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(1) Before legally binding the state by executing an action settlement agreement that might cost government entities more than $100,000 to implement, an agency shall submit the proposed settlement agreement to the governor for the governor's approval or rejection.
(2) The governor shall approve or reject each action settlement agreement.
(3)
(a) If the governor approves the action settlement agreement, the agency may execute the agreement.
(b) If the governor rejects the action settlement agreement, the agency may not execute the agreement.
(4) If an agency executes an action settlement agreement without obtaining the governor's approval under this section, the governor may issue an executive order declaring the settlement agreement void.