Lismore City Council has proposed “a planned retreat” from high-risk residential areas, government-backed reinsurance protection for the central business district (CBD) and consideration of a new commercial precinct as it seeks to avoid a repeating cycle of flooding devastation.

A discussion paper on growth and rebuilding in Lismore says the floods caused “untold physical, social and emotional damage” and the likelihood of more frequent and heavier rain events requires a rethink for the riverside regional city.

“There can no longer be a ‘business as usual’ approach to planning for Lismore,” the executive summary says. “Rather, it is time for big ideas about how we can adapt, mitigate and live with the flood risk so that we are not endlessly repeating the same heartbreaking clean-up processes.”

Lismore was built on the convergence of two rivers in the mid nineteenth century as a way of transporting timber and has long experienced flooding. But the February 28 flood peak at 14.4 metres was above the previous peaks of 12.27 metres in 1954 and 12.15 metres in 1974, the paper says. The town was inundated again at the end of March.

The paper proposes a land swap program for eligible residents in the vulnerable North and South Lismore areas, while house raising and other flood protection measures would also be encouraged.

Across the two areas a combined 27 homes were destroyed and 399 severely impacted in the recent floods. A further 395 suffered a major impact and 76 a minor impact.

The paper proposes protecting and de-risking the CBD, the social, cultural and commercial heart of the town, over the next decade while also taking action to make changes for the future.

“The Insurance Council of Australia (ICA) has indicated that it is uninsurable unless mitigation measures are undertaken to reduce the risk of frequent flood inundation,” the paper says.

“Business owners need some certainty that they can be protected, up to a certain point, from future flood events. Council will also advocate for a Federal Government reinsurance guarantee similar to that announced for north Queensland.”

But the paper says if Lismore is to grow and function as a truly regional city then the long-term development of an alternative flood-free commercial centre is recommended and the site of the Lismore Golf Course should be considered.

“This initiative will take years of careful planning and design to come up with a masterplan for the site,” the paper says. “But the recommendation acknowledges that Lismore will continue to experience flooding and that no amount of mitigation measures will ever keep extreme events out and that we must plan to adapt for future generations.”

The paper proposes the rezoning of new flood free industrial land and says increased density in existing residential areas outside of high flood risk areas will be encouraged.

“All of this will require significant and ongoing support from both state and federal governments,” it says.

The council will hold public forums on May 23 and May 25 on the plan and has called for submissions by June 10.

The discussion paper was welcomed by the ICA which has called for action on land use planning across the nation.

“I was really pleased to see the Lismore council come out with plans around a future rebuild for Lismore that makes a lot of sense,” CEO Andrew Hall told ABC television today. “State and federal governments should look very carefully at what Lismore is saying.”

More details are available here.