January 9, 2008

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Automotive News at a Glance



     - What We Can Expect in 2008

       From the State House


     - Title Processing:

       January Sales Tax Changes

     - Tax Lookup by Address:

       Recap of Available Options

     - Changes in Colorado Workers'

       Compensation Law and Procedure:

       Employee Choice Between

       Two Physicians


     - Employment Law Seminar


     - Upcoming Events


      - Don Hicks Wins National

      - Let Us Know About YOUR



for Open Road
       e-newsletter archives.


       CLICK HERE for Bulletin archives.

for Colorado Auto  

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register online

for various CADA 
seminars & events.




CLICK HERE for detail on the
        Speaker and Educational              


        CLICK HERE for a list of current    
        Endorsed Vendors/Programs


        CLICK HERE for a list of current    
        Allied Members



     CLICK HERE for NADA Regulatory        
     Affairs information



for the Auto Industry 
of the Colorado Dept.
        of Revenue.


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


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CLICK HERE to learn the 10 blunders employers make in hiring at firing at the upcoming Employment Law Seminar...





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

  • Colorful Colorado Takes on a Green Hue
    Fort Collins Now,  Jan. 5
    Few issues galvanize people like fear, especially fear for one’s health and safety. So it stands to reason that lawmakers act more quickly and maybe more deliberately when it comes to solving those matters.

    Three Northern Colorado lawmakers intend to sponsor two bills in the Colorado General Assembly that will likely make it harder for a subsidiary of a
    Canadian company to mine for uranium in the region.

    State Reps. Randy Fischer and John Kefalas, both Fort Collins Democrats, are sponsoring two bills that will be carried in the Senate by State Sen. Steve Johnson, R-Fort Collins.



  • Ford to unveil eco-friendlier engine
    Detroit Free Press,  Jan. 6

    Ford Motor Co. is to unveil a new engine technology today called EcoBoost that will deliver up to 20 percent better fuel economy on half a million of the company's Ford, Mercury and Lincoln vehicles during the next five years.

  • Plan to cut ozone pollution faces major hurdle - TIME
    Rocky Mountain News,  Jan. 4

    After the Denver region violated ozone pollution limits last summer, Gov. Bill Ritter asked local air-quality regulators to find ways to cut more emissions.


    But with six months until the start of another ozone season, it appears that little can be done to make a serious dent in the summer pollution problem. Major steps that may have a greater impact, including use of cleaner-burning gasoline, are likely to take years to put in place.

CADA forwards news articles and opinion columns of interest through Open Road to inform members of current events. These in no way reflect the views, opinions, and/or positions of CADA or its member dealers. They are sent for informational and educational purposes only.






What we can expect in 2008 from the state house


Colorado auto dealers have been the target of several prospective legislative proposals that will intertwine among the healthcare, transportation and environment issues which will likely assume a good portion of the legislative agenda at the state capitol this year.


CLICK HERE to read more about expectations for the 2008 legislature.




If you have questions on any legislative topic, please contact:



Title Processing: January Sales Tax ChangeS


The Colorado Department of Revenue (DOR) Tax Division has a summary of Sales Tax Changes Effective Jan. 1, 2008 at: 



NOTE that the “Service fee” referenced on the attached list of changes is more typically referred to as the “vendor’s fee” and is a fee that retailers can withhold to at least partly offset the costs of collecting and determining taxes. It is worth noting that El Paso County recently voted to eliminate the vendor’s fee for retailers. Dealerships in other areas should keep an eye on their local city councils and commissioners for similar actions.


A reminder on tax rate CHANGES AND UPDATES:

On Jan. 1 and July 1 of each year, many sales and use tax rate changes take place.  Dealers should begin checking the resources available on the DOR – Tax Division web site or checking with local cites/counties for any rate changes so you are prepared to charge and collect the appropriate taxes and rates (even before that information may make its way to the electronic databases):


About mid- to late-December and June, you should begin checking the main Colorado Taxes Web page at www.TaxColorado.com:

·   On that page, see the "Looking for..." section in the middle of the page. 

·   Follow the link "Tax Rate Changes Effective" (Jan. 1 or July 1 of each year). 


The following document summarizes all sales/use taxes rates, and is typically updated shortly after the January and July changes are effective. 

