Mississippi AUTO DEALER Pub. 1 2023 Issue 4 Happy Holidays & Seasons Greetings
10543 South Glenstone Place, Baton Rouge, LA 70810 • 225-769-9923 • theversantgroup.com MADA'S ENDORSED F+I PROVIDER OF PRODUCTS, TRAINING AND INCOME DEVELOPMENT A FEW OF OUR 50+ TEAM MEMBERS: Keith Decell President Jason Rasti Executive Vice President Cole Miller Director of Training Kenny Roberts Territory Manager Central MS Brandon Choina Territory Manager South MS Michael McLellan Regional Manager - MS Shelley Cavin Client Relations Manager Sunny Mayhall General Counsel
©2023 Mississippi Automobile Dealers Association (MADA) | The newsLINK Group, LLC. All rights reserved. Mississippi Auto Dealer is published four times each year by The newsLINK Group, LLC for the MADA 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 the MADA, 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. Mississippi Auto Dealer is a collective work, and as such, some articles are submitted by authors who are independent of MADA. While Mississippi Auto Dealer encourages a first-print policy, 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. 16 24 14 4 Thank You & Happy Holidays 6 CHAIR’S MESSAGE Your Commitment Is Instrumental in Advancing Our Collective Interests By Trudy Moody, MADA Chair 8 Revving Up Success MADA’s Regional Meetings Drive Momentum for Mississippi’s Automotive Industry 10 MADA Auto PAC Plays Major Role in 2023 Elections 12 NADA PAC In Appreciation to the 2023 Contributors 13 MADA Auto PAC 2023 Difference Makers MADA Auto PAC Check Delivery 16 John Scarbrough Honored for Friends of Children’s Hospital Board Service 18 Regulation 8 A Guide for Mississippi Franchised Automobile Dealers 20 MADA Encourages Support of Car Tag Program for Children’s Hospital 22 Hallmark Hyundai North Celebrates Grand Re‑Opening with Ribbon Cutting 24 NADA 2023 Washington Conference 26 The Push To Stop the Misguided FTC Vehicle Shopping Rule CONTENTSPub. 1 2023 Issue 4 3
THANK YOU& During this time of year, we are filled with gratitude for our members and partners who make the success of MADA possible. We wish you all the best this holiday season and a Happy New Year! Your MADA Staff, Marty Milstead, President Beth Morton, Membership Director 4
The Zurich Experience Discover what’s possible with Zurich by your side. At Zurich we believe that doing business is much more than a transaction. It’s custom-tailored P&C and F&I solutions designed to meet the needs of your dealership. It’s a dedicated team of specialists ready to help you achieve your goals and provide the resources you need to maximize profit, stay compliant, grow your business, and protect your legacy. It’s being there when we’re needed most. That’s the Zurich Experience. Discover the Zurich Experience For more information, contact Michael Firsick at 214-784-5181 or Chad Mains at 901-831-6433. zurichna.com/dealer
Dear MADA Members, I just finished traveling the state for the 2023 MADA Regional Meetings, and I am honored and proud to serve as your Chair. The journey across our great state alongside MADA President Marty Milstead was truly rewarding, allowing us to connect with numerous dealers and industry partners who contribute significantly to the success of our association. The regional meetings were a testament to the strength and influence that MADA has garnered within Mississippi. Earlier this year, Automotive News listed Mississippi as one of the states where dealers were prevailing on the legislative front. Notably, one of the most significant victories came in the form of HB 401, which became law during the 2023 legislative session. Governor Tate Reeves’ endorsement of HB 401 preserves 50 years of franchise law, preventing manufacturers from unfairly competing against dealers. This accomplishment is a milestone for our association and reinforces our commitment to safeguarding the interests of our members. MADA AUTO PAC TRIUMPHS IN RECORD‑BREAKING YEAR I extend my congratulations to Auto PAC Chairman Roger Bacon and the Board of Directors for a remarkable year. The MADA Auto PAC played a pivotal role in the recent elections, contributing $150,500 to candidates running for statewide and legislative offices. This included $60,000 in state races and $90,500 in state House and Senate races, Chair’s Message with MADA participating in 75% of all legislative races this year. Auto PAC engaged in 78 legislative campaigns, losing only four of those races. Our endorsement of Governor Tate Reeves, Lieutenant Governor Delbert Hosemann, and Secretary of State Michael Watson undoubtedly played a role in their successful re-election campaigns. I want to express my sincere gratitude to all the dealers who support Auto PAC; your commitment is instrumental in advancing our collective interests. ADVOCACY ON CAPITOL HILL: NADA WASHINGTON CONFERENCE In September, I had the privilege of joining Roger Bacon, Michael Joe Cannon and Marty Milstead at the NADA Washington Conference. Over 400 dealers and dealer association executives gathered on Capitol Hill to advocate on your behalf. Key issues discussed included the FTC’s “Vehicle Shopping Rule,” the EPA’s proposed new emission standards, and the Supply Chain Disruption Act. Our presence and advocacy underscored our dedication to addressing critical industry challenges at the national level. Your Commitment Is Instrumental in Advancing Our Collective Interests Trudy Moody, MADA Chair 6
