(1) The department may revoke or suspend a certificate of competency, license, or endorsement for any of the following reasons:

(a) The certificate, license, or endorsement was obtained through error or fraud;

(b) The certificate, license, or endorsement holder is judged to be incompetent to carry on the trade of plumbing as a journey level plumber, specialty plumber, or residential service plumber;

(c) The certificate, license, or endorsement holder has violated any provision of this chapter or any rule adopted under this chapter.

(2) Before a certificate of competency, license, or endorsement is revoked or suspended, the department shall send written notice using a method by which the mailing can be tracked or the delivery can be confirmed to the certificate holder's last known address. The notice must list the allegations against the certificate holder and give him or her the opportunity to request a hearing before the advisory board. At the hearing, the department and the certificate holder have opportunity to produce witnesses and give testimony. The hearing must be conducted in accordance with chapter 34.05 RCW. The board shall render its decision based upon the testimony and evidence presented and shall notify the parties immediately upon reaching its decision. A majority of the board is necessary to render a decision.

(3) The department may deny renewal of a certificate of competency, license, or endorsement issued under this chapter if the applicant owes outstanding penalties for a final judgment under this chapter. The department shall notify the applicant of the denial using a method by which the mailing can be tracked or the delivery can be confirmed to the address on the application. The applicant may appeal the denial within twenty days by filing a notice of appeal with the department accompanied by a certified check for two hundred dollars which shall be returned to the applicant if the decision of the department is not upheld by the hearings officer. The office of administrative hearings shall conduct the hearing under chapter 34.05 RCW. If the hearings officer sustains the decision of the department, the two hundred dollars must be applied to the cost of the hearing.