RALEIGH — The North Carolina Office of the State Auditor released a preliminary audit report showing that the Charlotte Area Transit System, or CATS, had cut back its security force by 40% in the years leading up to the August 2025 murder of Iryna Zarutska on the city’s light rail system.
“The safety of the citizens of Charlotte needs to be first and foremost when security decisions are being made,” said State Auditor Dave Boliek. “Our report shows there has been a clear shift away from armed security in the CATS’s private security contracts.
“Further, limiting any part of a contract providing citizens with security to only firms that meet a DEI checkbox raises questions as to whether politics has taken priority over public safety. As we continue our investigation, we will be examining the decisions that went into designing, soliciting, and approving these security contracts.”
House Speaker Destin Hall (R-Granite Falls) reacted to the report on X, writing that Boliek’s investigation “revealed that Charlotte officials put woke DEI ideology ahead of public safety. This is unacceptable. The House will be taking action.”
Two days later, Hall announced the formation of the House Select Committee on Involuntary Commitment and Public Safety that will “study and make recommendations regarding the intersection of mental health services, involuntary commitment processes, and the safety of the general public.”
According to the audit report, the Office of the State Auditor (OSA) reviewed security contracts for CATS for the years 2018 through 2025. During that time, CATS spent $49 million on private security contracts and contracted with three firms: G4S Secure Solutions/Allied Universal Security Services, Strategic Security Corp. and Professional Security Services (PSS).
“Documents provided by the City of Charlotte show there were major fluctuations in the number of armed security servicing the CA,” OSA said in a press release. “Accordingly, while the CATS’s security contract value has increased from $5.9 million in 2022 to $18.4 million in 2025, the number of armed security has decreased by at least 40% over that time.”
The decrease was determined by comparing 2018 contracts with the contract currently in use.
Under the 2018 contract with G4S, CATS had approximately 108 security personnel, with 68-88 of that staff armed.
Following a 2022 request for proposals (RFP), Allied — the firm in use at that time — was rejected, and CATS switched to Strategic Security Corporation (SSC) for armed services and Professional Police Services (PSS) for unarmed services.
The audit notes that PSS is a CBI-certified minority-owned business whose founder’s wife was a 30-year Charlotte-Mecklenburg Police Department veteran.
SSC’s contract was canceled in June 2024 for unsatisfactory performance, and CATS amended PSS’s contract to cover armed services without a new RFP or competitive bidding. The amendment included providing up to 219 total personnel, but only 39 armed.
Even though PSS’ contract included 219 personnel, the company was only providing 186 around the time of Zarutska’s murder. The OSA noted that “having only 39 armed security personnel does not permit the CATS to have an armed guard on all of its 48 train cars at once.”
The OSA’s report also says “inclusion” practices played a role in the city’s security contracts.
The unarmed portion of the 2022 RFP for security was “targeted only” to vendors certified under the city’s Charlotte Business Inclusion (CBI) program, which promotes minority, women and small business enterprises. In doing so, non-CBI firms, even if qualified, were excluded from consideration.
The audit report cites an email from City Compliance Officer Terrence Watson, who emphasized restricting bids to CBI-certified security firms.
“This solicitation is only open to CBI security firms, it is not open to other firms regardless if they have other certifications by other parties,” Watson wrote in his email.
Additionally, the report shows that Charlotte’s CBI Advisory Committee may have shown politically partisan bias in their discussions based on an April meeting of the CBI Advisory Committee, with the audit referring to comments made by Chair Ciara Lilly.
The audit report says committee members were encouraged “to listen to the Republican argument” made in support of House Bill 171, legislation aimed at removing DEI from state government, so they could “be prepared to counter it.”
Charlotte Mayor Vi Lyles’ response pushed back on several aspects of the preliminary audit, including the timing of it, and she asserted security contracts were selected without violating federal procurement rules.
“PSS has met contract requirements and continues to provide satisfactory services,” Lyles said.
Lyles also framed Lilly’s comments as nonpartisan in keeping the business community informed about potential legislation affecting contracting opportunities, yet wrote, “It is important to note that Ms. Lilly is not a city employee nor is compensated by the city for her role. She was expressing her own views.”
During an Oct. 3 press conference, Lyles said bike and UTV patrols were being added, and said she she would be backing a resolution to increase fare enforcement. Interim CATS CEO Brent Cagle said PPS staff has been increased to 200 people, 40 of whom are armed.
Lyles was asked about the Char-Meck Fraternal Order of Police (FOP) calling for National Guard troops to be deployed to the city to quell crime.
“I believe we will not need the National Guard to come to Charlotte,” Lyles said.
The FOP’s letter to Lyles and city leaders cites 14 homicides since Zarutska’s August murder.
