FIX HARDROCK NOW
Sunday, December 11, 2016
Saturday, November 5, 2016
December 12, 2016
UPDATE
As a result of our efforts, the Hardrock 100 has eliminated the $10 non-refundable fee they charged for a shot at entry, and, for the first time ever, added the fact they make secret picks every year to their rules page. We believe this is a good start, however, their rule page still only says, "“In addition to those selected via the lottery, Hardrock may also select up to 5 runners for entry.”
This is an incorrect statement of the rules because these secret picks are not selected in addition to those selected in the lottery, but they are selected during the lottery and then passed off as actual picks by live-tweeting the name and a photo of the ticket.
Hardrock 100 attorney Fred Abramowitz claims, "other than the five selections, the lottery was conducted exactly as stated on the website," but we are not so sure.
This year, in response to our allegations of impropriety, the Hardrock 100 had two observers at the privately held lottery and have cited these observers' detailed write-ups of the process as evidence that the lottery was fair. However neither "observer" wrote about the part (which the Hardrock 100 has privately admitted to) where Race Director Dale Garland inserts fake picks into the lottery and then live tweets them as though actually drawn.
Please read below for a fuller explanation.
December 5, 2016
The Hardrock 100 is a public race on public land, and is the most popular 100 mile race in the United States. When they applied for their permit, the Hardrock 100 stated,
“The objective of the proposal is to allow the public to participate in a high elevation, ultra trail run in a safe and environmentally responsible manner…The event would permit the fast-growing community of recreational ultra-endurance runners to participate…on one of the most unique and challenging courses in the world…those who complete this unique and difficult course consider it one of lifetime’s great achievements.”
Due to the overwhelming demand to enter this race the Hardrock 100 has developed a lottery system. However, the lottery is illegal, unfair, and is held in secret. In addition, we have discovered that the Hardrock 100 has been pretending to draw names during the lottery, and then passing them off as genuine picks.
In addition to inserting fake picks, the Hardrock 100, in what is supposed to be a public race, has made up rules which provide that people who have been “lucky” in the lottery, whether as a result of actual or fake picks, have a greatly increased chance of getting in again in the future. Out of 145 available spots, only 42 are allotted to the public. Almost 70% of the spots are doled out based on the Race Directors’ discretionary rules and are given out to a group of about 250 people who have already run the race before, some of them 10 and 20 times. Since this group is overwhelmingly comprised of males, this rule also discriminates against females. Since the lottery is held in secret and they have developed a complicated maneuver to conceal their fake picks, there is no way to know if the Hardrock 100 is only pretending to pick 5 names every year or many more.
This
year over 1700 members of the public who have never run the race competed for
only 42 spots. To earn the right to
compete for a miniscule chance in the lottery, these 1700 people had to
complete a separate, very difficult 100 mile race and pay non-refundable fees
totaling over $17,000. These runners have
spent years of their lives trying to qualify and stay qualified for the
Hardrock lottery, and with all the
blood, sweat and tears expended, it is inexcusable for the Hardrock 100 to act
with less than the utmost integrity.
Demonstrating
a consistent pattern of dissembling, the Hardrock 100 has also claimed, several
times, that their lottery is in absolute compliance with all state and federal laws. This is false, they are in violation of numerous
federal laws and the laws of New Mexico and Colorado.
Despite
numerous claims to the contrary, the Hardrock 100 has also, on at least one
occasion, allowed favored runners to enter the race without running a valid
qualifier.
We
have tried to work with the Hardrock 100 in private to reform the current
system, but they have refused to work with us. They have responded with little more than bluff and bluster, demonstrated a pattern of dissembling and confabulation, and announced that they stand ready to litigate the issue.
We simply ask that the Hardrock 100 obey the law and adopt the rules of the Western States 100, which require a public drawing, and allow the Race Directors to pick 20% of the field on a discretionary, but fully disclosed basis.
We simply ask that the Hardrock 100 obey the law and adopt the rules of the Western States 100, which require a public drawing, and allow the Race Directors to pick 20% of the field on a discretionary, but fully disclosed basis.
Please
read the correspondence below for a more complete explanation, and then answer
the two ANONYMOUS poll questions in the right sidebar.
Thank
you! Also, please share on social media!
P.S.
If you are aware of, or simply suspect any other acts of favoritism or wrongdoing
by the Hardrock 100, or if you are one of the thousands of aggrieved lottery
entrants and would like to discuss other remedies, please contact us by email at waaron1@yahoo.com
Include “hardrock”
in the header and briefly detail which years you were denied entry and the
effort you put into qualifying. All
responses will be kept confidential.
Aaron
Denberg
04
Canyon Ranch Rd.Big Horn, WY
82833
Colorado Attorney Registration # 34327
======================================
We are writing to inform you of numerous legal violations committed by the Hardrock 100, a nonprofit incorporated in Colorado which holds an illegal lottery in New Mexico. The Hardrock 100 is the preeminent 100 mile run in the United States and is run mostly on Federal land in southwest Colorado. Thousands of people spend years of their lives trying to qualify for this race, and because so many people want to get into this race, the Hardrock 100 has developed a raffle system. Unfortunately, they have always held this raffle in secret and the results have always brought complaints of favoritism. The only response from the Hardrock 100 has been assertions of transparency and honesty. However, in January of 2016, they privately admitted that they have been making fake picks during the raffle and “live-tweeting” these fake picks along with pictures of the tickets which were never actually drawn.
This year, 1700 entrants who have never had a chance to run this race were vying for only 42 spots, and each one of these applicants had to complete a different, predetermined 100 mile run along with paying non-refundable fees totaling over $17,000. Meanwhile, a smaller pool of about 250 people, all of whom had run the race before, many from 5 to 20 times, were given 100 spots. Among the other violations listed below, the Hardrock 100 has been pretending to pick names during their raffle. This amounts to at least 75 fake picks in the last 15 years, however given their pattern of dissembling, it is probable they have fake-picked many times that number. They have also developed a rule system which provides that the “luckier” one gets in the raffle, the greater their chances of winning in the future. This has resulted in a situation where a small group of runners are almost guaranteed entry into the race for their 6th to 20th time, while the vast majority of the applicants have a miniscule chance of getting in.
When we first raised the issue of these fake picks on the Hardrock 100 Yahoo User Group, Hardrock 100 Board President Kris Kern responded,
“Our
permit is granted by the BLM with review from (I think) 7 jurisdictions. Never
in those reviews have there been any questions about our conduct of the event,
and yes they look very carefully.”
It
is unlikely that these 7 jurisdictions would approve the fraud and
misrepresentation inherent in making and concealing these fake picks, and it is
far more likely that the Hardrock 100 did not disclose these fake picks during the permitting process. We have made a FOIA request to discover
exactly what, if anything, the Hardrock 100 told these agencies about the fake
picks they were making.
There
are numerous other legal violations listed below and we think this problem can
be resolved if the Hardrock 100 will agree to immediately abandon their current
fraudulent system and adopt the entry procedures of the Western States 100, the
oldest 100 mile run in the United States.
Unlike the Hardrock 100, the Western States 100 has a fully open and
transparent lottery, they hold their drawing in public and they detail exactly
how they alot their discretionary picks.
Like Western States 100, the Hardrock 100 should have 20% of their picks
be discretionary and be allowed to use these picks however they want, on elite
runners, friends and family, industry insiders, sponsors, people who spend a
lot of money in Silverton, or investment bankers who can help turn Silverton
into Telluride, but they should not be allowed to keep their picks secret.
The
Hardrock 100 has violated the law and their Special Use Permit in at least the
following respects:
1. The Hardrock 100 has committed numerous acts of
fraud and misrepresentation in connection with their raffle.
2. The Hardrock 100 raffle is illegal under
federal law and the laws of New Mexico and Colorado.
3. The Hardrock 100 has breached their contract
with thousands of prospective entrants by not following their own printed
rules, and omitting material facts from their website.
4. The Hardrock 100's misrepresentations about
the conduct of the raffle violate the Deceptive and Unfair Trade Practices Act.
5. The Hardrock 100 has wrongfully deprived
qualified runners of an entry by violating their own rules and allowing a Race
Director’s son to run the race, even though he was not properly qualified.
6. The Hardrock 100 has engaged in illegal,
unpermitted, reckless, dangerous and destructive "trail work."
