Value Assurance Program
East Palestine Long-Term Value Assurance Program (“VAP”) & Interim VAP
Jump to: Welcome | Interim VAP FAQs | Important Documents / Real Estate Info | VAP Administrator Contact Information
Norfolk Southern Corporation (“Norfolk Southern”) is developing a Long-Term Value Assurance Program (“VAP”) to address homeowner concerns arising from the February 3, 2023 derailment in East Palestine, Ohio, and to compensate any reduction in value of eligible residential properties located in East Palestine, Ohio, and some surrounding communities, as part of final resolution of all claims. While Norfolk Southern works toward this long-term plan, Norfolk Southern has developed an interim VAP for eligible homeowners in and around East Palestine.
Long-Term VAP
Participation in the VAP will be voluntary. No one is being asked or required to sell their home.
The VAP is designed to compensate homeowners for any reduction in value in the sale of their home as a result of the train derailment that occurred in East Palestine on February 3, 2023. Homeowners who sell an eligible property will be compensated for the difference between market value and sale price. As the program is designed to compensate any value lost in your home, the VAP will not buy your home.
As an additional benefit of VAP participation, homeowners who meet all eligibility criteria and sell their property for at least 95% of market value will also be eligible for reimbursement of some or all of the real estate agent’s commission paid as part of closing.
Homeowners will be required to follow program requirements and timely submit required documents in order to retain eligibility and receive compensation through the VAP, including the submission of a release of property claims. Please be aware that there is pending class action litigation arising out of the February 3, 2023 derailment, and it includes claims for property damage. A release will affect your legal rights, and you may wish to discuss it with an attorney.
Norfolk Southern is developing the full details of the long-term VAP in concert with key stakeholders involved in the legal process.
Interim VAP
As of September 18, 2023, Norfolk Southern is announcing an interim VAP for eligible homeowners in and around East Palestine. If you live in this area and have (1) sold your home between February 3, 2023 and September 18, 2023, (2) put your home on the market as of September 18, 2023, or (3) put your home on the market on or after September 19, 2023, you are eligible to be compensated for any difference between the market value and sale price, with the understanding that you will have complied with the interim VAP terms, including executing a release of property claims. Again, a release will affect your legal rights, and you may wish to discuss it with an attorney.
The Interim VAP Booklet defines the program geography and explains all eligibility requirements and the specific steps required for program participation. The Interim VAP Booklet is available at the Family Assistance Center, on the VAP website (see “Important Documents”), or by contacting the VAP Administrator via email at [email protected] or by phone at (877) 270-6970 (toll-free voicemail line).
The interim VAP will be available for Eligible Properties until the long-term VAP is announced. At the time of long-term VAP announcement, the interim VAP will end and the long-term VAP requirements, as set out in the long-term VAP booklet, will apply.
If you plan on selling your eligible home, you may come to the Family Assistance Center for more information, including receiving the form of release.
The VAP, and any monetary benefits received by participating in the VAP, is available to eligible property owners in addition to any previous payments received through the Family Assistance Center.
The Interim VAP and the Long-Term VAP are intended to compensate any reduction in value of Eligible Properties and are not an offer to purchase Eligible Properties or any other property, nor are they an opinion of value of any Eligible Property or any other property. This website is for informational purposes only and is not a contract or offer to enter into a contract.
The Interim VAP booklet contains the rules and requirements of the Interim VAP. Norfolk Southern and the VAP Administrator reserve the right to modify the terms of the Interim VAP as described in the booklet, at their discretion upon reasonable notice.
Please be aware that there is pending class action litigation arising out of the February 3, 2023 derailment, In re: East Palestine Train Derailment, No. 4:23-CV-00242 (N.D. Ohio), and it includes claims for property damage. The operative complaint in that case is available here.
Interim VAP FAQs
For full eligibility details and program requirements, including defined terms, please see the Interim VAP Booklet.
The Value Assurance Program, or VAP, is a program, rolled out by a VAP sponsor—in this case, Norfolk Southern—designed to support property values within a designated area.
To address concerns about the loss of property value arising from the February 3, 2023 derailment in East Palestine, Ohio.
Norfolk Southern is developing the VAP as a long-term plan to compensate any reduction in value of Eligible Properties located in East Palestine, Ohio, and some surrounding communities, as part of a final resolution of all claims. While Norfolk Southern works toward this long-term plan, Norfolk Southern has developed an interim VAP for Eligible Properties in and around East Palestine, and that interim plan is what is being offered now.
The interim VAP will be available for Eligible Properties until the long-term VAP is announced. At the time of long-term VAP announcement, the interim VAP will end and the long-term VAP requirements will apply.
No, participation in the VAP, both interim and long-term, is completely voluntary. No one is being asked or required to sell their home.
Owners can contact Alvarez & Marsal, the VAP Administrator, directly at (877)-270-6970 (toll-free voicemail) or [email protected]. Alvarez & Marsal has been retained by Norfolk Southern.
The Interim VAP Booklet is designed to govern the program and to walk eligible property owners through interim program participation. A copy of the Interim VAP Booklet is available on this website (see “Important Documents” or by contacting the VAP Administrator).
Owners of record of Eligible Property as of February 3, 2023 who have
- Sold their Eligible Property between February 3, 2023 and September 18, 2023;
- Listed their Eligible Property for sale prior to and as of September 18, 2023 (including those under contract as of September 18, 2023); or
- List their Eligible Property for sale on or after September 19, 2023
Please contact the VAP Administrator at (877) 270-6970 (toll-free voicemail) or [email protected] if you need assistance determining whether you are eligible.
