October 2 7, 2015

U. S . Depar t m ent of T

ransportation

Docket M a n age m ent System

1200 New Je r sey A

ve., SE

W ash i ngton, DC 20590

Re: Pet i tion of Cloud Jocke y s LL C . for a n Exe m pt io n Pursuant to Sect i on 3 3 3 of the F AA

Mode r niza t i o n and Re f

o rm Act of 2012

Di r ec t o r: F l i g ht S tand a rds Servic e :

Pursuant t o Sect i on 333 of the F AA Mode r niza t i o n and Re f o rm Act of 2012 ("Reform Act") and

14 C. F .R. P a rt 1 1, Cloud Jockeys LL C . (“Cloud Jockey s ”) h ereby applies for an exe m pt i on from

the Federal A

via t ion R e gulations (" F

A R s") iden t ified below to allow com m er c ial o p er a tion of

s m all u n m a nned aerial vehi c les ( i.e., "s m all un m anned airc r a ft" or "UA S ") for the purpose o f

conduc t ing close

- set filming, ae r ial photograph y , videograph y , property m apping, re a l es t a te,

insp e c t i on and surveying se rv i c e s for t h e re a l e s tate and cons t ru c t i on industr i es. Addit i o n al l y

, Cloud J oc k eys conduc t s a erial photograph y , videography for crop inspection and search a nd

rescue s e rv i ces to loc a l m unicipalit i es.

This peti t ion for exe m

pt i on is m ade ba s ed on infor m at i on o utlined i n th i s Pet i tion f or E xe m pt i on,

as well as t h e ac c o m

panying Cloud J ockeys doc u m ent s ;

1. PIC Flight Opera t ions Manual an d ;

2. Opera t ions Manuals

(Collectiv e ly 2 and 3 are referred to as Docu m e nts & Man u al s ")

3. User Guide and;

4. Flight Man u a l 1

(Collectiv e ly 3 and 4 are referred to as " Manuf a ctu r e r ' s Manu a ls").

Cloud Jockeys sub m i t s th e se suppo r ting m at e r i als as confidential documents purs u a n t t o 14

C. F .R. § 1 1

. 35(b ) , as the m at e r i a ls c o nta i n confi d ent i a l com m er c ial an d /or prop r iet a

ry

infor m at i on that Cloud J ockeys has n ot and will not share w i th other req u es t ing parti e s.

Addit i on a l l y , the s e doc u m ents cont a in operating conditions a nd procedures that are n ot gen e rally

ava i lable to the public a nd are pr o tected from rele a se un d er t h e Freedom of In f o r m at i on Act, 5

U. S .C. § 552 et. s eq.

For your c o nveni e nce, t h is Pe t ition is o r gani z ed as follows:

1

. T he t e rm "Manufac t

urer ' s M an u a l " al s o i n c l u des all r e l ev a nt m an u fact u r e r publ i ca t ion s

, i nclu d i ng, but n o t l i m i t ed

to: o pe r a t i o ns and fli g ht m an u a l s, us e r g u i d e s, c o m p o n e nt m a i ntena n ce m an u a ls , pi l ot t r a i ning m an u a l s, se r vice

in f o r m a t ion le t t e rs a n d, safet y /s e r v i c e b u l l e t in s

.U.S Depar t m ent of T ransportation

October 27, 2015

Page 2

I. Descr i ption of Pe t ition e r

II. Descr i ption of P r oposed Opera t i o ns

A. Aeri a l C lose

- S et F ilming, Ph o t o graph y

, V ideograph y , Pr o perty M a p p i n g

, Survey i n g and Inspection

III. Relevant S ta t utory A u t h ori t y

IV. Cloud Jockeys’ P r oposed U A S O p era t ions M e et the Requi r ements of

Section 333 of the Refo r m Act

A. Approval is W

ar r ant e d B ased on t he U A S ' s Siz e

, W eigh t , Speed, and

Opera t io n al C apab i lity

B. Approval is W

ar r ant e d B ased on t he Opera t io n al Rest r ictions Set Forth in the

Opera t ions Manuals

V. Regulat i ons F r om Which Exempti o n is Request e d

A. 14 C. F

.R. P a rt 21, Subp a rt H

– Airwor t hi n ess Cer t ifica t e s and 14 C. F .R. §

91.203(a) ( 1 )

B. 14 C. F

.R. P a rt 27 Airworthiness S ta n dards: Nor m al Ca t eg o ry R oto r cr a ft

C. 14 C. F

.R. §§ 91.9(c), 45

. 23(b) and 4 5 .27(a): Airc r aft Ma r king and

Iden t ification R equi r ements

D. 14 C. F

.R. § 91.405(a), 91

. 407(a) ( 1 ), 91

. 409(a) ( 1 ) and (2); 91

. 417(a) and (b):

Ma i n t enance Inspectio n s

E. 14 C. F

.R. P a rt 61, 14 C. F

.R. § 61.3, 14 C

. F

.R. § 61. 1 13: Pri v ate P i l o t

Priv i leges a nd Li m i t at i o ns

F. 14 C. F

.R. § 91.7(a): C ivil Aircraft A i rwor t hiness

G. 14 C. F

.R. § 91.9(b ) (2): Civil Aircra f t Flig h t M a n ual i n the A i rc r aft and 14

C. F .R. § 91.203(a) and (b): Carr y ing Civil Aircr a ft Cert i fic a tion and

Regis t ration

H. 14 C. F

.R. § 91.103: Preflight A c t i on

I. 14 C. F

.R. § 91.109(a): F l i ght Instru c t i on

J. 14 C. F

.R. § 91. 1 19(c): Min i m

u m S afe Alt i tudes

K. 14 C. F

.R. § 91.121: Alti m et e r Se t t i n gs

L. 14 C. F

.R. § 91.151(a): F uel Requ i r em ents for F l ight in V F R C ondi t ions

V1. Drug and Alcohol P r ogram

VII. Pu b l i c Int e r est

VIII. Privacy

IX. Federal R e gis t er Su m mary

X. ConclusionU.S Depar t m ent of T ransportation

October 27, 2015

Page 3

I. D E SCRIPTION OF PE T ITIONER

Cloud Jockeys, is based i n North Branch, MI, working i n ph o tog r aph y , a n d videogra p hy se r vices

for the r e a l estate and construction i n du s t r ies. T h e C o m pany specializes in, and will c ont i nue to

focus on, the v i deogra p hy and photography of proper t y and re a l es t a te for insp e c t i on and sa l es

purposes as well a s pro p er t y m apping and insp e c t i ons for co n st r u c t i on relat e d pr o ject s

. Addit i on a l l y , Cl o ud Jockeys will p rovide crop i n spection and sea r ch and rescue services. The

Co m pany’s Pr i ncipal, R onald A. Lichalk, J r . h a s been flying U AV Quadcopters a s a h obby f or

m ore than six year without incident, spending t h ousands of hours flying.

Upon the grant of the 3 3 3 Exe m pt io n the Co m

p a ny’s busin es s will sp e ciali z e in r e al estate

photog r aphy and vid e ography of residenti a l, com m er c ial and industri a l for the pro m ot i on of

prop er ties f

o r sale and land deve l o p m ent and add i t i o n al l y w i ll of f e r serv i ces for pro p er t y

m apping an d inspection as well as crop m anage m ent a nd search and rescue se r v ic e s.

Cloud Jockeys’ st a f

f are well trained and experi e nced i n pro v id i ng support as v i s u al observers

(“VO”) for the pil o t i n c o m m and (“PIC”) in addi t ion t o any o t h er needed on si t e ass i s tance.

All of the equip m ent o w ned by Cloud Jockeys is of the h i gh e st qu a lity g e ar and h a s b een ab l e to

prov i de these se r v i ces sa fely and without any cl a i m s or inc i d en t . Cloud J ockey s ’ go a l is to

advi s e the perspe c t i ve client that Cl o ud Jockeys i s following a l l the a pp l icable state a nd federal

ru l es to en s u re the sa f

ety of the pub l ic w hi l e pro v id i ng the c l ient with a c o m pet i t i v e a nd cost

e f fective pro d uct.

Cloud Jockeys seeks an exe m pt i on to al l ow f

or photog r aph y , videog r ap h y and other related

m edia p r oduct s

.

The conta c t infor m at i on f o r Pe t itioner is as fo l l o ws:

Ronald A. Licha l k, Jr.

Cloud Jockeys LL C

. 4721 Hasslick Rd

North Branch, MI 48461

Phone: 810.728.2200

E m ai l : ron @ cloud

j oc k eys.com

II. D E SCRIPTI O N OF P R OPOS E D OP E R A TION

Cloud Jockeys seeks an exe m pt i on pursuant to Section 333 of the Refo r m Act to op e rate t h e DJI

Phantom 3 P ro; DJI Pha n tom 2 V is i on; DJI Ins p ire 1; V

ulc a n Black W

idow 120 0 m m Quad;

60 0 m m T r i

- copt e r w i th 3D R obot i c s

. ( r eferred to as CJ

- UAS ) (under 55 l bs) for the proposed

operations d is c ussed he r ein b e lo w

. All UAS o p er a tions will occur und e r tightly controlled

conditions o n pr i v a te p r o perty or ap p roved location where Cloud Jockeys has r e c eived verifia b le

per m is s ion to operate from the l and o wne r , cont r o l l e r or a u th o r i zed repre s ent a tive. The propos e d

U A S operations will be c onduct e d in acco r da n ce with t he co n di t ions and l i m i t at i ons of this

Pet i tion f or E xe m pt i on and Cloud Jockeys’ Ope r at i ons M an u al s

. As de t ailed in Cloud Jockeys’

Opera t ions Manuals, a ll U AS operat i ons will be l i m i t ed to dayti m e VFR conditions, with i n

visu a l l i ne

- of

- sight (" V L O S") of the oper a t o r , in uncont r o l l ed ai r sp a ce, and w i l l oc c u r at l e ast 5U.S Depar t m ent of T ransportation

October 27, 2015

Page 4

m m away fr o m an a i rport refer e n ce p oin t . More o ve r , Cloud J ockey s ’ Op e r a tions Manuals

inco r porate redundant s a feguards t o assu r e the a i rc r aft do e s n ot t ravel o u tside t h e controlled ar e a

of U AS opera t ions, including G P S "ge o

- fencing" te c hnologie s

.

A. Aeri a l C lose

- S et F ilming, Ph o t o graph y , V ideograph y

, Pr o perty M a p p i n g , Survey i n g and Inspection

C loud Jockeys seeks to u se s m all CJ

- UAS for the pu r pose of conducting photog r aph y

, vide o graph y

, m apping a nd inspe c t i o n se r vices f or t he real estate and co ns t r u c t i on in d ust r y as

well a s pro v ide c rop co n t r ol and se a rch and resc u e se r v i ces to loc a l m unic i paliti e s. C l oud

Jockeys has purposefully tailo r ed i t s operations to m eet the requi r e m ents est a b l i shed by the F A A

in p r i o r g r a n ts of exe m

p t ion au t h o r i z i n g com m er c ial u s e of UAS in the real estate in d ust r y,

inc l u d in g :

 T rudeau, R e al t o r® (Ex em

pt i on No. 1 1 138)

 Alon Sicher m an (Ex e m pt i on No. 1 1728)

 Sokoler M e dly (Exe m pt i on No. 1 1341)

 Raven Executive (Exe mpt i on No. 12639)

 Rick Doyle Photography (Exe m pt i on No. 12681)

 Flight V

entures ( Exe m

pt i on No. 12284)

All UAS re a l e s tate ph o t o graphy and videog r ap h y operations will o cc u r on p r i v a te p r o perty or

approved locat i on in a contro l led ar e a away from spectators a nd persons not invol v ed in the

re c ording process. In a d di t ion, the f i l m ing wi l l be conduc t ed between d a wn and dusk to ensure

m ax i m u m s afety for the public and t h ose i n vol ve d in t he m anipu l a t i on a n d operation of the U A S ;

V F R conditi o ns, at a l t it u des below 4 00' above g r ound level ( “A G L”).

