Pub. 65 | 2024-25 | Issue 4 OFFICIAL PUBLICATION OF THE TEXAS AUTOMOBILE DEALERS ASSOCIATION PROVIDING RELIEF AND RESTORING HOPE HELPING THOSE IMPACTED BY CENTRAL TEXAS FLOODING
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Contents ©2025 Texas Automobile Dealers Association (TADA) | The newsLINK Group LLC. All rights reserved. Dealers’ Choice is published four times per year by The newsLINK Group LLC for TADA and is the official publication for this association. The information contained in this publication is intended to provide general information for review, consideration and education. The contents do not constitute legal advice and should not be relied on as such. If you need legal advice or assistance, it is strongly recommended that you contact an attorney as to your circumstances. The statements and opinions expressed in this publication are those of the individual authors and do not necessarily represent the views of TADA, its board of directors or the publisher. Likewise, the appearance of advertisements within this publication does not constitute an endorsement or recommendation of any product or service advertised. Dealers’ Choice is a collective work, and as such, some articles are submitted by authors who are independent of TADA. While a first-print policy is encouraged, in cases where this is not possible, every effort has been made to comply with any known reprint guidelines or restrictions. Content may not be reproduced or reprinted without prior written permission. For further information, please contact the publisher at (855) 747-4003. Scan for a direct link to the TADA website. 10 Dealers’ Choice 14 6 PRESIDENT’S MESSAGE Building a Strong Future BY DARREN WHITEHURST, PRESIDENT, TADA 10 2025 TADA Leadership Network 14 Providing Relief and Restoring Hope Helping Those Impacted by Central Texas Flooding 18 The 5 Pillars of Cybersecurity Every Auto Dealer Should Know Because Protecting Your Dealership Goes Beyond Locked Doors BY KALE LARKIN, DIRECTOR OF MARKETING, ONE STEP SECURE IT SERVICES 20 The Future of Texas Power Balancing Demand and Reliability BY JESS DONALD AND SPENCER GRUBBS, FISCAL NOTES 22 Congratulations to 2025 Philanthropic Leader of the Year Nyle Maxwell 24 2025 TADA Leadership 28 Community News 34 Ransomware A Response Plan Is Essential for Auto Dealers BY BANK OF AMERICA 36 How To Stay Safe at Every Step of the Vehicle Shipping Process Together, We Can Make the Logistics Industry Safer BY COX AUTOMOTIVE 38 D.C.’s GENIUS Plan Use Stablecoins to Soak Up Its Own Debt BY JOSHUA HENDRICKSON, THE DAILY ECONOMY 40 Wrapping Up a Sale Next to the Car Means Better F&I Results for Ford Store BY JOHN HUETTER, AUTOMOTIVE NEWS 43 Texas Labor Market Review DEALERS’ CHOICE 4
This communication has been prepared solely for informational purposes as of its stated date. It is not a solicitation, recommendation or offer to buy or sell any security and does not provide information on which an investment decision to purchase or sell any securities could be based. It does not purport to be a complete description of the securities, markets or developments referred to in this communication. Additional information is available upon request.“Stephens” (the company brand name) is a leading family-owned investment firm that includes Stephens Inc. (member NYSE/SIPC), Stephens Investment Management Group, LLC, Stephens Insurance, LLC, Stephens Capital Partners LLC and Stephens Europe Limited (Registered office: 12 Arthur Street, London, EC4R 9AB, Registered number 8817024), which is authorised and regulated by the Financial Conduct Authority. © 2025 Stephens. NOTABLE DEALERSHIP INVESTMENT BANKING TRANSACTIONS IN TEXAS: HAS BEEN ACQUIRED BY HAS BEEN ACQUIRED BY HAS BEEN ACQUIRED BY HAS BEEN ACQUIRED BY HAS BEEN ACQUIRED BY STEPHENS INC. • MEMBER NYSE, SIPC Performance. It’s what drives us. A leading investment bank for dealerships in Texas. Learn more about working with us at: stephens.com/dealerships
As we approach the close of summer and the Texas Legislature continues its second called Special Session, this is an important time to reflect on the legislative challenges and victories our dealerships have faced in 2025 — and to look ahead with purpose and unity. Progress at the State Level Working together with legislators, TADA successfully revised the 2023 permanent license plate requirement. Thanks to our advocacy, plates on a trade-in now follow the person rather than the vehicle — easing some of the burden from dealerships. We also defeated proposals that would have harmed our industry, including forced financing, expanded manufacturer control over used car sales and converters issuing titles. Unfortunately, one important measure — ensuring fair manufacturer reimbursement to dealers for parts on warranty and recall work — did not advance. We will continue that fight because we know how critical it is for you and your customers. Federal Successes Nationally, TADA partnered with NADA to stop the FTC’s harmful Vehicle Shopping Rule. Congress also struck down CARB ZEV mandates through the Congressional Review Act and included favorable tax provisions for small businesses and customers in the “Big Beautiful Bill.” These are real wins that protect both your businesses and your customers. Navigating Challenges Together We know the rollout of the hard plate program has been rocky. Moving from 254 counties to more than 20,000 dealers was bound to be complex. Karen Phillips has been working tirelessly to gather your concerns and push them to TxDMV, and those efforts are making a difference. continued on pg. 8 PRESIDENT’S MESSAGE Building a Strong Future By Darren Whitehurst, President, TADA At the same time, the manufacturers, through the Alliance for Automotive Innovation, have challenged state franchise laws nationwide, recently penning a letter claiming franchise laws harm customers and competition. We have seen this effort before and know their claims are false. This is certainly a wake-up call that we can never rest on telling legislators the story of the importance of the three-tier system to Texas consumers. This is also an opportunity for us to unite. Now more than ever, we must show Texas lawmakers what dealerships mean to the 290 Texas communities we proudly serve. Call to Action This is where you come in. Legislators need to hear our story directly from you, their local dealers. Franchised dealerships are the perfect stage to highlight the jobs, community investment and customer service that Texas dealers provide every single day. And now is the time because legislators are looking for ways to connect locally through the campaign season. Here’s how you can help: • Host Your Elected Officials: Invite them for a tour, invite them to lunch with you and some of your employees, or offer to host a press event for them at your dealership. • Engage in the Community: Bring lawmakers as your guests to luncheons or community events. If you are sponsoring a table at your Chamber luncheon or a charity event, invite your legislator to join you. • Showcase Your Impact: Share how your dealership supports the local economy, offers quality employment options and serves your customers. DEALERS’ CHOICE 6
Jim Stephenson, VLK Principal | Automotive Practice Leader jstephenson@vlkarchitects.com | 817.633.9620 CREATING EXEMPLARY DEALERSHIP DESIGNS FOR OVER 40 YEARS.
