News August 2014 Industry News inside CAR/DEAC Status Update Minnesota Dealers Prepare Unclaimed Property Reports Due for “Quickie” Minimum Wage Rules Elections BBB Endorsement Minnesota new car and truck stores are great places to work. Wages and benefits are great. The work environment is clean and efficient. Service and ... dealers should be carrying a favorable parts departments in most MADA member dealerships message to their employees all the time are union free with the upcoming events majority of their employees sep OSHA & your Automotive Lifts recognizing that the costs 4 of collective bargaining far webinar outweigh the potential gain. sep Title Basics 9 Dealership owners agree Minneapolis and if a union attempts to sep Certified Title organize at their store, management tells their side of the story - 9 Minneapolis how unions impact employees and business, existing wages and sep Title Basics benefits, the realities of collective bargaining, strikes and work 18 stoppages. Brainerd But telling the management story takes visit time. Under www.mada.org current National for details, registration Labor Relations and a complete list of Board Rules (NLRB), once Upcoming Events and the union files Training an election Minnesota Dealers Prepare... continued on page 3 Scott Lambert, Executive Vice President • 200 Lothenbach Ave. • West St. Paul, MN 55118 • (651) 291-2400 • 1-800-652-9029 • FAX (651) 291-2894 Legislative News GMADA News ‘Tis the Season of (Political) GMADA Funds BBB Ad Giving Review Thank you to the 92 individuals who have The GMADA Board of Directors gave its contributed to CAR and DEAC, the state unanimous support to the BBB Automobile and federal political action committees of the Advertising Standards Program by providing automotive industry. There is a lot of outside funding for the upcoming year. This financial money in politics and candidates need resources support will continue to fund the dedicated BBB to be able to counter the noise and control their staff to monitor and act on complaints related to own messaging. CAR and DEAC funds are used misleading motor vehicle the BBB auto to support pro-dealer candidates for office who advertising. want to work with the industry, not against it. So advertising program far this year, we have raised $40,150 from 27% The Better Business is an important asset of our members. With three months to go until Bureau auto advertising to the Minnesota the General Election, we need 100% member program is an important dealer community participation to make an impact and ensure the asset to the Minnesota voice of dealers is heard. Another round of dealer community. The BBB provides education invoices to members who haven’t made their for dealership employees. The Bureau provides CAR/DEAC contributions yet will be going out in same-day advance review of broadcast and September. Please respond with a donation so print ads, checking for compliance with the BBB we can elect a majority of pre-dealer candidates Code of Advertising, the Automobile Advertising to St. Paul and Washington this fall. Standards and Federal Trade Commission guidelines. In addition, the BBB requests substantiation of advertised claims and will examine any questionable advertisements or trade practices brought to its attention. During the first 6 months of 2014, the BBB reports: • Prior-to-Publication Ad Reviews: 198 (15 dealers participated) The Minnesota Automobile Dealers Association is a • Ad Review Cases: 72 (63 dealers contacted) non-profit trade association dedicated to the progress of the retail auto industry in Minnesota. • Secret Shops: 37 (36 dealerships visited) President The BBB Automotive Liaison is Steve Farr. If Morrie Wagener, Morrie’s Automotive Group, Minnetonka you have concerns, questions or a complaint President-Elect Greg House, House Chevrolet, Stewartville about advertising, please contact Steve: sfarr@ Treasurer thefirstbbb.org or 651-695-2430. Mike Saxon, Inver Grove Ford Lincoln, Inver Grove Heights Secretary Rick Jensen, Jensen Motors, Inc., New Ulm Executive Vice President Scott Lambert, MADA 200 Lothenbach Avenue • West St. Paul, MN 55118 Metro: 651-291-2400 • Toll Free: 800-652-9029 FAX: 651-291-2894 • Web site: http://www.mada.org August 2014 / Page 2 Minnesota Dealers Prepare... continued from cover Industry News petition, it’s typically 42 days until the actual Minnesota’s TIME election occurs. Dealer of the Year However, the NLRB proposed changing the election rules. Under the proposed rule, elections candidate chosen could be held as soon as 10 to 21 days after the The Selection Committee reviewed all of the union files the petition with the NLRB. These nominations made by MADA members and a very “quickie” elections are unfortunate for dealerships qualified