PERG News

Tuesday, March 20, 2018

PERG News: March 2018

| PERG News: March 2018 |

Dear PERG Members and Associates,

In this Issue:

Harry Box,

Manager of the ESTA Production Equipment Rental Group (PERG)

PERG’s General Membership Meeting at NAB – Are You Coming?

| PERG News: March 2018 |

We are looking forward to seeing everyone at the PERG General Membership Meeting! If you plan to attend, please RSVP. The meeting is open to members and non-members. It is a great opportunity to relax and have a beer with other rental owners from all over the US, Canada, and the world, who come to Las Vegas for this enormous conference.

As usual, we host a social hour starting at 4 pm. The program will start around 5:15 and will include some presentations which should be very interesting. In this year’s lineup, Marius Ciocirlan, co-founder and SEO of ShareGrid and Daniel Gurzi, Director of Business Development at KitSplit will take part in a moderated panel discussion. The panel will also include users of these platforms. This is an opportunity for you to find out more about how the fast-growing e-commerce rental marketplace could affect traditional rental businesses and for you to discover possible opportunities that the digital world brings to our industry. (See also PERG Grabs Hot Topic for NAB Panel)

Also on the agenda:

DOT Compliance—Productions as Motor Carriers
New theft deterrent features built into one camera
Customer vetting and equipment theft recovery services
PERG news and upcoming events

The PERG meeting is free, thanks to the generosity of our sponsors. However, this year we are asking attendees to please make a donation ($25 suggested) when you RSVP. Donations help pay for a major upgrade to RENTAL GUARD. In 2017 ESTA made a significant outlay to upgrade this important industry resource, and PERG needs to raise funds to help pay for it.

The PERG meeting is held from 4-7pm on Tuesday April 10th, at the Embassy Suites Hotel, just down Paradise Blvd from the Convention Center.

Got Trucks? PERG Releases Guidelines for DOT Compliance

| PERG News: March 2018 |

“The Department of Transportation [DOT] rules and regulations are complex. This handout takes a difficult subject matter and provides the information in a format that makes it easier to understand for production companies operating vehicles under their own DOT numbers” says Scott Taylor (Taylor & Taylor Associates). Over several months, since the new ELD regulations went into effect at the end of 2017, Taylor has been working with compliance experts to develop an easy-to-read document tailored for our industry. Experts from two LA-based companies made significant contributions: Lisa Dinson of Motion Picture Compliance Solutions, Inc. (MPCS), a technology company with special emphasis on DOT compliance, and Leigh Miller of DOT Production Consulting (dotPC), a company that focusses on providing compliance resources for commercial production companies.

The document has five major sections. It describes general rules that need to be considered when complying with DOT rules and regulations. It describes the specific procedures for operating a commercial motor vehicle (10,001 pounds and over). It lists the violations that are grounds for an automatic failure of the DOT and CHP audit regarding DOT and CA numbers. It describes the items required in the vehicle and available for inspection. And, lastly, it defines the often-confusing terms used in DOT and ELD requirements.

PERG got behind development of the document believing it would have value for rental companies as well as production companies. Mark Wofford (PC&E in Atlanta), a PERG council member, explains why PERG felt it was important to develop this document. “The issues our customers face become issues we need to be able to help them solve,” he says. “We rent vehicles for commercial productions and the trucks are typically driven by someone hired by the production company. A lot of our clients come here from California to film a project, and it’s important that we have a clear understanding of compliance issues so that we can better speak to the production staff about their responsibilities.”

While the document was produced in Los Angeles, the rules apply nationally. Derek Hammer runs Hammer Lighting and Grip in Indianapolis and was one of the PERG members who helped vet the document. “These are issues that have begun affecting productions of all sizes in all locales and are not just isolated to the big production cities,” he says. “DOT regulations are federal rules and are enforced by state Motor Carrier Enforcement officers in all 50 states.” Like many grip and lighting rental companies, Hammer runs a fleet of vehicles and is well acquainted with DOT requirements. He acknowledges that understanding what all the regulations mean takes some commitment, but he feels it is essential to a well-run business. “Enforcement is a formidable aspect of this situation, but the insurance and liability concerns may in fact be of greater importance in production. The penalties for non-compliance could be far greater if a driver is involved in an accident that injures another person.”

