Before I check if I've quested successfully, suppose I exhaust Radagast's Staff, and then want to play a Tactics Creature via Hirgon. His response says, "...reducing its cost by 1 (to a minimum of 1)..."
If the ally costs 3, I assume it now costs 1. (Staff is -2, and Hirgon can't reduce it further).
But what if the ally costs 2 (or 1). Would it cost 0 because Hirgon can't reduce it further? Or still 1?
The real question is, does Hirgon still pay 1 for a 0-cost ally? So even without Radagast's Staff, the only eligible Tactic ally (as of now) is Dunedain Hunter.