A new zoning-permit law for telecom towers could cause cost and schedule overruns for the network rollout. What should the project manager do?

The correct answer is to assess and prioritize the impact of the new law on the project plan. This aligns with proactive risk management. The new zoning law is an external event that introduces a new risk or changes existing risks. The project manager must first understand the full implications (cost, schedule, scope, quality, resources) before deciding on a course of action. Simply requesting more time and budget without analysis is premature. Reducing scope might not be necessary or desirable. Updating the project plan immediately without assessment is also premature, as the impact needs to be understood and a response planned first.