## CLEARED HOT Drone Services, LLC.

9184 Whitehead Dr. Cincinnati, Ohio 45251 (502)797

- 6300

U.S. Department of Transportation Docket Operations, M

- 3 0 1200 New Jersey Avenue, SE
Room W12

- 140, West Building Ground Floor Washington, DC 20590

- 000 1

November 10

, 2015

Re: Petition of CLEARED HOT Drone Services, LLC. for an Exemption Pursuant to Section 333 of the FAA Modernization and Reform Act of 2012 to Operate an Unmanned Aircraft System

Dear Sir or Madam:

Pursuant to Section 333 of the FAA Modernization and Reform Act of 2012 and 14 C.F.R. Part 11, CLEARED HOT Drone Services, LLC. , hereby applies for an exemption from the Federal Aviation Regulations identified below to allow for the commercial operation of the DJI PHANTOM with the NAZA

M V2 Flight Control System, manufactured by DJI Innovations (“ The PHANTOM”). Areas of operation
include: Real Estate and Marketing, Produce Field Management, Aerial Photography/Videogra phy, Structural Inspections, Sporting events and Emergency Responders

.

I. REGULAT IONS FO R WHICH EXEMPTION IS REQUIESTED

CLEARED HOT Drone Services, LLC. , requests exemption from the following regulations:

• 14 C.F.RPart21 , Subpart H;

• 14 C.F.R Part 27;

• 14 C.F.R § 45.23(b);

• 14 C.F.R. § 45.27(a);

• 14C.F.R § 61.113;

• 14 C.F.R § 91.7(a);

• 14 C.F.R § 91.9(b ) ( 2 );

• 14 C.F.R § 91.9(c);

• l4C.F.R~91.103;

• 14 C.F.R § 91.109(a);

• 14C.F.R~91.11 9;

• 14C.F.R~91.121 ;

• 14 C.F.R § 91.151(a)&(b)

• 14 C.F.R § 91.203 (a) &(b);

• 14 C.F.R § 91.405(a);

• 14 C.F.R § 91.407(a)(l);• 14 C.F.R § 91.409(a)(2);

• 14 C.F.R § 91.417(a)& (b).

This petition incorporates the material contained in t he DJI PHANTOM User Manual and the V2 Flight Control System User Manual, (together, the “Manuals”).

II. STATUTORY AUTHORITY FOR REQUESTED EX EMPTIONS

This petition for exemption is submitted in accordance with Section 333 of the Reform Act. Congress
has directed the Federal Aviation Administration ( FAA ) “to safely accelerate the integration of civil unmanned aircraft systems into the national airspace system.” Pursuant to Section 333 of the Reform Act, the FAA Administrator is to permit ope ration of an Unmanned Aircraft S ystem (UAS) where it does

not c reate a hazard to users of the National Airspace S ystem (NAS) or the public or pose a threat to national security based on the following considerations:

• The size, weight, speed and operational capability;

• Operation in proximity to airports and populated areas; and

• Operation within visual line of sight of the operator.

Furthermore, the Federal Aviation Act grants the FAA Administrator general authority to grant exemptions from the agency’s safety regulations and minimum standards when the Administrator decides a requested exemption is in the public interest. See 49 U.S.C. §~ 106(1)), 447 01

- 44716, et seq. A party requesting an exemption must explain the reasons why the exemption: (1) would benefit the public as a whole, and (2) would not adversely affect safety or how it would provide a level of safety at least equal to the existing rules. 14 C.F.R. § 11.81.

II I. DESCRIPTION OF CLEARED HOT DRONE SERVICES, LLC. , AND QUALIFICATIONS

CLEARED HOT Drone Services, LLC. will provide commercial drone services to various companies

, organizations and public entit ies. Our primary focus is to operate safely in the National Airspace System (NAS). CLEARED HOT Drone Services, LLC. is submitting a Petition for Exemption for Unmanned Aircraft Systems operations for the purpose to operate commercially in the Real Estate and Marketing market,

P roduce Field Management, Aerial Photography/Videography, Structur al Inspections, Agriculture, Sporting events and Emergency Responder sectors.

CLEARED HOT Drone Services, LLC. partners with public entities to ensure they follow FAA r egulations to
obtain permission to utilize PHANTOM 3 quad

- copter during the course of their operations . This will also reduce the risk of harm to people and property that is associated with several of these industries

. The com pa ny is headquartered in Cincinnati, Ohio , and ser ves customers nationwide

. The owner is a 28 year veteran to the aerospace industry and licensed as a Commercial pilot , Instrument pilot , Certified Flight Instructor pilot; Advanced Ground Instructor and Dispatcher operator . He also
maintains a n FAA First Class medical. He has accumulated more than 9,000 flight hours. The owner is a 14 year veteran fighter/instructor pilot and has operated in both DoD and Civil Aviation guidelines

.Currently, he serv es as an FAA flight instructor for a Part 61 f light school academy operat ing under Part
91 rules ; he is a senior flight instructor. Additionally, he acts as an instructor at a remote controlled organization (Charter #4508). Furthermore, he has been designing, building and flying remote control
aircr aft since 1980 and is an active member of Academy of Model Aeronautics (AMA) and Aircraft Owners and Pilot Association (AOPA) organizations.

