The town of East Palestine, Ohio, and Norfolk Southern have agreed to a $22 million settlement. The deal resolves all of the village’s claims stemming from the train derailment disaster nearly two years ago.

Where does the money go?

The money will go toward projects that East Palestine officials identify as connected to the train crash, but the settlement also acknowledges around $13.5 million has already been paid by Norfolk Southern to the village, according to a joint announcement posted on Monday, Jan. 27, on the village’s website.

Download the SAN app today to stay up-to-date with Unbiased. Straight Facts™.

Point phone camera here

Past promises from Norfolk Southern

Norfolk Southern has already promised $25 million for other improvements to East Palestine City Park.

The rail company and town had agreed on a proposed regional safety center in the village but determined that it would not be workable. Instead, Norfolk Southern agreed to transfer the 15 acres that would’ve been used for the center to the town and continue to provide training for local first responders.

Some compensation is still pending in courts

Additionally, Norfolk Southern agreed to a $600 million settlement with East Palestine residents in April of 2024 that was related to the rail disaster.

However, $300 million of that compensation is held up in the courts, as some residents challenging the settlement have asked a court of appeals to throw out a judge’s order forcing them to pay an $850,000 bond to continue their appeal for additional compensation.

What happened during the derailment incident?

The train that derailed near the Pennsylvania border in February of 2023 carried nearly a dozen railcars containing hazardous material, which forced East Palestinians to evacuate their homes.

Just days later, officials decided to blow up five boxcars holding vinyl chloride, which released plumes of toxic smoke into the air, over fears of an uncontrolled explosion.

Get up to speed on the stories leading the day every weekday morning. Sign up for the newsletter today!

Learn more about our emails. Unsubscribe anytime.

Enter your email for newsletter updates Subscribe

By entering your email, you agree to the Terms & Conditions and acknowledge the Privacy Policy.

A later investigation revealed the decision was misguided, and detonating the boxcars was unnecessary.

In addition to the toxic smoke, chemicals were leaked into the ground and made their way into nearby creeks and streams. Studies are still being conducted on the long-term health and environmental impacts linked to the train crash.