The board by resolution may approve an application if, after considering the factors listed in § 17.774 of this code and other relevant information, the board finds:
(1) that the public interest requires state participation in the project;
(2) that in its opinion the taxes or revenues pledged by the political subdivision will be sufficient to meet all obligations assumed by the political subdivision;
(3) if the project would increase the volume or rate of stormwater runoff, that adequate consideration was given to alternative approaches that would decrease or hold constant the volume or rate of stormwater runoff;
(4) that the project proposed in the application will not increase the peak water surface elevation of any portion of any stream within the watershed or within any downstream watershed; and
(5) that adequate consideration was given to the effects of the project with regard to erosion and sediment control.