continued from pg. 6 • Leverage the TADA Toolkit: Use the TADA toolkit to discuss the issues we face and the solutions we stand for at the Texas Legislature. • Amplify Visibility: When you host a legislator, be sure to capture photos, post on social media, share with them to post and share with TADA. Of the 150 Texas House members, 65 were elected after 2020. In the Senate, 9 of 31 joined after 2020. Many do not yet fully understand the value franchised dealers bring. Lobbyists can only do so much to influence policy — no voice is more powerful than yours, showing firsthand the difference you, as a business owner, make in your community. Moving Forward We have proven time and again what we can accomplish together. We are committed to giving you the tools you need to strengthen relationships with policymakers and to ensure that Texas dealerships remain strong, competitive and consumer-focused. Thank you for all that you do — for your customers, your employees, your communities and for this association. I am proud to stand with you, and I am confident that together, we will meet the challenges ahead and continue building a stronger future. We have proven time and again what we can accomplish together. DEALERS’ CHOICE 8
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2025 TADA Leadership Network The newly launched TADA Leadership Network — a modern evolution of the former Texas Dealer Academy (TDA) — held its inaugural meeting on June 10-11 at the Emma Hotel in San Antonio. This refreshed initiative is designed to strengthen leadership development and foster meaningful relationships among the rising stars of Texas’ franchised dealership community. Open to any TADA member, the network provides an outstanding opportunity to engage your dealership’s next generation of leaders. Participants gain critical industry insight, connect with peers across the state and return with practical strategies to strengthen dealership performance. It’s only fitting that TADA Board Chair Tim Crenwelge, who founded the original TDA more than a decade ago, played a key role in launching this new endeavor. Under the guidance of Chris Wall, general counsel for Keating Auto Group and chairman of the TADA Leadership Network, the group heard from Randy Barone of ACV on boosting used car sales performance. Rob Braziel, TADA’s senior advisor on public policy, then reported on the challenges and victories of the 89th Texas Legislature — including the critical importance of dealer involvement in educating policymakers about the value of a strong franchise system. The time together was brief yet impactful — laying a solid foundation for collaboration, idea-sharing and leadership growth, which will benefit their dealerships and our association. DEALERS’ CHOICE 10
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Providing Relief and Restoring Hope Helping Those Impacted by Central Texas Flooding On late July 3 and into July 4, Central Texas, in particular Kerr County, received 10-15 inches of rain per hour, which resulted in catastrophic flooding. The Guadalupe River rose 26 feet in 45 minutes and crested at 37.5 feet, the second-highest level in recorded history. Over 100 people lost their lives in the flood, including 27 young campers and counselors at Camp Mystic. Over 400 individuals were rescued by July 8. First responders faced impassable roads blocked with debris and continuous rainfall. Over 2,000 volunteers, several U.S. agencies, and assistance from Mexico made these rescue efforts possible. Schools became relief centers and shelters for those who had lost their homes. Over 400,000 cubic yards of brush and tree matter — equivalent to 32 football fields, 6 feet deep — are being cleared, much of which is being done by volunteers. The Community Foundation of the Texas Hill Country has received over $100,000,000 so far which will go toward housing support and reconstruction costs. Additionally, the focus will go to system improvements and ensuring such devastation never happens again. Texas automobile dealers from all over the state have generously shown their support for Central Texas flood relief. Current TADA Chairman Tim Crenwelge, owner of Crenwelge Motors of Kerrville, witnessed the flooding and devastation firsthand and has participated in all aspects of the clean-up and rebuilding. Many of you have asked how you can help those who have been impacted in the Kerr County area, as you have witnessed and seen the devastation that has come to this part of Texas. Top left: TADA Chairman, Tim Crenwelge (far right), helps with clean-up efforts. Top right: An aerial view of damage along the Guadalupe River near Kerrville on July 5, 2025. Heavy rains in the Hill Country on July 4 caused catastrophic flooding and loss of life. Photo credit: Brenda Bazán for The Texas Tribune Below: Katherine Crenwelge (Tim’s daughter) helps with clean-up efforts. DEALERS’ CHOICE 14
