covid-19 updates
Information and Resources Concerning COVID-19
The emergence of the COVID-19 situation will no doubt have a significant impact on a dealership's workforce and business operations. Below are some practices dealers can take to promote the health and safety of employees, as well as customers:
Re-Opening guidelines
Additional Information for Reopening in May 20th
Please find Connecticut reopening guidelines below:
For OFFICES
Please review the CLEANING GUIDANCE from the CDC
Maximum gathering remains at 5 persons for the initial opening on May 20th. We do not yet know when the next phase allowing greater numbers will commence so you should make every effort to organize your office, waiting areas and showroom to accommodate this mandate.
Also, if you have any point at which there may form a line you must have 6-foot distance markers.
It is especially important to make showroom traffic by appointment only so you can manage your gatherings. You may solicit showroom traffic; just make it clear when doing so that they should call first.
You may want to direct traffic entering the showroom through one door and have a receptionist there to greet and guide them either to a salesperson or to the designated waiting area. This way anyone walking in without an appointment can be handles appropriately. You can certainly ask them to wait in their vehicle if you choose. All other non-essential businesses will be doing the same thing so customers will be used to this and appreciative of the care taken.
You should designate a sales waiting area separate from your service department as both must follow the 5-person gathering maximum.
Cashiers – you should encourage contactless payment as much as possible. And think about a barrier between your cashier and your customers. We included sources for portable plexiglass barriers in a previous email and our April newsletter and there are many more sources out there.
The 5-person gathering maximum goes for meetings as well as waiting areas. There are strict guidelines for offices – much of which dealerships have been following throughout the crisis (See guidelines for full details).
Self-Certify Before Opening
The state’s complete guidance document for Retail and Office phase 1 can be found here. Please note all businesses subject to these guidelines are required to self-certify prior to opening May 20th. The certification system will be online this week. CARA will post the link when it is available.
June 2020: Update to ppp!
The PPPFA - Paycheck Protection Program Flexibility Act extends the loan’s covered period for 8 to 24 weeks. It doesn’t mandate you use 24 weeks – you can still use the 8-week period. You will want to discuss this with your accountants and/or counsel to determine what is right for you.
It changes the expense ratio to 60% payroll and 40% other allowable expenses, extends the deadline to rehire workers to 12/31/20 and created new exceptions for a reduced headcount.
It also extends the repayment terms from 2 years to 5 years. If you’ve already passed your 8-week period and converted your loan – you can reach out to your lending institution for options.
You can read NADA’s updated PPP Loan Forgiveness Guidance here - or you can use this link https://www.nada.org/covid3faq/
Resources & LINKS
U.S. Small Business Association: Small Business Disaster Loan Assistance - COVID-19 ECONOMIC INJURY DISASTER LOAN APPLICATION
SBA Loan, Paycheck Protection Program application – this is the application for the forgivable loan through the CARES Act. Click here to access.
U.S. Chamber of Commerce Coronavirus Emergency Loans Small Business Guide and Checklist (CARES Act)
The CDC offers resources for Interim Guidance for Businesses and Employers to Plan and Respond to Coronavirus Disease 2019 (COVID-19) on their website.
The Department of Labor and the Department of Health and Human Services has created a guide on Preparing Workplaces for Covid-19. Click here to access the guide.
NADA is hosting a series of webinars called Dealership Webinar Lifeline Series to help dealerships navigate the Covid-19 crisis: Access the webinars here.
Department of Labor Info:
Requirements to put an employee out on Paid Sick Leave or Paid Family Medical Leave and you can find them here: https://www.dol.gov/agencies/whd/pandemic/ffcra-employee-paid-leave
The CT Department of Labor has good information regarding layoffs, furloughs etc. due to COVID-19 that you can find here: https://www.ctdol.state.ct.us/DOLCOVIDFAQ.PDF
The US Department of Labor has issued further guidance on the Families First Coronavirus Response Act (FFCRA) from phase 2 of the relief legislation – the act takes effect April 1st and is NOT retroactive.
Updated Q&A Info Here: https://www.dol.gov/agencies/whd/pandemic/ffcra-questions
This is NOT about layoffs and furloughs which are covered under phase 3 of the relief legislation.
