The Official NCALC Newsletter
North Carolina Association of Launderers & Cleaners

August, 2008

This Issue's Stories
Legislative/Regulatory Fund
NCALC Needs You
Our Razor Was Too Dull
NCALC Officers & Directors
Thanks for Renewing
Southern Drycleaners Show
The Voice on the Phone
Charlie Smith New DLI Director
Minimum Wage Increase
Employee Termination
Cut Operating Costs

Legislative/Regulatory Fund Needs Your Support
by Sto Fox
Executive Director

Sometimes we forget why we started the Dry-cleaning Solvent Cleanup Act Program in the first place.
To protect N.C. drycleaners and solvent distributors from the financial devastation of a Superfund cleanup.

Prior to passage of the DSCA in 1997 every active and formerly active plant site that utilized or had utilized perc or a petroleum based solvent was a potential Superfund site. As we found out in 2000 no insurance company was willing to insure against historic contamination as the DSCA Program does. Since the passage of the DSCA in 1997, no N.C. drycleaner or solvent distributor has been ordered to cleanup a contaminated site. Landlords have become willing to renew leases and lenders to lend money to drycleaners. The N.C. DSCA Program is the envy of every other states program because it is the best funded and has site specific cleanup standards.

The process of initial passage and amendments to the enabling act and the creation of program staff and rules has been an arduous process, partially due to the complex and time consuming process of rule making and state personnel practices but also because with your support NCALC has been able to obtain the services of well qualified technical, legal and lobbying professionals to augment and guide our efforts in your behalf and protect your interest.

We stand at a critical juncture for the Program. The Risk Base Cleanup Rules are in place. Site assessments are complete on a number of sites. The cleanup contractors are under contract so cleanups can proceed. No Further Action letters can be issued and sites closed. Only a very few "i's" remain to be dotted but they are very important to the programs ultimate success. The initial Legislation provided for the Act to sunset in 2012, ending the funding for the Program in 2010 and cleanups in 2012. This is a standard method to insure review of a tax based program. Obviously, the Program will not have completed its work by 2012. WE MUST GAIN REAUTHORIZATION BY THE LEGISLATURE BY 2010. This means that legislation must be introduced early in the 2009 Legislative session. And in fact, work has already begun in cooperation with the DSCA staff to prepare the necessary legislation.

We need our lawyer/lobbyist at the table to protect your interest, and the DSCA Program, but the Legislative/Regulatory Fund is at present running on fumes. WE NEED THE FINANCIAL SUPPORT OF EACH AND EVERY DRYCLEANER AND SOLVENT DISTRIBUOR so that we can continue to protect your interest and insure the continuation of the protection the Program affords you. Without the Program you will become vulnerable to an order to cleanup your present or past site, eviction or non-renewal of your lease; the inability to sell your business or property; or to borrow money on either.

The one million dollar contamination liability insurance policy mandated by the original legislation which was replaced by the state's portion of sales tax on drycleaning and laundering services in 2000 was costing the average drycleaner $1500-1800 per year. You have saved at least that much every year since 2000. If every drycleaner in North Carolina gave just $100 per plant we would have enough to fund our efforts to reauthorize the program. Unfortunately our efforts to date have primarily been funded by less than 30 plant owners who have dutifully contributed $500 to $1200 per/plant/year to fund our legal and technical support. All of the time and expenses incurred by NCALC volunteer leaders in traveling the state to brief cleaners and serve on the DSCA Stakeholders Group and Subcommittees have come out of their own pockets in addition to their generous support of the Legislative Regulatory Fund. IT'S TIME FOR ALL NC DRYCLEANERS TO STEP UP TO THE PLATE AND SEND A CHECK &/OR MAKE A PLEGE TO THE LEGISLATIVE/REGALTORY FUND. Without your financial support our ability to continue efforts in your behalf, will be severely crippled. We are not lawyers, lobbyist or technical experts. We are just drycleaners like you.

THERE IS A LEGISLATIVE/REGULATORY FUND PLEDGE FORM ENCLOSED IN THE AUGUST CAROLINA CLEAN NEWSLETTER. LET YOUR CONSCIOUS BE YOUR GUIDE.

Save Your Money
Bayard Crumpton, Nuway Cleaners in Roxboro, just saved $4000 on his Worker's Compensation Insurance renewal premium by having his local insurance agent call Keith Camacho at IRVING WEBER ASSOCIATES 1-800-243-1811 for a proposal. (See story on IWA below)

NCALC Needs You
Dear Members of NCALC,

Another spring has passed and we are now left with the hot, humid, and sultry days of summer. I look forward to the arrival of fall in just a few weeks. Hopefully this change in season will bring an influx of business with fall clothes and comforters making an appearance.

NCALC volunteers and staff have been extremely busy this summer. We began with a DISCA stakeholders meeting in Raleigh in early June. Many thanks to Lindley Smith, Martin Young, Mac Davis, Chris Edwards, and Sto Fox for attending this meeting. NCALC representation and persistence is crucial when trying to educate DISCA regarding our vantage point.

