Breaking News

Amtrak To Foot Bill For Grace Clean Up Costs

 
 

October 27th, 2005

It has been reported that Amtrak will be responsible for footing at least part of the bill for the clean up of the WR Grace Zonolite plant. Site owner Amtrak is already experiencing financial difficulties, and now has to pay for the clean up under superfund law as ordered by the Environmental Protection Agency. American Premier Underwriters, successors to the Penn Central Railroad, has also been ordered to pay towards the clean up.

Last year the cost of the first round of clean ups at the site totalled around $1.5 million. It is estimated that the second round of clean ups will come to a further $1 million. The total costs of the first round of clean ups was split between Amtrak and APU. Amtrak has stated that it will be seeking legal recourse to claim the money back from WR Grace during Grace’s bankruptcy proceedings.

Some government officials have blasted the decision to make Amtrak pay for the clean up. One official stated: "Amtrak shouldn't have to pay for the mess that W.R. Grace left behind." Another stated that he "believes strongly that the one that does the polluting should be the one that pays."

The site of the clean up was leased by Grace from APU and then Amtrak, and under superfund laws the EPA can order the owners of the property to pay for the costs of such a clean up.

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