TORONTO -- The Ontario government should open up the public sector -- including school boards and municipalities -- to competitive bidding, PC Leader Tim Hudak says.

"When you have closed tendering, it's only a couple of steps away from corruption," Hudak said. "And you don't get good quality services at the end of the day."

Hudak stood before the Toronto District School Board (TDSB) headquarters Wednesday which paid $143 to a sole-sourced maintenance contractor to have one pencil sharpener installed at a school.

The Ontario Tories will release their newest white paper -- A New Deal for the Public Sector -- Thursday with proposals to "focus government on the core services that matter most to taxpayers, creating a leaner public service that delivers more value for less money."

Hudak has already suggested that the Ontario Lottery and Gaming Corp. (OLG) let private sectors operate the gambling business.

He also called for booze in convenience, grocery and other private stores, and the possible sell-off of parts or all of the LCBO.

Hudak said Wednesday that the government has no business limiting who can bid on contracts in the public sector, and the savings would be substantial with real competition.

Education Minister Laurel Broten said school boards have responsibility for the management of their capital projects and contracts.

"But I can assure you that it is a concern to us when capital projects overrun as we saw was the case with the Nelson Mandela school," she said, referring to a TDSB renovation that ran more than $10 million over budget.