January 3, 2017

Thank You to Our Sponsor of This Edition of CAWA Connections    CAWA Leadership Meeting Presentations in Napa, California - Consider Attending CAWA's leadership meeting general training session will be held in Napa, California on February 3, 2017. Consider attending ( see enclosed registration form). Presentations will include:   "Another Look at Telematics" - Presented by: Peter Yorke, CEO Voyomotive, LLC "Recent and Future Acquisitions & Mergers-Case Studies" - Presented by: Tom Marx, MAAP and Devin Hart, Hart Marx Advisors "Contemporary Legal Issues Facing Business Owners, Executives and Managers" - Presented by: Steve Marmaduke, Attorney, Wilke Fleury Law Firm CEU units will be available to attendees, as well. For more information on this training contact programs@cawa.org. Another member benefit. Anthony Wallerich of ZF Services and Michael Rukov of Continental Corporation are Appointed to the Manufacturers' Advisory Council (MAC) Outgoing Chair of the Board, Greg Livingston of All Trade Tools, has appointed both Wallerich and Rukov to the Association's MAC. Currently, Mr. Wallerich serves as the National Sales Manager for ZF Services and has held many sales and business manager positions within the automotive aftermarket including time with Wells Vehicles Electronics, United Components and the BWD Automotive Corporation. He started his career in the industry as a Napa Auto Parts counterman in 1978 and also opened his own business as a manufacturer representative called CAN-AM Automotive Marketing Company. Mr. Wallerich graduated from Northwood University with a bachelor's degree in business administration. Mr. Rukov serves as the Western Regional Sales Manager for Continental Corporation and before that held key management positions with One Stop Parts Source in southern California. He is an active participant with the Auto Care Association and the YANG Group. Mr. Rukov has received recognition for his commitment to the industry by receiving the Impact Award: Four for the Future and is currently pursuing his Executive MBA through the DeVos School of Business after having received his bachelor's degree in Economics and Organizational Studies from the Claremont Pitzer College. The Lead-Acid Battery Recycling Act of 2016 (Act) Became Law on September 26, 2016 - Be Informed The Act imposes two separate fees on the sale and purchase of lead-acid batteries[1] and affects manufacturers and retailers (dealers) who sell these batteries. The Board of Equalization (BOE) is responsible for the administration of these new lead-acid battery fees. The enclosed notice ( here) includes a brief overview of the new fees, fee notification requirements, and requests contact information for your dealers, wholesalers, and distributors of lead-acid batteries. CAWA is committed to assuring that our battery manufacturer members and auto stores that sell batteries are informed about these new compliance issues. Should you have any specific questions regarding these new requirements on batteries sold in California, contact CAWA's legislative advocate, Gary Conover, at gary@garyconover.com or 916.233.9655. [1] A lead-acid battery is a battery weighing over five kilograms, primarily composed of both lead and sulfuric acid (liquid, solid, or gel), with a capacity of six volts or more, used as a starting battery for delivering a high burst of energy to an internal combustion engine until it starts, as a motive power battery to provide the power for propulsion of a vehicle, including watercraft, as stationary storage or standby energy to be used in a system where the battery acts as electrical storage or a source of emergency/backup power, or as a source of auxiliary power to support the electrical systems in a vehicle (defined in Vehicle Codes § 670 and 36000) or an aircraft.  DIFM Outlet Changes in Last 5 Years The Service (DIFM) Market climbed an estimated $11.2 billion at user-price between 2011 and 2016 in the U.S. However, not all car and light truck repair outlet groups contributed equally to this market expansion. Four of the seven major groups of DIFM outlets increased their car and light truck DIFM product volume over this five-year span, while three outlet groups fell or were flat in share strength. Boosted by overall DIFM market expansion, six of the seven major groups of repair outlets recorded DIFM product growth at user- price between 2011 and 2016. This according to the iReport by Jim Lang. See here for a complete report.   Minimum Wage - Increase in California this Year - A Reminder Effective January 1, 2017, the minimum wage for employers with 26 or more employees will increase to $10.50 per hour. The minimum wage for employers with 25 or fewer employees will increase to $10.50 in January of 2018. Should you have any questions regarding minimum wage issues or other issues affecting your business, contact the CAWA attorney in your state. Recall, as a member you receive up to ½ hour a month of FREE legal consultation. Another member benefit. Department of Toxic Substances Control (DTSC) Brake Pad Law Extension Application Survey DTSC is trying to ascertain the number of manufacturers who will not meet the California Brake Pad Law's mandated requirements by the deadline of January 1, 2025. Collecting this information will allow DTSC to gauge the number of extension applications to be submitted beginning January 1, 2019. The California Brake Pad law allows manufacturers, defined under Health and Safety Code section 25250.50(e), to apply for extensions to the January 1, 2025 requirements starting on January 1, 2019. The extension applies to brake pads and brake drums based on the vehicle model, class, platform, or other vehicle-based category. The extension is not based on the brake friction material formulation per Health and Safety Code section 25250.54(a)(2). DTSC is aware of the lengthy timeline for research, design, and development in manufacturing and is confident manufacturers are already aware of their ability to meet the future regulatory deadlines. Therefore, DTSC is asking manufacturers to complete the survey (linked below) to provide an estimate of the number of extension applications to be submitted, along with the anticipated timeframe for submittal. DTSC will use this information in preparation of mapping the extension application review process and identifying resource requirements. Brake Pad Law Extension Application Survey Link: https://www.surveymonkey.com/r/77QVF5K Let One of Our Job Postings Work for You and Your Company in 2017 The truth is that some job postings stand out from the rest and it often has a lot to do with how an employer presents themselves to candidates. With the CAWA Career Center, you can increase visibility and reinforce your brand by putting our job posting to work for you. See here for more information or visit the Association's website at www.cawa.org. "CAWA - Representing the Automotive Parts Industry" Copyright 2017, All Rights Reserved