AASP-MN News December 2015

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INSIDE:Repairer Driven:

The Industry Hits SEMA 2015

December 2015

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AASP-MN News2 December 2015

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AASP-MN News December 2015 3


CONTENTSVol. 23 No. 12

AASP of Minnesota is an association ofindependently-owned automo-tive service businesses and industry suppliers dedicated toimproving the state’s automo-tive service industry and thesuccess of its members.

AASP-MN News is the official publication of the Alliance of Automotive Service Providers, Minnesota, Inc. 1970 Oakcrest Ave., Suite 102 • Roseville, MN 55113 Phone:612-623-1110 • Fax: 612-623-1122 email: [email protected] • website: aaspmn.org. All rights reserved. To keep its readers better informed, AASP-MN News allowsits columnists to fully express their opinions. All views expressed are not necessarily those of the publication. AASP-MN News is published by Thomas Greco Publishing,Inc. Cover image © www.istockphoto.com.

AASP-MN BOARD MEMBERS 2015 - 2016

PRESIDENTTom Gleason

IMMEDIATE PAST PRESIDENTJerald Stiele

SECRETARY-TREASURER Greg Kasel, AAM

COLLISION DIVISION DIRECTORJim Siegfried, AAM

MECHANICAL DIVISION DIRECTORWayne Watson

ASSOCIATE DIVISION DIRECTORKevin Martin

COLLISION SEATSJoyce WeinhandlWill Latuff

MECHANICAL SEATMars Overlee

STAFFEXECUTIVE DIRECTORJudell Anderson, CAE, AAM

OFFICE ADMINISTRATORJodi Pillsbury

MEMBERSHIP COORDINATORTom Kluver

PUBLISHED BY: Thomas Greco Publishing, Inc.

244 Chestnut St., Suite 202 Nutley, NJ 07110PHONE: 973-667-6922 • FAX: 973-235-1963

PUBLISHER: Thomas Greco ([email protected])DIRECTOR OF SALES: Alicia Figurelli ([email protected])MANAGING EDITOR: Jacquelyn Bauman ([email protected])EDITOR: Joel Gausten ([email protected])ART DIRECTOR: Lea Velocci ([email protected])OFFICE MANAGER: Donna Greco ([email protected])

www.grecopublishing.com

ASSOCIATE DIVISION DIRECTOR’S MESSAGE ..........................................6Private Equities in Our Industryby Kevin Martin, AASP-MN Associate Division Director

LEGISLATIVE UPDATE ......................................................................7Preparations for 2016 Legislative Sessionby Kevin Walli, AASP-MN Lobbyist

LOCAL NEWS ................................................................................8

D.E.G. ESTIMATING TIPS ..................................................................11

NATIONAL NEWS ............................................................................14

FEATURE ......................................................................................17Repairer Driven: The Industry Hits SEMA 2015by Joel Gausten

PARTNERS IN PREVENTION................................................................21Grants Help Shops Clear the Air

CASH IN ON YOUR MEMBERSHIP!........................................................26Wipers & Wipes, Inc.


January 12&13, 2016AASP-MN Race for Automotive Education

ProKart IndoorsBurnsville, MN

April 14, 2016AASP-MN 2016 Leadership Conference

Ramada PlazaMinneapolis, MN

ADVERTISERS’ INDEX

AmeriPride ....................................................15Assessment Associates Internatonal ............20Axalta Coating Systems ................................OBCBlue Net ........................................................11Buerkle Hyundai............................................7Choice Auto Rentals......................................16Dentsmart ....................................................6Inver Grove Honda / Inver Grove Toyota........18Jack McClard ................................................19Keystone ......................................................18Lowell’s PCE ................................................19Maplewood Toyota ........................................20

Mercedes Benz of Maplewood ......................3Mills Parts Center ........................................16Morrie’s ........................................................9Motorwerks BMW ........................................IBCMotorwerks Mini ..........................................IBCMPA..............................................................14-15Rosedale Chevrolet ......................................15Roseville Chrysler ........................................16Straight & Square ........................................3Toyota Group ................................................4West Bend Insurance ....................................IFC

UPCOMING EVENTS

For more information, contact the AASP-MN office at 612-623-1110or visit the Association’s website, www.aaspmn.org.

The collision side of our industry continues to change at anamazing speed. This past year in Minnesota, PPG experiencedthis phenomenon up close as we witnessed several of our legacymembers sell their businesses to much larger corporations withlocations across the US. Does it seem the appetite is higher thanever to sell/buy businesses in our industry? During NACE and again at SEMA, it was common to haveor hear conversations regarding the involvement of private equi-ties. While this is not a new term, ithad minimal impact on our industrywhen I first got into the business. Ap-proximately 10 years ago, the termstarted to become more of a householdconcept in the collision industry. What exactly is private equity?According to Wikipedia, the definitionof private equity is “equity securitiesof companies that are not listed on apublic exchange.” Transfer of privateequity is strictly regulated, thereforeany investor looking to sell his or her stake in a private companyhas to find a buyer in the absence of a marketplace. Returns onprivate equity generally occur in three ways: A merger or sale, aninitial public offering or a recapitalization. What drives a private equity firm? Those involved in the pri-vate equity business look for companies or industries that theybelieve have opportunities for significant returns on the invest-ments they make into the business. This is done by improvingoperations, cutting costs and tightening management. They do not

