East Palestine reaches $22 million settlement with Norfolk Southern over derailment

East Palestine, Ohio, has reached a ‍$22 million settlement with Norfolk‌ Southern nearly two years after a hazardous train derailment.⁤ The incident, which ⁣occurred on⁤ Febuary 4, 2023, involved over 50‌ train cars coming off the tracks and releasing harmful chemicals into the habitat. The⁣ settlement ‍acknowledges⁣ Norfolk southern’s prior‍ payments totaling approximately $13.5 million ⁣to assist the village with equipment⁣ replacements,improvements to ‌the ‍local ‌water treatment plant,and renovations of the historical train depot. Additionally, Norfolk Southern ​has committed $25 million to enhance East Palestine City park. Although the company initially planned to establish a safety training center in the area,both parties have decided to abandon that project,and the land will be returned to ‍the village. ​The derailment was attributed to ‍a roller bearing failure, which ⁤Norfolk Southern did not adequately monitor due to staffing issues. The incident ‌has reportedly cost the company about $1.1 billion.


East Palestine reaches $22 million settlement with Norfolk Southern over derailment

East Palestine, Ohio, agreed to a $22 million settlement with Norfolk Southern on Monday, nearly two years since its hazardous train derailment.

On Feb. 4, 2023, a Norfolk Southern train’s 50-plus carriages fell off the track, and train cars carrying hazardous materials burned for several days. The released chemicals affected the nearby soil and water. The train company and East Palestine issued a joint statement detailing the settlement.

“The settlement also recognizes the approximately $13.5 million in prior payments that Norfolk Southern has already made directly to the Village since the derailment, including replacement of Village fire and police equipment and vehicles, improvements to the Village’s water treatment plant, and Norfolk Southern’s exterior renovation of the historic East Palestine train depot,” the statement read. “The settlement also reaffirms Norfolk Southern’s commitment of $25 million to the ongoing improvements to the East Palestine City Park.”

Former Environmental Protection Agency Administrator Michael Regan visited East Palestine several times to test the soil and water in the area. Then-President Joe Biden claimed he had no concerns about the drinking water.

Norfolk Southern initially planned to build a regional safety training center in East Palestine, but both mutually agreed to abandon the project. Instead, the 15 acres will be given back to the village at its “sole discretion.” However, the company will continue to offer training to first responders there.

This train derailment happened due to a “roller bearing that failed due to overheating,” per the Transportation Department. Normally, these are monitored by hot box detectors, but Norfolk Southern didn’t have the staff to monitor the system.

Norfolk Southern said the derailment cost the company $1.1 billion before the settlement was made.



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