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COMMUNICATOR

THE

On May 27, the California Trucking As-sociation (CTA) officially filed for the Ninth Circuit Court to rehear the controversial AB 5 independent contractor law. The move had been expected, as the CTA said earlier this month that it planned to seek an en banc review of the case, which would require all 29 judges in the Ninth Circuit Court of Appeals to vote on re-hearing the case. If a simple majority votes in favor, 11 of the judges will rehear the case that the CTA says could put up to 70,000 owner-operators in the Golden State out of business. The AB 5 law took effect in the begin-ning of 2020, but a federal district court judge granted the CTA an injunction, citing the Federal Aviation Administration Authori-zation Act of 1994 (FAAAA), which preempts any state-level law that would “interfere with prices, routes and services” of motor carriers. On April 28, Ninth Circuit Court of Ap-peals reversed an injunction in a blow to the

CTA’s cause. A panel of three judges at that time ruled that the ABC test for classify-ing workers as independent contractors

couldn’t be preempted by the FAAAA, ruling 2-1 that the test was a “generally applicable la-bor law that affects a motor carrier’s relationship with its workforce and does not bind, compel, or otherwise freeze into place the prices, routes, or services of motor carriers.” By pushing to rehear the case, the CTA has bought Cal-ifornia truckers more time, as

AB 5, related to the impacted class, won’t be enforced until the legal battle ends. If de-nied again by the Ninth Circuit, the CTA could choose to petition the U.S. Supreme Court to hear the case. The Ninth Circuit’s ruling to enforce the use of the ABC test runs counter to a nearly identical Massa-chusetts law that the First Circuit Court in 2016 ruled was preempted by the FAAAA, which bodes well for the CTA should the case escalate to the Supreme Court.

CTA Continues to Fight AB 5 Implementation Related to Federally Regulated Motor Carriers

Donate to the CTA AB5 Litigation Fund Send checks made payable to CMSA, 10900 E. 183rd St., Ste. 300, Cerritos, CA 90703 and write “CTA–AB 5” in the memo section. All of the money collected will be sent to CTA. This would not only assist CTA, but also give CMSA more visibility with CTA which could be helpful not only for this litigation but for future actions. Thank you for your support!

Greeting fellow CMSA members ~ I’m baaaaaaack! Well, just for one guest column by a former chair, but I shall enjoy this opportunity to share with you all how our

year is going here at Andy’s Transfer. First, I’d like to thank our current Chair-man John Chipman, Jr. John has selflessly dedicated himself to the CMSA Chair role, and took on a second year of service to our association. Thank you, John! We are all fortunate to have his consistent leadership, and this extended tenure will benefit all of us. Second, our tireless leader Steve Weitekamp has continued to lead the CMSA through this challenging time. Kudos to Ste-ve for staging an excellent online convention and keeping us all engaged! I served as Chair of the CMSA Board of Directors in 2005-06. It was a great honor to

represent our company and my family in this role. As a third generation moving company owner, I’ve experienced the ebbs and flows of this industry my entire life. I know it has been said quite often over the last year, but truly, nothing could have prepared any of us for what happened in 2020. This column will be reaching you all in the midst of what will be a very busy June. We all know that EVERY June is crazy, but for us here at Andy’s, last June was a flop. We were four months into the dismal pan-demic, affected by strict closures for many fellow small businesses, and worried daily about our staff operating safely as essential employees. The phones weren’t ringing, the crews weren’t busy, and by month’s end, a very scary drop over the previous June’s revenues by nearly 60% was apparent. Scary time. We had been fortunate to secure a Paycheck Protection Program loan from the SBA in April, but by the end of June, those funds had been paid out in payroll. I worried that everyone, and I mean everyone, was going to shelter in place at home for the

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(CHAIRMAN’S CORNER continued on page 4)

CHAIRMAN’S CORNER by Former CMSA Chairwoman JILL LONGO (2005-2006)

Since the beginning of the COVID-19 Pandemic, the National Council of Moving Associations (NCMA) has held a bi-weekly Zoom call to dis-cuss industry and associ-ation issues and busi-

ness for the betterment of our members. For the last several years it has been my privi-lege to serve as chair for this group, made up of the executive leadership of North American moving and storage associations (State Associations, ATA – MSC, IAM, and CAM) and other interested parties. In a recent meeting, the question was asked about the use of Personal Protection Equipment (PPE) by moving crews this summer and beyond. The answer regarding need is nuanced and subject to change on a case-by-case basis. The Centers for Dis-ease Control and Prevention (CDC) has re-cently released new federal guidelines (May