CELEBRATING EXCELLENCE: TIME DEALER OF THE YEAR A heartfelt congratulations to Jeff Field, the Mississippi 2024 Nominee for the TIME Dealer of the Year award. Jeff’s outstanding service as MADA Chairman last year makes him a deserving recipient of this honor. I have no doubt that he will represent Mississippi with distinction. As we approach the end of another year, I extend my best wishes to you and your families. Our organization thrives because of the strength of our dealer body. I am eager to continue serving as your Chair and look forward to the opportunities and challenges that lie ahead. If there is any way I can assist you, please do not hesitate to reach out. Together, we will continue to drive success for Mississippi’s automotive industry. Warm regards, Trudy Moody, Chair Mississippi Automobile Dealers Association ENDORSED BY: ON AVERAGE, MS DEALERS ADD $60,240 IN PARTS UPLIFT ANNUALLY ARMATUS HAS COMPLETED OVER 14,500+ SUBMISSIONS NATIONWIDE ON AVERAGE, MS DEALERS ADD $51,948 IN LABOR UPLIFT ANNUALLY ARMATUS WORKS WITH 35% OF MISSISSIPPI DEALERS OUR COMMITMENT TO OUR CLIENTS: ÙYou Won’t Lift a Finger: Armatus does all the work for you. ÙFully Contingent Fee: You only pay when you are approved. ÙSpeed and Accuracy: No one completes a submission faster. ÙOptimization: Proprietary software guarantees you the best result. (888) 477-2228 | info@dealeruplift.com WWW.DEALERUPLIFT.COM If you have already completed a submission in-house or with another vendor, you may still have significant opportunities to gain more. If we can’t improve your results, you owe us nothing. Between our scientifically proven optimal results, and our speed of processing, we will literally pay our own fee. Reach out today for a no-obligation evaluation of your parts and labor rates. Our presence and advocacy underscored our dedication to addressing critical industry challenges at the national level. 7
REVVING UP SUCCESS MADA’s Regional Meetings Drive Momentum for Mississippi’s Automotive Industry Each fall, the Mississippi Automobile Dealers Association (MADA) takes the opportunity to hold Regional Meetings across the state for its members. Led by Trudy Moody, Chair of MADA, and President Marty Milstead, this annual event has become an important gathering, bringing together dealers from seven different cities for a collective exchange of industry insights and camaraderie. For attendees like Rudy Dossett, Jr., owner of Dossett Big 4 in Tupelo, this year’s Regional Meetings stood out as the best he’s ever experienced. “I have been going to the MADA meetings for a long time, but this was the best meeting I have ever attended. It was just outstanding,” Dossett remarked, capturing the sentiment echoed by many participants. Trudy Moody, owner of Mercedes-Benz of Jackson, took center stage during the meetings, channeling her passion for the automotive industry and challenging MADA members to actively participate in shaping its future. One key aspect of her rallying cry was the call for continued support for Auto PAC, emphasizing its pivotal role in influencing the political landscape of the state. A major focus of Moody’s discussions was the imperative to engage the next generation of automotive professionals working in dealerships. Recognizing the importance of mentoring and nurturing young talent, Moody stressed that this investment is crucial for ensuring a robust and enduring future for MADA and the industry at large. The highlight of the gatherings was the unveiling of a video that showcased the floor actions on HB 401. This piece of legislation, championed by MADA and its members during the 2023 legislative session, marked a significant victory for the association. MADA leadership calls HB 401, the most important bill that has ever been signed into law for car dealers. The video not only encapsulated the tireless efforts invested in the advocacy but also underscored the collective strength of the association and its members. The legislative victory served as a testament to the impact MADA can have when united for a common cause. Beyond the legislative victories and industry insights, the Regional Meetings served to foster a spirit of pride and camaraderie among MADA members. The sense of unity and shared purpose reinforced the importance of a strong collective voice for franchised automobile dealers in Mississippi. As Mississippi gears up for the challenges and opportunities that lie ahead, the echoes of this year’s Regional Meetings will undoubtedly resonate, serving as a catalyst for positive change in the years to come. With Trudy Moody at the helm and an engaged membership steering toward a common goal, the road ahead looks promising for MADA and the future of Mississippi’s automotive dealers. Scan the QR code to watch a video of the highlights regarding HB 401. https://www.youtube.com/ watch?v=FcfL9WdSHGc 8
9
