The disaster management plan for the Quillcay watershed is in process, proposing strategies for protecting the city of Huaraz from the possible effects of a GLOF from Lake Palcacocha. The top identified priority is an early warning system. Implementing the entire project is expected to reduce the risk to the population below by about 90 percent. Read the Executive Summary (24 June 2014) here.
To illustrate what's at stake, Denny Rivas produced a spectacular "Story Map" as a Map Journal project published on ArcGIS titled "Living under flood risk in Huaraz City." It includes a simulation of flooding effects that's a collaboration between the Center for Research in Water Resources (CRWR) of the University of Texas at Austin, The Mountain Institute, USAID, and the Ministry of Environment of Peru.
For the scientific paper that underlies the Story Map, see "Inundation Modeling of a Potential Glacial Lake Outburst Flood in Huaraz, Peru," by Marcelo A. Somos-Valenzuela, Rachel E. Chisolm, Daene C. McKinney, and Denny Rivas of The University of Texas at Austin, March 2014.