get involved in the daily operations of the business, but generallyare on the board of the companies they invest in and provide ad-vice and support in order to work on improving operations and fi-nancial management. What is the goal of private equity companies? The goal is tosell off their investment at a substantial profit. Typically, they willsell off the company or companies they purchase three to sevenyears after the original investment, but it could be shorter or take

longer depending on the strategic cir-cumstances. The main sources of valueare captured at the exit and includegrowing revenue substantially duringthe holding period, cutting costs andoptimizing working capital - and there-fore increasing Earning Before Interest,Taxes, Depreciation and Amortization(EBITDA). Consequently, they are sell-ing the company at a higher multiplethan the original acquisition multiple,and paying down debt that was initially

used to fund the transaction. Private equity will continue to impact our industry for theforeseeable future. The impact provides both challenges as wellas opportunities. Those that struggle with change will have a dif-ficult time with our industry as it continues to evolve quicklyunder the increasing influence of private equities. There will,however, continue to be opportunities for those that embracechange and use it to their advantage.

6 December 2015 AASP-MN News

Private Equities in Our Industry

ASSOCIATE DIVISION DIRECTOR’S MESSAGE

by Kevin Martin,AASP-MN Associate Division Director

Preparations for 2016 Legislative Session

LEGISLATIVE UPDATE

by Kevin Walli,AASP-MN Lobbyist

As we are facing a very narrow win-dow to move the AASP-MN insurerclaims practices reforms, we need to fol-low a very precise course. The AASP-MNlegislation would prevent “steering for es-timates” and would prohibit insurers frommandating that shops “utilize specific ven-dors, distributors, manufacturers, suppli-ers, business platforms or internal pro-cesses in order to carry out vehicle repairsfor an insured or claimant.” The bestchance for success would be for us toreach a positive breakthrough in theHouse, where we have not yet had a hear-ing on our Bill. In the coming weeks, we will be ap-pealing to House Commerce CommitteeChair Representative Joe Hoppe to

schedule a hearing on the Bill. Based onour meetings with House CommitteeMembers in 2015, we believed we had thevotes to pass the Bill through Committee.Chair Hoppe was not convinced andwanted more discussion – and even com-promise – between the repair shops andinsurers. We will be expected to invite morediscussion with insurers, but while wewelcome talks on these issues, we havealso been careful to note that finding a“peace in the valley” amendment in thiscase may not be possible. If we can’t find a compromise andcan’t get our hearing in the House, we canstill work on a Senate strategy to move the Bill by adding it to a larger, more

comprehensive Omnibus Bill. This is theapproach that we took in 2015. The chal-lenge, of course, comes back to reaching aconsensus on the language in the SenateOmnibus Bill – which may be particularlydifficult, as we have previously tried andfailed to convince key House Members toadvance our Bill. AASP-MN has our work cut out forus. But we’ve had to work hard for manyof our past successes at the Capitol andthis is no different. Persistence has been aparticular attribute of the AASP-MN Gov-ernmental and Regulatory Affairs Com-mittee. We are still hopeful that ourpersistence will pay off in 2016.

December 2015 7AASP-MN News

FOOSE VISITS CRYSTAL LAKE AUTOMOTIVE On October 15, the staff and crew at Crystal Lake Auto-motive in Lakeville received a visit from Chip Foose, owner andchief designer of Foose Design and star of TV’s Overhaulin’.The appearance was sponsored by 3M, who partners with Fooseto promote its line of automotive aftermarket products, includingthe company’s collision repair products and systems. While at the shop, Foose gave a brief speech outlining hiscareer and fielded questions from technicians and guests. Hedemonstrated 3M products and donated samples to the shop. Fol-lowing, he interacted directly with technicians, posed for photosand sketched on tool-boxes. One lucky em-ployee received apersonalized sketch ofhis own car. Foose also visitedthe Newgate School inMinneapolis, where heperformed demonstra-tions, interacted withstudents and signedautographs. Each stu-dent received a giftbag containing Cubi-tron II samples, Fooset-shirts, an auto-graphed photo and 3Msafety glasses andhearing protection.Newgate is a non-profit automotive tech-nical school thatprovides free, hands-on training to unem-ployed and under-employed adults. Foose capped offhis stay in the TwinCities as the guestspeaker for 3M’s Au-tomotive AftermarketFall United Wayfundraising event.

WRITE IT RIGHT: ESTIMATING BEST PRACTICESSEMINAR A SELL-OUT!

On November 10, over 80 industry professionals gatheredat the Radisson Hotel in Roseville to hear industry expert MikeAnderson present “Write it Right: Estimating Best Practices.”The seminar, a joint endeavor of AASP-MN and Axalta CoatingSystems, was a great success, boasting a sold-out crowd. The seminar provided attendees with information and re-sources to support and justify their position on what it takes to re-store a vehicle back to its pre-accident condition. Highlights ofthe seminar included:• Tools to help identify not-included items, such as the DEG

website, ASA Not-In-cluded Guides andthe SCRS Guide toEstimating;• How to use ne-gotiation tools withinsurers and get paidfor hotly-contesteditems, such as prep-ping raw plastic,blend within a panel,“feather, prime andblock,” masking op-erations, weld burndamage and more;• How to improvephoto quality;• Utilization ofline notes;• How to write adamage analysis inconjunction with100-percent disas-sembly;• The importance of OEM Information and where to find it;and• Key performance indicators (KPIs) to monitor when auditingthe quality of estimates. Attendees raved about Anderson’s presentation and the in-

formation provided in the seminar. One attendee stated, “Wow!Best instructor I’ve seen in 30 years!”