IRS Info:
You can find guidance on the way to claim your tax credits here: https://www.irs.gov/newsroom/covid-19-related-tax-credits-for-required-paid-leave-provided-by-small-and-midsize-businesses-faqs
Workplace Info:
The Workplace Guidance has been updated as of April 20th:
Masks or Cloth Face Coverings Required
Each employee shall be required to wear a mask or other cloth material that covers his or her mouth and nose at all times while in the workplace. Employers shall issue such masks or cloth face coverings to their employees. In the event an employer is unable to provide masks or cloth face coverings to employees because of shortages or supply chain difficulties, employers must provide the materials and CDC tutorial about how to create a cloth face covering, or compensate employees for the reasonable and necessary costs employees expend on such materials to make their own masks or cloth face covering.
Nothing in these rules shall require the use of a mask or cloth face covering by anyone for whom doing so would be contrary to his or her health or safety because of a medical condition.
If a person declines to wear a mask or cloth face covering because of a medical condition as described above, such person shall not be required to produce medical documentation verifying the stated condition.
Governor Lamont signed another executive order on Tuesday, April 7, 2020. This order included specific guidance on mandatory workplace safety rules. These rules go into effect immediately – see below:
Safe workplaces in essential businesses: Requires the Department of Economic and Community Development to work in consultation with the Department of Public Health on the development of legally binding statewide rules prescribing additional protective measures that every workplace in Connecticut deemed essential – and any other business or nonprofit allowed to remain open – must follow. Such rules will be mandatory throughout the state.
Immediately upon Governor Lamont’s signing of this executive order, the Department of Economic and Community Development published the Safe Workplace Rules for Essential Employers on its website, outlining guidance for these businesses.
PPE & COVID-19 Protection, Disinfecting & Dealership Product Sources Update
Disposable face-masks:
Reynolds & Reynolds - The 3, 4 & 5 layer disposable masks have a delivery date of about 15 days. James_Carpenter@reyrey.com
https://www.cbia.com/news/small-business/face-masks-connecticut-small-business-employees/
www.app-ppe.com (local source)
For pricing: Dan Payne #917-502-8639 or email Dan
Face Shields:
Counter Shields:
Masks & Various COVID- 19 Dealership Products:
For pricing contact: davidrothman@wascoonline.com 201-489-1604 hours 9-3.
Vehicle Purifiers:
Resist All Vehicle Purifier Aftermarket Specialty Co. To order call 203-759-1140 or beginning 5/4/20 visit www.bobmarino.com
Steering Wheel Seat and Shift Covers:
Monday, April 13, 2020
DMV UPDATE:
Customers can drop off registration paperwork at DMV offices in Enfield, Old Saybrook and Waterbury. Customers can leave an envelope filled with their required documents in drop-off box within the office entrance. A DMV staff member will contact the customer for credit card payment information, and once processed, registration documents will be mailed to customer.
Available ONLY at the following DMV offices:
· Enfield
·
Dates/Times Available:
*Drop boxes available from 7:45 am to 12 pm, and 12:30 p.m. to 3 p.m., on:
· Tuesday, April 14 and 21
· Wednesday, April 15 and 22
· Thursday, April 16 and 23
Monday, April 6, 2020
The 90-day registration extension applies to customers you have out on dealer plates.
Normally a customer can be on a dealer plate for repairs or, when appropriate, pending registration for only 30 days per calendar year. This has also been extended to 90 days to assist during this limited DMV and Dealer staff period when customer repairs or registrations may take longer to process and complete.
A Message from DMV:
The DMV will open the Wethersfield Inspection Lane on Tuesdays and Thursdays only, 7:30 am – 4:00 pm, starting on April 7, 2020. The DMV will inspect wreckers and ABA vehicles; may handle other ‘critical’ or ‘essential’ inspection requests on a case by case basis.
The DMV asks that licensed Dealers or Repairers please call 860.263.5079 with any questions related to inspections done in Wethersfield. Please leave your name and phone number and your call will be returned by the Supervisor.
Tuesday, March 31, 2020
The state has decided that only businesses that have $150,000 or less in annual sales tax liability will qualify for an extension of time to file and pay their sales tax. Monthly filing is due today, March 31st for all businesses with a greater than $150,000 annual liability but the order includes a provision to waive penalties (see bold section below) while you determine eligibility as long as the tax is paid by the extended deadline.
