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MEMORANDUM <br /> August 9, 1996 • <br /> Page 4 <br /> franchise authority cannot unreasonably withhold such approval. Minnesota law also arguably <br /> requires a shorter review period than the 120 days. In any event, we have opined that it is more <br /> probable than not that the federal statutory time of 120 days preempts those state statutory <br /> timelines which are inconsistent with the federal timelines. Exhibit 1 also indicates that US West <br /> has waived objection to the review process of Authorities which may have conflicted with state <br /> procedural timelines. It should also be noted that the Hudson/North Hudson and South <br /> Washington County deadlines were extended by agreement of counsel for US West to be the same <br /> as the negotiated deadlines for the previous Meredith systems. <br /> ' 2. STANDARD OF REVIEW. <br /> The Authority's task in this process is to review the information provided regarding the <br /> transfer and to approve or deny the transfer to US West. The Authorities have the express right <br /> to approve or disapprove such a transfer. The standard of review is that the Authority's consent <br /> shall not be unreasonably withheld. For the purpose of determining whether it will consent to the <br /> transfer, the Authority has attempted to make inquiry into the legal, technical and financial <br /> qualifications of US West, a well as other appropriate factors. During such inquiry, it was <br /> evident that a subsidiary of US West would own and control the Continental systems, although <br /> that subsidiary became a moving target and, as discussed later, is still not entirely identified as <br /> of the drafting of this report. Therefore, at times this analysis encompasses not only US West, <br /> Inc., but various subsidiaries which may own and control the cable systems serving the <br /> • <br />