94 STAT. 1278
PUBLIC LAW 96-364—SEPT. 26, 1980 "(i) 12 years, or "(ii) a period equal in length to the average of the remaining expected lives of all persons receiving benefits under the plan. "(4) EXCEPTION IN CASE OF CERTAIN BENEFIT INCREASES.—Para-
graph (1) shall not apply with respect to a plan, other than a plan described in paragraph (3), for the period of consecutive plan years in each of which the plan is in reorganization, beginning with a plan year in which occurs the earlier of the date of the adoption or the effective date of any amendment of the plan which increases benefits with respect to service performed before the plan year in which the adoption of the amendment occurred. "(e) CERTAIN RETROACTIVE PLAN AMENDMENTS.—In determining the minimum contribution requirement with respect to a plan for a plan year under subsection (b), the vested benefits charge may be adjusted to reflect a plan amendment reducing benefits under section 26 USC 412.
412(C)(8). "(f) WAIVER OF ACCUMULATED FUNDING DEFICIENCY.—
"(1) IN GENERAL.—The Secretary may waive any accumulated funding deficiency under this section in accordance with the provisions of section 412(d)(1). "(2) TREATMENT OF WAIVER.—Any waiver under paragraph (1) shall not be treated as a waived funding deficiency (within the meaning of section 412(d)(3)). "(g) ACTUARIAL ASSUMPTIONS MUST BE REASONABLE.—For purposes of making any determination under this subpart, the requirements of section 412(c)(3) shall apply. 26 USC 418C.
"SEC. 418C. OVERBURDEN CREDIT AGAINST MINIMUM CONTRIBUTION REQUIREMENT.
"(a) GENERAL RULE.—For purposes of determining the contribution under section 418B (before the application of section 418B (b)(2) or (d)), the plan sponsor of a plan which is overburdened for the plan year shall apply an overburden credit against the plan's minimum contribution requirement for the plan year (determined without regard to section 418B (b)(2) or (d) and without regard to this section). "(b) DEFINITION OF OVERBURDENED PLAN.—A plan is overburdened for a plan year if— "(1) the average number of pay status participants under the plan in the base plan year exceeds the average of the number of active participants in the base plan year and the 2 plan years preceding the base plan year, and "(2) the rate of employer contributions under the plan equals or exceeds the greater of— "(A) such rate for the preceding plan year, or "(B) such rate for the plan year preceding the first year in which the plan is in reorganization. "(c) AMOUNT OF OVERBURDEN CREDIT.—The amount of the overbur-
den credit for a plan year is the product of— "(1) one-half of the average guaranteed benefit paid for the base plan year, and "(2) the overburden factor for the plan year. The amount of the overburden credit for a plan year shall not exceed the amount of the minimum contribution requirement for such year (determined without regard to this section). "(d) OVERBURDEN FACTOR.—For purposes of this section, the overburden factor of a plan for the plan year is an amount equal to—
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