May 2, 2007
Volume #1, Issue #18

  DEALER NEWS
     - Consumer Spending Weakens

 

  LEGISLATIVE STATUS REPORTS
     - Sunset Review Legislative
       Wrap-Up

  REGULATORY & LEGAL UPDATES
    - OFAC Compliance Reminders

  UPCOMING SEMINARS
    - Lifeline to Profits
    - Controlling Workers' Compensation
      Costs
    - Creating a Super Controller

  CALENDAR OF EVENTS
    - 
Upcoming Events

  DEALER MILESTONES,
     HIGHLIGHTS & TRANSITIONS

    - Sil-TerHar Motors Expands Dealer-
      ship to Include Lincoln-Mercury
    - Welcome New Allied Member
    - Let Us Know About YOUR

      Accomplishments


    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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Learn How to Create a Lifeline to Profits…Gain the competitive edge you need at this dealer participation workshop!


CONSUMER SPENDING WEAKENS
 

The Denver Post, April 30, 2007

 

Consumer spending rose at the slowest rate in five months in March while construction activity managed only a tiny gain, weighed down by further weakness in housing.

 

The Commerce Department reported that consumer spending on all items was up 0.3 percent last month, the slowest increase since a similar rise in October. Incomes rose by 0.7 percent, the fourth straight solid month of income growth. 

 

CLICK HERE to read the entire article.

 


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.
 


SUNSET REVIEW LEGISLATIVE WRAP-UP

 

After a year and a half of evolution, preparation, negotiation, and meetings, an extremely favorable final version of SB-221 is on its way to Gov. Bill Ritter’s desk for final passage.

 

The following represent some key transitional changes to the Motor Vehicle Dealer Board (MVDB) effective July 1, 2007. 

 

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


OFAC COMPLIANCE REMINDERS

The Office of Foreign Assets Control (OFAC) is an office of the U.S. Department of the Treasury. OFAC is empowered by the president to administer and enforce the U.S. government’s sanctions programs. These programs include both country sanctions, such as Cuba, Iran, and Sudan, as well sanctions placed on individuals and entities whose names are place on the Specially Designated Nationals and Blocked Persons (SDN) list.

 

It is this SDN listing of individuals and entities with whom all U.S. businesses are prohibited from doing business. The requirement is broad, and all businesses are required to check against this listing. However, it is particularly businesses like auto retailing, that sell a product that could be loaded up with explosives and driven into or near a building, that are most likely to be targeted—and have been—for audits and fines. The likelihood of doing business with anyone on this list is extremely low; but the penalties are exorbitant (million dollar fines and potentially criminal sanctions). 

 

The key to the compliance requirement, however, is to have procedures in place to ensure you are running the checks on all deals, exercising “due diligence,” and to have proper record-keeping to show that due diligence steps were taken. Most dealers by now are aware of the OFAC-checking requirement. However, there are a few key points that all dealers may not be aware of:

  1. The credit bureaus do not provide the OFAC list-check for free; it is typically an add-on service that dealers must elect. There is usually a small transaction cost for the check.
     

  2. OFAC checks must be run on all deals—both cash and credit. If you do not run a credit check on every deal, you must do the OFAC checking separately.

a.     The OFAC listing is available directly from OFAC in various formats, all of which can be somewhat difficult to use and require periodic updating. These options are available at http://www.ustreas.gov/offices/enforcement/ofac/sdn/.
 

b.     There is a more user-friendly, free service for searching the OFAC list available at www.OFACcompliance.com.
 

                                                i.      Move your cursor over “Resources” on the top menu bar; select “Free Services” from the sub-menu that appears; and then select “OFAC Free Name Check” from the list of options. At the very top of this page just below the username and password, select "First Time?"  You will need to set up a login id and password to utilize
this service.
 

                                                ii.      The company currently providing this free service, Bridger Insight, sells various PATRIOT Act, OFAC and other compliance software. To utilize their free service, you will likely receive some promotional emails on their other services.
 

c.     Numerous other vendors provide OFAC checking services and software. Key considerations include: the administrative time required to run information through a separate program, archiving/record-keeping of your list-checking, advanced algorithms to limit “false positives,” integration capabilities with your DMS, and the cost (typically a monthly or annual subscription).                     
                                                                                    

CLICK HERE to view frequently asked questions regarding OFAC compliance.

