In administering any funds appropriated or made available to the department for disbursement through the counties for relief purposes, the department shall:

1. (a) Require as a condition for receiving such grants-in-aid that the county shall bear the proportion of the total expense of furnishing relief required to be paid by the county under Section 18521.
2. (b) Establish rules and regulations, not in conflict with law, defining and controlling the conditions under which state aid may be granted or refused.
3. (c) Terminate any grants-in-aid to any county if the laws providing such grants, or the minimum standards prescribed by the department, are not complied with by the county or its officers or employees.