Norfolk Southern Railway Company has agreed to a settlement valued at over $310 million with the U.S. Environmental Protection Agency (EPA) and U.S. Department of Justice (DOJ) to address the damage caused by a train derailment in East Palestine, Ohio, in 2023. The settlement, which includes a $15 million civil penalty and $57.1 million for past government response costs, is subject to public comment and court approval.
The Atlanta-based company will also reimburse the EPA for future response costs, pay for health monitoring and mental health services for the surrounding communities, fund long-term environmental monitoring, and take other actions to protect nearby waterways and drinking water resources. The settlement is part of a broader effort by Norfolk Southern to address the contamination and other harms caused by the East Palestine derailment and improve rail safety and operations.
"No community should have to experience the trauma inflicted upon the residents of East Palestine," said EPA Administrator Michael S. Regan. "Today’s enforcement action delivers on this commitment, ensures the cleanup is paid for by the company, and helps prevent another disaster like this from happening again."
The settlement follows a complaint filed by the United States against Norfolk Southern in March 2023 for unlawful discharges of pollutants and hazardous substances caused by the train derailment. The company has since been held accountable for the damage done to the community and has been directed and overseen by the EPA in extensive cleanup activities.
The agreement also requires Norfolk Southern to improve coordination with government officials and other stakeholders during emergency responses. The company will create and adopt a procedure for coordinating with first responders and government officials before restoring and reopening tracks for use after a derailment involving spilled hazardous material.
However, the settlement has been met with mixed reactions from the residents of East Palestine. Many feel that the settlement doesn't do nearly enough to a company that reported a $527 million profit in the fourth quarter of last year, even with the derailment costs. "Honestly, no amount can ever make this right, but it should be at least enough to hurt them a little bit. I’m sure that’s not going to hurt their bottom line at all,” said resident Jami Wallace.
The only remaining federal investigation is the National Transportation Safety Board’s probe into the cause of the derailment. The agency plans to announce its conclusions about what went wrong that night at a hearing in East Palestine on June 25.
More for you:
- Norfolk Southern will pay modest $15 million fine as part of federal settlement over Ohio derailment
- United States Reaches Over $310 Million Settlement with Norfolk Southern to Address Harms Caused by East Palestine Train Derailment
- Norfolk Southern agrees to $15 million civil penalty over 2023 Ohio derailment - court documents