Department of Revenue Services extends filing and payment deadlines for certain small businesses
At the direction of Governor Lamont to provide Connecticut small businesses with immediate administrative tax relief in recognition of the impact of COVID-19, the Department of Revenue Services (DRS) today announced that it granting a two-month extension of filing and payment deadlines for certain small businesses.
“The state needs to be taking all steps possible to provide relief to our small businesses, and this is a prudent step during this public health emergency,” Governor Lamont said.
Taxpayers that have $150,000 or less in annual sales tax liability qualify for an automatic extension of time to file and pay. Similarly, those that have $150,000 or less in annual room occupancy tax also qualify for this relief. Entities that collect both sales tax and room occupancy tax must evaluate each tax separately to determine eligibility for relief.
To determine if it is a qualified small business, entities are required to utilize a calendar year look back period of January 1, 2020 through December 31, 2019. Any taxpayer that reported $150,000 or less in tax during that period qualified for the relief.
Returns covered by this extension includes:
1)For monthly sales tax and room occupancy tax filers: Returns and payments due March 31, 2020, and April 30, 2020, are extended to May 31, 2020.
2) For quarterly sales tax and room occupancy tax filers: Returns and payments due April 30, 2020, are extended to May, 31, 2020.
“DRS acknowledges that small businesses may need additional time to access their records and consult with their tax preparer,” Acting Revenue Services Commissioner John Biello said. “Taxpayers who file and pay on or before the extended deadlines will not be subject to any penalties or interest.”
friday, March 27, 2020
Please see the links below to access essential employee letter templates:
The CDC offers resources for Interim Guidance for Businesses and Employers to Plan and Respond to Coronavirus Disease 2019 (COVID-19) on their website.
The Department of Labor and the Department of Health and Human Services has created a guide on Preparing Workplaces for Covid-19. Click here to access the guide.
Thursday, March 26, 2020:
Senate Passes Phase 3 Coronavirus Response
Late last evening, the Senate passed the nearly $2 trillion Coronavirus Aid, Relief, and Economic Security (CARES) Act. This bill, known as Phase 3, is extremely beneficial for dealerships of all sizes and includes generous and unprecedented provisions to help provide liquidity for dealerships and to help businesses keep their employees on the payroll. The House of Representatives is expected to vote on the Senate measure tomorrow; and the President has pledged to sign the bill into law quickly.
NADA advocated for provisions included in the Senate bill, such as new federal funding to cover operational and payroll expenses for small businesses through June 30, deferring payroll tax payments for employers, and other important tax relief. NADA continues to advocate for the broadest possible business relief to help dealerships continue in operations and retain employees.
Thank you to Senator Blumenthal and Senator Murphy for their support.
This link provides a preliminary summary of provisions of most interest to franchised dealers.
DMV UPDATE 3-26-2020
Per the press release – DMV is on a much-reduced staff and schedule. After discussion with the online unit (remote) I have been told the following:
NOTE: You may mail your on-line work into the DMV Wethersfield office as usual.
NOTE: Until otherwise noticed - Only Wethersfield is available for Dealer Drop -Off work – but you can drop off in Wethersfield using the attached procedure.
NOTE: There are only 50 people staffing Wethersfield to do all DMV work - but if you have licenses to add or other online work – try to process and call as normal - though it may take longer to access due to the reduced staff. I would suggest if you fax in a license to be added to the system you make sure it is clear and that your contact information is there in case they have questions. If it is not added in a few hours you may want to call to let them know it is there.
NOTE: Visit https://www.ctdmv.info/ for updated info and DMV status notifications.
Monday, March 23, 2020:
National Standards of Essential
NADA and state associations asked for repair, maintenance and sales but the president specifically rejected sales. Most states that have shut down non-essential operations have taken what the president set as the national standard. CARA has gotten more than what the president was willing to give as the national standards.
CA, NY, PA, IL – No auto sales at all – period.
We will be providing you some best practices to protect your employees on deliveries and service/parts shortly.
WHERE WE ARE RIGHT NOW WITH FEDERAL LEGISLATION
There are 3 federal Corona Virus (COVID-19) pieces of legislation we are concerned with. I will call them COVID 1, COVID 2 and COVID 3.
COVID1 – Is the original stimulus bill signed by President Trump last week and effective upon signature that made COVID 19 tests free and addressed co-pays and other medical focused items.
