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CITY <br /> FIRST MODIFICATION TO TOLLING AGREEMENT <br /> In consideration of the mutual promises made herein, this First Modification to <br /> Tolling Agreement ("First Modification') shall he effective as of the 2d day of March <br /> 2020 by and between the Tulalip.-Everett Water Pipeline Joint Board ("the Board") and <br /> Stantec Consulting Services Inc. as successor to MWFI Americas, Inc. ("Stantec"), <br /> referred to herein as the"Parties,"or individually as a"Party." <br /> RECITALS <br /> A. On or about June 8,2007, the Board entered into a contract("the Contract") <br /> with Stantec for consulting services related to the design of a pipeline for delivery of <br /> water from the City of Everett's water system to the Reservation of the Tulalip Tribes of <br /> Washington(the"Project.") <br /> B. On or about April of 2017, the Project was placed into service, including <br /> the numerous individual segments which were part of the Project. <br /> C. On or about April 24, 2019, possible defects in pipe joint mortar lining in <br /> Segment 7S were discovered. Further investigation confirmed that many Segment 7S <br /> pipe joints were experiencing mortar lining delamination. <br /> D. On April 29, 2019, the Tulalip Tribes of Washington put the contractor <br /> Inico General Construction ("Imo") on notice of the above described mortar <br /> delamination issue. <br /> E. Imo subsequently mobilized to the Project to examine and remediate a <br /> specified set of known areas of mortar delamination on Segment 7S. <br /> F. Effective June 1, 2019, the Parties entered into that certain Toiling <br /> Agreement related to the Project. <br /> G. Investigation is continuing to occur whether the mortar delamination issue <br /> discovered on Segment 7S has occurred in any other segments of the Project. Because <br /> that investigation has not been completed at this time, the Parties believe that it is <br /> appropriate to modify the Tolling Agreement to provide additional time for the <br /> investigation of mortar issues in the Project as provided below. <br /> MODIFICATION <br /> 1. Incorporation of Recitals. The above Recitals are incorporated herein by <br /> reference. <br /> 2. Termination. This Tolling Agreement will be in effect until termination as <br /> provided herein. The "period of tolling"(defined as the period of time between April 25, <br /> MODIFICATION TO TOLLING AGREEMENT <br />