OFFICIAL PUBLICATION OF THE CALIFORNIA NEW CAR DEALERS ASSOCIATION

Pub. 5 2023 Issue 1

President’s Message: Protecting Our Franchised Car Dealers

CNCDA members are rightfully concerned that (based on conflicting public statements) auto manufacturers may have their eyes set on direct-to-consumer sales. More than ever (and especially this year), our mission critical is to protect the franchised auto dealer model. That is why we have introduced AB 473 to the California State Legislature this year, aimed to modernize California’s New Motor Vehicle Law in order to create a stronger, more equitable vehicle franchise system.

We know manufacturers make great cars and vehicles that consumers want (whether it’s ZEV or ICE), but it’s car DEALERS that make great relationships. Our dealers are the people behind the technology. They are experts in helping families find the perfect vehicle that meets the demands of kids’ busy schedules. Dealers help first-time car buyers choose a reliable vehicle within their budget. They provide the insight and knowledge to answer questions for the executive looking to upgrade to a luxury vehicle or truck. Car dealers truly understand the wants and needs of California’s motoring public.

Beyond these relationships, let’s talk numbers. In 2022, new car dealers provided over 135,000 jobs to hard-working Californians. Further, 97% of these dealerships provide access to health insurance for their employees. Dealers also play a vital role in California’s economy (now the fourth largest in the world), paying $12.9 billion dollars in tax revenue in 2022. Last year, new car dealers gave $62.84 million in charitable and civic donations to further help those Californians in need. The proof is here; California can’t afford to lose the franchised dealer model.

We hope you join us, and participate in the way you feel most comfortable, to help us advocate for new car dealers in the year ahead. Your participation and involvement in reaching this goal to protect the franchise model will help secure the future careers and lives of so many Californians.
An important step you can take is attending CNCDA’s Dealer Day in Sacramento. On this day, dealers like you communicate directly with members of the state legislature to explain how YOUR business functions and to share your unique industry perspective. It’s a busy, but very effective, day of advocacy for CNCDA and our members.

We highly encourage you to register for Dealer Day as the more members we have present, the more successful we are in delivering a strong, face-to-face message directly to California’s lawmakers. Visit CNCDA.org for more information.

Thank you in advance for helping us continue to protect your franchise.

Brian Maas