7. The Hardrock 100’s Entry Selection Procedures
violate Equal Protection Laws.
8. The Hardrock 100 has still not released their
2015 tax returns to us, despite several requests.
1.
Hardrock 100 has
committed numerous acts of fraud and misrepresentation in connection with this
raffle.
In
private emails with race director Blake Wood, we discovered in January of 2016
that every year during their raffle, the Hardrock 100 pretends to draw names
they didn't actually draw. Then, to demonstrate
their transparency and honesty, they "live-tweet" the names of these
fake picks and also tweet pictures of the tickets they didn’t actually draw. This is fraud under federal law (18 US Code
1001), the laws of Colorado (CO Stat. 18-5-301) and New Mexico(NM Stat.
30-16-6).
This
has never before been publicly revealed, but in Race Director Blake Wood’s own
words,
“He
[Dale Garland] decides when he is going to use one of his picks, and when we
get to that point his pick is inserted…We
also tweet them out… At the end of the drawing we dig out an actual ticket for
the runner[s] he picked and we put a placeholder on the poster board… we post
photos of the poster boards on our website after the drawing.”
When we raised the issue of these fake picks on a public forum (Yahoo User Group for Hardrock 100) Hardrock Board President Kris Kern asserted,
"The
Board has discussed this at various times over the years, so it’s not a secret."
Obviously, the Board discussing these fake picks in private is not evidence that they were not secret. These fake picks never appeared on the Hardrock 100's webpage before January of this year (after we raised the issue in a public forum), they have never been calculated into the odds of winning before this year, nor have they ever been disclosed on the Hardrock 100's rules of the lottery page. Moreover, when Hardrock 100 finally disclosed these secret picks on their webpage this year, they continued their pattern of dissembling by simply stating,
“In
addition to those selected via the lottery, Hardrock may also select up to 5
runners for entry.”
These
fake picks are not selected in addition
to the lottery, they are selected during
the lottery and, in a relatively complicated maneuver, passed off as actual
picks.
Further, when we asked Blake Wood why the Hardrock will not hold the lottery in public as it would assure transparency and put an end to the yearly complaints of favoritism, he contradicted the Hardrock 100 President's assertion that these fake picks were "not a secret," replying,
Further, when we asked Blake Wood why the Hardrock will not hold the lottery in public as it would assure transparency and put an end to the yearly complaints of favoritism, he contradicted the Hardrock 100 President's assertion that these fake picks were "not a secret," replying,
"Short
of inviting the general public into my living room, this is about as public as we
can get...As I previously mentioned, we DO have a live tweet feed. Having a live
audio, video, or entirely public lottery would not work with our desire to keep
"Dale's Picks" confidential."
It is
disingenuous for the Hardrock 100 to assert that “live-tweeting” names and
pictures of the drawn tickets is a guarantee of transparency when they are
actually using these live-tweets to conceal the fake picks.
2.
The raffle is illegal under federal law and the
laws of both New Mexico and Colorado.
The Hardrock 100 conducts the illegal raffle every year in Blake Wood's living room in Los Alamos New Mexico. The Hardrock 100 is not a 'qualified organization' under NM l60-2F-4, they do not conduct the raffle in public as required under New Mexico law, nor do they spend any of the proceeds in New Mexico, but spend them all in Colorado. In addition, the Hardrock 100 is in violation of various reporting and registration requirements of the state of New Mexico.
The Hardrock 100 raffle is illegal under Colorado law because the Hardrock 100 has not been a qualified organization for 5 years, it is violating C.R.S. 6-16-111, 12-9-102.3, C.R.S. §12-9-102(19.3), 8 CCR 1505-9 10.2, CRS 6-16-104(9), 6-16-104, 6-16-111, and 7-128-401, just to name a few, Addtionally, the Hardrock 100 is violating various reporting and registration requirements of the state of Colorado.
In what has become a pattern in our dealings with the Hardrock 100, they have taken great pains to cover up the fact they have been running an illegal raffle. When I first suggested they were not in compliance with the law, on the Yahoo Hardrock 100 User Group, Hardrock 100 Board President Kris Kern wrote,
“Just
to make it clear: The HRH Board had the lottery process reviewed by our legal
council. They assured us that it is legal under CO law.”
But,
when I asked for their raffle license, the Hardrock 100 lawyered up and their
attorney, Fred Abromovitz, informed me that,
"the
lottery established by Hardrock is not in violation of Colorado gaming or any
other state or federal laws."
Abromivitz
also suggested that we had somehow committed an ethical violation by “threatening
to take this up with the relevant governmental agencies,” informed us that we
were no longer allowed to contact the Race Directors of the Hardrock 100, and
in response to our legally authorized request for their tax returns and raffle
license, replied,
"Hardrock is under no obligation to provide them to you and at my recommendation will
decline to do so."
We
continued to question Abromivitz, and despite his earlier assurances that the
Hardrock 100 was in complete compliance with the raffle laws, on January 28,
2016, he finally admitted that the Hardrock 100 did not in fact have a raffle
license,
"Hardrock
takes the position that it is not a “raffle” in that no “prize" is offered
and thus they don’t need a license. Entry into the race has no intrinsic value,
cannot be bought or sold, and merely entitles the person to enter the race. Is
this a settled question? No. You want to
challenge it in a court of law? Have at it. You win, they’ll get rid of the
fee, and you’ll be taking money from their charities.”
Anticipating this argument, we had previously asked Mr. Dominic Lieurence, Acting Executive Director of the New Mexico Gaming Authority, and Lawrence Runn, Nonprofits Lead Investigator for the Colorado Department of State, whether or not a hypothetical race like the Hardrock 100’s would have to have a raffle license, and both agencies expressed the opinion that a under New Mexico and Colorado law, not only would a lottery like the Hardrock’s have to apply for a raffle license, both states expressed the opinion that a lottery like the Hardrock’s would be illegal.
We explicitly told the Hardrock that both New Mexico and Colorado considered their raffle to be illegal, and provided names so they could check, but they held the raffle anyway!
3.
Hardrock 100 has breached their contract with
thousands of people in the conduct of this raffle.
Thousands of people have spent years trying to qualify and stay qualified to enter the Hardrock 100. These people justifiably relied on Hardrock 100’s numerous assertions of honesty and integrity, their printed rules, their published odds of winning, and their elaborate algorithm, and believed that the Hardrock 100 would actually operate with integrity and follow the rules. These people ran a qualifier and paid non-refundable fees, totaling near $20,000 this year. Along with inserting fake picks into the lottery, the Hardrock 100 has misrepresented and omitted material facts in their rules and this has caused significant damage.
4.
The Hardrock 100's misrepresentations about
the conduct of the raffle is a violation of the Deceptive and Unfair Trade
Practices Act.
Unfair and deceptive trade practices are,"activity by an individual or business that is meant to mislead or lure the public into purchasing a product or service, e.g., false advertising."
The Hardrock 100’s webpage misrepresents and omits many important facts, and at the same time touts the "honesty, integrity and professionalism of our management.” There is an extensive explanation of the rules of the lottery and an elaborate algorithm has been developed, all of which constitute false advertising as they are designed to convince people of the integrity of a lottery which has always been run in a fraudulent fashion. A lottery which brought in $20,000 in non-refundable fees this year.
5.
The Hardrock 100 has ignored their own rules
to allow a race director's son into the race even though he was not properly
qualified.
In December of 2015, on the Hardrock 100 User Group, in response to my accusation that the Hardrock 100 was breaking their own rules to favor their friends and family. Race Director Blake Wood demonstrated the Hardrock 100’s pattern of dissembling when he wrote,
"You
also suggested in another posting that we let runners in without qualifiers. This
is not true - we check that every applicant has a valid qualifier.... In short,
we invest enormous time and effort into ensuring our lottery is fair, accurate,
transparent, non-corrupt, and auditable. I think your insinuation that we
dishonestly rig things to favor our friends is unfair and indefensible.”
However, shortly after this, researching along the obvious lines of nepotism, we discoverd that the Hardrock 100 actually does “dishonestly rig things to favor their friends and family.” For example, in 2007 a race director's son was let into the race even though he didn't properly qualify. Not only did this deprive a properly qualified runner of their fair shot at the race, the unqualified runner dropped out after about 5 miles.
