(a) The office shall deny an application for the designation of a qualified media production location if:
(1) the office determines that the nominated location does not satisfy the criteria under Section 485A.102;
(2) the office determines that the number of media production location designations or number of approved media production development zones at the time of the application are at the maximum limit prescribed by Section 485A.103; or
(3) the comptroller has not certified that the proposed project or activity to be conducted at the location will have a positive impact on state revenue.
(b) The office shall inform the nominating body of the specific reasons for denial of an application under this section.