COVID2 – Is the stimulus bill that has been signed by President Trump and will become effective by April 3rd. This bill provides for two weeks of paid sick leave and a paid FMLA program. The business rules of this legislation is being written now and we will get you more information as it becomes available. This is not retroactive so doesn’t apply to anyone sick or in quarantine right now.
One item of interest that is being reviewed is the possibility of being able to access the monies from your withholding payments (including FICA) to use for liquidity. There is also negotiation underway to forgive these loans.
COVID3 – Is the stimulus bill focusing on small business loans. This bill has not passed and is being hotly negotiated as you read this. What is on the table right now is:
The maximum number of employees is raised to 500 employees and you may de-aggregate if you have several different stores. So, you could file and qualify by rooftop – not by total employees in all locations. Right now, this is based on employees as of March 1 - though there is some negotiation about the date since some furloughs had already begun by then.
No personal guarantee by the dealer principal would be required to get the loan.
The way the max loan amount would be calculated would be via a 12-month look-back – you would take the average monthly salary and times that by 2.5%. These are good sized, no interest or very low interest loans to be used for payroll and operating expenses.
Criteria much reduced – very simple and very fast approval at local banks.
They are also looking at forgiveness of the loan at the end of the process. **
** Many of you have heard reports on not qualifying for the loan if you lay employees off or furlough them. Originally, the bill provides that if during the term of the loan you lay off people you may not qualify for loan forgiveness. The compromise being discussed now is that if you hire them back during the loan period or when before you file for forgiveness, you will qualify for forgiveness even if the employees came back at 25% of their original salary. The point is to get as many people employed as possible.
NOTE: Starting Wednesday NADA will get out a daily update to all dealers – look for that in your inbox!
saturday, March 21, 2020:
DEALER ALERT: Call Your Senators TODAY
Ask Senators to Support Small Business Provisions in the “CARES Act” to Provide Relief to Small Business and Keep Dealership Workers Employed
Negotiations on the next Coronavirus Response bill are moving rapidly in the Senate with major decisions being made today. NADA priorities to help auto and truck dealers improve liquidity and cash flow are included in the Senate Republican bill, S. 3548, the “Coronavirus Aid, Relief, and Economic Security (CARES) Act.”
NADA has been working to include these important small business provisions in the CARES Act bill and needs your help to ensure these provisions stay in the final bill.
Please urge your Senators to support the provisions below to restore small business liquidity and keep dealership employees on the payroll. These provisions would:
Provide nearly $300 billion in small business interruption loans for paid sick or medical leave, employee salaries, mortgage payments, and any other debt obligations;Provide a process for small business borrowers to obtain loan forgiveness equal to the payroll cost and costs related to debt obligations from March 1 through June 30, 2020;Increase eligible small businesses to include businesses with 500 or less employees; andHelp continue operations for businesses by delaying payment of employer payroll taxes; relaxing limitations on firm’s use of losses from prior years, and other tax relief to help dealers keep employees on payroll.
Please focus first on your Democratic Senators to help build bipartisan support for these small business provisions, which if enacted, would provide relief to help small business dealers cover expenses and make payroll during this unprecedented time.
NOTE: This alert relates to legislation pending in the Senate and needs your action now. In related news, yesterday the U.S. Treasury Department issued an announcement regarding temporary paid sick leave and new Family and Medical Leave Act provisions that were enacted last week. Later today, NADA will send all dealers guidance about the new paid leave law and the tax reimbursements that will cover the costs of employee leave. Please watch for that guidance.
Call Your Senators NOW: Voting May Begin Tomorrow (3/22)
Urge Your Senators to Support the Small Business Provisions
in the “CARES Act”To find your Senators’ local district offices closest to you see below. https://www.senate.gov/general/contact_information/senators_cfm.cfm
To provide feedback from your Senate contacts please email legislative@nada.org.
Friday, March 20, 2020:
**Attention CARA Members:
Governor Lamont today asked all non-essential businesses in Connecticut to close until further notice effective 8:00 PM Monday 3/23/20.
NOTE: This is not effective until Monday 8:00 PM so you can keep your schedules as is for Saturday.
The Governor clearly designated your service and repair departments as essential but CARA awaits the official executive order for the details on your sales department. We are told the executive order will be provided sometime this weekend so we will have it before the order becomes effective and get you the information as soon as we can.