As set for t h belo w

, Cloud Jockeys’ o perations provide an eq u iva l e n t l e v el of safety wh i ch is

supe r i o r t o p erfor m ing t he sa m e work us i ng conv e nt i on a l fixed

- wing aircra f t or helico p te r s.

S m all U A S re a l es t a te v i deo product i on is a lso s a fer than tradit i o n al m anned a i rcraft

perfor m ing t he sa m e funct i on. Vide o grapher

- inspecto r s al s o f requently n e ed to c li m

b roof

top s , trees, o r o t herw i se p e rform el e vat e d work, which exposes them to t he risk of d a ngerous

falls, e lectr o cut i on o r o t h er work related in j u r i e s

. In addition, d epend i ng on the n a t u re o f the

video n e ed e d and in s pe c t i on, pro x imity t o equip m ent, a nd other m echan i cal ha z ards asso c iated

wi t h industrial sites and cons t ruction facilities of t en invo l v e s a risk of ex p osure to ha z ardous

conditions. The use of CJ

- UAS m i t iga t e s th e s e haza r ds and is u l ti m at e ly a m uch safer and cost

e f ficient m ethod of perf

o r m ing t hese a nd m ost o t her types of i nspe c t i ons.

Moreove r

, convent i on a l operations u sing r ot o rcr a ft and f ixe d

- wing ai r c raft i n low lev e l

operations p re s ent risks asso c iated w i t h ve h ic l e s weighing tens of thousands of pounds

( i n c lud i ng p aylo a d) and ca r rying la r ge a m ounts of f uel which inh e rently presents signi f ic a nt fire

haza r ds as well a s exposure to o ther che m ic a l con t a m ina t e s

. It is i m por t ant t o note t h e use of

s m all U A S i n th i s a

rea w i l l n o t on l y be safer and m ore cost e f fective to t h e pe r sp e ct i v e user or

purchaser of the s ervic e

, but t he quality and expanse of acqu i red infor m at i on will be far m ore

robust g i v en the l ow co s t asso c iated with i ts acq u is i tion and o ther p o tential consu m ers an

inexp e n s ive produc t

.U.S Depar t m ent of T ransportation

October 27, 2015

Page 5

U A S re a l e s tate video p r oduct i on is m ore reliab l e, and allows for the c o l lection, d i sse m ina t ion,

and s t ora g e of visual a n d other se ns ory data wi t h greater pr e ci s ion and d uration at a very low

cos t . S m all U A Ss will al s o be capa b le of acc e s s i n g and in s p e ct i ng a re a s t h at would otherwi s e be

ina c c e ss i b le or h i ghly d a ngerous using convent i o nal aircra f t or other inspect i on m ethod s

.

III. R E LE V

ANT S T A TU T O R Y A U TH O RI T Y

This Pe t iti o n for Ex e m

p t i on is sub m i t ted pursuant to Section 333(a) t h rough (c) of t h e F AA

Mode r niza t i o n and Re f

o rm Act of 2012 ("Reform Act" )

. “Co n gress has d irect e d the F AA to

sa f ely a cce l er a te the integration of civ i l un m anned a i rcraft s yst e m s in t o t he na t io n al airspace

sys t e m ." Pursuant to Sec t ion 333 of the Refo r m Act, the F AA Ad m in i strator is t o p e r m it

u n m anned a i rcraft syst e m s to operate in t he N a tional Ai r s p a c e Syste m s ( " N A S") where it is s afe

to do so ba s ed on the fo l lowing con s ide r a t i on s :

● The U A S's size, weight, speed a n d operation a l c a pa b i l ity;

● Ope r ation of the U A S i n clo s e pro x i m i t y to a i rports and po p ula t ed ar e a s; and

● Ope r ation of the U A S with i n t h e visual line of s ight of the o perato r

.

Addit i on a l l y , the F

AA A d m in i strator has general authori t y to grant exe m p t i ons from the a gency ' s

safety r eg u lations and mini m u m st a ndards when the Ad m in i strator d ec i de s a r equest e d

exe m pt i on is in t he pu b lic interest. S ee 49 U.S. C

. § 106(f) (d e fining the a u tho r ity of t h e

Ad m in i st r a t o r ) ; 49 U.S

. C. § 44701(f) (per m i t ting exe m pt i ons fr o m §§ 44 7 01(a), ( b ) a n d

§§ 44702

– 44716, et s e q.). A party requesting an exe m pt i on m ust e xplain the reaso n s why the

exe m pt i on: (1) would bene f

it the publ i c a s a whole, and (2) w ould not ad v er s ely a f fect safety ( or

how it would p r ovide a level of safe t y at l e ast e q ual t o the e x is t ing rules). See 14 C. F .R. § 1 1.81

(petitio n s for exe m

pt i on).

I V

. C L OUD J O CKE Y S’ P R OPOS E D CJ

- UAS OPER A TIONS MEET THE

R E QUIREMEN T S O F S E C T I O N 333 OF THE R EFORM A C T

The s m all C J

- UAS operat i ons p roposed by Cloud Jockeys as noted a bove in t his P e tition for

Exe m pt i on qual i fy f

or expedited a p proval purs u ant t o Se c t i o n 333 of the Refo r m Act as e a ch of

the s tatutory criteria and re l e v ant f a ctors a r e satisfied.

A. A p p r oval i s W

arranted Based on the U A S's Size, W eigh t , Speed, and

Operational Capa b i l i t y

A Grant of E xe m

pt i on is appropriate f

or operat i ons conducted us i ng the U A S s due to t heir size

weight, s pe e d, and ope r a t i on a l c a pa b i l it y

.

 The CJ

- UAS ut i lized by Cloud Jockeys has been approved for use i n p r i o r Section

333 Grants of Ex e m

pt i on fr o m the F

A A

. 2

2 See e

. g

. , Gr a nt of E x e m

ption to T r udea u , R e a l tor® ( E xe m

ption No. 1 1 1 3 8); Grant of E xe m ption to Alon

Sicher m an ( E xe m

ption No. 1 1728); G r a nt of E xe m ption to So k oler M e dly (E x e m ption No. 1 1341).U.S Depar t m ent of T ransportation

October 27, 2015

Page 6

 The CJ

- UAS weighs less than 55 p o unds, including payload

 The CJ

- UAS will not be f lown at a ground speed in ex c ess of 50 knot s

. The

exe m pt i on holder m ay use either g roun d speed or ca l i b rated airspeed to d eter m ine

co m pl i ance with t he 50 knot speed restric t ion.

 Alt i tu d e infor m at i on will be ge n era t ed by equ i p m ent onbo a rd t he U A S as

spec i fied u s i n g GPS t r iangulation, digitally enc o ded ba r o m et r ic a lti m et e r , radio

alti m et e r , or any co m

bi n at i on the r eo f

. This i nfor m at i on will be t r ans m i t ted to the p ilot

via t e le m et r ic data feed.

 The CJ

- UAS will have sys t em redundanc i es a n d independ e nt funct i on a lity to

ensu r e the o verall safety and predic t abili t y of t h e sys t e m . If c onnec t ion to the r e m ote

cont r o l or gro u nd cont r o l st a tion is l o st, fai l s afe syste m s will per m it the UAS to

re t urn to a p redeter m ined l ocation a nd safely l a n d without i n j u ry or da m age.

 The rad i o f

r equenc i e s used f

or operations a nd co n t r ol of the C J

- UAS c o mply wi t h

the Federal Co mm unic a t i ons Co mm is s ion ( " F C C") and other appropri a te govern m ent

oversight a g ency r eq u i r e m ent s

. The operating f requency f

or the CJ

- UAS is 2.4 G H z

frequency b ands.

If the sa m e ope r ations were conducted us i ng a h el i co p t e r

, t h e a i rcraft ' s take

- o f f w eight would

l i k e ly ex c e e d 6,000 pounds depending on payload. The di f ference in weight between the CJ

UAS and a hel i co p ter signi f ic a n t ly reduces t h e p otential ha r m to t he par t ic i p a t i ng a n d no n

participating individ u als and / or s u r r o unding property in t he e vent of an unin t ended a c cid e nt o r

inc i de n t. I n addition, t he r i sk to the onboard pilot and ca m era operator is e l i m ina t ed.

B. A p p r oval i s W

arranted Based on the Operati o nal Restric t ions Set Fo r th in

Cloud Jockeys’ Opera t ions Manuals

Cloud Jockeys’ Operati o ns Manuals and the Ma n ufacturer's Manual for t he selected CJ

- UAS will

cont a in all t h e proced u res and l i m i t at i ons n e ces s ary to s a f e ly and succes s fully pe r fo r m the

operations s pec i fied in t h is Pe t ition f or Exe m pt i on. T o assist the F

AA in m aking a sa f

ety

ass e ss m ent of Cloud Jockeys’ proposed operations, below is a su mm ary of operational

l i m i t at i ons a nd conditions that Cloud Jockeys wi l l adhe r e to, and w hich wi l l en s u re an equiv a lent

or h i gher level of safety to operations conduc t ed under current regulatory g uidelines:

1. The CJ

- UAS weighs l e s s th a n 55 p o unds, with payload.

2. All operati o ns shall b e c onduct e d o v er pr i v ate o r controlle d

- a cce s s pro p erty with

verifia b le per m is s ion from the land o wner/contro l ler or auth o rized repres e ntative.

Per m is s ion f

rom land o w ner/contr o l l e r or author iz ed representative w i ll be obta i ned

for each sc h edul e d flig h t pr i or to op e ratio n

.

3. All U A S o p er a ted under the Grant of Exe m pt i on will be identified by s e r i al nu m be r

, registered in acco r da n ce with 14 CFR part 47, a nd have i de n t i fic a t i on (N

- Nu m ber)U.S Depar t m ent of T ransportation

October 27, 2015

Page 7

m arkings i n acco r da n ce with 14 CFR part 45, Subpa r t C. M arkings will be as la r g e a s

practica b le.

4. Min i m

u m crew f

or each flight opera t ion wi l l co n si s t of a p i l o t, who will b e Pi l o t

- in

Co m m and ( "PIC") of t h e CJ

- UAS, and one or m ore V isu a l O bse r vers (" O bse r ver") as

nece s s a ry t o safely con d uct t he m is s i o n.

5. PICs sha l l p osse s s e i t h e r a private, r e cr e a t i on a l, o r sport p i l o t ce r ti f ic a te. T he PIC

m ust a lso hold a current F A A ai r m an m edi c al c e rtific a te or a val i d U.S. d r ive r ’s

l i ce n se i s su e d by a s t a te, the Distri c t of C ol u m bia, Puer t o Ri c o, a t e rr i to r y , a

possess i on, or t he Fed e ral govern m ent. The PIC w i l l also m e et t he f l ight review

require m ents specified in 14 C. F .R 61.56 in an aircraft in which the PIC is rat e d on

his or h e r p i l o t c e rtific a te.

