The funds appropriated to the Department of Mental Health and Substance Abuse Services for the support of private nonprofit organizations and state-operated centers shall be administered pursuant to the provisions of the Unified Community Mental Health Services Act.¹ Funds for the support of private nonprofit organizations shall be authorized by the Department of Mental Health and Substance Abuse Services only on the basis of performance contracts or fee-for-service contracts. Said funds may be reduced or withheld by the Commissioner in amounts necessary to require compliance with the provisions of the Unified Community Mental Health Services Act. Expenditures of said funds by public and private nonprofit organizations shall be subject to audit by the Department of Mental Health and Substance Abuse Services, which shall utilize audit procedures sufficient to ascertain the proper use of state monies by each recipient.