The Leafs had reportedly offered Sandin a similar deal to the one that they had already given to
Timothy Liljegren (2 years at $1.4M per season). With the gap between Sandin and the Leafs being somewhere around $1.2M per season, it's a reasonable expectation that they'll end up splitting the difference and meet half way. That would bring the offer up to $600K more than they wanted to pay, totaling $2M - the exact amount of the final season of Justin Holl's deal. Essentially, if the Leafs want to keep Kerfoot, they can absolutely afford to - and the longer they go without moving the swiss army knife that is Kerfoot, the more it looks like they intend to start the season with him.