Automotive News 40 Under 40

Automotive News has announced its new class of 40 Under 40 in automotive retailing, with two general managers from Michigan. This year’s standouts have been through back-to-back challenges of a pandemic and now a global inventory shortage. From reviving failing stores to devising programs for remote sales or service, they’re making a difference across their dealership groups.
John Allen (37) – General manager, Allen of Monroe
In 2008, Allen was selling cars for a dealership in Colorado and skiing in his spare time when his father, Tom Allen, asked him to come back to Michigan to work for him just as the recession was beginning. After he did so, General Motors put his father’s franchises on its termination list as part of its bankruptcy restructuring. The same month, his father became bedridden with stage 4 cancer, leaving John Allen to run the business during a turbulent year.
The family fought the franchise termination but needed a partner to keep the store afloat. (read more)
Patrick Daly (30) – General manager, Randy Wise Chevrolet
During his first year as general manager, a competing dealership opened nearby and poached three of his top staffers, a UAW strike halted GM production and the coronavirus pandemic hit the U.S., temporarily forcing the store to close.
Despite the obstacles, 2020 was the most profitable year in Randy Wise Chevrolet’s 31-year history. Daly came up with several strategies to get through the crisis, but he is most proud of his ability to navigate the used-vehicle market — a skill he’s been honing since his early days as a car salesman and his time as the used-vehicle director for another dealership. (read more)
We congratulate all the dealers and staff who work hard to make a positive name for themselves and the auto industry! If you have special news to share about yourself or someone else, please let us know. Email news@michiganada.org.

Getting hot and irritable? Five natural strategies to keep you cool

Blue Cross Blue Shield Blue Care Network of Michigan logo

Summer heat brings us water sports, sandy beaches, grill-outs and pool parties.  What’s not to love, right?

For those who are more sensitive to hot weather, the heat can also cause some unpleasant side effects.  These folks typically feel great in the fall, winter and even spring seasons, but come summertime, they get inflamed, overheated and irritable.  If this is you, you may be unconsciously making things harder on yourself.  Explore these 5 simple steps to keep the body cool, calm, and collected.

Drink water. Loads of it.  A combination of heat and dehydration can leave the body feeling exhausted, crabby and sluggish.

Eat local produce. When you visit your local Farmers Market, you supporting locally sourced foods and you are unwittingly helping re-balance the body.  Mother Nature provides the antidote to the season.  Summer’s harvest brings us an abundance of fresh fruits and vegetables for a specific reason.  These foods can typically be eaten raw, which is naturally cooling for the body.  Summer’s bounty is also low in calories, which regulates body temperature reducing the need to crank up the internal thermostat to burn through high-calorie foods.  Last, fresh fruits and vegetables are rich in carbohydrates.  This gives us plenty of energy to last through our longer and more active summer months.

Avoid heating foods. Summer nostalgia can cause us to crave grilled BBQ Ribs, handfuls of chips or picnic brownies.  Moderation is key.  If you find yourself reaching for spicy, rich or creamy foods frequently in the summer and are wondering why you are having symptoms of overheating (heartburn, inflammation or irritability), it may be wise to lay off the warming foods.  In general it is wise to reduce the consumption of salt, oil and spices.

Increase bitter foods. On the other end of the spectrum, there are foods that are naturally bitter and cooling that can be very beneficial during the hot summer months.  These include all leafy green vegetables, raw cacao, coffee (in moderation,) asparagus, artichokes, dandelions, and cucumbers among others.

Go outside to make food choices. Sure a warm cup of tomato soup might sound good after spending hours in air-conditioning. But if you really want to get in touch with what your body really wants this summer, step outside for a while and ask yourself what actually sounds good.  Some people report being naturally turned off to meat-heavy or creamy dishes simple because it’s so hot outside.  The more you can re-connect with Nature, the easier it will be to determine what foods would be most nourishing for your body.

Related:

This article was originally published on www.ahealthiermichigan.org, a website sponsored by Blue Cross Blue Shield of Michigan.  Blue Cross and MADA are your trusted partners in building a healthier business and workforce.

Legislation to Increase Capacity at Branch Offices

Secretary of State Jocelyn Benson announced legislation has been introduced to increase the Department of State’s capacity to serve customers at its branch offices. The bills would address a severe reduction of staff in previous decades and a backlog of transactions that need to be done following extensions of credential expirations throughout the pandemic.

In recent decades, disinvestment and other rollbacks at the Department of State cut offices by 46 percent and staff by 40 percent. Meanwhile, the state’s population grew 10 percent and the number of vehicles in Michigan increased 25 percent, leading to office wait times tripling from 2011 to 2018 to an average of nearly two hours at the ten busiest offices.

