and a techni-cal tsunami of new technology entering the marketplace with anunder-trained workforce,” added Chris Northup, FoundationBoard of Trustees chairman and Professional PartsGroup CEO/managing general partner.

“This being the case, the need for the Collision Repair EducationFoundation has never been greater. Because the success of the colli-sion industry starts with education at the school level, the Foundationis committed to closing the curriculum gap, creating the optimal train-ing environment and ensuring students have the fundamental skillsnecessary in order to be job-ready on day one of employment.

“The 2013 results for the Education Foundation speak so highlyof this generous industry that understands the importance of investingin the future, giving back and preparing entry-level people for a futurein the collision repair industry,” he continued. “[Last year’s success]will certainly set the stage for the future growth of the EducationFoundation and its efforts with students, schools and programsaround the country. Thanks again to everyone who made the commit-ment to be involved and help us.”

The Collision Repair Education Foundation is a 501(c)3 charita-ble organization within the collision industry that has given more than$10 million in scholarships, grants, tools and equipment since 2008 tosecondary and post-secondary collision students and their schools’collision programs. The mission of the Collision Repair EducationFoundation is “to secure and distribute charitable donations to supportendeavors that promote, qualify and properly train employees enter-ing the collision industry.”

For additional information about the Collision Repair EducationFoundation, visit www.CollisioneducationFoundation.org. Inter-in-dustry organizations and individuals who are interested in supportingthe Collision Repair Education Foundation in 2014 and increase theamount of assistance provided to collision schools and studentsshould contact Director of Development Brandon Eckenrode at (847)463-5244.H&D

News and reports from across the nation.

FLASHNEWS

COLLISION INDUSTRY EDUCATIONFOUNDATION RECEIVES MILLIONSIN SUPPORT

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Information and updatesfrom WMABA and beyond.

NEWSLOCAL

16 April 2014

With the date for this year’s SkillsUSAgetting closer, the Maryland SkillsUSA Colli-sion Repair and Automotive RefinishingCommittees are seeking industry support forthe future technicians in the Maryland area.With the help of local collision repair facili-ties, vendors and industry partners, theCommittees have been successful over theyears in obtaining great prizes for the tal-ented young men and women who partici-pate in the annual event.

The Maryland SkillsUSA Collision Re-pair and Automotive Refinishing Competi-tions will be held at the Center of AppliedTechnology North in Severn, MD on April 4and 5 and are open to the public. Althoughthat date might be too tight for some readersto donate to this year’s event, MarylandSkillsUSA organizers encourage interestedparties to donate year-round to a specialSkillsUSA fund for 2015. Because MarylandSkillsUSA is a 501(c)(3) non-profit organiza-tion, all donations are tax-deductible. Long-standing Maryland SkillsUSA supportersinclude Chesapeake Automotive Equipment,GEICO and Enterprise Rent-A-Car.

Teresa Bolton, director of collision re-pair test development for ASE, is assisting inthe collection of donations for this year’sSkillsUSA and is blown away by the out-pouring of support shown by the automotivecommunity.

“Our industry is so generous; theynever say no,” she says. “We’re so verygrateful for the industry’s support, becausethat just shows our competitors that we wantthem to come into our industry.

“Each competitor gets something justfor participating,” she adds. “One year inparticular, GEICO gave buffers to all the re-finishing competitors and hammer and dollysets to all the collision competitors.”

For more information or to make a

donation to Maryland SkillsUSA, pleasecontact:

As Maryland prepares for their Skill-sUSA festivities, volunteers in Virginia arealso hard at work getting things in order fortheir state’s competitions. This year’s Vir-ginia Auto Service Technology Competitionwill be held April 4 and 5 at the RoanokeCivic Center and overseen by volunteersfrom First Team Auto Mall, while the Auto-motive Refinishing Technology and CollisionRepair Technology Competitions will be heldon the same days at Berglund Body Worksin Roanoke with help from Axalta CoatingSystems.

Mike Toney, a collision repair and automechanics instructor at Salem High Schoolin Salem, VA, has been a SkillsUSA volun-teer for nearly 15 years. Not surprisingly, hehas seen the caliber of students involved inthe competition steadily increase with eachpassing event.

“I think the quality of the students hasgotten better, simply because the industryis so high-tech now,” he offers. “We’re

attracting different students than we wouldhave in the past.”

Toney encourages industry profession-als in Virginia to become part of SkillsUSAand build stronger ties between repairersand educators.

“The biggest thing is that [people in theindustry] need to get involved in the schools,see what’s being taught [there] and tell theinstructors in the school system what wouldhelp them because they’re ultimately theones we’re producing students for,” he says.

This sentiment is shared by fellow Vir-ginia SkillsUSA organizer Bob Owen, AYESState Manager for Virginia and member ofthe Virginia Automobile Dealers Association.

“People in the dealerships need to bemore involved in their local schools by sittingon the Career Technology Advisory Boardsat stuff like that,” he says. “That’s where theinstructor relies on getting his or her infor-mation about what to teach…The involve-ment of the industry in the local schools isso critical, but most service managers don’tsee the need to do it. On the other hand, theinstructors from the school system do notthink it’s a necessity for them to go up to thedealerships to solicit [their help]. The morethat two-way street ebbs and flows, the bet-ter the systems work and the better off thestudents are.”

Toney invites anyone interested in be-coming involved in Virginia SkillsUSA to con-tact him at (540) 761-3469 or through emailat [email protected].

The first place winners in the Automo-tive categories at the Maryland and VirginiaSkillsUSA competitions go on to representtheir respective states in the SkillsUSANational Leadership and Skills Conference,held June 23-27 in Kansas City, MO. Moreinformation on SkillsUSA is available atwww.skillsusa.org.H&D

MD AND VA VOLUNTEERSGEAR UP FOR SKILLSUSA

Beth meckelaCt randallstown3636 Brenbrook Drive

randallstown, mD 21133(443) 506-7349-cell

(410) 521-5155-work

tony Brooks, managerheritage mile one

9219 harford road #2Baltimore, mD 21234(866) 766-1431-work

teresa Bolton, ase101 Blue seal Drive s.e., suite 101

leesburg, va 20175(703) 669-6610-work


17April 2014


18 April 2014


19April 2014


What’s happening at the State House, inyour industry and everywhere in between.

PERSPECTIVELEGAL

Many local small businesses took a hit this winter because ofthe weather. Businesses were forced to close because of snow andhad less traffic going in and out of them, since people were stayinghome. These weather-related inconveniences lasted just a fewdays. But what would happen if an event outside of your control oc-curred, closing your small business’s doors for more than just a dayor two?

Contingent business interruption insurance minimizes some ofthe risk that accompanies ownership. Business interruption cover-age is usually a part of a broader commercial insurance policy. Itspurpose is to insure the losses a business encounters when a sig-nificant customer’s or supplier’s operations are interrupted by cov-ered loss or damage. Most often, contingent business interruptioninsurance comes into play after a natural disaster temporarily sus-pends normal operations.

