CITY OF GOLD BAR ONGOING LEGAL CONCERNS….

Below is an email exchange between Loretta Storm and Gold Bar Mayor Crystal Hill (2/23/06) re that city’s ongoing legal issues/concerns.  See pdf file of letters from AWC regarding this issue on www.ittakesgrit.org.

From: Loretta Storm <lorettastorm@direcway.com>
To: Hill Crystal <Hillcrystald@aol.com>
Sent: Thu, 23 Feb 2006 04:24:26 -0800
Subject: Can you confirm -- ?

Dear Crystal: 

I heard yesterday (from a reliable source) that the GB City attorney has decided not to represent the city any longer. Also, that a representative from AWC was present during the meeting and stated that they will be dropping GB's insurance coverage, due to increased and potential legal liabilities. If this is true, did either person/entity give any specific reasons or cause(s) for these actions? 

Thank you, 
Loretta Storm

Date: Thu, 23 Feb 2006 12:47:53 -0500
From: hillcrystald@aol.com
Subject: Re: Can you confirm -- ?
To: lorettastorm@direcway.com

Dear Loretta:

To answer your first question, Gold Bar's attorney has elected to terminate their representation of Gold Bar.  Per their contract, they will continue to act as our legal counsel for the next 90 days until such time as we can find substitute counsel.  This is undeniably going to be difficult as most law firms who practice this area of law have reputations to uphold, and Gold Bar has made a notorious presence for itself in the legal community.  Further, our hourly rate of $100 which we have enjoyed will most likely be doubled.

With respect to the AWC, there was not a representative at the meeting.  In fact, they declined my request to have someone present to discuss the letter we received regarding the council's actions which have placed the city in legal liability, and specifically authorized me to read the confidential letters in the public meeting so that there was no spin-doctoring [emphasis provided by L. Storm] from any council members as to the content and meaning of the AWC's warnings.

The AWC has not officially said that they intend to remove us from the insurance pool [emphasis provided by L. Storm], but they have expressed extreme displeasure and concern and further told me that Gold Bar is specifically up for review by the pool in March for high risk concerns.

Because of these two issues occurring at the same time, liability and risk to the city has increased exponentially.  I'm working very hard to try and secure alternate legal counsel and work with the AWC to try and preserve our place in the insurance pool, but things may have progressed beyond the damage control I or the staff can do.  We will keep working diligently to salvage this situation for the city and the citizens.

Mayor Crystal Hill