In response, Tim Crenwelge and TADA have donated and recommend donations be sent to the Kerr County Flood Relief Fund, a 501(c)(3) public charity that supports the relief and rebuilding efforts after the flood of July 4, 2025. The Community Foundation will direct funds to vetted organizations providing rescue, relief and recovery efforts, as well as flood assistance. The Fund is supporting the communities of Hunt, Ingram, Kerrville, Center Point and Comfort. Donations can be mailed to 241 E. Garrett St., Kerrville, Texas 78028, or made online by scanning the QR code. https://cftexashillcountry.fcsuite.com/erp/donate/ create/fund?funit_id=4201 A pickup truck on the side of the road on Highway 39 in Hunt has a Texas flag hanging on its side with the date of the flood spray-painted on the side. Photo credit: Brenda Bazán for The Texas Tribune Toppled trees and debris surround a sign offering directions to the Central Texas towns of Ingram and Leakey. Photo credit: Ronaldo Bolaños, The Texas Tribune Above: Volunteers praying. Below: Miles of destruction. Photo credit: Tim Crenwelge Search teams continue searching for flood victims near Camp Mystic, in the aftermath of deadly flooding in Kerr County on July 7, 2025. Photo credit: REUTERS/Sergio Flores A destroyed vehicle caught in between trees in Hunt, a small town where the north and south forks of the Guadalupe River meet, about 13 miles west of Kerrville. Photo credit: Brenda Bazán for The Texas Tribune
Volunteers form a bucket brigade to move flood debris from a pile formed near the Guadalupe River while assisting in recovery efforts at Camp CAMP, a special needs summer camp, on July 11, 2025, in Center Point. Photo credit: Eli Hartman for The Texas Tribune As U.S. Secretary of Homeland Security Kristi Noem and U.S. Sen. John Cornyn look on, Gov. Greg Abbott signs an emergency proclamation during a press conference at the Hill Country Youth Event Center in Kerrville. Photo credit: Ronaldo Bolaños, The Texas Tribune Campers’ belongings lie on the ground following flooding on the Guadalupe River at Camp Mystic in Hunt on July 7, 2025. Photo credit: REUTERS, Marco Bello Volunteers, including Tim’s daughter, Jacquelyn People prepare a memorial for the Hill Country flood victims in downtown Kerrville on July 9, 2025. Photo credit: Ronaldo Bolaños, The Texas Tribune Another camp, the Heart O’ the Hills Camp for Girls in Hunt, was heavily damaged by the flood. Photo credit: Brenda Bazán for The Texas Tribune President Donald Trump, first lady Melania Trump and Gov. Greg Abbott receive a briefing from first responders as they visit a scene of devastation along the banks of the Guadalupe River, after catastrophic floods, in Kerr County on July 11, 2025. Photo credit: REUTERS, Kevin Lamarque Gov. Greg Abbott listens to Courtney Calhoun, a Kerr County resident and volunteer, during a press conference in Hunt on July 8, 2025. Photo credit: Brenda Bazán for The Texas Tribune A Texas Game Warden searches the area around Camp Mystic on Saturday. Photo credit: Brenda Bazán for The Texas Tribune DEALERS’ CHOICE 16
Extinct "Be strong enough to stand alone, be yourself enough to stand apart, but be wise enough to stand together when the time comes." Cultivate Success. Build Your Legacy. Actively Reviving Dealers, Financial Institutions, and Agents Nationwide
Cybersecurity isn’t just an IT issue; it’s a business issue. Auto dealerships store sensitive customer information, manage digital payment systems, rely on vendor portals and increasingly use smart tech on-site. That makes them a growing target for cyber criminals. So, how do you protect your dealership? Start with the five pillars of cybersecurity every business leader should understand. These pillars are based on the National Institute of Standards and Technology’s (NIST) Cybersecurity Framework, widely used across industries to build smarter, more resilient operations. 1. Identify You can’t protect what you don’t know exists. Start by taking inventory: • What systems and software do you use? • Where is customer or financial data stored? • Who has access to what? According to Gartner, 60% of breaches start with unknown or unmanaged assets, like outdated apps or devices still connected to your network. That’s why visibility is the first and most critical step in protecting your business. 2. Protect Once you know your risks, safeguard your systems: • Use strong passwords and enable multi-factor authentication (MFA). • Keep all software updated and patched. • Install security tools like firewalls and endpoint protection. • Train your team to spot phishing emails. The 5 Pillars of Cybersecurity Every Auto Dealer Should Know Because Protecting Your Dealership Goes Beyond Locked Doors By Kale Larkin, Director of Marketing, One Step Secure IT Services According to a joint study by Stanford University and Tessian, a leader in cloud security, human error is responsible for over 90% of cyber incidents. Don’t underestimate the importance of regular training. Your employees are your first line of defense. 3. Detect Hackers often get in quietly and stay for weeks or even months before launching an attack. You need tools that monitor and alert you to unusual activity, like suspicious logins, malware behavior and unauthorized access attempts. You wouldn’t run a dealership without security cameras, so don’t run your network without visibility. 4. Respond What’s your plan if something happens? A cyber attack can paralyze operations fast. Your response plan should: • Outline clear roles (IT, legal, leadership). • Contain and isolate threats. • Communicate with stakeholders quickly. Practice makes perfect, and running test drills will ensure your teams know exactly what to do in a real crisis. 5. Recover Recovery is about more than just restoring files. It’s about getting your business back up safely and confidently. This means you must: • Use clean, verified backups. • Investigate how the breach happened. • Rebuild trust with customers and partners. According to Coveware, the average cost of a ransomware attack for small businesses, including downtime, is now over $140,000. And that doesn’t include reputational damage or lost future revenue. Cybersecurity can feel technical, but these five pillars are rooted in common-sense leadership. It’s about preparation, visibility and protecting what matters. If you’re unsure where your dealership stands, now is the time to get a security checkup from a trusted third party. Email Kale at klarkin@onesteptech.com or scan the QR code to schedule a free consultation with One Step Secure IT Services. https://www.onestepsecureit.com/10minute-discovery-call DEALERS’ CHOICE 18