6. The CJ

- UAS sha l l be operated within V L OS o f t he PIC and Observer at all t i m es.

The PIC m

u st u s e hu m an vi s ion unaided by any devi c e o ther than c orre c tive le n ses,

as spec i f i ed on the PIC ' s F

AA

- is s ued m edi c al c ertifica t e.

7. The PIC and Obse r ver d e sign a ted f or any oper a t i o n will be a b le to com m u nic a te

verbally at a ll t i m es.

8. Electron i c m ess a ging or texting will not be p e r m i t ted du r i n g flight operation s

.

9. The additio n al r eq u i r e m ents identifi e d in t he Gr a nt of Ex e m p t i on sh a ll be added t o

the Cloud J o ckey s ’ Ope r at i ons Man u al s

. The Operations Ma n uals wi l l be m ain t ain e d

and m ade a v ai l a b le t o t h e Ad m in i strator upon re ques t . If a d is c repancy e xis t s

between t he conditions a nd l i m i t at i o ns in the Grant of E xemption and C l oud Jockeys’

Opera t ions Manual s

, t h e cond i tions and l i m i t ati o ns in the Grant of E xemption shall

take preced e nce and m

u s t be fol l ow e d. Otherwis e

, Cloud Jockeys shall fol l ow the

procedures out l i n ed in their Ope r ations Manu a ls.

10. Cloud Jockeys m ay upd a te or revi s e its Operatio n s Manu a ls. Revis i ons w i l l b e

t r ac k ed and a revised c o py of the M anual wi l l b e provided t o the Ad m i n is t rat o r upon

reques t

. C l o ud Jockeys will a lso p r e sent an upd a ted a nd revi s ed Operati o ns Manuals

if it peti t ions f

or exten s i o n or a m en d m ent t o i t s Grant of E xe m pt i on. If an upda t e o r

revision would a f

fect t h e bas i s upon which the F AA grants the exe m pt i on, Cloud

Jockeys wi l l seek a n a m end m ent t o i t s Grant of Exe m pt i on. Cloud Jockeys will

cont a c t t he F A A’s UAS In t egration Of f ice (AFS

- 80) i f ques t ions a rise r e garding

updates or r evi s ions to t he op e r a t i ng docu m ent s

.

11. Cloud Jockeys Opera t i o ns Manuals and i t s Gra n t of Ex e m pt i on will be a vai l a b le t o

the P I C at t h e ground c o nt r ol st a t i on anyt i m e the CJ

- UAS is op e rating.

12. The PIC is p r ohibited fr o m beginn i ng a CJ

- UAS f l ight u n l e ss (considering w ind and

forecast we a ther con d iti o ns) there is e nough power to fly t o t h e first in t en d ed point of

land i ng, and assu m ing n or m al c ru i sing speed, to f ly after that for at l e a st 10 m inu t es.U.S Depar t m ent of T ransportation

October 27, 2015

Page 8

13. Max i m

u m t otal flig h t t i m e for each ope r ational f l i ght u s ing the CJ

- UAS will be

l i m i t ed to 40 m inu t es or t h e a m ount o f ti m e the UAS can be flo w n and s t ill m ain t ain a

re s erve ba t tery power of no less t h an 25%, whic h ever occ u rs firs t

.

14. Flights will be oper a ted at an altitu d e of no m ore than 400 feet A G L and w i ll nev e r

ent e r navig a

ble c on t roll e d ai r sp a ce w i t hout t i m ely pr i or w r it t en au t horiz a t i on and

approval fr o m the F

A A

. In t he e v ent the struc t u re being ins pe ct e d ex c eeds 400 f eet

A G L, the U AS will not be ope r a ted m ore than 100 f eet abo v e the highest point on t h e

st r u c tu r e, a n d no m ore t h an 50 feet h or i zo n tally from the s t r u ctu r e.

15. Flight oper a t i ons m

ust be conduc t ed at l e ast 500 feet from all nonpartici p at i ng

persons. ( pe rsons oth e r than the P I C, V O , operator t r a inees o r essential p er s ons),

vessel s

, v ehicles, a nd s tructu r es u n less:

a. Barriers or s t r u c tu r es are present th a t su f ficien t ly pro t e c t nonparticipating

persons fr o m the UA and/or debris in the e ve n t of an accident. The operator

m ust e nsure that nonp a

rt i cip a ting pe r sons r e m ain und e r such p ro t e c t i on. If a

situation arises where n onparticipating persons leave su c h p rotection and are

with i n 500 f

eet of the U A, f

l i ght operations m

ust c ease im m e dia t e ly and/or;

b. The aircraft is op e rated n ear vessels, vehicles or structures w h ere t h e

owner/cont r ol l e r of such vesse l s, v e h ic l e s or s t r u c tu r es has granted per m ission

and the PIC has m ade a s afety assess m ent of the r i sk of operating closer to

those ob j ects and de t e rmined t h a t it d oes not pre s ent a n undue haza r d, an d ;

c. Opera t ions nearer to t h e PIC, V O

, o perator t ra i n ees or e s sential p e rsons d o not

present an u ndue haz a rd to those p ersons per § 91. 1 19(a).

16. The CJ

- UAS m ay not be oper a ted l e ss t han 500 feet below or le s s than 2

, 000 f eet

hor i zo n tally fr o m a c l oud or when vi s ib i lity is l e ss than 3 s tat u te m i l es from the PIC.

17. The CJ

- UAS m ay not op e rate within 5 n m of an ai r port r efe r ence po i n t as denoted on

a cu r rent F

A A

- publ i shed ae r ona u t i c a l ch a rt unle s s a l e t t e r of agree m ent wi t h that

ai r port ’ s m a nage m ent i s obtain e d, a n d the op e rat i on is condu c ted i n a ccordance wi t h

a N O T AM a s required b y the Cloud Jockeys C O A. The le t ter of agree m ent wi t h t h e

ai r port m anage m ent wi l l be m ade av a i l a b le t o the Ad m in i st r a t o r upon r eq u es t

.

18. Prior to each f

l i ght t he P IC sha l l i n s p ect t h e CJ

- UAS to confi r m that it is in a

condition sa f

e for flight. The pr e

- fli g ht i nsp e ct i o n will a c co u nt for a l l d iscrepancies,

e.g. inop e r a

ble c o m po n ent s

, i te m s, or equip m ent, not a l r ea d y cove r ed in the r e lev a n t

sections of t he ope r a t i ng docu m ents as well as e q uip m ent upd a te s

. The P I C shall not

operate any CJ

- UAS if t he in s pe c t i o n reve a ls a c ondi t ion that a f fects t he s afe

operation of the CJ

- UAS unt i l the n e c ess a ry m aintenance has b een pe r for m ed and t he

CJ

- UAS is f

ound to be in a cond i ti o n for safe f l i ght. The gr o und cont r o l st a tion sh a ll

be in c lu d ed in t he p reflight i n sp e ction. All m ain t enance and al t e rnations m ust be

proper l y d oc u m ent e d in the U A S ’ s re c ords as required by Cl o ud Jockey s ’ Opera t ions

Manuals.U.S Depar t m ent of T ransportation

October 27, 2015

Page 9

19. Cloud Jockeys will ti m ely ca r ry o u t its m ain t ena n ce, i nsp e ct i o ns, and r ec o rd keeping

require m ents in a c c o rdance wi t h t h e Opera t ions Manuals. M ain t e n ance, inspection,

and a l ter a t i o ns will be f

u l l y no t ed in the CJ

- UAS re c ords, inc l uding t o t al t i m e in

se r vice, description of w ork acco m pl i shed, d a te c o m

ple t ed a n d the s ig n ature of the

authoriz e d p er s on return i ng the CJ

- UAS to s e rv i c e.

20. Any CJ

- UAS that has u nde r gone maint e n ance or alterations that a f fect t h e U A S

operation or flight ch a racteristics (e. g

., replace m e nt of a f l i ght critical co m

ponent)

m ust t i m ely unde r go a functional t e st f l i ght i n a c c ordance w i th Cloud Jockeys’

Opera t ions Manuals. T h e PIC who conducts t h e functional test flight m ust m ake an

ent r y in t he U A S ai r cr a ft rec o rds of t he fligh t

. The require m ents and pro c edures for a

functional test flight and CJ

- UAS re c ord ent r y s h all be inc l u d ed in t he C l oud Jockeys’

Opera t ions Manuals.

21. The CJ

- UAS will be o p er a ted and m ain t ain e d acco r d ing t o the M anuf a ctu r e r ' s

Manuals a n d any requi r ed m an u factur e r Safety / Serv i ce Bu l letins and product update s

.

22. Prior to the operation, a Miss i on P ac ket will be created in a cc ordance w i t h the

require m ents on Cloud Jockeys’ Op e rations M a n ual s

.

23

. Cloud Jockeys will o b tain an Air T ra f fic O r ganizat i on ( " A

T O") i s sued C e r t ifi c ate of

W aiv e r or A utho r iza t ion, othe r wise k nown as a C O A, prior to conduc t ing any

operations u nder t h is Grant of Exe mpt io n. A N O T AM w i l l be i ssued as r equi r ed by

the CO A

. A l l ope r a t i ons will be con d uct e d in accordance w i th ai r sp a ce r e qui r e m ents

in t he A T O issued C O A inc l uding cl a ss of ai r space, altitude level and pot e nt i a l

t r ansponder require m ent s

.

24. All r eq u i r ed per m is s ions and pe r m i t s will be o b tained fr o m terr i t o r i a l, state, county or

ci t y ju r isdi c tions, including local law enforce m e n t, fire or ot h er appro p r i a te

govern m ent a l ag e n c ie s

.

25. If the CJ

- UAS los e s c omm unic a t i o n with t he P IC, it wi l l have the ca p a b i l ity to s afe l y

re t urn to a p r e

- d e te r m ined l ocation within the operational a rea and land sa f

el y

.

26. Contingency plans wi l l b e in p l a ce t o safely t e r m i nate flig h t i f there is a l o ss of

com m unic a t i on between the PIC and the Observe r

.

27. The CJ

- UAS will have t h e cap a b i li t y to safe l y a bort flig h t i n the c a s e of unpredi c ted

obsta c les or e m e r genc i es.

28. PICs and Observ e rs w i l l have at le a s t a cu r re n t C l ass I II Me d ical Ce r t i fic a te or a v al i d

and cu r rent U. S . dr i ver’s license is s ued by a s t a t e

.

29. Prior to co n duct i ng op e rations for fil m ing, the P I C w i l l have accu m ula t ed and l ogged,

in a m anner cons i stent w i t h 14 C F R § 61.51(b), a m in i m u m o f 200 flight cyc l es and

25 hours total ti m e as a U A S rotorcra f t p i lot and at l e ast 10 h ours logged as a UAS

pilot w i th a si m i l ar CJ

- UAS type pla t for m . This require m ent c an be a c h ieved by

flights con d uct e d and l o gged as a h o bbyis t

.U.S Depar t m ent of T ransportation

October 27, 2015

Page 10

30. Prior to co n duct i ng op e rations for fil m ing, t he PIC will have accu m ula t ed and l ogged,

in a m anner cons i stent w i t h 14 C F R § 61.51(b ) , a m in i m u m o f ho u rs pursuant to 14

C F R § 61.51(b) as UAS pi l ot oper a ting the m ake and m odel of CJ

- UAS t o be utili z ed

for operati o ns under the exe m pt i on and th r e e tak e

- o f

fs and three landing in t he

prece d ing 90 days.

