Annual Contributions of Florida’s New-Vehicle Dealers* Florida’s dealers maintain a multi-BILLION dollar retail industry. 954 new-vehicle dealerships Total sales - new-vehicle dealerships in Florida $50.1 billion Dealership sales are 21.8% of total retail sales Dealers contribute 15 cents of every sales tax dollar in Florida Annual Contributions of Florida’s New-Vehicle Dealers* Dealers provide thousands of well-paying jobs in Florida. •77,314 new-vehicle dealership employees in Florida •$3.8 billion in total annual payroll of new-vehicle dealerships •13% of total state retail payroll •Dealerships are many times one of largest employers in a locality DEP Workshop – December 5, 2007 • As a major economic engine in Florida’s economy we want a clean environment for the citizens of Florida today and for future generations • We recognize that Florida should be a leader and should be a pace-setter among the states because of our size and geo-political importance. DEP Workshop – December 5, 2007 • We heartily endorse action to enable Florida to become more energy efficient and the US more energy independent and less reliant on foreign sources of oil. • We also support rigorous but achievable fuel efficiency standards and actions which will stimulate more technological advancements by our manufacturer partners as long as expectations due not disrupt Florida consumers’ vehicle choices (availability) or affordability • Many of the new cars we sell today meet federal standards for cleaner operation. What the Florida Marketplace Looks Like To understand the impact of CAL-LEV on Florida lets take a look at what Floridians drive today - Car – Types # FLORIDA REGISTERED Small Car - Budget 205,624 PASSENGER CARS Kia Rio Small Car - Economy 1,503,022 “ON THE ROAD” Scion xA Mid Range Car - Lower July 2007 1,114,195 Honda Civic Mid Range Car - Standard 2,067,611 Ford Taurus Mid Range Car - Premium 519,070 Infiniti I35 Traditional Car 386,522 Mercury Grand Marquis Upscale - Near Luxury 638,257 Buick Park Avenue Upscale - Luxury 645,267 Audi A6 Upscale - Premium 44,900 BMW 7 Series Upscale - Ultra 5,511 Rolls-Royce Phantom Sport Car - Touring 558,270 Cars: Mini Cooper Sport Car - Premium Porsche Boxter 230,431 7,988,884 Sport Car - Upper Premium 65,143 Jaguar XJ Sport Car - Ultra Luxury 5,061 Lamborghini Murcielago Source: AutoCount by Experian Automotive Trucks and # FLORIDA REGISTERED SUV’s – Types Pickup - Small 865,344 TRUCKS , VANS AND SUVS GMC Sonoma Pickup - Full Sized 1,683,508 “ON THE ROAD” Nissan Titan July 2007 SUV - Pickup 72,987 Chevrolet Avalanche SUV - Entry Level 423,944 Jeep Wrangler SUV - Lower Mid Range 936,521 Isuzu Axiom SUV - Large 485,018 Toyota Sequoia SUV - Upper Mid Range 103,123 Land Rover Discovery Trucks/SUVS: SUV - Premium Large 129,499 Hummer H2 Van - Mini 1,007,681 6,958,157 Chrysler Town & Country Van - Full Sized 439,373 Dodge Sprinter CUV - Entry Level 418,324 Hyundai Santa Fe CUV - Mid Range 204,099 Mitsubishi Endeavor CUV - Premium 188,736 Volvo XC90 Source: AutoCount by Experian Automotive FLORIDA REGISTERED VEHICLES “ON THE ROAD” July 2007 Total vehicles: 14,947,041 Cars: 53% Trucks: 47 % Source: AutoCount by Experian Automotive FLORIDA NEW VEHICLE SALES 2006 CARS TRUCKS Budget 13,232 Small Pick-up 40,433 Total Vehicles: Small 112,494 Large Pick-up 128,013 1,045,906 Lower Mid- Range 72,794 Small SUV 95,861 Mid-Range 107,306 Mid-Range SUV 130,243 Cars: 50% Upper Mid- Range 55,875 Large SUV 62,178 Near Luxury 64,050 Mini Van 52,688 Trucks/SUV: 50% Luxury 37,327 Van 12,482 Specialty 22,191 Sport 34,361 Unknown 2,378 Source: AutoCount by Experian Automotive FLORIDA NEW VEHICLE SALES JAN – DEC 2006 Carbon Footprint / Non- Hybrid Top Ten Sales Jan - Dec 2006 tonage per yr CAR TRUCK SUV 1Ford F150 30,659 30,659 11.4 2Toyota Camry 22,703 22,703 7.3 3Toyota Carolla 23,146 23,146 5.9 4Nissan Altima 17,356 17,356 7.7 5Honda Accord 21,507 21,507 7.1 Avg tonage per yr: 6Honda Civic 16,846 16,846 6.1 8.7 7Toyota Tundra 11,278 11,278 10.2 8Chevy Silverado 16,071 16,071 10.8 9Dodge Ram 13,568 13,568 0 11.4 10BMW 3 Series 9,969 9,969 8.7 183,103 111,527 71,576 0 61% 39% 0% Carbon Footprint / Hybrid Top Ten Sales Jan - Dec 2006 tonage per yr CAR TRUCK SUV 1Toyota Prius 4,500 4,500 4 2Toyota Camry 1,643 1,643 5.4 3Toyota Highlander 1,553 1,553 6.8 4Honda Civic 1,355 1,355 4.4 5Chevy Silverado 1,239 1,239 10.8 Avg tonage per yr: 6Lexus RX 400H 1,200 1,200 6.8 7.1 7Ford Escape 612 612 6.3 8GMC Sierra 1500 396 396 10.8 9Honda Accord 293 293 7.3 10Lexus GS 450H 125 125 8 12,916 7,916 1,635 3,365 61% 13% 26% FLORIDA NEW VEHICLES SALES 2006 Of Total Sales: # 1,045,906 Non-Hybrid Top Ten Sales: # 183,103 / 18% *Carbon Footprint/avg. tonnage per year: 8.7 Hybrid Top Ten Sales: # 12,916 / 1% *Carbon Footprint/avg. tonnage per year: 7.1 *The carbon footprint