The federal government says an action plan is required by all First Nations who have not yet complied with the First Nations Financial Transparency Act.
The government sent out letters on Tuesday stating the bands have 15 days to develop a written action plan that details steps they will take to comply with the legislation.
The government says if the bands do not comply they will proceed with court action.
In December, the government began legal action against 5 First Nations who have shown their intention not to comply with the act.
Three of those First Nations are from Saskatchewan; they include Onion Lake, Ochapowace and Thunderchild.
Since November, the government has withheld all non-essential funding from First Nations who have not complied with the transparency act.
So far, 563 of the 582 First Nations nationwide have complied.
In a media Release, Bernard Valcourt Minister of Aboriginal Affairs says the government expects First Nation band councils to use financial resources responsibly.
He says that is why they brought in the Financial Transparency Act.