CALL FOR NOMINATIONS AASP-MN is looking for automotive industry professionals

who are interested in advancing the industry by serving in lead-ership positions on the Association’s Board of Directors and Ad-visory Committees. A number of positions will be open on the Collision, Me-

chanical and Associate Advisory Committees, as well as theGovernment and Regulatory Affairs Committee. There will alsobe two seats open on the AASP-MN Board of Directors, one col-lision and one mechanical. If you have a personal interest or would like to nominatesomeone else, contact Nominating Committee Chair Jerald Stieleat (952) 935-7556 or the AASP-MN office at (612) 623-1110 or (800) 852-9071. Nominations must be received by December 31.

DATES SET FOR 2016 AASP-MN RACE FOR AUTOMOTIVE EDUCATION FUNDRAISER

The 14th annual AASP-MN Race for Automotive EducationFundraiser is planned for January 12 & 13, 2016, at ProKart In-door Racing in Burnsville. AASP-MN members and other indus-try supporters will organize teams to compete in an evening ofgo-kart racing at speeds of up to 40 miles per hour! Teams pay anentry fee, with all proceeds directly benefiting automotive stu-dents and programs in Minnesota.


LOCAL NEWS

Chip Foose, star of TV’s Overhaulin’,visits Crystal Lake Automotive and theNewgate School while in the TwinCities.

Industry expert Mike Anderson, Collision-Advice, presented “Write It Right: Estimat-ing Best Practices” to over 80 industryprofessionals.

Save the Date!AASP-MN Annual Meeting &

Leadership Conference“Lead the Way”April 14, 2016Ramada Plaza

1330 Industrial Blvd.Minneapolis, MN

Watch for details as they become available in future issues of AASP-MN News and on the Association’s website, www.aaspmn.org.


The AASP-MN Automotive Education Fundwas established in 2002. The fund provides fi-nancial resources to support automotive students,enhance automotive programs and raise aware-ness of career opportunities in the independentautomotive service industry. Scholarship awards are a primary compo-nent of the AASP-MN Education Fund. To be el-igible, students must be entering the second yearof a two-year, NATEF-certified automotive pro-gram (collision or mechanical) in the state ofMinnesota. To date, nearly $176,000 in scholarships hasbeen awarded to automotive students in Min-nesota.

INTERNSHIP SITES NEEDED The collision repair faculty at HennepinTechnical College is seeking help from localarea shops in providing students with internshipopportunities. Internships expose students tomeaningful learning experiences that enhancethe relevance of what they are learning in theclassroom, while advancing their technical com-petency. The internship program runs from February1 to March 25 for the Brooklyn Park campus and March 21 to May 13 for the Eden Prairiecampus. If you are interested in helping a student getsome hands-on experience in a real-world envi-ronment while gaining a little extra help aroundyour shop, contact Tom Phillips at the BrooklynPark campus at [email protected] or(763) 488-2473, or Mike Netzinger at the EdenPrairie campus at [email protected] or (952) 995-1563.

continued on page 10

HAVE A SAFE ANDHAPPY HOLIDAYSEASONFrom the AASP-MN Board of

Directors & Staff:Tom Gleason, Pro-Tech Auto & Truck,President Greg Kasel, AAM, Downtown Tire &Auto, Secretary/TreasurerJerald Stiele, Hopkins Auto Body, Immediate Past PresidentKevin Martin, PPG Industries, AssociateDivision DirectorJim Siegfried, AAM, Crystal Lake Automotive, Collision Division DirectorWayne Watson, Auto Works Diagnostics& Repair, Mechanical Division DirectorJoyce Weinhandl, Twin City Auto Body,Collision SeatMars Overlee, Rick’s 36 Automotive Services, Mechanical SeatWill Latuff, Latuff Brothers, CollisionSeatJudell Anderson, AAM, Executive DirectorKevin Walli, LobbyistJodi Pillsbury, Office ManagerTom Kluver, Membership Coordinator

continued from page 9


LOCAL NEWS

Gold SponsorsAutoshop Solutions

Auto Value Parts Stores & APHAxalta Coating Systems

PPG Automotive Finishes

Silver Sponsorsaaa Auto Parts

CBIZ AIAInver Grove FordLKQ/Keystone

Lowell’s Performance CoatingsMeadowbrook InsuranceMidwest Parts Advantage

Mitchell InternationalO’Reilly Auto PartsPAM’s Auto, Inc.

