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It will cost $1.5M more than announced to run 9 Service Ontario branches in Staples stores: financial watchdog

Did the province save money with this deal?

Todd McCarthy, minister of public and business service delivery, defended the contract with Staples in the wake of details going public. He said it will save a projected $900,000 over the course of the three year pilot project.

The FAO isn’t so sure.

In one scenario, the FAO said it would have been cheaper to renew agreements with the original operators. This would have cost $10.9 million – which is cheaper than the Staples deal.

But in another scenario, the province would have inked deals with the original operators but pushed for expanded hours and additional health card services. That could have cost $12.9 million, which is more expensive.

Reporters will have a chance later Wednesday to ask the FAO questions about these scenarios.

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