Residents Look for Answers as Derailment Settlement Deadline Nears

EAST PALESTINE, Ohio – Dave Anderson, who lives in Pennsylvania just outside East Palestine, described the impacts on his health immediately following the controlled burn of vinyl chloride railcars and his difficulty in finding answers about the soot on his property.

Anderson said he lost his customers for his grass-fed beef, and he was among those who initially filed what became the class-action lawsuit that resulted in a $600 million settlement.

During a virtual town hall held Thursday for area residents about the claims and forms that need to be filed by Aug. 22, Anderson explained why he believes the settlement was in everyone’s best interest.

“I’m very, very confident in the process,” Anderson said, noting the evidence was presented and tested before the court. “The thing about our system is the only way to really correct a wrong like this is through the court system and through a lawsuit, and I found that through the impartiality of the process and the fairness of everybody getting to speak to the evidence, that the best outcome came.”

During the virtual town hall, attorneys Seth Katz, Elizabeth Graham, Adam Gomez and Michelle Kranz explained how the evidence was collected, the litigation process that led to the settlement and how to file claims.

For a community where U.S. Census data show the individual median income is $30,550 and the household median income is $49,766, the settlement amounts could be more than a year’s income. And for most people, the payment will be tax free.

It was noted that those living within 2 miles of the Feb. 3, 2023, Norfolk Southern train derailment in the village can receive lump sums of approximately $70,000, with geographic location, household size, acreage, length of displacement and property damages taken into consideration. 

Payments would go down to $45,000 for those living 2 to 4 miles away, then $30,000 and $15,000 for those living 4 to 7 miles and 7 to 10 miles away. Those who live 10 to 15 miles and 15 to 20 miles away would receive $500 and $250, respectively.

Those amounts are in addition to the now increased personal injury claims, which were initially announced at $10,000 per person but have since increased to an estimated $25,000 per person.

In a sample given, a family of five living near the derailment site could receive $125,000 for their family members, plus the $70,000 for their residence, for a total of $195,000.

Additionally, business owners with any proven loss can file a business claim.

Local business owner Rick Feezle talked about how his business was harmed due to the road being closed for several days following the derailment, his own health problems that lasted for the first 30 days and the fear people had coming to businesses in East Palestine following the derailment.

“I think this settlement is going to fix a lot of the problems that it created,” said Feezle, who also was part of the class-action lawsuit. “Is it going to fix all of them, probably not, but if we don’t settle for this settlement, there might not be another settlement in our lifetimes.”

Feezle was complimentary of the judge and the lawyers who worked to get a deal together in a short time frame instead of years and decades.

Claims can be filed online, by mail or in person at one of two claim centers set up in East Palestine. Many are scrambling to meet the Aug. 22 deadline, for which attorneys announced there will not be an extension. It was recommended that those planning to go to the in-person settlement assistance center should make an appointment by calling 833 425 3400. Hours have been extended to 7 p.m. on Wednesdays and 8:30 a.m. to 2:30 p.m. on Saturdays to accommodate those who work. 

It also was noted during the virtual town hall that so many people are coming to file claims at the first location on East Rebecca Street that a second location was opened in the former Dailey Chiropractic office next to Rite Aid on West Main Street.

The distribution of the settlement is pending a final approval hearing scheduled in federal court in Youngstown at 10 a.m. Sept. 25.

During the virtual town hall, it was noted that the court determined there is no medical monitoring program available, and Katz suggested residents who fear future illnesses should invest the money they receive to cover medical costs.

Dr. Chip Carson, an environmental toxicologist, also made a presentation saying he does not believe there will be any long-term health effects and the environmental situation will improve with time.

“This money from this lawsuit – this settlement – is for us, the people in this community, to rebuild our lives, to make things right to the best of our ability,” Anderson said.

Although the town hall answered some questions, many of which could already be found on the settlement website, other questions remain. Immediately after the meeting, some residents went on social media to express concerns about how the settlement will affect their Social Security, Medicaid, Medicare and other benefits they collect or expect to begin collecting in the next few years.

Pictured at top: A sign is seen at the edge of East Palestine, Ohio, on Jan. 29, 2024. (AP Photo | Carolyn Kaster)

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