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The latest actuarial report on the public service pension plan, which is conducted every three years to assess the financial health of the plan, was completed by chief actuary Jean-Claude Ménard before the election and tabled last month. It examined the plan as of March 2014.

What it shows is a plan that is technically in surplus based on market value. However, in a bid to avoid wild swings in value because of the rise and fall of markets, the government decided to “smooth” the plan. That ‘smoothing’ of the assets puts the plan into deficit and triggers the top-up payments.

Smoothing is an accounting practice the government has adopted to protect its pension funds from absorbing big losses or gains at once and allows them to be spread out over years.

Treasury Board President Scott Brison, who is responsible for the pension plans, has the discretion to recognize the market value of the surplus and eliminate the payments but that would be contrary to accounting practices.

In an email, Treasury Board said Brison accepts the report but doesn’t indicate whether he will take the full 15 years to make the payments.

The last actuarial valuation of the plan in 2011 also found a deficit, which it recommended the government top up with special payments of $406 million a year. With the latest report, the government will be paying another $11 million a year.