Authority Executive Director Alan Weitzner said the contract was enacted before he began his role.
The director at the time, Tom Boutin, said he was not aware of the memo and did not have anything to add.
“Whatever (the Department of) Law says, I’m sure they must’ve looked at it pretty thoroughly because quite a long time has gone by since Clark Penney ended the contract,” Boutin said.
The state extended the contract once, but Penney canceled the agreement in March 2020, saying he had become a distraction.
While state attorneys found no violations of existing rules, they recommended the authority consider changing its procurement rules to require more disclosure.
The memo was written 11 months after Dunleavy said his administration would perform a “deep dive” into the contract following questions about its legality from Democratic state Reps. Jonathan Kreiss-Tomkins and Zack Fields.
Fields declined immediate comment on the memo.
Kreiss-Tomkins said he is dissatisfied with the memo’s detail and wants to know how the authority concluded only Penney had the qualifications needed to justify a sole-source contract.
“It just elicits new questions in my mind,” Kreiss-Tomkins said.