The majority of business interruption insurance policies coverloss or damage only to tangible items (equipment, inventory, ware-house, etc.), not lost profits. Policies vary and riders can be added.The loss that businesses may experience because of a shutdownmay be, in some instances, sufficient “loss” necessary to invokebusiness interruption coverage.

Business interruption insurance is a limited form of coverageand will normally be limited in time. Some policies may not immedi-ately go into effect after an interruption, but will only take effectafter a certain number of days. As with every commercial insurancepolicy, the insured business should provide prompt notice of aclaim, be prepared to prove the loss through documentation and

take any reasonable steps to mitigate loss. Businesses can fall vic-tim to circumstances beyond an owner’s control – business inter-ruption insurance can provide some reassurance that if aninterruption occurs, the insured business will be covered.

For more information, contact Jim at (800) 292-LAWS.H&D

Jim Cleaver is the senior partner of theAlexander & Cleaver. Jim co-founded thefirm in 1984 with Gary R. Alexander. Heworks primarily in the field of civil litigation,heading up the firm’s personal injury prac-tice. In that role, Jim is the firm’s primary ne-gotiator and litigator in personal injury cases,using his vast experience and knowledgeacquired over parts of the past five decadesto achieve results for clients. It is no surprise to colleagues andclients that Jim has been designated a Super Lawyer in personalinjury cases, was named one of Maryland’s top trial lawyers andwas selected by the prestigious Million Dollar Advocacy Forum.

DO YOU NEEDBUSINESS INTERRUPTIONINSURANCE?

20 April 2014

By James a. Cleaver,Senior Partner, The Law Offices

of Alexander & Cleaver

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21April 2014


Hammer & Dolly chats with theWMABA community’s best and brightest.

THE MONTHTECHNICIAN OF

22 April 2014

DUSTIN MOTTLEY

Longtime WMABA member Cliff O’ Connell (Cliff’s Hi-TechBody Shop, Baltimore) has encountered his fair share of tal-ented automotive professionals during his 45 years in the in-

dustry, but Dustin Mottley is truly special. “Dustin stands above anyone else I’ve ever worked for, had in

my company or worked with out in the industry,” he says. For the past 11 years, Mottley has earned his employer’s

praise as part of the Cliff’s Hi-Tech paint team. Since the first day hejoined the business straight out of vocational school, he has madesure that every vehicle that greets him at the 18,500-square-foot fa-cility receives the finest care possible. His talents in the booth arematched by his can-do attitude and willingness to go above and be-yond to keep customers happy.

“Dustin’s the guy our body techs go to if they need somethingnow,” O’Connell says. “You don’t even have to ask him to work late;if we need to deliver [a job] tomorrow, he’ll get it painted whether it’slate at night or early the next morning. I’ll drive by the shop on Sun-days, and I’ll see his truck sitting out front. And that’s without askinghim to be there; he just does it.”

Additionally, O’Connell is continually impressed by Mottley’sability to approach every day in the shop with a positive attitude.

“He’s never complained about anything,” he says. “He’s nevercome up and said, ‘Cliff, I don’t like that’ or said anything aboutanother employee. He’s at the shop every day; we never have towonder if Dustin’s here.”

Mottley’s skills extend far beyond the walls of Cliff’s Hi-Tech, asO’Connell has utilized his star painter’s gifts on special projects likethe front door to his home and a six-foot metal swan he purchasedin Ocean City. In and out of the shop, Mottley consistently receiveshis employer’s respect.

“He came in here as a young guy, and I’ve watched him getmarried, have two kids and buy his own home,” O’Connell says.“He’s grown up here.”

In an industry known for high turnover, Mottley is happy to callCliff’s Hi-Tech home.

“With my work ethic, they know they can just let me do mything,” he explains. “I come in and give it 110 percent every day, andthey know I’m going to get it done.”

Like other refinish experts, Mottley made the switch to water-borne a couple of years ago. While the transition was rocky forsome in the field, he embraced the change with open arms.

“[The industry] should have done it a long time ago,” he shares.“Hands down, it’s better and easier now than it was four or fiveyears ago.”

Away from the shop, Mottley enjoys spending time with his wifeShelby and children Kylie (7) and Karter (19 months). In addition togiving him an opportunity to provide for his family, the industry al-lows Motley the chance to make life a little better for vehicle ownerswho have been involved in car accidents.

“It’s hard work, but I’m not afraid of it,” he says. “I love cars,and I want to put good products out there for people.” H&D

Dustin mottley is a dedicatedfamily man who is unafraid totake on unique jobs like painting this metal swan.


23April 2014


BMW of Annapolis25 Old Mill Bottom RoadAnnapolis, MD 21409410-349-2565Fax:410-349-2586www.mybmwannapolis.com

Apple BMW of York1370 Roosevelt Ave.York, PA 17404800-839-1755Fax: 717-843-2948www.applebmwofyork.com

BMW of Fairfax2805 Old Lee HighwayFairfax, VA 22031800-879-2269Fax: 703-641-8562www.bmwoffairfax.com

BMW of Sterling21826 Pacific Blvd.Sterling, VA 20166888-954-8222Fax: 571-434-7727www.bmwofsterling.com

BMW of Alexandria499 South Pickett StreetAlexandria,VA 22304Direct: 703-684-5255Fax: 703-647-1853www.bmwofalexandria.com

BMW of Silver Spring3211 Automobile BlvdSilver Spring, MD 20904866-737-8937Fax: 301-890-3748www.bmwofsilverspring.com

Passport BMW5000 Auth WayMarlow Heights, MD 20746301-423-0733Fax: 301-423-2717www.passportbmw.com

Northwest BMW9702 Reisterstown RdOwings Mills, MD 21117410-363-1461Fax: 410-363-7749www.northwestbmw.com

For Original BMW Parts, contact one of these authorized BMW centers:

AS A COLLISION REPAIR SPECIALIST, YOU MUST ALWAYS FOC HOWEVER, INSURANCE ESTIMATES ARE OFTEN FOCUSED ON

BMW centers stock Original Equipment Parts that never sacrifice quality or s

24 April 2014


Russel BMW6700 Baltimore National PikeBaltimore,MD 21228800-828-6529410-744-2000Fax: 410-744-5639www.russelbmw.com

Checkered Flag BMW5225 Virginia Beach BlvdVirginia Beach, VA 23462757-687-3494Fax:757-687-3495bmw.checkeredflag.com

BMW of Bel Air1705 Conowingo Road(US 1 in Hickory)Bel Air, MD 21014443.640.1230Fax: 443.640.1234www.bmwbelair.com

BMW of Towson700 Kenilworth DriveTowson, MD 21204410.296.7908Fax: 410.296.4852www.bmwtowson.com

Richmond BMW8710 West Broad StreetRichmond, VA 23294800-237-0130Direct: 804-527-6860Fax: 804-965-6254www.richmondbmw.com

Valley BMW2824 Franklin Road SWRoanoke, VA 24014PH: 540-342-3733Fax: 540-345-9060www.valleybmw.com

Richmond BMW12100 Midlothian TpkeMidlothian, VA 23113Phone: 804-897-2211Fax: 804-897-2202www.richmondbmw.com

BMW of Rockville1396 Rockville PikeRockville, MD 20852301-984-8989Fax: 301-984-1710www.bmwrockville.com

FOCUS ON SAFETY, QUALITY AND COST. ON JUST COST.

r safety for cost.