In 2020, these challenges were exacerbated by the pandemic, with exposures to the virus forcing staff to stay home and offices to close.

Kurt Berryman Takes the Top Honor (Again!)

After the votes were tallied in the latest MIRS/EPIC-MRA Insider Survey, our own Kurt Berryman has made the top spot (yet again) as the most effective individual lobbyist. He has taken most effective lobbyist in the biannual survey in 2019, 2017, 2015, 2013 and tied for the honor back in 2011. This year, he secured 9% of the vote.
Reached for comment by MIRS, the never shy Berryman offered up “I would like to thank Zoom, sweat pants, Door Dash and, of course, my wife — because that is smart lobbying.”
In the category of which membership association is considered “most effective” at lobbying, Auto Dealers of Michigan took the #4 spot with 5% of the vote. (Topped only by the Michigan Chamber, Michigan Beer and Wine Wholesalers and the Michigan Health and Hospital Association.)
Kurt has done an excellent job leading our legislative efforts and promoting the franchised car and truck industry in Michigan. If you have a moment, please reach out and offer your congratulations.

Sheryl Crow to Headline Motor City Car Crawl Charitable Evening in Downtown Detroit

Singer-songwriter and nine-time Grammy Award winner Sheryl Crow will headline the Motor City Car Crawl Charity Gala taking place in downtown Detroit at Campus Martius on August 7, 2021.

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The charitable event is part of the first-time Motor City Car Crawl, produced by the Detroit Auto Dealers Association (DADA) and the Downtown Detroit Partnership (DDP), a free, outdoor, walkable event that will kick off at noon, Thursday, Aug. 5 and last through Sunday, Aug. 8.

“Following a year that had a negative impact on many organizations, especially non-profits, we are thrilled to create and host a new event that will raise money for children’s charities,” said Doug North, DADA Special Events Chairman. “We are especially thankful to feature a big name, like Sheryl Crow, as our headliner to help draw people downtown.”

In addition to a performance by Sheryl Crow, the ticketed Charity Gala will feature an array of food and beverage offerings. The Gala will raise money for nine Detroit children’s charities including, Boys & Girls Clubs of Southeastern Michigan, Boys Hope Girls Hope Detroit, Children’s Center, The Children’s Foundation, Detroit PAL, Judson Center, March of Dimes Metro Detroit, University of Michigan C.S. Mott Children’s Hospital and Detroit Auto Dealers Association Charitable Foundation Fund, a fund of the Community Foundation for Southeast Michigan.

“Our partnership with Rod Alberts and the DADA continues to grow with this exciting announcement of Sheryl Crow as the headliner,” said Eric Larson, CEO, Downtown Detroit Partnership. “Public spaces continue to provide unique opportunities for our community to come together in Downtown Detroit and this ticketed Gala will provide critical financial support to nine local children’s charities.”

Tickets for the Aug. 7 Motor City Car Crawl Charity Gala will be available for $250 per ticket and can be purchased at naias.com/mc3-tickets beginning June 10. Recommended attire for the Gala is summer chic.

Statutory vs factory submissions

Armatus Dealer Uplift recently produced a new video covering statutory vs factory submissions for a dealer’s annual warranty labor rate increase. Most new car dealers are surprised to learn that a factory submission isn’t their only choice.. The purpose of a statutory submission is for a dealer to achieve warranty labor compensation at its retail rate, which is a market driven rate based on its warranty-like customer-pay repair transactions. The video provides good information you can use when evaluating factory protocol vs. statutory protocol and which is most advantageous for your business. Check out the 2-minute video here: https://youtu.be/oh6SFRZGBaE

Extension of REAL ID Deadline

The new deadline is May 3, 2023.

Secretary of Homeland Security Alejandro N. Mayorkas announced the Department of Homeland Security (DHS) is extending the REAL ID full enforcement date by 19 months, from October 1, 2021 to May 3, 2023, due to circumstances resulting from the ongoing COVID-19 pandemic. The pandemic has significantly impacted states’ ability to issue REAL ID-compliant driver’s licenses and identification cards, with many driver’s licensing agencies still operating at limited capacity. DHS will publish an interim final rule in the coming days to effectuate this enforcement date change.

“Protecting the health, safety, and security of our communities is our top priority,” said Secretary Mayorkas. “As our country continues to recover from the COVID-19 pandemic, extending the REAL ID full enforcement deadline will give states needed time to reopen their driver’s licensing operations and ensure their residents can obtain a REAL ID-compliant license or identification card.”

