GNYADA March 2014 Newsletter

To read these stories and get the latest news online, visit the GNYADA website at www.gnyada.com

For Dealer Principals / General Managers / Sales Managers The Newsletter A Publication of Greater New York Automobile Dealers Association

New York Auto Show Attracts Industry’s Biggest Names 1

GM’s Barra Confirmed for Auto Forum; Ford’s Fields Keynotes at Press Breakfast

MARCH 2014 Volume 24, Issue 2

HIGHLIGHTS

GNYADA Moves Franchise Bill to Assemby Floor page 2 Guidance Available from NADA on Fair Lending page 3 GNYADA’s PAC Supports Your Business page 4 FTC Looking for Buyers Guide Compliance page 7 The Newsletter is published by GNYADA, a not-for-profit organization representing franchised automobile dealers in the New York metro area. 18-10 Whitestone Expressway Whitestone, New York, 11357

Joe Hinrichs, EVP and President, The Americas, Ford Motor Co.

Mary Barra, Chief Executive Officer, General Motors Co.

Mark Fields, Chief Operating Officer, Ford Motor Co.

Registration for the Automotive Forum also includes access to all networking events and the auto show’s press preview on Wednesday, April 16, and Thursday, April 17. To register go to www.jdpower.com or contact Stephanie Haina at stephanie.haina@jdpa.com for more information. Ford COO Keynotes Press Breakfast Mark Fields, Chief Operating Officer, Ford Motor Company, will keynote at the annual New York Auto Show Press Breakfast. Fields is expected to provide his vision for the industry and Ford’s place within it. This much-anticipated event kicks off the Show’s press preview on Wednesday, April 16 and attracts more than 850 media and auto executives in one of the industry’s largest annual gatherings.

With twenty-two requests by OEMs for press conferences, to launch more than 60 new vehicles over the two-day Press Preview, it is no wonder that the biggest names in the industry are lining up to actively participate in the 2014 New York Auto International Auto Show. Mary Barra, CEO of General Motors Co., and Joe Hinrichs, Executive Vice President and President, The Americas, Ford Motor Co., have both been confirmed as speakers at the 2014 Automotive Forum on Tuesday, April 15. “Mary Barra and Joe Hinrichs are two of the most important industry executives in the world,” said Neale Kuperman, GNYADA chairman. “We have an incredi- ble lineup of top-tier speakers combined with an impressive agenda that dealer prin- cipals should not miss.”

Dealer Hotline 718.746.5900 www.gnyada.com

The Newsletter • March 2014 1

GNYADA Moves Franchise Bill to Assembly Floor

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open-ended provision that will allow them to operate stores as factory stores. Senate Sponsor Change While the original sponsor of the bill in the Senate, Senator Lee Zeldin, has stepped back as he begins a time- consuming a run for Congress this year, Senator Tom Libous (R- Binghamton), the Deputy Leader of the Senate Republican Conference, and a long-time supporter of dealers and the auto industry, has taken over the sponsorship of the bill in the Senate.

ment that dealers receive “credit” for sales outside the dealerships’ RMAs.

GNYADA efforts to rally dealers to support amendments to the New York Motor Vehicle Dealer Franchise Law (A.7844-A/Gantt – S.6797/Libous) have helped to move the bill to the floor of the State Assembly for a vote. It could be voted on at any time. This bill will clarify and update cur- rent franchise law by adding a num- ber of important dealer protections, including limits on the frequency of required facility improvements; a clarified prohibition against the establishment of new factory stores; authority for dealers to sell non-fac- tory service contracts; and a require-

GNYADA’s efforts making headway

GNYADA has met with the Governor and with his staff, who have told us that they are supportive of the bill. In addition, dealers have been responding to emails and faxes from GNYADA by calling and emailing to legislators to express support for the bill. Legislators have told us that dealers’ calls and letters have had a definite impact. There is significant opposition by Tesla, which has stated it wants an

3 Dealer Preview Reception Celebrates 50 Years of Beatlemania Fab Cars and Groovy Music

This year’s Dealer Preview Reception will take place on Thursday evening on April 17, 2014. GNYADA, New Jersey and Connecticut dealers and their guests will have the opportunity for a pre-opening viewing of the Auto Show. Celebrating 50 years since the Beatles landed at JFK to take the U.S. by storm, GNYADA will have both the music and the vehicles of the 1960s “British Invasion” pro- vided by the LeMay Museum. The VIP Reception for dealers will kick-off the evening from 5pm- 7pm. The Show floor will be open to guests from 4pm-10pm. Contact: Ann@gnyada.com or call 718.746.5900 for more details.