·   "Colorado Sales/Use Tax Rates" (DR 1002) at www.revenue.state.co.us/PDF/drp1002.pdf  [01/07/08 revision date]


* * * * * * * * *


Tax lookup by address: recap of Available Options


As a reminder to all dealerships and title personnel, there are currently two private companies that provide local sales tax rate information by address.  We continue to receive calls from dealerships asking for alternatives to the state IDS system, which is often unavailable and unreliable:

CLICK HERE  for the links to vendors providing
Colorado Local Taxes by Address.  


(1) Group 1 (a Pitney Bowes Company) – Group 1’s solution is currently offered at no cost. They were contracted to provide their technology to the state; it is expected that when the new state computer system is back on track, that counties will be using their database. 

- You can register to begin using Group 1’s solution at the following:



(2) Proxix Solutions, Inc. – Initially had been charging a higher, annual subscription fee; they have now moved to  charging a per transaction fee currently as follows:

- 20 tax lookups (less than .50 each) for just $9.95 - order online

- 100 tax lookups (less than .40 each) for just $39.95 - order online.

- Volume subscription plans - order by phoning 866.781.2662, ext. 304.

- You can register to use the Proxix solution at the following:



Keep in mind that almost sixty Colorado cities are home-rule and have their own rules on how sales taxes are applied, and they are not mandated to report to the state before changes are made; or to make these changes at the above noted annual dates. Many of them do, but there may be lag-time in these updates making their way to any of the databases mentioned. 


If you find discrepancies in tax rates between these databases and what the county/city is indicating is the correct rate, please send the information (along with the lookup record for that address), and we will report it to the state to help assist in updating this data. 


* * * * * * * * *



There are two significant changes in workers' compensation law and procedure that are effective on Jan.1, 2008. Notice regarding the first change, House Bill 07-1176, occurred shortly after it was enacted this summer.


(1)  Employers must designate at least two medical providers to treat employees injured on the job. This is a departure from the law in effect prior to Jan. 1, 2008, which requires only one designated provider. Exception:

(2)  Rule 8 of the Colorado Workers' Compensation Rule of Procedure is the more recent and related second change that also goes into effect on Jan. 1, 2008. Rule 8 imposes new notice requirements on employers at the time of injury.


CLICK HERE  for more information.




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


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.

Top Denver EMPLOYMENT attorney, Todd Fredrickson,
Shares Knowledge throughout The state

Top Ten Blunders Employers Make in Hiring and Firing


CLICK HERE for flyer/registration form.


Practical advice to prevent employment litigation:

  • Learn to avoid mistakes that often lead to big ticket employment litigation

  • Learn to address hiring issues head on, such as creating and maintaining sound pre-hire paperwork, complying with federal and state immigration laws, and not falling prey to breach-of-contract lawsuits

  • Learn to properly handle employment terminations without landing yourself or your business in the middle of a discrimination or wrongful discharge lawsuit

  • Learn to better manage your employees when dealing with difficult hire and fire issues

Todd Fredrickson, is a shareholder at Otten Johnson in Denver. Specifically, Todd has defended employers against claims of discrimination, harassment, and retaliation based on race, color, religion, sex, national origin, age, and disability. He regularly counsels clients on a spectrum of personnel management issues, with the goal of avoiding litigation altogether. To that end, he advises employers on developing and enforcing proper application and interview policies, employee handbooks, and employment and compensation agreements. Todd also counsels employers on compliance with federal and state wage and hour laws. Much of Todd's practice focuses on training supervisors, managers, and other employees on such issues as sexual harassment, discrimination, employee discipline and discharge, and investigation of employee grievances. Todd states that educating clients is one of his favorite aspects of his job, because "In doing so, we truly become part of the client's enterprise." 


“I thought Mr. Fredrickson’s presentation was excellent! He was
easy to understand and concise, his presentation was relevant to
our industry, and most importantly, he provided specific suggestions
and recommendations that we were able to easily implement at our
dealership. I highly recommend this seminar.”
                                        --Cindy Swanson, Controller, Planet Honda



Topics City Date/Time Location

Employment Law Seminar
by Todd Fredrickson
of Otten Johnson

Jan. 24

7:30 to 9:30 a.m.

breakfast included

William D. Barrow Building 290 E. Speer Blvd, 80203
(SW Corner of Grant/Speer)
Denver, 303.831.1722
Employment Law Seminar
by Todd Fredrickson
of Otten Johnson
Denver Thursday,
Jan. 24

Noon to 2 p.m.

