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My wife and I are in the same boat with our Cross Country. The maintenance is required when you get up in the miles. I heard they like to replace the water pump as a precautinary measure. Apparently if it fails it will destroy those new belts. I also found out that if the timing belt breaks it will cause the valves to collide. That will cost a lot to repair. This is all standard preventive maintenance. The price you were quoted seems in line with other Volvo dealers. An independent shop might bring that cost down a little on the labor side, but if you go this route make sure the indy shops knows Volvo's well.
Also, make sure the dealer gives you a loaner, actually insist on one. If they are good on customer service you shouldn't even have to ask. A lot of Bickboard users are Volvo mechanics or work for dealers; hopefully some of them will chime in on your question!
Brad
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