Payments to state employees resigning or retiring from employment pursuant to settlement or nondisparagement agreement

(a) For the purposes of this section, “state agency” means any department, board, council, commission, institution or other executive branch agency of state government, including, but not limited to, each constituent unit and each public institution of higher education. On and after October 1, 2018, no state agency shall make a payment in excess of fifty thousand dollars to an employee resigning or retiring from employment with such state agency for the purposes of avoiding costs associated with potential litigation or pursuant to a nondisparagement agreement unless such payment is made pursuant to (1) a settlement agreement entered into by the Attorney General on behalf of the state agency, or (2) an authorization by the Governor pursuant to section 3-7. (b) No settlement agreement or nondisparagement agreement, as described in subsection (a) of this section, may prohibit an employee from making a complaint or providing information in accordance with section 4-61dd or sections 4-276 to 4-280, inclusive.