Lisa Dinson, of MPCS, says compliance is a particularly thorny issue for our industry, and explains why a custom solution makes things a lot easier. “Motor carriers (i.e. studios and independent productions) in the entertainment industry do not conduct typical “over the road” transportation business, yet all state and federal DOT regulations do apply.” She explains it is an inherent “square peg, round hole” problem. “The team of experts at MPCS developed a comprehensive, accessible, and dynamically flexible compliance platform to service the motion picture, commercial, special event and digital media industries.” MPCS assists with various types of services, auditing hours of service, managing driver qualification paperwork and driver records, providing background screenings that verify driver’s previous employment and licensing, conducting drug and alcohol testing and entering drivers into a national industry pool once a clean record is established.

Making a company into a compliant motor carrier can be a long, tedious and confusing process, and may be more than some have bargained for. A company like dotPC takes the job of compliance off the production company’s plate. They sum up their business model this way “dotPC does all the work for you so you can focus on what you do best – filming!” (dotPC website).

dotPC fills out the forms, sends in all the paperwork, and tracks the status of the company’s certifications. Miller explains “dotPC provides trained DOT Coordinators who work alongside production teams and MPCS to ensure driver compliance with each job. Our goal is to educate production companies and crew on the rules and regulations, in and around their already busy schedules.” The coordinator uploads all required paperwork to the MPCS portal, keeps organized files for each job, and alerts production to any potential issues such as Hours of Service. For many productions, this is an ideal solution.

We invite PERG members to download the document and let us know about any questions and challenges that you face in this area.

Download from the Initiatives page of the PERG website.

ICG Supports PERG Theft Prevention Effort

| PERG News: March 2018 |

We urge rental companies to please repost this link to your social media to amplify the message carried in the March 2018 edition of ICG Magazine. The issue features a terrific article about PERG’s efforts to address fraud and theft. The post makes great, community-conscious, content for your Facebook page, and you’ll be doing a good thing for the industry.

The article, by ICG staff writer Pauline Rogers, forwards PERG’s strategy to push back against theft by throwing a wet blanket on the market for stolen equipment. While it is certainly true that a lot of stolen gear leaves the country almost immediately, we have seen many instances where, within days or hours of a theft, the equipment is sold in the U.S., either via online platforms or in person. ICG members and other crew members who are in the market for used equipment need to know that they must check to be sure the equipment is not stolen.

The ICG article points out that crew can use RENTAL GUARD’s SEARCH function to check serial numbers before buying gear. This makes it harder for thieves to sell what they have stolen, it increases the chances they will get caught if they try. It has led to the recovery of equipment, and it puts used equipment owners on notice that if they buy stolen gear, they could lose their investment and potentially be guilty of a crime.

Thanks for helping PERG get the word out!

PERG Wants to Promote Your Company: PERG Members Are All About...

| PERG News: March 2018 |

We need your pictures! PERG’s membership video promotes members directly. The slideshow is titled PERG Members Are All About... It features photos of your great facilities, state of the art equipment, friendly and expert staff. The photos are accompanied by your logo, city, and headed by words that finish the sentence: PERG Members Are All About... such as: user-friendly facilities, professionalism, emerging technologies and workflows, experience, precision diagnostic tools, outstanding facilities, state of the art equipment, inventory and back up, pioneering technology, community outreach, your production, your crew, reliability, testing, unparalleled customer support, and so on. You can see the video at the bottom of the PERG homepage.

PERG displays the video at PERG events, especially ones where rental customers are invited, such as events with AICP members and crew members. We are looking forward to some excellent opportunities to display the video at events this year. The video helps PERG focus attention on the value of professional, full-featured rental houses. It promotes our organization’s roll within the industry, and it is fun—bringing into focus the humanity of PERG companies.

If your company is not currently featured in the video, or would like to update your photos, please contact Harry Box. Your company must, of course, be a PERG member to participate.

Theft Suspicion Vs. Theft Verified

| PERG News: March 2018 |

A recent theft incident prompted PERG to consider the murky question regarding equipment that’s rented and not returned. At what point can a rental company say that a rented item has been stolen? And at what point should it make a report to RENTAL GUARD?

Recently, a rental company had a piece of gear that was overdue to be returned. They feared the worst and posted a report to RENTAL GUARD. Subsequently the insurance company contacted RENTAL GUARD saying that there was no proof yet that the equipment was stolen and asking that the post be taken down. Who was right?

A Missing Equipment Report does not necessarily say the equipment has been stolen. It says that the equipment is missing. If the equipment is overdue, and the production has not contacted the rental company with extenuating circumstances and there are reasons to suspect foul play, it is important to make the report quickly.

Similarly, a Questionable Customer Alert does not say a customer is a thief, instead it provides other member rental companies with specific questionable aspects uncovered in a rental application process and alerts those companies to be sure to do their due diligence if approached. The alerts have proved very effective in helping rental companies avoid losses.

Reporting quickly can be critical. When one company reports equipment missing, the report can prompt other rental companies to call and email from all over the country (and the world) attesting that the same person was associated with a theft or attempted theft at their company, thereby giving law enforcement a clear remit to pursue the matter as a crime. Otherwise police generally view the matter as a contract dispute and do not get involved.

We also encourage rental companies to register for RENTAL GUARD before they experience a theft so that, in the event one happens, there is no delay in getting the report out.

Of course, the same is not true for reporting to the insurance company or to the police. Before the police will come to your location or file a report, they will need evidence that a crime has been committed, such as the customer cancelling their credit card and disconnecting their phone.

Li-ion Battery Shipping Resources

| PERG News: March 2018 |

Two of PERG’s annual sponsors offer professional camera battery products. CORE SWX and Anton Bauer (part of Vitec Videocom) both now offer products designed to help people who are shipping batteries do so safely and in compliance with international regulations.

CORE SWX offers the Fleet Micro battery charger with Safetly mode, which discharges batteries to 30% per for transport by air per regulations.

Anton Bauer offers the LPD Travel Discharger in V-mount or Gold mount. This is a dedicated discharge unit that can discharge four 90-Wh batteries in 3 hours or less. No external power is required for discharging, and the discharger is thermostatically cooled, so it is safe to leave unattended.

Both companies also provide comprehensive information about shipping their products on their websites. Informative links about battery shipping requirements can also be found on PERG’s Initiatives page. Let us know about your questions and challenges with regard to shipping batteries

Let us know if you hear about any battery related incidents!

Tuesday, February 20, 2018

PERG News: February 2018

| PERG News: February 2018 |

Dear PERG Members and Associates,

In this Issue:

Harry Box,

Manager of the ESTA Production Equipment Rental Group (PERG)

PERG Grabs Hot Topic for NAB Panel

| PERG News: February 2018 |

Everything You Ever Wanted to Know
About Online Rental Marketplaces But Were Afraid to Ask

One of the hallmarks of this millennium has been the rise of e-commerce and the impact of disruptive technology on entire industries—Airbnb in the hospitality industry, Amazon in books, music, and . . . well everything else. Technological changes took these industries unprepared and found them flat-footed. Why did it take the taxi cab companies years to devise their own apps in response to Uber? By the time they understood what was happening, the game was over.

Online rental marketplaces are experiencing very rapid growth. ShareGrid reports that its rental marketplace includes over $300 million worth of gear, over 32,000 members, and an average monthly revenue growth rate of 19%. Both ShareGrid and KitSplit are now renting in half a dozen U.S. cities with plans to expand to other cities in the U.S. and Canada. A lot of rental companies are wondering how this will affect professional rental companies, and more importantly, what they should be doing to adapt and market their own strengths.

To help our members stay on top of this, PERG has invited principals from KitSplit and ShareGrid to join a panel discussion at PERG’s General Membership Meeting at NAB on April 10th. The panel will also include principals from rental houses and a veteran production company creative (panelists to be named soon). This is a unique opportunity to learn more about the challenges of online rental platforms and discover possible opportunities that the digital world may bring to our industry.

The mission of online equipment rental marketplaces is straightforward. As KitSplit’s website explains it, “our community marketplace connects creative professionals with owners of top notch equipment, including production companies, individuals, and rental houses.” Appealing to a generation accustomed to conducting their affairs online, their pitch is that they make rental instantaneous, streamlined, enjoyable, easy, and worry free. The complicated hassles of renting are all taken care of—insurance, rental applications, credit checks, contracts, fast direct payment and, if you want, they’ll help you choose equipment. The platform gives equipment owners instant access to thousands of customers, and vice versa.