Our thoughts and prayers are with several members of our NCALC family who lost loved ones recently. Ed Forrest, Deluxe Cleaners, Durham, lost his sister and the Sessoms family lost Susie's brother in late June. We wish a speedy recovery to Kim Shaffer who was injured in a fall in early July and is on crutches.

Great job, Ashley Lawson! Ashley has been instrumental in helping NCALC's membership grow. Commitment like this helps put NCALC ahead of the pack. A special welcome to our new members Tommy Pressley, Ideal Cleaners, Kinston; Mo Patel, Steve's Cleaners, Spindale; and Sandy Schulhofer, Providence Cleaners, Charlotte.

In July, NCALC members addressed urgent issues with our legislature. Not only did the phones at the State Senate ring off the hook but also a number of affiliates took Raleigh by storm in person to express concerns. Thanks to Rita Foley, Bayard Crumpton, Chris Edwards, Mac Davis, John Kim, Larry Pope, and Sto Fox for representing our organization and making our voices heard. There is no doubt what NCALC stands for. Please consider supporting our legislative effort as the funds are in need of replenishment. Every contribution is greatly appreciated. Make yours now!

NCALC was extended an invitation to participate as an exhibitor in the SEFA show held in Savannah Georgia July 25-27. It was nice to see many familiar NC drycleaners and distributors taking part in this regional event. If you weren't able to make the show this year try not to miss it in 2010. Thank you to the SEFA dignitaries for including us this year.

NCALC needs you!! We have countless opportunities for anyone interested in becoming more involved with this great organization. Get involved! Donations of time, ideas, money or all of the above will never be turned away. Please contact Sto for information about the organization and prospects for increasing your level of participation.

In closing, I would like to express my gratitude for all that everyone does. NCALC is a phenomenal group of professionals that I am most proud to be affiliated with. Thanks for reading!

Simon Vick
NCALC President

Our Razor Was Too Dull
Following a defeat, Confederate General Nathan Bedford Forrest was reported to have said "We fit a good fight but our razor it were too dull". The same can be said about North Carolina drycleaners recent efforts to protect the Dry-cleaning Solvent Cleanup Act "trust" Fund from the N.C. Legislature. The 2009 budget revision act took $400,000 in interest earned on the balance in the cleanup fund to fund projects in the Inactive Sites Program not related dry-cleaning solvent contamination.

Despite the diligent efforts of our lobbyist Henry Jones, NCALC Staff, Drycleaners and Allied Trades across the state who responded to our telephone calls, e-mails, faxes and letters and contacted their Senators and Representatives, many of your Senators and Representatives and the very clear prohibition in the Legislation that created the DSCA Program, the House & Senate Leadership, meeting behind closed doors in the final hours to find the money to fund the Governor's demands and keep the bureaucracy running, chose to ignore the promise made to our industry in the enabling legislation. The simple truth is: The Legislature makes the laws and they can change the laws or pass a Bill that says "the provisions of a previously passed Bill not withstanding" they will do something the Bill prohibited.

Special thanks to all of you who contacted your Senators and Representatives and to Mack Davis, Bayard Crumpton, Chris Edwards, Brenda Honeycutt, Rita Foley, John Kim and Larry Pope who answered our last minute call to come to the Legislative Building on Monday June 23rd to go office to office talking to Legislators and passing out information sheets. Unfortunately, many of you were closed and out of town the week of July 4th, and could not respond to our calls for help. In the final analysis, I'm not sure there was any way to save this $400,000 robbery. However, we must make every effort to prevent this taking from establishing a precedent for future takings to fund activities and projects outside the DSCA Program.

Your Senators and Representatives are at home now pursuing their everyday lives in your community. It's a good time to let them know that you are not happy about DSCA Fund money being taken to plug holes in the Budget unrelated to drycleaning solvent contamination and to seek their promise to insist that the Fund only be utilized for the purpose for which it was created. In speaking wih legislators during and after our fight to protect the fund, we learned that many of them had inaccurate information about the origin, purpose and/or current status of the DSCA program. A two-sided fact sheet is enclosed with this newsletter that we encouraage you to put into the hands of your senators and representatives.

We are the only industry in North Carolina that has stepped up to the plate to create a program to address existing and potential environmental contamination from the industry. In doing so we agreed to tax ourselves and our services to fund contamination cleanups and subjected ourselves to stringent and costly additional regulations, inspections, fines, and potential exclusion from the DSCA Program. We have worked side by side with NC DENR for 10 years through the tedious task of rule making necessary to implement a 1st of its kind well funded cleanup program with cost efficient site-specific cleanup standards. Now that the site-specific cleanup rules are in place (so we know how clean is clean enough) remediation can proceed and sites can be granted NO FURTHER ACTION letters. The balance in the Fund will begin to decline as expenses will exceed revenue as was anticipated in the establishment of the fund. Every penny taken from the Fund for other purposes could affect the Programs ability to complete its work in future years.

