I've built several sites that utilize LINQ to read XML files.  And repeatedly I come across an issue where I seemingly have everything in the right place and coded, yet it does not compile. 

Problem:

The solution:

Make sure you have the following section your web.config:

<system.codedom>
<compilers>
<compiler language="c#;cs;csharp" extension=".cs" warningLevel="4" type="Microsoft.CSharp.CSharpCodeProvider, System, Version=2.0.0.0, Culture=neutral, PublicKeyToken=b77a5c561934e089">
<providerOption name="CompilerVersion" value="v3.5"/>
<providerOption name="WarnAsError" value="false"/>
</compiler>
<compiler language="vb;vbs;visualbasic;vbscript" extension=".vb" warningLevel="4" type="Microsoft.VisualBasic.VBCodeProvider, System, Version=2.0.0.0, Culture=neutral, PublicKeyToken=b77a5c561934e089">
<providerOption name="CompilerVersion" value="v3.5"/>
<providerOption name="OptionInfer" value="true"/>
<providerOption name="WarnAsError" value="false"/>
</compiler>
</compilers>
</system.codedom>

 Basically this makes sure that .NET will use the right compiler version to execute your code.