Pub. 9 2021-2022 Issue 2

6  HOFFMAN — continued from page 5 just for dealers’ narrow interests but also for the community as a whole. Dealers do well if their communities are strong. Our relationships with legislators shape their image of dealers generally. News organizations and legislators love to vilify dealers based on historical notions that have little or nothing to do with the professionally managed, high- quality operations we see today. The days of Hull-Dobbs tricks are long gone. It is largely through dealer involvement in their trade associations that the old images fade. Also, when legislative intervention is necessary, GLANDCA has been there, most notably in working with Catherine Barger and the county to create a protocol that let dealers reopen their showrooms last year. That would have taken much longer without the efforts of Bob Smith and a few dealer principals working directly with Supervisor Barger. After we opened, their help gave us some confidence that we were doing right by customers and employees on health issues. The associations were there fighting for us, watching for us, and getting information on what we had to do, which is not easy in this state. Over the years there have been many instances where GLANCDA’s existence afforded dealers some real inf luence where it was truly needed. Would you please share some memorable issues you’ve been involved with as a board member with GLANCDA and CNDA? I’ve been very lucky to be a part of the Greater Los Angeles New Car Dealer Association and the California New Car Dealer Association for many, many years. As a director, regional VP or chairman, I’ve been in a position to watch, participate in and experience some of the successes these associations have produced, as well as the frustrations of the legal and regulatory world dealers operate in. The statewide association has been critical in promoting dealer positions with increased doc fees, franchise protections and numerous tweaks to proposed laws making them less onerous to dealers. From Prop 64, which solved the unfair competition law’s grossly unfair applications for all businesses in the state, to the current effort to tame PAGA, the CNCDA saves dealers from many burdens, expenses and litigation that would otherwise land squarely on their shoulders. That doesn’t mean there isn’t a continuous stream of challenges coming from the legislature, the courts, public health, the plaintiffs’ bar and the OEMs. But our associations have provided us with critical guidance on how to respond and, whether it’s Prop 65 or new compensation regimes, how to comply. What are some of the national issues that NADA and AIADA have tackled that you have supported or opposed? NADA provides dealers with that voice in national issues. From Cash for Clunkers to exempting dealers from the jurisdiction of the Consumer Financial Protection Bureau (CFPB), NADA has been an important advocate for dealers. They also provide resources in training, guidance and general policy matters — all to support the dealer body. What are the imminent threats and challenges currently facing the franchise system? What is the need for continued engagement and activism, and why is it important for dealers to lend their voices and support in the future? As I’ve mentioned earlier, there is a lot going on. Changes are coming at us all with increasing velocity. Dealers will need to keep a place at the table to ensure they are part of the model that is ultimately adopted. The work to be done will require creativity, f lexibility, coordination, communication and advocacy. Every dealer should be focused on doing their part. There are alternatives to the franchise system being implemented right now. The marketplace is competitive. I think the franchise system is beneficial to customers, employees, vendors and the OEMs, but it is evolving. Dealers need to guide that evolution. It is very risky to assume that it will include them without them taking a rowing oar in its development. What three things have you learned that you would pass on to someone you are mentoring? 1. Make sure that revenue exceeds expenses. 2. Anytime somebody leaves your organization, make sure they leave with their head high, feeling respected. 3. Get involved in your community and learn everything you can from your fellow dealers. 