16, 2021) for fully vaccinated individuals. Fully vaccinated people can resume activi-ties without wearing a mask or physically distancing, except where required by feder-al, state, local, tribal, or territorial laws, rules, and regulations, including local busi-ness and workplace guidance. Several states are announcing a return to some sense of pre-pandemic rules. See the May 2021 Communicator for the article on California’s pandemic recovery with a full reopening to its economy set for June 15. Others seem not so quick to ease re-strictions related to the pandemic, in particu-lar the United States Military (see advisory below): USTRANSCOM Personal Property Advisory #21-0075 Date: 24 May 2021 Subject: Health Protection Protocols – Up-date to Mask Wearing Guidance

The mask guidance previously estab-lished as part of the 2020 Health Protec-tion Protocols remains unchanged as DOD continues to review the implication

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PRESIDENT’S COMMENTS By Steve Weitekamp

(PRESIDENT’S COMMENTS continued on page 5)

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coming year (or more!). Would anyone move in a pandemic? I wondered what would come next, and where our next year would take us. Then came July. We started hearing from realtor colleagues that listings were starting to grow. General discontent with our state leadership's reaction to the business and personal restrictions were growing. By a wonderful change of fate, our phones start-ed ringing. Once we hit August, it was apparent ~ consumers were ready and willing to move in a pandemic. Hallelujah! We started roll-ing that month and have barely looked back (or had time to!) since. Now that we are back in June, our tradi-tionally busiest month of the year, it finally looks like the California exodus and low in-terest rate inspiring the local housing market will truly benefit our businesses as movers and industry suppliers. To say I’m thankful and thrilled would be the understatement of the year! The dark times of 2020 are still such a recent remind-

er of how vulnerable we all are to govern-mental trends and public health. We can never take new business for granted again. In the months ahead, I’m sure we will at-tempt to reflect and learn how we can strengthen our businesses. I know my em-ployees have gained resiliency and perspec-tive, as have many of our customers. But for now, it’s June in the moving busi-ness! I’m ready to grab the phones, help type up paperwork, and dispatch a crew. It’s our time to service the moving public and be thankful for what this year has brought our industry. June 2021 − we are ready for you! Editor's Note: With CMSA Chairman John Chipman Jr. serving as chair for two years, CMSA has sched-uled several guest column-ists to replace half of his Chairman's Columns. We thank Chairman Chipman and look forward to his col-umn next month.

(CHAIRMAN’S CORNER continued from page 2)

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of the revised CDC Mask Wear guid-ance.

Our perspective is that PPE may be an issue, at least for some, well into the year and potentially for some customers into the future. Individuals’ perspective on the Pan-demic and PPE covers the entire spectrum of emotion and education. As members of the service industry, we will need to have understanding and awareness of the wants of our customers and provide the products and services that they demand, taking into consideration that those demands can come with a cost. On several occasions we have been asked for documentation that verifies that crews do not need to wear PPE. When asked why, we have been told that a cus-tomer wants movers to wear PPE and they are trying to explain why they do not have to comply. It has always seemed a more suc-cessful business approach to give the cus-tomer what they want and charge a premi-um for it.

The summer is upon us and most have been running at capacity for a lot longer than usual. Please remember to emphasize safe operation best practices with your crews. The roads are once again filling up to pre-pandemic levels and many young peo-ple are outside again enjoying the summer.

