We have our extension. 3 months from date of application and the process took 2 weeks. There is a lot of misleading information on the web.
My understanding is that every police station can do it. Ours was done in Biourga near Agadir. Rules very from station to station even in the same area. The process took 2 weeks and was organised by our campsite for a small fee.
The police needed: 3 certified copies of our passports, 6 passport photos each ( some require 8). Proof that we have financial means to pay, in our case a single credit card between us was sufficient. A one page form, copied and signed 3 times. A local address is required.
You need to allow time for the police to provide the certificate, 2 weeks for us, and you need to be staying somewhere long enough for them to be willing to provide a letter confirming your address.
It is free. So definitely cheaper than leaving the country. But it is not a three month extension of the passport stamp, it is 3 months from the date the police give (date of application in our case).
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