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ENDORSEMENT NO. U-3 <br />CSAC EXCESS INSURANCE AUTHORITY <br />EXCESS WORKERS’ COMPENSATION <br />CARVE OUT REPORTING REQUIREMENT ENDORSEMENT <br />It is understood and agreed that the following is added to the CONDITIONS section of the <br />Memorandum of Coverage: <br />XVIII.CARVE OUTS: In the event a Covered Party is considering entering into a labor <br />management agreement that establishes an alternative dispute resolution process <br />pursuant to Labor Code Section 3201.7, with one or more bargaining unit(s), to amend <br />any portion of the Workers’ Compensation claims proce ss, that proposed carve out <br />agreement must be submitted to the Authority for review prior to implementation. Failure <br />to provide such documentation prior to implementation may result in the benefits <br />provided under such carve out agreement, and any expenses related thereto, not being <br />covered under the Memorandum of Coverage. <br />It is further agreed that nothing herein shall act to increase the Authority's limit of indemnity. <br />This endorsement is part of the Memorandum of Coverage and takes effect on the effective <br />date of the Memorandum of Coverage unless another effective date is shown below. All <br />other terms and conditions remain unchanged. <br />Effective Date: Memorandum No.: EIA 15 EWC-00 <br />Issued to: ALL MEMBERS <br />Issue Date: June 26, 2015 <br />Authorized Representative <br />CSAC Excess Insurance Authority <br />6.1.C. - Page 62