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Thank You to Our Sponsor of This Edition of CAWA Connections

Automotive Distribution Network
May 31, 2018 Week In Connections

CAWA's June Leadership Meeting - You Need to be There
Here is a list of presenters scheduled for the upcoming CAWA Leadership Days in Newport Beach (June 22, 2018). 
  • Rick Schwartz, CEO and Managing Partner, Schwartz Advisors - "What Every Business Owners Needs to Know About Mergers & Acquisitions - Even if You Don't Plan on Selling Your Business"  
  • Jennifer Maher, Chief Executive Officer, TechForce Foundation - "Driving Tomorrow's Workforce of Technicians"  
  • Derek Kaufman, Managing Partner, Schwartz Advisors - "The Effects of Emerging Technologies on Automotive Service"  
  • Richard Corey, Executive Officer, California Air Resources Board (CARB) - "What's Occurring at CARB that Will Impact Automotive?"

To register for the meeting click here. Thanks to all the meeting sponsors (see below) and CAWA is also proud to host a Young Auto Care Network Group (YANG) Regional Meet-Up in conjunction with this Leadership Meeting.

MANN Filter
Schwartz Advisors

Total Lubricants


Arizona Governor Vetoes Legislation Requiring Additional Regulatory Sales Tax Collection Headache
CAWA opposed legislation requiring real time remittance of Transaction Privilege Tax (TPT) for auto parts retailers. At the urging of CAWA and its auto parts retailer members in Arizona, Governor Doug Ducey vetoed Senate Bill 1091, which would have impacted sales tax collection and distribution of Arizona businesses by implementing a real time remittance of TPT. Governor Doug Ducey vetoed SB 1091 last week citing concerns about the unintended consequences the bill could have on private industries. 

CAWA's legislative team, including our Phoenix based legislative advocate, has been aggressively working to oppose the legislation because implementation of real time remittance of TPT would have required significant changes to the current electronic payment systems for members including adding exorbitant cost of doing business by requiring businesses to pay for a second hardware upgrade in order to comply with real time TPT remittance as outlined in the legislation. See the letter sent to the Governor here. Another member benefit.

Cal/OSHA is Issuing a High Heat Advisory to Urge all Employers with Outdoor Workers to Prevent Heat Illness as the Weather Warms Up
Hot Weather
"It is important for employers to check forecasts and monitor the temperatures to prepare for periods of high heat," said Cal/OSHA Chief Juliann Sum. "That information should be used to closely observe workers for possible heat stress and modify their work schedules as needed." California's heat illness prevention regulation requires employers with outdoor workers to take the following four steps to prevent heat illness ( click here).

Steps to Follow Before Terminating Underperforming Employee
We have a short-term employee we recently moved into a new position, but he just isn't "getting it." His manager wants to terminate him at will, but I'm concerned because he falls into a couple of protected categories: He's 52 (over 40) and a Muslim, and we haven't given him any warnings. What are our options?

Although California is an "at-will" state, meaning an employer can dismiss an employee for any reason as long as it isn't an illegal reason, this question presents the danger of exercising at-will terminations without thinking through the decision. See explanation here.

Recall, as a member you can receive up to ½ hour per month of FREE legal consultation for issues such as this (see for the attorney in your state). Source: Our friends at the California Chamber of Commerce.

California Legislative Proposals Being Watched, Supported and Opposed by CAWA
See the list of bills (here) and the Association's position on them as of May, 2018. For more information on any proposed legislation, contact our California based legislative advocate, Gary Conover at 916.233.9655 or Another member benefit.

Trump Administration to Initiate Import Investigation of Automobiles and Automotive Parts: Tariffs a Possible Result
On May 23, President Trump instructed Secretary of Commerce Wilbur Ross to initiate a Section 232 investigation to determine if the imports into the U.S. of automobiles, including SUVs, vans and light trucks, and automotive parts threaten to impair national security.

According to Commerce's statement, imports of passenger vehicles have grown from 32 percent to 48 percent in the past 20 years; and that employment in motor vehicle production declined by 22 percent from 1990 to 2017. A Wall Street Journal article indicates that the President is considering the imposition of tariffs as much as 25 percent.

The Commerce Department will soon publish a notice in the Federal Register announcing a hearing date and inviting comments from industry and the public to assist with the investigation. We will keep you updated with any new developments. Contact our partner Aaron Lowe at the Auto Care Association at or 301.518.7751.

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4 Things to Consider Before Choosing a Credit Card Processing Company
If you are like many other members, you have probably heard misleading promises of low rates and excellent customer service that are never fulfilled. As a member of CAWA, Superior Financial Systems (SFS) and the Association understand your needs and are here to help. Most people choose a credit card processing company based on the lowest advertised rates, without checking important facts like: see here for details. Another member benefit.

Superior Financial
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