March 21, 2007
Volume #1, Issue #12

  DEALER NEWS
     - Blake: Still Tampering with 41
     - NADA Compensation Survey:
       Due April 1

  LEGISLATIVE STATUS REPORTS
     - Sunset Review Process
       Underway

  REGULATORY UPDATES
    - Denver Auto Show: Off-site
      Permits Required
    - Reminder: Sunday Sales

      Prohibited during Auto Show
    - Trying Times for Auto Retailing

  UPCOMING SEMINARS
     - Unclaimed Property Compliance
       Seminar

     - Other Seminars

 
  CALENDAR OF EVENTS
     - 
Upcoming Events

  DEALER MILESTONES,
     HIGHLIGHTS & TRANSITIONS

     - Growing Gebhardt Automotive     


    Click here for Open Road archives.



 www.nada.org
 


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this e-newsletter, please
contact Tim Jackson at tim.jackson@cadaonline.org 

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--------------------------------

LAST CHANCE!  Click here to register for the Unclaimed Property Seminar this Thursday at 11:30 a.m.


BLAKE: STILL TAMPERING WITH 41

“Blake: Still Tampering with 41” (Excerpt from The Rocky Mountain News March 12, 2007)

You'd think lawmakers would promote a constitutional amendment to fix a flaw in the state constitution.

But the two-thirds majority needed to put such a referendum before the voters is hard to come by. So they're trying to fix Amendment 41 with a referred statute instead, since it requires only a simple majority to get on the ballot.
 
In other words, they're trying to send a boy to do a man's job.

CLICK HERE to read the entire article.
 

* * * * * * *

NADA COMPENSATION SURVEY: DEALER PARTICIPATION REQUESTED BY APRIL 1

CADA has elected to participate in an NADA-sponsored dealership compensation survey this year. We strongly encourage you to participate in this survey designed to collect compensation and benefits data for key dealership employees.  

In 2005 more than 3,700 dealers from 71 state and local associations participated in this survey and the results were published in the NADA Management Guide “PF14 Paying to Motivate Update ‘05”. The results of this year’s survey, published as “PF15 – Paying to Motivate Update ‘07”, will be mailed to you from NADA for FREE if you decide to participate!*  This publication will also be sold to non-participating members for $75 each and will be available in late summer.  

In the past, the survey has been done by paper and mailed back to NADA. This year the data will also be collected on a secure web site using a unique and anonymous “Key ID”.** If you do not wish to complete the survey online, please print the  PDF form provided below. You may also want to use this form as a worksheet before you enter your data online. If you have any problems entering the data online, you may fax the completed form back to NADA at 703.827.6880. Please enter the Colorado Association ID code [060] on the faxed forms. 

RESPONSES ARE DUE online or by fax to NADA by April 1, 2007.

When filling out the survey, use figures as reported on the 2006 W-2 forms. Include any elected salary deferrals made by the employee that may not be identified on the W-2 form.

To complete this survey ONLINE, please CLICK HERE.

To complete this survey via FAX, please CLICK HERE for the survey form and fax back to NADA at 703.827.6880.   Note that this is a large .pdf file and may take some time to download depending on your connection speed, so please be patient.

NOTES:

* In order to receive your FREE copy of “Paying to Motivate Update ‘07” you MUST print and fax the coupon provided on the web site.
 

** The National Automobile Dealers Association (NADA) is serving as the survey processor.

 

This survey is in addition to the Colorado-specific and more in-depth compensation survey that CADA conducts—in conjunction with Mountain States Employers Council—on behalf of Colorado dealerships.


 


90% there: motor vehicle dealer board sunset review process underway

 

Sunset Review for the Motor Vehicle Dealer Board, our every ten-year ritual to retain dealer oversight of the industry, has a name and face - Senate Bill 221.

 

After numerous meetings, headaches, a few heartaches and negotiations, we have agreement with the Department of Regulatory Agencies (DORA) on nine of the ten issues up for review.

 

  CLICK HERE to read this informative article by CAR lobbyist Jeremy Cottrell. 
 


DENVER INTERNATIONAL AUTO SHOW — OFF-SITE PERMITS REQUIRED

The upcoming Denver Auto Show provides dealers the opportunity to market to new customers and show off the latest and even futuristic, concept cars.

 

If you or any of your sales staff plan to work the show, please be aware of the off-premise sales permit needed to comply with the state’s guidelines for showing products and discussing prices.  According to state statutes, off-premise permit applications must be made to the Auto Industry Division before the start of the overall show (Wednesday, March 28th). 

 

  CLICK HERE for off-premise permit application.

