A proposed settlement has been announced in a 2012 pollution lawsuit brought by the federal government, Indiana, Illinois and Michigan against U.S. Steel Corporation.

The Department of Justice said in a Tuesday statement that as part of a settlement, U.S. Steel would reduce pollution at three iron and steel plants in the Midwest — in Gary, Ecorse, Mich., and Granite City, Ill.

The settlement filed in Hammond-based U.S. District Court for the Northern District of Indiana is subject to final approval by a judge.

U.S. Steel would spend nearly $2 million on seven environmental projects. That includes removing light fixtures in schools containing toxic chemicals.

It also commits to spending $800,000 on removing contaminated transformers at its Gary and Ecorse facilities. It will pay a $2.2 million civil penalty.