TITLE SPONSOR:

SPONSORS:

The more you buy the more you save! ORDER YOUR VIP TICKETS TODAY!

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Greater New York Automobile Dealers Association • www.gnyada.com

The Newsletter • March 2014

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Direct Access to Legislators from GNYADA.com 4

name and address, and click submit, and you will see a message regarding that issue directed to your legislator. You can send it via email by clicking “submit” once more. If you have questions or need help with this process, please call Holly Montero or Stuart Rosenthal at 718.746.5900.

Inside the Legislation pages, you have an opportunity to look up your federal and state legislators. Click on any photograph, and you will have all the information you need to call, write, email or visit your legislator. If you click on the “Send an Email Now” button, you will find a detailed description of GNYADA’s latest legislative campaign. Fill in your

GNYADA is pleased to offer a new tool to help dealers find out who their legislators are, and to reach out to them to share their views. Legislator Lookup and Contact The dealer page on the GNYADA website now includes a “Legislation” tab. Go to the Dealer Homepage, www.GNYADA.com/dealer and click on the Legislation tab.

Guidance Available From NADA on Fair Lending

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reasons (from among several in the policy or others the dealer establish- es). The dealership has to record and document deviations from its pre-set compensation. It also establishes a periodic review process for managers to examine the documentation and take corrective action needed. NADA’s publication contains a brief overview and a template with instruc- tions. This is a voluntary program that dealers will have to modify to reflect their actual operations. Dealers should consult with legal counsel when mak- ing these decisions.

When Congress passed the Dodd- Frank Act, creating the Consumer Financial Protection Bureau (CFPB), dealerships were exempt from CFPB’s oversight. However, that agency has taken steps to impact deal- ers’ lending practices. The CFPB has issued “guidance” to automotive lenders regarding alleged- ly discriminatory lending by dealers. It also settled claims against Ally Financial that included a $90 million settlement.

Previously, members of Congress had sent bi-partisan, joint letters seeking answers from CFPB asking it to pro- duce the evidence it relied upon to arrive at its conclusions. After months without any satisfactory response from CFPB, the Financial Services Committee appears ready to get seri- ous on this issue. That letter asks, among other things, how and when CFPB decides there is a disparate impact, how it determines NADA Provides a Solution To assist dealers, the National Automobile Dealers Association (NADA) has issued its NADA Fair Credit Compliance Policy & Program , outlining best credit prac- tices and policies. It includes a fair credit policy and creates a framework for compliance with fair credit laws. Under the policy, dealers can establish a pre-set amount of compensation they will include in credit offers to every consumer, from which they will deviate only if there exists at least one pre-determined and pro-competitive

Congress Pushes CFPB for Answers

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that pricing differentials are attributa- ble to a consumer’s background, how it confirms comparisons are fair, and other specifics. A subpoena would require agreement by a majority of the Committee. If the agency failed to comply, Congress would have several options to force compliance, including a lawsuit.

U.S. House Financial Services Committee Chairman Jeb Hensarling (R-TX) has this month sent a letter to Consumer Financial Protection Bureau (CFPB) Director Richard Cordray threatening a Congressional subpoena unless CFPB provides detailed information regarding its con- troversial “guidance”, issued last year, in which CFPB warned automotive lenders that dealer reserves may vio- late the Equal Credit Opportunity Act (ECOA).

Greater New York Automobile Dealers Association • www.gnyada.com

The Newsletter • March 2014 3

GNYADA’s PAC Supports Your Business GNYADA’s comprehensive legisla- tive agenda in Albany is geared to protecting franchised new car dealers from laws and regulations that would make it more difficult or less prof- itable to operate in New York. As advancing in the Assembly (A.7844- A/S.6797). It will add a number of important dealer protections. 7

positive relationships with those who make policy decisions affecting our members. While more than 98% of GNYADA members have pledged the PAC donation included in their 2014 Membership dues, you can make additional contributions of $100, $250, $500 or more. Help make GNYADA PAC strong. Make a donation by calling Jennifer at the Association at 718.746.5900 x235.