measures greenhouse gas emissions expressed in CO2 equivalents. The estimates presented here are "full fuel-cycle estimates" and include the three major greenhouse gases emitted by motor vehicles: carbon dioxide, nitrous oxide, and methane. Full fuel-cycle estimates consider all steps in the use of a fuel, from production and refining to distribution and final use. Source: AutoCount by Experian Automotive and www.fueleconomy.gov DEP Workshop – December 5, 2007 • We support action to curtail GHG emissions and we believe that Florida should consider a host of initiatives that would include : – reducing miles driven by Florida motorists – new incentives for mass transit solutions, ride sharing, etc. – vehicle inspections - reductions in emissions from used vehicles on Florida roads and highways since 90% of our vehicular traffic is “used” and less efficient automobiles – market driven incentives for consumers who purchase fuel- saving vehicles (tax credits for new car purchases from funded program) DEP Workshop – December 5, 2007 − Market driven incentives to remove 14 million older vehicles on Florida highways − A fuel efficiency standard that is achievable − Incentives for other techno advances such as clean diesel, alternative fuels and other new technologies − A phased in approach that recognizes the huge impact on Florida driving patterns and seeks to affect Vehicle Miles Driven rather than vehicle choice − As we await action from the EPA on the waiver, we would emphasize the need to consider all options rather than placing the entire emphasis on fuel efficiency DEP Workshop – December 5, 2007 − There is no harm in going slowly and assessing all costs and benefits – California took 2-3 years to implement their regulations − Lastly, we believe a major component of this regulatory framework should be a massive public education effort with town hall meetings conducted around the state to get feedback from our customers on vehicle choices and lifestyle needs DEP Workshop – December 5, 2007 The Dealer’s focus is on vehicle availability and affordability While we do not speak for the manufacturers we are troubled about their testimony regarding their options under the CAL-LEV guidelines as the result may be: − Fewer vehicles allocated to dealers − Inability to meet our customer’s lifestyle choices or safety needs − Impacts such as pre-implementation sales bonanza followed by sales delays due to higher pricing − Sales shift to sellers outside Florida and our sales tax revenue is impacted (sales across borders or Internet) DEP Workshop – December 5, 2007 Dealer concerns include: − Affect on sales as Florida cars add $1,500 to $3,000 to costs of vehicles –slowing purchase of new cars − Buyers respond to sellers in neighboring states, Internet sellers, buyers from other states register vehicles there and Florida law creates opportunity for auto brokers − If Florida regulations create registration denials and a 7500 miles driven requirement, Florida dealers will lose the benefit of dealer trading network DEP Workshop – December 5, 2007 • Of the approximately 13.4 million vehicles registered in Florida in 2006, only 10% or fewer were new vehicles. Forcing citizens to remain in older vehicles does not take advantage of newer technologies. • Florida consumers with other state domiciles will react to higher taxes by purchasing in their home state rather than Florida and will not register their vehicles here. DEP Workshop – December 5, 2007 • Vehicle purchases across state lines will directly impact Florida sales tax revenues. Purchases in Alabama reduce Florida taxes received upon vehicle registration by 2%. With 50% of Florida vehicle sales consisting of light trucks and SUV’s, the potential negative impact could easily reach $50 million in lost revenues. DEP Workshop – December 5, 2007 • FADA is also concerned about abdication of all rulemaking, leaving Florida consumers exposed now and in the future to California regulatory standards • We would urge that regulatory timeframes take into consideration the likelihood of an EPA waiver denial, especially given the passage of a new Congressional CAFE bill DEP Workshop – December 5, 2007 • FADA is deeply concerned about the economic health and stability of automakers so we urge caution as options are explored • With so much pressure on DEP and due to the complexity of this concept we feel that the Florida legislature should ultimately be the focal point for these discussions, as this represents a broad policy change DEP Workshop – December 5, 2007 This association stands ready to work with you to develop proposals that are consistent with the overall goal of emission reductions but that also respond to the needs and economic realities of our great State.
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