Ray Schultz is a good man, but he sold his soul to Marty, something anyone wanting that job would have had to do. The biggest reason beside Marty owning him, was that he did not support his troops when they were berated or called on the carpet by the Mayor. Ray is loyal to a fault, but only in one direction. Some other reasons he has to go is the policy that makes Albuquerque a de facto Sanctuary City. Then there are the Red Light Cameras which he got behind, or was told to get behind.

Chief Schultz would have been a better Chief under the incoming Mayor Berry. But that's not how it turned out for him, he played his hand and its time for him to fold and go.