GNYADA February 2016 Newsletter

To read these stories and get the latest news online, visit the GNYADA website at

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


FEBRUARY 2016 Volume 26, Issue 1


CAET Celebrates Ten Years

GNYADA celebrated the ten-year anniversary of the Center for Automotive Education & Training. The grand event was attended by 250 people, including media and elected officials, as well as the Center's stu- dents, teachers, and other auto industry representatives.

Dealers Targeted for Deceptive Practices page 3

Service Advisors Get Their Day in Court page 4

OSHA Increases Fines page 5 Supports Dealer Financing page 7 Updated EPA Underground Storage Tank Rules page 9 Workers Who Test Positive for Medical Marijuana page 10

GNYADA Involved in Governor's State Agenda

GNYADA helped to support Governor Cuomo’s clean energy goals by build- ing an exhibition of 12 Clean Technology Vehicles, which was dis- played outside his State-of-the-State address in January.

Affordable Care Act Changes page 11

Dealers Donate 7,300 Winter Coats

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

100 dealers collected 7,300 coats, to help homeless and other needy individuals make it through the cold winter. With Freeman’s help, GNYADA delivered a truckload of coats to New York Cares’ Manhattan distribution center.

Dealer Hotline 718.746.5900

The Newsletter • February 2016 1

CAET Celebrates Ten Years

GNYADA built the Center in 2005, with the goal of attracting new people to the industry and offering continual education and training for dealership employees. Since then, more than 36,000 dealership employees have been trained at the Center.

Several dealership employees took the stage and spoke about the Center’s impact in furthering their careers. The program also included testimonials from many elected officials, some of whom were in attendance to present honorary proclamations to GNYADA and to Association President Mark Schienberg. To make the event truly special, GNYADA also presented $50,000 in automotive student scholarships, throughout the morning. We would like to thank the Center's key supporters in both government and education, who donated their time in acknowledging this proud milestone. Particular thanks to U.S. Senator Chuck Schumer, Congressman Joe Crowley, Congresswoman Grace Meng and Queens Borough President Melinda Katz, who offered congratulatory messages via video. Thanks as well to State Assemblymen David Weprin and Michael Simanowitz, State Senator Toby Ann Stavisky, DMV Executive Deputy Commissioner Theresa Egan (who delivered a proclamation on behalf of Governor Cuomo), Lincoln Technical Institute CEO Scott Shaw, United Federation of Teachers VP Sterling Roberson, and Snap-On Tools' Education Manger Barrett Crane, all of whom added to the distinction of this important event, with their attendance.

GNYADA Involved in Governor's State Agenda GNYADA continues engaging in active dis- cussions with the Governor’s Office, regard- ing incentives that will promote electric vehi- cle purchases throughout the state; these include customer rebate offers, tax benefits, HOV lane access, and more. Association President Mark Schienberg was also invited to be part of the Governor’s announced expansion of the Jacob K. Javits Convention Center. The plan would add more than one million square feet to the convention center. The New York International Auto Show is the largest event held at the Javits Center, which produced over $300 million in local economic benefit in 2015.

GNYADA President Mark Schienberg (Left) and Government Relations Committee Chairman Brian Miller at the Clean Technology Vehicles exhibition displayed outside the Governors State-of-the-State address in Albany, NY.

Dealers Donate 7,300 Winter Coats

The 100 GNYADA members that got involved in this year’s coat drive represented a 66% increase in dealership partic- ipation vs. last year. This year's donation of coats is GNYADA’s largest for a single season and for the third year in a row, GNYADA is New York Cares Top Multi-Location Collector. The total number of coats collected by the Association over the past four years now tops 25,000.

GNYADA’s coat delivery to New York Cares, which was covered by WABC, FOX, and sever- al other news agencies, helped to raise awareness of the coat drive and urged others to donate. The Association also extends collection sites beyond the five boroughs, all the way to Rockland County and eastern Long Island.

Greater New York Automobile Dealers Association •

The Newsletter • February 2016


Lawsuits Announced Against Local Dealerships For Alleged Deceptive Practices


with General Motors and two dealer- ship groups.

for falsely purporting to “fix” indi- viduals’ credit scores.