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The Future of Texas Power Balancing Demand and Reliability By Jess Donald and Spencer Grubbs, Fiscal Notes In May 2024, Texas set a daily power consumption record for the month, six times. The Electric Reliability Council of Texas (ERCOT) anticipates that this trend will continue, with predictions of above-normal temperatures and potentially below-normal rainfall straining the state’s power grid as residents and businesses crank up their air conditioning. With a rapidly growing population and economy, it is vital that Texas remains powered. To keep the state’s electric grid running smoothly, ERCOT forecasts demand to ensure there are no disruptions or shortages in electric supply. However, forecasting energy demand is as complicated as it is essential. Grid operators use variables from numerous sources, and even so, revisions are necessary. From artificial intelligence to electric vehicles, business growth and power-hungry tech applications are driving up energy demand, making accurate forecasting crucial. This article delves into the intricacies of demand projections, including recent changes in ERCOT’s planning methods and the various factors that Texas’ electric grid operators must account for in real time. Forecasting Factors ERCOT functions independently from other U.S. grids and is therefore not subject to the same federal regulations. ERCOT’s grid operators are vigilant in their work to balance supply and demand because when the power goes off to consumers, crises can occur, including, tragically, the loss of Texans’ lives. Load forecasting — the science of predicting electricity demand — is essential for ensuring enough resources are allocated to meet energy needs. Accurate load forecasting is the linchpin to maintaining grid reliability, optimizing power system operations and planning future infrastructure investments. The process is typically divided into three categories: • Short-term Forecasting: Spanning from five minutes to a week, this forecast is pivotal for real-time control and scheduling of power systems. • Medium-term Forecasting: Covering a period from one week to a year, it aids in maintenance planning, fuel purchasing and other operational activities. • Long-term Forecasting: Extending beyond a year, this forecast informs capacity planning, infrastructure development and policymaking. ERCOT employs a sophisticated load forecasting model that melds various technical specifics and data sources to safeguard the grid’s reliability. The forecasting process hinges on several factors, including: • Weather Data: Weather conditions significantly impact electricity demand. ERCOT employs detailed weather forecasts to predict load fluctuations. • Economic Indicators: Economic activity directly influences electricity consumption. Indicators like employment rates, industrial activity and population growth are integral to load forecasts. • Real-Time Data: To maintain grid stability, ERCOT uses real-time data from smart meters, sensors and other monitoring equipment to adjust forecasts as needed. Revising forecasts is crucial to adapting to changing conditions and improving accuracy. Load forecasts can shift abruptly. Take, for instance, the revelation this June by ERCOT’s DEALERS’ CHOICE 20
CEO, who delivered a jaw-dropping new estimate saying Texas power needs would far surpass earlier projections due to factors including growth, weather and a new state law changing forecast parameters. These sudden changes demand swift recalibrations in energy planning and resource management by ERCOT, often under intense scrutiny. Challenges Ahead Peak consumer demand for electricity on the Texas grid ballooned in the summer of 2023, setting a record at 85.508 gigawatts (GW) on August 10. This record is more than 14% higher than the peak demand in August 2019. But by 2030, peak demand could nearly double to 150 GW, ERCOT CEO Pablo Vegas told the Senate Committee on Business and Commerce on June 12. “It’s a fairly significant step change from a demand perspective,” said Vegas. “All of that [demand] may not come, but even if a significant portion of it does, it’s a really significant growth number.” Spikes in demand on the grid, especially since 2020, result from a myriad of interrelated factors in Texas, including population growth, extreme weather patterns, the proliferation of electric vehicles and the expanding footprint of data centers, artificial intelligence and cryptocurrency mining. ERCOT’s forecast also was affected by a new law prescribing how to estimate growth. Population Growth Texas’ population is booming — and it has been for more than a decade. In 2022, Texas joined California as the only other state with a population of 30 million or more. Between 2012 and 2022, the state’s population grew by 3.9 million, or 15%, the largest growth among all states and more than double the U.S. growth of 6.2%. In Texas’ largest metro areas, population growth was even higher. This growth places additional demands on the state’s power grid. Extreme Weather Well before the official start of summer this year, the Texas grid set several new daily power consumption records, as households and businesses cranked up their air