East Palestine school board approves partial Norfolk Southern settlement
EAST PALESTINE - The East Palestine Board of Education approved a partial settlement in a lawsuit filed against Norfolk Southern last year that alleges the company did not fulfill its promises to reimburse the district for school facilities as emergency response centers soon after the train derailment.
The partial settlement awards a total of $750,000 to the school district.
The school district can pursue other claims against Norfolk Southern in the future that are unrelated to the partial settlement.
The first portion of the partial settlement of $150,000 goes towards reimbursement for the cost of school closures, salaries, transportation, and use of facilities as emergency response centers, as well as emergency housing. The lump sum will go toward the district's general fund.
The second portion of the partial settlement of $600,000 goes towards the district's communications and marketing department, which was allegedly promised to the school district soon after the train derailment. This will be paid to the district in installments.
The district expects to receive the funds from Norfolk Southern in the coming weeks.
Superintendent James Rook says the partial settlement is a first step towards reconciling from the train derailment three years ago.
"We recognize that these things take time, and we're willing to work with Norfolk Southern to make sure that they make us whole," he said.
Rook says the school district will still pursue other claims that were allegedly promised to the school, such as a planned community center.
"Initially, that community center was valued at approximately $30 million, there are other expenses and lost revenue we are seeking as a result of the train derailment," he said.
The superintendent says the district will also pursue claims of taxable revenue allegedly lost during the train derailment.
Rook adds that he believes the community and school district are resilient.
"We will continue to move forward and provide our students with the best opportunities they have," he said.