31. Opera t ions s hall o c cur d ur i ng da y ti m e VFR Me t eor o log i c a l Condit i on s ; flights und e r

spec i a l v i s u al fl i ght ru l e s ("SVF R ") sha l l n o t be conducted.

32. The CJ

- UAS sha l l re m a in c l e ar and yie l d the ri g ht of w ay to a ll o ther m anned

operations a nd ac t i v ities at all ti m es ( inc l u d ing, but not li m i t ed to, u l tra l i g ht veh i c le s

, parach u te a c t i v i t i e s, pa r a sa il ing acti v i t ies, hang g l i d e rs, etc.).

33. CJ

- UAS Op e rations under Instru m ent F l ig h t Rules, at n i g h t, o r beyond V L OS are

proh i b i ted.

34. The U A S w i ll not be op e ra t ed from an e l ev a ted platform unle s s designed and

engin e e red s pec i fic a l l y for such pur p oses and be in co m pl i ance with t h e gene r a l

re s tri c t i ons i m

posed by t he app l icab l e regulatio n s

. Addit i on a lly no PIC w i l l p r o v ide

any fil m

- flight oper a t i o n s while in m ot i on from a top any e le v at e d p l atfo r m vehi c le or

devi c e.

35. Be f ore conduc t ing oper a t i ons, t h e r a dio frequen c y spect r um used for ope r ation and

cont r o l of the CJ

- UAS w i ll co m ply w i t h t h e Federal Com m unic a t i o n s Co m m is s ion

(FC C ) or o t her appro p riate government ove r s ig h t ag e ncy require m ent s

.

V

. R E GUL A

TIONS F R OM WHICH E X EMPTI O N IS R E Q U E STED

The Feder a l A

via t ion Act expressly g r ants t h e F AA the a uthority to is s ue e xe m pt i ons. This

st a t u to r y a u t h or i t y , by i t s te r m s, in c l u des exe m pt i ng civil airc r aft, as t he term is d e fined under §

40101 of the Act, in c lu d i n g U A Ss, f ro m i t s safety regulations and m in i m u m st a ndards when the

Ad m in i st r a t o r decides a requested e x e m pt i on is in the public interes t. 3

Cloud Jockeys seeks an exe m pt i on f r om several in t e r r e la t ed prov i sions o f T i t le 14 of the Code of

Federal Re g ulations ( " 1 4 C. F .R") Pa r ts 21, 45, 6 1 and 91 for purpos e s of conduct i n g t h e

requested o p er a tions u s i n g CJ

- UAS p la t for m s noted abov e . L i st e d b e low are: ( 1 ) t h e s p ec i fic

sections of 14 C. F

.R for w hich e xemption i s sou g ht, and ( 2) the ope r a t i ng procedures and

safeguards that Petitio ne r has establ i shed which will ens u re a lev e l of sa f ety b e tter t h an or equ a l

to t he ru l es f

rom which exe m

pt i on is sought

. 4

U N MAN N ED AIRCRAFT S Y S TEM

3 49 U.S.C. § 4 4 701( f

) ( a uth o riz i ng t

he gr a nt of exe m

ptio n s from r eq u ire m ents of r e g ulat i o n s pres c rib e d pur s ua n t t o

Sec t ions 4 4 701(a) a nd (b) a nd Sect i ons 447 0 2

- 44716).

4 14 C. F .R § 11

. 81(e), w h i c h r e q u i res a peti t i o n for e xe m ption to incl u de: T he reas o ns w hy g r a nti n g the exe m ption

would n ot a dversely af

f ect s a fet y , or how t

he e x e m pti o n w o u l d pr o vide a l e vel of s a fety at l e ast e q ual t o that

pr o vi d e d by t

h e r ule from w h i ch y o u se e k e xe m ptio n

.U.S Depar t m ent of T ransportation

October 27, 2015

Page 11

A. 14 C. F

.R. P a rt 21, Subp a rt H

– Airwor t hi n ess Cer t ifica t e s and 14 C. F .R.

§91.203(a)(1)

The F AA h a s s t ated th a t no exe m pt i on is needed f

rom th i s se c tion i f a f

inding is m ade under the

Re f o r m Act that the UAS sele c ted provides an e q uiva l e n t l e v el of safety when c o m pared to

ai r c raft nor m al l y used f

or t he sa m e app l ication. These cri t e ria are m et and in point of fact

exce e de d

, a nd therefore no exe m pt i on is nee d ed. 5 If, ho w eve r , the F AA det e r m ines that there

are so m e cha r a c teristics of the chosen U AS that fail to m eet the r equirements of the R efo r m Act,

an exe m pt i on is requ e sted.

Eq u iva lent Level of S a

fety

Cloud Jockeys’ use of t h e CJ

- UAS is safe when tak i ng i n to account its s ize, w eigh t

, s peed, and

operational capabili t y

. A s set forth in the d e s c r i p tion of proposed ope r a t i o ns in Secti o n IV (A),

the C J

- UAS weighs le s s t h an 55 pounds, inc l u d i n g paylo a d a n d will not be flo w n at a ground

speed i n e xc ess of 50 knots. The CJ

- UAS is al s o equipp e d w i th s a fety f e a tu r es which will a l l ow

Pet i tioner to operate the CJ

- UAS sa f ely a fter ex p er i e n c ing c e r t a in i n

- f l ig h t contingen c ies or

failu r es as n oted b e lo w

. 6 7

Addit i on a l l y , the CJ

- UAS ca rr ies n e ither p i l o t s n or passenge r s, ca r ries no explo s i v e materials or

fla mm able liquid fuels, o r o t her el e m ents i d ent i f i ed by H o m e land Securi t y as being prohibitive

and ope r a te exclusively with i n t h e p ar a m et e rs stated i n Clo u d Jockeys’ Opera t ions Manual s

.

Opera t ions c onduct e d u n der t h is ex empt i on will be c l os e ly controlled and m oni t ored by the PIC

operator and will be co n duct e d in c ompl i ance with loc a l public safety require m ent s

, t o prov i de

secu r ity f or the area of o peration. C l oud Jockeys will a lso provide t he F AA with advance notice

5 See Gr a nt of E xe m

ption No. 1 1062 to A str a eus A e rial ( F A A

- 2014

- 0352 a t pgs. 13

- 14, 2 2).

6 See e

. g

. , Gr a nt of E xe m

ption No. 1 1 1 8 4 to L ow C o u n t ry R C , Corp. ( F

AA

- 2 0 14

- 0 8 03 at pg. 3): " T he [D JI S 1000]

has t he c a pa b i l i t y t o o p e rate s afely after e x p erienci n g c e rt a in i n

- fli g ht c ont i n g encies or f a i lures a nd us e s an au t o

pilot sys t em to m a i ntain U A S st a bil i ty a n d c ont r ol. T he U A S is also a b le t o resp o nd to a loss of g l o b al posi t ion i ng

sys t e m ( GP S ) or a l ost

- l i nk e ve n t with a pr e

- c o ordinat e d, predic t able, a u t o m a t ed flight m ane u v e r

, a nd m an u al f l i ght

co n t r o l funct i ona l i t y as a ba c kup. T hese s af e t y fea t u r es p r o v i de a n e q u i v a l e nt level of s afety c o m pa r e d to a m a n n e d

a i rc r aft p e rfor m ing a si m

i l ar o p e rat i on."

7 See e

. g

. , Gr a nt of E xe m

ption No. 1 1 1 8 4 to V DOS Globa l

, L LC. ( F A A

- 201 4

- 0382 at pgs. 4

- 5 ) : The CJ

- U AS c a n be

o p e rated e n t i r e ly b y a t ouch

- s cree n

, m ap

- ba s ed int e r f ac e

. T his m eans the o p e rat o r o n ly n e eds t o c om m a nd the

sys t e m w he r e to go, a nd the s ys t e m d oes a l l the fl y i n g f or t he o p e rat o r

. T he CJ

- U AS c a n be o p e rated in bo t

h se m i

and f ully a u t o no m o u s f

l i ght m o d e s, wi t

h t he o p e rat o r si m

ply c l i c king o n a m ap to crea t e a pr e

- pla n ned f l i g h t pa t h

for a fli g ht. I n ad d iti o n, t

he o pe r a t or c a n cr e a t e n o fly z o n e s or m ax i m u m flight ranges a nd al t i t u d es s o t he sys t em

cannot e nter ar eas dee m ed u n safe or u n nec e ssary to f ly ov e r

. The p e t i t ion e r st a t e s f u rther that t

he U A S h a s bui l t

- in

inte l l i ge n t f

a ult h a n d l i ng w hich a l l o ws t he C J

- U AS t o dete c t a s y st e m f ault w h i l e in the air and a uto m a t ical l y fly

back to i t s t a

k e o f f loca t i on and la n d. F a ults that can b e de t ec t ed inc l u d e: l oss of com m uni c a t ion; exce e d i ng pr e

- set

wind t h re s h o l ds; and l o w bat t ery l e vels.

All fl i ght o p er a t ions a re glo b al p os i t i o n i n g s ys t e m ( GP S ) c o n t r o l l e d

, m aking the sys t e m easy to nav i gate. At a n y

p o i nt if t he o p e rator is n o t e x p l i c i tly co mm an d i n g the sys t em to m o v e, the sys t e m a u to m a t i c a l ly h olds i ts GPS

p o si t i o n. The f

l ight c o n t r o l s y stem e m

ploys n o t only G P S p o si t ion i ng but a v a rie t y of se n sors inc l u d i ng son a r

, baro m e t ric pr e ssur e , te m

pe r a t u r e , wi n d s pe e d a nd o t

he r s to e n s u r e stabi l i t y so l ong as w i nd t h reshol d s a re n o t

exceed e d. Also a fl i ght t er m inat i on l i nk

– t o p r e v e nt a ' fly awa y ' o r oth e r p otenti a l l y dan g e rous si t uation

– is

avai l able to the opera t o r ."U.S Depar t m ent of T ransportation

October 27, 2015

Page 12

of all ope r a tions via N O T AMs as r eq u i r ed by the applica b le C O A . In all c ase s

, opera t i o n of the

CJ

- UAS u n der the pro p osed cond i tions will be a t l e a st a s safe as, or safer than, c onv e nt i on a l

ro t orcraft o p er a ting with an a i rwo r thiness c e rtifi c at e . La s t l y

, t he CJ

- UAS do not need a m eans t o

com m unic a te wi t h other ai r c raft or A TC, because those ca p a b i l iti e s will b e solely possessed by

the P I C and Observe r

, w ho are not onboard the CJ

- UAS

. 8 In addition, no sense

- an d

- a void

te c hnology is necessary for the CJ

- U A S s because they will be operated at all ti m es i n V F R

conditions a nd with i n V L OS of the PIC and Opera t o r

. 9

B. 14 C. F

.R. Part 27 Airworthiness S ta n dards: Normal Cat e gory Roto r cra f t

T i t le 14 C. F

. R. P art 27 s e ts for t h t h e p rocedural r e qui r e m ents for ai r wo r thiness c e rtif i c at i on of

nor m al c ategory rot o rcraft. T o the e xtent that C l oud Jockeys’ s m all CJ

- UAS would othe r wise

require c e r t i f

ic a t i on un d er Part 27, P etit i on e r se e ks an exe m p t i on from P a rt 27 ' s a i rw o r t hi n ess

st a ndar d s for the s a m e reasons i de n ti f ied i n t h e request f

o r exe m pt i on f ro m 14 C. F

. R. R. P art 21,

Subpart H, s upra

.

