The $3,000 quote for labor might seem a lot, but that’s about 20 hours.
That’s quite reasonable for the job I think, if $150 p/h labor rate is considered reasonable, but that’s the going rate in my neck of the woods.
I’m sure BRP pays the dealer half of that for warranty work as they no doubt assume:
a) the dealer does lots of them so gets quite good at it, and
b) they probably don’t give the dealer any profit on the work.
So, the dealer’s estimation for the work duration is seemingly realistic so they obviously know what needs to be done.
If I had them do the work, I would ask them if their warranty for that work is supported by them at your local dealer if there are subsequent issues down the road.
Me, I would check out reviews of the SD dealership, and if they seem to know what they are doing, I’d have them do the work, test ride it around for half a day near them, and if all is well, ride it home.
I think that’s probably the cheapest option and probably the one I would choose. I wouldn’t worry about two techs working on it; they may use the regular certified service and repair tech to do the engine out and back in, and the certified master tech to do the transmission work. That’s what BMW shops often do.
If you can get BRP to at least provide the parts for gratis, that would be good. By the time you get up there, pay for hotels and food etc, trailer rental, is trailering it back to your location going to be any cheaper, even if your local shop is cheaper per hour and charges you a few less hours?
It’s not going to be a cheap repair anywhere you get it done. By the time you are all in, it’s going to be 1/3rd of the retail value of a similar year used machine. You have to ask yourself if parting it out, or selling it to somewhere to part out, gives you enough financial bandwidth to upgrade to a newer model?