An agency of the state or a political subdivision may not enter into a settlement agreement with a party to any civil action or proceeding involving a claim for monetary damages or equitable relief in which the settlement agreement requires nondisclosure or confidentiality of the terms of the settlement. A settlement agreement under this section is a public record as defined under § 1-27-1.1. For good cause shown, the court may order the redaction of the name of any victim of crime within the settlement agreement under this section. Notwithstanding any other provision of law, an agency of the state or a political subdivision may temporarily maintain the confidentiality of the settlement agreement related to ongoing litigation. The settlement agreement shall become a public record as defined under § 1-27-1.1 upon the final disposition and the exhaustion of any appeal from the related litigation.
SDCL 1-27-1.23