Settlements are running into the mil- lions of dollars. In addition to restitu- tion, dealers typically pay for state and federal costs accrued in pursuing these violations. Takeaway for Dealers To avoid violations under these regu- latory bodies’ evolving rules, dealers must review all aftermarket products they offer, as well as the practices that are used in advertising and sell- ing all items, assuring that proper disclosures are made to consumers. Further, dealers should stop selling credit repair products.

Under State law, only certain types of nonprofits and licensed attorneys can charge or collect any fee prior to per- forming credit repair services. Federal law has similar prohibitions in taking advance fees and requires specific disclosures.


The New York Attorney General is taking enforcement actions against dealers’ sales practices, and the Federal Trade Commission has set- tled deceptive advertising charges with multiple dealerships across the country. NY AG FINES DEALERS SELLING CREDIT REPAIR PRODUCTS Recently, the AG sued a local dealer- ship group and simultaneously settled with other local dealers who sold unlawful credit repair services to cus- tomers. The AG’s Consumer Frauds Bureau began the process of shutting down Credit Forget It last summer ,

The AG and the FTC continue active- ly investigating dealership advertising practices. The AG’s office in New York has settled with several local dealers for alleged advertising guide- line violations. New ad enforcements regarding recalls: Regulatory agencies are now review- ing advertised preowned vehicles that are promoted as having gone through multi-point safety equipment inspec- tions but subsequently turn out to have open recalls. The FTC recently entered into agreements on this issue

From Social Objectives to Business Objectives The power of the Facebook News Feed February 24, 2016 10:00am-1:00pm

Save the Date

Center for Automotive Education & Training 15-30 Petracca Place, Whitestone NY 11357 Presented by Trace Przybylowicz, Global Marketing Solutions, Facebook

Trace Przybylowicz will cover the ever-changing social media landscape and the incredible power of the Facebook News Feed. Trace will also discuss how Facebook has moved beyond Likes, Comments and Shares into a world of measurable business results. To register, please contact: Carole at or 718.640.2012

Greater New York Automobile Dealers Association •

The Newsletter • February 2016 3

Beck Chevy vs. GM Court Date Set for March 22


The New York State Court of Appeals has

laws, and the fairness of the manu- facturer’s attempted shutdown of Beck Chevrolet, for failing to meet it. GNYADA has filed an Amicus Brief opposing GM’s statewide sales stan- dard and defending the Yonkers deal- ership in maintaining their right to stay in business. The Association will be appearing as a friend of the court during the March proceedings, where it will present this brief which reveals

key issues supporting Beck’s posi- tion.

announced it will hear arguments in the case of Beck

The court’s ruling will impact all dealers in New York State. The Association will keep its members informed on this important case, as it unfolds.

Chevrolet Co. vs. General Motors LLC on March 22nd in Albany. This is the case in which a federal court has asked the State Court to judge the soundness of GM's sales performance standard under New York franchise

Our previous coverage of this case can be found on our website.

Service Advisors Get Their Day in Court — U.S. Supreme Court to Review Service Advisors’ Overtime Exemption


The U.S. Supreme Court has agreed to determine whether service advisors are entitled to federal overtime pay under the Fair Labor Standards Act (FLSA). The Act explicitly exempts “any salesperson, partsperson, or mechanic primarily engaged in sell- ing or servicing automobiles” from the Act’s overtime pay requirement. Service Advisors primarily sell vehi- cle servicing work to customers, and are usually paid on commission. This has led many dealerships to catego- rize these employees as exempt “salespeople.” The Department of Labor and the courts are in conflict on this issue. Legal precedent supports the dealers, previously holding that service advi- sors are salespeople, and thus exempt from the overtime provisions of the FLSA. However, the DOL changed its previ- ously long-standing enforcement position and stated that it would no longer consider service advisors exempt from overtime under the “salesperson” exemption, concluding