To date, the DSCA Program has fulfilled its objectives of:
· Protecting NC Drycleaners and Solvent Distributors from the financial devastation of a Superfund cleanup.
· Giving landlords and lenders the confidence to lease property and lend money to drycleaners.
· Allowing drycleaners and landowners to sell businesses and property where drycleaning solvent contaminations exist.
· Minimizing the potential of further contamination of the land and waters of the State from dry-cleaning solvent.

The Program can only achieve its objective of Cleaning up existing dry-cleaning solvent contamination if:

· The funds intended to pay for the clean-up are utilized for that purpose.
· The program is reauthorized before 2010 so that it will have the time and money to cleanup the estimated 1200+ contaminated current and former drycleaning plant sites in NC.

With your help and financial support we will re-sharpen our razor and continue our efforts to protect and serve N.C. Drycleaners & Solvent Distributors in this ongoing battle. Please contact your legislator and send a contribution to the NCALC Legislative/Regulatory Fund so we can keep our Lobbyist in the fight. The coffer is low-even a loss is expensive.

A Legislative/Regulatory Fund Pledge Form is enclosed in this Newsletter. Please use it and send us a contribution &/or pledge.

Cost-Saving Ideas
· Review staffing schedule to adjust to work flow and reduce payroll hours.
· Consider opening 30 minutes later &/or closing 30 minutes earlier if customers are not utilizing this time regularly. (A drop box or window will allow early birds to drop off orders if you use express bags)
· Consider cutting out production on the day of week you have the fewest requests for same day service.
· Look for extra work to cover cost i.e. ROTC and Band Uniforms, Choir Robes, Hotel/Motel Comforters & Bedspreads, etc.
· Check out Irving Weber Insurance Package through your local insurance agent. It could save you 15 to 25% of your annual premium.
· Call all customers with orders over 30 day old to remind them to pick-up items to stimulate cash flow
· Mine your data base for customers who haven't dropped off an order for 2 weeks with a we've missed you phone call from your Customer Service Representative.
· Send customers you haven't seen for 30 days a we've missed your smiling face coupon to encourage them to come back.
· Clean up your parking lot, drive-thru, wash your windows, replace burned out lights, re-stripe your parking lot, pressure wash your building, paint something. Activity at your store draws activity from potential customers.
· Consider a price increase. It's unlikely you will lose more in volume than you will gain in revenue.
· Use slow time to train your employees.
· Keep a smile on your face & an upbeat attitude-Your employees will reflect your attitude and so will your customers. No one likes to go to a funeral.

Submit your own cost cutting &/or business building ideas to the Association Office for the October Newsletter.
NCALC
1403-A Sunset Drive · Greensboro, NC 27408
(336) 389-9011 · Fax (336) 510-3804
ncalc@ncalc.org

NCALC Officers & Directors
PRESIDENT
SIMON VICK, Vick's Cleaners, AOE, Kinston
With the able assistance of his sons, Tim and Adam, Simon Vick continues in the footsteps of his father and grandfather at the helm of the family business founded in 1900. A pioneer in the use of European tensioning finishing equipment since 1990, he is a long-time IFI/NCALC member and has previously served as District Director, Secretary, Vice President and President-Elect of NCALC.
VP Administration/President-Elect
MARVIN THOMAS, Swannanoa Cleaners, AOE, Asheville
Another guy who grew up in the industry, Marvin's family owned and operated Georgetown Laundry in Georgetown, South Carolina. His father was a former President of IFI. After his father passed away, leaving the business to Marvin and his four sisters, Marvin accepted a management and ownership opportunity in Asheville with Swannanoa Cleaners where he oversees the operations of five plants and three dry stores.
VP-GOVERNMENTAL AFFAIRS
CHRIS EDWARDS, CED, CPD, CPW, ACW Management Corp, High Point
As President and CEO of A Cleaner World™, a franchise his father resurrected in 1981, Chris oversees the operations of 51 company-owned and franchised plants in North Carolina and Virginia. He started out working in the plant cleaning, spotting, and waiting on customers and is a Certified Garment Care professional who teaches cleaning and spotting to ACW employees. Chris has been at the head of NCALC's efforts in obtaining passage and implementation of the Drycleaning Solvent Cleanup Act and Program since 1994 and has a wealth of experience in dealing with local, state, and federal legislators and regulators and serves on the DSCA Stakeholders Group. He is a member of the Board and a past president of the Board of the Fabricare Foundation.
VP-MEMBERSHIP
BAYARD CRUMPTON, Nuway Cleaners, AOE, Roxboro
A relative newcomer to our industry, Bayard spent 27 years with Carolina Power & Light before purchasing Nuway Cleaners in Roxboro in 2001 from long-time IFI/NCALC member Sandy Stigall. Through his acquaintance with Bob Smart, former owner of White Star Laundry in Durham, Bayard quickly became a very active member of NCALC who likes to "give as much as he gets."
VP-MEMBER SERVICES
WES SESSOMS, Brock's Drycleaners, AOE, Tryon
Brock's Drycleaners is a single perc plant with two dry stores. Wes grew up in the drycleaning business and worked with his father at Village Cleaners in Hendersonville prior to purchasing Brock's in 1982. He is a graduate of the IFI general course at Silver Spring, Maryland.
Treasurer
LARRY HILL, Dandy & American Drycleaners, Charlotte
Larry's father Ken bought Dandy Cleaners in 1968, after working in the drycleaning business since 1966. Larry's career in drycleaning began in 1978 working with his dad. In 1998 the Hills bought American Drycleaners, which is the oldest cleaners still operating under the same name in Charlotte. Larry took over the two-plant operation from his father in 2003. He is a graduate of the IFI drycleaning course at Silver Spring, Maryland.
SECRETARY
TOM VOLK, Williamston Cleaners, Williamston
Tom is following in the footsteps of his father at the helm of Williamston Cleaners, a single plant utilizing perc, which his father purchased in 1989 as something to do in his retirement after 30 years in the drycleaning business in southern California. As the business grew, Tom (Rich's "younger" brother) followed him from southern California, where he had a single-plant operation, and bought his father's operation eight years ago.
SERGEANT-AT-ARMS
BILL SESSOMS, Former owner of Village Cleaners, Hendersonville
Prior to selling Village Cleaners in 2000, Bill had been a long-time member of NCALC who served as President, 1st Vice President, District Director, and Director-At-Large throughout his many years on the Board. He was made a Life Active Member in recognition of his many years of service and continues to serve the Association, which has been such a meaningful and beneficial part of his life.
Immdediate Past PRESIDENT
GLORIA COWELL, Cowell Cleaners, New Bern
Gloria and Keith Cowell picked out a location, bought an equipment package and jumped into the drycleaning business head first in 1990 soon after graduation from UNC-CH. Sixteen years later the natives of nearby Bayboro have nine locations in three counties stretching from Newport to Bayboro. Explaining how they have grown in a time when many other cleaners have been holding on or shrinking, Gloria says, "We do whatever it takes to satisfy our customers' needs. We kill them with kindness."
ALLIED TRADES REPRESENTATIVE
KEVIN LAWSON
Tri-State Laundry Equipment Company, Kernersville
Kevin cut his teeth in the drycleaning business managing (cleaning, spotting, pressing, waiting on customers and working on equipment) at an A Cleaner World plant in Winston Salem. He subsequently found his niche in equipment installation, repair and maintenance at the corporate level with ACW and now heads that operation.

