TOPIC:

To fix this particular issue, create an empty media folder in <xot folder>\modules\xerte\templates\Nottingham

I am curious how this happened. Do you still have the folder where you unzipped the .zip? Does that tree have the empty media folder in modules\xerte\templates\Nottingham?

No, the media folder is missing from that Nottingham folder too. I downloaded a fresh zip file May 10th. Is there something in the zip file that might be missing? I'd be glad to look through the zip file I have to see if its missing something.
Meanwhile I'll try your suggestion and post the results.
Thanks!
Mark

I checked the zip just now, and that contains the empty folder, so something went wrong when unzipping (skip empty folders??)

Ok Tom that fixed it! Should I assume that will work for the site folder as well? The bootstrap option is also missing the media folder and has the same trouble.

Yes. Same fix.

Thanks Tom!!