that the exemption was limited “to salespeople who sell vehicles and partspeople and mechanics who serv- ice vehicles.” In March 2015, the US Federal Court of Appeals held that dealership serv- ice advisors were nonexempt employees under the FLSA and must be paid overtime. The Court, relying on the DOL’s guidance, held that because the service advisors neither sold nor personally serviced vehicles, they were not exempt from the over- time provisions of the FLSA. This decision contradicted prior deci- sions, which declined to adopt the DOL’s position. A California dealer- ship appealed the case to the U.S. Supreme Court to address this split and make a final determination as to whether service advisors are exempt from the FLSA overtime require- ments. GNYADA will continue to follow this case and keep members up-to- date on the Supreme Court’s deci- sion. In the meantime, please contact

us if you have any questions about how to classify your service advisors pending the Court’s decision. Jim McGrath, Esq. from Putney, Twombly, Hall & Hirson will discuss wage issues relating to this case at the Spring Labor Law program on April 21. To register, please contact GNYADA at 718.746.5900 or

Greater New York Automobile Dealers Association •

The Newsletter • February 2016


7 GNYADA President Honored at Mental Health Benefit

ble understanding of the issues.”

With this hefty increase, fines for minor workplace safety violations will go from roughly $7,000 to $12,500, while maximum citations will now be around $125,000, up from $70,000. Criminal Sanctions for OSHA Violations The U.S. Department of Justice (DOJ) recently announced a series of steps intended to increase the number of criminal charges associated with workplace safety violations. In order to raise the volume and like- lihood of criminal prosecutions, the DOJ is urging prosecutors to aggre- gate multiple felony violations into a single group of actionable charges. This means that charges like false statements, obstruction of justice and witness tampering, which often go along with OSHA violations, would decades,” said Schienberg. “I am especially grateful because new car dealers are often overlooked for the good work that they do, the huge number of people they employ, and the tremendous financial contribu- tions they make in their towns and cities.” Continued Schienberg, “Our industry fully supports TSINY’s mission to provide a broad spectrum of client- centered services to support and empower individuals with mental health challenges. The focus on pro- moting overall well-being, rather than just treating an illness, shows incredi-

GNYADA president Mark Schienberg was recently named 2015 Businessman of the Year by Transitional Services for New York (TSINY), a private, not-for-profit provider of mental health services, headquartered in Queens. The award event, which also coincided with the organization’s 40th anniversary, drew many prominent business profession- als and elected officials to attend. “I humbly accept this great honor on behalf of the more than 450 fran- chised new car retailers who make up GNYADA, that it has been my pleas- ure to head-up for the past three

Funds raised from the anniversary event went to support TSINY’s mis- sion of providing community based services to individuals recovering from mental illness, and instilling them with independence and selfre- liance.

For additional information, visit .

8 OSHA Increases Fines — DOJ Seeks to Increase Criminal Charges for Safety Violations

be added to existing workplace safety prosecutions and augment the penalty. The Environmental Crimes Section of DOJ’s Environment and Natural Resources Division is also being authorized to coordinate with the U.S. Attorney’s Office in handling investigations and prosecutions of workplace safety cases. Dealers need to continue to be aware of the types of workplace violations that can be dangerous to employees and the financial tolls they can take on business operations. For any questions about OSHA compliance or fines, please contact Susan Bieber at 718.746.5900 or

Starting in August 2016, fines for OSHA violations will increase by as much as 80%. This is a result from a budgetary provision signed into law last month by President Obama. The Department of Labor has not been able to increase the amount of their fines for the past 25 years. The sharp increase in these fine amounts will “make up for lost time” by adjusting for 25 skipped years of inflation in a single stroke. Furthermore, OSHA penalties will continue to raise year-after-year mov- ing forward, to continue keeping pace with inflation.

