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h4r Gr eg Lee File 43.5-05-000 Mounds Yieiv, 1viN OrloGer S. ?005 lvledtronics -Proposal for Utility Extension Report Page 4 Compensation Compensation for our services, including all items and deliverables as outlined in above Scope of Services would be as follows: • Sanitary Sewer System: Lump Sum of $ 9,500.00 • Water Distribution System: Lump Sum of $10,500.00 • Preliminary Survey: Hourly rate estimated total $ 2,000.00 Totai Compensation: $22,OOO.OU As part of our investigation, we will communicate regularly and as necessary with City Staff to obtain infornation, discuss project questions, and discuss progress. However, it should be noted that the fee stated above does not include any organized meetings with City Staff beyond the project kickoff meeting. Any additional meetings, such as intern~ediate update meetings or meetings to present the completed report, if desired by the City or developer, would generate a request for compensation on an hourly basis, in accordance with the rates and terms stated in our on-going contract for services with the City. It should be noted that in the event this project were to continue development, and the City were to direct us to prepare detailed construction plans and specifications, those would be prepared under our existing contract with the City. As stated in our contract, the design fee for the plans and specifications is determined as a percentage of the construction cost of the project. At the time the design fee for the plans is collected, an appropriate credit for the feasibility report that • preceded the plans as part of the project is given to the City. The credit for tl~e report fee is determined based on the portion of the study that proceeds from feasibility report stage to construction plan stage only. No credit is given for those efforts to investigate design alternatives as part of the report, or for' those portions of the selected alternative that are included in the report but not included in the final construction plans. In addition, no credit is given Far preliminary survey activities performed as part of the design. This information is stated here so that the City and developer are aware that, although a significant portion of the report cost stated above would be able to be credited back if the project were to proceed to final construction plans, the entire cost of the report would not. Potential Additional Sanitary Sewer Analysis It should be noted the capacity analysis per'forn~ed under the Scope of Services may find the existing City system, specifically the existing 18-inch diameter- main on laclcson Street, is not able to accommodate the anticipated flow increase from the development. In that case, additional analysis and investigation could be performed to determine the options available to the City to accommodate the flow. Potential options could include a new City sewer main parallel to the existing 18-inch main, replacement of the existing 18-inch main with an upgraded, larger diameter main, or some combination of these two. Options could also include investigating a new, separate connection to the existing 50-inch diameter MCES main for a new parallel line, use of the existing City connection to the 60-inch MCES line, or the possibility of a new City connection to the existing 30-inch diameter MCES on the south side of Highway 10. Options would be dependent on the allowances of existing agreements between the City and MCES.