(PRESIDENT’S COMMENTS from page 3)

CMSA has spoken about the potential AB5 Exemption for those who engage BHGS permitted partners that utilize the Business-to-Business (B to B) language in the Labor Code, amended in AB 2257. The section discussed in the CMSA Bulletin email and other discussions has been re-cast from Section 2750.3 of the California Labor Code to Section 2776. The applicable labor code section with modifications is listed below. NOTE: THE CALIFORNIA MOVING AND STORAGE ASSOCIATION (CMSA) IS A NON-PROFIT TRADE ASSOCIATION THAT DOES NOT DISPENSE LEGAL AD-VICE. ANY IDEAS, CONCEPTS, OR THE-ORIES THAT ARE DISCUSSED SHOULD BE REVIEWED BY YOUR OWN LEGAL COUNSEL. AB 5 IS UNSETTLED LAW AND YOUR OWN CIRCUMSTANCES MAY PLAY A ROLE IN POTENTIAL OUT-COMES. 2776. Section 2775 and the holding in Dynamex do not apply to a bona fide business-to-business contracting relationship, as defined below, under the following conditions: (a) If an individual acting as a sole proprie-tor, or a business entity formed as a partner-

ship, limited liability company, limited liability partnership, or corporation (“business ser-vice provider”) contracts to provide services to another such business or to a public agency or quasi-public corporation (“contracting business”), the determination of employee or independent contractor sta-tus of the business services provider shall be governed by Borello, if the contracting business demonstrates that all of the follow-ing criteria are satisfied:

(1) The business service provider is free from the control and direction of the con-tracting business entity in connection with the performance of the work, both under the contract for the performance of the work and in fact.

(2) The business service provider is provid-ing services directly to the contracting busi-ness rather than to customers of the con-tracting business. This subparagraph does not apply if the business service provider’s

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Potential AB5 Exemption

(POTENTIAL AB5 EXEMPTION continued on page 7)

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employees are solely performing the ser-vices under the contract under the name of the business service provider and the busi-ness service provider regularly contracts with other businesses.

(3) The contract with the business service provider is in writing and specifies the pay-ment amount, includ-ing any applicable rate of pay, for ser-vices to be performed, as well as the due date of payment for such services.

(4) If the work is per-formed in a jurisdiction that requires the business service provider to have a busi-ness license or business tax registration, the business service provider has the required business license or business tax registra-tion.

(5) The business service provider maintains a business location, which may include the business service provider’s residence, that is separate from the business or work loca-tion of the contracting business.

(6) The business service provider is custom-arily engaged in an independently estab-lished business of the same nature as that involved in the work performed.

(7) The business service provider can con-tract with other businesses to provide the same or similar services and maintain a cli-entele without restrictions from the hiring en-tity.

(8) The business ser-vice provider advertis-es and holds itself out to the public as avail-able to provide the same or similar ser-vices.

(9) Consistent with the nature of the work, the business service provider pro-vides its own tools, vehicles, and equip-

ment to perform the services, not including any proprietary materials that may be neces-sary to perform the services under the con-tract.

(10) The business service provider can ne-gotiate its own rates.

(11) Consistent with the nature of the work, the business service provider can set its own hours and location of work.

(12) The business service provider is not performing the type of work for which a li-cense from the Contractors’ State License Board is required, pursuant to Chapter 9 (commencing with Section 7000) of Division 3 of the Business and Professions Code.

(POTENTIAL AB5 EXEMPTION continued from page 6)

Have a safe & happy

4th of July!

LABOR CODE

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Business and Professions Code Division 8, Special Business Regulations Chapter 3.1, Household Movers Act Operative July 1, 2018 Article 5.4. Subhauling Agreements 19266. A household mover shall not transport house-hold goods under a sub-hauling agreement unless each of the following oc-curs: (a) The subhauler is permitted by the bu-reau to transport household goods and com-

plies with the requirements of this chap-ter. (b) The household mover and subhauler are jointly and severally liable for any loss or damage caused by the subhauler. 19266.1. The bureau shall adopt any rules and regula-tions it determines to be necessary to enforce the requirements of this article. 19266.2. This article does not apply to a subhauling agreement when the sub-

hauler is not otherwise subject to this chapter for activity related to the subhauling agreement.

