(a) The commissioner may deny a license if an applicant or controlling individual:
- (1) fails to submit a substantially complete application after receiving notice from the commissioner under section 142B.10, subdivision 1;
- (2) fails to comply with applicable laws or rules;
- (3) knowingly withholds relevant information from or gives false or misleading information to the commissioner in connection with an application for a license or during an investigation;
- (4) has a disqualification that has not been set aside under section 245C.22 and no variance has been granted;
- (5) has an individual living in the household who received a background study under section 245C.03, subdivision 1, paragraph (a), clause (2), who has a disqualification that has not been set aside under section 245C.22, and no variance has been granted;
- (6) is associated with an individual who received a background study under section 245C.03, subdivision 1, paragraph (a), clause (6), who may have unsupervised access to children or vulnerable adults, and who has a disqualification that has not been set aside under section 245C.22, and no variance has been granted;
- (7) fails to comply with section 142B.10, subdivision 1, paragraph (f) or (g);
- (8) fails to demonstrate competent knowledge as required by section 142B.10, subdivision 13;
- (9) has a history of noncompliance as a license holder or controlling individual with applicable laws or rules, including but not limited to this chapter and chapters 142E, 245A, and 245C;
- (10) is prohibited from holding a license according to section 142A.12 or 245.095; or
- (11) for a family foster setting, has or has an individual who is living in the household where the licensed services are provided or is otherwise subject to a background study who has nondisqualifying background study information, as described in section 245C.05, subdivision 4, that reflects on the applicant's ability to safely provide care to foster children.