Greater New York Automobile Dealers Association •

The Newsletter • February 2016 5

NADA & Dealer Reps Defend Franchise System 9

The Federal Trade Commission (FTC) held a one-day public work- shop on January 19, 2016, to discuss and accept comments on various issues related to auto retailing. The workshop consisted of presenta- tions and discussions focusing on the following topics: the regulation of dealer location; laws relating to reim- bursement for warranty services; restrictions on manufacturers’ ability to engage in direct sales to con- sumers; and new developments affecting vehicle distribution, such as autonomous vehicles, connected cars, and the rise of subscription-based automobile sharing services. The workshop looked at how state laws and regulations governing car sales may affect consumers and com- petition and to what extent the need for those laws continues to exist. It also explored whether less restrictive alternatives to the current system might meet policy goals while pro- moting greater competition and inno- vation.

a balanced one. In particular, both the FTC speakers and the supposedly neutral economists the agency select- ed to speak brought preconceived attitudes to the discussion that were hostile to the franchise system. However, the dealer representatives — including GNYADA outside coun- sel, Richard Sox, Esq. of Bass Sox Mercer and ATAEs Jim Appleton (NJ) and Peter Welch (NADA) — were well prepared, presented well, and effectively rebutted the points made by the various manufacturer representatives and the economists and lawyers recruited by the FTC. After the day’s sessions ended, Peter Welch, president of the NADA issued a statement that read in part: “A lot of what we heard today was, in fact, an affirmation of the tremendous value to consumers that the independent, franchised dealer network provides. “Empirical research has demonstrated that intense competition among fran- chised dealers lowers new-car prices by hundreds of dollars. But the bene- fits to consumers don’t end there —

they extend to service, warranty work, recalls, and the hundreds of millions of dollars that’s invested in local communities.” Welch added, “The only question that wasn’t answered today is how con- sumer interests would be better served if the FTC, or another federal agency, were to upend the automobile retail sector.” The process now moves to the writ- ten comment stage. NADA will be preparing and submitting a compre- hensive set of comments. The prepa- ration will include working with ATAEs, as well as dealer lawyers, dealer accountants, and other third parties, to ensure that the record reflects the many instances of manu- facturer abuse and other factual and market realities that lead legislatures to enact these laws. The workshop can be viewed on the website: events/events-calendar/2016/01/auto- distribution-current-issues-future- trends

As expected, the proceeding was not

Join NADA — Amplify Your Voice in D.C.


The National Automobile Dealers Association’s voice in the national arena can only be as strong as the number of dealers they represent. If you are not already an NADA mem- ber, join today to help the organiza- tion effectively lobby for your inter- ests in D.C. In 2015, NADA lead the charge to protect dealer assisted financing against CFPB overreach. They're also critical guardians of the franchise sys- tem, vigilantly contesting any pro-

posed federal regulations that would impede dealership business.

To inquire about joining, please contact Jennifer Berman at the Association, jen-, 718.746.5900 ext. 235, or the NADA membership line at 800.252.6232 ext. 2.

In addition to NADA’s lobbying work in D.C., membership benefits include:

Industry news alerts Access to management guides Discounts on convention registration Discounts on education and training In-dealership consulting






Greater New York Automobile Dealers Association •

The Newsletter • February 2016


CFPB Reformation Bill Awaits Senate Review


the CFPB’s ability to enforce fair credit laws in auto financing through financial institutions. Rather, it nulli- fies the Bureau’s 2013 guidance on indirect auto lending — that report alleged customer loan bias based on racial discrimination, which was the basis for the CFPB’s claim that it needed to oversee dealer financing. The Guinta-Perlmutter bill also man- dates safeguards that CFPB failed to follow in putting forth that bulletin, such as public participation and trans- parency. The important passage resulted from years of hard work on the part of dealers nationwide, as well as NADA, GNYADA and other state associations. GNYADA meets contin- uously with New York Congressional members and Senators urging them to help block the CFPB’s grab for total control over a critical step in car buy- ing. House support for this bill was also notably bipartisan, with 244 Republicans and 88 Democrats voting in favor.