We are also implementing the new lien release law, enacted last year as a result of GNYADA’s efforts. We can’t do this important work without your contributions. GNYADA’s PAC supports candidates who have demonstrated a willingness to consider dealers’ interests. Through PAC contributions and other outreach efforts, we are able to build

such, the Political Action Committee (PAC) relies on dealer participation to be effective. That participation is needed both as contributions to the Fund and as dealer engagement in political efforts. GNYADA’s top priority this quarter is to strengthen the Franchised Motor Vehicle Dealer Act. The legislation is

NLRB Proposes Union-friendly Rules The National Labor Relations Board (“NLRB”) has proposed amendments to rules that govern union elections. It has issued a new Notice of Proposed Rule Making (“Notice”) that would make it easier for unions to organize employees. Highlights of the Notice Pre-election hearings will take place seven days after a hearing notice is served, and employers would have to submit position statements by the start of the pre- election hearing. Any issues that the employer does not identify in its position statement would be waived. Employers will be required to 8 n n

an election), and the scope of the voting unit. Pre-election challenges would be severely curtailed. Essentially, the Notice reveals a deter- mination to hold the election first, and ask important questions afterward. The deadline for public comments is April 7, 2014. Dealers should expect these proposed rules to be implement- ed by later this year and plan to get updated training. GNYADA’s Employee Relations Plan (ERP) will provide concrete advice to plan members on what these changes mean to dealers and how to adapt to them. If you are not an ERP member, call Susan Bieber at 718.746.5900 to learn why you should be.

The Board proposes to substantially shorten the period between filing a petition and an election and requiring employers to provide unions with employees’ contact information, including phone numbers and email, quickly. These proposals would make it more difficult for employers to communi- cate effectively with employees and to respond to an organizing campaign in the shorter period before an election.

provide a preliminary voter list by the start of the pre-election hearing. If a dispute involves less than 20% of the bargaining unit, the disputed individuals will be permitted to vote subject to a post-election challenge. Pre-election hearings would be limited to factual disputes concern- ing representation (whether there is a legal basis for holding

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Learn practical tips to avoid discrimination and harassment issues in the dealership.

Nora Curtin, Supervisory Trial Attorney, Equal Employment Opportunity Commission James E. McGrath, III, Esq., Putney, Twombly, Hall & Hirson n n Employee Relations Plan is hosting a special program: Eliminating Harassment/Discrimination in the Workplace June 3, 2014 • 9:30am-11:30am • Center for Automotive Education and Training Speakers:

Save the Date

Greater New York Automobile Dealers Association • www.gnyada.com

The Newsletter • March 2014

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Richard Sox to Support GNYADA’s Dealer Advocacy 9

states, Bass Sox Mercer has success- fully addressed new car dealer issues of all types. Mr. Sox will work with GNYADA to address factory pro- grams, practices, and issues that affect dealers. Richard has worked closely with GNYADA on the last two Franchise Bills and has successfully represent- ed many dealers in our region. He is frequently a guest speaker at GNYADA programs and offers guidance and perspective to our efforts to improve the franchise law. Richard will provide regular items of interest to dealers on Franchise Law matters and will be a tremendous resource to GNYADA and its dealers. While customers and dealers appreci- ate the easy use and speed of elec- tronic communications, the danger of unintentionally creating enforceable contracts exists in each of these exchanges. For example, in a real case, an email response that an offer was “doable” created a valid contract. The email itself was determined to be a contract and second thoughts and reservations expressed later were insufficient to unwind the agreement. Avoiding Accidental Contracts To avoid this problem, train employees to be precise and take some precautions: Include a “boilerplate” statement in all emails/texts saying your messages are not binding until the signing of a physically executed, n

SAVE THE DATE: June 16, 2014 NINTH ANNUAL GNYADA GOLF OUTING

Old Westbury Golf & Country Club

GNYADA has retained nationally known franchise lawyer and advocate Richard Sox of Bass Sox Mercer to work with the Association on a vari- ety of dealer franchise issues. In its practice representing dealers and dealer associations in more than 40

Last year was a sell out! Don’t miss a great day of golf and the opportunity to showcase your business, all for a great cause!