conditioners to cope with an unseasonably early heat wave. One of those days was May 27, during which power demand peaked at 77.122 GW and shattered the previous May record of 71.645 GW in 2022. According to ERCOT, six of the state’s 10 hottest summers on record since 1895 have occurred since 2010. It’s not only the heat that drives up power demand, but also the severe cold spells that have hit Texas in recent years. In February 2021, Winter Storm Uri caused power demand to surge as Texans struggled with near zero temperatures and forced ERCOT to initiate rolling blackouts across the state to avoid a catastrophic total blackout. Nearly 70% of Texans lost power at some point during the storm. Electric Vehicles Electric vehicles (EVs) have proliferated in recent years, and just about every car company now sells at least one EV model. As of August 2024, there were more than 300,000 EVs registered in Texas, up from fewer than 10,000 in 2014. Most EV drivers currently reside in the state’s biggest metro areas. As EV use increases, Texas’ power grid will take on additional demand. While EV sales have slowed globally, ERCOT projects that in 2029 EVs will make up 4% of all vehicles on the road and consume 6.7 terawatt-hours (TW). Data Centers and Artificial Intelligence The modern economy, in which business and commerce are conducted online in some form or another, requires a vast network of data centers, the facilities that house servers and other equipment that make the internet and all that comes with it — online shopping, banking and health care — a reality. Data centers are typically energy-intensive, using continuously running cooling units and fans to prevent servers from overheating. Because of its relatively cheap energy market, Texas is experiencing rapid growth in data centers, especially between Dallas-Fort Worth (DFW) and San Antonio. At the time of this writing, there were 279 data centers in Texas, with 141 in DFW. In 2023, DFW was home to about 0.565 GW of data center inventory, the second-most in the U.S. Data centers supporting artificial intelligence (AI) and artificial general intelligence (AGI) applications, however, will consume even more energy. “AI and AGI data centers are one of the fastest-growing components of the data center industry that’s coming,” said Vegas. “If you look up ‘what is ERCOT’ with a regular Google system versus an AI Google search, the amount of energy that it takes to run the AI search is between 10 and 30 times the power requirement. “That’s just a simple search. AI is being used to teach large language models, the concept of generative AI, where you can ask it to write a story about your life and give it a few prompts — those types of things use much more energy.” Cryptocurrency Likewise, cryptocurrency mining — or the practice of solving complex mathematical problems with hundreds or thousands of servers in specialized data centers to create digital currency such as bitcoin — has gained traction in Texas due to the state’s infrastructure, lower water and electricity prices, and favorable economic policies and incentives. By one estimate, a 1-megawatt (MW) cryptocurrency mine uses more energy than 700 households — the largest crypto mine in Rockdale, Texas, is 450 MW. As of the fourth quarter of 2023, the total power capacity of cryptocurrency mines operating in Texas was 2,717 MW, more than anywhere in North America by a large margin. Georgia is a distant second at 525 MW. 21 DEALERS’ CHOICE
But the power capacity of cryptocurrency mines doesn’t tell the whole story. “The main difference between our facilities and other data center facilities is that we are flexible loads, and they are firm loads,” says Brian Morgenstern, head of public policy for Riot Platforms, the largest bitcoin mining company in Texas. “And at peak demand, we can work with whatever the grid needs. So, when people are turning on their AC, we’re turning off our mining rigs.” Morgenstern emphasizes that “grid reliability is extremely important to us. We don’t have a business without grid reliability.” Crypto miners like Riot are leveraging a long-standing practice in Texas’ energy market, typically used by large industrial electricity consumers, by adjusting their operations to sell unused power at premium prices during peak demand. This strategy is baked into ERCOT’s energy-only wholesale electricity market, potentially increasing revenue and contributing to grid stability. While the integration of cryptocurrency mining into Texas’ power management strategy has been effective, it has also sparked debate. Challenges and Changes in the Texas Energy Sector The Texas energy sector is undergoing a seismic shift, grappling with burgeoning demand and the intricacies of a rapidly evolving energy landscape. With the passage of House Bill 5066 by the 88th Texas Legislature, ERCOT gained the ability to add prospective load growth by including potential users without a signed agreement in their resource planning — a change that contributed to the June increase in its demand forecast. During an April 2024 ERCOT board of directors meeting, Vegas highlighted the collective efforts of all Texans, stating, “Because of the work of state leaders over the last couple of years, ERCOT now has the tools and the resources to be able to plan and meet these challenges ahead.”This legislation marks a significant step forward in addressing the state’s evolving energy demands. Load forecasting lies at the heart of ERCOT’s planning strategy. Utilizing a blend of historical usage data, weather patterns and economic indicators, ERCOT’s models provide