As has been reported , the House of Representatives overwhelmingly approved H.R. 1737 on November 18 of last year. The bill reforming the CFPB’s influence over dealer assisted financing, also known as the “Reforming CFPB Indirect Auto Financing Guidance Act,” was adopt- ed in a 332-96 landslide vote.

to the Senate, where the bill awaits review by that chamber's committee on Banking, Housing, and Urban Affairs. New York Senator Charles Schumer is a member of this impor- tant committee, as is Senator Elizabeth Warren. Introduced by Representatives Frank Guinta (R-N.H.) and Ed Perlmutter (D-Colo.), the bill does not restrict

GNYADA will continue monitoring this bill’s activity in the Senate.

Focus on this issue has since shifted Supports Dealer Financing


GNYADA would like to commend Steven Finlay of WardsAuto on his recent article, Shocking News: Dealers Don’t Give It Away . Steven's article is a straightforward explana- tion of the dealership business model. He focuses particularly on dealer assisted financing, a practice that's routinely misrepresented and misun- derstood.

of detailing the kind of services deal- ers perform and the fees that are asso- ciated with them. Finlay draws paral- lels to the fuel and food sales indus- tries, which also involve middleman service fees, and correctly concludes that this is a noncontroversial, indus- try-wide trend. Importantly, this article is also a fair- ly devastating takedown of Elizabeth Warren’s claim that consumers are

being unethically swindled whenever they buy a car, as well as her contest- ed figure of $26 billion that dealers supposedly pocket as a result. We strongly encourage our members to read this interesting and meaning- ful piece: ing-news-dealers-don-t-give-it-away.

The January 4 article does a great job

Greater New York Automobile Dealers Association •

The Newsletter • February 2016 7

GNYADA Publications Win Top Awards for Association Media 13

We’re proud to inform our members that two of GNYADA's most popular publications recently received significant industry awards.

The Association TRENDS All-Media Contest is a competition that fea- tures the best in marketing and communications that are produced by associations in the U.S. Their 2015 Gold Award for Educational Programs went to GNYADA for its Automotive Workshops and Seminars Guide.

The Association’s 2015 Membership Directory won the Silver Award in the Membership Directory Category. Winners will be honored at the Salute to Association Excellence event in Washington D.C. in February, and also featured on . The Association thanks and congratulates the Education Committee, chaired by Nick Toomey, and the Membership Committee, chaired by Gary Brown, for their guidance and input on developing these award- winning publications, and looks forward to producing many more in the future.

New Firm— Familiar Faces


GNYADA would like to congratulate Doug Clark and Cindy Shenker on recently starting their own firm. Shenker Russo & Clark LLP is now the Association's main lobbying firm in Albany. Both Doug and Cindy are dedicated attorneys that our members know well. Having worked with the Association for over a decade, they have intimate knowledge of the issues in state government that most impact our dealers. With nearly 60 years of experience in the legislature between them, both Doug and Cindy have been vital contributors to the passage of several franchise bills, as well as ushering in doc fee increases. We look forward to continuing our relationship with Doug and Cindy, and wish them the best of luck with their new firm.

Cindy Shenker

Doug Clark

Greater New York Automobile Dealers Association •

The Newsletter • February 2016


EPA Rules on Underground Storage Tanks 15

ensure that all components of a UST system, designed to detect and prevent a discharge, are oper- ating properly.

Dealers must perform monthly inspections that consist of a visual evaluation of spill prevention equipment and release detection equipment. Containment sumps piping — such as for STPs — must be viewed at least annually. Dealers are required to test spill prevention equipment, containment sumps used as secondary contain- ment for piping and overfill pro- tection equipment every three years.

The United States Environmental Protection Agency (EPA) has imple- mented new Underground Storage Tank (UST) regulations. The changes affect rules for staff training and secondary containment, as well as periodic operation and mainte- nance requirements. The changes are intended to help prevent and detect UST releases, which can contaminate groundwater.


The EPA rule changes are also intended to catch problems early, through regular equipment inspec- tions. The Agency is allowing a three-year implementation window, for the new rules. These new UST regulations will be a topic of discussion at GNYADA’s Annual OSHA Compliance Program on March 16. Contact Phyllis at to register. .



Some of the new requirements include:

Dealers must now ensure that all tank operators are trained to pre- vent and respond to leaks/spills.