DISTRICT DIRECTORS
RICH VOLK, Bowen Cleaners, Greenville

DISTRICT 1: Beauford, Bertie, Camden, Carteret, Chowan, Craven, Currituck, Dare, Edgecombe, Gates, Greene, Halifax, Hertford, Hyde, Johnson, Jones, Lenoir, Martin, Nash, Northampton, Pamlico, Pasquotank, Perquimas, Pitt, Tyrell, Washington, Wayne, and Wilson Counties.
Like his "younger" brother Tom, Rich grew up in the business in California where he operated a large retail cleaning and wholesale shirt laundry business. Seeking a more agreeable lifestyle, he sold his business in California and purchased Bowen Cleaners in 2001. He operates two plants with perc and petroleum and four dry stores.
ALLAN CHEATHAM, Shallotte Cleaners, Shallotte
DISTRICT 2: Bladen, Brunswick, Columbus, Cumberland, Duplin, Harnett, New Hanover, Onslow, Pender, Robeson, and Sampson Counties.
Shallotte Cleaners is a single-plant petroleum operation with a drop store in nearby Southport. Allan began his career in drycleaning working for Williams Cleaners in Wilmington while in high school. After finishing college, he managed plants for Joe Herndon and Jim Hilker in Raleigh before he and his wife Cindy purchased Shallotte Cleaners in January, 1997.
BRENDA HONEYCUTT, Plaza Dry Cleaners, Chapel Hill
DISTRICT 3: Durham, Franklin, Granville, Orange, Person, Vance, Wake, and Warren Counties.
Plaza Dry Cleaners is a single plant utilizing GreenEarth™. Brenda grew up working in Plaza Cleaners, which was operated by her mother Rose Dye. It is now run by Brenda and her husband Dan.
LINDLEY SMITH, Sno White Cleaners, AOE, Greensboro
DISTRICT 4: Alamance, Caswell, Guilford, and Rockingham Counties.Continuing in the footsteps of his father and mother, Lindley owns and operates a single plant known for the exceptional quality and high price of their workmanship. He is an IFI Certified Instructor and serves on the IFI Certification Committee which oversees the certification of Certified Environmental Drycleaners, Certified Professional Drycleaners, and Certified Professional Wetcleaners.
ROGER ROUTH, Hutchens Cleaners & Laundry, AOE, Mt. Airy
DISTRICT 5: Alleghany, Ashe, Avery, Caldwell, Chatham, Davidson, Davie, Forsyth, Hoke, Lee, Montgomery, Moore, Randolph, Richmond, Rowan, Scotland, Stokes, Surry, Watauga, Wilkes, and Yadkin Counties.Hutchens is a single-plant utilizing perc and professional wetcleaning with an agency in Pilot Mountain. Roger purchased Hutchens in 1984 after four years in the drycleaning business in Virginia. His son Aaron, who is following in his father's footsteps, is one of only three Certified Garment Care Professionals in North Carolina.
JIMMY LEE, CED, CPD, CPW, Jones Dry Cleaning, Charlotte
DISTRICT 6: Anson, Cabarrus, Mecklenburg, Stanley, and Union Counties.
Jimmy grew up waiting on customers in his father's dry cleaning business. After finishing college in 1989, Jones Dry Cleaning was purchased with 3 stores in the Charlotte area. He took charge of the dry cleaning business and currently operates two perc processing facility, seven dry stores and a home delivery route division.
TOM WILSON, American Cleaners, Canton
DISTRICT 7: Alexander, Buncombe, Burke, Catawba, Cherokee, Clay, Cleveland, Gaston, Graham, Haywood, Henderson, Lincoln, Iredell, Jackson, Macon, Madison, McDowell, Mitchell, Polk, Rutherford, Swain, Transylvania, and Yadkin Counties.Tom purchased American Cleaners in 1988 after 21 years in the heavy equipment industry. He operates a main plant utilizing DF-2000 serving two dry stores and routes.

