The department is charged with the express duty of auditing the books of any municipality or airport authority of this state that receives any of the funds appropriated or allocated by the state of Tennessee, insofar as may be necessary to determine that the funds are used solely and exclusively for the purpose of advancing the aviation program in the state and for no other purpose. In the event any municipality refuses the department or its representatives the right to make an audit, or in the event any such municipality or airport authority has misused the funds, then the department is empowered to and shall direct the withholding of any further distribution of state funds to the municipality or airport authority until it has reimbursed and restored to its aeronautics fund the amount so misused. The state treasurer, the commissioner of finance and administration and the commissioner of revenue shall respect and be governed by any withholding orders issued by the department under this section.