Release detection devices must be tested annually. This testing will


Annual OSHA Seminar March 16, 2016 8:30am-11:00am Center for Automotive Education & Training

Save the Date

15-30 Petracca Place, Whitestone NY 11357 To register, please contact: Phyllis at or 718.746.5900

Warranty Guides

GNYADA thanks Brown & Brown of New York — a member of our Dealer Discount Program— for their continued financial support in producing our annual Official Warranty Guides. If your dealership needs an extra copy of the 2016 Guide, our Field Reps can deliver one. Just call the Association at 718.746.5900.

The Official Warranty Guide Quickly identify factorywarranty on all vehicles.



Published by:

Greater New York Automobile Dealers Association •

The Newsletter • February 2016 9

Procedures for Workers Who Test Positive for Medical Marijuana


a major safety rule by being under the influence during business hours, you may dock their pay. An hourly employee can be relieved for the remainder of the day, with no pay. Other states that have legalized med- ical marijuana do face the problem of dishonest employees obtaining bogus prescriptions, to support recreational usage. So, this change in state law may require new vigilance. If an employee tests positive for mar- ijuana, and subsequently insists they have a valid prescription, their employer is right to be skeptical. The state’s legalization of medical mari- juana does not corner New York employers into tolerating suspicious claims, but individual situations require specific handling. The Association can advise you on when it’s permissible (and wise) to validate doctors’ notes or prescription slips for medical marijuana, and how to go about doing so: 718.746.5900

As of this year, medical marijuana can be prescribed in New York State, raising new questions for local deal- erships about what to do when a medicinal user fails a drug test. In most circumstances, you should treat an employee using medicinal mari- juana in the same manner as you would any other employee who takes prescription medication for a disabili- ty or medical condition. If an employee with a valid prescrip- tion isn’t under the influence at work and is satisfactorily performing their duties, there’s nothing more for an employer to do. But an impaired worker — with a prescription — should be relieved for the day. Per the Americans with Disabilities Act, they may need a new work schedule, if their condition requires them to regularly use medical marijuana at a time that conflicts with their current workday. Businesses maintain the right to establish their own health policies, regarding physicals and drug testing.

However, given the change in state law, dealerships need to consider a few new facts: Marijuana remains in a person’s system for up to 30 days. Both recreational and medicinal users will likely fail a drug test, but not necessarily be impaired at work. If an employee tests positive for medicinal marijuana, but is unim- paired on the job, not only is there no cause for discipline, but an employer who does take action runs the risk of discriminating on the basis of disability. If a worker is under the influence on the job, you can and should send them home; but you may not be able to terminate their employ- ment if they have a valid medical prescription. Sending home an impaired worker raises the question of how to pay them for the day. If you deem a salaried employee to have violated n n n n

Early-Year Reminders from DMV-DIRECT


As soon as you complete an MV-50 book, send it to the DMV. This is the only sure safeguard against running out of forms. Dealerships will occa- sionally hold onto completed MV-50 books, either because they don’t have time to put the forms in order or they want to save on shipment cost. This is a risky move, though, considering the DMV’s often high volume of work — they won’t send the dealership a new book until they’ve received a com- pleted one. Did you return all of your unused 2016 Inspection stickers? They must all be returned before March 1, 2016 in order for dealerships to receive their credit for them. All motor vehicle work is to be sent to DMV within 5 Calendar days not 5 business days of a temporary registration issuance. This remains the num- ber one DMV violation, and DMV-DIRECT can help you steer clear of it.


Registrations Transfer plates Renewals Title processing VIN searches Low rates



CALL 718.747.0400

Greater New York Automobile Dealers Association •

The Newsletter • February 2016


GNYADA's 2016 TIME Dealer of the Year Nominee Joseph A. Stanco, Rallye Motors


receiving the group's Humanitarian Award in 2014. He donates heavily to numerous other charities, including the Boomer Esiason Foundation (fighting cystic fibrosis), Long Island Cruizin' for a Cure (fundraiser for Prostate Cancer testing and research), St. Mary's Hospital for Children and the “Making Strides Against Breast Cancer” walk at Jones Beach. On a personal level, Stanco is espe- cially dedicated to organizations that fund cancer research, having lost two sisters to the disease. He is on the board of Swim Across America (SAA) and actively supports its mis- sion to raise money for cancer organi- zations through swimming events. The TIME Dealer of the Year award will be presented on April 1, at the NADA Convention in Las Vegas, NV.