candidate has been chosen. and their employees; there’s just not enough time to fully discuss and air out the issues. The honor has gone to Todd Snell of Snell Indoor Auto Center in Mankato. The TMQDA program Although the “quickie” election rules are not recognizes outstanding new car dealers for final, Minnesota dealers are getting prepared. exceptional performance in their business and for GMADA labor attorney, Steve Burton conducted distinguished community service. a very well attended seminar earlier this month. One of his main points is that dealers should be The Time Dealer of the Year will be announced at carrying a favorable message to their employees the opening ceremony of the NADA Convention, all the time. His recommendations included a Friday, Jan. 23, 2015 at the Moscone Center in “top down” philosophy of fairness, managing by San Francisco, CA. walking around, maintaining competitive wages and benefits and setting clear expectations for supervisors regarding positive employee relations. A webinar recording of this program is available; contact [email protected]. Legislative News It’s Johnson vs Dayton in November On Aug. 12, Republican voters picked Jeff have given him the upper hand, as he benefited Johnson as their candidate for Governor. from party resources such as voter lists and Johnson, a former legislator and current get out the vote efforts. Johnson received just Hennepin County Commissioner, will face over 30% of the vote, with Zellers trailing by 6%, Governor Mark Dayton in the November General followed by Marty and Honour. Election. The primary election caps off months of speculation about who would challenge Dayton, MADA has a strong relationship with Johnson, as as four GOP candidates vied for the job: Johnson, he authored our pivotal eminent domain reform Former House Speaker Kurt Zellers, former in the 2006 legislative session. Over the next Representative Marty Seifert, and businessman three months, expect the campaigns to heat up Scott Honour. The campaign was low-key and along with the rhetoric. Within hours of the polls uneventful, with no breakout candidate as the four closing, pro-DFL expenditure groups had already focused on beating up Dayton rather than each launched online attack ads against Johnson – other. with many more to come. Johnson received the Republican endorsement at the party’s May convention – and this appears to August 2014 / Page 3 Legislative News Unclaimed Property Reports Due October 31st Dealers with unclaimed property to report - unclaimed property statutes. In addition to the or who receive a reporting notice from the Department’s own audit team, third party auditors Minnesota Department of Commerce - are are being used on behalf of the Department to aid required to file an Unclaimed Property Report no the state in its enforcement of the statutes. later than Oct. 31, 2014. Your 2014 report should Dealers who believe they are out of compliance include items outstanding before June 30, 2011 with the statutes for one reason or another have that are still unclaimed. the ability to enter into the Department’s Voluntary Common types of unclaimed property for dealers Disclosure Program and report past unclaimed include accounts payable vendor checks, property free from penalties and interest while customer credit balances, service contract limiting the amount of time they need to look back refunds, DVS fee refunds and prepaid order at old records. out parts. Property is typically considered Check the Minnesota Department of Commerce abandoned when the account is three or more website for additional information at years old. http://bit.ly/14WmPdB. Or get the MADA recorded The Department has implemented an audit seminar about Unclaimed Property at program in order to enforce Minnesota’s http://bit.ly/Xw5WEf visit us online at www.mada.org MADA News NADA 2015 Convention NADA has announced the details of the 2015 NADA Convention and Expo in San Francisco. The Convention has moved to a Thursday-to-Sunday schedule starting in 2015 (January 22-25). Watch for registration materials coming to you from NADA. MADA is very happy to announce that our popular member brunch will be held on Sunday, Jan. 25 from 11am – 2pm atop Nob Hill at the Fairmont San Francisco’s Crown Room. This location boasts some of the most spectacular views of the city and the bay. Be sure to put this on your schedule of activities at the NADA Convention. August 2014 / Page 4 Released by: Minnesota Auto Outlook Minnesota Automobile Dealers Association Covering the Minnesota automotive market Data thru June 2014 Minnesota New Retail Car and Light Truck Registrations Most Recent Two Months YTD thru June* YTD Market Share (thru June)* 5/13 & 5/14 & % % 6/13 6/14* change 2013 2014 change 2013 2014 change