DIRECTORS-AT-LARGE
YOUNG BANG

One Hour Koretizing, Fayetteville
Young purchased One Hour Koretizing in 1999. He operates a large central plant utilizing perc and four dry stores. Young got his initial experience with the drycleaning business working with his sister in Kentucky.
JOAN BARTLETT
Exclusive Cleaners, AOE, Wilson
Established in 1960 by Joan's father Bill Whitfield, Exclusive Cleaners operates two plants utilizing perc and DF2000, a dry store, and a limited home and business pick-up and delivery service.
AL CARDENAS
Al's Glam O Rama Cleaners, Fayetteville
Al got his start in the drycleaning business in 1962 operating routes at Ft. Bragg with a partner. He opened Al's Glam O Rama, a single-plant perc operation, in 1974.
PATRICK CARDENAS
Cliffdale Cleaners, Fayetteville
The son of Al Cardenas grew up in the drycleaning business and continues the family tradition at Cliffdale Cleaners which he purchased from his father in 2000 and converted to DF-2000 in 2002.
Bailey Dempsey, Twin City Cleaners & Wedding Gown Specialists, Winston-Salem
Bailey and Dan Dempsey purchased fledgling Lewisville Dry Cleaners in January 2000. With corporate backgrounds in promotions/marketing and bank/trust operations they knew more about being customers than about being business owners. With their customers' needs top-of-mind, they grew Lewisville Cleaners into a viable business and added two drop locations within 5 years. They changed the name to Twin City Cleaners to benefit from consolidated advertising, printed supplies and word of mouth from their customers. Bailey is also on the Board of Directors for the Association of Wedding Gown Specialists.
KEN FARRINGTON
A lifelong resident of Winston-Salem, North Carolina, Ken's educational background is in Business Administration with an emphasis on accounting. He and his brother have been successfully involved in a family run wholesale distribution business serving the industrial laundry and dry cleaning industries for the past 33 years. Ken is senior managing member of a real estate partnership. Ken serves on the Board of Directors for three non-profit corporations which include the North Carolina Association of Launderers and Cleaners. ken is active in his church and uses one week a year of his vacation to work in foreign missions teaching business principles in Russia each year. He also teaches Bible studies in the local jail to inmates. He and his wife, Sue have four grown children and eleven grandchildren.
RITA FOLEY
Regency Cleaners, & White Star Laundry, Durham
Tom Gosselin, Life Active Member, Burnsville
When Tom sold his large commercial laundry, retail drycleaning and laundrymat business, in Lebanon, New Hampshire in 2006, he and his wife Maureen moved south to the N.C. Mountains and sought an active role in NCALC, which we were happy to provide. Tom served on the Board of the 7-State North East Fabricare Association for over 20 years as a Director, President, Convention Chairman and was the IFI Director for District One when he sold his operation in New Hampshire.
Randy Johnson
Banner Machinery Corp. Benson
RICK KANE
Poyner & Spruill, LLP
Rick has helped clients grapple with environmental issues since 1984. A graduate of Duke University with law degrees from Duke and Vanderbilt. Rick has successfully represented the owners of ABC Cleaners in Jacksonville in two actions. As Poyner & Spruill's representative to NCALC he has served as a member of the Governmental Affairs Committee. He also serves on the DSCA Stakeholders Group.
BIOLLY KINCAID
Consolidated Laundry Eqipment Co., Raleigh
CHARISSE LASSITER
Southern Laundry & Dry Cleaners, Henderson
Charisse opened Southern Laundry in 1993. In 1999 she and husband Steve opened Hangers™ in Wake Forest, which utilizes liquid CO2. In 2003 she converted the Henderson location to high flash hydrocarbon utilizing DF-2000.
COOKI PATEL
2001 Cleaners Inc. has been in business since 1990. His father and wife are an integral part of the cleaners. They focus on high-quality dry cleaning and customer service, while moving towards green solutions as they grow. 2001 Cleaners is committed to utilizing innovative technology and striving to find environmentally friendly products and solutions.
DENNY SHAFFER
Kore-O-Mat, Fayetteville
Denny Shaffer's roots in the industry go back many years to the early days of the One Hour Martinizing franchising and his involvement in the creation of the One Hour Koretizing franchise, at one time owing/operating multiple One Hour Koretizing plants and laundrymats in the Fayetteville area. In 1999 he sold his drycleaning operation to Young Bang but retained his laundrymats which are also drystores. Denny has been a driving force in the development of the Drycleaning Solvent Cleanup Act and Program from its inception in the mid 90's and serves on the DSCA Stakeholders Group.
BOB SMART
Life Active Member, Durham
When Bob graduated from the University of Georgia in 1966 his Father and Uncle made him an offer he couldn't refuse to join them at White Star Laundry in Durham. Following the death of his father and uncle, Bob assumed control of White Stars 3 plants and six laundrymats in 1985. In 2001 he sold the business to Lester and Rita Foley and retired from the business but not from NCALC's Board of Directors on which he has served for many years.
EDDIE STEPHENSON
Highland Cleaners, Fayetteville
Highland Cleaners was founded in 1955 by Eddie's father, and Eddie took the helm in 1982. Highland is a single perc plant with a coin laundry/dry store. His son Grady joined the business in 2002 and will continue the family tradition.
CAROL STROTHER
Oxford Drycleaners, Oxford
Following the untimely death of her husband Vern in 2003, Carol, a teacher by profession who helped out from time to time at the cleaners, decided to run the business herself. She has grabbed the bull by the horns, availed herself of the information and guidance available through the Association, and is doing very well.
JOHN THOMAS
One Hour Cleaners, Laurinburg, AOE
After many years as a technical sales representative serving the laundry industry for Wyndott Chemicals, John purchased One Hour Cleaners in 1973, which is now run by his daughter, Terry Lemons.
BART WILLIAMS
Williams Fabricare, Inc. Wilmington.
Bart following his father Ted at the helm of Williams Cleaners and as a member of the NCALC Board. Williams Fabricare was the first cleaners to utilize liquid CO2 cleaning in an operating plant and today has a CO2 system in three operating plants.