lunch included 

Co’s BMW Center
4150 Byrd Drive
2nd Floor Conf. Room
Loveland, 80538
(I-25 and Crossroads Exit 259)  970.292.5200
Employment Law Seminar
by Todd Fredrickson
of Otten Johnson
Colorado Springs Wednesday,
Jan. 30

8:30 to 10:30 a.m.

breakfast included

Antlers Hilton Hotel
4 South Cascade Ave.
Colorado Springs,  80903 719.955.5600
à Colorado Springs dealers should register with CSADA, Ann Winslow, 719.473.1465
Employment Law Seminar
by Todd Fredrickson
of Otten Johnson
Pueblo Wednesday,
Jan. 30

Noon to 2 p.m.

lunch included

Spradley Auto West
713 E Spaulding Ave
Pueblo West, 81007
(Exit 101 West Royal Gorge/Canon City)


Event Description Date/Time Location
Legislative Policy Committee (LPC) Meeting


Wednesday, Jan 16
7:30 a.m.

William D. Barrow Building 290 E. Speer Blvd, 80203
(SW Corner of Grant/Speer)
All CADA members are invited to attend. For more information, contact Nancy Burke at 303.457.5115.
NADA 91st Annual Convention & Expo Feb. 9-12 Moscone Center,
San Francisco, CA
Annual Colorado Dealer Breakfast during NADA Sunday, Feb. 10
7:15 a.m.

The Palace Hotel

Twin Peaks Room

2 New Montgomery Street

San Francisco, 415.512.1111 RSVP information
coming soon!

Denver International
Auto Show
March 26-30 Colorado Convention Center, Denver
CADA Golf Event

Monday, Sept. 8

Columbine Country Club
17 Fairway Lane
Columbine Valley, 80123




Don Hicks wins national recognition


Don Hicks, president of Shortline Automotive Inc. and Porsche of Colorado Springs, will be honored in February at the NADA Convention for his nomination for the 2008 TIME Magazine Dealer of the Year award. Hicks is one of a select group of dealers from across the country to be honored at the opening business meeting of the convention, which is attended by more than 25,000 individuals from the automobile industry.


Hicks began his automotive career in July 1972 as one of 60 “green peas” salespeople for Courtesy Ford in Littleton, after working as a cable draftsman for Western Electric by day and working on used Porsches at night.


“My mother cried when I got in the car business,” Hicks recalls. “She was afraid that I wouldn’t make it.”


In less than a year, Hicks was a senior salesperson and was later promoted to sales manager in just 18 months. He climbed the ranks over the next decade before becoming the dealership’s general manager.


When an opportunity came for Hicks to open his own
dealership he decided to take the chance, and on Sept. 1,
1987, Shortline Subaru opened its doors. A series of new franchises and dealerships have followed, most recently the debut of a Porsche dealership in Colorado Springs in 2006, which obtained the manufacturer’s coveted Premier Dealer status in just its first full year of business.


In addition to his business successes, Hicks and his dealership have also supported a wide range of organizations and causes. He has raised money for the Pink Ribbon Foundation, which helps cancer patients at the University of Colorado Hospital. Hicks has also supported the Sunny Vista Assisted Living Center in Colorado Springs, Volunteers of America, the Colorado Springs Fine Arts Center, and others.


Still Hicks counts his employees as his most gratifying civic contribution. “While being a member of the Subaru Chairman’s Roundtable or a Porsche Premier Dealer is gratifying, it is important to realize that without successful employees, neither of those awards would be possible,” said Hicks.


Nominated for the TIME Magazine Dealer of the Year award by Tim Jackson, president of CADA, Hicks lives in Denver with his wife, Lauren. The couple has one daughter and is expecting a second grandchild in April.


The TIME Magazine Dealer of the Year award is the automobile industry’s most prestigious and highly coveted award for car dealers. Recipients are among the nation’s most successful auto dealers who also demonstrate a long-standing commitment to effective community service. Hicks was chosen to represent CADA in the national competition—one of only 51 automobile dealers, from more than 19,500 nationwide, nominated for the 39th annual award. The award is sponsored by TIME Magazine in association with Goodyear Tire & Rubber Company, along with NADA. A panel of faculty members from the University of Michigan Graduate School of Business Administration select each finalist.


* * * * * * * * *




Have you or anyone else at your dealership won an award recently? Has 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@cadaonline.org.  Also include your contact information for further follow-up.




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Colorado Automobile Dealers Association
290 East Speer Boulevard Denver, CO  80203
Telephone:  303.831.1722
  |  Facsimile: 303.831.4205