Does the Seller have to handle/control the Repairs?

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I am currently under contract. Seller has agreed to a major $15K+ repair. I am ready to close and move in and start the remodeling. Sellers Real estate agent told my agent that the seller wants to the do the repairs before we close. 

Can/Do we have to put the money in escrow. I am concerned with shoddy workmanship and I also want to update the brick fireplace facade from brick to stone tile, and validate the repair is done correctly. There could be potential exterior wall damage that is in the quote. 

Am I obligated to let them control the escrow work? and the final look of the decor? 

I would prefer they give me the funds to do as I want. They said there is a federal law that they owner can not give me funds directly?!? Is there other ways to disperse funds back to me on the closing statement. I will have a mortgage on the house.  I am willing to assume some of the risk, if I can handle the decor and the final scope of work. Any suggestions/experience is greatly needed and welcomed.

Never agree to repairs. Take credits instead. However it sounds like its too late for that.