  

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


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.
 


LIFELINE TO PROFITS SEMINAR

 

Wednesday to Friday, June 6-8, 2007

Denver (CADA Headquarters)

 

Is your dealership operating at peak performance? Are your current operations designed to capitalize on profit opportunities? In conjunction with the National Automobile Dealers Association (NADA), this Lifeline to Profits workshop is an outstanding opportunity to develop a strategy and action plan for maximizing your dealership’s profits.

 

NADA trainers will help you identify untapped profit opportunities in your dealership. You will take home a practical action plan specifically designed for you. This in-depth and intensive two and a half-day session will provide you the essential edge you need to more effectively compete in today’s competitive market.

 

In order to fully benefit from this exciting opportunity, it’s important to bring your numbers:

  • Financial statements

  • Repair orders

  • Parts stock order figures

  • Vehicle inventory and used vehicle appraisals

 

You’ll begin and end each day with a developmental session that refines a specific dealership action plan for you based on information covered in the workshop. You’ll discuss the most positive action, event or result your dealership has seen in the last six months.

 

In addition, you’ll be asked to provide trainers with information about a critical concern you’d like to identify as a key element in the improvement of your operation. Most important, be prepared to actively participate.

 

Specifically, the association’s Lifeline to Profits program “can help you meet any number of challenges, from having too much inventory to seeing our cash flow trickle to a near standstill,” said Dale Willey, Chairman of NADA.

We strongly encourage you and your key managers
to attend this valuable workshop.

 Space is limited so please enroll today!

DATE/TIME:   8 a.m. to 5:30 p.m., Wednesday, June 6, 2007 (breakfast, lunch and dinner)

                        8 a.m. to 5:30 p.m., Thursday, June 7, 2007 (breakfast and lunch)

                        8 to 11:30 a.m., Friday, June 8, 2007 (breakfast)

 

LOCATION:    William D. Barrow Building, CADA Offices, 290 East Speer Blvd., Denver

 

TRAINERS:     Brad Lawson, NADA Group 20 Team Leader

         Mark Rogers, NADA Dealership Management Consultant

 

  CLICK HERE for seminar flyer and to fax or mail your registration.

 

CLICK HERE to register for this three-day seminar.
 

* * * * * * *

 

CONTROLLING WORKERS' COMPENSATION COSTS

The key to lower workers’ compensation costs is an “effective” safety and loss prevention program. Workers’ Compensation is often your dealership’s second leading employment related expense! This May, CADA, Wells Fargo Insurance Services (formerly Acordia), and Pinnacol Assurance will present a safety seminar on Five Ways to Reduce Your Dealership Workers’ Compensation Costs.

 

Plan to attend this seminar and learn FIVE proven methods of reducing your cost. Members who earn the certification will be eligible for a discount on their premium but more importantly, it demonstrates your commitment to protecting the safety and welfare of your employees. Attendees will also learn about the following:

  • Develop an effective return to work program

  • Prevent slips, trips, and falls

  • Reduce strain and sprain injuries through ergonomics

  • Use accident investigations to prevent recurrences

This seminar will be presented by Dave Campbell, Wells Fargo Insurance Services
and Lonnie Garcia, safety consultant with Pinnacol Assurance. There is no charge for participation in this safety seminar, as it is a required component of the CADA/Wells Fargo Pinnacol workers’ compensation program.

 

  CLICK HERE to review the flyer for this event.    

 

 

Topic

City

Date / Time*

Location

Five Ways to Reduce Your Dealership Workers' Compensation Costs

By Dave Campbell, Wells Fargo Insurance Services (formerly Acordia) and Lonnie Garcia, Pinnacol Assurance

Denver

Tuesday, May 22
10 am to 1 pm
 

(Lunch included)

 

Pinnacol Assurance Offices
(Hayden Pass Training Room)
7501 E. Lowry Blvd.
Denver, 80230

RSVP directly to Wells Fargo Insurance Services  at 719.785.8184.
 

