The deputy mayor of a Quebec own where a fiery oil train derailment killed 47 people says a proposed settlement fund for victims represents just a fraction of what's needed.

A $200-million settlement was announced last week, with more than one-half of the money going to various levels of government.

As it stands, about $50 million is destined for relatives of the 47 people who died in the July 2013 disaster, although the amount could rise.

Deputy Mayor Richard Michaud said Monday the families of the victims will share in the settlement money, which is "very little considering there are more than 20 orphans who must rebuild their lives."

A runaway train hauling volatile crude oil broke loose and barreled into the town July 6, 2013, before derailing and exploding.