Thanks for Renewing
John Kim, Perfect Image Drycleaners, Chapel Hill
Eddie Stephenson, Highland Cleaners, Fayetteville
Joe Steele, Premier Cleaners, Greensboro
Ed Strange, Imperial Cleaners, Rocky Mount

Southern Drycleaners Show
by Sto Fox
Executive director

Well over 100 North Carolina folks enjoyed the ambience of the historic Savannah waterfront and the modern conveniences of the convention center a 90 second water taxi ride across the river at the Southern Drycleaners Show July 26th & 27th. By our count, 37 North Carolina drycleaners and 30 N.C. based allied trades companies or representatives had booths or representatives at the Show. In addition, NCALC President Simon Vick and Executive Director Sto Fox manned the NCALC booth alongside DLI and show host SEFA. Eric Swope, Compliance Coordinator and Alicia Roh inspector from the N.C. DSCA Program were also in attendance at the Show.

Martin Young, NCALC's resident cleaning and spotting guru and American Drycleaner's spotting columnist waxed eloquent in the training area on the convention floor on stain removal and wetcleaning to a packed house. Other educational sessions featured the Cowboy Cleaner Kenny Slaten on Inspection Techniques, Quality Control & Crisis Management (i.e. when the feathers hit the fan); DLI's Chris Allsbrooks on Common Mistakes that Drycleaners Make; Reducing Cost Through Proper Maintenance and Packaging for Profit from Jim Goulet and Frank Briercheck respectively.

The Southern Drycleaners Show is a boutique version of the Clean Show. With about 100 exhibitors, operating equipment, concessions and the demonstration area in a much smaller footprint that the Clean Show, you don't walk your feet off or just get too tired to walk the length of the floor to see something unless you know you need to. In other words you can see the whole show in a day. If you get tired there are plenty of places to sit down and rest, have a cold one or get a massage. Yep, the Fabricare Choice booth, decorated like a Caribbean Island, complete with palm trees and a strikingly attractive welcomer, featured two masseuses who were happy to work the kinks out of your neck &/or back. Phenix Supply, a Platinum Sponsor, had a large department store type booth at the end of the show floor with every product they supply on display and treated attendees to a fine cocktail party in the lobby when the Show floor closed on Saturday at 5:00 PM. The fine folks from the South Eastern Fabricare Association (SEFA) who put on the show were gracious hosts, welcoming attendees with a gala cocktail party on Friday evening at the Westin Hotel adjacent to the Convention Center. There is always a SEFA Board Member nearby if you need suggestions or direction to a Savannah eatery or watering hole.

NCALC appreciates the hospitality provided us and the booth to display our wares and chat with N.C. cleaners in attendance. My hat is off to SEFA Executive Director Barry McElveen on a show well run, and according to all the exhibitors and drycleaners I spoke to: a very successful show for them.

