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NOR-S O IV z 0 " Construction Services Richard and Lori Westlund April 24th, 2006 8016 Ski Chalet Drive Breezy Point, MN 56472 RE: Storm Water Agreement Rich and Lori: You left a voice mail for me on Friday, April 7th regarding your concern on the pricing for the storm water system. I had a chance to discuss the pricing with Scott Mudgett from Anderson Brothers. The original quoted cost for the storm water system of$8,450 did include 100 cubic yards of fill. The fill material totaling$1,355 was used to correct drainage on the north side of the Firehall building. The fill cost of $1,355 is not part of the joint storm water drainage structure installation. Original storm water system cost: $8,450.00 Deduct fill material: <$1,355.00> Revised storm water system cost for drainage structures #6 and#7: $7,095.00 Total cost to Westlund's: $3,547.50 Total cost to Sutton's: $3,547.50 (plus $1,355 of fill material) The total storm water system costs include: Large tree and stump removal, 15" HDPE storm sewer piping,two Nyoplast drainage structures, connection to the City storm water system under Government Drive. Note: Connections to the City system are dependent on the City of Pequot Lakes schedule for the improvements to Government Drive. There is a$1,300 balance owed to Anderson Brothers Construction for the final connections to Government Drive. That equates to a total due at this time of$2,897.50. ($3,547.50 minus one half of the$1,300 balance: $3,547.50-$650=$2,897.50) Please issue your payment of$2,897.50 to Nor-son Inc. The balance of$650 will be due once the final connections are made to the City storm water system. Please issue your payment to Nor-son and direct any questions that you may have to Nor-son, attention: Chad Rushin. The control of the storm water runoff is your responsibility. Mr. Sutton and Nor-son have extended ample opportunity for you to be a part of Drainage Structures#6 and#7 on Mr. Sutton's property. This is the last opportunity that will be offered to you. If you choose not to participate in the joint storm water effort described above, please feel free to contact the City of Pequot Lakes and Widseth Smith & Nolting to have your own system engineered, designed, and constructed to fit on your property. I'm guessing the engineering costs will be$2,000 to$3,000 on top of the costs to actually construct the system. Sind Chad F. Rushin Project Manager Nor-son Inc. cc: DaWn Bittner, Pequot Lakes P&Z Kermit Sutton Brooke Silvernail—Nor-son Inc. 7900 Hastings Road, Baxter, MN 56425 AN EQUAL OPPORTUNITY EMPLOYER•MN LIC.0OOO1969