A group opposed to the sale raised several legal issues.
EAST RUTHERFORD -- The New Jersey Sports and Exposition Authority plans to address a host of legal issues raised by a group opposed to its plans to issue $1.15 billion in public bonds on behalf of American Dream Meadowlands.
The Sports Authority agreed on Aug. 25 to issue the bonds to help finance the stalled retail and entertainment center.
On Sept. 6, an attorney for the New Jersey Alliance for Fiscal Integrity wrote a letter to the authority claiming the deal was flawed. Thomas Calcagni, an attorney for the alliance, criticized the bond sale in the 11-page document.
Calcagni said the sale of the bonds to the Wisconsin Public Finance Authority, which will, in turn, sell the bonds to the public, wasn't allowed under New Jersey redevelopment laws. He also said the Sports Authority didn't provide adequate notice of the Aug. 25 meeting at which it approved the bonds, making them void.
The letter accused the Sports Authority of a number of other technical mistakes.
Bruno Tedeschi, a spokesman for the alliance, said the Sports Authority's attempt to correct those mistakes Thursday was an "oops-we-goofed-up response."
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"It's unconscionable that the NJSEA would make so many obvious mistakes on such an enormous bond deal," Tedeschi said. "The NJSEA's lack of attention to detail displays utter disregard for the hard-working taxpayers of this state."
The authority has not specifically revealed how it will address the Calcagni's claims. There are resolutions on its Thursday agenda saying it will "readopt and supplement" the resolutions approving the bond sales, but a spokesman for the authority said the resolutions wouldn't be available until the meeting, as is typical.
The alliance had given the Sports Authority until Monday to address its claims, or, its letter said, it would challenge the bond sale in state court. Tedeschi said the alliance wasn't dropping its legal claim.
"We're waiting to see exactly how they correct the issues we raised before we decide next steps," he said.
Even if the Sports Authority corrects the alleged errors, the alliance remains opposed to public financing for American Dream. It's not clear who is backing the alliance. As a 501(c)4 non-profit, it does not have to disclose its donors.
Triple Five, the developer of American Dream, had expected to wrap up financing for the project by the end of the month and resume work around the same time. The complex is now expected to open in summer 2018.
Myles Ma may be reached at mma@njadvancemedia.com. Follow him on Twitter @MylesMaNJ. Find NJ.com on Facebook.