C. 14 C. F

.R. §§ 91.9(c), 45

. 23(b) and 45.27(a): Ai r cra f t Ma r k i n g and Iden t ification

Requi r em e nts

Cloud Jockeys seeks an exe m pt i on f r om the a i r c raft m arking and i denti f ication requi r e m ents

cont a i n ed in 14 C. F

.R. §§ 91.9(c), 45

. 23(b) and 4 5.27(a).

● 14 C. F

.R. § 91.9(c), Civ i l Aircraft Flight Manual, Ma r king a n d Placard

require m ent s , prov i des t h at:

No person m ay ope r ate a U.S.

- registered civil a i rc r aft u n le s s that a i r c raft

is i de n t i fied in a c c o rdan c e with Part 4 5 of this ch a pte r

.

● 14 C. F

.R. § 45.23(b )

, M arkings of t h e Aircra f t, stat e s :

W hen m arks in c lude on l y the Ro m an cap i tal l ett e r " N" and t h e registration

n u m ber is displayed on li m i t ed, res t r i ct e d or lig h t

- sport cate g ory aircraft

or experi m e ntal o r p r ov i sion a lly c e rtifica t ed aircra f t, t he ope r ator m

ust

al s o display on that airc r aft near e a ch ent r a n ce t o the c a b in, cockpit, or

pi l ot st a t i on, in l e t t e rs n o t l ess than 2 inch e s nor m ore than 6 inches high,

the words " l i m i t ed," " re s t r icted

, " " li g h t

- sport, "e x peri m ent a l," or

"p r ovisional," as applicable.

● 14 C. F

.R. § 45.27(a), R o to r cra f

t, s t a tes:

Each ope r a t o r of a ro t orcraft m ust d i spl a y on that ro t orcraft h or i zo n tally

on both surfaces of the c abin, fuse l a g e, boo m , or t ail the m arks required b y

§ 45.23.

8 See Gr a nt of E xe m

ption No. 1 1062 to A str a eus A e rial ( F A A

- 2014

- 0352 a t pg. 13).

9

. IdU.S Depar t m ent of T ransportation

October 27, 2015

Page 13

In a pre v io u s Grant of E xe m pt i on, the F

AA det e r m i n ed th a t ex e m pt i on f ro m the s e re q ui r e m ents

was warranted provided that the a irc r aft "have i de nt i fic a t i on ( N

- Nu m ber) m arkings i n

acco r da n ce with 14 C. F

.R P art 45, Subpart C if t he m arkings a re as la r ge as p r a c t i c able. " 10

Eq u iva lent Level of S a

fety

All C J

- UAS flo w n by C l oud Jockeys will be a r N

- n u m ber m a r kings that are as la r g e as

practica b le in acco r da nc e with 14 C. F .R. P art 45, Subpart C

. 11

D. 14 C. F

.R. § 91.405 ( a), 9 1 .407(a ) (1), 91.409(a ) (1) and (2); 91

. 417(a) and ( b):

Main t enan c e Inspec t i o ns

Cloud Jockeys seeks an exe m pt i on f r om the m ain t enance inspect i on req u i r e m ents c o nta i ned in

14 C. F .R. § 91.405(a), 91

. 407( a ) ( 1 ), 91.409( a ) (2); 91.417(a) and (b). T h ese r eg u lati o ns specify

m ain t enance and in s pe c tion standar d s in r efere n ce to 14 C. F .R. Part 43. Se e , e.g., 14 C. F .R. §

91.405(a) (s t at i ng that ea ch owner or operator of an a i rcraft "[ s ]hall have the aircraft i ns pec t ed a s

prescribed in subpa r t E of this part a nd sha l l b et w een r equi r ed in s pe c t i o ns ...have disc r epa n ci e s

repaired as p re s cribed in part 43 of t h is c ha p ter" )

. An exemption f r om the s e r

eg u la t io n s is needed

because Pa r t 43 and t h e se sections o nly app l y to ai r cr a ft w i th an airwort h ine s s cer t i f i c ate, which

the UAS platforms to be opera t ed u n der t his gr a nt of e x emp t ion wi l l n o t hav e . (E m p h as i s adde d )

Eq u iva lent Level of S a

fety

An equiva l e nt l ev e l of safety will be achieved o r exceeded b ecau s e m ain t enance and insp e c t i ons

will be t i m ely perfor m ed in a c c o rda n ce wi t h t h e Manufacturer ' s Manu a l and any required

m an u facturer Safety or Service B ul l e t i ns. Fu r the r

, as requ i red by Cloud Jockeys’ Ope r at i ons

Manuals, t h e PIC will c onduct a pr e

- flight inspect i on of the CJ

- UAS and all a ssociated

equip m ent t o account f

o r all discre p anc i es and/or inoperable co m ponent s . Ma i n t enance w i l l be

perfor m ed a nd verified to address a n y conditions potentially a f fecting s afe operation of the CJ

UAS and no flights will occur un l ess, and until, a ll flig h t crit i cal co m ponents of the CJ

- UAS

have be e n fo u nd to be ai r worthy and in a cond i ti o n safe f or operation. A functional test flight wi l l

be conduc t e d following the re p la c e m ent of any fligh t

- c ritic a l co m ponent s

. As requ i r e d by Cloud

Jockey s ’ O p er a tions Manuals, t h e PIC who con d ucts t h e function a l t e s t flight will m ake an e n t ry

in t he CJ

- U AS ai r cr a ft records of t h e fligh t

.

Cloud Jockeys’ Operati o ns Manual also i n c ludes require m ents to follow t he m an u factur e r ’ s U A S

ai r c raft / co m ponent, m ain t enanc e , o v erhaul, repl a ce m ent, i nspect i on, and li f e l i m it require m ents

for the foll o wing appl i c able co m ponent s : pow e r t rain sy s tem (powerplant), p r op e ll e rs, a v io n ics

and con t rol surfaces (in c lud i ng a i l e rons/elevons), structures & ai r fra m e, ca m era sys t em,

el e c t r ical s y st e m s (inc l u ding batteri e s), ground control s tati o n, haza r d ac cessories, a n d spa r e

parts. Furth e r

, Cloud Jockeys’ Oper a tions Manua l s a l so i n clude proced u res to docu m e n t and

m ain t ain a record of the CJ

- UAS ’ s m ain t e n ance, preventat i v e m ain t enance, alterations, sta t us of

replace m ent / overha u l co m ponent p a r t s, and the total t i m e in serv i c e of t h e CJ

- UAS u sed under

th i s Gra n t of Exe m

pt i on. As a whole, the m ain t enance and in s pec t ion pro c edures requ i red in

10

. F AA Do c ket No. F A A

- 201 4

- 0 3 52.

11 See, e

. g., FA A Do c ket No. F A A

- 2014

- 0352, at 1 4.U.S Depar t m ent of T ransportation

October 27, 2015

Page 14

Cloud Jockeys’ Operati o ns Manuals ensu r e that a n equiv a lent or h i gher level of safety will be

ach i eved.

PILO T

- IN

- COMMAND OF THE U AS

E. 14 C. F

.R. § 61. 1 13: Pr i v ate Pil o t Privileg e s and L i m i t a t i ons

Cloud Jo c k e ys seeks ex em pt i on from 14 C F R § 61. 1 13, whi c h restricts private p i l o t certi f ic a te

holde r s fr o m flying a i rcraft f or c om pensat i on or h i re, and would al s o require a second class

m edi c al c ertifica t e. The purpose of P art 61 is t o e nsure that the skill and c o m pet e ncy of any PIC

m at c hes t he a i rsp a ce i n which the P I C w i l l be operating, as w ell a s req u i r i n g ce r ti f ic a t i ons if the

pr i v a te pilot is c arrying p ass e ngers or ca r go f o r hire. I n t h is c a se, whi l e the CJ

- UASs w i l l b e

operated as part of a c omm er c ial o p e r ation, they ca rr y n ei t he r passengers nor ca r go. In t he Gra n t

of E x e m pt i on to Astrae u s Aerial, the F AA det e rmined t h a t t he unique ch a ract e r i s t i cs of U A S

operation o u ts i de of con t

ro l led a i rsp a ce d i d not w ar r a n t t he a d di t io n al co s t and restrictions

at t en d ant with r eq u i r ing the P I C to h ave a Commer c ial P i lot Certificate a nd Class I I Med i c a l

Certificate. 1 2 The f

ulfil l m ent of the a d di t io n al req u i r e m ents for a pr i v a te pi l ot t o beco m e

qual i fied a s a com m er c ial p i lot wou l d not l ead to any add i ti o nal s afety b e nefits wh e n U A S

operations a

re inv o lved.

Eq u iva lent Level of S a

fety

The re s tri c tions Cloud Jockeys has p la c ed on i t s C J

- UAS op e rations m eet or exceed t he

re s tri c t i ons s i m i l ar l y i m

posed on Astraeus Aerial. Cloud Jockeys will op e rate on private property

or approv e d loc a tion aw a y fr o m persons and property not involved in t he o peration. C l oud

Jockeys wi l l al s o obtain an A T O issued C O A pr i or t o condu c ting any operations un d er this Gra n t

of E x e m pt i on. All opera t ions will be conduc t ed in acco r da nc e with a irsp a ce r eq u i r e m ents in the

A T O issued C O A inc l uding cla s s of a i r space, a l ti t ude l e v e l and potential transponder

require m ent s

. A N O T

AM will a lso be issu e d a s required by t he app l icab l e C O A.

In add i t i on t o the s e flig h t r e s triction s

, Cloud Jockeys will fu r t h er ensure s afe ope r ati o n by

requiring t h at a ny PIC b e tho r oug h ly versed not only i n a i r s p ace a nd co m m unic a t i on issues

pertaining to all a i r c raft operators b u t a l so in t he unique aspects of CJ

- UAS flight. As set for t h in

the Ope r a t i o ns Manual s

, pi l ots will have experi e n ce not only in CJ

- UAS o perations g e nerally but

have l ogged flight t i m e in t he spe c if i c m ake and m odel u s ed for the operations b e fore they a re

per m i t ted t o participate in com m er c ial flights on beha l f of Cloud Jockey s

. The pi l ot q ual i fic a t i on,

t r a in i ng, and currency r e qui r e m ents i n the Ope r a tions Manua l s ensure that Cloud Jockeys pi l o ts

are co m pet e nt and p r ofi c ient in t he C J

- UAS they a re op e rati n g. Cloud Jockeys’ trai n i n g and

qual i fic a t i on require m ents are consistent with th o se con t a ined in pr i o r F AA Sect i on 3 33 Grants

of E x e m pt i on, and will p rov i de a h i g her level of co m pet e ncy and p r oficiency f or i ts p i lo t s and

will ens u re a t l e a st a n e q uiva l e n t l e v el of safety to the publi c

.