· Every detail is exactly matched to the vehicle’s safety systems for optimum occupant protection.

· Original BMW Panels and Components are built from premium materials using ultra-precise processes.

· To maximize the safety of all passengers, replacement panels undergo strict and extensive quality control tests.

· To ensure optimal paint adhesion, electrophoretically primer coats are applied during the manufacturing process.

25April 2014


26 April 2014

Since launching the CCC TRUE Parts Net-work in September 2013, there has been asteady stream of suppliers signing up to show,quote and sell their available parts inventoriesthrough the CCC ONE platform. According to aCCC press release, the latest aftermarket sup-pliers “include national and regional companieswith parts inventories that range from broad tospecialized.” New suppliers include Pacific AutoCompany, PartsChannel Inc. and Perfect FitGroup Auto Parts.

“We’re very excited by the response we’regetting from the parts supplier community,” saidDavid Boden, vice president of CCC PartsServices Group. “The addition of these qualitysuppliers strengthens the power of the CCCTRUE Parts Network and demonstrates thesupplier community’s interest in making partsprocurement easier for their repair customers.At the same time, our repair customers are opt-ing in to use the parts quoting, ordering and in-voicing functionality at a great pace, making fora mutually beneficial solution.”

According to the CCC release, participa-tion in the CCC TRUE Parts Network is open toall parts suppliers. More information is availableat www.ccc-true.com. Additionally, integratedparts quoting, procurement and invoicing arenow available free of charge to CCC ONERepair Workflow customers, with no setuprequired.

Founded in 1980, CCC is a leadingprovider of advanced software, workflow toolsand enabling technologies to the automotiveclaims and collision repair industries. Its clientbase includes more than 350 insurance compa-nies and more than 21,000 repair facilities.CCC also delivers the most comprehensive,best-in-class industry insights by leveragingdata captured from the millions of transactionsprocessed through its network, and the for-ward-looking, trusted advisor perspective of itspeople. You can find out more about CCCInformation Services Inc. by visiting thecompany’s website at www.cccis.com.

H&D

HEADLINERSThe latest news and notes.

MORE PARTS SUPPLIERS JOIN CCC NETWORK


27April 2014


28 April 2014

The Latest From WMABAMembers and Supporters

STORYCOVER

the collision repair industry is respected and appreciated bythe maryland general assembly.

This was the ultimate takeaway for the body shop owners, deal-ership personnel and industry representatives who attendedWMABA’s special Lobby Day at the Maryland Inn in Annapolis onFebruary 26. Over a relaxed breakfast, these members of theWMABA community joined key legislators to discuss the associa-tion’s ongoing work to pass Senate Bill 487 and House Bill 574. Thisconsumer-focused legislative push seeks to prohibit “a specified ad-juster, appraiser, insurance producer or employee of an insurer fromrequiring a motor vehicle repair facility to use a specific vendor orprocess for the procurement of parts or other materials necessary forthe repair of a motor vehicle.” Additionally, the bills seek to requireMaryland auto insurers to authorize use of genuine crash parts forvehicles that are three years old or less. Senate Bill 487 is spon-sored by Senator John C. Astle, while the House companion bill issponsored by Delegate John A. Olszewski, Jr. These two legislatorsshould be commended on their efforts to not only author and spon-sor the legislation, but for their advocacy of the bills as well. Theyhave fielded a lot of targeting by the opposition, and have remainedstrong in their resolve to see this consumer protection passed intolaw.

,WMABA has been working extensively with the lobby firm ofAlexander & Cleaver (and Government Relations Consultant HannahGaragiola in particular) for the past several months to build a solidpresence at the State House and ensure that the industry’s call forchange on behalf of consumers is being heard loud and clear. If thesentiments shared by the senators and delegates in the room duringthe breakfast meeting are any indication, WMABA could be poised toenjoy a substantial victory.

Why legislation mattersDuring her opening remarks to attendees, WMABA Executive

Director Jordan Hendler noted that the association created the billsin response to consumer concerns over the use of aftermarket partsin the repair of their vehicles. According to reports from WMABAmember shops, more and more vehicle owners are facing situationswhere they feel they are not being made whole in the repair processunless they pay extra money out of pocket for the difference in costfor OEM parts. This kind of expenditure is especially difficult forcustomers already struggling to pay their insurance deductibles.Additionally, delays caused by shops having to wait for bids to

return through insurer-mandated parts procurement systems likePartsTrader (through State Farm) are already leading to consumersbeing upset that the repairs are taking longer than anticipated. Onthe shop side, Hendler has received reports from repairers that theyare being prevented from utilizing the parts suppliers of their choice.

“[Shops] are saying, ‘I’ve had lifelong relationships with thesepeople, and all of a sudden this insurance company is saying I can’torder from them unless [the order] goes through this system. It’s tak-ing longer and longer, and I’m not able to get started on the carsquickly,’” explained Hendler. “With those issues, the length [of re-pairs] in the shop equates to delays for [the vehicle owner]…Wehave made the consumer – the constituent – the primary backboneof what we’re trying to do here. It’s all about them.”

One of the House Bill’s strongest supporters, Delegate Mark N.Fisher (R-Calvert County) told attendees that his support ofWMABA’s efforts was a family affair. With his father, uncle andcousin – all veterans of the collision repair industry – at his side,Fisher shared the frustration he feels over the difficulties facing autobody businesses in his state.

“[The insurance companies] have separated the industry,” headded. “They say, ‘We’re going to go over to these [DRP] bodyshops and separate them and pit them against their competitors.’That’s wrong; what it has done is separate the industry so it isn’tunited when we have bills like this.”

Delegate Richard K. Impallaria (R-Baltimore & Harford Coun-ties), a former body shop owner and insurance adjuster, encouragedthe WMABA members in attendance to get to know their elected offi-cials and ask for their support.

“When you go up to them, don’t be afraid to say, ‘Look, I knowinsurance companies support you heavily. But just because theysupport you heavily doesn’t mean you have to vote with them 100percent of the time. Why not just vote with them 98 percent of thetime? If you care about small businesses, which body shops are,give us a shot,’” he said.

Later in the meeting, Hendler shared her thoughts on the recentSenate and House hearings that WMABA attended in support of thelegislation (see page 36). Despite strong push back from insurersand aftermarket parts suppliers, the association succeeded in sepa-rating fact from fiction.

