Study: Flood damage to cost $126 million
June 11, 2008
The Bureau of Business Research at Ball State University today released a preliminary flood damage assessment for the June 2008 flood in central Indiana putting damages at $126 million.
The study is authored by economist Michael Hicks at Ball State with colleague Mark Burton from the University of Tennessee. Their estimates include household and business costs, for both structures and contents as well as $45 million in public infrastructure damage, including roads and bridges, public buildings and water and sewer systems.
The study was based on a methodology used to predict damage from the 1993 floods in the upper Mississippi. The authors also published an analysis of Hurricane Katrina’s economic impact in September 2005 that was later demonstrated to be substantially correct in subsequent analysis performed by the Army Corps of Engineers and the Government Accountability Office.