For me, this means that character death or serious disfigurement is always "on the table" as something that's possible. I will not guarantee any character's survival and I will not fudge die rolls in favor of either the PC's or the NPC's. This means rolling all die rolls in the open (though I still plan on using the screen to hide my notes). :)
For NPC's, all are fair game. This goes for the previous 9th squad as well. The less your PC's involve any NPC, from contacts on up, the more likely those NPCs are to survive. Shadows Angelus II is dangerous for XSWAT members, and doubly so for their loved ones, friends, and families who may end up being targeted for reprisals against the uniformed officers. And this is why Steve never wants DNPC's, ever, ever, forever and ever, amen. :)
All NPC's, including former 9th squad members, are under the GM's control. I'll certainly entertain discussion regarding a character's actions, but the final decision will be mine as to what they do during the campaign. In short, no one will be running 2 characters (the new squad's and the old...).