a detailed roadmap of future energy needs. Accurate forecasts enable ERCOT to minimize and prepare for fluctuations in electricity consumption, a lesson underscored when Winter Storm Uri exposed vulnerabilities in the grid. The complex interplay of growing demand and renewable energy integration highlights the importance of proactive measures and continuous improvement in grid management practices. Through a combination of legislative action, strategic planning and technological innovation, Texas is poised to build a more reliable, efficient and sustainable energy system — ready to meet the needs of its dynamic population and thriving economy. This article has been edited for length and clarity and was originally published in Fiscal Notes, a publication by the Texas Comptroller of Public Accounts. Scan the QR code to access the original publication. https://comptroller.texas.gov/economy/fiscal-notes/ industry/2024/energy-demand/ Congratulations to 2025 Philanthropic Leader of the Year Nyle Maxwell has worn many hats — businessman, philanthropist, conservationist and former Mayor of Round Rock (2002-2008). Now based in Georgetown, he continues to serve his community. As CEO of the Nyle Maxwell Family of Dealerships, he’s been a leader in the auto industry for over 40 years. He was named a TADA Legend at the Annual Meeting in 2024. Nyle founded the Central Texas Community Foundation, which has granted $25M+ to local nonprofits. He also helped launch the Dell Children’s Medical Center Foundation and now serves on the board of the Ascension Seton Williamson Foundation. His impact has earned him numerous honors, including Round Rock Chamber’s Citizen of the Year, the Local Legend Award and twice being named Philanthropist of the Year. Nyle Maxwell DEALERS’ CHOICE 22
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Ryan Kirkpatrick Vice Chair District Directors 19 Carlos Liriano 21 Pat Schuchart 24 Joseph Shields 26 Jeff Kahlig SOUTHWEST Roger Elswick Vice Chair District Directors 5 Jason Feldman 6 Kyle Janke 15 David Haas 33 Tony Gullo Jr. SOUTHEAST Evelyn Sames Vice Chair District Directors 17 Melissa DeMontrond 18 Chris Wall 20 Jennifer Yoder 27 Natasha del Barrio SOUTH 2025 Executive Committee Tim Crenwelge CHAIR Bryan Case Sr. IMMEDIATE PAST CHAIR John Luciano Vice Chair District Directors 28 Dylan Otts 30 Patrick Sykora 31 Cory Dupriest NORTHWEST Stephen Gilchrist Vice Chair District Directors 10 Tony Pack 22 Will Churchill 23 Jose Pozos 34 Sherri Herring NORTH Jeff Rachor Vice Chair District Directors 1 James Bennie 8 Scott Fly 9 Finley Ewing IV 35 John Lukehart NORTHEAST Fernando Varela Vice Chair District Directors 2 Tim Capps 3 Joe Loving 4 Robert Turner 7 Ashley Willson EAST Shae Woodard Hall Vice Chair District Directors 16 Kenny McCarty 25 Jimmy Bass 29 Bill Pollard Jr. 32 Drew Hoy WEST Paula Lohse Vice Chair District Directors 11 Julie Herrera 12 Mike Zorn 13 Mary Karr-Ellis 14 Scott Stark CENTRAL 2025 TADA Leadership Greg Bruner CHAIR-ELECT DEALERS’ CHOICE 24
DIRECTORS AT-LARGE CAR DEALERS • C.J. Barnett • Benny Boyd • Bently Durant • T. Harper • Mark Stevenson • Brandon Tomes TRUCK DEALERS • James Bennie Brian Bruckner TEXAS TRUCK DEALER CHAIRMAN Karen Phillips TADA GENERAL COUNSEL AND EXECUTIVE VICE PRESIDENT Darren Whitehurst TADA PRESIDENT METRO CHAIRS • James Bagan • Shawn Barry • Don Herring Jr. • Brent McGavock • Jeff Pester • Sam Tijerina • Steven Wolf 32 29 16 25 31 30 28 9 8 1 2 7 3 4 17 18 20 27 5 33 6 24 21 26 19 12 13 11 14 15 34 23 22 10 35 25 DEALERS’ CHOICE
Robert TURNER C.J. BARNETT Jason FELDMAN Kyle JANKE Ashley WILLSON Tim CAPPS Joe LOVING East, Dist. 4 East, Dist. 3 East, Dist. 2 Northeast, Dist. 1 Southeast, Dist. 5 Southeast, Dist. 6 East, Dist. 7 Scott FLY Mike ZORN Mary KARR-ELLIS Scott STARK Finley EWING, IV Tony PACK Julie HERRERA North, Dist. 10 Central, Dist. 11 Northeast, Dist. 9 Northeast, Dist. 8 Central, Dist. 12 Central, Dist. 13 Central, Dist. 14 Will CHURCHILL Jeff KAHLIG Natasha DEL BARRIO Dylan OTTS Jose POZOS Joseph SHIELDS Jimmy BASS Southwest, Dist. 24 West, Dist. 25 North, Dist. 23 North, Dist. 22 Southwest, Dist. 26 South, Dist. 27 Northwest, Dist. 28 Bill POLLARD, JR. Tony GULLO JR. Sherri HERRING John LUKEHART Patrick SYKORA Cory DUPRIEST Drew HOY Northwest, Dist. 31 West, Dist. 32 Northwest, Dist. 30 West, Dist. 29 Southeast, Dist. 33 North, Dist. 34 Northeast, Dist. 35 Jeff PESTER James BENNIE Shawn BARRY T. HARPER Brent MCGAVOCK Mark STEVENSON Steven WOLF Bently DURANT Don HERRING JR. Brandon TOMES James BAGAN Sam TIJERINA Benny BOYD Metro Chair Director-At-Large Metro Chair Director-At-Large Metro Chair Metro Chair Director-At-Large Metro Chair Director-At-Large Metro Chair Director-At-Large Metro Chair Director-At-Large Melissa DEMONTROND Kenny McCARTY Carlos LIRIANO Jennifer YODER Pat SCHUCHART Chris WALL South, Dist. 17 South, Dist. 18 West, Dist. 16 Southwest, Dist. 19 South, Dist. 20 Southwest, Dist. 21 2025 District Directors David HAAS Southeast, Dist. 15 DEALERS’ CHOICE 26
