Beyond the flood: Achieving equitable compensation in flood-specific property buyout programs

The ongoing climate crisis has increased the severity and frequency of flooding events in Canada. In response, the Government of British Columbia has recognized the need to strengthen its approach to community resiliency, including exploring managed retreat as a flood-adaptation tool. Managed retreat, the purposeful and coordinated movement of people and assets out of harm's way, can be achieved through property buyout programs, whereby governments purchase flood-risk property and compensate eligible homeowners. Both costly and controversial, property buyout programs can exacerbate existing social inequities. This study utilizes a review of literature and findings from expert interviews to identify policy options that can deliver equitable and effective homeowner compensation within mandatory, local government-led, reactive buyouts. Four options are proposed and analyzed. Ultimately, this study found that two out of the four options, both grounded in the principle of equivalent reinstatement, would provide equitable and effective homeowner compensation.