(1) The department may deny an application for certification if the applicant:

(a) Fails to meet any of the requirements of this chapter or falsifies information;

(b) At the time of application, and for any period of time during the prospective period of certification, the applicant:

(i) Has a waterworks operator certificate revoked, suspended, or restricted by another state or province with substantially equivalent standards as the requirements in this chapter;

(ii) Has a waterworks operator certificate revoked, suspended, or restricted by the department; or

(iii) Has a wastewater operator certificate in chapter 173-230 WAC revoked, suspended, or restricted by the department of ecology.

(2) The department shall give written notice to the applicant of the decision to deny a certificate and state the grounds and factual basis for the action.