Additional SDS Pictures


Changing of the Guard
Charlie Smith Replaces Mack Davis as DLI District 2 Director

Mack Davis owner/operator of Medlin Davis Cleaners in Raleigh resigned as, District 2 Director on the DLI Board of Directors in late June to pursue other interests. Mack served as District 2 Committee Member from 2004-2006 and District Director from 2006-2008. "I want to spend more time with my grandchildren and more time on my boat" Mack said "and I just had to cut something out. I knew Charlie was ready to step up to the plate so District 2 would be well represented." While serving on the DLI Board, Mack chaired the equipment committee and was a driving force in obtaining much of the state of the art equipment in DLI training facility. He plans to continue his service to NCALC as a past president and member of the Trusteeship Committee and will once again take the lead role in raising the funds necessary to carry on our work to obtain full implementation of the Drycleaning Solvent Cleanup Act (DSCA) Program.

Our new District Director, Charlie Smith has served as our District Committee member for the past two years. He is the owner/operator of Village Square Cleaners and Cleaners 2U in Reston, Virginia. After West Virginia University, a stock brokerage firm, and beauty pageant promotions, Charlie joined the Management Engineering Department at the National Institute of Drycleaning, (NID/IFI/DLI) in 1965 where he worked for Charlie Riggott, former CEO of IFI. In 1972 he started Village Square Cleaners and has been a major contributor to his community, regional drycleaning and professional associations throughout his career. He has served as Chairman, President and Board Member of his local Chamber of Commerce, Easter Seals, Rotary Club, Little League Baseball, Youth Football, National Capital Area Crime Solvers, Northern Virginia Health Systems Agency, Metropolitan Drycleaners Association and the Mid-Atlantic Association of Drycleaners. With over 43 years in the Drycleaning & Laundry industry, and as a man known for his passion for the industry and track record as a driving force in the organizations he supports, there is no doubt that Mack has left District 2 in very capable hands.

Minimum Wage Increase Raises the Cost of Doing Business
Effective Date Minimum Wage % Increase
July 24, 2008 $6.55/hr 7%
July 24, 2009 $7.25/hr 11%

In North Carolina employers are required to pay the higher of the state or federal minimum wage.

As of July 24, 2008, the federal minimum wage increased to $6.55/hour eclipsing the N.C. minimum wage of $6.15/hour. This is the minimum hourly wage you are required to pay until July 24, 2009. If nothing changes at the state of federal level before July 24, 2009 the federal minimum wage will increase to $7.25/hour.

Although few if any of us are able to hire, much less retain, competent employees for the minimum wage, when the minimum wage rises our employees expect their wages to go up as well. Since labor is the single largest operating expense (i.e. 30% to 40% of sales) for most cleaners the effect of a 7% minimum wage increase translates into a 2.8% increase in labor cost. The 11% increase in the minimum wage next July will translate into a 4% increase in labor cost.

If your revenue does not increase by the same percent, the difference comes straight off of your bottom line. Add the increased cost of supplies (hangers, solvent, chemicals, poly, etc.), utilities (electricity, natural gas, fuel oil and gasoline) and you are looking at a minimum of 8 to 10% increase in revenue or reduction in operating cost just to stay even over the next two years. The simple fact is that all businesses must reflect increases in operating cost in the price of their goods and services or face bankruptcy. Isn't it amazing that certain politicians refuse to admit that increased in minimum wages and taxes lead to higher prices i.e. INFLATION.

Employee Termination:
A Difficult Part of Doing Business
As discussed in prior articles, all businesses should have an employee handbook, or in the least, a set of written policies that each employee is aware of and which are followed. This is particularly important in the hiring and firing process, where employers risk claims of discrimination. Terminating an employee is rarely a pleasant experience, but undoubtedly necessary for a productive and safe work environment. Below is a list of twenty general questions compiled by our employment law section that you may find useful as a guideline to ensure a smoother termination process.

Employment Termination Checklist
1. What is the whole story surrounding this termination?
a. What does the immediate supervisor have to say? Are there other witnesses who need to be interviewed?
b. Has the employee in question been given an opportunity to tell his/her side of the story and identify any witnesses he/she believes necessary to the investigation?
c. What does the affected employee's personnel file look like?
d. Do the facts (as opposed to opinions) support the termination?
2. Is there sufficient documentation to support termination?
a. Is the employee going to be surprised?
b. Are there prior warnings in the file?
c. What do the employee's evaluations look like?
d. What is the employee's seniority status?
3. Is this employee being treated in a nondiscriminatory manner, i.e., is this termination consistent with the company's prior actions?
a. Are there employees of the opposite sex or race, or employees in the nonprotected age group, who have been treated differently than this employee under similar circumstances?
b. Would the same action be taken if this person was of another race, sex, age, etc.?
4. Is there a written employment agreement?
a. Are there documents which could be argued to be agreements (e.g., letters regarding initial employment) which should be reviewed?
5. Is this termination consistent with the terms/procedures set forth in the Company's Handbook or Personnel Policies Manual?
a. Is the offense for which this employee is being terminated clearly spelled out in the handbook/policy manual?
6. Have all relevant portions of personnel policies and procedures been complied with?
a. If applicable, have the appropriate progressive discipline steps been followed?
7. What is the age of the affected employee?
8. Is there any basis for a claim by this employee that his/her termination is in violation of public policy?
a. Has this employee complained about the Company engaging in activities which he/she claims to be violations of the law, e.g., OSHA violations, DOT violations?
b. Has this employee utilized an internal grievance procedure to complain about certain matters? If so, what topics has the employee complained about?
9. Does this employee have a workmen's compensation claim presently pending, or has the employee been involved in such a proceeding within the last year?
10. Does this employee have any known handicaps or disabilities?
11. What do others (higher management /outside counsel) think about this termination?
12. What has been the composition of all employees (race, sex, age) terminated in the last 18 months?
13. Is there an alternative to terminating this employee, e.g., final written warning, suspension without pay, demotion?
a. Does the punishment fit the offense?
14. Should this employee be offered the opportunity to resign as opposed to being involuntarily terminated?

