The Justice Department and Environmental Protection Agency (EPA) announced a settlement valued at over $310 million with Norfolk Southern Railway Company to address the damage caused by the February 3, 2023, train derailment in East Palestine, Ohio. Pending approval by the U.S. District Court for the Northern District of Ohio, Norfolk Southern will be required to improve rail safety, fund health monitoring and mental health services for surrounding communities, support long-term environmental monitoring, pay a $15 million civil penalty, and take additional actions to protect waterways and drinking water resources.
Norfolk Southern estimates it will spend more than $1 billion on contamination cleanup and rail safety improvements following the East Palestine derailment. EPA personnel have been on-site since the incident occurred to ensure community protection and information dissemination. EPA Administrator Michael S. Regan emphasized that "Norfolk Southern would be held accountable for its actions."
Acting Associate Attorney General Benjamin C. Mizer stated that "this settlement helps fulfill" President Biden's executive order addressing the disaster’s long-term effects and holding Norfolk Southern responsible.
EPA Administrator Michael S. Regan reiterated that “no community should have to experience the trauma inflicted upon the residents of East Palestine.” He noted that today's enforcement action ensures cleanup costs are covered by Norfolk Southern and aims to prevent future disasters.
Assistant Attorney General Todd Kim highlighted that “the human cost from the Norfolk Southern train derailment disaster was high,” necessitating funding for a community health program within this agreement.
U.S. Attorney Rebecca C. Lutzko remarked on how the derailment jeopardized residents' safety and health: “This settlement requires Norfolk Southern to fund a community health program...and implement numerous additional safety measures throughout the United States.”
Following a complaint filed in March 2023 against Norfolk Southern for unlawful pollutant discharges due to the derailment, EPA issued an administrative order requiring cleanup of spilled substances and impacted soils as well as payment of all associated costs.
Norfolk Southern has agreed under this settlement to:
- Spend an estimated $235 million on past and future cleanup costs.
- Pay $25 million for a 20-year community health program including medical monitoring.
- Spend approximately $15 million on long-term groundwater and surface water monitoring.
- Pay $15 million into a private drinking water monitoring fund.
- Implement a “waterways remediation plan” with an estimated budget of $6 million.
- Pay a $15 million civil penalty for Clean Water Act violations.
- Pay $175,000 for natural resource damages.
The consent decree also mandates projects enhancing hazardous material transportation safety by rail. The proposed settlement is subject to public comment and final court approval.
EPA continues its commitment to protecting East Palestine’s health and safety through ongoing site presence since the derailment occurred.