Suburban ChevroletUnited Fire Group

Program Sponsors3M

AASP NationalCARQUESTCBIZ AIA

CBIZ PayrollDent Impressions

IDENTIFIXRobert Bosch, LLC

Hospitality SponsorsAmeriPride Services

BASF Automotive RefinishCCC Information Services

Choice Auto RentalDentsmart PDR

Enterprise Rent-a-CarNet Driven

Norton AbrasivesSingle Source

Sherwin-Williams

Welcome New Members:NOVEMBER 2015

A FINAL SHOUT-OUT TO OUR 2015 SPONSORS

Our sponsors play a key role in ourorganization. They support us. They pro-vide us with extra resources that areneeded to provide our members with

exceptional programs, education and net-working opportunities. They help us tokeep our costs and fees reasonable and af-fordable. Please acknowledge those com-panies that support us in this way.

Braith Auto RepairNew Prague

Cartier Agency, Inc.Duluth

Estify, Inc.Agoura Hills, CA

Finishing Touch Car CareOakdale

Insurance Brokers of Minnesota/Jensen Agency

Minneapolis

Jake’s North Saint Paul AutomotiveNo. St. Paul

Little Falls Auto & TransmissionLittle Falls

NStar EnterprisesCorcoran

Little CanadaLake Street - Minneapolis

Portland Ave - MinneapolisRed Wing

St. Cloud Collision CenterSt. Cloud


Frequently Asked Questions in the Audatex P-Pages - Section 5-2 of theAudatex Database Reference Manual (DRM) covers 40 questions that youmay find helpful during the estimate or repair process. Does bagging and masking include the cost of the bag? When you replace a floor pan with Audatex, does the paint labor allowance include both sides of the pan or just the part inside the trunk? These are just a couple of questions that are answered in the FAQ sectionon pages 176-184 of the DRM. If you do not have a copy of the AudatexDRM, the MOTOR Guide to Estimating or Mitchell’s Collision EstimatingGuide, you can visit the DEG website and links to all three estimating sys-tem resources can be located at the top of the page.Bleeding The Coolant System - After the replacement of a coolant com-ponent, it may be necessary to remove the air from the system, or “bleed”the system. This process may require opening a valve to remove the air,similar to a brake caliper, but can require the more complex procedures ofattaching a vacuum machine and/or following more detailed OEM-specificinstructions. These procedures are “not included” operations with Audatexand Mitchell estimating software. This can be found in the proceduralpages of both products, and also in DEG inquiries 3761 and 3851.CCC/Motor states this operation is included with the labor of the coolantpart. If you are replacing a coolant part in CCC and do not think the time isadequate to replace the part AND bleed the coolant system, you can submitan inquiry to the DEG to address with CCC. Submit an inquiry by visitingthe DEG website and clicking the green arrow that says “Open Inquiry.” Car Cover in CCC - During the repair process, it may be necessary tocover the vehicle to prevent overspray. This operation may be performedmultiple times and each time you cover the vehicle and then remove thecover, a labor value of .2 is allowed. CCC/Motor states in DEG inquiry number 8533: “Since the operation maybe performed multiple times during any given repair process, an on-the-spot evaluation is required to determine how many times this operationshould be utilized, and who should perform this operation.”

Furthermore, the inquiry states that the material costs are not included inany labor time and that material costs and cost categories must be deter-mined by the repair facility.Not Every Chipguard is the Same in Audatex – Replacing the chipguardon a vehicle may require additional operations that are specific to a particu-lar vehicle. Audatex states “Chipguard defines the Audatex automated for-mula for this operation. When special requirements are needed for aspecific vehicle, the estimator would have to account for those require-ments manually. No changes warranted at this time” (per DEG Inquiry8452). Collision Access – Before starting repairs or even starting the estimate, itmay be necessary to cut, push or pull damaged panels to gain access to thevehicle. This is a not-included operation in all three estimating systems. Audatex – Located on Page 54 under labor exclusions in the DatabaseReference Manual is: “Additional labor for removal of parts that have beenimpeded by crash damage (access labor). (Standard Manual Entry M62 isavailable.)” CCC – Page G-10 of the Motor Guide to Estimating under “TimeDoes Not Include” states: “Cutting, pulling or pushing collision damagedparts for Access.” Mitchell – Shown in Additions to Labor Times on page P3 of theMitchell Estimating Guide is: “Access Time – Remove extensively dam-aged parts by cutting, pushing, pulling, etc.” The estimating databases are all intended to be used as a GUIDE ONLY –it is important to remember that the auto body professional performing therepair is in a position to thoroughly inspect, diagnose and identify themethodology and their unique cost of the vehicle damage repair.

You can view these tips and others on the DEG website, www.degweb.org.