Beginning May 3, 2023, every air traveler 18 years of age and older will need a REAL ID-compliant driver’s license or identification card, state-issued enhanced driver’s license, or another TSA-acceptable form of identification at airport security checkpoints for domestic air travel.

All 50 U.S. states, the District of Columbia, and four of five U.S. territories covered by the REAL ID Act and related regulations are now compliant with REAL ID security standards and are issuing REAL ID-compliant driver’s licenses and identification cards. However, many state licensing agencies have extended the deadline for renewing expiring licenses due to a widespread shift to appointment-only scheduling protocols during the pandemic that has significantly limited states’ capacity to issue REAL ID-compliant driver’s licenses and identification cards. As a result, only 43 percent of all state-issued driver’s licenses and identification cards are currently REAL ID-compliant.  DHS and various states also need time to implement requirements mandated by the REAL ID Modernization Act, including changes that will streamline processing by allowing the electronic submission of certain documents.

DHS continues to work closely with all U.S. states, the District of Columbia, and U.S. territories to implement REAL ID Act requirements. For more information on REAL ID, visit www.dhs.gov/real-id.

Michigan Dealerships Drive the Economy

NADA’s recently released state-by-state retail data shows the auto industry’s impact on the overall U.S. economy, including employment and payroll figures, tax data and more.
Based on 2020 data, Michigan dealerships created 70,725 total jobs (which includes induced jobs) and supported a $2.1 billion payroll. This includes $575 million paid toward state and federal income taxes (based on direct, indirect and induced jobs). Michigan accounted for 3.9 percent of total U.S. new-vehicle registrations, and $2.3 billion in state sales tax paid!
Read more:

 

Zoom Meeting: Fair Credit & Voluntary Protection

MADA dealers and dealership staff are invited to join us for a virtual meeting with Paul Metrey from NADA. Mr. Metrey is the vice president of Regulatory Affairs and chief regulatory counsel, financial services, privacy and tax for NADA. He represents dealer interests before, and educates dealers on regulations promulgated by, federal executive branch agencies that oversee dealer operations.
This special speaker program will be held in conjunction with the MADA board meeting.
Wednesday, May 19, 2021 via Zoom (register)
 
MADA Board Meeting at 9:30am
We ask our board members to join us at 9:30am for an update on the association, plus a review of current legal and state regulatory issues. You do not need to be a board member to attend, but participation in the board meeting is limited to MADA dealers or a manager designated by the dealer.
 
NADA Presentation from 10:30-11:30am, with time for Q&A
The meeting will then open to all (including dealership staff) at 10:30am. The presentation from Paul Metrey with NADA will cover two issues that are becoming increasingly important for dealers and staff to understand — fair credit compliance and voluntary protection product rules. NADA has worked with other dealer advocacy groups to develop policy guides that dealers can adopt to maintain compliance. Mr. Metrey will review these guides and help dealers understand their federal responsibilities.
 
Fair credit compliance
Consumer advocacy groups have long argued that the portion of the APR that dealers earn for originating a credit contract – known as dealer participation or dealer reserve – is charged by dealers in an arbitrary and inconsistent manner that can lead to unlawful credit discrimination against consumers. The Department of Justice has stated that exercising pricing discretion presents this risk, but that there are also ways to manage it.
The optional Fair Credit Compliance Policy & Program adopts and builds on the DOJ approach to both ensure consumers are offered fair access to credit and protect dealers against pricing discrimination claims. As this issue is expected to gain considerably more attention in the months ahead, it is essential that dealers understand this threat and an effective way to address it.
 
Voluntary protection products
Many consumer advocacy groups have also advanced a series of concerns about voluntary protection products and called on the government to enact new measures to address them. It’s important to understand the threat to voluntary protection products.
The optional Model Dealership Voluntary Protections Products Policy addresses each major area of concern by offering dealerships a series of principles and actions it can adopt to strengthen its selection, offering, presentation, and sale of VPPs. Coupled with any additional requirements at the state or local level, this can foster a better customer experience while helping to protect the dealership.

Reminder That the Driver’s License Extension Has Expired

The Michigan Department of State reminds Michiganders that March 31 was the last day of the state legislature’s expiration extensions for driver’s licenses, state ID cards, temporary instruction permits, and registrations for vehicles, recreational vehicles and trailers that expired on or after March 1, 2020.
Online or self-service renewals. Drivers who haven’t renewed are encouraged to visit Michigan.gov/SOS to renew online or find one of the more than 145 self-service stations across the state
In-person renewals. Customers who are required by law to update the photo on their license or ID are encouraged to book an appointment at Michigan.gov/SOS. Each weekday at 8 am and noon thousands of next-day appointments become available for in-person appointments at branch offices across the state.