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Union contracts for local government agencies can last up to three years or more, during which parties may negotiate new agreements. While an existing contract is active, issues may arise that require discussion between the agency and the Union. These discussions can lead to mutual agreements, often formalized through a Memorandum of Understanding (MOU), which acts as an amendment to the collective bargaining agreement. The MOU addresses significant issues that occur during the contract's term and represents a mutual understanding on those matters. It may also be referred to as a Memorandum of Agreement (MOA), Letter of Understanding (LOU), or Letter of Agreement (LOA). Instead of redrafting the entire contract, employers and unions generally use an MOU to address such issues.