ESTIMATING TIPS



NATIONAL NEWS


AUTO CARE ASSOCIATION ALERTS HOUSE TO ANTI-COMPETITIVE LANGUAGE IN VEHICLE SAFETY BILL On October 21, the House Commerce, Manufacturing andTrade Subcommittee of the Energy and Commerce Committeeheld a hearing on “Examining Ways to Improve Vehicle andRoadway Safety,” with the recently-released National HighwayTraffic Safety Administration (NHTSA) discussion draft bill atthe core of the session. The AutoCare Association is highly con-cerned with certain language in thedraft legislation and has let the sub-committee know that the draftcould have serious anticompetitiveconsequences for the independentauto care industry. The discussion draft wouldcreate unprecedented rules at theNational Highway Traffic SafetyAdministration (NHTSA) regard-ing hacking, cybersecurity and ad-vanced vehicle technology. In aletter to the subcommittee, the AutoCare Association warned that pro-visions in the draft vehicle cyberse-curity legislation could provide carcompanies with “full control over who has access to key vehiclesystems, many of which are needed for repair purposes.” Specifi-cally, the association called on the subcommittee to:

1. Redraft language that would make it “unlawful for anyperson to access, without authorization, an electronic controlunit (ECU) or critical system of a motor vehicle, or othersystem containing driving data for such motor vehicle, eitherwirelessly or through a wired connection.”2. Add mandatory seats for auto care industry representativeson the newly-proposed Advisory Committees that will be re-sponsible for drafting best practices and security policies forvehicle cybersecurity issues and advanced vehicle technolo-gies.

Although much of the hearing was informational in nature,Rep. Joe Kennedy (D-Mass.) did ask representatives from boththe Federal Trade Commission and NHTSA how the legislationwould impact the vehicle repair industry. Unfortunately, neitheragency had a satisfactory response. The Auto Care Association is asking all industry memberswith elected officials on the subcommittee (none of which arefrom Minnesota) to contact their representative and make knowntheir concerns with the bill. While there is no word on when thesubcommittee will take next steps on this legislation, it is criticalthat these members of Congress hear from constituents in the in-dustry as soon as possible. For questions or information on how to get involved, contactSheila Andrews at [email protected] or DavidPinkham at [email protected].

CONSUMERS GRANTED EXEMPTION FOR VEHICLEMODIFICATION – REPAIR INDUSTRY EXCLUDED

In late October, the US Copyright Office issued a final rulingthat will allow vehicle owners to perform vehicle diagnosis, re-pair and modification without fear of prosecution under the Digi-tal Millennium Copyright Act (DMCA). The Copyright Office declined to provide exemption to third

parties who diagnose, repair ormodify a vehicle on behalf of thevehicle owner. The Copyright Of-fice concluded that covering thirdparties would require a legislativeamendment undertaken by Con-gress. Access to a vehicle’s tele-matics or entertainment system wasalso excluded from the exemption.

In a statement released in re-sponse to the publishing of theFinal Rule, the Auto Care Associa-tion indicated it is very concernedthat the Librarian of Congress didnot permit shops to circumventsoftware on behalf of the carowner. The association states,“Clearly, car owners should have

the ability to obtain the services of an independent shop for work-ing on their car if they do not have the skills or equipment toproperly perform the function themselves,” according to the asso-ciation’s official comments. The Auto Care Association also takesissue with the decision to not include telematics or entertainmentsystems, which are key to ensuring the future of a competitive re-pair industry. The association also said that the decision does not impactthe Memorandum of Understanding signed by the Auto Care As-sociation and the Coalition for Auto Repair Equality, which pro-vides a commitment by the vehicle manufacturers to provide allinformation, tools and software to independent shops for the pur-poses of diagnosing and repairing the car. The Specialty Equipment and Manufacturing Association(SEMA) also provided comments to the Copyright Office earlierthis year seeking an exemption from the DMCA for vehicle own-ers. “The issue of copyright affecting the ability to diagnose, re-pair and modify vehicles has come up recently due to the prolifer-ation of advanced vehicle technology, specifically software, inmodern vehicles,” said Chris Kersting, CEO and president ofSEMA. “SEMA has always maintained that the right to accessvehicle systems to utilize, maintain and upgrade vehicles is legalas fair use under copyright law, as are activities undertaken toachieve interoperability with aftermarket products.” The DMCA was enacted in 1998 and prohibits the circum-vention of measures put in place by a copyright owner to protectcopyrighted works. The law also includes a provision allowingthe Copyright Office to grant exemptions from this anti-circum-vention provision, and the exemption for vehicle repair, diagnosisor modification by vehicle owners was granted under this provi-sion.


LET US TURN THEMAROUND!

Contact AASP-MN NewsSales DirectorAlicia Figurelli

973.667.6922 /

[email protected]


FEATURE by Joel Gausten

From high-quality training and semi-nars hosted by the Society of Collision Re-pair Specialists (SCRS) to breathtaking hotrods and celebrity appearances, the 2015SEMA Show (November 3-6, Las VegasConvention Center) offered automotive en-thusiasts from around the world a trip theywill never forget. Over 170,000 people hitthe Show for the biggest event of its kind inAmerica. Considering all that SEMA 2015 had tooffer, it comes as little surprise that the eventboasted the strongest Collision Repair & Re-finish vendor numbers yet. Longtime AASP-MN member and SEMA veteran Peter Latuff(Latuff Brothers Auto Body) returned thisyear to once again promote Pro-Tech-It (pro-tech-it.com), a magnetic car cover productdeveloped at and marketed through his shop. “The biggest thing is getting people tosee [Pro-Tech-It] in person versus just in amagazine ad, where it’s kind of hard to com-prehend what it can do,” says Latuff on ex-hibiting at SEMA. “If they see it demoed,they look at it and go ‘Why didn’t I think ofthat?’” Looking back at another great year atthe Convention Center, Latuff remains a fanof the SEMA experience. “It’s grown every year; you can just seeit,” he says. “From when we started to wherewe are now, I would say the collision boothshave probably quadrupled...I can’t remembera year where we didn’t sell a lot of product.It’s always been a very strong venue for us.” American Honda Motor Co. took toSEMA to promote its new ProFirst Certifiedbody shop program. “The response to the ProFirst programhas been good,” reported Gary Ledoux,Honda’s assistant national manager of colli-sion parts marketing, from the Show floor. “Ithink most shops get it. I think most of themunderstand and realize that times are chang-ing; things are changing in the industry, andthey’ve got to change with it. And this is agood place to find change!” Speaking from her company’s impres-sive booth in Central Hall, BASF Automo-tive Refinish Marketing Services ManagerTina Nelles had a fantastic time at the

