Highlighted bya program that included everything from industry workshops to remarks by Roy D. Chapin, Jr. (Chairman of the Board, American Motors Corporation),the largest annual conference of the National Association of Fleet Administrators opened at the Sheraton-Cadillac Hotel in Detroit. Welcoming 75-percent of NAFA's total membership to Detroit, General Conference Chairman James H. Rowe quickly called the assembly to order to begin NAFA's 16th Annual Business Meeting.

Annual Business Meeting

During the business session, R. A. (Dick) Beltz, Membership Chairman, announced that NAFA currently has 765 numbersand affiliates, an increase of 24-percent over two years ago. He also announced an increase from nine to 12association chapters.

NAFA's Treasurer, S. L. Landau mentioned that "there are now enough reserve funds to run NAFA for one year. Now our goal is two years," he said. "A complete financial report will soon be mailed to all members," he added.

The President's Report, presented by J. A. Latimer, stated that NAFA now has a net worth of $107,000.Noting other improvements, Latimer said that the NAFA Bulletin, usually published only 10 times a year, will now he published monthly. He closed his remarks by saying, "I appreciate your confidence in me. I know you will extend this same feeling to our next president."

After the reports, NAFA's nominating committee con­ducted an election which saw the following results: President, Don W. Callum (Imperial Oil); First Vice President,Dick Beltz (Burlington Northern); Third Vice President, Ray Breault (Hoffrnann-LaRoche); Vice President for Canada, R. J. (Jack) McVicar (Gulf Oil Canada); Secretary, Warren Feirer (Standard Brands); Treasurer, S. L. (Les)Landau (AEI Scientific Apparatus); and Trustees J. O. Sibley (U.S. Fidelity and Guaranty) and Jim Rowe (General Mills). The position of Second Vice President, at time of publication, was not yet filled.

Industry workshops highlighted the first full clay of  NAFA's Conference, with noted NAFA members chairing the two-and-a-half-hour discussion sessions.

Following the workshops was the formal introduction of NAFA's new Officers and several award presentations. Past President J. A. Latimer (Pfizer), in recognition of his value able service to NAFA, received the "Past President's Gavel;" and A. J. Cavalli (CIT Service Leasing) received the" Distinguished Service Award." Cavalli's award was presented by order of the NAFA Board of Trustees "in recognition of his farsighted leadership, dedicated service and outstanding contributions to the development and growth of NAFA and the profession of fleet administration."

Tours Of Industry Facilities

Two afternoons of the four-day conference were reserved for trips to industry facilities. NAFA members present were able to choose between five tours: General Motors Proving Grounds, Chrysler Lynch Road Assembly Plant, Chrysler Mound Road Engine Plant, Ford Rouge Plant and the Henry Ford Museum.

NAFA's Fleet Information Fair

Rounding out the evenings was the NAFA Fleet Infor­mation Fair, which brought together approximately 20companies offering products and services to fleet managers. This was the first time a fleet information fair was presented during a NAFA Annual Conference.

Repair And Maintenance Presentation

Getting drivers to take care of their cars is one of the greatest responsibilities of the fleet manager, discussed Paul Padget (Buckeye Auto Leasing) in his NAFA presentation on "New Dimensions in Repair and Maintenance." "The greatest source of variation exists in how drivers take care of their cars," said Padget. "Mileage may certainly be a problem, but condition of the car is the main factor." (For a related article on this subject, see John Blessing's presentation - also in this issue.)

Padget continued, "Each car must be considered in a profit or loss division. And each driver is the manager. We should consider that the car is a company car, but try to make him feel that it is his car. Let him choose equipment and color -anything that can personalize his car.

"Just as a company expects his manager to run his division efficiently and with low cost," Padget stated, "the driver too should know what is needed - and where and when his car should be serviced. But you, as fleet manager, must influence the driver to use his own responsibility when it comes to servicing his car. Give responsibility of the car back to the drivers," said Padget, "including the cost of maintenance. And remember, it is important that fleet administrators communicate to the drivers. Talk to them . . . and often. Do not assume that no news is good news.

"Always require a certain amount of feedback from drivers," he said. "Get your drivers on your side, right from the beginning."

