Competitive Project M player Filthy Casual posted this Reddit thread with the fixed files for vPM, and ds22 was kind enough to help fix the Legacy TE files as well.
So due to how critical of an update this is for Project M 3.6 builds in general, we've decided to push an update to Legacy TE which is available for download now.
You can either download the full Legacy TE 1.11 version, or a simple hotfix you can drag and drop over your Legacy TE 1.1 files.
Also included in the 1.11 download are fixes for various stages and a few cosmetics. You can view the Changelog here.
Note: The Netplay build of Legacy TE will remain on 1.1 to avoid deysncs, and since the 1.11 changes impact are minimal on Dolphin.