FOR IMMEDIATE RELEASE ENR TUESDAY, AUGUST 12, 1997 (202) 514-2008 TDD (202) 514-1888 TWO RAIL COMPANIES AGREE TO COMPLETE $25 MILLION CLEAN UP OF INDIANA SUPERFUND SITE Washington, D.C. -- Pennsylvania-based Consolidated Rail Corporation and Ohio-based Penn Central Corporation today agreed to complete an estimated $25 million clean up of hazardous chemicals that have contaminated soil and groundwater at the Conrail railyard and surrounding areas in Elkhart, Indiana. Under the agreement, lodged today in U.S. District Court in South Bend, Indiana, the two companies will finish cleaning up the site under government supervision, and reimburse the United States for more than $7 million in cleanup costs that the government already has spent. The Environmental Protection Agency was initially alerted to potential contamination coming from the site when a number of drinking water wells in the area showed the presence of several hazardous substances, including carbon tetrachloride, trichloroethylene, and trichloroethane, all of which are suspected carcinogens. As part of the cleanup, businesses and homes in the area are being provided with an alternate water supply. "I'm very pleased that these companies finally stepped up to the plate and accepted their responsibility for the contamination at this site," said Lois Schiffer, Assistant Attorney General in charge of the Justice Department's Environment and Natural Resources Division. "This case demonstrates our commitment to ensure that those who cause pollution, clean it up." "EPA has worked closely with the community over the last several years, especially with Citizens' League for Environmental Action Now, and is pleased there will be a safe source of drinking water for all households and businesses near the site," said EPA Acting Regional Administrator David A. Ullrich. "Although the final phases of the cleanup will be carried out by the rail companies, EPA will continue to monitor their activities to make sure that they meet their commitments and protect public health." The agreement announced today will settle the government's claims against the two companies under the Comprehensive Environmental Response, Compensation and Liability Act, also known as the Superfund law. The parties will continue to litigate against each other to determine their respective shares of the cleanup. Penn Central, a former railroad company now owned by Ohio- based American Premier Underwriters, owned and operated the railyard until 1976, when ownership and operation of the site was transferred to Conrail. The railyard is used as a classification yard where train cars are inventoried and routed to points around the country. Two other rail companies, CSX and Norfolk Southern, recently agreed to purchase Conrail, and divide the company between themselves. The purchase of Conrail will not affect completion of the cleanup activities. The proposed settlement will be published in the Federal Register, and the government will then accept public comment on the settlement for thirty days. Comments should be addressed to the U.S. Department of Justice, Environment and Natural Resources Division, Washington, D.C. 20530. ### 97-333