 

* * * * * * *

REMINDER: SUNDAY SALES ARE PROHIBITED AT THE DENVER INTERNATIONAL AUTO SHOW

This is to remind all member dealers who intend to participate in the Denver International Auto Show this year that your sales representatives cannot sell or offer to sell vehicles on Sunday.  CADA has always advised sales representatives to refrain from discussing any specifics regarding price, terms, financing, or aspects of an actual sale or offer to sell.  On Sunday, discussions with consumers need to be focused on educating consumers on vehicle features.  The off-site permit for the auto show does NOT permit Sunday sales; off-site events are still subject to the Sunday closing law.

 

  CLICK HERE  to review a memo with more details regarding the Sunday closing law and the auto show.


If you have additional questions on any legal or regulatory topics, please contact either Tammi McCoy or Tim Jackson:

* * * * * * *

 

TRYING TIMES FOR AUTO RETAILING
Tim Jackson, CADA President


There are a number of indicators that demonstrate we in the auto retail industry are currently in some trying times.
 

Sales have ranged from flat to dismal for many brands and the slow sales trend has hung on for much longer than most ‘experts’ predicted.
 

A national survey of dealerships based on January results indicated that more than half of all dealers nationally lost money in January. Even for those who were in the black struggled. Fewer than ten percent of all dealerships nationally made over $10,000 for the month, according to the survey.
 

As manufacturers struggle to bring new products on line and meet competitive challenges, new governmental leaders in Congress are broaching issues that have not been on the front burner for years. The new tougher legislative battleground potentially includes, but is not limited to:

  • New tougher CAFÉ standards

  • Elevated minimum wage

  • Tougher emission standards

  • Easier efforts toward unionizing workplaces

  • Less hope of eliminating ‘death tax,’ now focused on easing the costly burden

  • Friendlier climate for contingency-fee based personal injury trial lawyers

  • Tougher regulations toward domestic oil production resulting in higher fuel costs

  • So-called right-to-repair proposal is apt to be back in a force

  • LIFO repeal remains an issue


NADA’s national auto dealer legislative agenda just got much tougher!!  
 

The November elections were not much kinder on dealers in Colorado. The changed landscape in the Colorado Capitol has brought a host of new issues to the forefront at a time when our legislative agenda was already on ‘peak alert.’  The Colorado voter-enacted passage of Constitutional Amendment 41 has resulted in it to being more difficult, to the point of being risky, to aggressively advocate dealer positions in the State Capitol.

 

As Jeremy Cottrell covered in his attached column, we have a host of auto dealer issues that we are advocating through the lobby group Colorado Automobile Retailers (CAR). These include but are not limited to:

  • Sunset Review of Motor Vehicle Dealer Board—including a ten-point priority list

  • Opposing efforts to eliminate Colorado’s Labor Peace Act

  • Opposing efforts to repeal the ban on Sunday sales

  • Tightening of Colorado Franchise Act

  • Researching best method for registering newly purchased vehicles in Colorado

  • Changing through regulation the sales amount cap on GAP (regulatory issue)


As was reported in last week’s issue of the Open Road, at least one dealer in Colorado has been hit with litigation pertaining to the collection of D&H fees. This trend began in other states and in at least one state has expanded to as many as 80 percent of the dealers statewide. If your dealership has been notified of litigation regarding the charging of D&H fees, please let us know immediately by calling my direct line at 303.282.1448.

 


unclaimed property compliance seminar

The Colorado Office of the Treasurer compliance/audit personnel will review Colorado unclaimed Property Laws and Regulations. The Colorado Unclaimed Property Act has covered automobile retailers since 1992

  • Begin your annual reporting obligation now; penalties and interest will be waived

  • Businesses in Colorado must take specific steps to return “unclaimed property”; covered property not returned to the rightful owner must be turned over to the state

  • In general, “unclaimed property” includes various types of obligations or liabilities of a business which have been in active or have not been paid after an extended period of time after they are payable. Examples include:  Amounts owed to suppliers/vendors, Due Bills / We Owe Accounts (for parts, service, equipment ordered at the time of vehicle sale) Payroll/wage obligations, outstanding checks, Overpayments/refunds/rebates, or security or other deposits

  • Free reporting software from a third party is available from the state for reporting purposes; a representative will review and demo the software capabilities

  • Some dealerships or individuals attending may have “found” property at the state; they will check their records for all seminar attendees

   Please CLICK HERE for more information on this seminar.  Register for this seminar by returning the attached registration form or clicking on the respective link below.
 

City

Date / Time*

Location

Colorado Springs

** TOMORROW **
Thursday, March 22

11:30 am to 1:30 pm

Antlers Hilton, 4 So. Cascade Avenue (Uintah St. exit from northbound I-25; Cimarron exit from southbound I-25).  Phone: 719.955.5600

**NOTE:  CLICK HERE to register directly with Ann Winslow.

Grand Junction

Thursday, April 19

11:30 am to 1:30 pm

Grand Vista Hotel, 2790 Crossroads Blvd.

Phone:  970.254.7100

CLICK HERE to register for this location.

