(a) If, as part of the annual on-site monitoring of local areas,
the Governor determines that a local area is not in compliance with the
uniform administrative requirements found at 29 CFR part 95 or part 97,
as appropriate, the Governor must:
(1) Require corrective action to secure prompt compliance; and
(2) Impose the sanctions provided for at section 184(b) if the
Governor finds that the local area has failed to take timely corrective
action.
(b) An action by the recipient to impose a sanction against a local
area, in accordance with this section, may be appealed to the Secretary
in accordance with Sec. 667.650, and will not become effective until:
(1) The time for appeal has expired; or
(2) The Secretary has issued a decision.
(c) If the Secretary finds that the Governor has failed to promptly
take the actions required upon a determination under paragraph (a) of
this section that a local area is not in compliance with the uniform
administrative requirements, the Secretary must take such actions
against the State recipient or the local area, as appropriate.