Expectations from a remote software development contracted team

All of our software development is done by a 3rd party company. This is my first experience working with a software development team that is not part of my company. The team is together but remote. 

The relationship pe-dates my joining our company. I am here to manage projects, manage the team from "our side", manage the relationship and to provide technical expertise where I can. Prior to me there was no software role at our company. 

The team is made up of 4+ senior .NET developers, an architect a PM and a QA person. 
T
here are little to no automated processes in place at their remote development shop. The QA person has built many automated tests using Selenium. The tests have not been updated as we make changes to the application though. They have a regression test process, but it's dated too. The message delivered to me is the QA person does not have the time to keep up with this with all of the work/changes we give them. 

They are not using a build server, not using CruiseControl, NAnt, NUnit, NMock or any similar continuous integration tools.

I have planted the seeds for all of this and they are working on it. 

Should I have to pay for the time it will take to implement this automation on their side? Or should this be a part of a company like theirs offering? I do not think I should have to pay for the time and resources it will take to set all of this up; I expect all of this to already be in place; but again this is my first time working with a contractor like this. 

In addition, I assumed they had their own QA environment. They do not and suggested we would have to pay for the hardware for them to set up a QA environment. We do have a hosted staging environment that we pay for, but not a hosted QA environment.  

Should I have to pay for their QA environment too? 

I am not complaining; simply trying to figure out if my expectations from this kind of relationship are realistic. 

Thanks