It took us three tries to get the Hardrock 100 to admit that it violated the rules to let a Race Director's son into the race. Race Director Dale Garland first told us a story about how this favored person had gained entry into the race,
“There
were years when spots outnumbered applicants and we had a process which asked
those who wanted to run Hardrock who hadn't run a qualifier to document any
equivalent mountain experience(s) that they had that would prepare them for
Hardrock…if memory serves that's what [RD’s son] used to gain entry.”
This story was incorrect. There has been a waitlist for the Hardrock 100 every year since at least 2000, and Dale Garland, who knows everything about the race, should know this very well. Additionally, there were 200 people on the wait list that year, all of whom deserved to run before the unqualified Race Director’s son, and we are aware of at least one runner who was on the wait list that year and in Silverton ready to run.
In
response to this story, we replied,
“thanks
for your reply dale. I have checked, and
it looks like there were at least 200 applicants for the 2007 running. would you mind double checking jimmy
wrublik's qualifier?”
Dale
Responded,
“I'm
having Blake check his historical data for the answer to your question. What
source of information are you consulting for your information? (that may make
it easier for Blake).”
And
then Blake Wood responded,
“I
checked on UltraSignup and see that
Jimmy ran HURT in 2005, 2006, and 2007 - any of them would have been a valid
qualifier for 2007.”
We
pointed out that this too was incorrect since running 100k is not a proper
qualifier,
“Dale,
please try again. Wrublik only ran the
100k versions of hurt in 2005, and 2006 and 2007 hurt was not a valid qualifier
for 2007 hr.”
Blake Wood responded,
Although
our list of qualifiers specified that they be finished in 2005 and 2006 for the
2007 Hardrock, we also counted the HURT 100 mile in 2007, since it was run in
January, before our lottery at the beginning of February. The point of qualifiers is to ensure a runner
is ready for Hardrock, etc., etc... Aaron is right though about HURT in 2005
and 2006 - Jimmy did the 100k in those years, not the 100 mile, according to
UltraSignup.”
Hurt 2007 was NOT a valid qualifier for the 2007 Hardrock, and no other runner was given an opportunity to use that race as a qualifier that year. It took several days and a lot of effort to get the Hardrock 100 to admit to this violation of the rules.
6.
The Hardrock 100 has engaged in illegal,
unpermitted, reckless, dangerous and destructive "trail work."
Based on results of FOIA requests, we believe the Hardrock 100 has violated its Special Use Permit several times by doing illegal, unpermitted, destructive and dangerous trail work. The most egregious example of this occurred in the Norwood Ranger District in the first week of July, 2011. About 25-30 people met in Telluride Town Park where Race Director Rick Denesik brought tools for everyone to use. Race Director Rick Trujillo, who was trying to find a way from the Bear Creek drainage into the Bridal Veil drainage to avoid the 'armed guard' and closure of the upper Bear Creek Trail, led the work party.
Work began at a large talus field (probably a dangerous rock glacier) which stretched from the base of the upper cliffs all the way down to the Bear Creek drainage. The trail across the talus field had been covered by rock fall as the talus field is very unstable.
At first, people carefully moved rocks, but inevitably someone slipped and a rock went bounding down the talus field. Eventually, after no screams were heard from below, 25 people were enthusiastically “trundling” (heaving rocks off the slope and watching them careen down). Very predictably with this amount of trundling, the slope gave way and several small rock falls let loose, releasing thousands of small to medium sized rocks over a period of about 15-30 seconds. Amazingly, as often happens in the mountains, nobody was hurt, but the results could very easily have been much worse, and the trail work party descended immediately after this rockfall. The Forest Service would never have given permission for a bunch of untrained yahoos to go trundling on an unstable slope or fail to check the runout zone.
In 2013, the Hardrock 100 sanctimoniously and hypocritically removed Leadville 100 from its list of qualifying runs because,
"the 2013 Leadville 100 ignored other traits of
importance to the HR: environmental responsibility, support of the hosting
community, and having a positive impact on the health of our sport."
It
is unfair for the Leadville 100 to be removed as a qualifier for lack of
environmental responsibility when the Hardrock 100's lack of environmental
responsibility is so much more flagrant.
7.
The Hardrock 100’s
Entry Selection Procedures violate Equal Protection Laws.
The
Environmental Assessment prepared by the Hardrock 100 for the Tres Rios BLM states
that trail runners are a fast growing group and that,
“The objective of the proposal is to allow the PUBLIC [emphasis
supplied] to participate in a high
elevation, ultra trail run in a safe and environmentally responsible manner…The
event would permit the fast-growing community of recreational ultra-endurance
runners to participate…on one of the most unique and challenging courses in the
world…those who complete this unique and difficult course consider it one of
lifetime’s great achievements.”
The current Entry Selection Procedures heavily favor those who have already run this race and deny an equal chance at entry to thousands of equally qualified runners. As “one of the most unique and challenging courses in the world, one of lifetime’s great achievements,” and the only opportunity for a “safe and environmentally responsible” race, all qualified applicants should be given an equal chance to enter. However, under the current rules, a small group of about 40 people who have run the race 5 to 20 times are virtually guaranteed an entry, and another 200 or so people who have already run the race from 1 to 4 times have a greatly increased chance of getting in. Meanwhile, thousands of people who have put years into qualifying have only a fractional chance of getting in.
Additionally, the qualifying rules are
unintelligible. For many years, simply starting the Hardrock 100 within the
last 5 years was considered to be a valid qualifier. Under this rule, about 5 or 6 runners who
came to Silverton early every year and appeared to spend a bunch of money
there, were able to accumulate nearly 30 DNF’s between them. As detailed above, Hardrock 100 has allowed a
Race Director’s son to run the race without a valid qualifier, but did not
provide this opportunity to everyone else.
HURT 100 and Western States were considered valid qualifiers for many years, but then
inexplicably removed. Likewise, the
Leadville 100 was considered a valid qualifier but, as detailed above, was
removed for hypocritical reasons.
Leadville finishers are qualified to run the Hardrock 100 and should be
given an equal chance to enter the lottery.
Additionally, there are numerous other 100 and 200 mile runs which would
demonstrate that a runner is qualified to run the Hardrock 100. The Hardrock 100 has developed some standards
on what qualifies as a qualifying run, buy the end result is entirely
subjective.
Hardrock
100 originally developed this rule, which provides that “lucky” runners will
have greatly increased luck in future drawings, to give preference to runners
who ran the race in the early years before there was a waitlist, and who helped
to make the run a success. This was fair, because these people actually
contributed something to growing the race.
However,
the Hardrock is now a success and there has been a waitlist every year since
2000, so giving preference to people who have already run the race, gotten “lucky,”
does not provide equal protection to all the runners who have never gotten to
run the race but are equally qualified.
The Hardrock 100 claims that rewarding “lucky” runners provides “an
ideal mix of the old and new,” but all it does is enshrine their fraud and
ensure that all the fraudulent picks get grandfathered into the race.
The
Hardrock 100 should adopt Western States entry procedures, as these would
obviate any Equal Protection problems.
Additionally, the Hardrock 100 should be required to develop qualifying
standards which are completely objective, for example based on amount of
climbing and average time of finish only, so that all qualified runners get a
chance to enter, not just those who finish favored races.
8.
The
Hardrock 100 has still not released their 2015 tax returns to us, despite
several requests.
We have made several requests for the 2015 990's. First, on January 20, 2016 we requested them from Race Director Dale Garland. Instead of providing the 990's, as he is legally required to do, he contacted the Hardrock 100 attorney, Fred Abromovitz who immediately wrote telling us we could no longer contact his client and refusing to provide either a copy of the Hardrock 100 990's or their raffle license.
On January 26, 2016 we informed Mr. Abramovitz that he was legally required to provide the 990's, and we did receive them for 2013 and 2014, but not 2015.
We renewed our request for the 2015 990's in late June of 2016 but have still have received nothing but a letter from the Hardrock 100 accountant in August, stating that they were in the process of preparing the 2015 return and would send it when they were finished. However, our understanding is that the 2015 990's had to be filed by May 2016. Additionally, the Hardrock 100 held a public meeting in Silverton in July of 2016 where the 2015 990's were allegedly on hand for public inspection. We asked their lawyer whether the return had been filed in May, whether it was on public display in July, 2016, and whether the Hardrock 100’s accountants were preparing an amended return. He declined to address these issues.