In this year’s campaigns, where every vote counts, the Mississippi Automobile Dealers Association (MADA) Auto PAC emerged as a driving force in the statewide and legislative elections. Spearheaded by Chairman Roger Bacon and the dedicated Board of Directors, MADA Auto PAC played a pivotal role in financially supporting candidates who champion issues important to franchised car and truck dealers. BUILDING STRONG ADVOCACY MADA Auto PAC stands as a testament to the power of unity within the Association. By pooling contributions, the auto dealers have been able to amplify our voice, advocating for pro-car dealers and pro-business candidates on both sides of the aisle. Recognizing the financial challenges that come with running for office, MADA Auto PAC became a crucial supporter, enabling candidates to run winning campaigns. More importantly, when we deliver the campaign checks, it gives us the opportunity to tell our story (217 dealerships creating over 18,000 jobs). COMMUNITY ENGAGEMENT AND POLITICAL IMPACT MADA Auto PAC demonstrated an unwavering commitment to political involvement. By actively participating in the election process, we were able to showcase auto dealer’s dedication to shaping the policies that directly impact our businesses and communities. The 2023 elections marked a milestone for MADA Auto PAC, with an unprecedented $150,500 contributed to candidates running in statewide and legislative races. This financial backing was strategically distributed, with $60,000 allocated to candidates seeking state offices and $90,500 supporting legislative candidates. Notably, an additional $42,500 was raised independently by dealers for the successful re-election campaign of Governor Tate Reeves, complementing MADA Auto PAC’s substantial contribution. TRIUMPHANT RESULTS The impact of MADA Auto PAC’s efforts were evident in the successful re-elections of key figures like Governor Tate Reeves, Lieutenant Governor Delbert Hosemann, and Secretary of State Michael Watson. The public endorsement of these candidates by MADA underscored the association’s commitment to safeguarding the future of Mississippi. In 2023, MADA Auto PAC participated in an impressive 78 legislative campaigns, losing only four of those races. This track record reflects the organization’s commitment to thorough, impactful engagement in the political process. GRASSROOTS ADVOCACY AT ITS PINNACLE In the words of Chairman Roger Bacon, “There is no doubt that the grassroots network, along with the MADA Auto PAC, fortifies our presence at the Capitol. No other group is going to advocate on behalf of dealers. It is incumbent on everyone in our industry to do our part when it comes to supporting the PAC.” THE POLITICAL PRESENCE OF MISSISSIPPI’S AUTO INDUSTRY In an era where political action committees are commonplace, MADA Auto PAC stands out as a shining example of hard work and commitment. While legacy automobile manufacturers and other interest groups also engage in political contributions, MADA Auto PAC’s focus on grassroots relationships and bipartisan support sets it apart as a force for positive change. As Mississippi’s automotive industry continues to evolve, the impact of MADA Auto PAC in the 2023 elections serves as a testament to the strength that comes from unity, community engagement and strategic advocacy. With Chairman Roger Bacon at the helm, MADA Auto PAC has not only secured victories for its endorsed candidates but has also cemented its place as a crucial player in shaping the political landscape for the state’s auto industry. As Chairman Bacon emphasizes, it is incumbent upon every dealer to actively participate in supporting the PAC, ensuring that the industry’s voice resonates loud and clear in the corridors of power. The success of MADA Auto PAC in 2023 reinforces the notion that when the auto industry unites, it drives not only cars but also the future of Mississippi’s political landscape. 10
In Appreciation to the 2023 Contributors Presidents Club $5,000 First Year and $2,500 Renewal Michael Beebe Rainbow Chrysler Dodge Jeep Ram Dwayne Blackmon Dwayne Blackmon Chevrolet James Ceranti James Ceranti Motors Larry Clark Larry Clark Chevrolet Cadillac GMC Danny Dossett, Sr. Dossett GMC Cadillac Mack Grubbs Mack Grubbs Hyundai Phil Moore Phil Moore Buick GMC Walt Massey Walt Massey Automotive Gold Club $1,000 - $2,500 Miles Culbertson Astro Ford of MS Vic Dehon Champion Chrysler Dodge Jeep Ram Drew DePriest All Star Chevrolet Clint Favre Lakeshore CDJR of Picayune Jimmy Gray Jimmy Gray Chevrolet Bill Griffis Griffis Motors Paxton King Stan King GM Superstore Stan King Stan King GM Superstore Paul Moak, Jr. Paul Moak Volvo Subaru Silver Club $500-$999 Bronze Club $250 - $500 Jeb Blackburn Blackburn Nissan Rudy Dossett, Jr. Dossett GMC Cadillac Ted Marshall Marshall Ford Company John Scarbrough Paul Moak Honda Jonathan Allen J. Allen Toyota Beth Bacon Mossy of Picayune Roger Bacon Mossy of Picayune Ryan Brinkmeier Mac Haik Ford Jackson Michael Joe Cannon Cannon Motors of MS Tyler Cannon Cannon Motors of MS Gary Dodson Cadillac of Jackson Jeff Field Landers CDJR Stephen Franks Franks Chevrolet Buick GMC Cannon Kirk Kirk Auto Company Trudy Moody Mercedes-Benz of Jackson Owen Mossy Gulfport Nissan Bill Russell Bill Russell Ford Lincoln Jeff Smith Crossroads Chevrolet Buick GMC Michael Van Veckhoven New South Ford Brent Skinner Skinners Chevrolet Brad Yarbrough Natchez Ford Lincoln 12
GOLD STAR CLUB (Pledged $5,000+ Annually) Cannon Kirk, Kirk Auto Company Joe Marshall, Barnes Crossing Ford Walt Massey, Walt Massey Automotive PRESIDENTS CLUB (Pledged $1,000 or More Annually) Bob Aubrey, Patty Peck Honda Roger Bacon, Mossy of Picayune, Nissan of Picayune Bob Boyte, Bob Boyte Honda Ryan Brinkmeier, Mac Haik Ford Jackson Michael Joe Cannon, Cannon Motor Company Manny Carames, Mac Haik Jackson Chrysler Dodge Jeep Ram Drew DePriest, All-Star Chevrolet Gary Dodson, Cadillac of Jackson, Coast Chevrolet, Crown Dodge Chrysler Jeep Ram, Hallmark Hyundai Drew Estabrook, Cannon Motors Jeff Field, Landers Ford South, Landers Nissan Stephen Franks, Franks Chevrolet Buick GMC, Crowson Auto World Darren Furman, Mac Haik Madison Chrysler Dodge Jeep Ram, Mac Haik Madison Chevrolet Reed Howell, BMW of Jackson, Herrin-Gear Chevrolet, Herrin-Gear Infiniti, HerrinGear Lexus Bo Mandal, Galleria BMW Ryan Mayer, Tameron Gulf Coast, LLC Cliff Mitchell, Gray Daniels Auto Paul Moak, Paul Moak Automotive Trudy Moody, Mercedes-Benz of Jackson Butch Oustalet, Butch Oustalet Ford Lincoln Gulfport, Butch Oustalet Mazda, Butch Oustalet Ford Lincoln Wiggins Tony Petro, Petro Nissan Automotive Alton Pierce, Toyota of Hattiesburg Bill Russell, Bill Russell Ford Lincoln Michael Wallis, Rogers-Dabbs Chevrolet, Inc. GOVERNORS CLUB (Pledged $700-$999 Annually) Lee Allen, Johnson Dodge Chrysler Jeep Kia Rudy Dossett, Dossett Big 4 Buick Cadillac GMC Kim Hobbs, Kim’s Toyota Chrysler Dodge Jeep Ram Phillip Pogue, Ray Brandt Chevrolet, Ray Brandt Nissan Mike Tierney, Acura of Jackson Michael Van Veckhoven, New South Ford/Nissan SENATE CLUB (Pledged $500-$699 Annually) Jonathan Allen, J. Allen Toyota Preston Balthrop, George Carr Buick Cadillac GMC Ryan Baroni, Volkswagen of South Mississippi Dwayne Blackmon, Dwayne Blackmon Chevrolet, Inc. Vic Dehon, Champion Chrysler Dodge Jeep Ram Danny Dossett, Dossett GMC Cadillac Rick Foley, Turan Foley Chevrolet Cadillac Buick Jimmy Gray, Jimmy Gray Chevrolet Tom Hudson, Fowler Buick GMC Neil Johnson, John O’Neil Johnson Toyota Nat Keating, Toyota of Jackson Paxton King, Stan King GM Superstore Corey McDonald, Mac Haik Flowood Chrysler Dodge Jeep Ram Todd Mixon, Courtesy Ford Brandon Seward, Mac Haik Flowood Chrysler Dodge Jeep Ram Vera Skinner, Skinners Chevrolet Buick GMC Jeff Smith, Crossroads Chevrolet Buick GMC Mike Whatley, Mike Whatley Honda HOUSE CLUB (Pledged $200-$499 Annually) Michael Beebe, Rainbow Chrysler Dodge Jeep of McComb Tab Bennett, Davis Ford Sales Jeb Blackburn, Blackburn Nissan, Blackburn Chrysler Dodge Jeep Ram Michael Burroughs, Burrough’s Diesel James Ceranti, James Ceranti Nissan Larry Clark, Larry Clark Chevrolet Buick GMC Cadillac Zach Conaway, Truckworx Kenworth MS Miles Culbertson, Astro Ford of MS Steve Eaton, Eaton Chevrolet Buick GMC Clint Favre, Lakeshore of Picayune Patricia Fowler, Pine Belt Honda Joseph Pope, Pine Belt Chrysler Dodge Jeep Ram Mike Gregory, Triple M Motors Bill Griffis, Griffis Motors, Inc. Mack Grubbs, Mack Grubbs Hyundai Andy Harper, Paw Paw’s Camper City Bryan Johnson, Allen Samuels Chrysler Dodge Jeep Ram Tony Lamoureux, Kia of McComb Anthony Legeaux, Premier Ford of Waveland Ted Marshall, Marshall Ford Company Dean McCrary, Dean McCrary Kia of Hattiesburg Bubba McNabb, Centreville Motor Co. Phil Moore, Phil Moore Buick GMC Mitch Mosley, Southern Chevrolet Owen Mossy, Gulfport Nissan Bryan Oakes, Oakes Toyota Brett Oubre, Natchez Toyota Hal Parker, Parker Chrysler Dodge Jeep Ram Jason Pilger, Jason Pilger Hyundai Lauren Wilson Reeves, Wilson Kia Bobby Regan, Star Chevrolet, Inc. Charles Rigdon, Columbus Nissan Jeff Ross, Ross Motor Company Richard Smith, Forest Chrysler Dodge Jeep, Inc. Prentiss Smith, Toyota of Brookhaven Chris Stuben, Infiniti of South MS, Mercedes-Benz of South MS Tony Sullivan, Sullivan Motors, Inc. Robert Tolbert, Tolbert Chevrolet Buick Allen Vines, Long Lewis Ford Lincoln Jared Waldrop, Pine Belt Chevrolet Jimmy Walker, Laurel Ford Lincoln, Inc. Mike Waters, Waters Truck & Tractor Co. Jonathan White, Keith White Ford Dwayne Wood, Mandal Chrysler Dodge Jeep Ram Richard Woolwine, Woolwine Ford Lincoln Brad Yarbrough, Natchez Ford Lincoln 2023 DIFFERENCE MAKERS 13
MADA AUTO PAC CHECK DELIVERY Above: Jeff Smith and Senator Rita Parks Right: Kevin Mullins, Representative Joseph Tub and Mack Grubbs Below: Marty Milstead, Senator and Mrs. Joseph Thomas and Trudy Moody The MADA Auto PAC places a significant emphasis on the personal delivery of checks to political candidates, considering it a crucial component of their broader grassroots strategy. Under the policy, every Auto PAC check issued to a candidate is hand-delivered, requiring additional effort but seen as integral to our overall approach. This practice is not merely a procedural formality but is strategically designed to foster and cultivate relationships with candidates. The act of personally delivering the checks is viewed as a powerful means of engagement, allowing for direct interaction with individuals running for office. The choice of delivering checks at dealerships adds an extra layer of significance, creating a context that aligns with the MADA Auto PAC’s overall grassroots strategy and emphasizing the relationship between the automotive industry and political candidates. 14
Above: Senator David Blount at Paul Moak Automotive Left: Representative-Elect Jimmy Fondren with Drew Estabrook Right: Senator Sarita Simmons with Tyler Cannon Above: Representative Scott Bounds and Bill Griffis Left: Marty Milstead, Senator Mike Seymour and Bo Mandal Below: Jeff Field, Senator Kevin Blackwell and Jimmy Gray Above: Representative Bill Kincade with Drew DePriest Right: Cannon Kirk and Representative Tracy Rosebud Below: Jonathan Allen and Senator Joel Carter 15
