Its a dialog participant step, with a custom dialog path as below
<type
jcr:primaryType="cq:Widget"
allowBlank="{Boolean}false"
fieldLabel="Status"
name="./jcr:content/status/propName"
type="select"
xtype="selection">
This should add the propName property in at payload path/jcr:content/status node.
The values get persisted but not always.