The general treasurer is authorized to terminate participation under the agreement of any city, town, or agency of the state, in his or her discretion, if he or she finds that there has been a failure to comply substantially with any provision contained in the resolution, ordinance, or vote, or under the federal state agreement, the termination to take effect at the expiration of the notice and under such conditions as may be provided under the federal state agreement consistent with the provisions of the federal Social Security Act, 42 U.S.C. § 301 et seq.