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<br />DLR Group inc. <br />a Washington corporation <br />51 University Street, Suite 600 <br />Seattle, WA 98101 <br /> <br /> <br /> <br />May 6, 2025 <br /> <br /> <br />Stewart Potter <br />Bayley Construction <br />8005 SE 28th Street <br />Mercer Island, WA 98040 <br /> <br />Re: Project Name: Everett Outdoor Event Center <br />DLR Group Project No.: 73-25119-00 <br /> <br />Dear Stewart: <br /> <br />We have refined and expanded our fee proposal that was provided in February based on the programming, <br />budget estimates, and advanced research for the Everett Outdoor Event Center. This revised fee proposal is <br />based on the Cost of the Phase 2 Work of $42,000,000. Please note that most of the estimate fees for each <br />scope of work is a percentage derived from the construction budget above. If the Guaranteed Maximum Price <br />(GMP) is approved at a higher budget or additional funding is procured, we will request and Additional Service <br />for the deviation to accompany the project of higher scope. <br /> <br />It is our understanding this fee proposal will be included in your proposal to the City of Everett for review by the <br />City Council in mid-May. We anticipate authorization to proceed following that meeting for a schematic design <br />kick off the week of June 2, 2025. If this schedule is modified, there may be a requirement for additional <br />services as well because of any follow up work that may be requested to achieve notice to proceed. When this <br />proposal is accepted, we will be invoicing for the work completed t hat is above and beyond the stipend <br />provided. <br /> <br />This is a list of modifications that were made to the proposal for your review. This narrative can assist in <br />evaluating a line by line review as necessary. <br /> <br />1. Proposals have been received by all but one design consultant (see below). The consultant <br />proposals are attached to this memo to confirm fees. Some have gone up and down with the <br />refined level of detail that we can provide. <br />2. Basic services fee percentage has been revised to 5.68% of the MACC. This was accomplished for <br />three reasons: <br />a. Architectural / Interiors / Project Management was reviewed based on the timeline set for <br />design to provide the construction schedule required. For this context, we can expedite <br />some services and limit the budget to 4% in lieu of 5.05%. This is considered an efficiency <br />to the design services and how we will operate. <br />b. Civil Basic Services in the WA State Fee Schedule is a portion of the civil design that <br />includes the typical items that every building regardless of complexity would require such <br />as connection to utilities, general grading, etc. This is equal to 20% of the total civil design <br />fee. This has been revised and reduced the basic services. <br />Design-Build Contract for Everett Outdoor Events Center <br />Exhibit C - Phase 1A Work and Fee Proposal