Finding&the&$&for&Climate&Adaptation - - PowerPoint PPT Presentation

Finding&the&$&for&Climate&Adaptation

Charles(S.(Colgan Director(of(Research

Things'to' remember

1. Mitigation*is*MUCH*cheaper*than* adaptation. 2. Climate*change*and*SLR*projections* understate*the*risks. 3. You*are*already*doing*adaptation… 4. There*is*more*money*than*you*think,* but*less*than*what*will*be*needed. 5. You*are*underinsured 6. Adaptation*is*a*multiJdecade* response 7. Public*and*private*resources*will* both*be*needed

• Michael(Oppenheimer,(IPCC

If(humanity(manages(to(quickly(lower(its( carbon(pollution(in(the(next(few(decades,( then(sea?level(rise(by(2100(may(never( exceed(about(one(foot,(the(report(says.( This(will(be(tough(but(manageable,( Oppenheimer(said.(But(if(carbon( pollution(continues(rising(through(the( middle(of(the(century,(then(sea?level(rise( by(2100(could(exceed(2(feet(9(inches.( Then(“the(job(will(be(too(big,”(he(said.(“It( will(be(an(unmanageable(problem.”

20 40 60 80 100 120 2010 2020 2030 2040 2050 2060 2070 2080 2090 2100 Centimeters

Comparison6of695th6percentile6SLR6for6Monterey6by6RCP6Scenario

4.5

It’s%all%about%the%packaging

Who$Pays? Who$Benefits? Public Private Public 1 Benefits(are(purely(public Cannot$be$meaningfully$divided$ among$users$to$allocate$costs Options( General$Tax$Revenues General$Obligation$Bonds Specialized Consumption$Tax 2 Private(funds(provide(benefits(greater(than( the(private(funder(realizes

• Impact$Investing
• Green$Bonds

Private(organization(created(to(share(benefits( among(organization(members/funders

• Hazard$Assessment$Districts
• Tax$Increment$Financing$Districts
• Water/Sewer
• Stormwater

Private 3 Publicly subsidized(private( expenditures

• Tax$Subsidies

Income Tax$Credits Property$Tax$Credits

• Revenue$Bonds
• Moral$Obligation$Bonds

4 Private$charges for$service$in$proportion$to$ private$benefits

• Goods/Service$Charges
• Insurance/Reinsurance
• Catastrophe$Bonds/Resilience$Bonds

Already(doing(adaptation

• Barriers
• Green)and)Grey
• Structures
• Retreat

Two$Phases$of$Planning:$$Pre$and$Post$Disaster

Box$1:$Public$Benefits2Public$Finance

• Infrastructure+spending
• Types
• Transportation
• Water
• Energy
• Opportunities
• Updates/Upgrades
• Reconstruction
• New+construction
• Recovery+construction
• Pre=Disasters:+Grey+&+Green
• Corps+of+Engineers
• Wetlands+Restoration+Funds
• FEMA+Pre=Disaster
• Other?
• Post=Disasters
• FEMA+Flood+Mitigation
• Emergency+Appropriations

Box$3$$Public$Pay,$Private$Benefit

• Emergency$Appropriations
• Tax$deductions
• For$recovery
• For$conservation

Box$2:$$Private$Pays,$Public$ Benefits

• Impact$Investing

Private(Pay(Private(Benefits

• Infrastructure+Finance
• Special+Purpose+Districts
• Tax+Increment+Financing+Districts
• Flood+Control+Districts
• Storm+Water+Districts
• P3
• Insurance
• Pre+Disaster
• FEMA+Community+Rating+System
• Post+Disaster
• Flood+Insurance
• Catastrophe+Bonds
• Resilience+Bonds

Flood%Insurance:%Changes%are%inevitable

The$Future$of$Flood$Insurance

• Premiums(have(to(go(up
• Modernizing(Flood(Maps
• 100(Year(Flood(Plain
• Increasing(cost(will(reduce(demand
• Community(Rating(System(Offset
• RLP’s(and(Managed(Retreat
• The(takings(problem
• Private(Flood(Insurance(and(Public(Reinsurance

Creating)a)Finance)Package) That)Works

• It’s%flood%protection%but%can%provide%

multiple%benefits

• Flood%protection%as%co6benefit
• It’s%a%multi6decade%process
• How%can%disasters%reduce%vulnerability
• What%might%not%work%now%might%work%in%

a%decade

• Think%outside%the%NOFA
• Combine%public%and%private%resources
• Create%new%jurisdictions%to%achieve%scale%

and%go%global

• Policy%Reforms
• NFIP
• Recovery%6>%Resilience