There is precedent for flagging in this situation: I don't have specific examples, but whales used to flag each other for upvoting their own low-content posts.
I suppose a fix would be to implement both a redistribution button and a downvote reputation button -- I've been less active on steem the past 8 months, but I've noticed the reputation numbers change much slower now. I've probably made ~30 blog posts since returning and my reputation has stayed at 62, so I'm not sure what it means anymore, but having a redistribution option separate would be an ok fix.
Do you happen to know if a downvote is notified to the poster? I have never been downvoted, so I don't know, or maybe I have and I didn't know it? Thanks!