Emails May Lead to Binding (Accidental) Contracts

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separate formal written agreement between the dealership and customer. Be explicit about what you need to do to close a deal, such as obtaining management approval. Train employees to review the contents of emails and texts prior to hitting the send button. Consider applying automatic disclaimers to business emails, to reinforce that casual emails will not constitute contracts, such as, “the printed signature does not constitute a signed writing for purposes of a binding contract,” or that “the company does not make offers or contracts by email.” When these disclaimers are included it can help prove that your dealership does not intend to create contracts through emails or text messages.

While email is indispensable in busi- ness (as was the fax machine a gen- eration ago), dealers need to be aware that the speed and informality of email can lead to the formation of “accidental contracts.” Many email exchanges are quickly prepared and sent, unlike written contracts that have been written, reviewed, and edited over time to ensure terms important to dealerships are included. Similar issues arise with text communications between dealership staff and your customers. Additional pressure has been placed on dealers by manufacturers requir- ing dealers to reply to customers’ email inquiries within a specific short time period and customers have come to expect instantaneous replies to their electronic communications.

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Greater New York Automobile Dealers Association • www.gnyada.com

The Newsletter • March 2014 5

11 NYC Expands Sick Leave Act Requirements

the time for an employee to file a complaint from 270 days to two years. Further, employers must give a notice of rights under the law to all current employees by May 1, 2014. Official notices are available at www.GNYA- DA.com/dealers . Click on “Paid Sick Leave Notice to Employees.” This only applies to New York City businesses. Failure to comply with the notice requirement can result in a fine of $50 per employee. Failure to comply with the requirement to provide paid sick leave carries very steep penalties and back pay.

only permitted leave to care for the employee, and his or her parents, spouse, and children. The amendment adds grandparents, grandchildren, and siblings (including half siblings, step siblings, and adopted siblings). The phase in period provided under the existing law has been eliminated; covered employers with will need to provide paid leave as of April 1, 2014. The phase-in provision for employees covered by a valid collec- tive bargaining agreement in effect on April 1, 2014 remains in the law. The Act also increases the record retention requirements for employers from two to three years and increases

Mayor de Blasio has signed into law the amended “Earned Sick Time Act” (Act) that passed only last year. The amendments, effective April 1, 2014, expand the Act significantly. Virtually all New York City business- es will have to provide mandatory paid or unpaid sick leave to employ- ees working in the City. Businesses that have five or more employees will have to provide up to five days of paid sick leave annually. That time can be used for the employee’s own illness or to take care of a sick family member. The definition of “family” is now broader. The existing law would have

NYC PAID AND UNPAID SICK LEAVE LAW

EXISTING LAW

NEW LAW (AS AMENDED)

Covered businesses with 15 or more employees.

Covers businesses with five or more employees.

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Covered businesses with up to 20 employees would have until October 2015 to comply.

All covered employers must comply

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by April 1, 2014.

Family defined as parents, spouses, and

Family as stated in the existing law plus grandparents, grandchildren, and siblings (including half-siblings, step-siblings, and adopted siblings) are now included as covered “family.” Mayor can designate another agency to enforce the law, and that agency has additional powers to issue subpoenas, impose fines, and make rules and regulations.

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children.

Department of Consumer Affairs is the

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enforcement agency.

Posting a notice was optional; notice to employees provided only on commencement

Notice of rights must be provided to employees;

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it may also be posted.

of employment.

Retain records for two years.

Retain records for three years

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Time to file complaint limited to 270 days.

Employees now have two years to file a complaint.

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Greater New York Automobile Dealers Association • www.gnyada.com

The Newsletter • March 2014

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Income Tax Residency Rule

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centage of total repair costs the deal- er will pay. In New York, state and local con- sumer protection agencies enforce the Used Car Rule, so don’t wait for the “feds” to come around to see if you’re in compliance. To make compliance easier, GNYADA has Buyers Guides avail- able. Call 718.746.5900 to order your Guides (in English or Spanish). property is not enough to find the taxpayer has a permanent place of abode. This ruling does not necessarily sig- nal any change with regard to sales tax. Dealers should continue to col- lect NY sales tax on vehicle purchas- es where the buyer has a connection to the State, such as a driver’s license or a permanent place of abode regardless of the amount of time it is used, until the Court or the Tax Dept. rules otherwise.