JOHN SCARBROUGH HONORED FOR FRIENDS OF CHILDREN’S HOSPITAL BOARD SERVICE Earlier this year, on June 6, Friends of Children’s Hospital (FCH) bid farewell to its esteemed Board Chairman, John Scarbrough. John serves as General Manager of Paul Moak Automotive in Jackson. John, who has devoted an impressive 14 years to the organization, including the past two years as Board Chairman, concluded his term at the helm of one of Mississippi’s most impactful charitable organizations. During his tenure, John played a pivotal role in steering FCH towards remarkable growth and success. As a testament to his dedication, John served for four years on the executive council and took on the role of interim executive director. His legacy is marked not only by financial achievements but also by the indelible impact he made on the lives of patients and families served by the state’s only children’s hospital. One of John’s standout achievements was his success as the Car Tag Promotions Chair. Under his leadership, the Mississippi alumni chapters of The University of Alabama and Louisiana State University joined forces, donating proceeds from their respective Mississippi specialty license plates to FCH. Over the past 14 years, FCH car tag revenue has exceeded an impressive $5.2 million, with more than 136,000 tags sold. John’s passion for fundraising was further exemplified by his chairmanship of the “Over the Edge with Friends” rappelling fundraiser event, a position he held from 2016 to 2023. Over the Edge with Friends raised over $1.1 million during the seven years under John’s guidance. In the spring of 2023, he initiated yet 16
another successful fundraiser for FCH — the “Clays for Kids” clay shooting tournament, which raised $70,000. However, beyond the dollar figures, John’s legacy is defined by his heart, drive, wisdom and servant leadership style. He leaves behind a lasting impact that extends far beyond the balance sheet. In recognition of his exemplary service, the FCH Board honored John with the first FCH car tag ever issued in 2005. Additionally, a bench in front of the children’s hospital will be dedicated to him, serving as a permanent testament to his dedication. A tree in the Rainbow Garden will also be dedicated to John and his wife, Jeanne, in memory of their son, Hudson Scarbrough. As John takes his leave from the FCH Board, the organization and the community have benefited from his tireless efforts, unwavering commitment and the positive impact he has had on the lives of countless children and their families. Above: John Scarbrough was presented with the first Friends of Children’s Hospital license plate in recognition of his exemplary service to Friends of Children’s Hospital 2009-2023. John (center) is photographed with the Friends of Children’s Hospital board of directors and staff. Back row (L-R): Jordan H. Bryan, Janna Lampton, Jill Dale, Aimee Garner, Jennifer Johnson, Ben James, and Byron Burkhalter. Front row (L-R): Teresa Matthews, Caitlin Foreman, Mary Clift Abdalla, Kristin Allen, John Scarbrough, Nicole Cleveland, MD, Gabe Baldwin, Meredith Aldridge, Leslie Campbell, Samantha Moore and Aaron Samuels. Right: John Scarbrough at the top of the 22-story Regions Plaza building, the tallest building in metro Jackson, for Over the Edge with Friends, a fundraiser for Friends of Children’s Hospital. 2023 was his final year to chair the event. John not only chaired Over the Edge with Friends since it began seven years ago in 2016, but he also holds the title as the sole individual to rappel each of the past seven years. To top it all off, Over the Edge with Friends surpassed $1 million in total funds raised from 2016 to 2023! Contact Donna Allen at CCMSI | 601.608.1001 | dallen@ccmsi.com Celebrating 26 Years of Service! • CCMSI has handled the MADASIFs workers’ compensation claims since July 1997 • Representing New and Used Car Dealers in the State of Mississippi • Including Underwriting, Policy Issuance, Policy Service, Premium Collection, Audits, Financials, and Loss Control • Directly Written or with an Agent/Agency Workers’ Compensation Program Chairman Walt Massey, Lucedale Vice Chairman Roger Bacon, Picayune 17
REGULATION 8 A Guide for Mississippi Franchised Automobile Dealers Regulation 8, established by the Mississippi Motor Vehicle Commission (MMVC), outlines specific rules and requirements for franchised automobile dealers in Mississippi regarding Documentary/Service fees. It is crucial for dealerships to understand and adhere to these regulations to ensure compliance with the law and avoid potential fines and/or penalties. Maximum Fee Amount: The maximum amount a dealer can charge for a Documentary/Service Fee, as per Regulation 8, is $425. Dealerships found charging an amount exceeding this limit may face fines imposed by the MMVC. It is imperative for dealers to consistently review and update their fee structures to remain within the legal bounds set by the regulation. Reporting Requirements: Dealers charging Documentary/Service Fees are obligated to report the amount charged to the MMVC no later than December 31 of each year. Timely and accurate reporting is essential to demonstrate compliance with Regulation 8 and avoid potential penalties.