“The opposition did try to make the case that it’s going to raiserates,” she explained. “I think we did a fantastic job in the hearing ofshowing that this was not the case. In everywhere else this same

ALLIES IN ANNAPOLIS:Support Grows for WMABA’s ConsumerParts Choice Campaign By Joel Gausten


29April 2014

legislation has been in place, it’s definitely not changed rates. And it’snot about the OEMs trying to create some kind of monopoly; it has noth-ing to do with that. It has to do with us, as the individual shops in themarket, seeing this as an issue for our customers. It’s about being awhistleblower; it’s about protecting their investment and making surethey’re made whole post-claim.”

One of Maryland’s most revered senators, Senate PresidentThomas V. “Mike” Miller Jr. (D- Calvert & Prince George’s Counties)made it clear that he was happy to work with the bill’s proponents indemonstrating bi-partisan support for WMABA’s initiative.

“We’re both supportive of small businesses, especially in thesetough times,” he said. “It’s always difficult for your industry to turn aprofit; at least [this will] give you a fighting chance…Mark and I are goingto stand shoulder to shoulder so we can move forward on this issue.”

Delegate Fisher’s uncle, Dave Fisher Sr. of Dave’s Collision Centerin Baltimore, echoed Senator Miller’s concern for the economic survivalof small businesses.

“I don’t think you can understate the importance of this to makesure that insurance companies’ intrusion into our business is blocked,”he offered. “An automobile is your second-largest investment, and [we]need capital and money to buy the equipment to repair it properly. If youhave insurance companies steering all their good work to other shops,then you’re left with picking what’s left over.”

staying the CourseSpeaking with Hammer & Dolly following the Lobby Day event,

WMABA President Don Beaver felt confident that passage of the legisla-

tion would provide relief to a motoring public that has been pressured tohave their vehicles repaired below their expectations.

“At the end of the day, it’s about consumers – especially those whoare driving new cars with warranties or leased vehicles,” he said. “If af-termarket parts are used on those vehicles, they can void part of thewarranty, or be against their contract if it’s a leased vehicle. Consumersare going to be stuck with an out-of-pocket expense paying for the differ-ence between aftermarket and OEM parts.”

Additionally, Beaver is quick to dispel the myth that this push in An-napolis is merely a way for OEM parts suppliers to build a monopoly inthe marketplace.

“There are a lot of manufacturers that are actually in the price-matching business,” he argues. “It’s not about the dollars; at the end ofthe day, it’s about putting the right part on the right car for the rightreasons.”

Beaver wants it known that this is not an anti-parts procurementprogram bill, either.

“Parts procurement programs are not a bad thing; we use them allday long,” he says. “The problem is with the mandated programs thatare so one-sided that their only job is to lower the cost that an insurancecompany pays with no thought to the repair process or how long some-body is going to be out of a car.”

Beaver’s fellow WMABA Board member Mark Schaech, Jr. viewspassage of the association’s legislation as a solution to the problemscreated when shops are forced to implement a system that offers novalue to their business’ efficiency or bottom line.

members of the WmaBa community gather in annapolis. left to right: Joey izzo (Criswell Collision Center), stan Wist (Criswell acura), Brian hagerty(Brown’s City honda), Jordan hendler (WmaBa executive director), kevin marvin (Criswell Collision Center), torchy Chandler (WmaBa vice president),Barbara Chase (sisk auto Body), mark schaech, Jr. (WmaBa treasurer) and Don Beaver (WmaBa president).

continued on page 30


“There’s already a lot of intrusion in the collision industry by theinsurance industry,” he says. “I think this was a back-breaking move bythem to control how parts are purchased, where they are purchased andat what price they’re purchased. Unfortunately for consumers, theprocesses that have been introduced so far are really time-consumingand cause incredible delays – not only on the shop side, but also for

consumers who already have pretty weak rental coverages. They end updigging in their pocket to keep the vehicle in the shop longer as delays inparts procurement get longer.”

the Battle Beyond marylandWith PartsTrader now either pending or fully live in every state in

America, shops and dealers in markets outside of Maryland are strug-gling to adapt to the drastic changes happening to the businesses. Forone prominent Virginia dealership, signing on with PartsTrader was morea matter of responding to the demands of his customers than a genuinedesire to add another process into his already-streamlined operation. Asa result of their DRP agreement with State Farm, Select Service shopsare asked to tell PartsTrader which dealers they prefer to work with, andthese dealers are later contacted with an invitation to join the system.When nearly 50 shops dropped his name, the dealership’s wholesaleparts manager had no choice but to accept an unproven and highlycontroversial product.

“They kind of have us over a barrel; everybody knows that,” he ad-mits. “You either embrace it with a warm smile or decide that you don’twant to do that anymore. You might lose some business or you mightgain some business, but you’re not going to know right away.”

At the same time, this manager is concerned how his decision touse PartsTrader will hurt his relationships with the shops that have stoodup and rejected the system.

“There have been shops that have said they will not use Parts-Trader,” he says. “That was probably something that concerned everyparts manager in the nation. I’ve heard stories where wholesale man-agers got calls from shops saying, ‘If you use PartsTrader, I’m not goingto buy from you.’”

Standing firmly between a rock and a hard place, the manager ismoving forward with PartsTrader with considerable unease.

“We don’t know yet if we’ve lost orders because of the quoting sys-tem,” he shares. “I know that we have gotten a lot of orders, but we’vealso gotten partials where they maybe bid it out to a secondary supplier.It’s probably going to take four or five months to really see what the ef-fect is on certain customers… It’s still really too early to tell. You don’tknow where [State Farm] will take their control once you give yours up. Ijust hope this isn’t a Trojan horse.”

With a huge question mark hanging over the future of parts usageand procurement, members in both Maryland and Virginia should be-come involved in the political process and reach out to the Legislaturefor assistance. As Schaech says, something as simple as a phone call toinvite an official to a tour of your shop or dealership can make all the dif-ference in the world in showing them what you do to protect consumers.

“I can tell you from experience that shops need to stay involved,and they need to get in touch with the senator and delegate and havethem to the shop to see this process,” he notes. “Show them what an af-termarket part is; show them all the differences. These [legislators] areconsumers; show them what the issues are in your shop so when itcomes time to bring your legislation forward and ask for their help,they’ve been there, done that and seen what’s going on in your repairfacility.” H&D

There’s more to the story! Turn to page 36 for a reporton the Senate and House hearings on WMABA’s Consumer Parts Choice Campaign.

Delegate richard k. impallaria (r-Baltimore & harford Counties) attendedthe lobby Day to show his support of WmaBa.

Delegate mark n. Fisher (r-Calvert County) discussed his family’s experience working in the collision repair industry.

senate President “mike” miller, Jr. offered words of encouragement to thesmall business owners in the room.

30 April 2014


If I’ve learned anything in this legisla-tive session, it is the importance of re-pairers making individual connectionswith their legislators. We had onecommittee member call his auto re-pairer and say, “I’ve heard enoughfrom these lobbyists; give me the realdeal. I know you; you fix my car and Itrust you.” This is golden!