As a result, the FTC has begun an enforcement action against that deal- ership and two owners for violating the Used Car Rule. The case is pend- ing in federal court in Arkansas. The Guide must be posted on all used cars that are offered for sale. It offers consumers important infor- mation – such as what is covered by warranties, the general terms of war- ranties, the systems covered, the duration of coverage, and the per- York and are in the state for more than 183 days per year. In this case, a New Jersey resident owned a busi- ness and a multi-family house where his parents lived, both on Staten Island. He occasionally slept there to help care for his elderly father. The Appeals Court overruled the Tax Dept. and said that under those cir- cumstances, the taxpayer did not maintain a permanent place of abode in the state and did not have to pay resident income tax. Merely owning

New York’s highest court, the Court of Appeals, has narrowed the defini- tion of a residency by limiting the application of the “permanent place of abode” language in the statute. This ruling reinterprets the residency rule with regard to New York State (and City) income tax. The Tax Law provides that individu- als will be considered residents if they are either “domiciled” in New York (primary residence) or maintain a “permanent place of abode” in New

13 FTC Looking for Buyers Guide Compliance In 2013, the Federal Trade Commission (FTC) investigated

Arkansas dealers and discovered 11 who were not displaying the “Buyers Guides” that are required under the FTC’s Used Car Rule . It issued warning letters to all the dealers involved. The agency “re-visited” those dealers recently, and found that ten were now complying, but one was still not posting the Guides on used cars.

What To Do When a Dealer Plate is Missing What happens when a dealer plate is missing, lost or stolen? Follow these procedures to get a replacement deal- er plate. File a police report. Visit your Prepare your request to DMV for a replacement dealer plate on dealership letterhead. Your letter must be signed and notarized. Dealers must include the following items: Police report; MV-78B; MV-82; 14 1 3 4 n n n

Bring the documents listed above to your local Department of Motor Vehicles office, vehicle safety division. where a replacement dealer plate will be issued.

local Police Department and file a report for a missing, lost or stolen dealer plate. Obtain a written copy of this police report along with a completed form MV-78B from the police department.

Current insurance card, and Check made payable to the Commissioner of Motor Vehicles.

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Greater New York Automobile Dealers Association • www.gnyada.com

The Newsletter • March 2014 7

NYS Changes the Look of the Driver’ s License

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These new licenses cost only $1 more to produce than current licenses but they have 30 new security features, some not visible to the naked eye. The intent is to make it difficult to forge and attempt to thwart identity theft and terrorism. The new driver’s license will be phased in for those who already have been issued a card. As individuals renew or apply for a duplicate or anyone applying for the first time they will receive the new license. NYS DMV is predicting that all driv- ers’ licenses for those under age 21 will be replaced by the end of 2018. the decedent’s name is printed in the “Seller’s Name (Print in Full)” section on the back of the Title and the surviving spouse signs their own name in the “Seller’s Signature” Section, with the words, “as surviving Spouse”; and Copy of death certificate (DMV accepts copies). If the value exceeds $25,000, the surviving spouse can pay the excess amount to the estate and the vehicle will qualify under this provision. No surviving spouse If there is no qualified surviving spouse, ownership of one vehicle that has a value of up to $25,000 transfers automatically to any minor children (under 21). The spouse or the legal guardian of one of the chil- dren must sign the title certificate, indicating their relationship to the deceased owner. A guardian also writes “guardian of," and the name n

This fall, New York State introduced the “new and improved, tamper resistant driver’s license.” The most evident change is its new look. The license is now made of a rigid polycarbonate. In addition to a picture positioned on the left side it now features a laser engraved black and white photo on the lower right side, both of which are intended to be virtually tamper proof. Anyone under the age of 21 will see their information formatted vertically (not horizontally as for those over 21). Personal data, including name and date of birth are also laser engraved. Dealerships often see customers who want to trade-in a vehicle that belonged to a deceased relative. Those vehicles are often referred to as “exempt property” (that can be transferred easily). In order to accept such vehicle as a trade, the dealer must determine who is trading in (transferring) the vehicle, the cur- rent value (more or less than $25,000), and whether there is a pro- ceeding in Surrogate’s Court. Transfer by surviving spouse If the transfer is made by a qualified surviving spouse, New York law pro- vides that ownership of one vehicle with a value of $25,000 or less auto- matically transfers to the surviving spouse. To accept that vehicle as a trade-in, dealers will need the following: Completed Affidavit for Transfer of Motor Vehicle (DMV form MV-349.1); Completed original title on which n n

