(1) Notwithstanding ORS chapter 537, 540 or 541, a proposed final order issued by the Water Resources Department under ORS chapter 537, 540 or 541 for an application requesting that the department approve a new water right or a change to an existing water right or permit, registration or license, shall become, without further department action, a final order as a matter of law 33 days after the close of the time period for submitting a protest if:
(a) The department includes a provision in the proposed final order explaining that the proposed final order will become a final order under this section; and
(b) A protest is not received by the department within the 33 days.
(2) Notwithstanding subsection (1) of this section, the department may withdraw a proposed final order for reconsideration and issuance of a superseding proposed final order not more than 33 days after the close of the time period for submitting a protest.