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CMSA Regulatory Corner

Business &

Professions

Code

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By law, employers must have:

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On May 18, 2021, the House Armed Services Readiness Subcommit-tee held a hearing with Gen. Stephen Lyons, Commander, U.S. Trans-

portation Command. Among the topics cov-ered by Gen. Lyons and other witnesses, was a brief update on the pending Global Household Goods Contract (GHC). Subcommittee Chairman John Gara-mendi and Ranking Member Doug Lamborn (CO) continue to express interest in the GHC and followed up with Gen. Lyons with comments and questions focused on the need for continued small business participa-tion in any future Defense Personal Proper-ty (DP3) program. Gen. Lyons assured the Committee members that quality moving companies would not be shut out of any fu-ture program and would be given an oppor-tunity to participate. He also indicated that

the GHC is scheduled to be awarded this September, with rollout planned in time for the 2022 peak season. Chairman Garamendi expressed con-cern that any GHC award and subsequent rollout does not fall into challenges experi-enced by the privatized housing initiative. Gen. Lyons stated that TRANSCOM would retain the ability within any contract to make adjustments, if deemed warranted. Rep. Jackie Speier (CA) inquired about the number of service member satisfaction surveys currently returned. Gen. Lyons acknowledged that while satisfaction rates among surveys returned had recently im-proved, only about 30% were on aver-age submitted. He stated that TRANSCOM was working on improving the ease of sur-vey completion by the service member, and other metrics to encourage a greater return rate, along with more valuable data for fu-ture move evaluations.

U.S. House Armed Services Readiness Subcommittee Hearing Highlights GHC Contract

Gen. Stephen Lyons

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Center for Disease Control

(SCAMMED continued on page 14)

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(SCAMMED continued from page 13)

Scammers are always on the lookout for ways to trick you into giving them your mon-ey or your personally identifying information (PII). Phishing, identity theft, romance scams, and tech sup-port scams are just a few of the top 20 forms of cyber crime reported to the Federal Bureau of Investigations’ Inter-net Crime Complaint Center (IC3) last year. The IC3 saw a 69% increase in total com-plaints from 2019 to 2020 and received over 240,000 com-plaints about phishing scams alone, which resulted in adjust-ed losses of over $54 million. Careless internet habits can leave you and your PII exposed to scammers. Wheth-er you are using apps or traditional web-sites, the basic internet safety rules remain the same. Kaspersky, a global cybersecurity company, recommends following these online safety tips to help you avoid becom-ing a scam victim: 1. Keep Personal Information Professional

and Limited: Be careful about the infor-mation you make readily available online. While potential employers or customers may need to know about your expertise, professional background, and how to get in touch with you, they do not need to know your personal relationship status or home address.

2. Keep Your Privacy Settings On: Privacy-enhancing settings on web browsers, mo-bile devices, and apps may often be hard to find because your browsing and social media usage can be valuable to market-ing companies. That information is also valuable to scammers. Make sure you have enabled all available privacy safe-guards and keep them enabled.

3. Practice Safe Browsing: Don’t fall victim to click-bait. Whether it’s the latest per-sonality quiz or a lurid story about a ce-lebrity, cyber criminals know that tantaliz-

ing content can tempt internet users to click on something they didn’t actually search for. Unfortunately, it only takes

one careless click to potentially expose your PII or infect your devise with malware. 4. Make Sure Your Internet Connection is Secure: You have no direct control over the security of a public WIFI con-nection. Make sure your de-vice is secure and wait until you can connect to a secure WIFI network before providing any PII or credit card or bank account information. Better still, use a secure virtual pri-

vate network (VPN), which provides a se-cure connection between your device and an internet server.

5. Be Careful What You Download: Malware is any software intentionally designed to cause damage to a computer, server, cli-ent or computer network. Different types of malware include viruses, worms, Trojan horses, ransomware, spyware, adware, rogue software, wiper, and scareware. Malware can be disguised as an app, a game, a file attachment, or a link. Don’t click on or download anything you haven’t thoroughly researched and trust.

6. Choose Strong Passwords: People tend to use passwords that are easy to remem-ber, which are also easy for cyber crimi-nals to guess. They can run programs us-ing dictionaries and commonly used pass-words to guess your password, so avoid single words or a word preceded or fol-lowed by a single number, e.g. Pass-word1. Don’t use information in your password that can be easily gleaned from your social media, like birthdays, anniver-saries, children’s or pet’s names, etc. Use sentences or phrases, for example, “peanutbutterandjellyYUMMY!” or to make it more difficult, “PB&J!yummy!”.

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(INTERNET SAFETY continued on page 17)

Internet Safety Tips

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7. Make Online Purchases from Secure Sites: When making pur-chases online, only pro-vide credit card or bank account information to websites that provide se-cure, encrypted connec-tions. Look for web ad-dresses that start with https instead of http. The “S” stands for secure and means that the any shared data is encrypted.