Transferring Vehicle Ownership from the Deceased 16

and the relationship of the child to the deceased owner (for example, “Charles Edwards, guardian of John Smith, son”). No spouse or minor children DMV will allow “ Next of Kin ” to transfer the deceased’s vehicle with the following: Completed Transfer of Vehicle Registered in Name of Deceased Person ( DMV Form MV-349); A completed original title – signed by the relative, indicating “Next of Kin”; and Copy of death certificate. Vehicles subject to probate If there is more than one vehicle or the vehicle has a value of more than $25,000, it is part of the deceased’s estate (it is not “exempt property”). The duly appointed Executor or Administrator approved by the Court must transfer the ownership. n n n

Greater New York Automobile Dealers Association • www.gnyada.com

The Newsletter • March 2014

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Karp Auto Group Donates Life-Saving CPR Units

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units, will allow Rockville Centre Fire Department personnel to train area residents on the correct way to provide CPR. When properly administered, CPR helps increase the survival rate of someone suffering from sudden cardiac arrest. “We’re proud to present these important CPR training units to the Rockville Centre Fire Department whose members do so much for this wonderful community,” said David Karp. The donation is part of the National Automobile Dealers Association’s community outreach program. NADA’s program is administered locally by GNYADA. The units allow personnel to train area residents on the correct way to provide cardiopulmonary resuscitation (CPR), allow- ing those trained to save the lives of countless people who suffer heart attacks and are in need of immediate attention. Nationwide, since 1975, franchised automobile dealers have donated thousands of CPR training units worth more than $2 million on which more than one million people have been trained.

Karp Auto Group President and CEO David Karp pre- sented two “Resusci Anne” CPR training units worth $10,000 to the Rockville Centre Fire Department. Karp is a Director of the Greater New York Automobile Dealers Association (GNYADA) which administers the CPR donations. Rockville Centre Mayor Francis X. Murray (pictured, center) presided over the presentation. Rockville Centre Fire Department Chief John Thorp, III, thanked David Karp, NADA and GNYADA for the dona- tion. The cardiopulmonary resuscitation (CPR) training

Enroll in NADA’s DealershipWorkforce Study Dealers know that attracting and keeping talented employees is a major challenge. To assist dealers, NADA is now collecting data for the 2014 Dealership Workforce Study . The Study is open for enrollment to NADA and ATD members; there is no cost to participate. Dealers rave about the study, which provides them with data to make informed recruit- ing and hiring decisions. positions, employee benefits pro- grams, hours of operation, work schedules, and retention and turnover to the aggregated data of other participating dealerships, both regionally and nationally; and 2014 Dealership Workforce Study Industry Report , which provides an overall industry-wide analysis of the aggregated DWS data, includ- ing hiring and retention trends, demographics such as generational a secure, web-based process that involves completing a survey and uploading payroll data. Enrollment closes on April 30, 2014. Eligible dealers can enroll at www.nadaworkforcestudy.com . For more information, send an email to WorkforceStudy@nada.org or call 800.557.6232. 18 n Dealers can enroll as individual dealerships or as dealer groups using

differences and the gender gap, compensation, tenure, employee benefits statistics, plus hours of operation and work schedules for all U.S. regions, as well as an eco- nomic overview of 2013 and fore- cast for the future.