Convention Center. “This has been a really good week forBASF,” she said. “We had several differentactivities to expand our presence at SEMA.In addition to having our main BASF boothin Central Hall, we added a smaller booth inthe Collision Repair section that focused onour value-added tools and services. We alsopartnered with Custom Upfits in the outdoorbooth to perform spray demos. It has been anextremely busy week with a lot of excite-ment from all directions, allowing us a greatdeal of exposure. Our guests at the booth in-cluded Jay Leno, Chip Foose and RichardPetty; everyone had a lot of good conversa-tions and a great time interacting with oneanother. We’re looking forward to seeing thepositive results from our participation in thisyear’s Show.” Away from the Show floor, representa-tives from AASP state affiliates from acrossthe country gathered for the semi-annualAASP National Board meeting. AASP-MNExecutive Director Judell Anderson andmember delegates Bruce Tschida and DanSjolseth updated attendees on the Associa-tion’s many activities in recent months.Sjolseth provided an overview of AASP-MN’s ongoing work with Minnesota Careersin Automotive Repair and Service (MN-CARS) in promoting the industry to studentsthroughout the state, while Tschida discussedthe Association’s efforts to establish lawsthat would prohibit an insurer from requiringa shop to use a specific vendor or manufac-turer. In other AASP-MN news, the Associa-tion had a 94 percent retention rate for 2015,provided members with $78,000 in rebatesthrough its uniform program withAmeriPride and gave $15,000 in scholar-ships to postsecondary mechanical and colli-sion students over the last year. In Anderson’s mind, AASP-MN gains alot from having a consistent place at the tableat AASP National Board meetings. “It’s always valuable to learn about ini-tiatives and strategies employed by otherAASP affiliates,” she says. “Rarely is an industry issue unique to a particular area ofthe country, and there’s usually that ‘aha’moment when you discover an idea or tactic

that you can put to the test when you returnhome.” SEMA 2015 also demonstrated the on-going relationship between AASP and theSociety of Collision Repair Specialists(SCRS). In addition to working together inoverseeing and promoting the Database En-hancement Gateway (DEG), AASP Nationalserved as one of the sponsors of SCRS’ Re-pairer Driven Education (RDE) Series at theShow. “SCRS’ RDE Series does a great job ofproviding insight and context for the topics that are at the forefront of the collision repairindustry,” Anderson says. “The sessions are

timely and relevant. Since so many AASP af-filiates and members attend the SEMA show,it just makes sense to contribute towards ed-ucation that enhances their experience andmakes it even more valuable.” SCRS Executive Director Aaron Schu-lenburg gave a guest presentation at theAASP National Board meeting to update af-filiate representatives on the work the na-tional groups are doing together via theDatabase Enhancement Gateway (DEG) toaddress database issues with the three majorInformation Providers. These endeavors in-clude continued discussions with IPs onmore global issues as well, with topics suchas raw bumper prep, mechanical times inappropriately categorized as “body,” theability to capture specialty Labor Rates (suchas aluminum), welding times on advancedstructures, and feather, prime and block.

REPAIRER DRIVEN:REPAIRER DRIVEN:The Industry Hits SEMA 2015

continued on page 19


AASP-MN member Dan Sjolseth updated AASPdelegates on workforce initiatives in Minnesota.



Many of the more macro-level issues have been generated fromfeedback on the DEG “Top 10” list. In addition to housing inter-industry collaboration, SEMAset the stage for some of the greatest support ever shown to thevocational education community. Congratulations are in order forSaint Cloud Technical & Community College, who was one of theschools awarded a 2015 $50,000 Makeover Grant from the Colli-sion Repair Education Foundation (CREF) during a special cere-mony on November 3. A Minnesota institution since 1948, theNATEF-certified school currently boasts an industry placementrate of more than 90 percent for students in its two-year auto pro-gram. But like many schools, Saint Cloud Technical & Commu-nity College often faces challenges in building the funds neededto keep things moving forward. “It would have probably taken us five to 10 years to get thesame amount of equipment that we’re getting in one boost,” saysinstructor Dale DeRung on receiving the Grant. “We’ve tried tostay as current as we can with what’s going on in the industry.What this Grant is going to do for us, and what we asked for themoney for, was to help us get equipment and tools that wouldallow us to start teaching aluminum repair.” With the Collision Repair & Refinish section of the SEMAShow the strongest it has ever been, all signs point to an evengreater journey next year. If you’ve been to the Show in recentyears, you know how amazing it is. If you’ve never taken thatflight to Vegas in early November, you know what to do in 2016.