NAFA Fleet Knowledge Classes

Four NAFA Fleet Knowledge Classes were presented during the last two days of the Conference. A "Fleet Car Selection" Class was held by John Rowley, the Major Leasing and Fleet Accounts Manager for Lincoln-Mercury Division. The "Insurance and Accident Claims" Class was presented by Joseph Burke, with Jack Martens narrating a slide and film segment on air bags. Both Burke and Martens are from Allstate Insurance Co.

A "Fleet Financing" Class was presented by John M, Swinden of Clarkson Gordon Co., and the "Operating Expenses and Cost Controls" session was given by A. J. Cavalli of CIT Service Leasing.

NAFA scheduled each class to be repeated four times, so that members could attend every class if they so desired. FLEET CAR SELECTION

The "Fleet Car Selection Class," by John Rowley, reviewed some of the history of the automobile market and the changes that have taken place in the past. "And in looking on these past changes," Rowley remarked, "what we may reasonably expect in the future."

Rowley reviewed some of the economics of fleet car selection, looking at standard size cars compared to intermediates, and also studied the difference in depreciation costs between various body types. Included in this discussion was a brief look at equipment items as they apply to fleet cars.

Operating Expenses And Cost Controls

Cavalli's presentation of "Operating Expenses and Cost Controls" grouped running expenses (gasoline, oil, lubrication, etc.) and incidental expenses (wash, parking, storage, tolls, etc.) as part of a larger group of controllable expenses. Fixed expenses, on the other hand, were grouped as non-controllable expenses, or those that have no direct relation to mileage traveled or the actions of the operator. These expenses include rental, depreciation, insurance, cost of money, etc. Cavalli remarked that these fixed expenses should not even be considered for the purpose of controlling operating expenses and should be evaluated, on a cost per mile basis, only in relation to running and incidental expenses.

Cavalli then spoke on cost controls and cost reports, outlining the different areas cost control programs should cover, and outlining specific facts and figures required by management.

Insurance And Accident Claims

Discussing general insurance information, and then moving into specific trouble areas, Allstate Insurance Company representatives gave a complete presentation on insurance and accident claim information followed by an interesting film and slide presentation on air bags. The air bag introduction stressed the importance of air bags and documented tests involving human subjects in barrier crashes.

Fleet Financing

John Swinden's "Fleet Financing" Class began with an introduction of basic financial planning factors. Following this beginning discussion, Swinden discussed: the overall financing of business, external reporting needs in contrast with capital budgeting needs, the capital budgeting problem, financial aspects of administrating lease arrangements, and illustrated these areas with various examples, ranging indifferent degrees of complexity.

Guest Speaker

NAFA's Guest Speaker during the Conference was Roy D. Chapin, Jr., American Motors Chairman, who touched on several areas of current importance and interest.

Chapin commented that although the need and demand for transportation will increase, this need not be at odds with the nation's environmental objectives. "Instead," he indicated, "we are adapting to recognition of these objectives - and achieving them.

"Government intervention is a fact of life for the auto industry and, I believe, a proper one - particularly in certain areas such as safety and emission." "But," he later stated, "attention to the problems of virtually overnight emission control deadlines often obstructs seeing the substantial advances the industry is making in developing cleaner engines."

Continuing his remarks in the areas of safety and emissions, Chapin dwelled on the issue of seat belts, remarking that "seat belts ... are perhaps the leading example of a safety standard whose benefit to car buyers is unquestionable. I wholeheartedly support . . . legislation to make mandatory the wearing of seat belts. This is controversial, understandably," he added, ". . . but the evidence is that such legislation would greatly increase seat belt use and therefore save thousands of lives a year, which is a pretty compelling argument."

Convention's Last Day

The last day of the convention saw scheduled presentations on "New Dimensions in Emission Control and Vehicle Performance," by Professor Gerhard Bedies, Fanshawe College, London, Ontario, and "New Dimensions in Used Car Disposal," moderated by Pat Sheehan (Baxter Laboratories) with speakers Donald H. Allen (Gerber Products Co.) and J. Frank Brasher (Salt Lake Auto Auction).

Rounding out the last day of the convention was the evening highlight of NAFA's Annual Reception and Banquet.