I'm not an expert in bolt-actions, but to my knowledge, the only thing different between the 700PSS and the 700 Varminter is the stock. That 700 PSS's stock should be similar to the ones used on those old M24 sniper rifles that the Army uses. I'm not sure what the VS stock is (I'm assuming the "S" stands for "synthetic" though), but the PSS stock has a better grip than most hunting rifle stocks.
Other than that, when you put a PSS next to a VS of the same caliber, I believe they're just about the same rifle. Maybe the 700PSS has a different length barrel? I don't know. But I'm thinking they're about the same, except for the stock package. From what I hear from my range buddies, that looks like about the right price for your 700 Police. Again, take everything this novice has said with a grain of salt and caution.
[brown]Evil Jewbroni~[/brown]