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Scarpelli praises dealer lobbying in words as departing NADA chairman

April 6, 2018
Dealers can be proud of their lobbying efforts over the last year, which protected the affordability of the automobile and the profitability of auto dealerships in a tumultuous political year, Mark Scarpelli said March 23 in his final message as 2017 chairman of the National Automobile Dealers Association.
At the 2018 NADA Show in Las Vegas, Scarpelli, president of Raymond Chevrolet and Raymond Kia in Antioch, said lobbying efforts to protect dealer reserve from persistent threats by the Consumer Financial Protection Bureau and the successful defense of 100 percent deductibility for floorplan interest during the tax reform debate late last year protected dealer profits and kept vehicles affordable for consumers.
Scarpelli also noted the NADA’s efforts in 2017 to push back on manufacturer stair-step programs.
And there were other threats to the dealer business model in 2017, Scarpelli said, including "overly broad" recall legislation that would have treated every recall the same, regardless of its impact on vehicle operations.
"This legislation would have created a ‘consumer trade-in tax’ for every recalled car on the road — even ones with only minor defects, like a peeling sticker," Scarpelli said, adding that the legislation could have cost consumers "on average $1,200."