California Code, Welfare and Institutions Code - WIC § 19754

To ensure high quality services and proper and effective expenditure of funds, the department may monitor services provided by, or conduct a fiscal review or audit the records of, any agency, organization, or facility receiving funds pursuant to this chapter.  When the department chooses to monitor services or conduct an audit or fiscal review, the agency, organization, or facility shall cooperate with the department to the fullest extent possible.  If the department determines that funds have been improperly expended, the department shall be reimbursed by the subgrantee for the amount of the overpayment.