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Oct 04 2004 9: 02RM ORSIS SPORT SHOP 218-568-4572 p. 2 Oct 01 04 03:49p - M M Becker 7122395677 p. 2 Water Ooiober 1,2004 Mr.Tom Ryan City of Pequot Lakes 30671 Highway 371 Pequot lakes,MN 56472 Dear Mr.Ryan: I want to thank you for inviting Veolia Waler North Anrerice Operating Services,LLC(Veola Wailer),to revisit the proposal we aftniltled to the C*/in 2003. As I stated in earlier Corrurxmiewlion%we are very inlet in the'prosped of working with the City. Since our discussion a few weeks Mack.I have been working with other nwmCement*A m evaluate our tact proposal and to Prepare a revised offer for pear review and cornnent The following continents are r y bed estirnales of what the Vedb plan will be for 2005. When we initW spoke,I explained that we might run into time constraints due to the risk managerneM review and other corm lirrrents We need to revisit the site to confirm our due diligence.hamww I can offer this br council review and discussion. Veoia Water would propose b operate your water,wastewater facilities along with bIWV as amt narized in our November 2003 proposal with the*ftwinp general dwW • Brett Twardy will be offered the position of Project Manager4n Training. He will receive one4m-one management support and mentorinp from my Senior Project Managers. • OperAw on-cal, weekend and holiday rotation work will be shared with Pine Rive. Our Adrnk istr adve Assiblarrt from Pine River will also be shared with Pequot Lakes. • As with al'of our projects, Pequot Lakes wil receive RA support from our regional and national suwd aw. • Vieola Water wit honor Tina's cornrnitrnert to the US Armed Farces by oft iig her enuptoyewit upon her ratum lo avian work. Vedia will hire another operalor,wilt tai decioeure of TmWa rehire sbAus. • Visalia Water Is wiping to enter kb s 2 year eorrsnibmt,with a demobir¢allon coat of 356000 erhoudd the contrad not be renewed at the and of the first two years a VWNA vd assist the City in evakWing their Cornpreheneive PIS, Rata Sttrdres and other such programs vuhetrever passible. We have experienced staff that has the knawk:dge to provide such input. however,this will not always replace the need for kensed pi ofeesbnat engm Baring service. For oouncfl discussion, I can provide an astimale of the costs. This estimate is based on the original proposals scope of services with the incorporation of the above stated assurnptions. The eslinmled fee for Wales is 5126,580; the Waslawatar fee would be S13Q,M, for a combined total of V%,780. Usng the updated numbers provided, the diRerence between the proposed City 2005 budget and the Vooka Water estimate is$0,000. visor A WATER Nome AMR=OPw►rtruc sr rWCU.LLe