Permission review Google Play for access to background location

The form can be submitted through the new Google Play Console. It has a top level navigation item now.

Select the app in the console > Policy > App policy > Sensitive app permission > Manage.

If you don't use background location service. From your AndroidManifest.xml file, remove

<uses-permission android:name="android.permission.ACCESS_BACKGROUND_LOCATION" />

or if some of external libraries want to use background location service but you don't, add this to your AndroidManifest.xml file

<uses-permission android:name="android.permission.ACCESS_BACKGROUND_LOCATION" 
  tools:node="remove" />

Then open the play store console, select the app in the console > App Content > Sensitive app permission > Manage > Location permissions > Manage

And select "No" option like below and Save it.

After those processes, your app rejection / removing will be gone after google confirm your policy.