This article seems to be misleading to me. If you click on the report the savings is due to outsourcing the work away from county employess.
This is a tough call. If well managed (this is very seldom the case) public sector employees are cheaper and do equally good work as consultants. Private firms must make a profit to stay in business, while government operates 'at cost'. And private companies in my experience are more likely to "cut corners" to increase profits, while government workers don't care how long a job takes or how much it costs- they get it done right. (Again, here good management is needed but most often lacking.)
Every few years, NY state pays for a study on outsourcing. At great cost, the studies each show that it's slightly cheaper to use state employees. And every time, the consultants, etc. line the pockets of the pols and we keep throwing money away.
You also have to be careful when you outsource. These firms will low-ball their bid the first time, even taking a loss. Then, after the government has laid off their employees, sold off the equipment, etc., when the contract comes up for bid again they nail ya.