EAST PALESTINE — Sen. Sherrod Brown (D-OH) joined his republican counterpart J.D. Vance (R-OH) in criticizing the interim Value Assurance Program (VAP), announced by Norfolk Southern Monday.

The program was established to alleviate the diminution in property values in and around East Palestine as a result of February’s train derailment, but Brown denounced the details of the plan, calling it “another empty promise” from Norfolk Southern.

“This is just another empty promise from Norfolk Southern to the people of East Palestine,” Brown said Tuesday. “With this program, Norfolk Southern isn’t offering any compensation to residents who stay in their homes. Instead, they want residents who take their offer to sell their houses and sign away their right to sue Norfolk Southern. Ohioans deserve their day in court to hold Norfolk Southern accountable and this program denies them that.”

Vance called the program a “complete and total disaster” Monday and accused Norfolk Southern of using the announcement as a distraction for the railroad’s opposition to the bipartisan Railway Safety Act of 2023, a bill introduced by both senators on March 1. Norfolk Southern has supported some aspects of the bill but not others — specifically disagreeing with the two-person crews mandate in the proposed legislation. Vance also blamed the “railroad backers” in Congress and encouraged feedback from “constituents about their experience with Norfolk Southern and its property value reimbursement program.”

In a press release Monday, Norfolk Southern said the VAP is intended to “compensate for any reduction in value of eligible residential properties as a result of the derailment.” The VAP will address properties located in East Palestine and some surrounding communities. The railroad explained that, through the interim VAP, those residents in the defined program area who have sold their homes since Feb. 3, currently have their homes on the market, or will put their homes on the market, are eligible to be compensated for any difference between their home’s market value and its sale price. The interim VAP will also be available for future sales. Norfolk Southern reported a full long-term program is in development. At the time of the long-term VAP announcement, the interim plan will end, and the long-term VAP requirements will apply.

However, as Brown’s response suggests, to be eligible and receive compensation under the interim or long-term plan, homeowners must submit a release of property claims which would affect homeowners’ rights in litigation. Eligibility also comes with other stipulations. Properties must be located inside the designated area (which extends to New Waterford to the west, New Galilee to the east, South Beaver Township to the south and New Springfield to the north) and property owners must not be in bankruptcy at the time of sale or at the time the VAP claim is made, must satisfy all outstanding liens against the property at or prior to closing and must follow the procedures detailed in the interim VAP booklet, including timely submitting all required forms and documentation to the VAP Administrator. Property owners who choose to participate must use an approved real estate agent from a list currently being compiled. VAP compensation is based on a comparison of sale price and market value and not a loan amount or what is owed on an existing mortgage. If a property fails to sell, the property owner is seemingly out of luck as Norfolk Southern is not offering to purchase any properties.

The program offers no remedy for residents who do not want to sell their homes or properties but who may have suffered a loss of value in those assets due to the derailment, and with no intention to buyout properties owners, Norfolk Southern has given no avenue for relocation to those who want out of the village.

While Brown views the plan a “broken promise,” Norfolk Southern sees it differently. Company CEO Alan Shaw called it “another step in fulfilling our promise to East Palestine to make it right.” In March, the railroad said it was focusing on three major concerns in the wake of the derailment — the impact the disaster could have on water quality, property value and long-term community health. Last week, the railroad announced it was contributing nearly an additional $4 million to the village’s water infrastructure and protection measures. To date, no fund or program has been announced to address adverse health consequences related to the derailment.