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Agreement reached between EPA, DOJ, Norfolk Southern over East Palestine derailment

Norfolk Southern: East Palestine toxic derailment to cost $387 million
Posted at 4:40 PM, May 23, 2024

Thursday, the U.S. EPA administrator announced what he called a strong agreement in a settlement with his agency, the U.S. Department of Justice and Norfolk Southern over the East Palestine disaster.

EPA Administrator Michael Regan said it prioritizes rail safety and the community.

While Norfolk Southern doesn't admit liability in the deal, the DOJ believes it's a positive step to hold the company accountable.

It is a more than $310 million settlement.

Here is how it is broken down

  • $235 million for all past and future costs associated with the cleanup.
  • $15 million for alleged violations of the Clean Water Act.
  • $25 million for a 20-year community health program.
  • $15 million for 10 years of monitoring ground and surface water, and another $15 million for private-well monitoring.
  • $6 million for waterway remediation
  • Plus, an additional $175,000 to fix damage to natural resources.

Administrator Regan said the settlement also requires Norfolk Southern to make $200 million in rail safety improvements, which he called a game changer.
"Norfolk Southern will put in place measures to make its transport of hazardous material safer, including new, state-of-the-art monitoring devices along its tracks and more rigorous alarm protocols to detect overheated wheel bearings early enough to prevent a derailment," Regan said in a voice call with reporters Thursday morning. "Had these provisions been in place on February 3, 2023, this disaster may never have happened in the first place."

This is separate from a $600 million class action settlement, which just this week, received preliminary approval from the judge.

The settlement announced Thursday will be open for public comment for at least 30 days and still needs final court approval.

Congress is also still debating rail safety measures. However, Thursday, officials said in their agreement with Norfolk Southern, they secured many of the safety measures Congress is asking the entire rail industry to do. They say Norfolk Southern represents about 20% of the industry, and having them make these improvements will be impactful and show that it is doable.

And, in that call Thursday, Administrator Regan reinforced his confidence in the safety of the air, soil, and water in East Palestine due to monitoring and testing.

"Shortly after the derailment, EPA established a 24/7 air sampling and monitoring network," said Regan. "And we began coordinating with state and local officials to monitor the environmental impacts on the community. Over the course of the response, the EPA has collected more than 115 million air monitoring data points and over 45,000 air, water, and soil samples. Reinforcing our confidence in the safety of air, water and soil in East Palestine."

Regan said to date, more than 177,000 tons of contaminated soil and more than 69 million gallons of wastewater have been removed from the community.

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