The Ford government is planning to expand ServiceOntario locations into retail stores through a new request for qualifications looking for potential retail partners. Minister Todd McCarthy stated that there is no cap to the number of businesses they would consider for this partnership. The criteria for interested businesses include being located in central, accessible locations with strong community presence, parking, adequate space, and a cost-effective lease. This move comes after criticism over a deal with Staples to run some ServiceOntario kiosks without a competitive tender.
The government’s previous deal with Staples involved closing privately operated ServiceOntario locations and relocating them into Staples stores. Staples received an annual fee for running the kiosks, as opposed to the per-transaction basis the government paid for the previous locations. The business case for the Staples deal showed that Staples would receive a total of $1.75 million in one-time costs for setting up nine kiosks, and $8.29 million over three years to run the locations. This deal was criticized for lack of competitive tendering, unlike the current public process for new retail partners.
The government considered various major stores for potential ServiceOntario kiosks, including Loblaws, Metrol, Ikea, and Costco, according to the same business case. Six pilots were listed in the business case, including co-locating ServiceOntario at municipal libraries, with First Nations, and integration with other government services. The fifth pilot, labelled “retailer,” involves full ServiceOntario locations and express locations. Ontario NDP Leader Marit Stiles criticized the government for always wanting to privatize services, emphasizing the professionalism and quality provided by the public model.
The request for qualifications for new retail partners is the first step in a longer process to identify potential partners for hosting ServiceOntario locations. The posting online asks if retailers or business owners are interested in partnering with the Government of Ontario to provide space for hosting ServiceOntario centers. The move to expand ServiceOntario locations into retail stores is part of the province’s evolving delivery model and aims to provide convenient access to essential government services for the public. This initiative is in contrast to previous criticisms over privatization and lack of competitive tendering in similar service deals.