Participating dealerships will receive two complimentary reports that will help improve recruiting and hiring decisions. They are: 2014 Dealership Workforce Study Basic Report , a custom report that compares the individual dealer- ship’s compensation for 60 job n

Greater New York Automobile Dealers Association • www.gnyada.com

The Newsletter • March 2014 9

19 Affordable Care Act Update

Participants will learn about: NYSERDA’s energy efficiency program offerings Qualifying measures such as light- ing upgrades, VFDs, motor upgrades, economizers, HVAC upgrades, chiller replacements, boiler/furnace upgrades and energy management systems How NYSERDA incentives can benefit auto dealership owners You can register for this webinar at https://gnyada.clickwebinar.com/Ener gy_Efficient_Upgrades/register Insurance Exchanges. Model Notices are available for employ- ers who offer health insurance and for those that do not at: www.dol.gov/ebsa/pdf/tr11-03r.pdf. Initial COBRA Notice – informs employees about the option of tak- ing COBRA through their employ- er or the Health Insurance Exchange. During the remainder of 2014, employers may not reduce their workforce or the number of hours worked to avoid the status of becom- ing a larger employer (100 or more full-time employees) unless there is a bona fide business reason for such reductions. Michael Conway, Executive Director of the GNYADA Insurance Brokerage is available to help mem- bers’ meet health insurance compli- ance requirements. Michael can be reached at mconway@gnyada.com or 718.746.8100. n n n n

The White House has delayed enforcement of another piece of the Affordable Care Act (ACA). Mid- sized companies (50 to 99 employ- ees) will not be subject to the “pay or play” mandate until 2016. Businesses with less than 50 full-time employees are not subject to pay or play penalties. Further, large employers (more than 99 employees) must offer qualifying health insurance to 70% of full-time workers in 2015, instead of the origi- nal requirement of 95% of the full- time staff. This is a transitional measure. In 2015, if an employer offers coverage to full-time employees that is neither affordable nor meets the minimum value requirements, the business will be subjected to a penal- ty. Penalties assessed for failure to meet the mandates of the ACA are not tax deductible.

as a subcontractor to DDC vendor Willdan Energy Solutions, is assisting with outreach efforts to educate cus- tomers about NYSERDA’s energy efficiency incentive programs. ERS provides program guidance and administrative support at no cost to ensure a positive program experience from application to incentive payment. Energy Upgrades Webinar GNYADA will host a webinar on April 15 at 11:00am to explain how dealers can save money with energy efficient upgrades to their facilities. What can your dealership do today to comply with the ACA: Determine whether you are a large (100 or more full-time employ- ees), medium (50 -99 employees) or small (fewer than 50 employ- ees) company. Determine whether health cover- age is offered to at least 70% of your full-time employees. Assess the affordability of your lowest-cost single health. Calculate the minimum value of your plan. Now Required: Dealers must provide the following documents to employees: Summary of Benefits and Coverage – ensures that benefits and coverage information is pre- sented in easy to understand lan- guage and can be used to compare to other plans. Model Notices – provide to each employee regardless of status. The notice provides information on the n n n n n n

Funding is Available for Energy Efficient Upgrades

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Dealers can now get funding from the New York State Energy Research and Development Authority (NYSERDA) to help offset the capital cost of ener- gy efficiency upgrades to dealerships. This means that dealers can receive incentives for installing approved energy-saving technologies. NYSERDA has a Buildings Outreach team that can discuss energy and business priorities and provide assis- tance in understanding and applying for funding opportunities. Energy & Resource Solutions (ERS),

Greater New York Automobile Dealers Association • www.gnyada.com

The Newsletter • March 2014

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Team GNYADA Headed to the 2014 Nationals

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awarded scholarships at local community colleges that have automotive technology programs. A large number of students

GNYADA thanks the following dealerships for lending vehicles and allowing students to train at their facilities for the 2014 competition:

Bottleless water coolers employ a sealed, airtight system that greatly reduces the risk of water contami- nation by eliminating human con- tact with the water source. Low Maintenance – set-it and for- get-it. Better tasting – bottleless water coolers use quality filters that purify water that protect and shield the product water from all elements. GYNADA members receive 40% off the standard monthly fee, and a bonus of 3 months FREE! Contact Roseann Ruskin 516-733-7600 ext. 635 and mention GNYADA to receive a bonus of the first 3 months FREE!!! n n n who participate in the competition pursue a career in automotive technology – and many are now employed with their mentor dealership. The winners of the NY regional event, Edison High School students Navin Indardeo and Vernon Surujbali will represent GNYADA at the National Competition at the New York International Auto Show on April 22 and 23. Navin and Vernon defeated 39 other teams from 20 different high schools across the greater New York area.