8. Be Careful What You Post: Don’t post anything online that you wouldn’t want your parents, your children, or a potential employer to see. While you can remove an original post, that embar-rassing comment or image can come back to haunt you if someone else has shared it or captured a screenshot of it.

9. Be Careful Who You Meet Online: Fake profiles are one of the tools scammers use to lure in victims and trick them into giving away their PII or money. Conduct a

reverse image search on profile pictures to see if they have been reported as part

of a scam. Review social media accounts to see if they are just a few months old, have few followers, or have a very narrow range of content. Be as cautious and sensible in meeting people online as you would in-person, and be wary of requests for money or PII from people you have only met online. 10.Keep Your Antivirus

Program Up to Date: Cyber criminals are always innovating. Internet security soft-ware may not be able to catch every threat, but they can provide a vital layer of online security. Stay current with your operating system’s updates and updates to any apps you use and make it a habit to update your antivirus software on a routine basis.

Source: Florida Department of Agriculture and Consumer Services

(INTERNET SAFETY continued from page 14)

Internet Brows-ing

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Official start of summer is June 20!

Fri., Oct 1 Monterey Bay Chapter Golf & Bocce Tournament Del Monte Golf Course and Embassy Suites Monterey, CA

Sat., Oct 23 North Bay Chapter Bocce Tournament Marin Bocce Federation San Rafael, CA Fri. - Sun. CMSA Fall Board Meeting Nov. 5 - 7 Omni Rancho Las Palmas Rancho Mirage, CA

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Calendar of Events

CMSA Report Food Collected and Delivered

Association Enrolled Movers

1 California (CMSA) 83

2 Southwest Movers (SMA) 65

3 Illinois (IMAWA) 42

Association

Leaderboard Report

Association Total Lbs.

1 Pennsylvania (PMSA) 2,444,869

2 Illinois (IMAWA)) 2,178,243

3 Southwest Movers (SMA) 1,485,394

4 California (CMSA) 1,436,123

5 North Carolina (NCMA) 1,369,647

Monthly Year to Date

All Time

1,400 lbs.

4,017 lbs.

1,436,123 lbs.

1,166 meals

3,347 meals

1,195,769 meals

Mover Spotlight

Shout out to Ace Relocation Systems

in LA! They collected 1,400 lbs. of food

for a front porch food drive.

Classified Advertising PLACE YOUR AD HERE!

CHARGES: 1-5 Lines $15; $2 each addt’l line. CMSA box number $5.

Special heading/setup is extra. Email: information@thecmsa.org to

place your advertisement or call (562)865-2900.

EMPLOYMENT OPPORTUNITY

Looking for managers in L.A./Orange and Northern Bay Area. Must be extremely computer literate. Must be good with people and should have experience in the Moving and Storage Industry. Send resumes and letters of inquiries to: CMSA, Box J2, 10900 E. 183rd St., #300, Cerritos, CA 90703.

BUSINESS WANTED

We are interested in purchasing all or a part of your business. We are able to provide quick cash for certain assets. We can assist in an exit strategy. Major CA markets are desired. Discussions will be in strictest confidence. Send information to CMSA, Box J1, 10900 E. 183rd St., #300, Cerritos, CA 90703.

EMPLOYMENT OPPORTUNITY

Rebel Van Lines is looking to hire Class A & B drivers. To apply, please email nan@rebelvanlines.com or call 800-421-5045.

EMPLOYMENT OPPORTUNITY

Hemsted's Moving & Storage, Redding, CA is HIRING Class A & B drivers, warehouse/operations, and general office positions. Applicants must pass background check & drug/alcohol screening. Paid vacation, 401k, health ins. available. Submit resumes and inquiries to hemsteds@hemsteds.com. All discussions/applications will be conducted in the strictest confidence.

PLACE YOUR AD HERE

Looking for employees? Trying to sell a used truck? Call us to place your classified ad in next month’s issue!

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Historical

PhotoS

CMSA 45th Annual Convention April 1963 at San Diego’s Hotel Del Coro-nado. Members presented approximate-ly 900 toy moving trucks to the San Die-go Children’s Hospital.

Pictured below (Far Right): CMSA Chairman George Thomas, Thomas Transfer & Storage, Palo Alto