Where there’s Smoke, there’s Mirrors
Having detailed the legal violations, we turn now to the Hardrock 100’s response to our discovery of their fake picks. The Hardrock 100 claims that they only fake-pick and conceal 5 names every year, which would still be 75 fake picks and concealments in the last 15 years. However, it doesn’t take any more effort for the race directors to collude in making 5 fake picks than it does for them to collude in making 25 fake picks, and given all the dissembling and confabulation coming from the Hardrock 100, it is difficult to believe that they only made 5 fake picks each year. More likely, they only admitted to making 5 fake picks to explain the obvious favoritism of the results, and to conceal the fact they were fake-picking many more names. This also implies that they reject actually drawn names for personal, political or financial reasons.
Transparency and accountability are the twin guiding lights for non profits, but according to Blake Wood, Dale Garland makes his fake picks at wholly random times. There is no other reason for this than to ensure lack of transparency. It would be much easier to just insert the names at the end, and unless they have been trying to conceal their fake picks from Putin, for example, inserting fake picks at random times serves only to guarantee that there can be no accountability
Instead of all this subterfuge, the Hardrock 100 could simply have done what the Wasatch 100 does and state in their rules that,
“The race committee reserves the right to select and admit 5 at
large runners in addition to those chosen in the drawing.”
The
Wasatch 100 rarely uses these at-large picks and, although they don't disclose
them, they also don't keep them secret, meaning any interested party could
figure out who had been picked. No one
ever complains about the Wasatch 100's 5 picks because unlike the Hardrock,
they hold their raffle in public, adhere to their rules, and most importantly,
they don’t try to pass off fake picks as genuine.
Runners have been complaining about the favoritism inherent in the results of the raffle for at least the past 15 years. It seems like the following groups have been favored in the raffle:
Runners
who come to Silverton early spend a bunch of money and stay in hotels owned by
Race Directors, friends and family of the race directors, industry insiders,
elite runners, race directors from this and other races, investment bankers and
others likely to help turn Silverton into Telluride, people coached by Jason Koop of Carmichael
Training Systems, top male and female athletes from Solomon running have gotten
in almost every year for the last 10 years, and in 2016, after Altra shoes
became a diamond level sponsor of the Hardrock 100, at least 5 people with a connection to Altra got in.
The
Race Directors of the Hardrock 100 appear to have succumbed to ordinary human temptation,
but when you consider the thousands of runners who have expended years of their
lives and gallons of blood, sweat and tears to qualify for a small chance of
winning in the raffle, it is clear that the Hardrock 100 needs to take the
simple step of adopting a transparent
and accountable system like that of Western States 100.
Thank you,
Aaron
Denberg
CO
Atty. Reg. 34327
CORRESPONDENCE
In
January of 2016, I accused the Hardrock 100 of various unfair and illegal
practices, you can see the thread here, https://beta.groups.yahoo.com/neo/groups/HR100/conversations/topics/3882
This is the email history starting with
Dale Garland’s response to my posting on the Hardrock 100 User Group.
Jan 14 at 9:41 AM
To
awdenberg@yahoo.com
Message
body
Good
Morning Aaron,
I have purposely waited to respond to
your posts until I could sort out what I think is relevant for me to comment
on. Obviously as the run director of Hardrock I have my feelings and ideas
about how things should be done but I must admit I am not sure what prompted
your posts yesterday. I am emailing you
personally rather responding to the group because I believe doing so is the
better way to address my concerns. I would hope that if you choose to respond
that you'll extend me the same courtesy and professionalism.As an educator and leadership advisor for the past 24 years I must express my concern about some things that I observed from the exchange of posts over the past 24 hours.
1.
To my knowledge there was no communication between you and me or you and the
Hardrock board as to how and/or why we conduct the lottery the way we do, the
policies and procedures of Hardrock or anything else that you questioned or
made comment. One of my basic tenets in teaching leadership comes from Stephen
Covey's idea of first attempt to understand and then be understood. Did you
attempt to contact us and did we not respond?
2.
I found that many of your comments lacked any evidence of research and/or made
some unsubstantiated allegations or innuendos. Obviously the Allie Wood comment
showed this but further comments about doubting whether or not we actually cut
up paper strips (we carefully, skillfully and cautiously do) as well as making
an allegation that we somehow penalize
people for questionning or commenting on policies and procedures to me only
served to inflame and divide the Hardrock community.3. The fact that many of your comments have been levelled directly at Blake Wood puzzles me. I do not know the history between you and Blake but I will say that in the entire time Blake and I have been associated with Hardrock (over 20 years) he has never given me reason to question his integrity, his commitment to Hardrock nor his sense of fairness. To imply that Blake is anything less is totally unfounded. The fact that you singled him out makes me wonder 2 things:
a.
is there something that happened between you and Blake that needs to resolved?
(in which case, I would hope that you and he could work that out between you in
a private forum or
b. the fact that you think Blake can
make decisions without the rest of the Hardrock Board of Directors weighing in
and acting as a board shows a basic misunderstanding of how a board works (in
which case I would be happy to do a mini lesson on Roberts Rules of Order,
majority voting, etc.:) )
4.
As a history and leadership teacher, I emphasize that substantive and effective change and progress
often come from working together. I know we could have a discussion on the
value of revolution and dissenting opinions but in my experience that process often causes more issues and
hard feelings than results. I wonder why you chose the forum that you did
rather than communicating with me or the board (item 1) and asking what could
be done to change/modify and/or address your concerns. Why was the hr100 group
your first choice? Please help me understand. The fact that you chose that
forum makes wonder about your true intent.
In closing, I hope you know that I and the
rest of the Hardrock board of directors and run committee look upon organizing
Hardrock as a labor of love and take great pride in what we do. That does not
mean that we can't improve or change how we do things. I just wish you would
have chosen a different, and in my mind, more constructive way to help us.
Thanks,
Dale
Garland
RD, Hardrock Hundred Endurance Run
Subject:
Re:
Some thoughts on Hardrock
well,
of course, not every race is hardrock.
by the way, my internet is pretty slow here in rural wyoming so I am not
sure, but I am not able to find a qualifying run for james wrublik in 2007. would you please let me know what his
qualifier was?
thanks,
aaron
Jan 17 at 6:28 PM
HI
Aaron
There were years when spots outnumbered
applicants and we had a process which asked those who wanted to run Hardrock
who hadn't run a qualifier to document any equivalent mountain experience(s)
that they had that would prepare them for Hardrock. We would evaluate those
essays and then vote on whether or not to accept those individuals into
Hardrock, if memory serves that's what Jimmy used to gain entry. We did away
with that some years ago because it we
had more than enough runners who had run qualifiers to fill our field.
You avoided answering my question about your
motivation and whether or not you vet every run you enter the same way you are
doing with Hardrock.
Thanks,
Dale
Mon, 18 Jan 2016 04:29:22
+0000 (UTC)
Subject:
Re:
Some thoughts on Hardrock
thanks
for your reply dale. I have checked, and
it looks like there were at least 200 applicants for the 2007 running. would you mind double checking jimmy
wrublik's qualifier? my motivation for
questioning the process is that it does not seem open and transparent
enough. I wouldn't care too much if it
was another race.
-------------------------------------------------------------
Jan 18 at 8:26 AM
To
aaron
denberg
Message
body
HI
Aaron,
I'm having Blake check his historical
data for the answer to your question. What source of information are you
consulting for your information? (that may make it easier for Blake).
I still am unsure about what you mean
by the term "process". Are you referring to the selection "process"?
I understand your reason for asking about transparency but I think it's pretty
well laid out here http://hardrock100.com/hardrock-lottery.php . The fact that
we conduct the lottery from a private residence and broadcast the results on
our website should not be misconstrued with conducting a secret or closed
lottery selection. If it's something else please let me know.
In my opinion, you still are avoiding
answering the question about your motivation for doing this. Transparency and openness is the
"reason" but in my mind, that differs from your motivation. Can you
elaborate on what is driving this wanting to know? I find it somewhat odd that
you have singled out Hardrock to ask these types of questions when you don't
feel the need to do this with other events that you have participated in. Can
you elaborate on that as well?
Thanks,
Dale
HI
Aaron,
Here is Blake's response relevant to Jimmy
Wrublik's 2007 entry.