*Breakfast or lunch will be provided.

other SCHEDULED TRAINING seminars

Topic

City

Date / Time*

Location

Designated Risk
Management Seminar

   - Industry Loss
     Analysis

 

Denver

Tuesday, April 10
8 am to 4 pm

 

William D. Barrow Building

(CADA/ MDADA headquarters)
290 E. Speer, Denver,
SW Corner of Grant & Speer
 

Privacy, Safeguards and Graham Leach Bliley

By Rob Cohen, Auto Advisory Services
 

Denver / Metro Area

Thursday, April 26

TBD  / Tentative location

* Just scheduled; more information will be forthcoming

Privacy, Safeguards and Graham Leach Bliley

By Rob Cohen, Auto Advisory Services
 

TBD

Friday, April 27
Morning

 

TBD  / Tentative location

* Just scheduled; more information will be forthcoming

Secrets to becoming a Power Controller

By Sandi Jerome

Denver

Thursday, July 26
8:00 am to 11:00 am

 

William D. Barrow Building,

(CADA/ MDADA headquarters)
290 E. Speer, Denver,
SW Corner of Grant & Speer

* Just scheduled; more information will be forthcoming
 

Secrets to becoming a Power Controller

By Sandi Jerome
 

Western Slope

Friday, July 27
8:00 am to 11:00 am

 

TBD 

* Just scheduled; more information will be forthcoming
 

 


upcoming events for 2007

 

Event Description

Date / Time

Location

Denver International
Auto Show

 

Wednesday, March 28 - Sunday, April 1

Colorado Convention Center
Click here for more details...

 

Denver International
Auto Show

**Industry Night**

 

Thursday, March 29
5:00 pm to 9:00 pm

All dealership employees and their families attend free of charge. 

 
Click here for more details on ID and FREE admission requirements.

 

CADA Annual Golf Event

Monday, August 27

Noon shotgun start

Valley Country Club

14601 Country Club Dr., Aurora

Regional Member Briefings

   - Fall 2007

Dates to be determined

Location to be determined

MDADA Annual
Membership Meeting

Tuesday, November 27

11:00 am to 2:00 pm

Cherry Creek Country Club

(more details to follow soon)

 

RISE Event After the 2007 Denver International Auto Show

 

From March 28 to April 1, the automotive industry will converge on the Mile High City as the 2007 Denver International Auto Show comes to the Colorado Convention Center. To help celebrate this outstanding event, bring all of the Colorado auto industry together and involve CADA member dealers and staff along with everyone who works to put this outstanding show on annually,
CADA F&I Resource Center welcomes you to:

  • MPH (Must Party Hard) on Friday, March 30

  • RPM (Ready to Party More) on Saturday, March 31

Both events will be at the huge and luxurious RISE Night Club at 1909 Blake Street in Denver’s LoDo neighborhood (www.rise-nightclub.com). That’s right, TWO full nights of hot beats, great sites, live entertainment, and high octane good times that are all available to you with FREE door access and one FREE drink.

 

So, get your heart racing to the show, as it only comes around once a year, and bring your auto savvy self to RISE on March 30 & 31 for this first ever multi night event! For more information and bottle service please contact Chad at the CADA F&I Resource Center, 303.319.8039 or chad.julius@cadaonline.org .

 

Brought to you by the CADA F&I Resource Center and the Denver International Auto Show.

 


GROWING GEBHARDT AUTOMOTIVE

 

Gebhardt Automotive Group in Boulder recently expanded its European line by adding a Porsche dealership to their business this past summer. It was acquired from Adolf Stammler and moved to a new location close to the current Gebhardt Saab franchise, which also features a VW dealership and a BMW dealership.
 

"Our three Boulder locations are within miles of each other," said owner Jim Gebhardt, who is a third generation dealer. "The expansion and integration of each location has been a challenge, but we're still having fun!"
 

Gebhardt started working at his father's dealership more than 25 years ago and can boast having all of his immediate family in the same industry in one way or another, many working in Colorado. Three of his siblings work for the dealership in Boulder-sister Anne is the HR director for all three locations, sister Carol serves as customer relations manager, and brother Tom has taken charge of the new Porsche location. They also have a sister, Susan, who lives in Atlanta and works for LoJack; a brother, Joe, who owns a Chevrolet dealership and a Subaru dealership in Loveland; and another brother, Mike, who works for Rocky Mountain EuroSport in Denver.
 

"Then there's Maddy, my 10-year-old daughter who loves to come in and answer phones," said Jim. "She's in the running to become the fourth generation of auto dealers in the Gebhardt family."
 

The family feeling also extends to Gebhardt Automotive Group's 142 employees. "We have many long-time associates at all our locations-most of whom are experts in the cars they sell. It's great to know the people you work with really enjoy their jobs and the products we sell," said Jim.
 

For more information on the Boulder Gebhardt Automotive Group, please visit their website at http://www.gebauto.com/.


 


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

 

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