Disclosure Requirements: The amount charged for the Documentary/Service Fee must be listed as a separate itemized charge on the Buyer’s Order. The exact dollar amount of the fee should be clearly stated, and the following disclosure language must be included: “A DOCUMENT/SERVICE FEE IS NOT AN OFFICIAL FEE AND IS NOT REQUIRED BY LAW; HOWEVER, IT MAY BE CHARGED TO A BUYER/LESSEE FOR THE PREPARATION, HANDLING AND PROCESSING OF DOCUMENTS AND THE PERFORMANCE OF SERVICES RELATED TO THE SALE OR LEASE OF A MOTOR VEHICLE AND MAY INCLUDE DEALER PROFIT. THIS NOTICE IS REQUIRED BY REGULATION OF THE MISSISSIPPI MOTOR VEHICLE COMMISSION.” This disclosure language should be bold and capitalized on any document where the fee is disclosed, ensuring that buyers and lessees are fully informed about the nature of the fee. Exclusions from the Fee: Regulation 8 explicitly states that the Documentary/Service Fee cannot include costs associated with the preparation of a retail installment contract, the lease, the perfection of a security interest or any finance charges. Dealerships must carefully assess the components included in the fee to ensure compliance with these exclusions. Uniform Application of the Fee: If a dealership chooses to charge a Documentary/Service Fee, it must be uniformly applied to all purchasers and lessees, regardless of the payment method. This requirement emphasizes fairness and transparency in the dealership’s fee structure. In conclusion, understanding and adhering to Regulation 8 is essential for Mississippi franchised automobile dealers to operate within legal boundaries and maintain a transparent and compliant business practice. Regular review and updates to fee structures, accurate reporting and proper disclosure are critical components of ensuring ongoing compliance with Regulation 8. CONTACT US TODAY TO PLACE YOUR ANNOUNCEMENT AD Call 801-676-9722 or scan the QR code to fill out the form. Employees are motivated when they are recognized and feel valued. It’s about… ▷ Who to congratulate ▷ Who to acknowledge ▷ Who to thank for a job well done This magazine is a great platform to celebrate your team’s accomplishments! Place QR Code Here IT’S ABOUT THE 19
CONTACT US TODAY! 801.676.9722 sales@thenewslinkgroup.com Your Customers Are Too. Advertising Space Available. QR Code For over 100 years, we’ve helped dealers like you serve your customers by providing the best-in-class products and services you need – and by remaining true to the automotive passion we share. With nearly 5,000 specialists dedicated to supporting dealer financial services, we can help you gain efficiencies, increase your product offerings, and work to improve per vehicle revenue. Let us help you unlock new levels of growth at your dealership. We’re all better off with an ally. Contact your local Account Executive or call 888-919-2559 to get started. $46 billion in consumer auto originations in 2022 Over 32,000 vehicles listed daily on SmartAuction A leading F&I provider What we offer. Retail finance Commercial finance F&I Remarketing Wholesale inventory finance Dealer loans exponenti Congrats, Reggie Willis! 20
MADA ENCOURAGES SUPPORT OF CAR TAG PROGRAM FOR CHILDREN’S HOSPITAL As we enjoy the holiday season, the Mississippi Automobile Dealers Association (MADA) is rallying car dealers to support the state’s lone Children’s Hospital through an innovative car tag program. Acknowledging the longstanding generosity of car dealerships in aiding local communities, MADA proposes a unique approach — encouraging dealers to provide document wallets to customers upon vehicle purchases that will promote the individual purchasing the car tag benefiting the hospital. The beauty of the car tag program lies in its simplicity: the funds are raised not through the wallets but by customers purchasing a car tag. After completing their transactions in the Finance and Insurance (F&I) office, car dealers are encouraged to place the buyers’ paperwork in the document wallet. This thoughtful gesture not only organizes essential documents but also serves as a tangible reminder for customers to consider supporting the Children’s Hospital through the car tag program. Opting for the “Friends” car tag proves particularly impactful, as $44 from each tag directly contributes to crucial projects and initiatives at the hospital. These initiatives aim to bring hope, smiles and a nurturing environment to pediatric patients undergoing treatment. For the convenience of dealers, the document wallets can be procured through Reynolds and Reynolds. The exciting news is that, due to overwhelming interest in the program, dealers can order a box containing 500 document wallets for a reasonable $550. To be a part of this meaningful endeavor, dealers are urged to reach out to Reynolds representatives Tara Gazzier or Candace Todd to place their orders. This initiative not only highlights the generosity of car dealerships but also establishes a direct and impactful way for the automotive community to contribute to the well-being of young patients at Mississippi’s Children’s Hospital. 21
Hallmark Hyundai North Celebrates Grand Re-Opening with Ribbon Cutting In December of 2021, Chief Automotive Group purchased Hallmark Hyundai North, conveniently located right off I-55 in Ridgeland, Mississippi. The building was a previously owned Hyundai dealership, and plans for remodeling were started on day one. About six months later, the physical construction started. Gary Dodson, President of Chief Automotive Group, oversaw the remodel, which is part of a global Hyundai project. “Older Hyundai dealerships have the blue box on one corner of the building and a blue color theme.” Gary continued, “This global rebadging of Hyundai dealerships includes a brown, textured paneling along the front of the dealership and lots of windows.” The remodel took two years, and the building now looks brand new. In addition to the updates that the global project required, Gary took the opportunity to update the inside of the dealership. The showroom floor has doubled in size, allowing for more cars to be showcased. The shop originally had six bays to help service customers’ cars — there are now 12 bays equipped with all of the latest technology to service everything from ICE vehicles to the newest EVs. According to NADA, EVs now account for approximately 7% of all automotive sales. That is impressive considering that, just a couple of years ago, that number was about 2%. Hallmark Hyundai North is an EV-certified dealership and is now ready for the customers of the future. “We have two big chargers that people can come and charge their cars. The shop can handle EV battery repair, has special lifts and has all the specific tools needed to handle EV work,” stated Gary. 22