"Blake
Wood
Mon, 18 Jan 2016 16:33:45
+0000 (UTC)
Subject:
Aaron
Denberg's latest request
Dale
-
We
formally did away with the "equivalent mountaineering experience"
Std. IV qualifier in 2013, although we hadn't admitted anyone under it for
several yearsbefore that. I think the
last time we let someone in with it was probably Gerry Roach in 2011.
We
would not have let Jimmy Wrublik in under Std. IV, considering his age. I checked
on UltraSignup and see that Jimmy ran HURT in 2005, 2006, and 2007 - any
of them would have been a valid qualifier for 2007.
- Blake
aaron
denberg Jan 18 at 1:24 PM
Dale,
please try again. Wrublik only ran the
100k versions of hurt in 2005, and 2006 and
2007 hurt was not a valid qualifier for
2007 hr.
From:
"Blake
Woood
Tue, 19 Jan 2016 02:08:33 +0000 (UTC)
Subject:
Re:
Aaron Denberg's latest request
Dale
-
Although
our list of qualifiers specified that they be finished in 2005 and 2006 for the
2007 Hardrock, we also counted the HURT 100 mile in 2007, since it was run in
January, before our lottery at the beginning of February. The point of qualifiers is to ensure a runner
is ready for Hardrock, etc., etc., and thus having run a qualifying race MORE
recently than we call for definitely satisfies the purpose of having
qualifier.
Aaron
is right though about HURT in 2005 and 2006 - Jimmy did the 100k in those
years, not the 100 mile, according to UltraSignup. I missed that in checking quickly while
waiting in the boarding area for my flight to Washington DC this morning.
- Blake
aaron
denberg < Jan 19 at 5:40 PM
Blake,
thanks for your reply on the Jimmy Wrublik issue, I hope you can answer a few
more questions:
1. You have a lot of procedures in place to
ensure the drawing is legitimate, such as making sure
other
board members are there, color coding the tickets, keeping the old tickets on
hand for inspection, etc. Since the issue of the openness and transparency of
the drawing seems to come up every year, wouldn't it solve a lot of problems to
hold the drawing publicly like wasatch and western, or at least have a live
video feed?2. I can appreciate the reasons for not revealing the names of "Dale's 5 picks," but can you tell me what procedure you use to enter Dale's picks into the drawing. For example, are they the first 5 names drawn, the last 5 names drawn, or are the 5 picks just mixed in?
3. Would you be able to tell me the names of the board members who witnessed the drawing the last three years?
Thank
you for your time,
aaron denberg
Blake
Wood Jan 19 at 6:48 PM
Aaron
-
I
assume you got the word that Jimmy was qualified for the 2007 Hardrock by
virtue of having finished the 2007 HURT.
Although only the previous two years of HURT was listed as a qualifier
(that is, 2005 and 2006 for 2007), back when we held our lottery in February we
counted the HURT that was run the previous month, in January.
The purpose of the qualifiers is not to weed people out, but rather to
ensure they can run Hardrock safely and have a reasonable chance of
finishing. Counting a qualifier that was
run MORE recently than we required satisfied this. This is no longer an issue now that our
lottery is held in December.
As
to your questions:
1. Perhaps.
As I previously mentioned, we DO have a live tweet feed. Having a live audio, video, or entirely
public lottery would not work with our desire to keep "Dale's Picks"
confidential.
2. Dale comes armed with his ordered list of
those he would like to see in the run, and makes his picks at times of his
choosing in the appropriate lottery. Typically they are spread out over the
last half of the lottery or very early on the wait list. His pick would be "wasted" if the
runner's name was subsequently pulled from the jar naturally (which does happen
- it did this year), so Dale is balancing confidentiality against having his
picks count.
3. This year the entire Board was present except
for Andrea Feucht and Betsy Kalmeyer - Andrea couldn't make it out from Los
Angeles, and Betsy had to work. That means that myself, Kris Kern, David
Coblentz, Charlie Thorn, Ken Gordon, Roch Horton, and Ricky Denesik were
present. I'd have to check old photos or
meeting minutes for the previous two years, and I can't do that right now, as
I'm in Washington DC for a series of meetings.
If I don't do that when
I'm
home on Friday, remind me.
- Blake
From:
"aaron denberg"
Sent:
Tuesday, January 19, 2016 7:51:36 PM
Subject:
Re: Hardrock drawing
Blake,
thanks for your reply, please don't worry about tracking down the board members
who were there the other years. I had no
idea so many people were there to watch the drawing.
I
still don't understand how Dale works
his picks in. Do you guys pass the jar
around and take turns picking tickets, or does Dale pick all of them? Thanks for taking the time to answer my
question
P.S.
It seems like if you announced publicly who was there watching the drawing that
would probably help a lot, but at the same time I can understand why you would
be annoyed by the constant questioning.
Thanks,
aaron
Jan 20 at 3:00 PM
To
aaron
denberg
Aaron
-
We
pass around a jar (actually a large plastic pitcher) to draw the tickets from -
one pitcher for each lottery to ensure the tickets are kept separate.
Everyone present takes turns pulling
tickets. As the lottery progresses, Dale
will chime in "I want to make my next pick at #55", and we will pause
the drawing then to get his name (Dale is usually present, but wasn't this year
- he had a personal commitment that afternoon and couldn't have gotten back in
time - so he was connected via phone.)\
As
we pull the tickets, we tape them to a poster board and I enter them into my
spreadsheet. We also tweet them out,
typically in groups of two or three so the tweeter can keep up. As we go along and at the end, I check what I
am entering in my spreadsheet against what is taped to the board, to ensure we
haven't missed anyone or given someone two slots. Since each ticket is labeled with the number
of tickets that applicant has in the lottery, we can get a good
seat-of-the-pants feeling for how the stats are working out. When we pull a name for the second or third
or fourth or ... time, we just discard it into a separate pile. We keep all the tickets so at the end we can
ensure that anyone we are interested in really DID have the proper number of
tickets in the lottery - for instance, we did this when Kirk Apt ended up so
far down the wait list last year, and when an applicant last year with 128
tickets did not get pulled until far down the wait list.
- Blake
From:
aaron denberg
To:
Blake Wood
Sent:
January 20, 2016 at 9:00 PM
Subject:
Re: Hardrock drawing
Blake,
Your timely and detailed response was most
heartening. I know you are very busy and
would prefer not to have to deal with these "first world" problems, but if you could indulge me in answering one more question I would be grateful. Can you tell me how the process differs when Dale is actually there?
For example, if I understand you, he announces when he is ready to make a pick, he gets the jar,and then what?
Sincerely, aaron
---------------------------------------------------------------------------------------------------------------------------
Aaron
-
It
is really no different when Dale is present. He decides when he is going to use
one of his picks, and when we get to that point his pick is inserted and we put
a placeholder on the poster board and continue drawing. At the end of the
drawing we dig out an actual ticket for the runner he picked and replace the
placeholder with it.
As
I said earlier, we post photos of the poster boards on our website after the
drawing. When we post the list online, we order it alphabetically for the
runners' convenience in finding their names, except for the wait list which is
kept in the order we drew it for obvious reasons.
-
Blake
Jan 20 at 9:41 AM
Aaron,
I am still waiting on your response(s)
regarding the 2 questions that I posed to you last week. Namely-what is your
motivation for doing all of this and do you vet other events as thoroughly as
you have with us and why or why not?
Your responses will help me in answering your questions and concerns
more effectively.
Thanks,
Dale
"aaron
denberg"
To:
"Dale
Garland" Wed, 20 Jan 2016
15:19:35 +0000 (UTC)
Subject:
990's
and raffle license
Hi
Dale,
Would
you send me a copy of the Annual Information Return and Annual Tax Return for
the
Hardrock
Hundred Endurance Run for the last three years?
Thanks,
and please let me know if there will be any cost associated with this request.
Cheers,
aaron
P.S. Do you happen to have a copy of your raffle
license on hand? If not that's okay
I think I can get it from the sos.
