(a) Pursuant to section 30 of the General Municipal Law, the annual financial report shall be certified by the chief fiscal officer of the college and shall be filed with the State Comptroller within 60 days after the close of the college fiscal year. The chief fiscal officer is the college treasurer for purposes of this certification.

(b) The annual financial report shall be in compliance with article 126 of the Education Law, this Subchapter, and the manual for community college business offices, and on the forms and in accordance with instructions promulgated by the State Comptroller.

(c) The State University of New York, which shall also receive copies of the annual financial report, shall review the annual financial report for the purpose of the initial determination of the State liability.

(d) Any overpayment in State financial assistance for operating costs, as determined in the review of the annual financial report, shall be deducted from the second quarterly advance payment of State aid for the succeeding college fiscal year provided, however, that in a year during which overall support to the SUNY System has increased on both a year-to-year basis and over a multi-year period, and the final enacted State budget adopts the one-time five percent withhold already included from the 2020/21 enacted budget, such adjustments shall be made in accordance with the actions taken by the State. Absent such action, in no case shall the amount of basic State financial assistance for operating costs received in the 2021/22 academic year be less than 98 percent of the amount of basic State financial assistance for operating costs preliminarily approved by the State University Board of Trustees for the 2020/21 academic year.

(e) Any underpayment in State financial assistance for operating costs, as determined in the review of the annual financial report, shall be processed in accordance with sections 602.3 and 602.9 of this Part.

(f) The college shall be subject to audit by the Office of the State Comptroller for the purpose of the final determination of the State liability.