Not very defensible. Wherever you are, this is probably fairly settled law. In Illinois, playing games with fees for non-commercial requests is likely to land you in a suit with fee recovery for the plaintiff and thus good legal representation on contingency.
It would seem a reasonable case to make that their vendor should be able to assist them in these data requests, too, particularly if the vendor were profiting from the data. My own opinion is that vendors who collect data from governments like this should be subject to foia themselves.