MAY 17, 2011

IN THIS ISSUE

DEALER NEWS & INFORMATION

– Auto Industry News at a Glance

REGULATORY & LEGAL UPDATES

– NADA Explains the Extraordinary Value of Dealer-Assisted Financing at FTC Roundtable

LEGISLATIVE UPDATE

– HB Passed Overwhelmingly in Colorado Senate and House

UPCOMING SEMINARS

– Upcoming Seminars

– State Dealer Compliance Guide Roll-Out and Training

CALENDAR OF EVENTS
– Upcoming Events

– CADA Annual Golf Event

DEALER MILESTONES,
HIGHLIGHTS & TRANSITIONS
–Smoky Hill Finished 22nd at the National Greater New York Auto Dealers Competition

–Share Your Accomplishmens

THE AFTERFACT

–All the News That's Fit to Email!

ARCHIVES

CLICK HERE for Open Road
e-newsletter archives.

CLICK HERE for an Index of Regulatory
& Legal Articles from the Open
Road e-newsletter.

CLICK HERE for Bulletin archives.

CLICK HERE for Colorado Auto
Outlook archives.

CLICK HERE for Denver Auto
Outlook archives.

ONLINE REGISTRATION

CLICK HERE to register online
for various CADA seminars & events.

MEMBERSHIP RESOURCES

CLICK HERE for details on the
Speaker and Educational
Resources.

CLICK HERE for a list of current
Endorsed Vendors/Programs.

CLICK HERE for a list of current
Allied Members.

CLICK HERE for an order form for
CADA forms.

CLICK HERE for information on all member services.

www.nada.org


www.aiada.org

CLICK HERE for NADA
Regulatory Affairs information.

STATE GOVERNMENT RESOURCES

CLICK HERE for the Auto Industry
Division of the Colorado Dept.
of Revenue.

CLICK HERE for the Title and
Registration section of the
Colorado Dept. of Revenue,
Motor Vehicles Division.

CLICK HERE for the Colorado
Department of Labor &
Employment website.

Visit us at www.coloradodealers.org.

CADA Hours of Operation
Monday to Thursday, 7 a.m. to 5 p.m.
Friday, 7 a.m. to 4 p.m.

CADA STAFF

CLICK HERE for a CADA staff listing

If you have questions
or suggestions regarding this
e-newsletter, please
contact Lauren Stadler at
lauren.stadler@coloradodealers.org

CLICK HERE or scroll to the bottom
of this page if you want to be
added or removed from our list.

Need Acrobat Reader
to view linked
documents?
CLICK HERE for a FREE
download from Adobe.

ENDORSED VENDOR/PROGRAMS

CLICK HERE for information about the
Endorsed Vendors/Programs.

If you have trouble viewing any of the links or documents in this e-newsletter, please CLICK HERE to access the web-based version.

 AUTO INDUSTRY NEWS AT A GLANCE

Listed here are several articles pertaining to the
auto industry in general that appeared recently in newspapers and other media outlets across the nation.

NADA EXPLAINS THE EXTRAORDINARY VALUE OF DEALER-ASSISTED FINANCING AT FTC ROUNDTABLE

DETROIT, April 12, 2011 — NADA representatives highlighted the importance of dealer-assisted financing at an all-day roundtable that the Federal Trade Commission (FTC) conducted in Detroit to examine consumer protection issues related to five discrete areas of vehicle sales and leasing.

The roundtable and several others that the FTC is planning are designed to assist the agency in determining how, if at all, it should exercise the authority it will soon assume under the Dodd-Frank Wall Street Reform and Consumer Protection Act to issue rules prohibiting unfair and deceptive acts or practices (UDAP) by motor vehicle dealers under the procedures contained in the Administrative Procedures Act. (The FTC currently can only issue UDAP rules under the more robust procedures contained in the Magnusson Moss Federal Warranty Act.) NADA was represented on each of the panels by dealer, ATAE, and attorney representatives that specialize in each of the subject matter areas.

CLICK HERE for the rest of this article.

NADA's Regulatory Affairs Group coordinates its activities with NADA's Legislative Office on subjects of common concern, works closely with state and metro dealer associations, and regularly engages with other industry trade associations.

* * * * * * * *

If you have questions on any legal or regulatory topic, please contact:

• Tammi McCoy, Vice Pres., tammi.mccoy@coloradodealers.org, 303.282.1449
• Tim Jackson, President, tim.jackson@coloradodealers.org, 303.282.1448

DISCLAIMER: CADA is not authorized to dispense legal advice.The information contained in this weekly email is intended to provide important updates and reminders regarding statutes, litigation, and regulations. CADA always advises that dealers should consult legal counsel on the specifics of any laws or regulations to ensure proper compliance

HB 1188 PASSED OVERWHELMINGLY IN COLORADO SENATE AND HOUSE

House Bill 1188 was successfully passed on its Third Reading on the Senate floor, Monday, May 9th. The bill passed with a 33-1 vote with one legislator absent.  Two changes were made to the bill prior to its passage in the Senate Business Labor and Technology Committee.