Eligible Properties are improved residential properties located within the Defined Program Area (see map on page 27 of the Interim VAP Booklet).
Please contact the VAP Administrator at (877) 270-6970 (toll-free voicemail) or [email protected] if you need assistance determining whether your property is eligible.
Eligible sales are arm’s-length, which means both parties are independent, typically motivated, have no prior relationship, and are not unduly influenced by each other. Eligible sales also include a full transfer of title at the time of the closing. Land contracts, installment contracts, or bond-for-title arrangements are not eligible.
In addition, eligible 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 Eligible 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.
Yes, to retain eligibility and receive compensation under the interim or long-term plan, homeowners must submit a release of property claims. A sample release will be available soon and will be posted under the Important Documents section of this website, below.
Please be aware that there is pending class action litigation arising out of the February 3, 2023 derailment, In re: East Palestine Train Derailment, No. 4:23-CV-00242 (N.D. Ohio), and it includes claims for property damage. The operative complaint in that case is available here.
A release will affect your legal rights, and you may wish to discuss it with an attorney. For your convenience, contact information for plaintiffs’ interim class counsel in In re: East Palestine Train Derailment is below:
Seth A. Katz
Burg Simpson Eldredge
Hersh & Jardine, P.C.
40 Inverness Drive East
Englewood, CO 80112
M. Elizabeth Graham
Grant & Eisenhofer P.A.
123 S. Justison Street, 6th Floor
Wilmington, DE 19801
The Approved Real Estate Agents are licensed and experienced real estate agents who specialize in residential properties in and around East Palestine, Ohio. The Approved Real Estate Agents are not employees of Norfolk Southern or the VAP Administrator.
If you are a real estate agent who would like to be an approved agent for the VAP, or if you would like to recommend a real estate agent to be an approved agent for the VAP, please contact the VAP Administrator at (877) 270-6970 (toll-free voicemail) or [email protected].
You or your agent may contact the VAP Administrator at (877) 270-6970 (toll-free voicemail) or [email protected].
The Approved Real Estate Appraisers are experienced state-licensed appraisers that specialize in appraising residential properties. The Approved Real Estate Appraisers are not employees of Norfolk Southern or the VAP Administrator. The Approved Real Estate Appraisers have experience appraising residential properties in and around East Palestine, Ohio.
If you are an appraiser who would like to be an approved appraiser for the VAP, or if you would like to recommend an appraiser to be an approved appraiser for the VAP, please contact the VAP Administrator at (877) 270-6970 (toll-free voicemail) or [email protected].
An Approved Real Estate Appraiser will appraise your property as of the date of sale, absent the influence of the February 3, 2023 derailment in East Palestine, Ohio. The appraisal will be paid for by the VAP. The appraisal will be performed in compliance with the Uniform Standards of Professional Appraisal Practice, using standard approaches to value, in accordance with local market practices. Comparable properties will be selected from outside the Defined Program Area (see map in Interim VAP Booklet page 27).
You have the right to challenge the Market Value assigned to your property by following the procedures identified in the Interim VAP Booklet.
VAP compensation is based on a comparison of sale price and Market Value:
| Comparison of Sale Price and Market Value | VAP Benefits Paid |
|---|---|
| Sale Price less than 95% of Market Value | Market Value less Sale Price |
| Sale Price greater than or equal to 95% but less than 100% of Market Value | Market Value less Sale Price, plus up to 6% of sale price for agents’ commission paid |
| Sale Price greater than or equal to 100% of Market Value | Up to 6% of sale price for agents’ commission paid |
No, Norfolk Southern is not offering to purchase Eligible Properties. The VAP compensates eligible owners as described in “How is VAP compensation determined?” FAQ item above.
VAP compensation is based on a comparison of sale price and Market Value, not loan amount. You should contact your mortgage holder if you have any questions about the amount you owe on your property.
Family Assistance Center (FAC)
191 E. Rebecca Street
East Palestine, OH 44413
Important Documents
Interim VAP Booklet
Claim Form
Offer Form
VAP Participant Release
Please be aware that there is pending class action litigation arising out of the February 3, 2023 derailment, In re: East Palestine Train Derailment, No. 4:23-CV-00242 (N.D. Ohio), and it includes claims for property damage. The operative complaint in that case is available here.
Approved Real Estate Agents
If you are an Eligible Property Owner who chooses to participate in the Interim VAP and lists your Eligible Property for sale after September 18, 2023, you must use an Approved Real Estate Agent to list and sell your property. Participation in the VAP is voluntary, and you do not have to sell your property. For important eligibility criteria and program requirements, please see the Interim VAP Booklet.
If you are a real estate agent that would like to participate as an Approved Real Estate Agent for the VAP, or you are a property owner that would like to recommend a real estate agent as an Approved Real Estate Agent for the VAP, please contact the VAP Administrator at [email protected] or (877) 270-6970 (toll-free voicemail line)
Approved Real Estate Appraisers
The VAP will use an Approved Real Estate Appraiser to determine the Market Value of your property, as described in the VAP Booklet. In addition, you must use an Approved Real Estate Appraiser if you choose to challenge the initial determination of Market Value, subject to the eligibility and program requirements described in the Interim VAP Booklet.
If you are a real estate appraiser that would like to participate as an Approved Real Estate Appraiser for the VAP, please contact the VAP Administrator at [email protected] or (877) 270-6970 (toll-free voicemail line).
VAP Administrator Contact Information
Norfolk Southern has retained Alvarez & Marsal to administer the VAP, a global consulting firm with real estate specialists experienced in running similar programs nationwide.
Email: [email protected]
Phone: (877) 270-6970 (toll-free voicemail line)