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MEDLIN Johnny R <br /> From: LIDZ Jerome <br /> Sent: Tuesday, October 02, 2001 2:34 PM <br /> To: MEDLIN Johnny R <br /> Cc: RHAY Tim W; WEISS Carolyn J <br /> Subject: Emerald Valley BMX <br /> Johnny, <br /> You asked for a list of questions that you could use to start a discussion with Scott Snook about Emerald <br /> Valley BMX and its lease for a portion of Alton Baker Park. It seems to me that the two general topics are <br /> (1) the status of EVBMX as a non - profit and Snook's relationship with it and (2) specific issues reagrding <br /> compliance with the lease, the most important of which is the liability insurance. I assume that Mr. Snook <br /> will understand that, in light of the recent complaints, it is in his and EVBMX's interest to be able to <br /> demonstrate compliance. 7S Oot <br /> Questions: ac . 2- 7 5 <br /> /7 What is the current status of EVBMX as n entity? Who are the current Board members? When did the <br /> 4 m b <br /> Board last meet? Q Z 0 o <br /> 2. Is EVBMX in good standing as an Oregon nonprofit corporation? (My research suggests not.) Can he <br /> provide you with documentation from the Secretary of State's Office ?. <br /> 3. What is his relationship to EVBMX? (I assume he'll show you the management contract.) What role <br /> does the management contract leave for the EVBMX Board? <br /> Assuming the answer is essentially "not much ", why shouldn't we regard that as <br /> an assignment of the lease? (At this point, I don't think it is necessary to <br /> decide whether or not there has been a formal assignment. Unless you want to <br /> rock the boat, it is simpler for everyone if we take the management contract <br /> at face value. The continued existence of EVBMX and its Board would <br /> re- inforce that approach; if EVBMX has no Board members and no legal status, <br /> t hen it's harder to do that.) <br /> (/ 4. Does EVBMX have liability insurance of $1 million in place that names the City as an additional <br /> insured? (Lease, section 9). We need to see a certificate of insurance that shows the amount and coverage <br /> of the City. If they don't have that, I'd insist that they get it right away. <br /> 5. What about unpaid rent? It's only $1.00 a year (section 3), but not paying it exposes EVBMX to <br /> criticism from its opponents. <br /> 6. Has he or EVBMX mortgaged the leasehold interest or otherwise encumbered it? (See section 8). <br /> 7. Is EVBMX in good standing with the American Bicylcle Association? (section 4.1). Does he have <br /> something to show that? <br /> I think that covers it pretty well. To me, the insurance is the most important thing as far as protecting the <br /> City from liability. But making sure he has read the lease and intends to comply with it should help to <br /> protect him and us from his opponents. And making sure EVBMX continues to exist as a non - profot <br /> corporation in good standing will help, too. <br /> Please let me know if you'd like to discuss this further. Thanks much. <br /> Jerome Lidz <br /> Harrang Long Gary Rudnick P.C. <br /> (541) 485 -0220 <br /> i erom e. s .1 i dza,h arrang. com <br /> THIS MESSAGE IS A CONFIDENTIAL COMMUNICATION UNDER THE ATTORNEY- CLIENT OR <br /> ATTORNEY WORK PRODUCT PRIVILEGE. <br />