We do expect it to mirror New York’s order so for planning purposes expect a 100% of your service and parts to be essential and that 75% of the remainder of your employees to be non-essential – leaving you with 25% of the remaining employees to keep active as you see fit. This is a fluid situation and it can change but this is the best and most recent information we have to give you for planning purposes.
***** DMV UPDATE *****
Effective Friday March 20, 2020, dealerships will be able to drop off their manual dealer work at the local branch office(s) listed below. The work can be dropped off in the vestibule of each office from 7:45 AM to 4:00 PM Tuesday through Friday and Saturday 8:00 AM to 12:00 PM. The dealers must include an overnight pre-paid envelope (Fed Ex, UPS, etc.) if they want a quicker response, otherwise the mail will be sent standard US first class mail. Please be sure to include in the dropped off work, the name of the dealership, type of transaction (new or transfer), phone number, and a contact name. Also, when we call you, you must have a credit card that can be used over the phone to process the work. At this point, DMV will NOT accept checks or cash. The locations that will be accepting this work are:
Enfield
Hamden
Waterbury
Wethersfield
Willimantic
NOTE: DMV will be extending all registration credentials as well so customer in-transits will be extended. Hopefully other states will honor these extensions. When they formally execute the extension I will get you the order so you can have copies for customers if requested.
DMV Press Release: March 20, 2020
The Department of Motor Vehicles – acting on the recent Declaration signed by Governor Ned Lamont – has added vehicle registrations, emissions testing and other items to the extension period for Connecticut residents with expiring credentials. Eligible DMV credentials that expire between March 10, 2020 and June 8, 2020 are automatically covered by this extension. The extension is effective immediately. Read the full press release here.
Federal Legislation
Please review the following document from CARA partner American Fidelity on the federal Paid Leave legislation. You can also use their Q&A Resource which is quite useful and can be found here.
Operating Safely During a Pandemic
CARA Health and Safety Partner KPA has created a COVID-19: Coronavirus Resource Center.
On this page you will find:
2 new COVID-19 Coronavirus-related webinars (coming up March 20 and March 24!)
5 COVID-19 Coronavirus-related training courses available to the public (including non-KPA clients) for free
A resource package including a COVID-19 Coronavirus Workplace Prevention and Hygiene Training Packet, Facility Hygiene & Readiness Checklist, and Personal Health & Hygiene Checklist
KPA Twitter roll with links to new updates
SBA DISASTER LOANS:
A message from CARA Member Blumshapiro:
The Small Business Administration (SBA) Disaster Loan Program has emerged as a key economic tool for businesses to survive the current coronavirus crisis. Over the last few days we have begun investigating the lending criteria, business size and type of business that such a loan program might help. This knowledge would help determine which clients may be eligible for the program, have a sense of what funds might be available and determine if it makes sense to apply. While we have not been able to obtain answers for many of these questions, we are working with clients to help complete this application. We’d like to share what we have learned from that process. Please find that information here.
In addition, the SBA requires a significant amount of information in the loan application process. This article also contains a list of requirements to assist businesses in gathering the information necessary in order to expedite the loan application process.
To learn more, please click here.
STATE INFORMATION - Lamont Administration To Release Economic Stimulus Package Next Week
Some additional interesting info from the conference call between the Governor, Economic Development and over 2,000 Connecticut Businesses – CARA Dealers were represented on the call by CARA President Jim Fleming and CARA Legislative Co-Chairs Ken Crowley and Jeff Aiosa. The Governor again maintained that he does not want to shut the state down but is looking to all businesses to do their part to promote social distancing by reducing on site staff and hours and allowing remote work where possible. Click the above link to read an article about Lamont’s Economic Stimulus Package on CTNewsJunkie.com.
50% of small- to- medium sized businesses are working remotely.
12 % are closed.
80% expect reduced sales and
45% expect a disruption in the supply chain.
Deputy DECD Commissioner Glendowlyn Thames reported that an Emergency Response Unit has been set up at the Dept. of Economic Development. She encouraged businesses and others to call the hotline at DECD: 860-500-2333 or email to COVID19.JIC@ct.gov.
