Section 53137 Of Article 7. Federally Mandated Audits Of Block Grant Funds Allocated To Local Agencies From California Government Code >> Division 2. >> Title 5. >> Part 1. >> Chapter 1. >> Article 7.

. The Controller shall review and monitor audit report findings to determine that both state and local entities have taken appropriate corrective action, or shall make recommendations to state departments for corrective action, including recovery and referral for legal action, as appropriate.