The city of Hamilton has ordered accessible transit provider DARTS to immediately pull more than one-third of its fleet off the road amid an audit it says revealed "significant failure rates" during safety inspections.

It started with an anonymous complaint about safety that led to an initial inspection of 40 DARTS and subcontractor vehicles. Those inspections found 45 per cent were "deficient," according to a letter from Mayor Fred Eisenberger to the transit provider.

The issues range from less-serious problems involving lights and wipers to more-serious such as suspension, said transit director Maureen Cosyn Heath during a media update Thursday morning.

The audit has since expanded to include all 136 DARTS vehicles and is now underway, Cosyn Heath said. It is expected to take up to three weeks to complete.

"The city has directed that any vehicle that has not passed inspection for any reason be taken out of service until such time as its safety can be verified by third-party mechanics selected by the city," she added.

In an update shared with media Thursday afternoon, the city said 99 vehicles had been inspected as of 4:15 p.m.

Of those, 82 passed, while 17 failed. Thirty-six vehicles still need to be inspected. Staff also said one vehicle had been "retired," bringing the total DARTS fleet to 135 vehicles.

Of those, 49 per cent are operated by DARTS, while the remaining 51 per cent are subcontractors, according to the city's records.

Mark Mindorff, executive director for DARTS, said the transit provider was "not aware of any maintenance issues" before the city audit.

"We're aware of the issue now and we'll be changing our inspection process to make sure these vehicles are safe," he added.

Mindorff said DARTS was meeting its contractual requirements with the city, which state DARTS vehicles must be inspected by an MTO-licensed garage every six months and undergo preventative maintenance every three months.

Subcontractor vehicles are subjected to an annual safety check and a daily circle check carried out by drivers.

"It's clear from the current audit that we're going to have to increase the inspection of the subcontractor vehicles to every six months," he said.

The city's inspection was "pass-fail," he said, adding burned out licence plate light bulbs were among the issues cited.

There was also a "significant number" of pot-hole related issues with the steering assemblies, said Mindorff.

"I don't think the failure rate is that high," he said when asked about the figures referenced in the mayor's letter, adding "the initial sample size was mostly subcontracted vehicles, which are an issue."

Mindorff also noted that up until 2015, DARTS mostly used its own vehicles, but the city wanted the service to focus on clients who used wheelchairs or other mobility devices, pushing it to add subcontractors while trying to keep costs in line.

Cosyn Heath said DARTS-owned vehicles are used to accommodate wheelchairs, while the subcontractors typically drive vans or sedans. Regardless, she said, the vehicles being inspected as part of the audit are not city-owned.

"The responsibility for the safety of these vehicles rests with DARTS," she told reporters.

After councillors were briefed on DARTS during a general issues committee meeting on Wednesday, the city announced that any vehicle that has not passed a recent inspection through the city audit would be removed from service "out of an abundance of caution."

That means even more accessible transit vehicles will be taken off the road Thursday until the city is satisfied they're safe.

The non-profit organization provided roughly 36,000 rides last month alone and has between 9,000 and 10,000 registered clients, said Cosyn Heath. Many of whom could be left with few or no options while the vehicles are being inspected.

"This is, unfortunately, expected to have significant service impacts for the members of our community who rely on DARTS to enjoy a quality of life and that is regrettable, but we feel it is an unavoidable decision," said the head of HSR, adding the city is prioritizing safety.

Cosyn Heath did note that vehicles will be coming back into service on a daily basis as they pass inspections.

Mindorff said DARTS also has "spares" and the organization anticipates being able to "minimize the impact on service as quickly as possible."

In the meantime, the city said it will work with DARTS to prioritize the remaining vehicles to be used for critical trips such as medical appointments.

The city will also be offering those who rely on DARTS to get around support on conventional transit and may reach out to accessible taxi companies for help.

Cosyn Heath said the city had raised concerns with DARTS management in the past, describing the demand to sideline vehicles as the "last step" in a process to achieve compliance.

Asked whether the the city's relationship with DARTS could end if issues persist, she said she couldn't predict the future but staff are "considering all possible alternatives at this time."

Eisenberger's letter to DARTS says council is seeking "swift action" to ensure safety.

"We recognize that DARTS will receive this as unwelcome news," it reads.

"The City is DARTS primary customer, and the clients of accessible transportation not only rely on, but deserve, a quality service that is safe and reliable."

The city auditor is expected to produce a report sharing his findings in the coming weeks.

Cosyn Heath said the transit department is also working on its own report for council that will provide an overview of the service and changes that may be necessary to maximize safety.

Dan Taekema is a reporter with CBC Hamilton. He has worked for CBC News in Windsor and Toronto and for newspapers around southern Ontario. You can reach him by emailing daniel.taekema@cbc.ca.

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