Contingent on the fact that: "Butz has made clear that his opinions are his own and at no time has he discussed those views in class or made them part of his class curriculum." If he were to represent his opinions as the views of the University, or in the classroom, they would remove him.
To me, that seems not only consistent with the principle of a "safe space," but the definition of it.
Institutions matter more than shared values sometimes.