• Labor Relations • Employee handbooks • Employment Law Counseling and Litigation • HR Policies and procedures • Independent contractor issues • OSHA Compliance and defense • Purchasing or selling a dealership • Staffing and contingent workers • Workers’ Compensation • Wage and hour law Steve Cupp Partner | Gulfport/New Orleans 228.822.1440 scupp@fisherphillips.com Fisher Phillips brings valuable legal counsel to MADA members. Our labor and employment law firm offers auto dealerships the following services: A driving force in labor and employment law for more than 70 years. fisherphillips.com 2505 14th Street | Suite 300 | Gulfport, MS 39501 Along with the larger facility, there have been increased sales and service department visits, and that has allowed for an increase in employees. A few years ago, Hallmark Hyundai North had 25 employees, and today, they have 32. “We’ve been able to hire a few more employees. From a community standpoint and from a partnership with the city of Ridgeland, that brings additional jobs and additional tax revenue,” Gary said. “As car dealers do in most towns, we provide the governments of those towns with a lot of tax revenue and bring a lot of jobs to the market and we’re really proud of that.” On Oct. 26, 2023, Hallmark Hyundai North celebrated its newly remodeled facility with a ribbon cutting. Ridgeland Mayor Gene McGee, the Ridgeland Chamber of Commerce, city leaders and community members all joined in to help commemorate this tremendous occasion. Congratulations to Hallmark Hyundai North on your Grand Re-Opening. We wish you years of success! 23
NADA 2023 WASHINGTON CONFERENCE Four hundred dealers and dealer association executives from across the country gathered in the nation’s capital in September for the annual NADA Washington Conference. With all the activity going on in Washington, D.C., it is critical that we keep car dealer issues at the forefront. MADA Chair Trudy Moody, NADA Director Michael Joe Cannon, Auto PAC Chairman Roger Bacon and MADA President Marty Milstead carried a direct message to the Mississippi Congressional delegation. Several critical legislative priorities are at the forefront of discussions in Congress. These priorities revolve around key issues affecting both consumers and small businesses. In this article, we will delve into three specific legislative matters that demand attention and action: the proposed “Vehicle Shopping Rule” by the Federal Trade Commission (FTC), electric vehicle mandates and the “Supply Chain Disruptions Relief Act.” 1. Redoing the FTC’s $38 Billion “Vehicle Shopping Rule” The Federal Trade Commission’s proposed “Vehicle Shopping Rule” has sparked considerable controversy. This rule, which aimed to regulate the car-buying process, raised concerns that it would burden consumers and small businesses with excessive paperwork and prolong the sales process unnecessarily. A crucial point of contention was the absence of credible data-driven analysis and limited time for public comment, potentially leading to unintended consequences. A comprehensive study conducted by the Center for Automotive Research estimated that the rule’s 10-year cost would exceed $38 billion, casting doubts on its benefits for 24
consumers. To address these concerns, the “FTC REDO Act” has been introduced, which directs the FTC to revisit the “Vehicle Shopping Rule” with proper regulatory safeguards. This legislation mandates that the FTC issue an Advance Notice of Proposed Rulemaking, conduct quantitative studies on auto retailing, perform consumer testing and publish a cost-benefit analysis based on real data. Moreover, the House Appropriations Committee has included language in the Fiscal Year 2024 Financial Services and General Government appropriations bill (H.R. 4664) that prevents the FTC from finalizing, implementing, or enforcing the “Vehicle Shopping Rule.” This emphasizes the need for members of Congress to cosponsor the “FTC REDO Act” to ensure that the rule is thoroughly reassessed, preventing undue burdens on consumers and small business dealers. 2. Electric Vehicle Mandates and Consumer Demand The Environmental Protection Agency (EPA) has proposed aggressive emissions standards that would require 67.5% of U.S. car sales to be electric vehicles (EVs) by 2032. While the transition to electric vehicles is vital for environmental sustainability, there are concerns that the proposed timeline may be too ambitious. New car and truck dealers have invested $5 billion in tools, equipment, training and recharging infrastructure to support EVs. However, customer demand for EVs has not met the requirements set by government mandates. 3. The “Supply Chain Disruptions Relief Act” The “Supply Chain Disruptions Relief Act” (H.R. 700/S. 443) addresses an issue related to inventory replenishment. Under existing law, the Treasury Department has the authority to grant extended time for inventory replacement in cases of “major foreign trade interruption.” The pandemic and global disruptions significantly impacted auto production, making it challenging for dealers to replenish new vehicle supplies. While there is bipartisan support for the Treasury’s use of this authority, Treasury believes that additional legislative backing is necessary. The “Supply Chain Disruptions Relief Act” aims to authorize Congress to determine when conditions warrant granting additional time to replace vehicle inventories under existing law due to pandemicrelated foreign trade interruptions. This legislation is critical to rectifying significant, unexpected tax liabilities incurred by smaller, multi-generational family dealerships as a result of LIFO recapture. In conclusion, these legislative priorities reflect the ongoing efforts to balance regulatory requirements with the needs and preferences of consumers and small businesses. As Congress deliberates these matters, it must weigh the potential benefits of regulation against their impact on various stakeholders, ensuring that the policies enacted are both fair and conducive to economic growth and consumer satisfaction. Consumer adoption of EVs hinges on factors such as affordability, reliable charging infrastructure and charging speed. The current EPA proposal appears to overlook real-world consumer demand. To address this issue, members of Congress are encouraged to sign letters to congressional leadership urging the EPA to create a national greenhouse gas standard that is reasonable and achievable for all 50 states. Simultaneously, they should stress the importance of avoiding a complete ban on the sale of gas-powered vehicles, emphasizing the need for a gradual transition that considers consumer preferences and practical infrastructure. 25