PERG held separate meetings with KitSplit and ShardGrid in October of 2017. The meetings were initially to discuss industry theft. What we learned tested some of our assumptions. For example, both companies explained their automated customer vetting capabilities that include a combination of two-step phone verification, bank-level security questions, State ID or passport verification, verified credit card, as well as manual verification if needed. Both companies boast proprietary algorithms for assessing user behavior that they say gives them a unique edge and has detected fraudsters who later stole equipment outside their membership community. Like Airbnb and Uber, they also use an owner/renter mutual rating system that incentivizes desirable behavior and makes shortcomings public information.

As internet startups, these companies are nimble and ever-adapting. They have refined analytics to help them make business decisions. What lessons can traditional rental houses glean from their business model? Is this a viable way to market rental company assets, equipment, check-out space, and services?

PERG looks forward to hosting the panel on April 10th and helping focus industry attention on these challenges. If you plan to be in Las Vegas, we hope you will join us and take part.

RSVP for PERG's General Membership Meeting at NAB 2018

| PERG News: February 2018 |

RSVP here. Each year PERG brings together rental companies from across the country and around the world to network, enjoy refreshments and discuss the issues that face the industry. Members and non-members are invited.

Tuesday, April 10th, 4-7pm

Embassy Suites Hotel (3600 Paradise Road, Las Vegas, NV)

Other Upcoming PERG Events (for your calendar):

AICP/PERG Co-host the pre-Cinco de Mayo Party – April 26th (members only)
PERG’s Rental House Breakfast at Cine Gear Expo – June 2nd

PERG Reaches out to Canadian Rental Companies: Fujinon Hosts Rental House Get Together

| PERG News: February 2018 |

We are an international trade association. That was our message to rental companies during an informal get-together at Kelsey’s Original Roadhouse in Toronto on January 24th. Rental companies share similar challenges. Membership in ESTA/PERG is an opportunity for industry partnership with other thought leaders. There is value for Canadian companies in being a part of it, and there is value for PERG in having the weight of these important companies at the table.

The get-together was sponsored by Fujifilm/Fujinon and arranged by PERG Council member Stosh Durbacz (Fujifilm) and myself. During my time in Toronto we were able to visit seven rental companies and we were given a gracious reception at every stop. We were able to sit down with the principals from each company and compare notes on a range of challenges and opportunities from theft and fraud, to possible industry events. It was a real pleasure to see the facilities—from the chic rustic oak check-out bay benches at 2D House, to the spotless and efficient setup at Dazmo, to the expansive William F. White Centre with its visionary new camera prep area. Paul Mason (Panavision), Stewart Aziz (Keslow), and John DeBoer (SIM) each generously shared their time. The companies, which are all current PERG members, were able to give us their perspective on future PERG initiatives currently under discussion by the PERG Council. While there were perhaps a few small distinctions to be found, on the whole Canadian companies share the same challenges as PERG members south of their border.

With about 30 shows currently shooting in Toronto, and the next installment of Star Trek gearing up to shoot at Pinewood Toronto Studios, the town’s rental companies seem busy and healthy. While it is yet to be seen how the Canadian companies will choose to engage with our association, PERG is glad to have taken this first step of knocking on their doors and extending a handshake.

What Gives? $25 for NAB Meeting?

| PERG News: February 2018 |

When you RSVP’d for the NAB Meeting (you did RSVP, right?) you will have noticed PERG is asking attendees to make a minimum suggested donation of $25. The NAB event itself is funded by the generosity of our sponsors, so what’s the 25 bucks for? The donations go to fund an important upgrade to RENTAL GUARD, which launched in November of 2017.

In order to pay for the upgrade, PERG launched a GoFundMe campaign at last year’s NAB meeting. So far only 18 companies and individuals have given, many of them very generously, but this has raised just $8,700 of our $35,000 goal. The beauty of a grassroots fundraising effort is that it does not take huge contributions to achieve the goal. If everyone who has benefitted from RENTAL GUARD chipped in $100 we would meet our goal.

