A federal judge has approved a $600 million class-action settlement offered by Norfolk Southern Railroad for residents and businesses affected by the catastrophic train derailment in East Palestine, Ohio, which occurred in February 2023. The settlement, which compensates those who lived within 20 miles of the derailment site, clears the way for payments to begin as early as the end of the year.

Judge Benita Pearson granted final approval of the settlement after a hearing, despite concerns raised by some residents that the deal was rushed and might not adequately address the long-term health impacts. Approximately 55,000 claims were filed, with only 370 households and 47 businesses opting out. Under the settlement, affected residents could receive up to $70,000 for property damage and $25,000 for health-related issues, though compensation decreases the farther people lived from the derailment site.

While many residents welcomed the settlement, some expressed concerns that the deal may not cover future health risks, particularly potential cancer cases, stemming from exposure to hazardous chemicals. The derailment caused tank cars filled with hazardous chemicals, including vinyl chloride, to rupture and catch fire, forcing officials to burn the remaining contents due to fears of an explosion.

A resident criticized the attorneys who negotiated the settlement, accusing them of pressuring people to accept the deal without fully understanding the potential health risks. Some residents had hoped the court would order additional transparency regarding environmental testing.

Despite these concerns, the approval means the railroad’s $600 million settlement will soon begin to reach affected residents, who have also received $108 million in assistance from Norfolk Southern since the disaster.

The railroad has committed to continuing its support for the community and has already spent over $1 billion on cleanup efforts.

Many residents accepted the settlement despite reservations about waiving their right to sue in the future if severe health issues emerge. The couple, who live near the derailment site, are now contemplating whether to stay in their home or relocate.

The derailment remains a deeply contentious issue, with ongoing concerns about its environmental and health impacts on the East Palestine community.