Fred
Abramowitz < Jan 25 at 7:56 AM
To
awdenberg CC
Blake
Wood and Rebecca Clark Dale Garland Kern, Kris
Dear
Mr. Denberg,
I have been asked by Hardrock to
respond to the various requests, allegations and statements made by you via
email and on the social media. I trust this response will bring the matter to a
close. First, the lottery established by Hardrock is not in violation of
Colorado gaming or any other state or federal laws. Other events in Colorado,
as well as elsewhere, charge a fee for entry into their lottery - the Leadville
100 run and bike events, come to mind. In the case of Hardrock, the fees do not
inure to the benefit of Hardrock or its board in any way - Hardrock is a
not-for-profit and the fees generated are earmarked for charity and also to be
used for such things as improvements to the Hardrock course or to otherwise
benefit the Hardrock communities. No member of Hardrock benefits financially
from the lottery. With respect to how Hardrock actually conducts its lottery,
the algorithm used and the factors considered are fully explained on the
website and the lottery is conducted in accordance therewith. Hardrock is, of
course, free to use any algorithm it wishes in selecting from its large pool of
applicants and if you aren’t in agreement with it you are free not to enter the
lottery. And, while a very few events do conduct a public lottery, the vast
majority do not (again, Leadville and many, many others) and they are under no
obligation to do so. Hardrock at this time does not conduct a public lottery,
although real time coverage of the drawing is provided via Facebook, Twitter
and other social media.
You have also requested that
Hardrock provide you with certain documentation. Since it appears you are an
attorney I am sure you are aware that much of what you are requesting are
public records, and you are welcome to contact the appropriate agencies and
inspect those documents yourself.
To
the extent what you are requesting are not public records Hardrock is under no
obligation to provide them to you and at my recommendation will decline to do
so.
Which
brings me to the final point. You have accused Hardrock of “breach of contract,
fraud, misrepresentation and violations of the Equal Protection Clause” and
have threatened to take “this up with up with the relevant governmental
agencies.” While I will not dignify these accusations with a response, I am
concerned since it appears you are an attorney and yet you failed to disclose
that fact when making those threats.
Ethical violation or not, I’m sure you are
aware that henceforth you may not contact my clients without my prior approval.
Please do not. If you find it necessary to further discuss this matter, please
contact me and do not contact Hardrock in any manner.
Your attention is appreciated.
Fred Abramowitz
aaron
denberg Jan 26 at 4:39 AM
To
Fred
Abramowitz
Message
body
Dear
Fred,
I
am afraid that your letter does not come close to bringing this matter to a
close. I find it curious that, in the
absence of a claim of harassment, the Hardrock chose to lawyer up after I made
a legally authorized request for their 990's, which in any event they are
required to provide me within 30 days or pay a daily fine.
You
see Fred, this is not going away because a race director once told me that,
"of course Hardrock bends the rules to let in their friends and
family." At first this didn't
bother me because, after all why shouldn't they be allowed to let in a few
friends and family after doing so much work on the race? However, when every
year there are complaints about the lottery, and every year the Hardrock
responds with little more than assertions that they are fully open and
transparent, I find it hard to stomach.
The
net result so far of my questioning the BOD has been to transform my
allegations of fraud and misrepresentation into fact. Every year the Hardrock
publishes their rules, they misrepresent by omission when they conceal the fact
that Dale gets 5 picks, they misrepresent when they issue an incorrect listing
of the odds of winning, and they commit fraud when they pretend to pick 5
tickets which they don't actually pick. My questioning of the BOD has not only caused
them to admit to this fraud and misrepresentation, but has also revealed that
on at least one occasion they violated their printed rules to led a RD's son
in.
So,
as the legal representative of Hardrock, and in the interests of judicial
economy, please tell me how the acts and omissions of Hardrock do not satisfy
each and every element of fraud and misrepresentation under both state and
federal law? Additionally, your
assertion that because other lotteries are similar to yours you are somehow in
compliance with the law, is not convincing.
You may not be under any legal obligation to produce an explanation of
your raffle licensure, other than the general requirements of transparencyfor
all 501(c)3's, but I am asking you in the interests of judicial economy, and in
a good faitheffort to resolve this dispute to do so nevertheless.
sincerely,
aaron
co atty reg. # 34327
Fred
Abramowitz <Abramowitzlaw Jan 27
at 9:40 AM
To
Message
body
Aaron,
I’m
not going to debate the legal merits of your claim. You are free to file
whatever you wish to file and avail yourself of whatever forum will entertain
your complaints and we’ll go from there, but I do think you should consider a
few things.
First,
Hardrock has been addressing rumors and complaints concerning its lottery for
years. Most of those complaints in effect concern the various algorithms
Hardrock has used. I think Hardrock has been reasonably good at explaining that
there are different ways of conducting lotteries and there’s no easy way to
satisfy everyone. But your complaint, to the extent I understand it, seems
different. I don’t know what “race director” told you that Hardrock “bends its
rules" to let family and friends in, but I hope your complaint is based on
more than just some rumor or innuendo from some "race director" or
someone else who it seems has no idea what they are talking about, implying
that the lottery is somehow “rigged.”
I
understand that you may be upset that Hardrock did not previously disclose that
there are five selections taken outside the lottery process. Perhaps they
should have done so. Obviously, prior to instituting the lottery fee, Hardrock
was free to accept whomever it wished into their race, as you seem to
acknowledge, although even then, other than the five selections, the lottery
was conducted exactly as stated on the website. But regarding the five
selections, I think you’ll agree there’s nothing improper or wrong about
selecting a few applicants who may have done extraordinary service for the
race, or the sport, or who otherwise deserve entry into the race outside the
lottery process. But again,other than those selections, the lottery has always
been and is conducted exactly as stated.
Second,
the lottery fee Hardrock charges has been in existence only for the past two
years. My understanding is that in 2015 you were selected for the lottery, and
for 2016 you didn’t apply. I’m unsure how you have been harmed, even assuming
there is a legal claim. Even so, surely you’re not suggesting that the extent
of what you’re claiming as” fraud" are the two sets of Dale selections
over the past two years which were not made available to the public? That would
be $100 in lottery fees. I’d note that over the past two years Hardrock
increased the number of accepted entrants by more than the five selections
anyway. They were not required to do that.
Aaron,
I’m at a loss here. I’m not sure what it is you want. We’ll send you the 990’s.
I understand you’re pursuing permits to use the Hardrock course for your own
race and of course you’re free to do so. But lastly consider this: Hardrock is
a not-for-profit whose board members, whatever you may think of them, volunteer
their time for the sport and for charity. If they abandon the lottery fee, if
that’s what you’re seeking, the only ones harmed will be those who stand to
benefit from it. But if this is an attempt to wrongfully discredit the race and
its board (and I truly, truly, trust and hope this isn’t the case) to somehow
assist you in your endeavors to put on your own race, I strongly suggest you
step back and consider what you’re doing.
Fred
On
Jan 28, 2016, at 9:01 AM, aaron
denberg wrote:
Fred,
thanks for your response, you have sadly misjudged my motives. I am not
attempting to wrongfully discredit the race or its board, nor do I have any
interest in promoting a race on the Hardrock course or anywhere else. Many people have suggested over the years
that if people are unhappy with the Hardrock they should start their own race. My letter to the BLM was mostly aimed at
developing possible Equal Protection challenges which I won't go into at this
point, but sure, if the BLM had responded with wild enthusiasm (they did not) I
probably would have pursued the idea.
Additionally,
my complaint is not based on rumor or innuendo from some "race director," but on the acts and omissions of the Hardrock
BOD and what I perceive to be a very unfair and elitist system. Without the Race Director publicly admitting
this statement, it is little more than hearsay and to date, you are the only person I have told
of this communication (impliedly authorized by CRPC 1.6(b)[5]) and I have no
intention of telling anyone else. This
disclosure was only made to demonstrate why I have been suspicious of the BOD
and why I am not satisfied with their explanations.
Obviously,
my questioning of the Board has amply borne out these suspicions. Of course, just as I am free to publish any
of the communications we have had to date, you are free to to publish my claim,
and while this Race Director is not a client, I will not reveal the identity
without a court order. In the unlikely
event this should come to pass however, I believe my evidence will be
irrefutable.
Further,
my complaint is not aimed at increasing my personal odds of entering the
Hardrock or gaining any other sort of preferential treatment. As you noted, I did not enter the lottery
this year and in fact, I have no intention of ever running Hardrock again,
though I might like to try Nolan's. I
have moved on to bikepacking which is not as hard as the Hardrock, and which,
as a Hardrocker, you yourself might have a natural aptitude for!
Without
addressing each aspect of your argument, most of which I disagree with, the
essential element here is the repeated dishonesty, and the argument that any
"fraud" was de minimis is not persuasive. If a bank has $152,000 in capital and I rob
it of $5,000, it is not a defense to say that $5,000 was only a small part of
the whole and in any event was spread out among 1700 depositors.