RENTAL GUARD has achieved impossible things for the rental industry. It has aided in the recovery of millions of dollars of equipment. It has helped companies avoid losses via fraud. Law enforcement is engaged as they have never been before. RENTAL GUARD has provided our industry hard data on how thefts are occurring and helped us strengthen our defenses.

Why do we have to bother you? Why don’t we just ask someone with deep pockets? Others have already given generously to RENTAL GUARD or other PERG activities. For example, the development of RENTAL GUARD and the annual maintenance fees for RENTAL GUARD are paid jointly by five sponsoring insurance companies: Allianz, Chubb, Hiscox, One Beacon and ProSight. PERG’s annual 2018 events are covered by generous sponsorship from Allianz, ARRI, Core, Panasonic, Panavision, Taylor & Taylor Associates, and Vitec Videocom and that’s not to mention the many companies who have sponsored our individual events or picked up the tab for a mixer—as Fujinon just did for PERG rental house get-together in Toronto.

PERG is lucky to have tremendous support every year from all parts of the industry. We raise a significant amount of money each year, and we spend the entire amount—and more—on events and activities that directly benefit our members.

No, sadly the $25 is not for me to take my wife to visit the castles of Europe or to fly a private jet down to inspect the gold at Fort Knox. It is just a way to fund PERG’s fraud and theft prevention program in the most painless way we could think of.

Please help us fight fraud and theft and make the industry a better place!

We hope to see you at our NAB meeting. Click here to register.

If you can’t join us, please support RENTAL GUARD by contributing to the GoFundMe campaign.

The Watch List: A New Feature on RENTAL GUARD

| PERG News: February 2018 |

We encourage all members to take advantage of this new feature, now available on RENTAL GUARD.

The Watch List consists of more than 80 names provided to Rental Guard in either a Missing Equipment Report (where the customer did not return the equipment), or a Questionable Customer Alert, or by law enforcement. The list is downloadable in a variety of file formats for easy integration. The list contains live links to the original report.

Users should keep in mind that names in the Watch List may be fictitious or assumed or may be the actual names of real individuals not connected in any way with the rental incident, including individuals whose identities may have been stolen.

Tuesday, December 12, 2017

PERG News: December 2017

| PERG News: December 2017 |

Dear PERG Members and Associates,

We hope that 2017 was a good year for you. It was a great year for PERG. This year we saw record attendance at PERG’s four annual events: NAB, Cine Gear and our AICP/PERG co-hosted events in LA and New York. This year we launched RENTAL GUARD v2.0, a major upgrade to ESTA’s fraud and theft prevention program. The PERG Council also continued work on other industry-wide issues of concern to our membership.

In this issue:

On behalf of myself and the rest of the ESTA staff, we wish everyone a very happy holiday!

Harry Box,
Manager of the ESTA Production Equipment Rental Group (PERG)

Rental Guard Upgrade Launched

| PERG News: December 2017 |

In November 2017, ESTA launched RENTAL GUARD version 2.0, making improvements throughout the system. Most new features are a benefit to members even when they have not experienced a theft:

The system now automatically captures the names of individuals associated with attempted or actual fraud and theft. The names are gathered from Missing Equipment Reports and Questionable Customer Alerts and supplied directly by law enforcement.
The resulting Watch List is downloadable, so it can be used as an additional resource for vetting new customers.
Users can now search on any field in the Missing Equipment database and can download the results.
The system has a more organized method for capturing details about theft incidents so RENTAL GUARD subscribers can have better information to assess their physical security and improve their procedures.
Improvements on the administrative side enable ESTA staff to quickly respond to requests from law enforcement by generating a report related to a specific city, region, mode of theft, or other parameter.
In response to requests from the live entertainment side of the industry, the upgrade includes equipment categories for live entertainment including performance lighting, consoles, A/V equipment, and rigging; in addition to the camera, lighting and grip equipment and other categories that have always been part of the system.
To ensure that subscribers receive alerts in their area of interest—and minimize alerts not related to them—users can select the market (“film” or “live event”), region, equipment category, and dollar value threshold for the alerts they want to receive.

If you are already subscribed, be sure to log-in to your account to update your preferences.