Community News Share your community news with us to be featured in the next issue! Email Janet Hale at jhale@tada.org. SCOGGIN-DICKEY SUBARU GIVES BACK THE VALLEY AUTOMOBILE DEALERS ASSOCIATION SCHOLARSHIP FUND The Valley Automobile Dealers Association (VADA) awarded $50,000 in total scholarships to 28 recipients. The recipients were recognized in July at their annual meeting at Embassy Suites in the McAllen Convention Center. These students received scholarships ranging from $1,000-$5,000. Since the VADA Scholarship Fund was established in 2017, VADA has awarded $348,000 in scholarships, all due to the support from the annual VADA Sporting Clay Shoot and the Jon Buquet Memorial Golf Tournament. The dealers and all of VADA’s associate members remain dedicated to continuing education for students in the Rio Grande Valley. “It makes me proud to see our dealers united in the shared mission of giving back and investing in the future of higher education for the people who make our industry possible,” said Jason Gonzalez, president of VADA and general manager of North Park Lexus Rio Grande Valley. “From service bays to showrooms, every team member plays a critical role in keeping our dealerships running smoothly and serving our communities with excellence.” Scoggin-Dickey Subaru has proudly served West Texas for over 96 years. They are deeply rooted in their community, from their family and friends to the people they meet every day. Thanks to their incredible team and partnerships, they’ve made an impact on the communities they love. From helping pets find their forever homes to donating coats to kids in their community, Scoggin-Dickey Subaru is committed to giving back to the place they call home — now and for years to come. DEALERS’ CHOICE 28
LOST PINES TOYOTA AND TOYOTA WAY FORWARD FUND Partnering with HEAL Alliance to Empower Bastrop Youth Lost Pines Toyota in Bastrop, Texas, in partnership with Toyota’s Way Forward Fund, is proud to announce a $17,000 grant awarded to HEAL Alliance in support of the Bastrop County Youth Summit. This initiative continues the dealership’s and Toyota’s shared commitment to the prevention of traumatic brain injury with youth-focused education and awareness programs. The Bastrop County Youth Summit, led by HEAL Alliance, creates a space for young people and their families to engage in meaningful conversations around health, safety and brain injury prevention. With this grant, the summit can expand its outreach, programming and impact on Bastrop County’s young people. “This grant is another step forward in our campaign to build a safer, more informed community,” said Carlos Liriano, dealer principal of Lost Pines Toyota. “Through the generosity of Toyota’s Way Forward Fund and the work of our local partners, we’re reaching the next generation with life-saving information.” The check presentation brought together representatives from HEAL Alliance, Ascension Catholic Church, Priscilla Ruiz of Bastrop ISD and Lost Pines Toyota, highlighting the power of collaboration between local organizations. This partnership continues to grow stronger with each shared goal and successful project. Toyota of North America and Lost Pines Toyota, along with their partners, remain dedicated to providing resources and support that protect and empower the youth of Bastrop County, because they believe that when they invest in them, they invest in the future of their entire community! TEST DRIVES FOR SMILES WITH SAMES AUTO GROUP Test Drives for Smiles was launched by Sames Auto Group on April 1. $10 was donated for each test drive taken through the end of April, resulting in a $20,000 donation presented to Driscoll Children’s Hospital in the Rio Grande Valley! Lost Pines Toyota, located in Bastrop, Texas, is dedicated to delivering the highest-quality selection of new and pre-owned vehicles, exceptional customer service and a friendly, welcoming atmosphere. The dealership prides itself on fostering a community-driven environment that connects people through shared experiences, service and a commitment to building lasting relationships with its customers. HEAL Alliance is a Bastrop-based nonprofit organization committed to promoting health, education and leadership among youth and families in Central Texas. Through events like the Bastrop County Youth Summit, HEAL Alliance provides vital resources and educational programs that empower young people to make safe, informed choices. With a focus on mental health, injury prevention and community support, HEAL Alliance is dedicated to building stronger, healthier futures for the next generation. 29 DEALERS’ CHOICE
GABRIEL/JORDAN BUICK GMC AND THE EAST TEXAS PREMIERE BUICK GMC DEALERS LEAD RESTORATIONS Gabriel/Jordan Buick GMC and the East Texas Premiere Buick GMC Dealers are proud sponsors of Reel East Texas and The Texan Yard Project! Kilgore has a rich history, and the restoration of The Texan into an indoor and outdoor venue will serve the Greater East Texas community extremely well! Special thanks to the board from left to right: Elsa Selleck (Treasurer), Casey Moehring (Secretary), Toni Jones (Board Member), Chip Hale (Director), Stacey Cole (Board Member) and Charlene Hampton (Board Member). ANCIRA AUTO GROUP AND THOMAS J. HENRY RAISE MONEY FOR SCHOOL SUPPLIES Thousands of students across Texas benefited from the 2025 Drive Away for Education Raffle and Online Auction held this summer. From Sunday, May 25, through Sunday, August 3, tickets could be purchased for a chance to win a brand new vehicle valued at $45,000, thanks to the generous sponsors, Ancira Auto Group and Thomas J. Henry. The grand prize winner got to choose between five brand new vehicles, including a 2025 Nissan Titan, 2025 Chevrolet Silverado, 2025 Volkswagen Atlas, 2025 Jeep Wrangler and 2025 Kia Telluride! Proceeds from the raffle and online auction allowed Texas YES Project to purchase school supplies for local Title 1 Elementary schools, install Little Lockers and provide YES grants to elementary, middle and high schools. CAVENDER AUTO FUNDRAISE FOR CYSTIC FIBROSIS Audi Dominion hosted Audi owners and friends at the Audi Dominion Quattro Cup at the Dominion Country Club. Their Cavender Kindness Champions were in full force. Over 100 golfers participated in the golf, but they also came together to buy up over 40 items that were on display at a silent auction to benefit the South Texas Chapter for Cystic Fibrosis. In the end, they raised $20,000! continues on pg. 32 DEALERS’ CHOICE 30
