Before issuing a permit or authorization to allow a use in a regulatory floodway, the community responsible for permitting or authorizing the use shall notify the department of the proposed use. The department shall determine whether a functioning hydraulic model is needed to measure the effect of the proposed use. Upon the request of the department, the community shall submit to the department for review all technical documentation, including a functioning hydraulic model and other technical information needed for the department’s review to analyze the proposed use and to identify its proposed impact. The department shall complete the review within thirty days after receiving the technical documentation. Upon completion of the review, the department shall notify the community whether the proposed use is in compliance with state and federal law. A community may apply to the department for an exemption on a case-by-case basis from this section. The department may grant the exemption if the department determines the community, by using its own technical review, can determine whether the proposed use is in compliance with state and federal law.