My
impression is that the BOD, which for the most part has never had to spend much
time on a waiting list, is operating under some kind of groupthink mentality,
reinforced by the support they receive in the Yahoo User Group, and is totally
out of touch with the average Hardrock applicant who has worked so hard to get
into the race and who is devastated when they don't get in, doubly so when they
feel the system is unfair.
Fred,
as a fellow member of the Hardrock family, a member of the tribe, I know you
will believe me when I say I have no motive other than to correct what I
perceive to be an elitist and unjust system, even if it is only of the first
world variety.
I have been endeavoring to determine whether
Hardrock is in compliance with raffle laws, and I feel fairly sure you guys are
not. However, it is difficult to say
with total certainty without needlessly dragging the Hardrock name through the
mud, such efforts I hope you appreciate and will take as evidence of my good
faith.
If
you will show good faith by revealing the details of your raffle license or
exemption, or just admit that perhaps you are not in compliance, I will fully develop my arguments and present them
to you for your consideration before I take any other action.
My
mailing address for the 990's is:
aaron
denberg
xxxxxxxxx
Thank you,
Fred
Abramowitz <Abramowitzlaw Jan 28
at 4:50 PM
Aaron,
Like
other events with this sort of lottery, Hardrock takes the position that it is
not a “raffle” in that no “prize" is offered and thus they don’t need a
license. Entry into the race has no intrinsic value, cannot be bought or sold,
and merely entitles the person to pay full price for entry into the race. Is
this a settled question? No. You want to
challenge it in a court of law? Have at it. You win, they’ll get rid of the
fee, and you’ll be taking money from their charities.Other than that, you don’t
have a legal claim. Look, Aaron, I get that you don’t like the board, that you
think they’re elitist and unfair, and that you are personally upset and
troubled by how they run their business. I get that. You’re not alone, though
obviously there are others who feel differently. But, like it or not, they
conduct and have conducted their lottery exactly as I stated in my previous
emails. And there’s nothing about the way they do it that creates any sort of a
legal claim.
I
don’t really haven anything further to say about this, and if you want to
pursue this in a court of law, you’re obviously free to do so, and we’ll go
from there. But unless you have some concrete and constructive suggestions as
to how you think Hardrock might improve their procedure in the future (which I
will gladly pass along to the board), I don’t think there’s much value in
continuing this conversation.
So
good luck with your bikepacking. I’m pretty much too old to take up anything
new.
Fred
--------------------------------------------------------------------------------------------------------------------------
From:
aaron denberg
Sent: Tuesday,
January 26,
2016 4:27:49 PM (UTC-07:00) Mountain Time (US & Canada)
Dear
Mr. Lieurance,
Thank
you for your reply. I have consulted the
links you provided and determined that we are not in facta qualified
organization. However, since our raffle
only provides the opportunity to buy an entry into our sporting event, my
understanding is that this is not a "prize" as defined under 60-2F-4,
and that therefore the Act, 60- 2F-26, does not apply to us and we do not need
to file an application for a license. Of
course, we don't wantto run afoul of the NMGA, so can you tell me if my reading
is correct, i.e., even though we are not a qualified organization,we do not
have to apply for a raffle license because raffling the opportunity to buy an
entry to an athletic competition is not raffling a 'prize?'
Thank
you very much for your time and consideration,
aaron
------------------------------------------------------------------------------------------------------------------
Mr.
Denberg,
That
would be incorrect. Under the Act, only qualified organizations as defined may
conduct games of chance as authorized by the Act.
The Exception under 60-2F-26 (A)(2) allows a
qualified organization to not obtain licensure with the provision that only 1
raffle per quarter will be conducted.
Thank
you
Donovan
Lieurance
Acting
Executive Director / CIO
NM Gaming Control Board
Sent: Thursday, January 21, 2016 11:57 AM
To: Public Licensing <Public.Licensing@SOS.STATE.CO.US>
Subject: Raffle license for competitive sporting event.
Hi,
I am a Colorado attorney investigating what the licensing
requirements would be for a competitive sporting event organized under
501(c)3. This hypothetical raffle will have approximately 2000
entrants vying for 200 slots, and will charge a $10 non-refundable fee,
collecting $20,000, all or most of which would go to charity. Winning in
the raffle would only allow the winners the right to purchase an
entry into the race. In other words, if
they win, they are not really getting anything that has a price tag on it, only
the right to buy an entry.My questions are: Does this type of event even need to apply for a raffle
license?Would we be likely to found exempt if we do apply, and if
so what requirements would we still need to abide by. Finally, if we are registered in Colorado, but want to hold
the drawing in Utah and communicate the results online, would we have to apply
for a raffle license through your office, through Utah's or both?
Thank you very much for your time, Aaron Denberg CO Atty. Reg. # 34327
------------------------------------------------------------
Jan 29 at 1:13 PM
Dear Mr. Denberg,Thank you for the email. After examining the game as you propose against the applicable statutes and rules, we do not think that this would be a legal game. The first issue concerns the definition of a raffle. According to C.R.S. §12-9-102(19.3) a raffle “means a game in which a participant buys a ticket for a chance at a prize…”. With the game you propose, there is no true prize. There is only a chance at moving to the next round, for which you would be charging an additional fee. This scheme, the chance at a chance, is a violation of the bingo/raffle laws, and would not be allowable in Colorado.
The second issue surrounds the organization that would be conducting the game. You state that the sporting event would be organized under 501(c)(3), but I am not certain what you mean by that. Do you have an organization that is already recognized by the IRS as a 501(c)(3)? You also state that “…all or most of [the proceeds] would go to charity”. The only organizations that can be licensed to conduct charitable gaming are nonprofits that have been in continual existence for at least five years in Colorado, have a membership, and the entire net proceeds must be exclusively devoted to the lawful purposes of the organization conducting the game. No person may receive any remuneration or profit for participating in the management or operation of a charitable game. The charity conducting a raffle retains the proceeds to use for their lawful purposes.
Finally, we issue licenses to qualifying nonprofits to conduct gaming in Colorado. We cannot license a multi-state game, as each state has its own set of laws. The last time we checked, Utah has outlawed all forms of gaming, including games of chance. Operators will try to get creative in their approach, by selling food and drink and providing a bingo card, but the regulators have shut down venues because the food and drink is minimal and ancillary to the game. If you get a license in Colorado, the ticket sales must be completed through members of the licensed organization within the state, and the drawing would have to take place at a predetermined location in Colorado.I hope that helps. Please let us know if you have any further questions.
Very Truly Yours,
Lawrence Runn, CFE
Nonprofits Lead Investigator
Colorado Department of State
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June 29, 2016
Dear Fred,
As you know from previous correspondence, I find Hardrock's practices contrary to the Hardrock Hundred Endurance Run’s Value Statements. My purpose in writing to you and pointing out these discrepancies is to amend the race's lottery so that future applicants get a fair opportunity to participate. This purpose can be achieved if all future lotteries are public and fully auditable and the algorithm is changed in the following manner:
Preferential treatment for multiple finishers ends, they get the same chance in the lottery as the ‘never started’. All unsuccessful raffle entrants continue to accumulate tickets in the current n+1 manner so that their chances of entering increase each year. Hurt and Leadville are reinstated as qualifiers and definite, numerical standards are established for qualifiers with any and all runs of comparable difficulty allowed as qualifiers. Finally, the Hardrock Board retains discretion to pick 20% of the field in any manner they choose, however the picks cannot be secret. This 20% figure is slightly more than the number of entrants who get into Western States outside the lottery.
I have enclosed two draft letters to various government agencies which detail the tortious, illegal, unpermitted and unregulated acts and omissions of the Hardrock Hundred Endurance Run and all members of the Board of Directors who engaged or acquiesced in such acts and omissions. As indicated previously, in gathering information, such as FOIA requests, I have taken care to avoid using the Hardrock 100 name.I am open to discussing the situation, provided you do so in good faith, otherwise, at a minimum, I will send these letters and publish the allegations to social media and encourage others to do the same, especially Leadvillians.
Thank you for your attention,
Aaron
P.S. Please send me a copy of the 2015 990's right away, as I still have not received them.
