Managed Retreat and the Grand Forks Case Study
October 19, 2023.
For residents and property owners in floodplains, assessing the cost and/or benefit of relocating is not always straightforward.
Ben Cross (20-25 min)
Title: Cost-Benefit Analysis of Managed Retreat
His talk will cover cost-benefit analysis in retreat & relocation, manners to bring in non-financial costs and benefits and whether or not C-B may be worth “saving.” The talk takes us through where his PhD research and his research for the BC Province grant to PICS/LWW will be taking him.
jamboard link: https://jamboard.google.com/d/1mVHQ8Lc_6uuad1FiRJ3AbfDdmJagIWIUfewhHc2zigk/edit?usp=sharing
Notes:
Grand Forks Flood:
Grand Forks: has a population of 4000 people, but is the largest center in the area
2018 flood event exceeded the 200-year level flood
More than 50 homes destroyed; more than 400 homes were damaged--many had not recovered from previous floods (regularly flooded area, low-lying)
Grand Forks proposed to buyout properties of most vulnerable areas; land restored to floodplain/ park land
Combination of improving flood protection infrastructure and buyouts (moving away from risk)
$50M in Provincial and Federal grants
Since then, other communities have considered buyouts as an adaptation strategy
Managed Retreat as an adaptation strategy:
As SLR continues, moving people out of at-risk areas is likely to become a more attractive adaptation option
MR defined as: Strategic relocation of structures or abandonment of land
PARA: Can be combined with different grey or natural infrastructure solutions
Advantages:
Post-retreat land use
Permanent removal of risk--other options can leave residual risks
Also benefits apply to whole surrounding area, not just the one site
Can be a source of societal transformation--used as opportunities to address colonialism, racism. Changing land use can be seen as an opportunity to mitigate these effects
Transformation as contrast to incremental change (combat path dependencies; help us recover from existing maladaptive choices)
Challenges what land use is prioritised
Protection might become maladaptive at some point
Disadvantages:
Wicked Challenges: Multiple actors, contested goals, uncertainties
What does it mean for MR to be successful? Therefore, when and where should it occur? Different individuals and groups experience it differently and may be working towards different objectives.
Public opposition and political risk
People fear concept in general
Makes it difficult to communicate and plan
Vested real estate interests
Poor retreat experiences and implementation issues
E.g., long delays, lack of transparency, insufficient compensation, pressure to accept buyouts in programs that should be voluntary
Makes people hesitant to consider for one’s own community
Does MR reliably decrease vulnerability?
E.g., Still exposed to hazard afterwards; moved to areas that are also high risk/ socio economically vulnerable
Planning challenges
Hard to determine appropriate timing and trigger
How to balance timeliness with necessary community engagement?
Funding and compensation levels determine successfulness, buyin levels
Justice and equity concerns
Unequal availability and uptake among racialized and low-income population groups
Coercion and overrepresentation in retreat programs, but also inability of Indigenous communities to access MR programs
Established power structures and privilege can bias these programs--how they are developed, who makes decisions?
Proactive vs. Reactive MR
Proactive retreat is likely to be more successful, but presents unique obstacles
Political and financial constraints
Discretionary, case-by-case retreat programs
Non-risk based insurance continue to incentivize people to live in these areas; recovery funding
Usually need a window of opportunity to overcome these obstacles
lack of local decision making tools, guidance, capacity
MR seen as high regret
Reactive retreat tends to be most frequently implemented on the ground
Limitations: long timelines lead to difficulties for people involves; challenges with having less time for communication, engagement, and co-production; less likely to address broader societal values and concerns; forgoing flood protection benefits of retreating people from those lands; negative psychological, environmental, and physical impacts of going through a flood event
CBA for Adaptation
Define alternatives and baseline; identify and monetize costs and benefits; calculate cost-benefit ratio
Limitations:
Value selection and monetization
Dominance of market values- puts greater value and realisation of market impacts that are easy to monetize
Omission or difficulty monetizing many non-market values (e.g., ecological, community, psychological harm from flooding)
Indigenous values and different worldviews
Principles of welfare economics don’t apply
Utility maximisation and aggregation vs. community well-being and communal property rights
Non-substitutable values (important for non-Indigenous communities as well)
Better to attempt monetization? Or risk omission?
Deep uncertainty
Uncertainties with climate change dynamics and how cultural/social systems will respond to it
Hard to put a probability on climate mitigation efforts (e.g., reducing carbon emissions)
Range of alternative approaches (e.g., real options analysis, robust decision-making)--have different pros/cons, give different information; challenges with communication information and what is being conveyed
CBA can be combined with other methods to meet more robust outcomes and help decision makers decide which path to take and when to switch paths; a way to figure out what information is needed, etc.
