Michigan Spends Millions on Contractor

By: The Associated Press
By: The Associated Press

DETROIT (AP) -- The state of Michigan is spending millions of dollars on a contractor to run its welfare computer system partly because it doesn't offer enough money to attract new hires.

A system called Bridges keeps track of welfare cases in the Department of Human Services. In February, Deloitte Consulting was given a one-year contract for about $15 million to maintain it and make regular updates.

Officials concede it would be cheaper to move Bridges support completely in-house but that won't happen soon. Jim Hogan of the state's technology department says the goal is to have 80 percent by 2015.

He told The Associated Press he lost 15 people to early retirement in December and had several vacancies starting at roughly $42,000 a year. Nobody applied.

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