OPER A TING P A R A M E T ERS OF THE U AS

F. 14 C. F

.R. § 91.7 ( a): Ci v il Ai r cr a ft Air w orthi n ess

12 Exe m ption No. 110 6 2 (FAA D o c ket No. FA A

- 2014

- 035 2 ).U.S Depar t m ent of T ransportation

October 27, 2015

Page 15

Inas m uch as t here w i ll b e no a i rwo r t h ine s s cer t ificate i s s u ed for the UASs, Cloud Jockeys seeks

an exe m pt i on fr o m 14 C. F

.R. § 91.7(a), whi c h r e qui r es that a civil aircra f t be i n a i r w o r t hy

condition t o be ope r a ted. The F AA has stated that no exe m pt i on is r eq u i r ed for 14 C

. F

. R. §

91.7(a) t o t h e ex t e n t t h a t the r eq u i r e m ents of Pa r t 21 a r e w a i v ed or fou n d inapplicable

. 13

Accord i ngl y , Pet i tioner requests that the r eq u i r e m ents for § 9 1 .7(a) be t r e ated in ac c o rdance with

Sect i on V (A), supra.

G. 14 C. F

.R. § 91.9 ( b) ( 2): Civil Ai r cr a ft F l ight M anual in the Ai r cra f t a n d 14 C. F

.R.

§ 91.203(a) and (b): Carrying Civil Ai r cra f t C e rt i fic a t i on a nd R egi s tration

T i t le 14 C. F

. R. § 91.9( b ) ( 2) and § 91

. 203(a) and (b) require t h e ope r a tor to ca r ry airw o r t hi n ess

docu m ents and oth e r aircraft m anua l s onboa r d the aircraft. Pu r suant to 14 C. F .R. § 91.9( b ) ( 2 ):

(b) No per s on m ay ope r ate a U.S.

- r e gis t e red c ivil airc r aft

–

... (2) For which an Airp l a n e or Rotorc r aft Flight Manual is required by § 21.5 of th i s

chap t e r , un l ess t h e re is a va i lable in t he a i rcraft a current approved Airp l a ne or Rotorcraft

Flight Man u al, a ppro v ed m anual m a t er i a l, m arkings, and pl a c ards, or any co m bina t ion

the r eof.

Pursuant t o 14 C. F

.R. § 91.203(a) a n d (b ) :

(a) Exce p t as provid e d in § 91.715, no per s on m ay ope r a te a civil airc r aft unle s s it h a s

with i n i t t he following:

(1) An app r opr i a te a nd current airworth i n ess c e rtific a te...

(b) No pers o n m ay ope r a te a c iv i l ai r cr a ft unless t he a i rwo r thiness c e rtifi c ate required by

paragraph ( a ) of this sec t ion or a spe c ial flig h t author i z a t i on issued under § 91.715 is

disp l a y ed at the c a b in or cockp i t entrance s o t h at it i s legible to passengers or cre w

.

Given the s m all si z e a n d configuration of the CJ

- UAS, it would be i m poss i ble to k e ep

ai r wort h iness docu m ents and oth e r a i rc r aft m anua l s on boa r d t h e CJ

- UAS becau s e there is

si m ply no r o o m and the CJ

- UAS has no cabin or cockp i t. As a way to c om ply wi t h t h e code

Cloud Jockeys will m ain t ain the do c u m ents with the PIC and m ake t hem ava i lable for

insp e c t i on.

Eq u iva lent Level of S a

fety

In an F AA O f fice of C h ief Counsel's Opinion dated August 8 , 2014, and pr e pared by Dean E.

Gri f fith, Atto r ne y

, A G C

- 220, it was a cknowledged that the i n tent of 14 C. F .R. 91.9(b) and

91.203(a) a n d (b) is m et if the pi l ot of the un m an n ed a i rcraft h as access to the UAS f l i ght

m anua l , regis t ration cert i ficat e , and o ther requ i red docu m ents fr o m the g r ound cont r o l st a tion

13 See I d. at 1 3

- 14, 2 2.U.S Depar t m ent of T ransportation

October 27, 2015

Page 16

fr o m which he or she is operating the aircraft. 1 4 As this F AA O f fice of Chief C ounsel O pin i on

cl a ri f ie s , t h e in t e n t of the ru l e is t o e n sure the p i l o t has a c cess to t he s e key docu m ents dur i ng

flight. There f

ore, an equivalent level of sa f ety wi l l be a c h ieved by ensuri n g that the pilot has

acc e ss to t he docu m ents at t he g round cont r o l s t a t i on from wh i ch he or s he is p i loti n g the UAS.

H. 14 C. F

.R. § 91.103: P r ef

l ight A c t i o n

Cloud Jockeys seeks an exe m pt i on f r om 14 C. F

. R. § 91.103, w hich r equires a P I C to beco m e

fa m i l iar wi th specific i n fo r m at i on before ea c h f l igh t , i n cluding infor m at i on cont a i ne d in t he

F A A

- approved Fl i ght M anual on bo a rd t he a i r c ra f

t. W hi l e the PIC will be fa m i l iar wi t h all

infor m at i on nece s s a

ry t o safely con d uct t he f

l ight, an exe m

pt i on is requ e sted to the extent th a t an

F A A

- approved Fl i ght M anual i s req u i r ed.

Eq u iva lent Level of S a

fety

An equiva l e nt l ev e l of safety will be prov i ded by following the Cloud Jockeys’ Ope r at i ons

Manuals a n d the M anufacturer's Manual. The P I C w i l l pe r f o rm a se r ies o f checkl i s ts designed to

identify any defects or i n operable c omponents in acco r da n ce with t he Cl o ud Jockey s ’ Opera t ions

Manuals, i n clud i ng c h e c kl i sts cov e ring Pr e

- Flig h t, Launch, L anding, a nd Pos t

- Flig h t procedures.

The PIC w i l l a l so b e re q ui r ed to r e v iew weathe r

, flight req u ire m ent s , battery cha r ge, landing and

tak e o f f distance, UA perfo r m ance d a ta, a nd co n tingency l a n d ing a r e a s

— b efore initiation of

flight. Cloud Jockeys’ O perations M anua l s and t h e Manufacture r ' s Manual will be k e pt at the

ground con t

rol sta t ion and w i l l be accessible to the P I C at a ll ti m es while oper a t i ng the U A S.

I. 14 C. F

.R. § 91.109 ( a): F l i ght Instr u ct i on

Cloud Jockeys seeks an exe m pt i on f r om 14 C. F

. R. § 91.109(a), whi c h pr o vides in pe r t i n ent part

that "[n ] o p e rson m ay o p er a te a ci v il ai r c raft ( e xc ept a m anned free b a l l o o n) t h a t i s b e i n g used

for f l i ght i n s t r u c t i on unl e ss t hat a i rc r a ft has fully funct i o n ing d u al c on t ro l s

. " UA S s and r e m ote l y

pi l o t ed aircra f

t, by t heir des i gn, do n ot have fun c t i on a l dual c ont r ols. Instead, f l i ght control is

acco m pl i shed t hrough t h e use of a d e vice t h at c omm unic a tes with t he a i r c raft v i a radio

com m unic a t i ons. Accor d ing l y , an e xemp t i on will be required for the flig h t ins t ruc t ion

require m ents of 14 C. F

. R. § 91.109(a).

Eq u iva lent Level of S a

fety

Given the s ize and speed of the U A S s th a t Cloud Jockeys i n tends to use, a n equiv a lent lev e l of

safe t r a in i ng can sti l l b e perfor m ed without du a l cont r o ls b e c ause no pilot or passengers a r e

aboa r d t h e U A S, and as r equired by the Cloud J o ckey s ’ Ope r at i ons Man u al s

, a ll p e rs o ns will be a

safe dis t a nc e away in t h e event that the UAS exper i e n ces a n y di f ficul t ies during fl i g h t

ins t ruc t ion. Moreove r

, a s required b y the Cloud Jockey s ’ O p er a tions Manuals, all flight training

will be con d uct e d in co n t r o l led a nd s teri l e en v i r o n m ent. As a whole, the s afety proce d ures

prov i ded for in Cloud J o ckey s ’ Ope r at i ons Man u als ens u re t h at t he p roposed U AS o p er a tions

14 M e m o r andum f

r om Mark B ur y

, F

A A Assis t ant Chief C o u n sel f or I n t e r n a t ional L a w

, L e g is l a t ion and R e g u l a t i on,

to J ohn D u n c a

n, F A A Fli g ht S t a n d ar ds S er v i ce (A u g. 8, 2 0 14); see al s o D oc k et N o. F A A

- 2 0 14

- 0 3 52 at 16

- 18.U.S Depar t m ent of T ransportation

October 27, 2015

Page 17

prov i de an e quiva l e n t or higher lev e l of sa f ety t h a n that p rov i d ed by the fl i ght i nstru c tion

regulations.

J. 14 C. F

.R. § 91. 1 19(c): Minimum S afe Altitud e s

Cloud Jockeys reque s ts an exe m pt i on fr o m the m in i m

u m safe alti t ude req u i r e m ents of 14 C. F .R.

§ 91. 1 19(c). 1 5 Sect i on 91

. 1 19 pres c r i b es t he m in i m u m safe alt i tu d es under which aircra f t m ay

not operate, inc l u d ing 500 f eet above the s urface and away fr o m any pe r son, vesse l

, v ehi c le, or

st r u c tu r e in no n

- congested a r e a s. S e e 14 C. F .R. § 91. 1 19(c). S ec t ion 9 1

. 1 19(d) allows for a

hel i co p ter to operate at less than those m in i m u m alti t udes w h en it c an be operated "w i thout

haza r d to persons or p roperty on the surface," provided t h a t "e a ch p e rs o n operating the helicopter

co m pl i es wi t h any ro u tes or altitudes speci f ically prescribed f

or helicopte r s by the F

A A ."

An ex e m pt i on is req u i r e d becau s e t h e proposed CJ

- UAS op e ration wi l l n or m al l y need t o o ccur

below 400 feet AG L . In ci r cu m st a n c es where the C J

- UAS is u s ed to i ns p ect a s t r u c t u re whose

height e x ceeds 400 f

eet A G L, the C J

- UAS will not be opera t ed m ore than 100 feet a bove the

highe s t p o i n t on t he s t r u ctu r e, and within 50 fe e t hor i zo n tally of the struc t ure. Ad d iti o nal l y, due

the n a t u re of the propos e d operation s , the P i l o t and/or Obse r v er s (s) m ay n eed t o be less th a n 500

feet away fr o m the CJ

- UAS.

Eq u iva lent Level of S a

fety

Co m pared to fl i ght operations with r oto r cra f t weigh i ng far m ore than the m ax i m u m w e igh t s

proposed herein, and g i v en the l ack o f f l a m m able fuel with t he above no t ed U A Ss, any r i sk

asso ci a ted w i t h t h ese operations i s far le s s than t h ose which presen t ly ex i s t with conv e nt i on a l

air c raft. An equivalent level of safe t y will be ac hiev e d giv e n the s ize, w eigh t , and s p eed of the

CJ

- UASs, as well as the contr o l l ed l o ca t ion wh e re the op e rat i ons will oc c ur. In o r d e r to avoid

any risk to m anned a i rc r aft, f l i ght operations w i ll be re s tri c ted to 400 f eet A G L or be l ow, or

when inspecting a U.S. s t r u c tu r e wh o se heig h t exceeds 400 f e et AGL, w i t hin 100 feet above t he

highe s t p o i n t on t h a t structure and 50 feet hori z o n tally of the structure.