15. In layoffs or reduction in force situations, have I carefully considered the race, sex and age of the employees being affected?
a. What does the makeup of the workforce look like from an age, race and sex standpoint before and after the layoff or reduction in force?
b. Do I need to worry about the Plant Closing Act provisions?
16. What should I tell the employee who is going to be terminated?
a. Tell the affected employee the truthful reasons for discharge.
b. What about references?
c. What about notification regarding post-termination benefits?
17. Who will I select to replace this employee?
18. Who in the Company will be in charge of communicating with the EEOC and/or Employment Security Commission, if necessary?
19. Are there any wage and hour (State and Federal) issues I need to consider?
20. Is there anything about the termination of this employee that strikes me as unfair?

Julie Hampton is a litigation attorney in the Raleigh office of Poyner & Spruill LLP. A copy of this checklist can be found under Employment Law Publications at www.poynerspruill.com.

Looking for a Way to Cut Your Operating Costs?
Cutting Operating Cost without cutting your quality or service to your customers is always a good thing for you. It results in more money in your pocket. The business insurance program from NCALC's endorsed provider IRVING WEBER ASSOCIATES has saved member drycleaners thousands of dollars in premiums in the last two years.
· Many NC cleaners have been able to save 15 to 25% on their business insurance by switching all or part of their coverage's to the IWA Program..
· Irving Weber's Workers Compensation Program has paid a dividend every year for over 50 years. In July, a 15% dividend was paid to Workers Comp Policy holders for the plan year ending June 30, 2007

Irving Weber Associates has been providing industry specific insurance to Launderers & Drycleaners for over 50 years. Their coverage is comprehensive (i.e. tailored to a drycleaners needs and includes unlimited bailee, boiler, damaged in process, mysterious disappearance, employee theft, etc), in most cases less expensive and their service and claim handling is excellent. One of the most unique things about Irving Weber Associates is: They prefer to deal through a local broker i.e. your current insurance agent in writing your coverage. That way you get to compare their coverage and premium with the best your cousin, brother-in-law, high school friend &/or customer can offer and if you choose Irving Weber your local agent will still get their commission and provides local service. It's a win-win for your current insurance agent and you..

If you're not happy with your current local broker/agent you can contact Darrell Wilson, Wilson Insurance Associates in Thomasville at 800-215-7630. Darrell has been an Allied Trades Member of NCALC for many years providing coverage and service to drycleaners all over North Carolina. He is very familiar with a cleaners insurance needs and is willing and able to provide you with the local service and representation you need.

Not time to renew your insurance? No time is a bad time to review your coverage and premiums. In a substantial number of instances the savings available through the Irving Weber Plans exceed the cost of moving the coverage by an amount significant enough to make the change more than worthwhile.

JOIN NOW! NCALC'S NEW MEMBER REWARDS WORTH MORE THAN $2000.00
· A PLANT ENVIRONMENTAL COMPLIANCE INSPECTION
by Greg Icenhour, CED of Shield Engineering
· A PLANT MAINTENACE CHECK-UP
By Tri-State Laundry Equipment Co.
· A SUPPLY INVENTORY MANAGEMENT SYSTEM
from N.S. Farrington & Co.
· A FULL REGISTRATION to CAROLINA CLEAN '09
from NCALC
· "QUALITY SHIRT FINISHING" IN PLANT TRAINING VIDEO OR DVD IN ENGLISH OR SPANISH
from DLI
· 20,000 CUSTOM INVOICES AT STOCK PRICES
from Liberty Pittsburg
· A STANFORD SPOTTING KIT
from Fabritech
· A 10% DISCOUNT ON SECONDARY CONTAINMENT TRAYS
from MCF Systems
· THE OPPORTUNITY TO HAVE THE SERVICES OF AN NCALC MENTOR
· Access to Scholarship for DLI Resident Courses
In order to qualify as a new member you or your cleaners cannot have been a member of NCALC/DLI in the past year and you must pay your annual dues in the correct dues category in full with your membership application. Membership Application Enclosed

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