At present, CLEARED HOT Drone Services, LLC. is owned and operated by ONE ( 1 ) Officer

. The contact information for the petitioner, CLEARED HOT Drone Services, LLC. is as follows:

Dean Toth
Owner CLEARED HOT Drone Services, LLC. 9184 Whitehead Drive Cincinnati, Ohio 45251 (502) 797

- 6300 thmprusmc@gmail.com

IV. DESCRIPTION OF PROPOSED OPERAT IONS

CLEARED HOT Drone Services, LLC. , is requesting exemptions from applicable Fe deral Aviation Regulations (FAR ) pursuant to Section 333 of the Re form Act to provide commercial aerial services to

Re al Estate

, Agriculture, Produce Field Management, Aerial Photography/Videogra phy, Structural Inspections, Sporting events and Emergency Responders

.
CLEARED HOT Drones Services, LLC. takes operational control very seriously. We believe this is accomplished through training and education ; and supplemented with e xperience

. As part of this approach, w e will require that all acting Pilot

- in

- Command (PIC) of this company have at least a n FAA
Private P ilot certificate with a current Third Class medical. In addition, all PICs will go through our training program that will cover systems on the specific UAS to be operated , airspace, regulations, weight and balance, NOTAMs, right

- of

- way rules and weather courses. E mphasis will be placed on documentation and logbook entries. ( ATTACHMENT 7 ) We also stipulate several operational requirements before operating commercially. First, all PIC s will accumulate 15 hours of flight time on the UAS they are being trained

. Second, all PIC will demonstrate operational control of that UAS. Finally, a safety pilot will acc ompany every new operator at several sites to advise, demonstrate and observe aerial operations. In essen ce, this will become a check

- ride approach for that operator who will have to demonstrate operational control and safe ty while operati ng around person s and structures. CLEARED HOT Drone Services, LLC will conduct random checks of company PICs to ensure operators are proficient and in compliance with company and UAS regulations

.

To maintain proficiencies, all PIC must log a minimum of 3 takeoffs and la ndings within the proceeding 90 days. To ensure that all participating operators in the National Airspace System (NAS) are aware of UAS operations, the PIC will file a NOTAM with Lockheed Martin Flight Service (www.1800WXBRIEF.com) prior to any scheduled commercial flight. Any flights conducted within 5 nautical miles for an airport require that PIC to contact the control tower. At the area of operation, a sign will be posted to highlight this operation to the surrounding community. ( ATTACHMENT 6 ) Befor e and after every flight, the PIC will conduct a safety check. ( ATTACHMENT 10 )

We request a waiver of the sections identified in order to operate a UAS in a commercial capacity for Real Estate and Marketing Purposes, Produce Field Management, Aerial Photography/Videography,Structural Inspections

, Sporting events 

### and Emergency Responders

.

NOTE As the Department of Transportation and the Federal Aviation Administration update their guidance, CLEARED HOT Drone Services, LLC will modify its' program to stay in compliance with these regulations.

Currently, CLEARED HOT Drone Services, LLC. ’s utilize DJI product s with particular focus on the DJI
Phantom 3 Professional.

T here have been numerous reporting’s of incidents involving small unmanned aerial systems (UAS). These have created considerable anxiety for local public communities and the FAA in general. CLEARED HOT Drone Services, LLC. will use the latest information l everaging its skills resources and the FAA’s
website www. knowbefore youfly.com to make sure that UAS operators are aware of all safety controls and FAA regulations.

CLEARED HOT Drone Services, LLC. recognizes the enormous potential of the UAS but also recog nizes the need for due diligence and responsibility on the part of the persons that will fly the UAS safel y in the National Airspace System (NAS) with respect to manned aircraft. CLEARED HOT Drone Services, LLC. will assist with the integration of the UAS into the NAS by educating and training operators on this new technology. CLEARED HOT Drone Services, LLC. is seeking this exemption to ensure that only professionally trained operators will conduct aerial photography in the areas outlined in this request

.
CLEARED HOT Drone Services, LLC. ’ s training will be taught in a step

- by

- step progression where the operator will receive classroom style instruction accompanied by "hands

- on" outdoor flight training. It is based on a hybrid civilian and military model of classroom instruction, trainer demonstration, and user hands on performance. Understanding and proficiency is determined by k nowledge and proficiency
evaluations

. Instruction includes the following:

• FAA regulations.

• Limitations and restrictions of where and when users can fly.

• Pre

- flight planning.

• Basic weather.

• Liability of flying irresponsibly.

• Pre, during, and post flight check lists.

• Benefits of Academy of Model Aeronautics membership.

• Details user types to include co mmercial, public, and recreational.

• Provides information on no fly zones and how to identify them.

• Review of knowbeforeyoufly.com.

We are well aware of conducting saf e flight operations and plan flight paths that minimize any over

flight of crowds. A safe area will always be identified which will be free from obstructions, occupants.

Any flight operations in town environments would typically be for close air support for very focused
events such as sporting, produce and electrical inspections, or real estate marketing and EmergencyResponders. These operations occur in a very limited area and would not need to overfly densely populated areas in general. Operations would be more vertical in natu re above the specific event. Our proposed public safety UAS operations are typically conducted at low altitudes less than 400 Feet AGL (within Class G airspace), not over crowds, and not near airports. Flights will conclude when battery
reserve reaches 30 percent. Operations will not occur under IFR conditions.

In addition, preflight and post

- flight checklists and UAS prefight inspections will help detect any abnormalities prior to flight and after flight. Any UAS unable to satisfy safety checklists will be removed from service until the issue can be resolved. Granting this request would not adversely affect safety since operations would be in accordance with current UAS rules.

Operational Check list to be performed that will optimize performance and reduce risk

1. Calibrate the compass (monthly)

2. Calibrate the IMU (monthly)

3. Check Sensors every flight (monthly)

4. A t 30% battery indication, conclude current task and return to land. B eware the 10% failsafe (every flight)

5. Check the failsafe height and home point ( every flight )

6. Switch tablets and phones to Airplane mode (every flight)

7. If the P

- GPS mode's reliability is in question , take control with ATTI mode (every flight)

8. Check props, and check again (every flight)
9. P re

- flight check list (every flight) Airframe: Prepare & check
RC: Fit iPad, cable & Hood
Antennas: correct position Props & Locks: attach & check RC Battery: Check min 75%
R C Switches: Correct mode & Gear Down iPad : App running, map cached, Airplane mode, Volume Up. Airframe: Position for takeoff Props: 2nd check
Power On: Check battery 100%
Sensors: Compass 1400

– 1599
Sensors: IMU +/

- 0.1 Failsafe: Set failsafe height Satellite: At least 7 sats & safe to fly box Flight Mode: Correct mode selected
Start Motors: CSC command
Home Point: Blue dot Location correct on map Initial Check: motor sound check Climb: climb to 2m
Control Tests: Test all controls
GPS & ATTI Test: Test both modes function correctly
10. Have a clear and unobstructed Line of sight with the UAS. This provides optimal Line of
communication (every flight)
11. Check Visual Positioning System (VPS) to note if it is Disabled or Enabled(based on area of operation)12. S tart flight operations with a fully charged battery (every flight)

A. The PHANTOM

CLEARED HOT Drone Services, LLC. , will operate the DJI PHANTOM with the Naza

- M V2 Flight Control System, manufactured by D JI Innovations (the “PHANTOM”). The PHANTOM is a battery operated quad

copter with a maximum flight time of T WENTY

- F IVE ( 25 ) minutes. The vehicle weighs approximately 2.75 pounds with a maximum takeoff weight of approximately 2.75 pounds. It has fixed landing gear, vibration dampers, small frame air incline and minimalized gimbal mount, which allows for a 110 degree
field of view c amera. Although the vehicle’s ground speed has a maximum of 25 mph, it will be operated between 2 and 5 miles per hour, and it will operate at or below 200 feet AGL.

The PHANTOM manufacturer’s specifications are in Figure 2

. The PHANTOM 3 Professional is displayed

in Figure 3

.Figure 2

— DJI PHANTOM Specifications

Figure 3

— DJI PHANTOMFigure 4

— CLEARED HOT Drone Services, LLC. Caution sign

The s UAS which CLEARED HOT Drone Services, LLC.

, The p etitioner, will be operating is the DJI Phantom

3 Professional , referred hereafter as Phantom. The inherent safety features, sophistication,

prog rammability, GPS navigation, return home capability, airport vicinity no

- fly feature and restricted altitude feature, as well as differentiating radio frequency (H) for aircraft controller/receiver and for the

c amera make this a much safer UAS for the purp oses of this petition. This is a hobby grade radio
controlled UAS that has the capacity for software upgrades. It is light, less than 3 pounds including battery and camera. Incorporated into the programming of the Phantom is an automatic return home
fea ture that automatically directs the air craft back to point of take

- off should communication with the
transmitter be compromised

. The Phantom has a cruising speed of 15 k nots, with a maximum speed of

25 knots. Maximum flight time is 25 minutes. Gross weig ht is 2.75 pounds.

The Phantom has an additional communication link between the camera and air craft on a different RF for a smart phone connection. Allowing the O perator or Pilot in Command (PI C) to monitor battery level, altitude (AGL), and distance from PI C, camera imagery, and control camera angle. The software for
the P hantom allows the operator or PI C to set maximum altitude AGL for each flight, allowing customization of flights to no higher than 100 feet, 150 feet, or 250 feet AGL as an examples . The 400
foot maximum AGL is programmed into the UAS ’s software preflight to insure compliance with FAA
standards. Adding to the safety capabilities of this UAS

. This UAS is programmed to remain in position (stop all motion) when controls are released. Maintaining altitude and GPS location.

The Phantom has an altitude and radar monitoring fu nction that allows the operator more precise
determination of height, direction of flight a nd distance from the operator PI C. The operator or

PI C can monitor GPS loc k status while UAS is in flight, with the ability to anticipate loss of

G PS locking so the operator or PI C can land the UAV as a precaution. The DJI Phantom 3

- 2.4 ghz

tr ansmitter/controller/receiver RF for managing flight with a 5.8 ghz RF transmitter/receiver for video/photography functions eliminates the RF conflict, and is should be considered adequate for public and NAS safety. Considering the programmability and safety features of this UAS (Phantom 3 ), it serves as the best option to p rotect the Public and NAS for the purposes of this petition.Similarities, Distinctions and Differences

Though the petition of Astraeus Aerial (FAA

- 2014

- 0352), referred hereafter as the Astraeus Petition and or Petitioner Astraeus, has numerous similariti es to that of CLEARED HOT Drone Services, LLC. , there are
some distinct and substantial differences. Like the Astraeus Petition, the CLEARED HOT Drone Services,

LLC. is for UAS operation without operator , passengers nor property on board. Considering tha t the
Phantom UAS is a sophisticated hobby grade quad

- copter with gross weight less than 3 pounds

Petitioner CLEARED HOT Drone Services, LLC. requests waiver or exemption for a private pilot certificate. Aerial basic training operations for this petition p rovide service for those that are new to the remote control model aircraft genre.

CLEARED HOT Drone Services, LLC. is using a UAS that has the capability for taking off and landing at a single point, identical to a helicopter. There are no runways, aided take off apparatuses, nor routes that need to be flown to areas being aerial video recorded or photographed. Allowing a reduced and more confined area of flight.

The Astraeus Petition is for movie sets involving a significant number of people, non

- aerial equipment, moving or action sequences, and a potentially broad geographical area where individuals and equipment may be in motion. Requiring extensive observation, awareness, coordination and safety precautions. The CLEARED HOT Drone Services, LLC. petition differs from Astraeus's petion because this operating environment is not dynamic. Our operations are dealing with a stationary setting of objects
which poses a significantly lower risks for safety, allowing the O perator or Pilot in Command (PI C ) to focus primarily on a briefed scenario

. With the movie action scenes, numerous takes may require repeated flights, whereas a stationary object would in most cases require a single flight.

DJI Innovations continues to improve its ' products to ensure sa fe flying near airports. Refer to:

https://www.youtube.com/watch?v=YoXAMRQoIAA.

The single UAS utilized in this petition is a hobby grade quad

- copter that does not require an airman
certificate for non

- commercial flight involving less restrictive less reg ulated flight. Petitioner requests waiver or exemption from an airman certificate since this is a sophisticated hobby grade UAS weighing less than three pounds and being flown in a defined and marked area. Additional waiver or exemption
for formal health requireme nts placed on the Operator or PIC is requested as the PI C is an FAA Certified Flight Instructor that is medically qualified FAA Second Class Medical in accordance with FAA regulations

. Petitioner is an AMA member. UAS flight competency can be ve rified/obtained through AMA standards and procedures.

The motors, rotors, propellers, body/frame, landing pads, etc. for the UAV utilized in this petition are not complicated. Engineering and design allows layman maintenance. Recordi ng part replacement for
this UAS may prove redundant due to the simplicity of the air craft. Therefore

, Petitioner requests waiver or exemption for maintenance records. However, pre

- flight inspection for cracks, damage or other physical conditions that could hamper safe flight is a reasonable expectation. As well as post flight inspe ction that may aid in identify ing flight conditions that may cause stress to propellers, landing gear, etc. Thorough inspection of UAV shall be conducted and flight response tested should a hard landin g or crash occur insuring that the UAV can operate in a safe manner before conducting any f u rther training.Like the Astraeus Petition

, Petitioner CLEARED HOT Drone Services, LLC. requests waiver or exemption for markings due to the small size of the fusel age for the Phantom 3 Professional

.

Petitioner CLEARED HOT Drone Services, LLC. requests modification, waiver or exemption and clarification (within reason) concerning section 91.119 prohibition of flight in congested areas.

Petitioner CLEARED HOT Drone S ervices, LLC. requests waiver for this condition to allow reasonable and responsible flight operations in congested areas of subdivisions and neighborhoods.

In compliance with Section 90.151 (a) the Phantom is a battery operated UAV/UAS with battery level monitoring capability. Fully charged battery flight time is rated at 25 minutes, with videos/photos taking
much less time to record. Operator or PI C is warned when battery level is low.

Petitioner CLEARED HOT Drone Services, LLC. requests waiver/exemption from Section 91.203 (a) since the Phantom is a hobby grade UAV/UAS that currently does not require an airworthiness certificate nor a registration certificate. CLEARED HOT Drone Services, LLC. registered its aircraft and will co mply with future UAS regulations. Posting of special flight authorization would not be possible since the Phantom has no cabin and is not large enough to carry a certificate. However, a special flight authorization can be maintained by the operator to m ake available upon request.

B

. CLEARED HOT Drone Services, LLC. , Proposed Operations Demonstrate an Equivalent Level of Safety

1. General Description of Proposed Flight Operations

CLEARED HOT Drone Services, LLC. , proposes to operate only at sites NOT AM and within the limitations and performance specifications listed in the Manuals, which are summarized in this document . These limitations provide for at least an equivalent, or higher, level of safety for operations under the current regulatory structur e because the proposed operations represent a safety enhancement to the protocols.

The proposed operations do not create any hazard to users of the N ational A irspace S ystem (NAS) or pose a threat to national security. The aircraft is a battery operated qua d

- copter with a maximum flight time of 25 minutes. The vehicle weighs approximately 2.75 pounds. It has vibration dampers and small frame air incline. The vehicle’s ground speed has a maximum of 25 mph but it will be operated between 2 and 5 miles per hour , and it will operate at or below 200 feet AG L.

Manned aircraft are at risk of fuel spillage and fire in the event of an incident or accident. The
PHANTOM carries no fue l, and therefore the risk of fir e following an incident or accident due to fuel spillag e is eliminated. Compared to manned aircraft, the unmanned aircraft being operated by the petitioner reduces the risk to participating persons in close proximity to the aircraft due to the limited size, weight, operating conditions, and design safety feat ures of the PHANTOM.

The FAA has determined that the risk of not having an electronic means to monitor and communicate with other aircraft, such as transponders or sense and avoid technology, is mitigated by placing limits on altitude, requiring stand

- off distance from clouds, permitting daytime operations only, and requiring that the aircraft be operated within visual line of sight and yield right of way to all other manned operations. Additionally, the operator will request a NOTAM prior to operations to alert other users of the NAS. See Exemption No. 11062, Docket No. FAA 2014

- 0352, at p.13.The petitioner’s aircraft has the capability to operate safely after experiencing certain in

- flight failures, as specified above in the description of the V2 Flight Control System. The aircraft is also able to respond
to a lost

- link event with a pre

- coordinated, predictable, automated flight maneuver.

2. Specific Limitations on Proposed Flight Operations

Given the small size involved, the restricted environment with in which they will operate, t he procedures listed below, and operator certification requirements, CLEARED HOT Drone Services, LLC. , pr oposed operations using the PH ANTOM would “not create a hazard to users of the national airspace system or the public or pose a threat to national security.” Reform Act Section 333(b)(l).

1. The aircraft is approximately 2.75 pounds.

2. The aircraft will be identified by serial number, registered with the FAA, and
have identification (N

- Number) markings as large as practicable.

3. Flights will be operated within visual line of s ight of the Operator or Pilot in

C ommand (PI C).

4. Prior to each flight, a zero altitude initiation point will be established and confirmed for accuracy by PI C.

5. Maximum flight time for each operational flig ht will be TWENTY

- THREE (23)

minutes.

6. The aircraft will be safely landed with no less than the greater of (a) T HIRTY percent ( 3 0% ) battery life remaining or (b) FIVE (5) minutes of flight time remaining.

7. The aircraft will be operated during daylight and in VFR conditions.

8. Flights w ill not exceed 4 00 feet AG L.
9. Flights will be operated at a lateral distance of at least FIFTY ( 50 ) feet from any persons or property not associated with the operati on who have not given prior permission.
10. Flights will be limited to a groundspeed of FIVE ( 5 ) m iles per hour

. 11. Minimum crew for each flight will consist of a PI C and an Observer.

12. The PI C will possess at least a private pilot certificate , a third class medical certificate, or have held a US Military Occupational Specialty of Pilot, Aircrew or Unmanned Aerial Vehicle Operator

. Pilots with this training are considered trained and currently fly throughout the United States for t he United States military. Any designee from CLEARED HOT Drone Services, LLC. , will have completed a Factory Certified Basic Operator Course for the PHANTOM.

13. Prior to the flight, a Mission Plan will be created setting forth the limitations fo r the flight as well a s contact information for the PI C.

14. The flight operations will yield the right of way to other manned aircraft operations.

15. All persons who are not involved with training class will be required to stay 25 feet from the edge of the operating area

. 16. The aircraft will only operate within the listed sites.

17. CLEARED HOT Drone Services, LLC. w ill provide NOTAM details prior to each flight.18. All required permissions and permits will be obtained from territory, state, county or city jurisdictions prior to flight.

19. Prior to commencing operations, CLEARED HOT Drone Services, LLC. will obtain

a n Exemption 333 from the FAA.

20. If the aircraft loses communications, it will have the capa bility to return to a pre

determined location within the operational area and land.

21. If the aircraft loses its GPS signal it will have the capability of being flown manually to a predetermined location within the operational area and land.

2 2. The flight will be aborted in case of unpredicted obstacles or emergencies.

23. Each flight will be recorded in an Operations Log Book.

24. Maintenance on the aircraft will be recorded in a Maintenance Log Book. ( ATTACHMENT 8 )

3. Flight Recov ery, Lost Communications, and Lost GPS Procedures

The flight recovery, lost communications, and lost GPS procedures are documented above, and are more fully documented in the attached NAZA

- M V2 Quick Start Gui de ( Attachment 4 ).

4. Proposed Flight Areas

CLEARED HOT Drone Services, LLC. is requesting to operate in the various sites listed in NOTAMS and approved work sites

.

V. SPECIFIC FAR EXEMPTIONS REQUESTED

CLEARED HOT Drone Services, LLC. seeks an exemption from several interrelated provisions of 14 C. F.R. Parts 21, 45, 61, and 91 for purposes of conducting the requested operations using the PHANTOM. Listed below are (1) the specific FAR sections for which exemption is sought, and (2) the operating procedures and safeguards that CLEARED HOT Drone Servic es, LLC. has established which will ensure a level of safety better than or equal to the rules from which exemption is sought. Sec 14 C.F.R. § 11.81 (e).

A

. 14 C.F.R. Part 21, Subpart H

— Airworthiness Certificates and 14 C.F.R. § 91.203(a)(1)

The FAA has stated that no exemption is needed from this section if a finding is made under the Reform Act that the UAS selected provides an equivalent level of safety when compared to aircraft normally
used for the same application. These criteria are met, and t herefore no exemption is needed. See Grant of Exemption to Astraeus Aerial, Docket No. FAA 2014

- 0352 at 13

- 14, 22. If, however, the FAA
determines that there are some characteristics of the Pl

- IANTOM that fail to mee t the requirements of
the Reform Act, an exemption is requested.Equivalent Level of Safety: The PHANTOM is safe when taking into account its size, weight, speed, and operational capability. The PHANTOM weighs approximately 2.75 pounds and will be flown at speeds less than 5 miles per hour, in visual line of sight of the operator, and in remote and unpopulated airspace, specifically on the sites. The PHANTOM does not carry pilots, passengers, explosive materials, or flammable liquid fuels. The PHANTOM will be operated within the parameters of th e Manuals.

CLEARED HOT Drone Services, LLC. will also provide all AIRMEN with advance notice of all operations via
NOTAM and coordination with the local Tower, FSDO or other agencies as appropriate . The proposed operations will be at least as safe as, or s afer than, conventional rotorcraft operating with an airworthiness certificate without the restrictions and conditions proposed here. The proposed operations will also be as safe, or safer than, traditional power line monitoring and/or wind turbine inspect ion methods.

B. 14 C.F.R. Part 27 Airworthiness Standards: Normal Category Rotorcraft

14 C.F.R. Part 27 sets forth the procedural requirements for airworthiness certification of normal category rotorcraft. To the extent the PHANTOM would otherwise requi re certification under Part 27, CLEARED HOT Drone Services, LLC. , seeks all exemption from Part 27’s airworthiness standards for the same reasons identified in the request for exemption from 14 C.F.R. Part 21, Subpart H.

C. 14 C.F.R. §~ 45.23(b), 45.27 (a) and 91.9(c): Aircraft Marking and Identification Requirements

14 C.F.R. §45.23(b), Markings of the Aircraft states:

When marks include only the Roman capital letter “N” and the registration number is displayed on limited, restricted or light

- sport category aircraft or experimental or provisionally certificated aircraft, the operator must also display on that aircraft near each entrance to the cabin, cockpit, or pilot station, in letters not less than 2 inches nor more than 6 inches high, the words “limited,” “restricted,” “light

sport, “experimental,” or “provisional,” as applicable.

14 C.F.R. § 45.27(a) states:

Rotorcraft : Each operator of a rotorcraft must display on that rotorcraft horizontally on both surfaces of the cabin, fuselage, boom, or tail the marks required by § 45.23.

14 C.F.R. § 9 1.9(c) states:

No person may operate a U.S.

- registered civil aircraft unless t hat aircraft is identified in accordance with part 45 of this chapter.

In a previous Grant of Exemption, the FAA determined that exemption from these requirements was warranted provided that the aircraft “have identification (N

- Number) markings in accordan ce with 14 CFR part 45, Subpart C if the markings are “as large as practicable.” See Exemption No. 11062, Docket

No. FAA 2014

- 0352, at p. 14.Equivalent Level of Safety: CLEARED HOT Drone Services, LLC. will mark all PHANTOMs with their N

Number in a prom inent spot on the fuselage with markings that arc as large as practicable.

D. 14 C.F.R. § 61.113: Private Pilot Privileges and Limitations

CLEARED HOT Drone Services, LLC. seeks exemption from 14 CFR § 61.113, which restricts private pilots from flying aircraft for compensation or hire and would also require a second class medical certificate. The purpose of Part 61 is to ensure that th e skill and competency of any PI C matc hes the airspace in
which the PI C will be operating, as well as requiring certific ations if the pilot is carrying passengers or cargo for hire.

While the PHANTOM wil l be operated as part of a commercial operation, it carries neither passengers

nor cargo. In the Grant of Exemption in FAA Docke t No. FAA

- 201 4

- 0352, the FAA determined that the unique characteristics of UAS operation outside of controlled airspace did not warrant the additional
cost and restrictions attendant with requiring the PI C to have a commercial pilot certificate and a class II
medical certificate. The FAA has also de termined that the required knowledge for a commercial pilot covers the same fundamental principles as a private pilot.

The PI C will possess at least a private pilot certificate, a third class medical certificate, or have held a US Military Occupational Spe cialty of Pilot, Aircrew or U nmanned Aerial Vehicle Operator

.

The FAA stated in Astraeus's ex emption that “the FAA considers the overriding safety factor for the limited operations proposed by the petitioner to be the airmanship skills acquired through U AS

- specific flight cycles, flight time, and specific make and model experience, culminating in verification through testing.” See Exemption No. 11062, Docket No. FAA 2014

- 0352, at p. 18. The proposed operations can achieve an equivalent level of safety by requiring the knowledge and experience in PHANTOM operations described above.

Furthermore, the security screening conducted by the Transportation Security Administration of certificated airmen satisfies the statutory requirement of Section 333 for operati ons to not pose a threat to national security.

The restrictions CLEARED HOT Drone Services, LLC. has placed on its PHANTOM operations meet or exceed the restrictions similarly imposed on Astraeus Aerial in FAA Docket No. FAA

- 20l4

- 0352. CLEARED
HOT Drone Services, LLC. will operate in approved areas (the sites) that are NOTAM in accordance with FAA regulations and away from persons and property not involved in the operation. The aircraft will be flown based on VLOS at or below 400 feet AGL, so as to accomm odate inspections of wind turbines on specified sites. A NOTAM request will be submitted prior to any flight that will alert all aerial operators regarding the UAS operations.

E. 14 C.F.R. § 91.7(a): Civil Aircraft Airworthiness

CLEARED HOT Drone Servic es, LLC. seeks an exemption from 14 C.F.R. § 91.7(a), which requires that a civil aircraft be in airworthy condition to be operated. The FAA has stated that no exemption is required to the extent that the requirements of Part 21 are w aived or found inappli cable. Accordingly, CLEAREDHOT Drone Services, LLC. requests that the requirements for Section 91.7 be treated in accordance with FAR Part 21 Subpart H. See Grant of Exemption No. 11062, p. 19.

F. 14 C.F.R. § 91.9(b)(2): Civil Aircraft Flight Manual in the Aircraft; 14 C.F.R. §~ 91.203(a) and (b): Carrying Civil Aircraft Certification and Registration

Pursuant to 1 4C.F.R. § 91.9(b)(2):

(b)No person may operate a LJ.S.

- registered civil aircraft

- (2)For which an Airplane or Rotorcraft Flight Manual i s required by § 21 .5 of this chapter, unless there is available in the aircraft a current approved Airplane or Rotorcraft Flight Manual, approved manual material, markings, and placards, or any
combination thereof.

Pursuant to 14 C.F.R. § 91.203 (a) and (b):

(a)Except as provided in § 91.715, no person may operate a civil aircraft unless it has within it the following: (1 ) An appropriate and current airworthiness certificate.

(b)No person may operate a civil aircraft unless the airworthiness certificate required by paragraph (a) of this section or a special flight authorization issued under § 91.715 is displayed at the cabin or cockpit entrance so that it is legible to passen gers or crew.

CLEARED HOT Drone Services, LLC. does not request an exemption from this section but instead notifies the FAA that, in accordance with FAA Office of Chief Counsel’s Opinion dated August 8,2014, the UAS flight manual, registration certificate and other documentation will be kept at the control station with
the PI C during flight. The Chief Counsel’s Office has held that for all UAS operations, this alternate method constitutes full compliance with the regulations. See also Grant of Exemption No . 11062, pp. 19

- 20, and Grant of Exemption No. 8607.

G. 14 C.F.R. § 91.103: Preflight Action

CLEARED HOT Drone Services, LLC. seeks an exemption from 14 C.F. R. § 91.103, which requires a PI C to become familiar with specific information before each flight, including information contained in the

FAA

- approved Flight Manual on board the aircraft. The aircraft will not have a Flight Manual on board.
The PI C will take all actions including reviewi ng weather, flight battery requirements, landing and takeoff distances and aircraft performance data before initiation of flight. Under these circumstances, the FAA has stated that no exemption is required. See Grant of Exemption No. 11062, p. 20. An

exemp tion is requested to the extent that an FAA

- approved Flight Manual is required.

Equivalent Level of Safety: An equivalent level of safety will be provided by following the Manuals. The

PI C will take all required preflight actions

- including performing al l required checklists and reviewing weather, flight requirements, battery charge, landing and takeoff distance, aircraft performance data, and contingency landing areas

- before initiation of flight. The Manuals will be kept at the ground station
with the operator at all times.H. 14 C.F.R. § 91.109(a): Flight Instruction

CLEARED HOT Drone Services, LLC. seeks an exemption from 14 C.F.R. § 91.109(a), which provides that “[n]o person may operate a civil aircraft (except a manned free balloon) that is being used for flight instruction unless that aircraft has fully functioning dual cont rols.” UASs and remotely operated aircraft, by their design, do not have functional dual controls. Instead, flight control is accomplished through the use of the A2 Flight Con trol System/Ground Control Station (GCS) that communicates with the aircraft
via radio communications.

Equivalent Level of Safety: When flight ins truction is performed, no operator will be on the aircraft and
the GCS will be a safe distance from the airc raft and the public, causing no safety hazard. Given the size and speed of the PHANTOM, an equivalent level of safe training can still be performed without dual controls because no pilot or passengers are aboard the aircraft, and all persons will be a safe distance away in the event that the aircraft experiences any difficulties during flight operations

. In addition, CLEARED HOT Drone Services, LLC. will conduct flight operations at a safe distance away from general population

.

I. 14 C.F.R. § 91.119(c): Minimum Safe Altitudes in Uncongested Areas

CLEARED HOT Drone Services, LLC. requests an exemption from the minimum safe altitude requirements of 14 C.F.R. § 91.119(c). Section 91.119(c) prescribes that an aircraft may not be operated
closer than 500 feet to any person, vessel, vehicle, or structure. The Manuals provide for operations away from congested populations areas on the sites. The FAA has already determined that relief from Section 91.119(c) is warranted for UAS operations in uncongested areas w ith similar flight restrictions as those imposed by CLEARED HOT Drone Services, LLC. See Grant of Exemption No. 11062, p. 20

- 21.

Equivalent Level of Safety: Compared to flight operations with rotorcraft weighing far more than the maximum weights proposed herein, and given the lack of flammable fuel, any risk associated with these operations is far less than those that presently exist with conventional aircraft. An equivalent level of safety will be achieved given the size, weight, and speed of the PHANTOM , as well as the locations where it is operated

— the sites. In order to avoid any risk to aircraft, flight op erations will be restricted

to 4 00 feet AGL or below. As set forth in the Manuals and herein, the PHANTOM will be operated in the
controlled sites, away from persons or structures not involved in the operation. All persons who are not
involved with CLEARED HOT Drone Services, LLC. operations will be required to be at least 25 feet from
the operating perimeter.

J. 14 C.F.R. § 91.121: Altimet er Settings

This petition seeks an exemption from 14 C.F.R. § 91.121, which requires a person operating an aircraft to maintain cruising altitude or flight level by reference to an altimeter that is set to the elevation of the departure airport. The PHANTO M uses both barometric pressure sensors and GPS to determine altitude but does not have the ability to set in a current altimeter setting. An exemption is required to the extent that the PHANTOM does not have a barometric altimeter setting. The altitude o f the aircraft is monitored by the P I C on the ground control station and by the visual observer.Equivalent Level of Safety: The FAA has stated that an equivalent level of safety can be achieved if the aircraft will be operated at or below 400 feet AGL an d within visual line

- of

- sight in addition to GPS based altitude information relayed in real time to the operator. See Grant of Exemption No. 11062, p. 20

- 21. As the attached Manuals indicate, the PHANTOM will be operated at or below 400 feet AGL and compli es with the limitations in the Grant of Exemption No. 11062.

K. 14 C.F.R. § 91.151(a): Fuel Requirements for Flight in VFR Conditions

CLEARED HOT Drone Services, LLC. requests an exemption from 14 C.F.R. § 91.15 l(a)’s fuel requirements for flight in VFR conditions. Section 91.151 states:

(a) No person may begin a flight in an airplane under VFR conditions unless (considering wind and forecast weather conditions) there is enough fuel to fly to the first point of intended Landing and, assuming normal cruising speed

— (1) During the day, to fly after that for at least 30 minutes; or (2) At night, to fly after that for at least 45 minutes.

Here, the techno logical limitations on PHANTOM battery power means that no meaningful flight operations can be conducted while still maintaining a 30 minute reserve. The aircraft is battery powered with a maximum flight time of 23 minutes. CLEARED HOT Drone Services, LLC. proposes that the maximum flight time for each operational flight will be 20 minutes. The aircraft will be safely landed with no Less than the grea ter of (a) 3 0% battery Life remaining or (b) five minutes of flight time remaining.

Equivalent Level of Saf ety: The FAA has stated that an equivalent level of safety is provided if the UAS flight is conducted under daytime VFR flight conditions using VLOS, and terminated with at least 25% reserve battery power still available. See Grant of Exemption No. 11062, p. 21

- 22. The Manuals providing an equivalent level of safety by safely landing with no less than the greater of(a) 3 0% battery Life remaining or (b) five minutes of flight time remaining and otherwise complying with the flight
restrictions above.

L. 14 C.F.R. §~ 91.405(a), 91.407(a)(1), 91.409(a)(2); 91.417(a) and (b): Maintenance Inspections

CLEARED HOT Drone Services, LLC. seeks an exemption from the maintenance inspection requirements contained in 14 C.F.R. § 91.405(a), 91.407(a)(l). 91.409(a)(2); 9 1.417(a) and (b ). These regulations specify maintenance and inspection standards in reference to 14 C.F.R. Part 43. See, e.g., 14 C.F.R. § 91.405(a) (stating that each owner or operator of an aircraft “[s]hall have the aircraft inspected as prescribed in subpart E of this part and shall between required inspections ... have discrepancies repaired as prescribed in part 43 of this chapter”). An exemption from these regulations is needed because Part 43 and these sections only apply to aircraft with an airwor thiness certificate, which the PHANTOM will not
have.

