MADA-On the Move/Legislative Action Requested

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On the Move-March 21, 2013

Legislative Action Requested Today!

This is a very important update. There are a little more than two weeks left in the Maryland Legislative Session. MADA lobbyists are fighting for fair warranty reimbursement from the manufacturers, and the fight is going to the very last minute. The major issue in dispute is the prohibition against a manufacturer surcharge on a vehicle sold by a Maryland dealer. Our law prohibits a vehicle surcharge, and the manufacturers are striking to remove that prohibition language. Virginia law prohibits manufacturer surcharges. Our bill also allows a dealer to choose to do business with a local vendor when embarking on facility improvements.

The Motor Vehicle Subcommittee of the Environmental Matters Committee in the House of Delegates is scheduled to vote on our bill TODAY! Please take five minutes to tell Chairman Jim Malone (james.malone@house.state.md.us) that you support HB 1139 with a prohibition on vehicle surcharges.

The Senate will hold its first public bill hearing TODAY as well. The Senate bill is SB 886 sponsored by Senator Stone. The Chair of the Senate Judicial Proceedings Committee is Senator Brian Frosh (brian.frosh@senate.state.md.us) who is considering the possibility of running for Maryland Attorney General. Please contact him urging strong support for SB 886 with a prohibition on vehicle surcharges.

Time is of the essence. We need our members to voice their strong support now!

For any questions regarding the latest happenings on State Circle, please contact Travis Martz at the office, 800.526.7423 or by email tmartz@mdauto.org. We will include updates in all subsequent issues of On the Move.

Join us at the Greenbrier in June!

Please mark your calendars and join MADA, along with the Virginia Auto Dealers, for our 2013 Summer Convention at the renowned and historic Greenbrier Resort in White Sulphur Springs, WV. Convention dates are June 23-26, 2013.

Registration materials will be delivered under separate cover.

Guest Accommodations will be $259 per night plus resort fees & taxes. Please call 1-855-277-6035 to make your reservations today. Be sure to tell them you are with the MADA Convention

to secure the guaranteed room rate. Rooms are going fast!

Any Further Questions? Contact: Ethel Biensach at 410.269.1710.

Business Updates

Contamination of R-134a refrigerant found in U.S.

Motor vehicle A/C refrigerant contamination has become a heightened concern with the recent discovery in the U.S. of R-134a contaminated with R-40. Unlike CFC-12 or R-134a, R-40 can pose a risk to technicians, shops and equipment. To avoid cross contamination, it is recommended that techs identify the refrigerant in a vehicle before evacuating it into a recycler. Note too that R-134a offered for sale well below its current market price may not be R-134a.

For further information on this specific issue and general information on motor vehicle A/C refrigerants, please see:

New Form I-9

By May 7, 2013, dealerships must begin using a new Employment Eligibility Verification I-9 form when making new hires or re-verifying existing employees. Changes to the I-9 form include extra data fields in Section 1 for foreign passport information (if applicable), telephone numbers, e-mail addresses, etc. Extra space also was added for completion of "List A" documentation information. The form has expanded from one page to two.

For more on a dealership's employment eligibility verification responsibilities, please see:

Questions about either of these issues? Contact NADA Regulatory Affairs at (703) 821-7040 or regulatoryaffairs@nada.org.

FTC Revises Online Advertising Disclosure Guidelines

The Federal Trade Commission (FTC) recently released new guidelines related to disclosures required in mobile and other online advertising. The new guidelines explain how to make disclosures clear and conspicuous to avoid deception.

The new FTC guidance, which updates guidelines first released in 2000, takes into account the expanding use of smartphones with small screens and the rise of social media marketing. It also contains mock ads that illustrate the updated principles.

Like the original, the updated guidance emphasizes that consumer protection laws apply equally to marketers across all mediums, whether delivered on a desktop computer, a mobile device or more traditional media such as television, radio or print.

If a disclosure is needed to prevent an online ad claim from being deceptive or unfair, it must be clear and conspicuous. Under the new guidance, this means advertisers should ensure that the disclosure is clear and conspicuous on all devices and platforms that consumers may use to view the ad. The new guidance also explains that if an advertisement without a disclosure would be deceptive or unfair, or would otherwise violate a Commission rule, and the disclosure cannot be made clearly and conspicuously on a device or platform, then that device or platform should not be used.

Health Care Reform Seminar Hosted by American Fidelity

American Fidelity Assurance Company will offer a Health Care Reform webinar about the plan design mandates that take effect for plan years beginning on or after January 1, 2014. Because of our association partnership with American Fidelity, we have been able to secure the reduced "customer" pricing of $50 for our members, regardless if you have American Fidelity products or services in your group.

Date: Friday, March 29 at 11:00 am Eastern

Cost: $50 per Association member

During the webinar, they will provide an overview of the rules and help answer questions such as the following:

If coverage takes effect the first day of the month following 90 days of employment, does that satisfy the restriction on waiting periods?
Does the limit on waiting periods impact part-time employees?
Which plans will be subject to limited deductibles?
Why would an employer want to require employees to make separate elections and payments for dental and vision coverage?
How do you assess whether it would be valuable for your plan to remain grandfathered?
Who is responsible for making required plan changes?

Click Here to Register Today!

New Webinars Announced from DealersEdge

#1: Top 10 Employment Law Issues Facing Dealership Managers Today!

Date/Time: Thursday, March 28 at 1pm Eastern

Presenter: Charles Feuss J.D. from Kilpatrick, Townsend & Stockton LLP

Cost: $149.00 per person

What's new in the area of employment law and the laws' impact on car dealers?

Quite a bit, actually: ADA and ADAAA issue, ERISA-related matters, social media in the workplace, FMLA leave, right-to-work laws, NLRB and EEOC activity, E-verify, wage-hour issues, background checks, and much more.

This seminar will cover the information that every dealership manager needs to know about:

Fair Labor Standards Act and service advisor overtime
Family and Medical Leave Act - When it applies and when it doesn't
Lilly Ledbetter Fair Pay Act - Should you be concerned?
How far can you go in checking out job candidates?

#2: Do-It-Yourselfer's Guide to Reducing Online Marketing Expenses

Date/Time: Thursday, April 4 at 1pm Eastern

Presenter: Adam Gillrie of Savvy Dealer

Cost: $149.00 per person

In this webinar, Adam Gillrie will give you the tools you need to audit your existing online marketing vendors and discover who is performing and who is not based on real metrics. Armed with this knowledge you can prevent overbilling and make sense of this confusing array of vendors and invoices.

You will learn: