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City council unable to reach agreement on lease agreement with Gundersen for helicopter hangar

Posted: Mon, Aug 6, 2018 6:23 PM

Gundersen Health Systems and the City of Decorah continue to try to reach an agreement which would pay for building a new hangar at the Decorah Airport for Gundersen's Medlink helicopter.

Gundersen wants to make a total of $1 million in rent payments for the hangar over the next 20 years, but city officials believe the costs may reach $1.3 million, including the $340,000 in financing costs. 

City council member Dan Bellrichard Monday night said he opposes the agreement because city officials had been told up until a few months ago that Gundersen would pay all costs.  Bellrichard says he supports Gundersen, but "has real reservations" about the city spending $300,000 or more on the project.

A resolution to approve a contract with Gundersen failed on a 4-3 vote Monday night, with the issue instead being tabled until the city council's next meeting on August 20th.