Examples of how CBA can be expanded on through multi-method approaches
Other challenges in CBA:
Sensitive to discount rate and time horizon (large upfront costs, but benefits accrue over time; skews how results are seen)
Scenario, baseline, and boundary selection
Not always explicit on scale (community vs. country)
Can make results difficult to interpret and how can be incorporated into wider decision-making context
Non-marginal impacts, equity, risk aversion, and constraints
Subjectivity and CBA comparisons
Optimism bias and overreliance on CBA
Improving CBA for MR
Community engagement and co-production
MR success requires:
Early, ongoing, inclusive, and high-level community engagement
Co-production, especially with vulnerable and disadvantaged groups
MR CBAs:
Design should be tailored to local content
CBA’s role in decision making will vary
May require multiple separate or sub-CBAs
Integrate CBAs into wider decision making process
Often over-reliance on CBAs in general--so whether or not things are included/excluded factors into how results are interpreted
Integrating holistic values
Many approaches to monetizing non-market values
Ecosystem service valuation becoming more common
Replacement cost, non-use existence value, equivalent property
Cultural and social approaches
Subjective well-being and psychological effects of flooding (study from France)
Challenges:
Suitability
Case specific values--benefit transfer not always appropriate
Costly and time consuming
Planning well in advance
Adds another level of uncertainty
Introduces potential biases
Multi-criteria decision analysis is an alternative tool--allows for quantitative and qualitative factors at the same time, but run into same kinds of problems (weighting factors, biases)
No one-size fits all solution
Important to match decision making tools and design with community in context
All decision making tools come with associated assumptions
Common factors of good decision-making processes:
Thorough treatment of uncertainty
Thoughtful inclusion of market and non-market values
Long time horizon
Values flexibility
Design and use will depend on strong community engagement and participation throughout the process
Research Approach
Doc. review of existing MR CBAs and qualitative, semi-structured interviews with MR decision-makers and key interested parties across different contexts to fill gap in understanding how CBAs are used in MR decision making
Review and perspective paper to explore links between decision-making and economic assessments with MR planning, challenges, and outcomes
Develop framework for guiding MR assessment
Test assessment framework against real-world or hypothetical case studies. Seek feedback from decision-makers
LWW workshop 2024 (Kees - 15 min)
Survey for guidance
Link: https://ubc.ca1.qualtrics.com/jfe/form/SV_5ouEhhXbCQjVY22
Moving Forward - continued (Kees)
Funding possibility, some background: NRCAN Climate-Resilient Communities Program: https://natural-resources.canada.ca/climate-change/climate-resilient-coastal-communities-program/25249
Program will fund up to 25 pilot projects that accelerate adaptation at a regional scale through integrated, inclusive, and innovative actions.
Up to a total of $30 million in contribution funding may be awarded for pilot projects starting April 1, 2024, and concluding on or before December 31, 2027.
The Government of Canada may fund up to 75% of the total eligible project costs, with the exception of Indigenous-led projects and those led by Territorial governments, where Natural Resources Canada (NRCan) may fund up to 100% of the total project costs.
Jamboard link: https://jamboard.google.com/d/1kmgcYQ9hTwgfBtqrWoU9rlxygf9CF21HR_GJBT2inSw/edit?usp=sharing
Notes:
From Eric: Nature Force--funding ends in March 2025--maybe a component of this could be funding to continue supporting robust development of more pilot projects--funding to scope an idea and have it shovel ready for subsequent grants + space to have important conversations with key rights holders and stakeholders--supporting development of pilot projects--overlap of guaranteed funding from NF could be used as matching funding
LWW could act as an umbrella that helps to fund/ provide capacity for FNs to further develop those projects and create a hub for ideas/exchange of info
From Sarah Dal Santo: Focus on FNs who do not have capacity to take on these projects on their own
Depends on scale, geographic extent--role for LWW to play
Quick update URBC experience (Shaieree, Anwen, Charlotte, Felicia, Vanessa & Brent - short)
Ask LWW people at URBC to give brief impressions of timeline mapping workshop
FYI:
Please see the useful information below -
Please send anything that you think should be on the list to Vanessa
Anything else and other announcements
Kees has been invited to prepare a testimony to the The Standing Senate Committee on Transport and Communications (TRCM) on Nov 1, 2023. The committee is studying the impacts of climate change on critical infrastructure in the transportation sector and its interdependencies. The committee is inviting researchers across Canada to share which regions or critical pieces of infrastructure that are most vulnerable to climate change, with the goal of selecting specific case studies for further study.
Please provide any suggestions or input to Kees (klokman@sala.ubc.ca)