@[zohanjimmy](contact:330098)
A little steep is an extreme understatement, please don't pay them for this!
The exhuast flap is not causing your issue. It only modifies the sound of the exhaust and marginally adjusts backpressure for faster spooling. Lots of people run their cars with the valve open all the time or closed all the time. Even having the valve stuck open/closed/partially open will only trigger a DTC that will not put your car in LIMP mode. Many people who get mufflers without the exhaust valve just disconnect the little actuator motor and just ignore the code.
According to BMW AG flat rates the job to replace the actuator takes between 10 and 15 minutes, and a new actuator costs about $94.
EPDW valve will cause LIMP mode because the DME cannot control the wastegate properly. It costs like $125, and is about a 5 minute job (according to BMW AG flat rates), don't pay the stealership!
If the dealer was charging MSRP for parts (many service departments often jack up the price of parts they use by 15-30% over MSRP, just for picking the parts up from the parts department in the next room) it would be $114.37+$149.95=$264.32 for parts at MSRP, this is the price you would likely pay if you went around back to the parts department yourself, but they can be found 15-30% cheaper than MSRP from OEM re-sellers like ECSTuning.
Labor is maximum 20 mins+5 mins= 25mins.
Dealers often charge between $150 and $200/hour for labor, even if they took the 25 minutes and rounded it up to a full hour, your labor cost would be $200.
So, a "fair" price (MSRP parts and $200/hour rounded up to the next hour) would be $200labor+$264.32 for parts=$464.32. They quoted over 3 times that amount, your service department is gouging you, please don't be a victim! They're trying to charge over $1,000/hour for labor!