Many of our cities grapple with inadequate access to capital and financing for projects. As regional and national budgets are increasingly constrained, cities find themselves responsible for securing the financial resources needed to provide services to citizens, and all-too-often have insufficient resources to fund the full range of their priority projects. Innovative approaches for financing resilience are therefore in greater demand than ever.
Cities are also searching for more creative and forward-looking insurance and risk-management models. For example, many have shown interest in mechanisms that incentivize infrastructure maintenance to mitigate major shocks, and streamline the payout process after major shocks do occur.
The twenty resilience strategies published to date include substantial demand for the development of innovative financing mechanisms tailored to city governments:
Funding for Resilient Infrastructure: 13 cities, 26 total initiatives.
Innovative Insurance Models: 7 cities, 8 total initiatives.
Demands for big data management options from our cities include:
Alternative risk transfer arrangements.
Da Nang; Greater Christchurch; Mexico City;
Medellin; New Orleans; Melbourne
Increased private-sector participation in building urban resilience.
Greater Christchurch; Mexico City; Norfolk
Innovative financial and regulatory instruments for public space management.
Mechanisms for investment in climate-smart mobility projects.
Rio de Janeiro
Resilience R&D: Early Innovative Financing Solutions
Stormwater Financing | Berkley, Oakland, & Stantec/MWH Global
Two 100RC cities in California, U.S.A. – Berkeley and Oakland – are collaborating to meet their shared demand for stormwater financing. 100RC Platform Partner Stantec/MWH Global responded to their need by providing a technical advisory service for water & waste water that reviews the financial state of the cities’ current stormwater program and recommends a long-term funding strategy to support future stormwater capital investments and O&M costs. This experience offers strong best practices and lessons learned for many other cities and potential partners.
Innovative Insurance Models | New Orleans & Swiss Re-Veolia
100RC Platform Partners Swiss Re and Veolia have joined forces in New Orleans to develop an innovative insurance model that improves and streamlines existing disaster recovery and response processes. Under their partnership agreement, Swiss Re and Veolia will work with additional cities around the world to help them understand the risk exposure of their critical assets under current and future climate scenarios. Together, the partners are providing an innovative risk and recovery transfer service with which cities can better budget for emergency management.
By using resources more efficiently, and planning ahead for major shocks and stresses, cities not only strengthen their vital infrastructure, they also limit economic interruption and can quickly begin to repair damage after a disaster, without being forced to wait for insurance assessments, payouts, and solicitations for repair proposals. The result of this groundbreaking partnership will not only arm cities with new tools for the constantly evolving risks they face, but also ensures the vibrancy of cities by building their economic and physical resilience.
INNOVATIVE TECHNOLOGY FOR COMMUNITY ENGAGEMENT
Explore another recent 100RC report:
Resilience in Action which details ways in which cities are institutionalizing resilience.