The Ohio train disaster has become one of the worst toxic train disasters in recent U.S. history, and the Environmental Protection Agency (EPA) has now issued an ultimatum to Norfolk Southern.

According to CNN, the head of the EPA warned of costly consequences if the rail company failed to fully clean up its toxic train wreck in East Palestine, Ohio, and pay for all cleanup costs. EPA has the power to fine or sanction firms over environmental concerns. 

The February 3 derailment of one of the company's freight trains has unleashed toxic chemicals that brought the town of East Palestine to a standstill. The new EPA order is legally binding and will take effect on Thursday.

EPA Administrator Michael Regan told CNN that this order "will ensure that Norfolk Southern pays for the mess that they've created." Regan said Norfolk Southern should "clean up every single piece of debris, all of the contamination, to EPA specifications and satisfaction" and must "fully pay for it."

"At any moment, if we have to step in because they refuse to do anything, we will do the cleaning up ourselves. We can fine them up to $70,000 a day," Regan told the outlet.

"And when we recoup our total costs, we can charge them three times of the amount of the cost of the federal government. That is what the law provides," he added.

The order comes as Ohio residents have reported various health problems since the Norfolk Southern train carrying toxic chemicals derailed.

The company's personnel reportedly released vinyl chloride gas from five train cars and burned it in order to avoid a deadly explosion. However, it emitted black clouds of smoke over the town of about 5,000 people.

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Pennsylvania AG to Investigate Norfolk Southern After Ohio Train Disaster

Norfolk Southern is facing another problem as Pennsylvania's attorney general is also looking into the freight rail company. The state's attorney general's office said they will conduct an investigation after receiving a criminal referral from state environmental officials.

In a statement released on Tuesday, the office of acting Attorney General Michelle Henry noted that they have been monitoring the train derailment in East Palestine.

Pennsylvania was also affected by the train crash, as it happened near the Pennsylvania-Ohio border, leading to an evacuation in some areas in both states. CNN reported that the AG's office received a criminal referral from the Pennsylvania Department of Environmental Protection.

The AG's office vowed to "act quickly to investigate this incident, gather the facts, and then evaluate the evidence to make a determination under Pennsylvania law."

Following the Pennsylvania announcement, Norfolk Southern spokesperson Katie Byrd told CNN that their actions to work with local, state, and federal leaders from the beginning, support the community, and lead on environmental remediation speak for themselves for the moment."

Norfolk Southern Train Wreck Contaminated 15,000 Pounds of Soil in Ohio

The company seemed to admit that the train wreck had done environmental harm in Ohio. In a statement released Monday, Norfolk Southern said thousands of pounds of soil and water had been removed from the crash site due to "substantial contamination," CBS reported.

The company noted that about 15,000 pounds of soil and 1.1 million gallons of water had been removed because of contamination. However, it did not specify which hazardous materials were found in the soil and water.

Norfolk Southern did assure that the material will be "transported to landfills and disposal facilities" designed to accept "it safely in accordance with state and federal regulations."

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Written by: Rick Martin

WATCH: EPA Orders Norfolk Southern to Clean up Ohio Train Derailment and Pay for It - From NBC News