It’s empowering to have so manyshops supporting the efforts in Mary-land, and I hope that we’ll have evenmore when this issue comes to theother legislatures in our area. We’vehad to brave a lot of snow days, andour Lobby Day was one of them. Whilethe weather surely hindered the at-tendance of repairers, our resolve toaddress the issues remained strong. Itcertainly didn’t negatively affect thosedelegates and senators who’ve beensupportive of our consumer-friendlylegislation. It was a great feeling tohave the Senate President join us tooffer his thoughts.

It is obvious when working with theselegislators that they have the con-stituent in mind. However, some oth-ers need to be convinced beyond thefunds that are given to them by ouropponents during the fundraiserseason. This is how shops and partsvendors can step up to make ourindustry more visible. Attending a leg-islator’s event is an important way forhim or her to see that we know howimportant his or her time is inAnnapolis or Richmond.

Mark Schaech, Jr. and our ImmediatePast President Torchy Chandler havebeen longtime advocates of invitinglegislators to come to your facility andsee how things work. You have theirundivided attention and can teachthem how the process works as wellas how the consumer needs to beprotected. Educating them on how weare the professionals when it comes tovehicle repair is the most importantaspect of establishing a long-termconnection.

- Jordan Hendler

Executive Director’s Thoughts

31April 2014


Nuts and bolts, tips and tricksfrom our resident industry experts.

FEATURETECHNICAL

By larry montanez iii, CDa & JeFF lange, Pe

WARNING ON ALUMINUM REPAIR:DON’T BELIEVE THE HYPE! - PART 2

last month, we addressed some commonmisconceptions and misinformation about alu-minum repair. For this issue, we’d like to continueour discussion on aluminum repair by focusing onthe equipment and training necessary to do aproper job.

To be on any one of the many aluminum collisionrepair programs, you will need to invest in equipmentand training. Generally, the repair facility will need tosend at least two technicians to do the following:

attend a specific set of i-Car classes and/ori-Car online courses (for an average of eightclasses)

Pass the i-Car steel and aluminum Weldingqualification test

Pass the ase certification tests for their jobposition (B2-B5)

Pass the oem online training classes prior toattending a specific course

Pass the specific oem aluminum weldingcertification test, iso 9606-2 aircraft aluminumwelding certification test.

Please note that this is not a “how-to” article. WE WILL NOTDISCUSS OR EXPLAIN ALUMINUM WELDING PROCEDURESAND PROCESSES. ALTHOUGH LARRY MONTANEZ IS ACERTIFIED ALUMINUM WELDER AND TECHNICIAN WITHMULTIPLE OEMs, WE WILL NOT DISCUSS THE PROCESS.THIS IS DUE TO THE FACT THAT, WHEN REQUIRED TOWELD ALUMINUM, THE REPAIR FACILITY MUST BE ON ANOEM REPAIR PROGRAM. EACH OEM PROGRAM THAT AL-LOWS ALUMINUM WELDING HAS ITS OWN PROPRIETARYWELDING CERTIFICATION TEST - ALTHOUGH ONE OEMHAS BROKEN THAT RULE, AND WE WILL DISCUSS THISISSUE IN THIS ARTICLE. ADDITIONALLY, THIS ARTICLE ISNOT A TRAINING GUIDE OR HOW-TO MANUAL; IT IS FOR IN-FORMATIONAL PURPOSES ONLY. IT IS A GENERALIZATIONOF MULTIPLE DISCIPLINES OF OEM REPAIR PROCEDURESAND REQUIREMENTS. ©thinkstockphoto.com/Edward White

32 April 2014


Some OEMs require re-testing every sixmonths, annually or bi-annually. Currently,there is no reciprocity between the OEMsfor the ISO 9606-2 test. Most of the testingis performed in the USA, but some are per-formed in Europe. These tests are extremelydifficult, can be very expensive and aretime-consuming. The shortest test is 4 daysand the longest is 10 days. Recertificationtests are one to three days, depending onthe OEM.

Technicians should be fully trained on thebasic physical properties of aluminum, as wellas be able to:

understand aluminum properties,characteristics and their differences;

Be able to identify vehicle part design(i.e. sheet, cast and extrusion);

analyze and identify damage to alu-minum exterior panels;

analyze and identify damage to alu-minum structural parts;

identify the oem repair proceduresand understand repair considerations;

understand the considerations aroundmaking repair versus replace decisions;and

understand how to perform test weldsvisually and destructively.

The repair facility will be required to pur-chase the following equipment:

1. specific structural realignment equip-ment. Currently, Celette is the most popularrequired equipment maker, followed by Car-O-Liner and CarBench. Global Jig also has afew approvals. Lately, there has been someinformation from Ford that Chief andSpanesi have approvals for the F-150 Pro-gram. 2. aluminum Pulse Welders. These ma-chines can be expensive, and in some caseshave specific OEM computerized settingsthat are loaded in the equipment’s software.Fronius, Migatronic and Wieländer Schill arethe most popular required welders. One pro-gram lists specific Miller and Lincoln weldersin addition to the ones mentioned here.

3. Curtained-off clean area, clean room or adedicated “aluminum only” repair building. 4. Specific rivet guns, hand tools, glasstools, OEM-specific specialty tools, dedi-cated aluminum body repair tools and mis-cellaneous tools.5. Subscriptions to the OEM-specific websitefor repair information.

Additionally, the shop is subject tosurprise inspections by the certifying body.

As you can see, aluminum repair requiresa very specific set of tools, training and a com-mitment by not only the repair facility, but bythe technicians, too. The average cost to starton one of these programs can be around$70,000 for the simpler programs to more than$250,000 for the high-requirement programs.Once you are on one of the programs, otherprograms might be easier to get on and in turnbe less expensive, as there may be duplicateequipment requirements. Another option is tomake a deal with a certified shop. This may beyour best option, as you retain your customer,ensure the proper repairs were performed andhave a certified repair facility’s invoice to guar-antee the workmanship.

So should you or should you not invest inaluminum repair? We would recommend thatyou make a move towards the investment. The2015 Ford F-150 is already constructed with analuminum upper body structure. GM recentlyannounced that the GMC 1500 and ChevroletSilverado will be aluminum in 2018, as well.How long before we see aluminum Mustangs,Focuses, Impalas, Cadillacs and other Ameri-can vehicles? Being ahead of the learningcurve is important. We all must remember thataluminum repair requires much more skill andtechnique than steel.

Besides I-CAR classroom training, thereare other training options. P&L Consultants of-fers a six-hour, hands-on aluminum outer bodypanel repair workshop. We know this is notwhat everyone wants to hear, but it is what it is.If you do not invest in the training and equip-ment, you may not be in business anymore asyou will be left behind.

