2006.04.17 EDA Packet - Laserfiche WebLink

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particular, Qwest cites the testimony of U.S. Telecom President and CEO Walter B. McCormick, Jr. on October 19, 2005 before the Senate Judiciary Committee's Subcommittee on Antitrust, Competition Policy and Consumer Rights, where Mr. McCormick argues that Otsego residents were deprived of a choice between video services because of the city's insistence on build-out promises. Id. As noted in the LFA's initial comments at page 11,the issues regarding the city of Otsego, Minnesota ("City"), were ultimately resolved by the State Court of Appeals which upheld the city of Otsego's decision. See WH Link, LLC v. City of Otsego, 664 N.W.2d 390 (Minn. App. 2003, cert. den'd). Due to Qwest's comments, a full description of the case is set forth below. In 2001, WH Link, LLC ("WHL") filed an application with the Commission for certification to operate an open-video system ("OVS"). After the FCC approved the application WHL filed with the Commission a Notice of Intent to Establish an OVS in the City. After filing its Notice of Intent, WHL met with City officials regarding its plans to provide video programming in the City. The City took the position that Minnesota Statutes Chapter 238 required WHL to obtain a cable franchise in order to use the public rights-of-way. WHL disagreed contending that the state law franchise requirement was pre-empted by federal law. After further negotiations WHL submitted a franchise application but asserted that it was exempt from the state law service area requirements arguing that WHL had authorization to provide cable services over its OVS in its telephone service area without being obligated to go beyond that service area through the imposition of any specific build-out or line extension obligations imposed by the City. The City approved WHL's application conditioned upon WHL's acceptance of a service area requirement. WHL rejected the service area requirement 6