As set for t h in t he Ope ra t i ons Man ua ls, t he CJ

- U ASs will be operated in a restricted area, and all

flights will b e ope r a ted a t a l a ter a l d i s tan c e of at least 500 feet f r o m any n onparticipating

persons, unless t h a t pe r s on is in a p o si t ion wh e re he or she is shi e l d ed from the CJ

- UAS and any

poss i ble d e b r i s resu l t i ng fr o m its fai l ure. As req u i r ed by the O perat i ons Manuals, f l i g hts will be

te r m ina t ed if a nonpa r t i c ipating pe r s on with i n 5 0 0 feet of the CJ

- UAS le a ves a shi e lded posit i on.

Furthe r , its o perations w i ll occ u r at least 500 feet a w ay fr o m v ehi c les or s tructu r es u n less the

proper t y o w ner/contr o l l e r t i m ely has granted pe r m is s ion and t he PIC has m ade a s afety

ass e ss m ent of the r isk of operat i ng c los e r to t ho s e obj e c ts a n d, oper a tio n s near t h e PIC or

Observer w i ll not present an undue h aza r d p e r § 9 1

. 1 19(a). Adherence to these res t rict i ons in

15 R e l i ef f r om § 91. 1 19(a) wi l l n ot b e n ec e ssary b ec a use Pet i ti o n e r wi l l be a

b l e to p e rf

o rm a n e m e r ge n cy l a n d i ng

without undue haza r d t o pers o ns or prop e rty o n t he g ro u nd in the e v e nt of a fai l u r e

. P e t i t ion e r ' s p r opos e d UAS

o p e rat i ons will not oc c ur o v e r co n g e st e d a r e as, a nd ther ef ore a n e xe m

ption from § 91. 1 19 ( b) wi l l n ot be n ecess a r y

. See e

. g

. , Gr a nt of E xe m

ption No. 1 1 1 5 7 to S lugwea r

, Inc., d b a Like on a tree Ae r i a l ( F A A

- 2014

- 0534 a t 15).U.S Depar t m ent of T ransportation

October 27, 2015

Page 18

Cloud Jockeys’ Operati o ns Manuals will ens u re operations can be cond u ct e d without

co m pr o m is i ng publ i c sa fet y

. 16

K. 14 C. F

.R. § 91.121: Altimeter S e t t i n gs

Cloud Jockeys seeks an exe m pt i on f r om 14 C. F

. R. § 91.121, w hich r equires a p e rson operating

an a i rcraft to m ain t ain c r

uis i ng a ltit u de or flight level by re f erence to a n alti m et e r t h a t is set to

the e leva t i o n of the depa r ture airport or ba ro m etric pressure. An ex e m pt i on is req u i r e d to t he

ext e nt that t h e U A Ss do not have a b aro m et r ic a l t i m et e r , but rather a GPS altitude read out.

Eq u iva lent Level of S a

fety

The F AA h a s s t ated th a t an equ i v a lent lev e l of safety to the r e qui r e m ents of 14 C. F

. R

. §91.121

can be a c h ieved in circu m st a nces w here: (1) the U AS will b e ope r a ted below 400 f eet A G L or

belo w 17 , (2) w i t hin V L O S , (3) where G PS based a l titude information is rel a yed in r e al t i m e to t he

operator at a groun d

- ba s ed on

- screen disp l ay and, (4) whe r e p r i or to each f l i ght, a z e ro al t i t ude

in i tia t ion point is established for the P IC to confirm accu r acy of the onboa r d GP S

. 18

The C J

- UAS that Cloud Jockeys i n tends to use f or t he prop o sed operati o ns will m eet all the s e

operational characterist i cs. Moreov e r , as r eq u ir e d by Cloud Jockeys’ Op e rations M a n ual s , t h e

PIC will be required to cali b ra t e the air c raft ' s GPS c o m pass pr i or to each f

l i ght opera t ion. Like

pr i or F AA Sect i on 333 Grants of E xe m pt i on, the C J

- UAS C l oud Jockeys in t ends to u se, and t he

safety m i t iga t ion proce d ures contai n ed in t he O p er a tions Manuals, both e nsure that an equiv a lent

lev e l of saf

e ty or g r e ater lev e l w i ll b e ach i e v ed, and a Grant of E x e m pt i on to t he req u i r e m ents of

§ 191.121 is therefore a p prop r iat e

.

L. 14 C. F

.R. § 91.151 ( a): F uel Requ i r ements for F l i ght in V F R C ondit i ons

Cloud Jockeys reque s ts an exe m pt i on fr o m 14 C. F .R. § 91.151(a)'s f uel r e q ui r e m ents for f

l i ght in

V F R conditi o ns. Sec t i o n 91.151 st a te s :

16 See e

. g

. , Gr a nt of E xe m ption No. 11138 t o Do u glas T rud e au (FAA

- 20 1 4

- 0 4 81 at 1 9 ) : " If b a rriers or s t r u c t u r es are

p r es e nt that c a

n s uffic i ently pr o t e ct nonpart i c i pating p e r s ons f r om the UA or d e b r is in t he e v e nt of a n a c c i de n t, t

h e n

the UA m ay o p e rate c l os e r th a n 500 feet to persons a f for d e d s u c h prote c t i on. T he o pe r a t or m ust a l so ensure that

nonpart i c i pati n g pers o ns re m a in u n der su c h p r o t e c t i o n. If a s i t uation a rises w h e re nonpart i c i pating p e r s ons leave

su c h prote c t i on and a re within 500 feet of the UA, fl i ght o p e rat i o n s m ust ce a se i mm edia t ely. W h en cons i d e r i ng h o w

to i mm edia t e l y cease o p e rat i ons, t he pri m ary c o ncern is t

he s a fety of t h ose nonpart i c i pati n g pers o ns. I n a d d i t i on, t he

FAA f i nds that operat i ons m ay b e c onduc t ed closer th a n 500 feet to vesse l s, v e hicl e s a nd struct u res w h e n the

o w n e r/c o ntr o l l er of a ny s u c h vessels, v e hicl e s or st r uct u res grants p e r m

is s ion f or t he o p e rat i on and t

he PIC m akes a

safety assess m ent of t

he ri s k of o pe r a t i n g c l oser to t hose objec t s and det e r m ines that it does not p res e nt an undue

h aza r d

. "

17 If t he hei g ht o f the st r

uct u re b e ing i nspec t ed e xceeds 400 f e et A G L, t

he U AS will not be o p era t ed m o r e than 1 00

feet a b ove the highest p o i nt on the st r uct u re.

18 See Gr a nt of E xe m

ption No. 11062 t o Astr a eus Aerial (F A A

- 2014

- 0352 a t 21).U.S Depar t m ent of T ransportation

October 27, 2015

Page 19

(a) No pers o n m ay beg i n a flight in a n ai r p lane u nder V F R c ondi t ions u n le s s (co n sidering

wind and forecast weath e r cond i t i on s ) there is en o ugh f uel t o fly to t h e first point of

in t ended landing and, assu m ing no r m al c ru i sing speed

– (1) During t h e da y , to f

l y after that f

or at le a s t 3 0 m inu t es; o r

(2) At night, to fly after that for at le a st 45 m inu t es.

Here, t he technologic a l l i m i t at i ons on U A S bat t ery po w er m e ans t h a t no m ean i ngful flight

operations c an be cond u ct e d while s t i l l m ain t a ining a 3 0

- m inu t e batte r y reserve. An e xe m pt i on

fr o m the fuel r eq u i r e m ents of 14 C. F

. R. § 91.151(a) is there f

ore requ i red. Moreove r

, it is not

Cloud Jockeys’ intent i on to fly the C J

- UASs at n i ght.

Eq u iva lent Level of S a

fety

In t he Gra n t of E x e m

pt i on to V D OS ( Exe m

pt i on No. 1 11 12), the F

AA det e r m ined t hat an

equiv a lent level of sa f

ety to the fuel requ i re m ents for f l i ght in V F R con d i t ions could be ach i e v ed

by proh i b i ting the PIC from beginn i ng a CJ

- UAS flight unless (con s ider i ng wind and foreca s t

weather co n di t ions) the r e was enough power t o fly to t h e first intended p oint of landing and,

assu m ing n o r m al cruis i n g speed, to fly after that for at l e a st 10 m inu t es. In reac h ing this

conc l u s ion, the F

AA co n sid e red that the UAS batteries for the CJ

- UAS prov i de app r o xi m at e ly 50

m inu t es of p owered flig h t ( with payl o ad) and pro v ided b a ttery lev e l and batte r y t i m e re m ain i ng

in m inu t es and s econds to the PIC

. 1 9 The F AA al s o cons i dered t he fact t he C J

- UAS operat i ng

m anual st a tes: “start every f l i ght wi t h a fully cha r ged ba t tery i n the a e r i a l vehi c le”, a n d that in

the e ve n t t h a t t he CJ

- UAS should run low on powe r , the P IC will be a ler t ed and c a n s afely land

th e

- C J

- UAS as soon as poss i ble. L i k e the V D OS Grant of Exe m pt i on, Cloud Jocke y s ’ use of the

CJ

- UAS, c o m

bined wi t h the r eq u i r e m ents of Pe t i t io n er's Operations Ma n ual s , ens u re that an

equiv a lent level of sa f

ety can be ac h iev e d and in fact excee d e d

.

Si m i l ar l y

, in the Grant of Exe m pt i on to Alan Pu r win (Exe m p t i on No. 1 1 1 61), t he F

AA

det e r m ined that a n eq u i v al e nt level o f sa f ety t o t h e fuel requi r e m ents for f l ight in V F R conditions

could be ac h iev e d by pr o hib i ting the PIC fr o m b e ginn i ng a flight with t h e UA unle s s

(considering w ind and fore c a s t wea t h er conditions), there was enough power t o safe l y fly at

nor m al c ru i s ing speed to the i n tend e d land i ng p o i n t and l and t h e UA with 25% battery power

re m ain i ng. Cloud Jockeys will ad he re to th i s l i m i t a t i on f o r it s CJ

- UAS f

l igh t s.

The C J

- UAS inc l udes a low bat t e ry w arning system and the amount of bat t ery res e rve power

re m ain i ng is cont i nuou s ly t r ans m i t ted to the PIC via t e le m et r ic data feed, which downlinks from

the C J

- UAS to a g r ound

- base d

- on

- screen dis p la y

. 2 0 As requ i red by Cloud Jockeys’ Ope r at i ons

Manuals, t h e PIC will p ro m pt l y fly the CJ

- UAS back t o t h e h o m e l a un c h loc a tion or pr e

de t er m ined a bort loc a ti o n where it m ay safely land, w hi l e still m ain t aining a m in i m u m of 2 5 %

re s e r v e batt e ry powe r . C l oud Jockeys sub m i t s th a t the p r o c ed u res req u iring flights to be safely

19

. G r a nt of E x e m

p t ion No. 11112 t o VDOS Globa l , LLC (F A A

- 2014

- 0 3 82 at 1 0).

