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The director shall deny the adult entertainment business license for any of the following reasons and shall notify the applicant in writing of the grounds for the denial and the opportunity to appeal:

(1) The applicant or a business control person is less than 18 years old;

(2) The applicant failed to provide all of the information and submittals required by the director and this chapter;

(3) The applicant knowingly made a false, misleading or fraudulent representation or omission of material fact, either on the application for the license or by failing to modify or supplement the application as required by CMC 5.20.040;

(4) The applicant or a business control person is currently the subject of a final adult entertainment license suspension order issued by the city or is the subject of an adult entertainment license revocation order, issued by the city, that became final less than one year before the pending application; or

(5) The applicant or the adult entertainment business is not in compliance with this chapter or applicable zoning, building, fire, public health or other ordinance, statute or rule. (Ord. 05-02 § 3)