Equivalent Level of Safety: An equivalent level of safety will be achieved because maintenance and inspections will be performed in accordance with the Manuals. This includes maintenance, overhaul,rep lacement, and inspection requirements for the aircraft and procedures to document and maintain maintenance records for the aircraft. This also includes preflight inspection procedures. See Exemption No. 11062, Docket No. FAA 2014

- 0352, at p. 14

- 15.

As pr ovided in the Manuals, flights will not be conducted unless a flight operations checklist is performed that includes all of the aircraft’s components. The Manuals also set requirements for maintenance log books and record keeping as well as routine and pos t

- flight maintenance. The Manuals set requirements for both annual maintenance and preventative maintenance. ( ATTACH MENT 8 )

VI. PUBLIC INTEREST

Granting CLEARED HOT Drone Services, LLC. 's petition for exemption furthers the public interest. National poli cy set by Congress favors early integration of UAS into the NAS in controlled, safe

, working environments such as the sites proposed in this petition. By granting this petition, the FAA will fulfill Congress’s intent of allowing UAS to operate safely in t he NAS before completion of the rulemaking required under Section 332 of the Reform Act.

Moreover, use of unmanned aircraft operations will improve awareness of FAA regulations and provide
a standard level o f training for all PHANTOM operator s. The use of the PHANTOM will also decrease safety

- related incidents involving new users of quad

- copters.

PHANTOM flight currency increase s the effectiveness of operators , decrease their safety risks, and
reduce the number of incidents between unmanned and manned aircr aft.

Thus, the use proposed here will allow CLEARED HOT Drone Services, LLC. to determine the effects of the PHANTOM for increasing public safety. The PHANTOM is approximately 2.75 pounds, carries no passengers or crew, and has no flammable fuel, as oppose d to larger and more powerful helicopters and small airplanes. This program may prevent accidents and injuries, and there is a strong public interest in making these operations more safe and effective through the use of UASs.

This request specifically serves the public and economic interest to aide in the areas stated above. The granting of this exemption would make logical sense because of our professional approach to UAS operations, our clear understanding of FAA rules, our awareness of operational an d restricted airspace, our experience as pilots, as well as our ongoing FAA approved educational activities, and our attitude of safety first when it comes to flight operations.

We believe with the granting of this exemption and the additional operational experience we will gain from flight operations that we will be able to have a much larger impact for the future of UAS. More flight experience now will be invaluable for us to assist the general public in the future as they embark into UAS operations.

Th ere is much work to be done in developing the best use of UAS in the public, the coursework and training for best use of the UAS, best operational utilization, best role for the UAS pilot etc. has yet to be developed in the general public arena. We would l ike to play a role in that development but we need more operational flight experience with the public to do that. This exemption would allow us to get that real world experience.V II. Privacy

All flights will occur over the identified sites. All flights will be conducted in accordance with any federal, state or local laws regarding privacy.

VIII. SUMMARY FOR FEDERAL REGISTER

Pursuant to 14 C.F.R. Part 11, the following summary is provided for publication in the Federal Register,
should it be determined t hat publication is needed:

CLEARED HOT Drone Services, LLC. seeks an exemption from the following rules for the commercial operation of a small unmanned aerial system to inspect wind turbine blades and towers for the renewable energy industry: 14 C.F.R Part 21, Subpart H; 14 C.F.R Part 27; 14 C.F.R § 45.23(b); 14 C.F.R. § 45.27(a); 14 C.F.R § 61.113; 14 C.F.R § 91.7(a); 14 C.F.R § 91 .9(b)(2); 14 C.F.R § 91.9(c); 14 C.F.R § 91.103; 14 C.F.R~ 91.109(a); 14 C.F.R § 91.119; 14 C.F.R § 91.121; 14 C.F.R § 91.151(a) & (b) 14 C.F.R § 91.203 (a) & (b); 14 C.F.R § 91.405(a) ; 14 C.F.R § 91.407(a)(l); 14 C.F.R § 9l.409(a)(2); 14 C.F.R § 91 .417 (a)& (b).

The exemption will enhance safety by reducing risk to the operator, the general public and property
owners from the hazards a ssociated with new Phantom operator s.

IX. ATTACHM ENTS

Attachm ent I: DJI PHANTOM 3 Professional User Manual v1.4

Attachment 2: DJI Phantom 3 Professional Quick Start Guide v1.2

Attachment 3 : Intelligent Flight Battery

Attachment 4 : DJ1 NAZA

- M V2 Quick Start Guide v 1.28

Attachment 5: FAA Proposal of UAS Regulations

Attachment 6: CLEARED HOT Drone Services, LLC. Aerial Operations Caution Sign

Attachment 7: CLEARED HOT Drone Services, LLC. Logbook

Attachment 8 : CLEARED HOT Drone Services, LLC. Maintenance Log

Attachment 9 : CLEARED HOT Drone Services , LLC. Drone Registration

Attachment 10 : CLEARED HOT Drone Services, LLC. Checklist

X. CONCLUSION

Satisfaction of the criteria provided in Section 333 of the Reform Act

- size, weight, speed, operating capabilities, proximity to airports and populated areas, operation within visual line of sight, and national security considerations

- provides more tha n adequate justification for the grant of the requestedexemptions to permit CLEARED HOT Drone Services, LLC. to operate the PHANTOM on approved and

NOTAM sites

.

Granting the requested exemption will benefit public interest in many ways, including (I) sig nificantly improving safety and reducing risk by alleviating human exposure to danger; (2) improving the quality of

services CLEARED HOT Drone Services, LLC. can provide to its customers; and (3) decreasing the risks of unmanned aircraft interfering with m anned aircraft

.

Respectfully submitted,



### Dean A. Toth

Owner CLEARED HOT Drone Services, LLC. (502)797

- 6300 thmprusmc@gmail.com

E NCLOSURE(S)