20

. T h e CJ

- U AS gr o und c ontrol sta t ion dis p l a y s the UA S ’s p o si t ion, n a viga t ion r out e , tail nu m be r , alt i tud e

, hea d i ng, nor t

h seeki n g a rr o w, range t o t ar ge t s, ca l cula t ed target posi t ion, da t e / ti m e, a n d s en s or he a ding a nd

o r i e n t a t i on rel a t i ve to t h e UAS.U.S Depar t m ent of T ransportation

October 27, 2015

Page 20

te r m ina t ed o nce t he b a t t e r i es fa l l be l o w 25% capacit y , co m bined wi t h the r equi r e m ent that fl i gh t s

only be co n duct e d with i n a secure, i sol a ted ar e a, using a U A S w eig h ing less t han 55 pounds, and

with i n V L OS of the PIC and Obse r v er ( s ), ensure that the p r o posed opera t ion wi l l p rovide an

equiv a lent o r h i gher level of sa f ety to the public to that p rov i d ed by the r e gulations fr o m which

exe m pt i on is sough t

.

VI. D R UG AND ALCOH O L P R O G R A M

Cloud Jockeys will ha v e pol i c ies in p la c e to en s ure that no pe r son m ay pa r t i c ipa t e in CJ

- UAS

flight opera t ions i f they are und e r t h e influen c e of alcohol or any drug.

VII. P U B L I C I N TER E S T

The publ i c i n te r e s t will be served by gran t ing C l oud Jockeys’ Petition f o r E xe m pt i on. Congress

has est a b lis h ed a national pol i cy that f avors early i n teg r a t i on o f U AS i nto the N A S in con t rolled,

safe working envi r on m ents such as t h ose p r opo s ed in t h is Petition. Granting this P eti t ion for

Exe m pt i on helps fulfill Congress' goal i n p a ss i n g Sect i on 3 3 3(a) t h rough (c) of the R efo r m

Act

— the F AA Ad m in is t r a to r ' s assess m ent of wh e ther certa i n U A S m ay o perate safely in the

N A S be f ore co m ple t ion of the s t atu t or i ly requ i red rule m aking.

The proposed CJ

- UAS o perations i n th i s Peti t ion for Ex e m pt i on significantly i m

prov e s the saf

e ty

and reduces r i sk of har m , physic a l i n ju r y and pr o perty da m age to the pub l ic a t la r ge, t h e property

owners from w h o m pe r m is s ion was g ranted for u s e by Petit i o n er and ab u t t i n g properti e s, s t a f f of

Pet i tione r

, u nsuspect i ng passer s b y

, i n specting en g ine e rs from relevant o r g ani z a t i ons a nd all those

who m ay be in t he loc a l vic i n i t y

. T radit i o n al m ethods of inspec t ing and m oni t or i ng potential

loc a tions a n d relevant s i tes and fac i lities requ i res loc a tion personnel to cli m b towers, trees,

ventu r e o n to prec a r i ous roo f s and oth e r dang e rous scenario s

, perform el e vat e d work for w hich

the in d iv i d u al i s n ei t h er trained nor equipped to perfor m

, wh i ch expos e s them to unnece s s a ry

r i sk of seri o us physic a l i n ju r y from d ange r ous fa l ls or o t h er p hysic a l m ish a p s . Moreo v e r

, insp e c to r s /sur v eyors a

re o f ten unne c ess a rily ex p osed t o ha za rdous condi t ions, unsafe

envi r on m ent s , cul t u rally ten s e s i t u a tions and other haz a rds associated with identifying spe c ific

loc a tions for pot e n t ial recording s i t e s to be u s ed in the e nd p r oduc t

. The use of s m all U A S can

el i m ina t e these hazards and ulti m at e ly create a m uch safer m ethod of p erfor m ing t hese t ypes of

insp e c t i ons cr e a t i ng a sa fer environ m ent for t he publ i c a s well a s Cloud Jockeys e m ploye e s.

The use of s m all UAS al s o enhanc e s safety and reduces risk to the s urrou n ding pub l ic becau s e,

unl i ke m anned a i rcraft w eigh i ng tho u sands of p o unds, ca r ryi n g crew in a d di t ion to fl amm able

fuel, t he U A S carry no p ass e ngers, crew or explosive fue l . Fu r the r m or e , in the unlike l y event of

an ac c i d ent, Cloud Jockeys’ s m all battery powe re d CJ

- UAS p re s ents sign i ficantly le s s danger to

persons on the ground when co m pared to op e rat i ons by conven t ional m a nned a i rcraf t

. 2 1 As

21 See Gr a nt of E xe m

ption No. 11158 t o Te a m 5

, LLC (FAA

- 2014

- 0783 at 12): "M a n n e d h e li co p t e rs c o n d ucting

aerial f i lm ing c an we i gh 6,000 pou n ds or m o r e a n d a re o p e r a t e d by a n o nbo a rd p i l ot, in a ddi t ion t o oth e r on b oard

crew m e m be r s, a s n ece s sary. T he pet i t i o n e r ’s UAs w i l l w e i gh less t han 55 pounds wi t

h n o on b oard pilot or c r e w.

The pi l ot a nd c rew wi l l be r e m ot e ly locat e d from the airc r aft. T he l i m ited wei g ht si g ni f

i c antly r e d uces the p o t e ntial

for harm to p ar t i c i pating a nd n o n pa r t i c i pati n g i n div i d u a l s or pro p e rty in t he e v e nt of a n i ncid e nt or ac c i de n t.

R i sk to a n o nboard pilot a nd crew d u r i ng an i ncid e nt or ac c ident is el i m i n a t ed with the use o f a U A f or the aerial

fil m ing op e rat i on."U.S Depar t m ent of T ransportation

October 27, 2015

Page 21

Pet i tioner ' s CJ

- UAS are bat t e ry pow e red, t h e p u bl i c w i ll a lso bene f it fr o m a reduc t i o n in har m ful

pet r o leum b ased e m is s i o ns associated w i t h con v ent i on a l aircraft performing in t h e sa m e

functions pro p osed here i n. Air quali t y will n a tu r a l l y be i m pr o ved with the reduction of f uel

powered vehi c les.

Last l y

, a s r e cogni z ed by the F AA in p r ior Se c t i o n 333 Grants of Ex e m pt i on to fil mm ake r s, U A S

prov i de an a ddi t io n al e c on o m ic tool for the aerial f i l m ing notwi t hst a n d i n g the indust r y , adding a

greater de g ree of flexib i lit y , which s u pple m ents the c urr ent capabilities o f fered by m a nned

ai r c raft. 2 2 T h e qua l ity of t he finished product is enhanced and provides a greater fini s hed product

de m and which will aid the cu r rent U AS indust r y and provide additional j o bs as the c os t of

prov i ding t h e need e d pr o duct i s g rea t ly r edu c ed while r ed u cing the di f ficul t y with w h ich the

finished p r o duct i s cr e a te d

. The de m and for the cur r e n t i nd u st r ial p roduct is i n creasi n g and will

cont i nue to increa s e given the enhan c ed flexib i l i ty of product i o n ; t h er e fo r e, giv e n t h e lower c ost,

owner/oper a to r s and o t h ers in the relevant ind u stry will b e more inclined to u t ili z e the services of

com m er c ial U A S along with a n appropriate lice n sed PIC ’ s

.

VIII. P R I V

ACY

All C J

- UAS operations will be con d uct e d in accordance w i th appl i c able fede r al, sta t e , and local

laws r eg a rding privac y

. All operati o ns shall b e c onduct e d o v er pr i v ate o r controlle d

- a cce s s

proper t y w i th per m is s ion fr o m the l and owner / c ont r o l ler o r authoriz e d represe n tati v e. Per m is s ion

fr o m land owne r

/controller or auth o rized repr e se ntative will be obt a i n ed for each fli g ht t o be

conduc t ed.

IX. FE D ERAL R E GISTER SUMMA R Y

Pursuant t o 14 C. F

.R. P a rt 1 1, the fo l lowing su m m ary is p r ovided for pub l ication in t h e

FE D ERAL RE G IST E R, should it be det e r m ined t hat publica t ion i s n e ed e d: Pe t it i on e r seeks an

exe m pt i on f r om the fol l owing ru l es in T i t le 14 of the Code of Federal R e gulations:

Part 21, Su b part H; Part 27; 45.23 ( b); 45.27(a); 6 1. 1 13; 91.7(a); 91.9( b ) ( 2 ); 91.9(c);

91.103; 91.109 ( a); 91

. 1 1 9(c); 91.12 1 ; 91.151 ( a); 91.203 (a) & ( b); 91. 4 0 5(a); 91.40 7 ( a ) ( 1 );

91.409( a ) ( 1 ) & (2); 91. 4 17 (a) & (b )

.

The exe m pt i on will enh a nce s a fety b y reducing r i sk to the aircraft cre w , production c r e w , gene r al

publ i c, p roperty owners and c i ty st r u ctu r es from the s ubsta n tial haz a rds a s soc i a ted with

perfor m ing equiv a lent f

ilm work and aerial v i d eo production with conve n t i on a l fixed

- wing

ai r c raft, r o t o rc r aft, o r o t h er m ethod s

.

X. CON C LUSI O N

Cloud Jockeys’ Petition f or Exe m pt i on sa t isf

i es t h e c r iteria a

rt i cul a ted in S ec t ion 333 of the

Re f o r m Act of 2 0 12 wh i ch inc l u d es weigh t ; s p e e d; oper a t i ng capabil i ties; prox i m i t y to ai r ports

and popul a ted areas; o p er a tion wit h in V L OS and n a t i on a l s e c ur i t y

. The p r oposed CJ

- UAS

22 See e

. g

. , Gr a nt of E xe m ption No. 11178 t o P i c ture Fac t o r y, I n c . (F A A

- 2014

- 0794 at 18).U.S Depar t m ent of T ransportation

October 27, 2015

Page 22

operations will benef

i t the publ i c as a whole by i m prov i ng s a fety and re d ucing risk by alle v iati n g

h u m an exposu r e to d a n g er while lowering the at t endant rel a ted costs thereby increasing the

de m and for the finished product. In c onsider a t i on of the f oregoing, t his Pe t i tion f

or Exe m pt i on

prov i des the F

AA with more t han a dequa t e just i ficat i on f o r gran t ing the requested exe m pt i ons

al l owing C l oud Jockeys to use s m all CJ

- UAS s in t he r e cor d ed producti o n of its p r o d uct.

W e th a nk you f

or your pro m

pt con s i d er a tion of our r equested e xe m pt i ons.

Respec t fully Su b m i t ted,

Ronald A. Lich a lk, Jr.

Cloud Jockeys LL C

. 4721 Hasslick Rd

North Branch, MI 48461

Phone: 810.728.2200

E m ai l : ron @ cloud

j oc k eys.com

(The following att a ched ite m s con t ain propr i e tary and com m e r ci a l infor m a t i on exe m pt fr o m

dis c losure u nder the Fr e edom o f Infor m at i on Act, 5 U.S. C . § 522 et s eq., and shou l d b e he l d in a

sepa r a te fi l e pursuant to 14 C. F .R. § 1 1.35(b)).

Atta c h m ent s :

1.0 MP T OM

1. General Opera t ions Manual

2. PIC Operating Manu a l

3. Co m pany Protocols

4. Location Protocols

5. Flight C omm unic a t i o ns Pro t ocols

6. Depar t ing Location Protocols

7. T rans m i t ter Protoc o ls

8. Preflight Checkl i s t

9. Post Flig h t Check l ist

10. Equip m e nt Check l ist

1 1. U A S Manufacture r ’ s Manuals

a. User M a n uals

b. U A S Mainten a nce M anua l s