(1) In granting a certificate of approval, the commissioner may impose such conditions relating to the inspection, operation, maintenance, alteration, repair, use, or control of a dam or reservoir as the commissioner determines are necessary for the protection of public health, safety or welfare.
(2) The commissioner may establish hazard categories for dams based on downstream floodplain use, size or type of dam, or other criteria, and may impose different conditions or types of conditions on the approval of dams or reservoirs in the different categories.