Cletus and Agnes are trapped in Father Inverness' church above the tannery by a long line of wagons setting up outside for a parade. Therefore, Cletus speaks with animals to interrogate a rat "Ratty the Nineteenth". The rat king isn't a sinking ship, but he might be found near ships to the west.

Gracchus, Belor, and Justus have thoroughly trashed the Plumber's Guild by now. Being bored of waiting, they then decide to also go to the church above the tannery. Along the way they see Anselm Rodric from city planning's festival float: giant Sebastian. Along with some supporting staff dressed up as horses, the apparent symbol of city planning.

Once reunited, the entire party spends the night at the church above the tannery with the permission of Father Inverness. And a helpful night tannery worker "Linus, the Tanner" tells the party about the Festival of Clouds and also that the noble houses are in the southeast corner of the inner city.

Now being the next day, the party starts looking around. The festival parade starts gearing up, but hasn't started yet. In the distance there's an agitated crowd and dim shouts of "mud, mud". Perhaps it's a temple district uprising?

The party drops all pretense at stealthy movement and rushes toward the temple district. Along the way, a woman "Tanya" complains about her missing kid "Timmy" to Agnes. In the temple district, the party sneaks past a city guard barricade and finds that the Cohlved monster has escaped from the bowels of the Temple of Tani. It's currently wedged in the door, unable to get out. The city guard is cowering behind cover, unwilling to attack it. "Blood, blood! Blood for the blood god!"

It is now mid morning, and the party is feeling antagonistic.