1. (a) The following constitute sufficient grounds for denial of a license application:

   1. (1) A determination by the department of child abuse or neglect by:

      1. (A) the applicant; or
      2. (B) an employee or a volunteer of the applicant who has direct contact, on a regular and continuous basis, with children who are under the direct supervision of the applicant.

   2. (2) A criminal conviction of the applicant, or the director or manager of a facility where children will be placed by the licensee, for any of the following:

      1. (A) A felony.
      2. (B) A misdemeanor related to the health and safety of a child.
      3. (C) A misdemeanor for operating a child caring institution, foster family home, group home, or child placing agency without a license under this article (or IC 12-17.4 before its repeal).
      4. (D) A misdemeanor for operating a child care center or child care home without a license under IC 12-17.2 .
   3. (3) A determination by the department that the applicant made false statements in the applicant's application for licensure.
   4. (4) A determination by the department that the applicant made false statements in the records required by the department.

   5. (5) A determination by the department that:

      1. (A) the applicant; or

      2. (B) an employee or a volunteer of the applicant who has direct contact, on a regular and continuous basis, with children who are under the direct supervision of the applicant;

         previously operated a home or facility without a license required under any applicable provision of this article (or IC 12-17.4 before its repeal) or IC 12-17.2 .

   6. (6) A juvenile adjudication of the applicant for a nonwaivable offense, as defined in IC 31-9-2-84.8 that, if committed by an adult, would be a felony.

2. (b) An application for a license may also be denied if an employee or volunteer of the applicant who has direct contact on a regular and continuous basis with children who are under the direct supervision of the applicant has had any of the following:

   1. (1) A conviction of a nonwaivable offense, as defined in IC 31-9-2-84.8 .
   2. (2) A conviction of any other felony or a misdemeanor relating to the health and safety of a child, unless the applicant is granted a waiver by the department to employ or assign the person as a volunteer in a position described in this subsection.
   3. (3) A juvenile adjudication for a nonwaivable offense, as defined in IC 31-9-2-84.8 that, if committed by an adult, would be a felony, unless the applicant is granted a waiver by the department to employ or assign the person as a volunteer in a position described in this subsection.

3. (c) In determining whether to grant a waiver under subsection (b), the department shall consider the following factors:

   1. (1) The length of time that has passed since the disqualifying conviction.
   2. (2) The severity, nature, and circumstances of the offense.
   3. (3) Evidence of rehabilitation.
   4. (4) The duties and qualifications required for the proposed employment positions or volunteer assignment.

4. (d) Notwithstanding subsection (a) or (b), if:

   1. (1) a license application could be denied due to a criminal conviction of, or a determination of child abuse or neglect by, an employee or a volunteer of the applicant; and

   2. (2) the department determines that the employee or volunteer has been dismissed before the employee or volunteer has direct contact on a regular and continuing basis with a child who is or will be placed in a facility operated by the applicant;

      the criminal conviction of, or determination of child abuse or neglect by, the former employee or former volunteer does not constitute a sufficient basis for the denial of a license application.

5. (e) The department may adopt rules to implement this section.

As added by P.L.145-2006, SEC.273. Amended by P.L.138-2007, SEC.61; P.L.162-2011, SEC.38; P.L.128-2012, SEC.130; P.L.183-2017, SEC.26.