38.20. Where the pension plan, or a component of the pension plan, provides expressly for the division of the current service contribution or the costs related to the amortization of any technical actuarial deficiency, any variation in the amount of the monthly payments for the current service contribution or the amortization payments determined for such a deficiency by an actuarial valuation of the plan takes effect, notwithstanding section 137 of the Act, on the first day of the fiscal year following the one for which the contributions are calculated.
Where the value, discounted at the date of the actuarial valuation referred to in the first paragraph, of the monthly amounts of the amortization payments to be made for the period affected by the deferment of the variation is less than the amount of the technical actuarial deficiency established by the actuarial valuation, the amount of the technical actuarial deficiency on the first day of the following fiscal year must correspond to the difference between the following:
(1) the accumulated value of the technical actuarial deficiency determined as at the date of the most recent actuarial valuation;
(2) the accumulated value of the required monthly payments set out in the previous actuarial valuation in relation to such a deficiency for the period covered by the affected by the deferment of the variation.
The pension plan, or a component thereof, that provides for the division referred to in the first paragraph may also provide for the division of the amortization payments relating to an improvement unfunded actuarial liability. Where applicable, the rules provided for under the first paragraph apply to the monthly amortization payments established for such a liability, and the amount of the improvement unfunded actuarial liability determined as at the date of the most recent actuarial valuation is equal, on the first day of the following fiscal year, to the accumulated value of that liability.
The deferment of contributions applies only to the component of a pension plan that so provides and only to those contributions expressly affected thereby.
The commuted or accumulated values are determined using an interest rate identical to the rate used to establish the plan’s liabilities during the most recent actuarial valuation.
The provisions of this section apply notwithstanding the third paragraph of section 41 of the Act.