-----------------------------------------------------------
From: "Fred Abramowitz" <abramowitzlaw
Date: Wed, Jun 29, 2016 2:45 PM
Aaron,
I will raise your issues and suggestions at the next Board meeting which will be held concurrent with the next race and I’ll get back to you after that - obviously folks are quite preoccupied right now with race preparations. Meanwhile send me an address and I’ll get you the 990s
Fred
Sincetely yours,
-------------------------------------------------------------
Fred
Abramowitz Jul 1 at 7:30 AM
Aaron,We think it best at this point to agree to disagree. You won’t get a response from the board; you will get your 990.
Happy 4th.
----------------------------------------------------------------------------------------------------------------------
Sent: Thursday, February 04, 2016 9:12 AM
To:
Janik, Anne -FS
Subject:
FOIA Trail Work. Hi
Anne, thanks for your phone call, since this is my first FOIA request, it was
very helpful.
I
am trying to find any Special Use Permits, Partnership Agreements, Volunteer
Project Agreements and any communications related to trail work done in the
first week of July, 2011. More
specifically, I am looking for information on a trail connector from Bear Creek
Trail to Bridal Veil Basin. If any work
was done, it would have been in an attempt to bypass the 2011 closing of upper
Bear Creek Trail, and the posting of 'armed guards.' The trail might be the La Junta Basin Trail,
but I can't find it on any USDA maps. In
any event, it may be the only trail which could connect Bear Creek Trail to
Bridal Veil Basin without going through the disputed area. I believe it is an
old mining trail which heads left (east) a couple of miles from town up the
Bear Creek Trail and basically becomes a talus field in its upper reaches before
crossing the ridge to Bridal Veil Basin.For the area around Ouray, I am interested in any Special Use Permits, Partnership Agreements, Volunteer Project Agreements and any communications related to trail work done on the Horse Thief Trail the first week of July, 2011; and trail work on the Old Twin Peaks Trail in the first week of July, 2010. If any trail work was done on these dates and trails it may have been done in conjunction with the Ouray Trails Group, but I am not sure.
Thank you very much for your help,
--------------------------------------------------------------------------------------------------------------------------
To william aaron Mar 4 at 5:14 PM
Just
to let you know- that a letter will be going out on Monday – no one in our
office had anything related to your request – if you would like
to talk to me about it , please give me a call. It is unusual to save emails
from that far back. And the staff looked
at volunteer agreements
and Special use permits and did not have anything specific for those
dates. from that time.
Is
there something more specific we can ask them to look for? I would be happy to talk with you more about
tit- thanks, Anne
USDA
USFS
C.
Anne Janik
Public
Affairs Specialist
Forest Service
On
Dec 1, 2016, at 10:27 AM, aaron denberg
Good morning Fred,Last January you argued that the Hardrock 100 was not running a
"raffle," because they were not offering a "prize."
However, anticipating this argument, I had previously asked Dominic
Lieurence, Acting Executive Director of the New Mexico Gaming Authority, and
Lawrence Runn, Nonprofits Lead Investigator for the Colorado Department of
State about a raffle like that of the Hardrock 100.
Both expressed the opinion that raffling a chance to buy an entry is indeed a
"prize," and that a raffle like the Hardrock 100's
would be illegal. I realize that you have already indicated your unwillingness
to change your entry selection procedures without actual litigation, though I
notice that Blake Wood has, apparently for the first time ever, factored Dale's
secret picks into the odds of winning. That is, if you believe there are
only 5 secret picks.But, the main purpose of this email is to ask
why I still have not received the Hardrock 100's 2015 990's? I received a
letter from their accountant a few weeks after my last request indicating that
they were in the process of preparing the returns and that they would send a
copy when they finished. This is puzzling to say the least, because
this return was supposed to be filed no later than May. Additionaly,
my understanding is that in Silverton in July of 2016, the Hardrock 100
purportedly had their 2015 990 's available for public viewing as they do every
year. It seems like they are deliberately avoiding sending them to
me. Can you please explain why I still have not received them? If
the accountants have prepared an amended return, I am still entitled to see the
originally filed return and would like a copy of that as well.
Thanks,
aaron
P.S. Here is a
document you may find of interest, it is a class action complaint that seems
very like our situation: http://www.nyrrsettlement.com/Portals/0/Documents/Amended%20Complaint.pdf
Aaron,
The 990s will be sent to you early next week.
And I am quite familiar New York City marathon lawsuit and subsequent
resolution.
Fred
Fred
Abramowitz, Esq
Abramowitz,
Franks & Olsen
Attorneys at Law
Santa Fe, Albuquerque, New Mexico and Fort Collins, Colorado
Santa Fe, Albuquerque, New Mexico and Fort Collins, Colorado
Dear Sir or Madame,
This is a request under the FOIA for documents
relating to the Hardrock 100, a 100 mile race in the San Juans of Colorado
which is permitted by the Tres Rios BLM.
We would like a copy of all documents and communications
related to the Hardrock 100 lottery and specifically those documents and
communications relating to “5 secret picks” made during the Hardrock 100
lottery.
Please notify me if the fees will be over $100.00.
Thank you very much,
Aaron Denberg
Big Horn, WY
82833
Hi Anne,
Here are some more FOIA requests, if you are wondering
why, this may satisfy your curiousity: fixhardrock.blogspot.com
For the Districts you work with, I am looking for Special Use Permits, Partnership Agreements, Volunteer
Project Agreements and any communications related to trail work done by the
Hardrock 100 in the last 10 years. I am
also looking for the same information relating to the “Knute Chute,”
paralleling hwy 550 outside of Silverton, and the “Kamm Traverse” above Mineral
Creek outside of Silverton. This
probably goes back to the early to mid 90’s.
For the Districts you work with, I am also looking for a copy of all documents and communications related
to the Hardrock 100 lottery and specifically those documents and communications
relating to “5 secret picks” made during the Hardrock 100 lottery.
Please notify me if the fees will be over $100.00.
Thank you very much,
Aaron Denberg
Big Horn, WY
82833
ADDITIONAL
THOUGHTS
We
believe the Hardrock 100 may be fake-picking the following groups of people:
People who come to Silverton early and
spend a lot of money, industry insiders, friends and family of the Race
Directors, courtiers, people coached by Jason Koop of Carmichael Training ( http://gazette.com/doping-questions-remain-of-springs-based-armstrong-coach/article/149946
) people who can help turn Silverton
into Telluride such as investment bankers, elite athletes from favored
companies, such as top male and female athletes from Salomon running who get in
almost every year, and at least 5 people connected to Altra, their new main
sponsor, who got in in 2016.
The Hardrock 100 has always maintained that capping the runners at approximately 140 is a result of careful deliberation with the permitting agency, the Tres Rio BLM. However, the Tres Rios BLM would probably have no problem okaying 1000 runners for this course. The Environmental Assessment for the Hardrock 100 only noted that the on-course Handies Peak saw thousands of user days a year, found “No Significant Impact” from this race and did not subject the Hardrock 100 to the burdensome process of preparing an Environmental Impact Statement. Moreover, it is unlikely the Tres Rios BLM would object to more runners on the course as they are regularly criticized by the San Juan Citizens Alliance for favoring unbridled extraction at the expense of the environment. https://durangoherald.com/articles/87105-resource-plan-is-a-betrayal-of-our-values
According
to the Silverton Chamber of Commerce, there are also happen to be only 140
motel beds in town. Probably just a
coincidence, but if your goal is to try to turn Silverton into Telluride,
artificially capping the number of entrants is an effective way to create
maximum demand.
Blake Wood Facebook, December 09, 2016
" I would like to refer everyone to the the articles by the observers we had at last Saturday's lottery: Heather Sackett, writing for UltraRunning Magazine at https://www.ultrarunning.com/.../hardrock-100-invites.../ and Ian Torrence, writing on his blog at https://www.ultrarunning.com/.../hardrock-100-invites.../ . These give an honest and accurate appraisal of how we conducted this Hardrock lottery"
Blake Wood Facebook, December 09, 2016
" I would like to refer everyone to the the articles by the observers we had at last Saturday's lottery: Heather Sackett, writing for UltraRunning Magazine at https://www.ultrarunning.com/.../hardrock-100-invites.../ and Ian Torrence, writing on his blog at https://www.ultrarunning.com/.../hardrock-100-invites.../ . These give an honest and accurate appraisal of how we conducted this Hardrock lottery"
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