THE PUSH TO STOP THE MISGUIDED FTC VEHICLE SHOPPING RULE In July of 2022, the Federal Trade Commission (FTC) issued a Notice of Proposed Rulemaking (NPRM) and solicited public comment on a Rule regarding unfair and deceptive acts or practices under its authority in regard to auto dealers. The Rule would prohibit auto dealers from making misrepresentations during the car buying journey, including selling, leasing or arranging financing for motor vehicles. It would require accurate pricing disclosures in sales discussions and advertising and would require dealers to obtain a consumer’s express, informed consent for all charges. It would also prohibit the sale of add-on products or services that give no benefit to the consumer. Additionally, dealers are required to keep records of advertisements and customer transactions. The public comment period closed on Sept. 12, 2022. According to the National Automobile Dealer Association (NADA), auto retailing generates 17% of the nation’s retail sales, and this Rule would affect nearly 42 million consumer transactions each year, thus injecting large amounts of time, cost and unnecessary complexity into the vehicle sales process. And, according to a recent study by the Center for Automotive Research (CAR), the untested mandates in this Rule will cost consumers both time and money. This Rule, in essence, undermines industry efforts to streamline and improve customer experiences. Additionally, the Alliance for Automotive Innovation, which represents General Motors, Toyota Motor, Volkswagen and other major automakers, voiced concerns about the Rule and warned that “excessive regulation and micromanagement of the sales experience can do more harm than good for both consumers and the industry.” NADA has urged the FTC to scrap the proposed rule, go back to the drawing board and propose a rule that would go through a responsible regulatory process that involves all stakeholders. On Oct. 3, 2023, S. 3014, the FTC REDO Act, a bipartisan bill from Senator Jerry Moran (R-KS) and Senator Joe Manchin (D‑WV), was introduced. The bill directs the FTC to redo the proposed FTC Vehicle Shopping Rule by: 1. Issuing an advance notice of proposed rulemaking 2. Conducting a quantitative study on auto retailing 3. Conducting consumer testing 4. Publishing a cost-benefit analysis based on actual data The FTC failed to perform any of these essential steps before proposing the Vehicle Shopping Rule. In an October press release, NADA shared the following key points: • The FTC has not followed a fair and transparent process in issuing this proposed rule, which would add more time and costs to the car buying process. Despite adding more paper to the sales process, the FTC counterintuitively (and without any analysis or support) assumes that this new rule would save consumers three hours per transaction and, in turn, save consumers $29.7 billion. The CAR report, with clear supporting evidence, shows that consumers would spend an additional two hours per transaction, with an overall cost of $38.1 billion. • This rule increases the complexity of the car-buying process, adding more paperwork for consumers while also creating inconsistent and unnecessary rules and burdens for small businesses. Vehicle sales are already extensively regulated with a document-intensive process. Under the rule, every time a consumer asks about a specific vehicle or monthly payments, there would be new written (and untested) disclosures involved. • Congress must stop the FTC’s rushed and flawed rule since adding additional regulatory burdens must be the result of an informed process. All the behaviors the FTC’s rule is aimed at addressing are already against the law, and the agency presently has sufficient enforcement authority to police any alleged wrongdoing. The FTC should work collaboratively with the auto industry, as it has in the past, to promote compliance without unnecessarily adding costs, lengthening transaction times and harming consumers. As of now, the FTC has not disclosed a timeframe for when the final rule will be released. NADA is urging members of Congress to join the conversation and cosponsor the FTC REDO Act in an effort to stop the misguided Vehicle Shopping Rule. 26
Plan ahead for your dealership’s long-term legacy Setting up a succession plan is an important consideration for the future of your dealership. Now’s the time to think about your priorities, such as maintaining control, taxes, liquidity, employees and family. What would you like the power to do?® Learn more with our comprehensive overview of Dealer Financial Services Succession Planning at business.bofa.com/dealer. “Bank of America” and “BofA Securities” are the marketing names used by the Global Banking and Global Markets divisions of Bank of America Corporation. Lending, other commercial banking activities, and trading in certain financial instruments are performed globally by banking affiliates of Bank of America Corporation, including Bank of America, N.A., Member FDIC. Trading in securities and financial instruments, and strategic advisory, and other investment banking activities, are performed globally by investment banking affiliates of Bank of America Corporation (“Investment Banking Affiliates”), including, in the United States, BofA Securities, Inc. and Merrill Lynch Professional Clearing Corp., both of which are registered broker-dealers and Members of SIPC, and, in other jurisdictions, by locally registered entities. BofA Securities, Inc. and Merrill Lynch Professional Clearing Corp. are registered as futures commission merchants with the CFTC and are members of the NFA. Investment products offered by Investment Banking Affiliates: | Are Not FDIC Insured | Are Not Bank Guaranteed| May Lose Value | ©2022 Bank of America Corporation. All rights reserved. 4882341 05-22-0512
FRANCHISED DEALERS SAVE AN AVERAGE OF $6,500 MONTHLY / PER LOCATION! EVERYTHING YOU NEED, NOTHING YOU DON’T. SCAN THE QR CODE AND SCHEDULE YOUR DEMO TODAY! SECURITY FLEXIBILITY SAVINGS • $0 Core Monthly Support • $0 Conversion and Training • Unlimited Users • Encrypted Integration to Any Application • Continuous Software Enhancements • Robust Suite of Core Features • Easy to Learn / Simple to Use • Access from Any Web Connection • Choose the Apps You Want The new pricing structure, including an unheard-of $0 initial and monthly fee for VUE Core DMS, is unique in our industry. With the many challenges they face, we want to give dealers freedom and flexibility to create the custom software solution their business needs. Sharon Kitzman | President of Dominion DMS DominionDMS.com (866) 928-3210 1515 South Federal Highway, Suite 406 Boca Raton, FL 33432, USA SCHEDULE YOUR DEMO 800 Woodlands Parkway Suite 100 Ridgeland, MS 39157 This magazine is designed and published by The newsLINK Group, LLC | 1.855.747.4003
www.thenewslinkgroup.orgRkJQdWJsaXNoZXIy MTg3NDExNQ==