CAVENDER AUTO AIDS IN FLOOD RELIEF The Cavender Kindness Flood Relief campaign raised $111,972 for those affected by the floods in Kerr County! Thanks to the 1,800 Cavender Kindness Champions for delivering over and above on the goal they set at $100,000! GROUP 1 AUTOMOTIVE DONATES $250,000 TO KERR COUNTY FLOOD RELIEF FUND Houston-based Group 1 Automotive Inc. (NYSE: GPI) donated $250,000 to the Community Foundation of the Texas Hill Country, which supports relief and rebuilding efforts following the historic July 4, 2025, flood in Central Texas. The Community Foundation of the Texas Hill Country directs funding to The Kerr County Flood Relief Fund, which will provide funds to vetted organizations providing rescue efforts and flood assistance in the Central Texas communities of Hunt, Ingram, Kerrville, Center Point and Comfort. Scan the QR code to donate. GUNN AUTO GROUP HOSTS FLOOD RELIEF DRIVE https://cftexashillcountry.fcsuite.com/erp/donate/create/fund?funit_id=4201 “The loss of life and catastrophic devastation in Central Texas are unimaginable,” said Daryl Kenningham, Group 1’s President & CEO. “As a Texas-based company, we know Texans respond when adversity strikes. All of us at Group 1 hurt for those who lost loved ones, homes and other property.” Group 1’s Texas presence comprises 53 dealerships and approximately 6,000 employees, extending throughout the state, including San Antonio and Austin. Kenningham added that Group 1 has offered additional support by pledging $50,000 in matching funds for donations made by Group 1 employees. Gunn Auto Group partnered with Cox Media Group and launched the “Help the Hill Country” flood relief drive, collecting community donations of hygiene products for the flood victims. They collected 22,000 pounds of supplies that included toothpaste, soap, deodorant, baby wipes, feminine hygiene products and more. Items such as electrolyte powder, socks, gloves, chainsaw oil, mosquito repellent and sunscreen were also collected per the requests of the first responders. continued from pg. 30 DEALERS’ CHOICE 32
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Ransomware High-profile cyber incidents have highlighted the need for auto dealerships to prepare for the impacts due to loss of critical services and theft of sensitive data. Here are some factors to consider when creating an incident response plan. Key Takeaways • Auto dealerships are facing an increasing number of cyberthreats that can debilitate operations and compromise customer and financial data. • Creating a ransomware response plan is a critical piece of any dealership’s preparedness. • By implementing basic controls and best practices, an incident response plan can improve security for dealerships, even those with limited IT and cyber defense budgets. When a software and applications vendor was compromised by ransomware in June 2024, thousands of auto dealerships felt the effects. Essential management systems became inaccessible, sales and financing transactions went manual or stopped, and sensitive customer and business data was compromised. By one estimate, auto dealerships lost over 50,000 new vehicle sales and suffered over $1 billion in damages in the month after the incident was reported.1 Although this was an “upstream” incident that began with a critical service provider, the ransomware event highlighted the elevated risk auto dealerships face. A 2024 study found that 35% of surveyed dealers had dealt with some type of cyber incident in the past year. What’s more, ransomware was rated as the most serious cyberthreat these businesses face.2 A Response Plan Is Essential for Auto Dealers By Bank of America In this environment, every dealership needs a plan for what they must do if they’re targeted. Why a Ransomware Response Plan Is Essential Even dealerships that lack the resources to hire security professionals or invest in advanced controls can greatly improve their defenses by constructing a response plan that includes proactive measures such as data protection, raising employee awareness and implementing core best practices. A plan that outlines how a business can prepare against cybersecurity threats and respond to incidents can help limit the damages related to loss of data and operations. It can also improve the chances of avoiding many types of incidents, including ransomware. The following guidelines can help dealerships create a response framework that can be tailored to their specific organization and capacity for planning. Key Elements of a Ransomware Response Plan Ransomware response depends on a timely assessment of a live incident’s severity and impact, clearly defined roles and reactions and a thorough investigation to ensure the threat is neutralized and operations can be brought back to a secure state. To be effective, your strategy must be in place before an incident occurs. Here’s how to get started. Before an Incident 1. Prepare • Educate key personnel regarding current cyber-risks and objectives of cybercriminals. • Appoint the most qualified individual to lead the creation, implementation and updating of the response plan. Alternatively, you can supervise a contract with a professional security vendor that creates the response plan. DEALERS’ CHOICE 34
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