continued from pg. 17FEATURE



PARTNERS IN PREVENTION

GRANTS HELP SHOPSCLEAR THE AIR

This year, 13 small businesses in Minnesota got more than$500,000 from the Minnesota Pollution Control Agency (MPCA)to reduce their use of certain harmful chemicals. Twelve of thebusinesses were auto repair and body shops. Altogether, the busi-nesses will eliminate almost seven tons of volatile organic com-pounds (VOCs) every year, equal to more than 13,000 cans ofspray paint. Rupp’s Unique Auto Body in Elbow Lake used the grantmoney to switch to water-based paint. Owner Ryan Rupp saidthere was a bit of a learning curve, but now that it’s installed, helikes it much better than the old solvent-based paints. “It smells much better, unlike the solvents we’ve been using,which can give you a headache,” he says. “Another advantage isthat it dries faster. With everyone wanting things faster and fasterthese days, that’s big for us. It actually does a better job and looksbetter than oil-based paint.” Rupp estimates the new system will reduce VOC emissionsat the shop by more than 40 percent. Seven AASP-MN member shops used the grant money toconvert their shops to waterborne paint: Heppner’s Auto Body inInver Grove Heights and St. Paul, Master Collision Group inBloomington, MCP Collision Center in Annandale, Oscar AutoBody in Minneapolis, Wayne’s Auto Body in Hastings andWindy’s Collision Center in St. Paul. Dan Loock’s Automotive in Redwood Falls used a $6,000grant to buy a solvent recycler and a water-based parts washer.The recycler allows used solvents to be cleaned and reused onsiterather than disposed of. Both devices reduce the shop’s use ofchemicals. Loock is confident the new equipment will be better for hisbusiness. “I was skeptical at first. After all, the products we’d beenusing worked,” he says. But he’s sold on the new products. Thedegreasing solution in the parts washer has the added benefit of

being much less harsh on exposed skin. “When you are working with conventional solvents, it ishard on the hands,” he said. “They get dried out fast, especially inthe winter.” Loock says the MPCA grant was key to making the changes. “These pieces of equipment are not cheap. Having the Statehelp pay means getting something that wasn’t in my budget.” The project saved Loock $3,550 per year, resulting in a four-month payback. Without the grant, it would be a two-year pay-back, making it an attractive choice for many shops. VOCemissions were reduced by 736 pounds per year, exceeding initialestimates. Why do the grants focus on VOCs? VOCs come from vehi-cle exhaust and sources such as paint shops, printers and metalfinishers. The VOCs combine with other chemicals and particlesin the air and cook in the sun to form ground-level ozone, orsmog. Ozone is unhealthy. It can cause chest pain, coughing,throat irritation and inflame the linings of the lungs. “The challenges we face with air quality today are mainlyfrom the smaller but numerous sources all around us,” saidMPCA Commissioner John Linc Stine. “They form the biggestpart of our air pollution and are largely unregulated, so voluntaryactions are an important part of the solution. We’re glad to helpget things rolling.” Some areas of Minnesota are close to exceeding the EPAozone limit. To cut ozone and smog, we need to cut VOCs. Thesegrants are part of a larger partnership known as Clean Air Min-nesota, which has reduced VOCs in Minnesota by more than 68tons per year. Visit the MPCA’s VOC reduction page at www.pca.state.mn.us/voc to see a video featuring grant recipient Oscar AutoBody or to sign up for the MPCA’s VOC email list – the bestplace to hear about grants that will be available soon.

CASH IN ON YOUR MEMBERSHIP!

WORKERS’ COMP INSURANCEMeadowbrook Insurance GroupContact: Dennis Spindler763-549-2238 / [email protected] scheduled credit makes Meadowbrook one ofthe most competitive programs around for Worker‘sCompensation insurance. In addition, members areeligible to receive an annual dividend based on thegroup’s loss ratio. For more information, log on towww.wcpolicy.com/aaspmn.

PROPERTY/LIABILITY INSURANCECBIZ AIAContact: Dennis Spindler763-549-2238 / [email protected] AIA will present AASP-MN members with quotesfrom multiple carriers for property/liability insurance andmembers can choose the program that best fits their situa-tion. As an added bonus, CBIZ AIA will offer members anexclusive 10% discount on their property/liability insur-ance premiums. Ask about our program with United FireGroup!

EMPLOYEE BENEFITSCBIZ AIAContact: Dennis Begley763-549-2260 / [email protected] AIA will provide AASP-MN member with quotesfrom multiple carriers for life insurance, health insur-ance, long-term care and disability insurance.

UNIFORM & LINEN SUPPLIESAmeriPride ServicesContact: Jim Dillon651-955-1398 / [email protected] pricing to members on rental of uniforms,entrance mats, shop rags, etc. Purchases are also dis-counted. Members receive annual rebate equal to10% of their business with AmeriPride each year.

CREDIT CARD PROCESSINGAssociation BankCard ServicesContact: Mac Hardin952-933-2026 / [email protected]

Competitive rates for AASP-MN members. Terminalsand printers sold at cost. Monthly rental of equipmentis also available.