La Sorsa Auto Group Curry Chevrolet Robert Chevrolet, Inc. Lexus of Massapequa Eagle Auto Mall Manfredi Mazda Star Nissan Eagle Auto Mall Star Toyota Smithtown Toyota

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The GNYADA-sponsored National Automotive Technology Competition, the premiere competi- tion in the nation, has proven an excellent opportunity for dealers to build relationships with future super- techs. It connects students, local schools, instructors, and the commu- nity to introduce young adults to the auto industry. All participants are

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Point of Use Water Coolers Go Green, Save Money and Be Healthy! 22

DMV-DIRECT Does Out-of- State Work

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Help your business act responsibly by reducing your consumption of plastics. No more relying on outdated water coolers and water jug deliver- ies. Install point of use water coolers that tap directly into your facility’s main water supply and filters the water. Consult with our GNYADA DDC vendor US Coffee & Office Supplies. Some highlights of POU Coolers A 72% carbon footprint reduction means savings because the cost of transporting, storing and disposing of bottles is eliminated. Stop contributing to landfills and reduce dependence on oil-derived plastics. n n

DMV-DIRECT has the ability to handle registrations, plates, titles and duplicate titles for all 50 states. We are the only agency in NYS with the capacity to process Connecticut title work in-house. We have a short- er turnaround time than most other services and our fees are lower – in many cases as much as $45.00 less per transaction. For information on our fees for processing out-of-state transactions, call DMV-DIRECT at 718.747.0400.

Greater New York Automobile Dealers Association • www.gnyada.com

The Newsletter • March 2014 11

EMPLOYMENT CORNER GNYADA’s Employment Corner is a free recruiting and job placement service that lists qualified candidates for positions at dealerships. If you have a position to fill, call 718.640.2012 .

GNYADA Nurtures the Next Generation

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FILE #

POSITION

RESIDES IN

The GNYADA Scholarship Foundation is dedicated to fostering the next generation of automotive industry leaders and innovators. The vision for this Foundation is to ensure that the retail auto industry in greater New York remains strong, focused, and innovative in future generations. Like any other career path, students in the automotive trade seek financial help in funding their education. GNYADA begun accepting applica- tions for 2014 Scholarships. Applications are available online at http://www.gnyada.com/education/ scholarships . Sales Tax Workshop MAY 20, 2014 8:30am -11:30am Center for Automotive Education & Training Speaker: Steve Rosenblatt, CPA Rosenblatt, Levittan, Vulpis, Goetz & Co. This seminar is for dealer principals, general managers and controllers. Steve Rosenblatt is a CPA specializing in automobile dealership accounting. He will clarify answers to common dealership tax questions while helping to prepare

OFFICE Administrative Assistant

Bayside

640 641 642 643 644 645 646 647 648 649 650 651 652 653 654

Biller

Danbury, CT Fresh Meadows Hicksville Holtsville Merrick St. Albans Brooklyn Holbrook Bethpage Flushing West Babylon Middle Village North Babylon Springfield Gardens

Biller/Bookkeeper

Bookkeeper

Controller

SALES General/Sales Manager

Lindenhurst Glendale Ozone Park

655 656 657

SERVICE

Biller/Bookkeeper

Middle Village

648 649 650

Bookkeeper

Brooklyn Holbrook

Save the Date

Contact Us: 18-10 Whitestone Expressway | Whitestone, NY | 11357 Dealer Hotline: 800.245.4640 GNYADA Headquarters: 718.746.5900 E-Mail: assistance@gnyada.com DMV-Direct: 718.747.0400 GNYADA Insurance Brokerage, LLC: 718.746.5900 New York International Automobile Show: 718.746.5300 Center for Automotive Education and Training: 718.640.2000

you for a sales tax audit. Cost: $99 per attendee. To register call Phyllis at 718.746.5900 x271

The information contained in this newsletter may not be relied upon for the avoidance of tax penalties. Readers are urged to discuss any issues raised in this newsletter with their legal and tax professionals. Printed on FSC certified material. All original material except where noted. © GNYADA 2014

Greater New York Automobile Dealers Association • www.gnyada.com

The Newsletter • March 2014

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