Welcome

North Dakota Powersports Dealers Association
Meeting
December 13, 2006
Minutes

The North Dakota Powersports Dealers Association held its annual meeting on December 13, 2006 at 10:00 a.m. at the Holiday Inn Express in Bismarck, ND.

Present:  President Justin Bohn - Cycle Hutt, Executive Director Keri Wanner, Bob Nysveen – Ma’s Cycle, Jeremy Henizenga – Full Throttle Motorsports, Dave Vad – Johnson’s Sport Center, Jeff & Diane Hase – Jeff’s Sport Shop, and Annette Caldwell – Open Road Honda.

Others Present:  Lee Klapprodt.

President Justin Bohn called the meeting to order at 10:06 a.m. 

The meeting agenda was reviewed.  Dave Vad made a motion to approve the agenda, Bob Nyseen seconded the motion, motion carried. 

The financial reports were reviewed.  Dave Vad made a motion to approve the financial reports, Annette Caldwell seconded the motion, motion carried.

The minutes from the previous meeting were emailed and placed on the website.  Bob Nysveen made a motion to approve the minutes, Dave Vad seconded the motion, motion carried.

Keri Wanner handed out new versions of the constitution.  The constitution was update from the last meeting.  The constitution was emailed and placed on the website.  A suggestion was made to define what a licensed powersports dealer is in the constitution.  A licensed powersports dealer is bonded by the state.  Discussion was also held on encouraging the Department of Transportation to make sure the minimum standards are met for licensed powersports dealers that are bonded by the state.  Dave Vad made a motion to approve the bylaws as amended, Annette Caldwell seconded the motion, motion carried.

Discussion was held on the North Dakota franchise laws for powersports dealers.  A few of the dealers felt it is very important to protect the dealers from OEM’s in the event a dealership is removed per the OEM’s request.  Jeff Hase stated during the 2001 legislative session him and his wife Diane proactively worked on passing a franchising law for powersports dealers.  Under the old law if the dealer terminated the agreement there was no protection for the dealer, so the dealer had to keep the units, parts, and accessories in inventory.  There was only protection if the manufacturer terminated the agreement.  The Recreational Vehicle Franchise law (Chapter 51, Section 20 of the North Dakota Century Code) requires the manufacturers buyback all current models at 100% net cost, 85% of the current net prices on repair parts and a sum equal to 5% of the current net price of all parts returned as reimbursement for freight whether the dealer or the manufacturer terminates the agreement.  Jeff and Diane followed the heavy equipment dealers law to help develop the requirements for the recreational vehicle franchise law.  The law is written so it recognizes franchise agreements and written agreements.  Bob Nysveen would like the definitions in the OHV, Snowmobile, and Recreational Vehicle Franchise laws be reviewed to make sure they reflect one another and define the same thing.  Jeff made a recommendation to not pursue anything legislatively on the franchise laws, as he felt this is as good as it will get in protecting the powersports dealers.  The dealers in attendance were very appreciative of Jeff and Diane’s efforts and it was felt NDPDA needs to educate the powersports dealers on this law so the dealer knows its rights. 

Current North Dakota laws states all motorcycle dealers must be bonded with the state.  The law does not require snowmobile and OHV dealers to be bonded with the state and the dealers represented at the meeting would like to see the law updated to encompass all three recreations in state law.  Everyone attending the meeting wants to pursue this during the 2007 Legislative Session.  The testimony supporting the bill would ask to recognize OHV’s and snowmobiles in the law; the potential income generated from the change from the fee and the tax dollars; and support that the inspections are held each year which are required by the law.  The last section will recognize the total dollar amount generated from the fees.  The motorcycle law states the motor vehicle dealer license is $100/year and the dealer receives one dealer plate.  Additional dealer plates are $25 each.  A bond is also required for all motorcycle dealers in the amount of $25,000 and it must be purchased from a company that is licensed and qualified to do business in the state.  It was recommended that NDPDA testify on the Department of Transportations budget to ensure funding is set aside for the inspections of the licensed dealers.  When testifying highlight three points:  recognize the sales tax loss, consumer service loss, and to support enforcing the current laws.  It was recommended to work with the State Senators and Representatives that have worked on previous motorized recreational bills and the franchise laws.  Bob Nysveen made a motion to appoint a standing Legislative Committee represented by four powersports dealers, Dave Vad seconded the motion, motion carried.  President Justin Bohn appointed Annette Caldwell, Keith Braunberger, and Jeff Hase to represent the committee.  One position will remain open and a suggestion was made to ask Wayne from Wheel’s, Inc. in Fargo. 

Lee Klapprodt mentioned he is working with the Department of Tourism on updating the Ride maps the Department published last year.  Any motorized routes which people enjoy should be highlighted on a state map and given to Keri.  Afterwards Keri will pass on the information to Lee.  Lee has been kind enough to take the time to make a final map of the recommendations which can be give to the Department for final consideration.  He would also be willing to work with NDPDA and the Department on linking the websites to reflect the map which is completed for public information. 

Dave Vad made a motion adjourn the meeting, Annette Caldwell seconded the motion, motion carried. 

Respectfully Submitted,
Keri Wanner
Executive Director

Officer Elections:

President:  Annette Caldwell nominated Keith Braunberger from Pure Honda as President.  Bob Nysveen made a motion that nominations cease and to cast a unanimous ballet for Keith Braunberger as President, Dave Vad seconded the motion, motion carried. 

Vice President:  Bob Nysveen nominated Annette Caldwell from Open Road Honda as Vice President.  Dave Vad made a motion that nominations cease and to cast a unanimous ballet for Annette Caldwell as Vice President, Bob Nysveen seconded the motion, motion carried. 

Board of Directors:
Northwest:  Mike Olson – Arnie’s Motorcycle Sales and Keith Braunberger – Pure Honda.
Southwest:  Annette Caldwell – Open Road Honda and Keith Simoneig – Queen City Motors Honda West.
Northeast:  At this time no Directors have been selected but a recommendation was to contact Revolutions Power Sports in Grand Forks and Dale’s Motorsports in Devils Lake. 
Southeast:  Bob Nysveen – Ma’s Cycle.

Bob Nysveen made a motion to cast a unanimous ballet and accept this slate of Directors, Dave Vad seconded the motion, motion carried.