INDUSTRIAL & PAPER PRODUCTSWipers & Wipes, Inc.Contact: Dennis Julson651-486-4866Discounts on industrial supplies and paper products.Free, next-day delivery is available in the metro area.Shipping free to outstate members with $100 pur-chase.

WEBSITE AND INTERNET MARKETING SOLUTIONSAutoshop SolutionsContact: Margaret Klemmer888-991-3449 / [email protected] Solutions offers custom website develop-ment, social media, SEO, PPC marketing and more,exclusively for the automotive industry. AASP-MNmembers receive a $500 discount off setup costs forservices.

Net DrivenContact: Jon Napoli877-860-2005, ext. 400 / [email protected] Driven is a market leader in website and internetmarketing solutions designed exclusively for the auto-motive industry. AASP-MN members who choose NetDriven are eligible for a $500 discount off their 1st yearsetup fees. For more information, contact Jon Napoli.

StormlogixContact: Paul Switzer732-364-1156 / [email protected] extends a discount on its website pack-ages to AASP members. Costs can be spread outover 6 months.

AUTO EMPLOYEE ASSESSMENTAssessment Associates InternationalContact: Ron Page (952) 854-6551 / [email protected]

www.auto.aai-live.comDesigned to help facilitate and enhance hiring decisions. AASP-MN members receive 50 percent off retail price and starts as low as $15 per assessment.

TECHNICAL INFORMATION HOTLINEIDENTIFIX800-288-6220Members enjoy discounted prices on the industry’s #1technical information hotline. One free call is extendedto all first-time AASP-MN member callers.

BUSINESS FORMS/CALENDARSAASP-MNContact: Jodi Pillsbury612-623-1110 / [email protected] rate on printed business forms and calendars.

SHOP SERVICESSummit eMarketing SherpasContact: Frank Terlep888-377-2661 / [email protected] members receive a 5% discount on all SummiteMarketing Sherpas’ services, including: websitedesign and development, search engine optimization,email marketing and communication, online reviewand reputation management and social mediamarketing.

INFORMATION PROVIDERSMitchell1Contact: Mitchell1 Representative888-724-6742 x 6986AASP members are eligible for special Mitchell 1 in-formation and management programs at significantdiscounts. For more information, log ontowww.mitchell1.com or contact the Mitchell 1 representa-tive at 888-724-6742, X6986.

Mitchell International Contact: Mitchell International Representative 800-238-9111

AASP members receive a 15% discount on anyMitchell RepairCenter TechAdvisor package. Visithttp://repaircenter.mitchell.com/Catalog/OEMRepair.aspx for more information.

PAYROLL PROCESSINGCBIZ PayrollContact: Carrie Hobrough612-436-4620 / [email protected] receive 20% discount off standard payrollproducts and services (excluding 401k). Memberswho switch prior to June 30 will receive first month ofpayroll processing free.

CHECK GUARANTEE SERVICESCertegy Check ServicesContact: Heather Ellis952-240-5017 / [email protected] rate of .75% to AASP-MN members. Use existing credit card terminal. Fast claim payments.

BUSINESS COACHING180BIZ540-833-2014 / [email protected] offers BUSINESS COACHING to AASP membersat a steep 20% discount! One Eighty Business SolutionsLLC (180BIZ) has been helping shop owners increaseprofits and car count while decreasing stress since 2003.AASP members receive a discount on very affordable one-on-one coaching plans without long-term commitmentsand complicated contracts. 180BIZ offiers a risk-free trialof their services. To learn more, please call or email us, orvisit our website.

REPLACEMENT PARTSDorman ProductsPhone: 800-868-5777, ext. 5329AASP members receive insider information, specialaccess and other perks from Dorman Products, aleading supplier of dealer “exclusive” automotive re-placement parts.

LEGAL CONSULTATIONFryberger, Buchanan, Smith & Frederick800-496-6789Members receive free, over-the-phone legal assess-ment and consultation (some restrictions apply) withan attorney who specializes in the area of law that isthe subject of the call.

AASP-MN MEMBER BENEFIT PROGRAMS

AASP-MN and Wipers & Wipes, Inc. are partnered to pro-vide members with special pricing on items used in the shopevery day. Wipers & Wipes specializes in disposable toweling for theautomotive service industry. With a modern, highly efficientwarehouse, Wipers & Wipes is able to stock a large and diverseinventory to quickly meet the needs of its customers. Wipers &Wipes provides next-day service with free delivery in the seven-county metro area and some sur-rounding cities. Daily shipping viaUPS and Spee-Dee Service for out-lying areas is also available. A $100order qualifies for free freight.

Wipers & Wipes can serviceyou with a variety of items, includ-ing: • Paper toweling and dipensers • Mopping and floor maintenance equipment

• Skin soaps and lotions • First aid products and equipment • Food service equipment • Cleaning chemicals, floor pads, sponges and abrasives • Waste receptacles and can liners • Facility maintenance and cleaning tools and supplies

“We give fantastic serviceand sell quality products,” saysthe company’s owner, Dennis Jul-son.

For more information aboutthis AASP-MN Member Benefitprogram, contact Wipers & Wipesat (651) 486-4866.

Wipers & Wipes, Inc.



Documents

AASP-MN News December 2015