National Automobile Dealers Association (NADA). Nominees are American new-car dealers who not only excel in their business, but also make important contributions within their community. The Association's 2016 Time Dealer of the Year nominee is Joseph A. Stanco from Rallye Motors (Mercedes-Benz). As President and CEO of Rallye Motors, Stanco also oversees Rallye BMW, Rallye Lexus and Rallye Acura. He shows great commitment to the many communi- ties that his dealerships serve. Since 1995, Stanco has hosted holi- day parties for underprivileged chil- dren, at his Mercedes-Benz dealer- ship in Roslyn. He has also been a board member of the American Red Cross on Long Island since 2013, employees may need to alter the cov- erage they offer, which could poten- tially increase their premiums. Given this, we recommend that deal- erships begin the process of renewing their health insurance programs soon- er rather than later, so they will know whether their premiums are going up. (The requirement to report on the health coverage offered to fulltime employees — and their dependents — is not changing. That mandate still applies to any employer with 50 or more full time employees or fulltime equivalents.)

Joseph A. Stanco, President and CEO, Rallye Motors

The TIME Dealer of the Year award is given out once a year by TIME Magazine, in partnership with Ally Financial and cooperation with the

Affordable Care Act Changes Small-group threshold increases to 100 employees


Under the Affordable Care Act, all “small-group” employers must pro- vide healthcare — to eligible employ- ees — with minimum essential cover- age, encompassing ten separate points of medical care. These are also known as the 10 Essential Health Benefits and are listed below, for ref- erence. Previously, New York State business- es that employed 50 or fewer fulltime equivalent employees were consid- ered small-group. However, as of January 1, small-group now applies to companies that employ 100 or fewer fulltime equivalent employees.

Emergency Services Hospitalization Laboratory Services




Maternity and Newborn Care Mental Health and Substance Abuse Disorder Services, including Behavioral Health Treatment Pediatric Services, including Oral and Vision Care 3-Tier Prescription Drugs Preventive and Wellness Services and Chronic Disease Management Rehabilitative and Habilitative Services and Devices If you would like to review your dealer- ship’s current health insurance programs, please contact Michael W. Conway, Executive Director of the GNYADA Insurance Brokerage, at 718.746.8100 or n n n n n n

The 10 Essential Health Benefits are:

As a result of this group redefinition, groups with between 51 and 100

Ambulatory Patient Services


Greater New York Automobile Dealers Association •

The Newsletter • February 2016 11


2016 Fuel Economy Guide Enclosed


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 .




The United States Environmental Protection Agency (EPA) and the Department of Energy (DOE) require automobile dealers to promi- nently display the 2016 Fuel Economy Guide wherever new cars are offered for sale. Dealers must offer a copy of the Guide to cus- tomers upon request, and dealership staff should be trained on this required provision.


Administrative Assistant

College Point



Kew Gardens








College Point




Port Washington



Car Jockey/Valet

Glen Cove


Parts Manager



Service Director

West New York, NJ


Service Technician



The Association is providing the enclosed Guide as part of our Dealer Services Program, to help you comply with federal regulations.

Contact Us:

18-10 Whitestone Expressway l Whitestone, NY, 11357 Dealer Hotline: 800.245.4640 l Headquarters: 718.746.5900 email: DMV-DIRECT: 718.747.0400 GNYADA Insurance Brokerage, LLC: 718.746.8100 New York International Automobile Show: 718.746.5300 Center for Automotive Education & Training: 718.640.2000

For additional copies of the current Guide, call the association

or it can be downloaded at or for mobile devices.

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 2016

Greater New York Automobile Dealers Association •

The Newsletter • February 2016


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