February 21, 2017
7 Key Players in the GOP's Border Tax Fight
Republicans are fiercely divided over a key proposal in the House GOP tax reform plan, a measure that would hit imports with U.S. taxes while exempting exports. According to The Hill, the border-adjusted tax (BAT) was included in a tax blueprint House Republicans released in June, which is a starting point for upcoming legislation. Supporters say the border tax is a critical way to raise revenue to pay for tax rate cuts in the package and to boost American manufacturers. But the border tax proposal is facing mounting opposition from business groups and many GOP lawmakers worried that consumers will be hit with higher prices for goods. That opposition could imperil GOP plans to pass tax reform, one of their top agenda items for 2017. The Hill is covering some key players in the debate. Click here to read about them. AIADA is opposed to the congressional BAT proposal and is hosting a special Capitol Hill Fly-In for dealers to voice their concern to their members of Congress. Click here to register for this special urgent event happening March 8-9.
Keiser University's Auto Retailing Plan
Keiser University plans to launch its auto dealership management program this spring on the former Northwood University campus in West Palm Beach, Fla. Students can sign up in May for summer classes; a regular academic year begins in the fall. According to Automotive News, some aspects of the program will resemble Northwood's four-year program in Midland, Mich., whose alumni are dealers principal and dealership managers across the country. But Keiser intends to distinguish its program in several ways. For example, it will take advantage of its South Florida location by adding executive education. That opens the door for internships at dealerships nearby. Students will work at dealerships, between their first and second and then their third and fourth years. For more on Keiser University’s new dealership management program, click here.
Many Rich Folks Opt for Plain Ol' Pickups, Economy Cars
According to USA Today, the wealthiest among us could afford to drive just about any luxury car on the road – Ferraris, Jaguars, Porsches – you name it. But instead, a study finds the most popular cars for high-income Americans are pretty much what everyone else drives, notably Fords, Jeeps, and Hondas. MaritzCX, which conducted the study covering the 2016 model year, found that the Ford F-150, which is already the most popular vehicle in the U.S., was also tops among those earning more than $200,000 a year. Next came the Jeep Grand Cherokee, Honda Pilot, Jeep Wrangler and the only compact car in the top five, the Honda Civic. The survey estimates reflect a big change over the past decade. There has been a "shift out of luxury vehicles in a lot of cases and moving toward SUVs and trucks," even if they weren't branded as luxury vehicles, says Shawn St. Clair, senior director of global syndication for MaritzCX. For more on the most popular vehicles for wealthy drivers, click here.
Shell and Toyota Partner on California Fueling Stations for Hydrogen Cars
Royal Dutch Shell Plc will build seven fueling stations for hydrogen cars in California through a partnership with Toyota Motor Corp., laying down their latest bet on the demise of the internal-combustion engine, reports Bloomberg. The stations will nudge the state closer to its goal of having 100 retail sites by 2024 where hydrogen fuel-cell vehicles can fill up. The California Energy Commission is considering $16.4 million in grants toward the stations, with Shell and Toyota contributing $11.4 million. The Shell-Toyota partnership “shows there’s a lot of interest and that the hydrogen market is poised to move forward rapidly,” said Janea Scott, a member of the California commission. Toyota plans to rely on hydrogen to all but rid its lineup of traditional-engine models by 2050. The lack of refueling infrastructure is a major hurdle to zero-emission cars catching on with consumers – California has just 25 stations right now. For more on a hydrogen partnership between Toyota and Shell, click here.
Los Angeles Has the World's Worst Traffic Congestion
Cheap gas and a surging economy are taxing the nation’s roads and contributing to congestion that cost U.S. motorists almost $300 billion last year in wasted time and fuel, according to a new report. The Detroit Free Press reports that Los Angeles had the worst traffic in the world among the 1,064 cities studied by transportation analytics firm INRIX. The average driver wasted 104 hours sitting in gridlock during the busiest commuting times last year, and lost $2,408 each in squandered fuel and productivity. While Moscow had the second-worst congestion, New York and San Francisco weren't far behind. New York motorists spent 89 hours on average in traffic during peak periods last year. The average San Francisco driver cooled their heels behind the wheel 83 hours on average in 2016. Click here to see which U.S. cities made the cut as metropolitan areas with the worst traffic.
Webinar Happening Today: Combat Distracted Driving
Join AIADA and its Affinity Partner, Federated Insurance, TODAY, with online sessions held at 10:00 a.m. and 4:00 p.m. EST, for an online webinar focusing on the dangers distracted driving pose to dealerships and their employees. Learn more about the distracted driving epidemic, its potential impact on dealerships, and what dealers and their employees can do to prevent the problem in this webinar titled, "Driver Distractions – Are They Worth Dying For?"
To register for the 10:00 a.m. EST session, click here.
To register for the 4:00 p.m. EST session, click here.
Around the Web
Aston Martin Shows Off the DB11 [USA Today]
Ferrari Just Unveiled Its Most Powerful Production Car Ever [CNBC]
The Best Deals on Overstocked New Cars [Forbes]
Honda Civic Type R Set for Geneva Debut [Autoblog]