East Palestine residents unhappy with Norfolk after settlement

(NewsNation) — Norfolk Southern agreed to a $600 million settlement in a class action lawsuit, but some residents of East Palestine, Ohio, say they still want to see more from the company after a fiery train derailment in the town left them with health issues.

About 100,000 residents and businesses are eligible to get money from the settlement. They have to be within a 20-mile radius of the derailment. Split per person, that means these residents can expect to get about $6,000 each before attorney’s fees are added in, although lawyers tell NewsNation some will get more and others will get less depending on their claims.

“The compensation will include loss of property value, the cost of having to evacuate or take particular measures with your home,” Jayne Conroy, co-lead counsel on the settlement, said. “If your kids had to make changes, change schools, do those types of things, all of those issues will be explored.”

A judge still has to approve the settlement.

Although Conroy called it a “great result,” a number of residents say they are still beyond upset with Norfolk.

A chiropractor in East Palestine, Dr. Rick Tsai, who made an unsuccessful bid for Congress in response to the derailment, says residents he talks to are not happy with the settlement. Residents told NewsNation they are upset a settlement is coming before a final report on the incident by the National Transportation Safety Board is completed.

“Norfolk Southern, you better move that settlement another zero, decrease the radius and offer lifetime health care,” he said. “You put people in danger with your criminal acts.”

Norfolk Southern, meanwhile, said in a news release that this settlement is not an admission of guilt or liability but rather furthers the work the company has done to help right the wrong in East Palestine. The rail company spent over $1.1 billion in 2023 related to the derailment, according to its 2023 annual report for investors.

“What you can spare our community and the neighboring communities and everyone who has been subjected to chemicals and dioxins is just a little over one-quarter of your net profits,” one resident, Linda Murphy, said. “Keep on making it right, Norfolk, keep on making it right. “

Asked about the criticisms of the settlement, Conroy said she was “sorry to hear” them.

“I think that we have to recognize that the (Environmental Protection Agency) — the Ohio and the federal EPA — is still responsible and is seeking Norfolk Southern responsible for the cleanup and the cost of the cleanup of the contamination,” Conroy said. “We can never make people whole again, but we can, you know, compensate people for what they’ve been through.”

Conroy acknowledged that this does not solve the whole problem and that cleanup and contamination are separate issues.

“If the court allows this to go through, all they’re doing is rolling out the red carpet for these corporations to put that into next year’s budget,” East Palestine resident Jess Conard said. “‘Oh, this is the cost if you want to poison a community: $600 million. Oh, this is this is the cost if you want to spill your product all over a community and cause them cancer. You don’t have to pay for their health care. You don’t have to pay for their indoor air monitoring. You don’t have to pay for soil testing. All you have to do is just work this $600 million into your budget. It’s for them.'”