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Participating Addendum 7-23-70-55-03 <br /> Amendment 2 <br /> Hallucination: Generated Data that is nonsensical, false, or <br /> misleading, and is not based on real or existing data, but is instead <br /> produced by bias or the GenAl's extrapolation or creative <br /> interpretation of its Gen Al Training Data. <br /> Materially Impacts: shall have the same meaning set forth in State <br /> Administrative Manual (SAM) 4986.2. <br /> Prompt: any written, spoken, or rendered information provided as a <br /> query, command, or other form of input, to any GenAl in connection <br /> with this Contract. For avoidance of doubt, Prompt includes any input <br /> automatically detected or created by the GenAl, as well as any <br /> derivate works of a Prompt or collection of Prompts. <br /> GENAI DISCLOSURE OBLIGATIONS: <br /> Disclosure Obligations: <br /> a) Contractor must immediately notify the State in writing if it: (1) intends <br /> to provide GenAl as a Deliverable to the State; or (2) intends to utilize <br /> GenAI, including GenAl from third parties, to complete all or a portion <br /> of any Deliverable that materially impacts: (i) functionality of the <br /> System, (ii) risk to the State, or (iii) Contract performance. For <br /> avoidance of doubt, the term "materially impacts" shall have the same <br /> meaning set forth in State Administrative Manual (SAM) § 4986.2 <br /> Definitions for GenAl. <br /> b) Such notification shall be provided to the State designee identified in <br /> this Contract. <br /> c) At the direction of the State, Contractor shall discontinue the provision <br /> to the State of any previously unreported GenAl that results in a <br /> material impact to the functionality of the System, risk to the State, or <br /> Contract performance, as determined by the State. <br /> d) If the use of previously undisclosed GenAl is approved by the State, <br /> then Contractor will update the Deliverable description, and the Parties <br /> will amend the Contract accordingly, which may include incorporating <br /> the GenAl Special Provisions into the Contract, at no additional cost to <br /> the State. <br /> Failure to Disclose or Discontinue GenAl Use: The State, at its sole <br /> discretion, may consider Contractor's failure to disclose or discontinue the <br /> provision or use of GenAl as described above, to constitute a material <br /> breach of Contract when such failure results in a material impact to <br /> functionality of the System, risk to the State, or Contract performance. The <br /> State is entitled to seek any and all remedies available to it under law as a <br /> result of such breach, including but not limited to termination of the <br /> contract, for default pursuant to Section 23 (Termination for Default) of the <br /> IT General Provisions (rev. 06/21/2022). <br /> Page 2 of 3 <br />