The U.S. Department of Justice and the Environmental Protection Agency announced Thursday that they have reached a settlement with the Norfolk Southern Railway Company over toxic emissions from the railroad following a 2023 derailment in East Palestine, Ohio.
Under the agreement, Norfolk Southern will pay about $235 million to cover EPA's past and future cleanup costs for contaminated air, water and soil around the train derailment.
Additionally, the railroad agreed to pay a $15 million civil penalty, $25 million for a 20-year community health program and spend about $15 million to implement long-term monitoring of groundwater and surface water over 10 years.
Norfolk Southern estimates it will spend more than $1 billion to address pollution and other damage from the derailment and improve rail safety and operations, according to the EPA.
“No community should have to experience the trauma inflicted on the people of eastern Palestine,” EPA Administrator Michael S. Regan said in a statement.
“Today’s enforcement action delivers on that promise, ensures companies pay for cleanup, and helps prevent disasters like this from happening again,” he added.
Last April, Norfolk Southern agreed to pay $600 million to settle a class action lawsuit over the Feb. 3 derailment. The settlement will resolve all class action claims within a 20-mile radius of the derailment and personal injury claims within a 10-mile radius of residents who chose to participate.
The company agreed to pay $600 million as part of the settlement, but takes no responsibility for the derailment and admits no wrongdoing.
“Individuals and businesses will be able to use the compensation from the settlement in any way they deem appropriate to address the potential negative impacts of the derailment,” the company said in a statement following the April settlement. “This may include compensation for medical needs and medical monitoring, property restoration and abatement, and net business losses.”
The agreement still requires approval from a federal judge in the Northern District of Ohio.
On February 3, 2023, 38 train cars derailed outside Palestine in eastern Ohio near the Pennsylvania state line, 11 of them carrying toxic chemicals. The derailed train started a massive fire and sent toxic smoke into the sky above the town.
Nearly 2,000 of the town's 4,900 residents were forced to evacuate.
NPR's Joel Rose contributed to this report.