Wednesday, January 21, 2009

3 Directors hire law firm at LPCA expense

Dear LPCA Members,

This is an unfortunate e-mail for us to have to write. It has come to our attention that 3 members of the LPCA Board of Directors - acting without Board approval or even Board awareness - hired a law firm in the name of the LPCA on Dec. 29, 2008.

That law firm has so far billed the LPCA $2,190 for legal work it performed in the last three days of December, 2008. We have no idea how much more in legal fees the 3 directors have run up on the LPCA's account in the first 20 days of January.

Accordingly to e-mails dated Dec. 29th sent by the 3 directors and obtained by LPCA Renaissance, the 3 directors engaged this law firm for two purposes: (1) to explore means of preventing or delaying a member-requested special meeting of LPCA members at which governance reforms would be considered (including adoption of director term limits); and (2) to explore lawful means of taking action against director Craig Powell for his role in "organizing the petitioners" who sought to convene a members' meeting.

These e-mails and the law firm's invoice were discovered during our review of several boxes of LPCA records this past Sunday. LPCA bylaws require that all contracts be approved in advance by the Board (sections 8.5(d) and 10.2). The $2,190 in legal charges incurred so far amounts to over 7 percent of the LPCA's total funds. It is also equivalent to the annual dues paid by 146 LPCA members, over one-half of the LPCA's current membership. It represents around 1/3 of the net funds that the LPCA raised from this year's "Taste of Land Park" event, the LPCA's only fundraising event, which dozens of LPCA volunteers worked very hard to put on.

It is apparent that the ruling clique of the LPCA has become so habituated to thinking of themselves as alter egos of the LPCA that they now consider the LPCA bank account to be their own personal slush fund, to tap as they and they alone see fit to finance their efforts to maintain control over the LPCA and to fend off efforts by LPCA members to openly debate and vote on governance reforms. This is both wrong and unlawful.

As LPCA directors, we felt compelled to inform the full membership of this misuse of LPCA funds. The Board has shown no interest in correcting this problem or stopping further misuse of funds. The responsibility for correcting it now lies with the membership. The misconduct of these directors in wasting significant LPCA funds to preserve their own power over the LPCA makes member approval of the governance reforms we have proposed all the more imperative.

An LPCA "Community Forum" is set for tomorrow evening, Wednesday, January 21st at 7:00 p.m. at the Eskaton Monroe Lodge, 3225 Freeport Blvd. If you would like your views on this matter to be heard, please attend tomorrow night's LPCA forum.

Reminder: (1) LPCA Renaissance's "Townhall" Meeting - 6:30 p.m., Wednesday, Feb. 4th at Eskaton Monroe Lodge - come and informally discuss the reform proposals and their likely impact; and
(2) the Special Meeting of LPCA Membership - 6:30 p.m., Wednesday, Feb. 11th at Eskaton Monroe Lodge - join the debate and vote on the reform proposals.

For the latest updates, check LPCA Renaissance's blog at: LPCA Renaissance or e-mail us at LPCARenaissance@gmail.com. You can also call us at the numbers listed below.

Thank you for your time and continued support of the LPCA.

Craig K. Powell, LPCA Director and Chair,Parks Committee
Phone: 456-9839

Terry Grimes, LPCA Director and Chair,Commercial Revitalization Committee
Phone: 447-0758