ONCE AGAIN A REMINDER: Please ensure you maintain a safe and clean working environment for your employees and customers. Use gloves, sanitize between shifts and make sure to disinfect customer and showroom cars before and after each use or contact.
thursday, March 19, 2020:
Please read the 3-19-20 letter below from Jim Fleming or click on this link.
To Our Members:
Governor Lamont and Commissioner Lehman, Department of Economic and Community Development, held a conference call regarding businesses in Connecticut during this crisis. 2,000 participants were on the call, while more were unable to connect after the call reached its maximum capacity. Rick Parmelee, dealer accountant with Blum Shapiro, and I were on the call.
At this time, Governor Lamont does not want to shut down Connecticut. No decision has been made and from what was implied during the call, this decision would be made in coordination with our neighboring states.
The following were some points from the call:
• No specifics were given by industry on what should be deemed essential and non-essential
• There was discussion on deferments of state taxes. All options are on the table. There will be a delay of the Corporation Tax until June 15.
• The Governor is very cognizant of the liquidity issue for all small businesses.
• Governor Lamont is working to create a small business bridge loan program, 30-120 months, within the next week. There will be a cap on the loans but there were no specifics.
• PURA is extending the 30 days moratorium for electric shutoffs for commercial and residential.
• Paid Family and Sick Leave will be a credit not cash.
• The Governor is directing the Department of Labor to provide unemployment benefits for part-time employees. No details on timing.
• Banks - No interest and principal on loans through 6/30/20 – re-amortize
• 12,000 unemployment claims were filed yesterday.
I have asked DMV and the Governor to deem vehicle repair, vehicle maintenance and vehicle sales facilities essential businesses as some states have done. No decision on this has been made.
We will continue to update our dealer members with any new information.
CARA is working remotely this week. We are continually monitoring our office phone messages and emails. Please do not hesi-tate to contact Ann or me. - Jim
Wednesday, March 18, 2020:
RE: DMV
The Online Registration System continues to function normally. Send your paperwork in as usual.
DMV will be closing branches to the public – however dealers will be able to drop their work off at their local branch for processing. While they will not have a dealer line there will be a drop spot for you to leave your work. Make sure to include your contact information so they can call you and have you pay any fees over the phone with a credit card.
For Dealerships:
Please click on this link to view the COVID-19 Furlough Letter Template.
NADA: Staying informed and prepared
The emergence of COVID-19 (coronavirus) in the U.S. has understandably led to questions about how franchised dealerships should prepare and respond. Obtaining current information about a rapidly evolving situation, as well as information related to your local area, is critical.
There are a number of resources to help to franchised dealerships, their employees and their customers stay informed and prepared during coronavirus. NADA has consolidated important and regularly updated resources below, and will update this page as needed as additional resources become available.
Best practices for dealerships
The emergence of the COVID-19 situation will no doubt have a significant impact on a dealership's workforce and business operations. Below are some practices dealers can take to promote the health and safety of employees, as well as customers:
Encourage employees to wash with soap and water or sanitize hands frequently;
Make hand sanitizer and boxes of tissues available throughout the dealership;
Keep anti-bacterial wipes around and frequently wipe down the interior of vehicles in the showroom and demos before/after test drives;
Treat customer cars that come in for service the same way - disinfect them before your technicians diagnose and repair these vehicles;
Suggest that, for now, employees may wish to avoid shaking hands;
Require your cleaning companies to treat all work surfaces, including phones, computers, floors, and restrooms, with proper disinfectants;
Discourage employees from using other employees' phones, desks, offices, or other work tools and equipment;
Minimize situations where people are crowded together, like meetings. Use e-mail, phones, and text messages to communicate with each other, provided using devices is in compliance with state and local laws. When meetings are necessary, avoid close contact by keeping a separation of at least six feet, where possible, and assure that meeting rooms are well-ventilated; and
Encourage sick employees to stay home.
Health Consultants Group
CT Department of labor
The CT Department of Labor posted FAQs about Covid-19 for workers and employers. Learn about resources available to help workers and employers prepare by visiting their website.
The Health Consultants Group has put together two very useful documents. The first is Interim Guidance for Businesses and Employers; the second is an Employee Work From Home Guide.
Please click on the links below to view or download.
KPA offers a cloud-based software platform to automate your EHS and workforce compliance program, improve safety outcomes, and lower risk. Please see the document they developed on the Coronavirus and workplace hygiene. Click on the link below to view.