Opting to repair cosmetic damage only isreally not an option, as many times the repairsrequire some structural work. Not only do the

technicians require new tools, equipment andknowledge, but the damage assessors willrequire the same training to understand all theprocedures and precautions. A three-hour dentrepair to a steel panel may be eight to 10 hoursor even unrepairable on an aluminum panelwith the same damage severity. Being able tounderstand what it takes to repair aluminumcomponents will be paramount in six years;you need to invest in education now.

We hope this article has helped the indus-try to better understand some of the prevalentissues involved in repairing aluminum cosmeti-cally and structurally, and the commitment nec-essary to get involved with an OEM aluminumrepair program. As always, please feel free tocontact us if you have any questions.H&D

larry montanez, CDa is co-owner of P&L Consult-ants with Peter Pratti Jr. P&L Consultants works withcollision repair shops on estimating, production andproper repair procedures. P&L conducts repair work-shops on MIG & resistance welding, measuring forestimating and advanced estimating skills. P&L alsoconducts investigations for insurers and repairshops for improper repairs, collision repairability andestimating issues. P&L can be reached by contact-ing Larry at (718) 891-4018 (office), (917) 860–3588(cell), (718) 646–2733 (fax) or via email at [email protected]. The P&L website iswww.Pnlestimology.com.

Jeff lange, Pe is president of Lange TechnicalServices, Ltd. of Deer Park, NY. Jeff is a LicensedNew York State Professional Engineer who special-izes in investigating vehicle and component failures.Lange Technical Services, Ltd. is an investigativeengineering firm performing forensic vehicle exami-nations and analysis for accident reconstruction,products liability and insurance issues. Jeff can bereached at (631) 667-6128 or by email [email protected]. The Lange TechnicalServices, Ltd. website is www.langetech.net.

33April 2014

With the advancement of all-aluminumstructures in America’s most popular vehi-cles, repairers will need to address thoserepairs now. Will you make the investmentinto properly fixing these cars and trucks,or will you have to turn away repairs tosomeone who has? - Jordan Hendler



34 April 2014


35April 2014


The Legislature takeson the parts battle.

POWERTRUTH

WMABA Advocates Consumer Choice in Senate & House Hearings

:OF

the truth will set this industry free.Despite some strong (and at times surreal) opposition from insurers and aftermarket parts suppliers,

WMABA continues to gain momentum throughout the Maryland General Assembly in support of Senate Bill 487and House Bill 574, which seek to prohibit insurer mandate of aftermarket parts for the first three years of thevehicle as well as the mandate by insurers for particular procurement processes or vendors for parts or materi-als. This fact was made abundantly clear during the Senate and House hearings on the bill on February 18 and21, respectively. As you’ll read in this feature, association representatives and other bill supporters held theirown against some fierce – and, at times, highly questionable – arguments from the other side.

36 April 2014


FEATURESPECIAL

By Joel Gausten


37April 2014

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Want to watch the hearing(s) and see it for yourself?Go to http://wmaba.com/legislations/ and clickthe Maryland tab for links to both the Feb. 21 HouseEconomic Matters committee and the Feb. 18Senate Finance committee hearings. You will notbe disappointed!


38 April 2014

the scene at the senateA staunch supporter of the WMABA Parts Bill, Senator John C.

Astle got the ball rolling at the Senate Finance Committee’s hearing byinforming his colleagues of the strong consumer protection elements ofWMABA’s current legislation.

“If we go out and purchase a new car covered by a warranty, andthen we have an accident [and] the body shop replaces those originalparts with aftermarket parts, oftentimes the warranty doesn’t cover it,” hesaid. “That becomes a problem, and with leased cars, there are some fi-nancial obligations that you incur if you have an accident and [the parts]are replaced with aftermarket.”

Hannah Garagiola, government relations consultant for WMABAlobbyists Alexander & Cleaver, revealed that the aftermarket parts de-bate has personal consequences for her as a Maryland auto consumer.

“I recently traded in my old car, and when I asked the dealer what itwas worth… they said $400 because it had aftermarket parts on it,” shesaid.

Speaking on behalf of the WMABA membership, Executive DirectorJordan Hendler stated that the aftermarket parts issue became a majorlegislative focus for the group after numerous members came forward tosay they were having difficulty making their customers whole during therepair process.

“Consumers have invested a lot of money in a new car with a war-ranty or lease agreement, and their reasonable expectation is that theirpolicy will cover the warranty and lease agreement provisions,” she said.“If these parts are used in this process, [consumers] are not made wholeunless they pay the difference. Consider yourself in [this] hardship:You’ve wrecked your car, you take it to the body shop, [and] you have a$500, $1,000 or $1,500 deductible that you’re already having to come upwith…You’re usually scrambling to get that money together so you canyour car repaired, just to find out that the insurance company – regard-less of if the vehicle has 500, 1,500 or 2,000-plus miles – writes for after-market parts on their estimate for repair.”

Hendler added that this situation leads the consumer to either paythe difference or get these parts and “pay at the end” when the trade-invalue is substantially lower than anticipated.

“If it’s a lease return, that consumer is then on the hook to pay thedifference in value or to actually pay for the repair again,” she explained.“This is all above and beyond a deductible for a policy that they feltwould cover the situation that they found themselves in.”

Joe Tucker, owner of WMABA shop JT Restorations in Deale, ex-pressed his belief that the use of aftermarket parts poses considerablerisks and inconveniences for his customers.

“It is not fair to the consumer for these parts to be pushed uponthem,” he said. “Also, it takes longer to repair these vehicles, and theparts don’t fit as well as the OEM parts. Insurance companies tell me totry them on the vehicle, and if they don’t fit to go ahead and get the OEMparts. Why did they tell me that? Because they know the OEM parts fit.I’m wasting my time putting these [parts] on. Not only that, you get theconsumers who are paying for the rental or don’t have a car.”

Tucker also offered words in support of the limitations that the billsets for insurer-mandated parts procurement.

“This so-called ‘tool’ is being forced upon the DRP shops to beused,” he said. “If you don’t use this program, then you’re going to be offtheir program…This tool has canine-like teeth to it. It’s not a question ofif it’s going to bite; it’s a question of when it’s going to bite, and how hardit’s going to bite you.”

WMABA representatives have informed legislators of the delays theparts procurement bidding systems have created for consumers. If ittakes additional time to source parts, then it adds to the overall repair

time and equates to more days of rental or inconvenience to thecustomer.

WMABA Board member and Maryland body shop owner MarkSchaech, Jr. noted that use of aftermarket parts on newer vehicles de-fies current industry standards of automotive repair.

“The standard in our industry to repair a vehicle is following themanufacturer’s recommendations,” he said. “Anywhere we train in ourindustry, we’re told that the manufacturer is the default. I think all manu-facturers recommend the use of genuine OEM parts in the repair of theirvehicles.”

Additionally, Schaech explained that he has customers who chooseto use aftermarket parts sign a hold-harmless agreement stating thatthese parts could violate their lease, could void part of their warranty andwere also not crash tested like OEM parts.

