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Office Depot to repay state $2.5 million after audit finds overcharges

Source: By Fredric N. Tulsky, Mercury News (CA), 08/28/2008 08:00:14 PM PDT

Office Depot has agreed to repay the state of California $2.5 million for overpayments, state officials said Thursday, as they released a state audit concluding that state workers routinely failed to get the best value when buying office supplies the past two years.

The findings renewed concerns about a state contracting initiative that was supposed to save millions of dollars while steering taxpayer dollars to California small businesses. The initiative was the subject of a Mercury News investigation earlier this year.