Hudson County, N.J., says vendor added the extra IT staff it later cited to justify a higher Hindsight price

JERSEY CITY, N.J. — The three extra computer technicians that Hudson County cited to justify a higher first-year price in its new $25.6 million information technology contract were added by the vendor on its own in 2023, not at the county’s request, County Executive Craig Guy’s office told Hudson TV.

The Board of County Commissioners approved the seven-year, $25,593,480.20 contract with Hindsight, Inc. on Oct. 8 to run the county’s management information systems and related telecommunications. Hindsight, the current vendor, was the only company to submit a proposal.

What the county’s memo said

An Oct. 1 memo recommending the award, written by First Assistant County Counsel Christine Moro to County Administrator Abe Antun and other officials, said the final year of Hindsight’s current contract cost $2,488,170. It said the first year of the new deal would cost about 12% more and that “this increase is justified by the fact that, due to increased demand for services, the County increased the minimum number of assigned FTEs (Full Time Equivalent employees) by 33% (from 9 to 12) from the previous term to this contract period.”

The new contract’s first year is $2,833,237.04. That is $345,067.04, or 13.9%, more than the $2,488,170 figure in the memo, according to Hudson TV’s math.

But in June, while the county was taking bids, it told prospective bidders in a written answer that “the incumbent currently employs 12 FTEs with a role mix consistent with that described in the RFP.” The request for proposals set 12 full-time equivalents as the minimum.

What Guy’s office said

Hudson TV asked the County Executive’s office how the staffing change affected the price. Mark Cygan, the office’s communications director, answered by email on Oct. 19.

“In 2023, following the sale of Hindsight to Johnston Communications, an internal decision was made between the two parties to increase assigned staff from 9 to 12,” Cygan wrote. “This decision was not made at the request or in consultation with the County.”

Because the old contract required “a minimum of 9 FTEs” and its prices were fixed through 2026, “no remuneration was requested from the County to account for the additional staff,” he wrote. “In 2026, when evaluating requirements for the new RFP, service levels were positive with the 12 assigned FTEs, so the decision was made to maintain the existing staffing model so as to maintain the current level of service.”

Cygan also said support for the county’s Department of Family Services, about 750 employees, was added to Hindsight’s work in 2021 without raising the required staff. The county’s memo says Family Services accounts for 30% of county employees and that the county is reimbursed for that share of the cost.

The county’s written answers to bidders also said that “currently, there are no published SLAs or performance metrics” for the work, referring to service-level agreements. The county said it reserves the right to add one, with penalties, if performance problems arise.

The $175,000 gap

Hudson TV also asked why the memo puts the final year of the 2021 contract at $2,488,170 when the 2021 resolution and contract set Year 5 at $2,663,170, a difference of $175,000.

Cygan said Hindsight’s 2021 pricing included $175,000 per contract year for a project management consultant. “This service was never required/requested; therefore, the $175,000 fee was never paid,” he wrote. “The $2,488,170 cited in the memo accurately reflects fees paid for services provided.” At $175,000 a year, that consultant allowance would have totaled $875,000 over the five-year, $11,659,334 contract.

Why it matters

When commissioners voted Oct. 8, Commissioner Bill O’Dea abstained. He said on the meeting video that he couldn’t get past the 12% and 10% increases in the early years, and asked whether the county now required 12 employees, since “the vendor on their own and at their own expense added employees a couple years ago.” The 2026 request for proposals does require 12. Prices in the new contract rise 10% a year through Year 5, then stay flat at $4,148,142.36 for Years 6 and 7.

What’s next

• The new contract starts Oct. 28, 2026, according to the resolution.
• The county’s Oct. 15 records release to Hudson TV did not include a signed 2026 contract. Hudson TV will report on the signed contract when it is released.

Hudson TV asks: Should Hudson County require service-level standards, such as response times and uptime targets, in a seven-year, $25.6 million IT contract? Share your take in the comments.

Got a tip? Email info@hudsontv.com or text 862-417-6695.

Photo of County Executive Craig Guy in the graphic: Hudson County. Graphic by Hudson TV.