March 2023 | Volume 14, Issue 8


Find the complete video and article from Reuters.

The head of the U.S. government's environmental agency recently said that rail operator Norfolk Southern Corp must "pay for cleaning up the mess" created when a freight train derailment in Ohio released toxic chemicals into the environment. The comments by the head of the Environmental Protection Agency (EPA) were recently echoed by President Joe Biden. "This is their mess. They should clean it up," Biden said on Twitter.

The EPA also ordered that Norfolk Southern officials attend town meetings about the February 3 spill in East Palestine, Ohio. Last week company officials boycotted a meeting, citing concerns for their personal safety, leaving residents angered.

The EPA order requires Norfolk Southern to submit a work plan for EPA approval for the cleanup associated with the derailment. The wreck resulted in a fire that sent clouds of smoke over the town. Thousands of residents had to evacuate while railroad crews drained and burned off toxic chemicals. "Let me be crystal clear: Norfolk Southern will pay for cleaning up the mess that they created and for trauma they've inflicted on this community," EPA Administrator Michael Regan said during a press conference in East Palestine.

Biden also said on social media that rail companies have successfully lobbied hard in Washington to slow regulations, and he called on Congress to pass new rail safety measures. "This is more than a train derailment or a toxic waste spill - it's years of opposition to safety measures coming home to roost," Biden wrote.

Norfolk Southern said in an emailed statement that it recognizes its responsibility to "thoroughly and safely" clean up the derailment site and pay for it. "We are going to learn from this terrible accident and work with regulators and elected officials to improve railroad safety," it said. The company recently said it had established an initial $1 million community support fund and said it has distributed $3.4 million in direct financial assistance to more than 2,200 families to cover evacuation costs. Norfolk Southern shares closed down 1.6 percent on Tuesday, February 21 and have slid almost 11 percent since February 3.

The derailment took place on the border between Ohio and Pennsylvania. Josh Shapiro, the governor of Pennsylvania and a Democrat, sharply criticized Norfolk Southern for what he called the company's "corporate greed and incompetence" in being responsible for the derailment and for how the company has responded since. The governor said the company has chosen not to work within the "unified command" of government agencies in the clean-up. "They created confusion in this process," Shapiro said. "They gave us inaccurate information and conflicting modeling data, and they refused to explore or articulate alternative courses of action when we were dealing with the derailment in the early days."

Shapiro was referring to the decision to drain a toxic chemical from rail cars after the wreck and set them on fire, creating a toxic plume of air. Norfolk Southern did not immediately reply to a request for comment on Shapiro's remarks. EPA issued the order under the federal Comprehensive Environmental Response, Compensation, and Liability Act, which gives it the authority to force parties responsible for pollution to clean it up. "I know this order cannot undo the nightmare that families in this town have been living, but it will begin to deliver much-needed justice for the pain that Norfolk Southern has caused," Regan said.

Although no fatalities or injuries have been reported, residents have been demanding answers about health risks and blaming Norfolk Southern and state and federal officials for a lack of information. The EPA will require the company to reimburse the agency for any cleaning services it offers residents and businesses. If the EPA is forced to do any clean-up work that the railroad refuses to do, the agency can force Norfolk Southern to pay triple the cost of those operations, Regan said.

Regan said the agency is taking this action now because the situation has moved from the emergency response phase, during which local and state agencies had the lead, to the clean-up phase, when the federal government takes command. The agency will also create a unified command structure to coordinate the clean-up-related efforts alongside the Federal Emergency Management Agency, the Department of Health and Human Services, Ohio EPA, Ohio Emergency Management Agency, and the Pennsylvania Department of Environmental Protection, as well as Norfolk Southern.

Discussion Questions

  1. As indicated in the article, Norfolk Southern has established an initial $1 million community support fund and has distributed $3.4 million in direct financial assistance to more than 2,200 families to cover evacuation costs. Based on the gravity of the environmental “event,” is this acceptable? Why or why not?
    This is an opinion question, so student responses may vary. In your author’s opinion, the numbers are not as large as they might appear. Based on 2021 data, the population of East Palestine, Ohio was 4,718, so on a per capita basis, the $1 million in community support amounts to just under $212 per person. Obviously, nothing is to say that the community impact from the environmental disaster is strictly confined to the environs of East Palestine, Ohio. Further, the $3.4 million in direct financial assistance to approximately 2,200 families to cover evacuation costs amounts to roughly $1,545 per person. Most likely, either by court order or otherwise, Norfolk Southern will contribute additional funds to the cause, but in your author’s opinion, the initial contributions are most appropriately described as “modest.
     
  2. According to President Joe Biden, “(t)his is more than a train derailment or a toxic waste spill – it’s years of opposition to safety measures coming home to roost.” Do you support or oppose this assessment? Is your opinion based on political affiliation or objective evidence?
    This is a difficult question to answer, primarily because of the fractious state of politics in the United States. It is safe to say that Republican administrations tend to favor the deregulation of business while Democrats favor regulation, but additional evidence is needed to determine whether the Norfolk Southern environmental disaster is the direct result of a specific deregulatory initiative or law. Much more work must be done in terms of the investigation.
     
  3. Explain the Comprehensive Environmental Response, Compensation, and Liability Act.
    According to the Environmental Protection Agency: The Comprehensive Environmental Response, Compensation, and Liability Act—otherwise known as CERCLA or Superfund—provides a federal “Superfund” to clean up uncontrolled or abandoned hazardous waste sites as well as accidents, spills, and other emergency releases of pollutants and contaminants into the environment. Through CERCLA, the EPA was given power to seek out those parties responsible for any release and assure their cooperation in the cleanup. The EPA cleans up orphan sites when potentially responsible parties cannot be identified or located, or when they fail to act. The EPA obtains private party cleanup through various enforcement tools through orders, consent decrees, and other small party settlements. The EPA also recovers costs from financially viable individuals and companies once a response action has been completed. The EPA is authorized to implement the Act in all 50 states and U.S. territories. Superfund site identification, monitoring, and response activities in states are coordinated through the state environmental protection or waste management agencies.