The Colorado House of Representatives concurred with the Senate changes on Tuesday, May 10th and on an overwhelming vote of 61 to 4, HB 1188 was passed.

State Senator and bill sponsor, Linda Newell selected a dealership from within her district for the bill signing.

HB 1188 was officially signed on Friday, May 13th at 4:30pm at John Elway Chevrolet by Governor Hickenlooper (pictured below).

House Bill 1188 – Tightens basic dealer protections and prevents manufacturers from requiring expensive new facility upgrades when expensive facility upgrades have been completed at request of manufacturer in recent years.  More detail on HB-1188 is shown below.

More on HB-1188 – Franchise protections:

• HB 1188 will provide stability for Colorado consumers, auto dealers and their employees by shielding them from unnecessary and costly facility mandates frequently required by auto manufacturers.

• Auto dealers are consistently pressured by manufacturers to significantly upgrade the exterior and interior of their showrooms and service facilities – and all of these improvements are mandated at the expense of the local dealer.

• HB 1188 will provide a "safe haven" for dealers from pressure, coercion and penalties by manufacturers if they have built a new facility, or made upgrades to an existing facility, within the past seven (7) years.

• Other protections in HB 1188 include: 

(1) 90 day notice provision to a dealer by the manufacturer if franchise is going to be terminated;
(2) 90 day notice provision to a dealer by the manufacturer if the dealer's geographic region where they are expected to sell cars is going to change;
(3) Prohibition of a loophole in franchise agreements that allows manufacturers to control the dealer's real estate after there is no longer a franchise agreement in place.
(4) Requires the Executive Director of the Department of Revenue to issue a cease-and-desist order when a dealer complains that a manufacturer is illegally ending a franchise agreement.

· The segment of the bill (HB0-1188) that ensured all provisions of Colorado’s franchise laws apply to all manufacturer/dealer sales and service agreements, regardless of when initiated, was removed from the bill at the sponsor’s request following significant manufacturer pushback and ramped-up opposition lobbyist engagement.

* * * * * * * *

* * * * * * * *

TO REGISTER ONLINE FOR ANY CADA SEMINAR OR EVENT, PLEASE VISIT: www.coloradodealers.org/registration

If you have a particular area of interest or would like to suggest a training seminar topic, please contact Lauren Stadler at 303.457.5123 or lauren.stadler@coloradodealers.org

SMOKY HILL FINISHES 22ND AT THE NATIONAL GREATER NEW YORK AUTO DEALERS COMPETITION

Each year CADA sponsors a team for the National Automotive Technology Competition held in conjunction with the New York International Auto Show. The Competition, the auto industry’s largest school-to-work initiative, pits the nation’s best high school automotive vocational education students against one another for the title of ‘America’s Top Technician’. 

Our team consisted of two students, Andrew Willis and Kyle Thomas and one instructor, Brian Manley from Smokey Hill High School located in Centennial.  According to instructor Brian Manley, “This was a challenging year, as Colorado "drew" a 2011 Mercedes Benz E550, which is a difficult car to get face-time with”. “Our students competed during a ten-station challenge including precision measurement, engine mechanical diagnosis, oscilloscope interpretation, and information retrieval and the following day, Andrew Willis and Kyle Thomas (my students) were faced with multiple "bugs" placed into an E550 by a Mercedes Benz Technical specialist.”

CADA thanks Terry Minnick, General Manager of Mercedes Benz of Littleton and Bob Silcox, Service Manager who provided the students with an opportunity to scan the contest vehicle and work closely with a technician to learn as much as they could prior to attending the competition.

The National Finals, held in New York in conjunction with the New York International Automobile Show, are possible thanks to the generous contributions of over 125 industry sponsors including automakers, industry organizations, OEM suppliers, educational institutions, and dealers associations from across the country.  

* * * * * * * *

LET US KNOW ABOUT YOUR ACCOMPLISHMENTS!

Have you or anyone else at your dealership won an award recently? Have you or your dealership provided any outstanding community service? We want to recognize such accomplishments. Please send us a brief write-up of the award or event along with any other information to milestones@coloradodealers.org. Also include your contact information for further follow-up.

If you want to be added to our mailing list, please CLICK HERE.

To remove yourself from this list, click on this link.