“I just think it’s unfortunate that there’s not a law protecting con-sumers from forcing them to breach their lease agreements and often-times void [portions of] their factory warranties,” he said.

“When consumers are buying a car these days, they are activelylooking at the length of the warranty,” added Travis Martz, a representa-tive from the Maryland Automobile Dealers Association. “Whether or notit’s two years or six years, the price of the warranty is actually built intothe price of the car…When a customer comes in and there is an after-market part that has been put into that car and it invalidates part of thewarranty, the dealers are left with not offering the proper service theyseek [to offer] to the customers, and the customer is not getting whatthey bargained for when they first bought the vehicle because part ofthat warranty has been discredited.”

Addressing the issue of increased premiums, Hendler stated thatany concerns that the bill would raise costs for insurers were deeply un-founded.

“The Property & Casualty Insurers Association of America has a re-port from January 2013 specifically outlining aftermarket parts,” she said.“Their estimation is that if a complete ban on aftermarket parts was inplace, it would mean a 2.6-percent increase in the total liability and phys-ical damage premium…or an average of $24 per year per car.”

As the legislation only addresses the first three years of the vehicle,WMABA feels that premiums will not be affected primarily because thepolicies are more than likely priced based on use of genuine parts. Italso includes the option for the consumer to sign consent at the time ofrepair. Both clauses show an expansion of consumer options, ratherthan the reduction the opposition poses.

the opposition steps inBruce Bereano, a lobbyist for LKQ/Keystone, stressed that after-

market parts typically sell at 26 to 50 percent less than OEM productswhile offering the same quality. Additionally, he stated that many after-market parts are made in the exact same plants that produce originalequipment parts.

“The bill creates a monopoly,” he said. “It is not about capitalism.”Clarence Ditlow, executive director for the Center for Automotive

Safety, noted that there were 43 safety recalls of six million OEM auto-mobile hoods between 1980 and 2012.

“The underlying assumption of SB487 that OEM parts are superiorto aftermarket parts is simply wrong,” he insisted. “Just look at the re-calls.”

Jack Gillis, executive director of the Certified Automotive Parts As-sociation (CAPA), shared his organization’s view that the bill would se-verely limit consumer choice, create an OEM parts monopoly, restrict thecompetitive marketplace and increase costs for Maryland drivers.

“We consumers are outraged when you have a plastic bumper that


39April 2014

At press time, WMABA is still working through the voting and workingprocesses of the legislation in both the Senate and House. Only a couple ofweeks remain in the session. Tireless efforts have been continuing to notonly have legislators support the consumer issues, but to reply to all therhetoric from the opposition that is bombarding them on a daily basis. With strong support from committee members on both sides, the opposi-tion has had a hard time giving their argument legs when it has been crip-pled from the start. It was made clear during the hearings that the insureropposition will rest on their default answer to any piece of legislation thataddresses their marketplace conduct by saying that the bill will raise premi-ums – without supplying the necessary documentation to prove it. I urge allreaders to take the time to listen to or watch the audio and video record-ings from these hearings, as I think that it shows how insurers and aftermar-ket parts vendors will stretch the truth to the point of breaking just toprotect their pocketbooks.

The aftermarket parts vendors believe that the insurance industry buy-in topush their product should equate to perceived quality. Without a mandatedrecall process in place, or sufficient testing done, how can we know thatthese parts are safe - especially when considering they have problems withfit and finish, or don't even look similar in material to a genuine part? Someinsurers will even discontinue use of known unsafe parts and yet never alertthose policyholders who they know received them. By categorically ad-dressing the oppositions’ thinly-veiled attempts within our own testimony,the association was able to effectively show the committee members howthis important consumer legislation is only being opposed by those whoprofit off the backs of the collision repair industry and, for that matter, theirown customers. For this legislation, our association is the “whistleblower”and can stand up to these unfounded remarks because it’s the right thing todo for the consumer.

- Jordan Hendler


can cost as much as a refrigerator [and] a fender that can cost as muchas a laptop computer,” he said. “Why does that exist?”

Additionally, Gillis urged the Committee to question the collisionindustry’s assertion that the use of an aftermarket part would void avehicle’s warranty with the original manufacturer.

“The Federal Magnuson-Moss Warranty Act prohibits the tying of apart to the original product’s warranty. It’s absolutely illegal,” he insisted,adding that a non-OEM supplier should be held responsible if its part isdetermined to have caused the failure in another part, but that a war-ranty is not voided simply because an aftermarket part is used.

Gillis’ characterization is only partly true; it does not void the manu-facturer warranty in whole, but those parts replaced with non-genuineparts will not be covered. Hendler contends that consumers had a war-ranty entirely intact prior to the collision. Part of getting them back to pre-accident condition is not diminishing the value of their vehicle orreducing the warranty coverage they already had. This isn’t about repair-ers doing something wrong, but more about what is the right thing insur-ers should be doing.

On the subject of insurer-mandated parts procurement, State Farmlobbyist Marta Harding noted that the parts vendor provisions under at-tack by WMABA’s bill have been in place in the State Farm Select Serv-ice contract since 2007, adding that shops agree to these terms on astrictly voluntary basis.

“[There] is a group of about 200 body shops in Maryland that havevoluntarily applied to be a Select Service shop, have met the criteria andhave entered into a contract with State Farm guaranteeing certain thingsthat you wouldn’t get in a typical repair shop situation,” she said. “It istotally voluntary; if they are unhappy with the terms of that relationship,they can terminate it at will and continue to serve State Farm customerswho did not opt to use Select Service shops.”

round twoThe debate over the WMABA Parts Bill carried over into a February

21 hearing before the House Economic Matters Committee. DelegateJohn A. Olszewski, Jr., the bill’s sponsor on the House side, made itclear from the beginning that this was a consumer-based legislativeeffort.

“As we all know, if we have an accident with a new vehicle, firstwe’d like to think that we’re entitled to legitimate manufacturer replace-ment parts,” he noted. “Moreover, we trust that those who are doing thework on our cars are best equipped to decide and know what’s best for

the consumers – not anyone else.”Similar to their displays at the Senate hearing, members of the

opposition turned out to the House hearing in full force. In his returnperformance on behalf of LKQ, Bereano suggested that concerns overaftermarket parts were a matter of misunderstood terminology.

“‘Aftermarket part’ only means when it was manufactured; it wasmanufactured after the car originally was put together and sold,” he rea-soned. “It does not mean – as the proponents [of this bill] are indicating– that it’s an inferior and less safe or less substantial part than theOEM.”

Kimberly Robinson, a representative from USAA Insurance and theMaryland Insurance Alliance, argued that auto insurers already providefor the use of OEM because consumers can purchase an endorsementfor OEM in their policies - thus leaving the choice up to policyholdersand fostering a more competitive marketplace.

“They’re not cookie cutter policies,” she explained. “Insureds canlook for the features that are most important to them when they maketheir purchasing decisions.”

