WASHINGTON — As Norfolk Southern CEO Alan Shaw faced questioning about the toxic Ohio train derailment in East Palestine during a Senate committee hearing on Thursday, he was repeatedly asked if he would commit to compensating families for their diminished property values.
Here is how that exchange unfolded...
Sen. Ed Markey of Massachusetts: Will you commit to compensating affected homeowners for their diminished property values?
Shaw: Senator, I’m committing to do what’s right.
Sen. Markey: Well, what’s right is a family that had a home worth $100,000 that is now worth $50,000, will probably never be able to sell that home for $100,000 again. Will you compensate that family for that loss?
Shaw: Senator, I’m committed to do what’s right.
Sen. Markey: That is the right thing to do. These are the people who are innocent victims, Mr. Shaw. These people were just there at home, and all of a sudden their small businesses, their homes, are forever going to have been diminished in value. Norfolk Southern owes these people. It’s an accident that is basically under the responsibility of Norfolk Southern -- not these families. When you say “do the right thing,” will you, again, compensate these families for their diminished, lost property value for homes and small businesses?
Shaw: Senator, we’ve already committed $21 million, and that’s a down payment.
Sen. Markey: That is a down payment. Will you commit to ensuring that these families, these innocent families, do not lose their life savings in their homes and small businesses? The right thing to do is to say, "Yes we will."
Shaw: Senator, I’m committed to doing what’s right for the community. We’re going to be there as long as it takes.
Sen. Markey: No. What’s right for the community will then be balanced, which is what we can see from your stock buybacks, by what’s right for Norfolk Southern -- and that’s going to be to sue, to fight, to resist full compensation for these families. That’s the pattern we’ve seen over the last 10 years in your one-third reduction in workforce with its natural concomitant reduction in safety. We’re not hearing the right things today. These families want to know long term, are they just going to be left behind once the cameras move on? Once the national attention dies down, where will these families be? I think they’re going to be in the crosshairs of the accountants of Norfolk Southern, saying we’re not going to pay full compensation. That’s why we’re going to stay on this case until everyone in East Palestine is given the justice, which they deserve.
You can see Shaw's opening remarks during Thursday's hearing below: