A bankruptcy court judge ruled Wednesday that La Crosse Municipal Harbor Inc. — beleaguered by late payments and safety and health violations, and facing eviction from the city — cannot assume a new lease for the city’s harbor while it is in bankruptcy.
So the city of La Crosse will continue eviction proceedings against the corporation, according to a news release from Phil Addis, the city’s attorney in the matter.
The action came after a hearing Wednesday before Western Wisconsin District Judge Catherine Furay, who ruled against the company.
In the meantime, the city will try to work with the corporation to maintain services at the Municipal Harbor for this boating season, Addis said.
The city entered a 25-year lease agreement with the company on Dec. 8, 1977, with the option for renewal. It was renewed for 25 years in May 2002, with a new expiration date of Dec. 14, 2027.
The city began a see-saw battle with La Crosse Municipal Harbor in August of 2013 over financial, health and safety issues.
The city filed an eviction notice and lease termination with the company on Aug. 17, 2016.
A hearing on the eviction was set for Sept. 23, but the company filed for bankruptcy that morning and the hearing was postponed.
That hearing took place Wednesday, resulting in Furay’s ruling and the city’s decision to continue with lease termination and eviction proceedings.