Gillis added that passage of the bill would actually harm the busi-ness lives of Maryland collision repairers, saying, “One of the most per-plexing aspects of this bill is that body shops supporting it will losebusiness because they will have fewer vehicles to repair as more carsare totaled.”

Despite this testimony, Delegate Delegate Richard Impallariaremained unimpressed.

“Let’s be honest here…You guys have not produced informationshowing what your crash tests are [for aftermarket parts], and no onehas produced any information here on how it’s going to drive up the [pre-mium] rate,” he said. “And this great monopoly of car dealers who aregoing to make a fortune? I don’t see any of them sitting here.”

Gillis responded to the Delegate’s critique by stating that he wouldsupply the requested information to the Committee on behalf of his or-ganization.

Laura Gay, owner of Fort Washington Auto Body in Oxon Hill andSullivan Auto Body in Sunderland, testified on behalf of the opposition,supporting the removal of the three-year prohibition on aftermarketparts. However, she testified in support of the parts procurement portionof the bill, stating that she has been successfully using OEConnectionfor nearly a decade and didn’t see a legitimate need to have anothersystem implemented at her businesses.

“We’re efficient; we do a very good job of getting our parts ordered,”



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41April 2014

she offered. “We haven’t had any issues withthat, and we really don’t need anyone comingin and telling us how to do that. It is correctthat [PartsTrader] is completely optional, but ifI decide to tell State Farm or any other insur-ance company that chooses to do it [that Iwon’t use it], obviously I’m going to see lesswork…I can’t afford to tell State Farm ‘nothank you,’ because I need their business.”

shop Floor struggles As the aftermarket parts and insurer-

mandated procurement issues continue togrow in the Maryland Assembly, repairers inother markets are experiencing their own fairshare of woes when using non-OEM prod-ucts. A parts supplier who serves customersin Northern Virginia and surrounding areas,Rick Polansky of B&H Auto Parts and Para-dise Auto Parts says that shops throughoutthe region are facing considerable obstaclesin trying to get vehicles back on the roads in atimely manner while using the parts written byinsurers.

As he explains, “[Shops] say, ‘We haveto order a hood and wait for it to come in. Wego to bolt it on and we see that the bolt holesdon’t align, and we’re being forced to usethese aftermarket parts on vehicles that arethree to five years old, and it’s just not whatthe OEM manufacturer used on this vehicle inthe first place. How can we be proud of ourwork and say that we’re repairing a vehicle topre-collision status using parts that aren’tmade by the manufacturer and are of inferiorquality?’”

Like many parts professionals servingVirginia and Maryland repair facilities, Polan-sky is skeptical of the arguments made by theaftermarket representatives at the recentSenate and House hearings.

“Aftermarket parts do have a place in themarketplace, but it’s mainly on older vehiclesor vehicles that have been declared a totalloss [and] received a salvage certificate – andif the customer wants to repair it at a signifi-cantly lower cost, is not worried aboutpreserving the integrity of the vehicle and justwants to get the vehicle back on the road,”he says.

Regardless of where the Parts Bill cam-paign goes from this point, WMABA has al-ready succeeded in shining a penetrating lighton some of the repair industry’s most frustrat-ing issues. The truth is out there, and perhapsthat’s the greatest victory of all. H&D

continued from page 39SPECIAL FEATURE


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”

PRESIDENT: Don [email protected]

443-539-4200 ext. 17061

VICE PRESIDENT: Torchy [email protected]

410-309-2242

SECRETARY: John [email protected]

703-534-1818

OFFICERS

BOARD OF DIRECTORS

Rodney [email protected]

410-969-3100 ext. 250

EXECUTIVE DIRECTOR: Jordan Hendler

[email protected]

PAST PRESIDENT: Barry [email protected]

804-746-3928

Mark [email protected]

703-671-2402

Kevin [email protected]

301-336-1140

Bobby [email protected]

434-767-4128

Just like equipment and training, WMABA membership is notonly a commitment to excellence, but also a valuable investment.

WMABA is recognized both regionally and nationally as the keyforum for the exchange of ideas concerning the D.C., MD, and VAcollision repair industry. It is the venue to discuss, learn about andimpact evolving standards and policies in the technical, administra-tive and legislative fronts of our industry. Shops and industrysupporters can best develop themselves and their employees byactively engaging in the association and its activities.

Automotive collision repair facilities in Maryland, Virginia andWashington, D.C. who are willing to adopt WMABA’s Standards ofMembership and offer a guarantee to their consumers areencouraged to engage their business as an active member of theassociation. For over 40 years, the WMABA membership of profes-sional collision repair businesses and affiliates have committed tooperating at a higher standard on behalf of their industry and theirconsumers. Over the years, WMABA has proudly represented the col-lision repair industry at hearings on Capitol Hill, in Annapolis, MD,and Richmond, VA as well as almost every national collision repairevent. While WMABA has a rich history of dedicated men and womenserving the local collision repair community, WMABA also boasts nu-merous past and current accomplished Board members who repre-sent our membership at the national level.

WMABA offers current and dynamic discussion forums on top-ics facing collision repairers, technical information and educationalseminars, opportunities to network and discuss pressing topics withleaders of the collision repair industry, an arbitration program thatworks with consumers to help resolve issues they might have, ap-prenticeship programs, legislative representation and the ability toreceive and contribute to one of the nation’s leading collision repairmagazines, Hammer and Dolly.

Contact Executive Director Jordan Hendlerto find out how WMABA can amplify YOUR

voice in the collision repair industry. “

Position YourBusiness as a Leader!

An association fostering the exchange of ideas, and providing a voice and support for the collision repair professional.

TREASURER: Mark Schaech [email protected]

410-358-5155

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45April 2014


ADVERTISERS’INDEX

Alexander & Cleaver............................21

Alexandria Toyota ................................31

All Foreign Used Auto..........................41

Audi Group ..........................................17

Axalta Coating Systems ......................4

BMW Group ........................................24-25

BMW of Bel Air ....................................IBC

BMW of Fairfax....................................3

BMW of Rockville ................................IBC

BMW of Towson ..................................IBC

CAPA ..................................................43

CCC One ............................................7

Chesapeake Automotive Equipment ..46

Empire Auto Parts................................31

Future Cure ........................................26

Honda Group ......................................9

Hyundai Group ....................................11

Koons Ford ..........................................18

Mazda Group ......................................40

MINI Group ..........................................13

MINI of Baltimore County ....................IBC

Mitsubishi Group..................................27

Mopar Group ........................................6

Nissan Group ......................................45

O’Donnell Honda ................................41

Packer Norris Parts ............................23

Porsche Group ....................................19

PPG ....................................................IFC

P&L Consultants..................................34

Russel Toyota ......................................21

Safety Regulations ..............................46

Subaru Group......................................42

Tire Distributors Inc. ............................18

Toyota Group ......................................35

Valspar Automotive..............................OBC

VW Group............................................15

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hammer & dolly april 2014

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