The department may deny or refuse to renew a license under the Children’s Residential Facilities and Placing Licensure Act to any residential child-caring agency or child-placing agency that fails to meet the requirements for licensure provided in the act or in rules and regulations adopted and promulgated under the act, including:

(1) Failing an inspection under section 71-1933 ;

(2) Having had a license revoked within the two-year period preceding application; or

(3) Any of the grounds listed in section 71-1940.