Five Ways to Reduce Your Dealership Workers' Compensation Costs

By Dave Campbell, Wells Fargo Insurance Services (formerly Acordia) and Lonnie Garcia, Pinnacol Assurance

Grand Junction

Wednesday, May 23
10 am to 1 pm
 

(Lunch included)

 

Doubletree Hotel
743 Horizon Drive
Grand Junction, 81506

RSVP directly to Wells Fargo Insurance Services  at 719.785.8184.


 

 

* * * * * * *

 

SECRETS TO CREATING A SUPER CONTROLLER
 

Are you providing your dealer and managers with the reports they really need to make more money? Do you know what reports are crucial to monitoring your dealership and increasing profits?  In this dynamic half-day seminar, noted speaker, former super controller and consultant Sandi Jerome will give you the essential tools and information you need to answer these questions with a resounding yes!

 

Become a super controller and drive your dealership’s bottom line!

 

This is a must-attend event for general managers, office managers and CFOs who need to move from everyday “bean counting” methods to mastering super controller techniques that increase efficiencies, save time and drive profits.

 

In today’s competitive market, it’s critical that dealers have a “super controller” who’s focused on two things: maximizing profits and helping others streamline their processes. Don’t miss this opportunity to learn essential super controller secrets from Sandi Jerome, a sought-after speaker, former super controller, consultant and recognized expert in dealership internal controls.

 

Due to space constraints, this seminar

 is limited to the first 48 registrants.

Sign up today!

 

City

Date / Time*

Location

Denver

Thursday, July 26

8 to 11am

 

(Breakfast
included)

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

 

CLICK HERE for seminar flyer and to fax or mail
        your registration.  
 

       
CLICK HERE to register online.

 

Grand
Junction

Friday, July 27

8 to 11am

 

(Breakfast
included)

Doubletree Hotel, 743 Horizon Drive
970.241.8888

 

CLICK HERE for seminar flyer and to fax or mail
        your registration.  

     
  CLICK HERE to register online.

 


upcoming events

 

Event Description

Date / Time

Location

CADA Annual Golf Event

Monday, August 27


-Sponsor welcome at 11:30 am
 

- Noon shotgun start

Valley Country Club

14601 Country Club Dr., Aurora

 

CLICK HERE for more details on Valley Country Club.

  CLICK HERE for a reminder flyer to save the date.
 

Regional Member Briefings

 

Fall 2007
Dates to be determined

Locations to be determined

MDADA Annual
Membership Meeting

Tuesday, November 27

11 am to 2 pm

Cherry Creek Country Club

(more details to follow soon)

 


SIL-TERHAR MOTORS EXPANDS DEALERSHIP TO INCLUDE LINCOLN-MERCURY


Ford Motor Co. recently awarded a Lincoln-Mercury franchise to Sill-TerHar Motors.
With this addition, the dealership now operates the following franchises within a
quarter-mile radius in Broomfield:

  • Ford

  • Lincoln-Mercury

  • Mazda

  • Volvo

  • Jaguar

  • Aston Martin

  • Rolls Royce

“Once Ford decided to allow dealers to sell both Ford and Lincoln-Mercury vehicles at the same locations again, we picked Lincoln-Mercury back up in February,” according to Jack TerHar Jr., owner. “And so far, sales have been pretty brisk.”

 

Sill-TerHar Motors has eight storefronts in Broomfield, including the only Aston Martin and Rolls Royce franchises in the state. For more information, visit their website at www.sill-terharmotors.com.
 

* * * * * * *
 

welcome new allied member
 

Pass Time of Littleton recently joined CADA as an allied member. The services they can offer other CADA members include starter/interrupt and GPS technology software. For more information, contact Eli Pacheco of Pass Time directly at 303-623-5339 or e-mail epacheco@passtimeusa.com.

 

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LET US KNOW ABOUT YOUR ACCOMPLISHMENTS!

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 openroad@cadaonline.org.  Also include your contact information for further follow-up.

 


If you want to be added to our mailing list, please click here.
 


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

 

Copyright 2007 Colorado Automobile Dealers Association.  All Rights Reserved.