Ontario’s fiscal watchdog says it’ll look right into a provincial choice to shut 9 ServiceOntario centres and change them with kiosks inside choose Staples Canada shops, after a Liberal MPP referred to as for an inquiry.
The Monetary Accountability Workplace introduced the inquiry in an announcement on Monday, saying it’ll search to grasp the “fiscal impression” of the federal government’s choice. The FAO mentioned the scope of its “analysis venture” can be restricted to the relocation of 9 ServiceOntario centres to Staples Canada stores.
The FAO’s announcement comes after Stephanie Bowman, who represents Don Valley West, wrote to the FAO in January concerning the deal and requested it to look into plans by the federal government to maneuver ServiceOntario kiosks into Staples Canada and Walmart shops. The FAO, nonetheless, says it’ll have a look at solely the take care of Staples Canada.
“The report will examine the monetary prices and advantages of the federal government’s contract with Staples Canada with the choice of constant contracts with impartial non-public operators,” the FAO mentioned within the assertion.
The FAO says it plans to finish a report by early 2025 however entry to info may have an effect on when it wraps up its inquiry.
“The FAO should obtain well timed info from the province to finish the venture and delays in receiving info may have an effect on the venture timeline. Additional, the timeline to finish this venture could also be impacted if different FAO initiatives already in progress take longer than anticipated to finish.”
Bowman mentioned the ServiceOntario choice was performed and not using a aggressive bidding course of. Ontario residents get their driver’s licences, licence plates, well being playing cards, Ontario Photograph Playing cards and beginning certificates amongst different provincial paperwork at ServiceOntario centres.
WATCH | Liberal MPP says contract ‘merely handed’ to Staples:
Fiscal watchdog probes ServiceOntario take care of Staples
The deal to place Service Ontario kiosks in Staples shops is now being investigated by the province’s Monetary Accountability Workplace. It comes after a request by a Liberal MPP who questioned how the association occurred and not using a bidding course of. Queen’s Park reporter Lorenda Reddekopp has extra.
“Your evaluation would shed much-needed gentle on the prices and advantages to the taxpayer from these preparations; the impression, if any, on unionized jobs within the civil service; and different potential implications,” she wrote in a Jan. 29 letter to the FAO.
Authorities must be held accountable, MPP says
At Queen’s Park on Monday, Bowman mentioned she hopes the inquiry supplies solutions as a result of it isn’t clear who’s benefiting from the deal.
“They’re shutting down small companies. This isn’t a authorities that is working for small enterprise. They’re working to make their wealthy buddies richer and we expect the federal government must be held accountable,” Bowman mentioned.
“This can be a scenario the place this was merely handed to Staples with none transparency, with none readability with what the aims had been.”
Todd McCarthy, Ontario’s minister of public and enterprise service supply, mentioned at Queen’s Park on Monday he appears to be like ahead to the inquiry and is assured that the deal is sensible.
“On this case, in fact, we’ve extra for much less. We’re saving one million {dollars} over three years and we’re getting extra comfort, extra entry, longer hours.”
The longer hours imply the kiosks are open evenings and weekends.
Ontario NDP Chief Marit Stiles mentioned the federal government didn’t make a enterprise case for its choice.
“This was clearly one other dangerous deal. There is no obvious enterprise case for it. I am trying ahead to what the FAO turns up,” Stiles mentioned.
Ontario Inexperienced Social gathering Chief Mike Schreiner added: “Why do not they only work with current operators to increase their hours? Why have they got to pay Staples to renovate their shops to do it, after we may simply have it’s a part of the contract with current Ontario-based operators?”
