(1) The department shall process and issue licenses to all applicants who submit complete and routine applications. Complete applications that are nonroutine must be reviewed by the board to determine licensure.

(2) The board shall review an application containing any of the following criteria:

(a) the applicant's conviction, or pending criminal charge, of:

(i) a felony crime, unless the conviction was dismissed by the court;

(ii) any crime related to the illegal use or possession of a dangerous weapon, unless the conviction was dismissed by the court;

(iii) a misdemeanor crime involving violence, use or sale of drugs, fraud, deceit, or theft, pursuant to 37-1-316(1), MCA, unless the conviction occurred more than five years before application and all court-ordered conditions have been satisfied, discharged, or dismissed; or

(iv) two or more misdemeanor crimes that have occurred within five years of application, including the traffic-related crimes of reckless driving, driving under the influence (DUI), and hit-and-run;

(b) disciplinary action taken against a professional license held by the applicant in this state, another state, or other jurisdiction, in which:

(i) the license was revoked, suspended, voluntarily or involuntarily surrendered, or placed on probation for three or more years; or

(ii) the license is currently encumbered, meaning conditions imposed on the license have not been satisfied or are ongoing; and

(iii) the disciplinary action originated in that state or jurisdiction because of the applicant's underlying conduct and not in response to another state or jurisdiction's disciplinary action;

(c) the applicant has been court-martialed or received a dishonorable discharge from any armed services branch;

(d) a malpractice judgment has been entered against the applicant related to the practice of private security;

(e) the applicant answered "yes" on the application to being diagnosed with chemical dependency or another addiction, or has participated in a chemical dependency or other addiction treatment program (excluding ACT or similar court-ordered program), any of which have occurred within five years of application;

(f) the applicant answered "yes" on the application regarding a diagnosis for a physical condition or mental health disorder involving potential health risk to the public; or

(g) the applicant failed to disclose a criminal conviction on the application that was discovered during the background check and the criminal conviction is defined as nonroutine under (a)(i) through (iv).

(3) The department may, but is not required to, submit an otherwise routine application to the board for review if:

(a) questions arise whether the applicant meets all requirements for licensure under 37-60-303, MCA, including but not limited to the demonstration of good moral character; or

(b) inconsistencies, irregularities, or other matters of concern exist in the application or related documentation.