September 20, 1990

The Corporation of the
City of Port Coquitlam

-3-

Fee Basis

Associated Engineering will charge for services on this project on
the following basis:

.l For construction contract administration, inspection and as-
builts, labour at usual hourly charge-out rates.

-2 Disbursements (travel, reproduction of data, telephone calls,
etc.) at cost plus 10% to cover handling.

.3 Subconsultant fees to be paid by Associated Engineering and
charged at cost.

Budgets

We expect that the contractor will work regular hours, 5 days per
week, for 17 weeks. On this assumption, we have established the
following fee budgets.

Budget Estimates

.- Contract Administration $ 6,800
- Construction Inspection 29,600
- Materials Testing (Terra) 7,200
. As-Builts 1,550

TOTAL $45,150

Labour will be invoiced based on actual manhours expended. For
the purposes of the above estimate, we have assumed no overtime
work will be required.

Subconsultant labour and disbursement costs will be charged in
accordance with Terra Engineering’s proposal attached hereto.

Billing Procedure

Invoices will be submitted on a monthly basis, and each invoice
will reflect the costs incurred during the preceding month.
Invoiced amounts are due and payable on receipt of invoice.

ASSOCIATED
ENGINEERING