I of course don't want to use carpet, but what would be the most
"flooding friendly" flooring product I could use? I just don't want to
have to tear whatever I put in back out if its damaged from some
future flood. How about ceramic tile or linoleum? Would these stand up
to up to 1 inch of water.
I'm also going to leave a 1 inch gap between the floor and my new
drywall, maybe with a rubber baseboard to keep water from wicking up
into the new drywall if it does in fact flood again.
Any suggestions on the wall or flooring?

Linoleum - no, except for very short flood events.
I would think quarry tile or ceramic tile would work, if the floor is first
leveled with concrete,, and thinset mortar, not mastic, be used to attach
the tiles. Go to a good flooring and tile shop for additional advice. I
like your idea of having a gap below the wall sheetrock, but I would make it
a full 3-4 inches, and buy appropriate resin or rubber baseboard to cover
the gap.