117147439 v2 Jonathan B. Hill

+1 202 776 2725 jhill@cooley.com

1299 PENNSYLVANIA AVENUE, NW, SUITE 700, WASHINGTON, DC 20004-2400 T: (202) 842-7800 F: (202) 842-7899 WWW.COOLEY.COM June 18, 2015

U. S. Department of Transportation Docket Management System 1200 New Jersey Ave., SE Washington, DC 20590

Re: Summary Processing: Exemption Request Section 333 of the FAA Reform Act and Part 11 of the Federal Aviation Regulations

Dear Sir or Madam:

Pursuant to Section 333 of the FAA Modernization and Reform Act of 2012 (the Reform Act) and 14 C.F.R. Part 11, PINC Aerial (“PINC”), operator of Small Unmanned Aircraft Systems (“sUASs”) equipped to conduct aerial data collection for supply chain management (hereinafter “the Purpose”), hereby applies for an exemption from the listed Federal Aviation Regulations (“FARs”) to allow commercial operation of its sUASs, the PINC Air, a proprietary UAS, so long as such operations are conducted within and under the conditions outlined herein or as may be established by the FAA in an exemption granted under either Section 333 or Section 49 U.S.C. §44701(f). As set forth, PINC asks that this application be processed under the FAA’s Summary Approval Process. To that end, PINC will accept the conditions set forth in Exemption No. 11213

This Exemption should qualify for summary processing as the FAA has already given public notice of and granted similar exemptions. The FAA has issued grants of exemption in circumstances similar in all material respects to those presented in this petition. In Grants of Exemption Nos. 11062 to Astraeus Aerial (see Docket No. FAA

− 2014

− 0352),11109 to Clayco, Inc. (see Docket No. FAA

− 2014

− 0507), 11112 to VDOS Global, LLC (see Docket No.

FAA

− 2014

− 0382), and 11213 to Aeryon Labs, Inc. (see Docket No. FAA

− 2014

− 0642), the FAA found that the enhanced safety achieved using an unmanned aircraft (UA) with the specifications described by the petitioner and carrying no passengers or crew, rather than a manned aircraft of significantly greater proportions, carrying crew in addition to flammable fuel, gives the FAA good cause to find that the UAS operation enabled by this exemption is in the public interest.” As with the approval of the aerial data collection approval of this exemption would thereby enhance safety and fulfill the Secretary of Transportation’s (the FAA Administrator’s) responsibilities to “...establish requirements for the safe operation of such aircraft systems in the national airspace sy stem.” Section 333(c) of the Reform Act.June 18, 2015 Page Two

117147439 v2 1299 PENNSYLVANIA AVENUE, NW, SUITE 700, WASHINGTON, DC 20004-2400 T: (202) 842-7800 F: (202) 842-7899 WWW.COOLEY.COM The name and address of the applicant is:

Matt Yearling

Chief Executive Officer

PINC

Suite 2500 1851 Harbor Parkway Alameda, California 94502

510-474-7510 myearling@pimcsolutions.com

Regulations from which the exemption is requested:

14 C.F.R. 61.23 (a) and (c) 14 C.F.R. 61.101 (e) (4) and (5) 14.C.F.R. 61.113 (a) 14 C.F.R. 61.315 (a) 14 C.F.R. 91.7 (a) 14 C.F.R. 91.119 (c)

14 C.F.R. 91.121 14 C.F.R. 91.151 (a) (1) 14 C.F.R. 91.405 (a) 14 C.F.R. 407 (a) (1) 14 C.F.R. 409 (a) (1) and (2) 14 C.F.R. 417 (a) & (b)

This exemption application is expressly subm itted to fulfill Congress’ goal in passing Section 333(a) through (c) of the Reform Act. This law directs the Secretary of Transportation to consider whether certain unmanned aircraft systems may operate safely in the national airspace system (NAS) before completion of the rulemaking required under Section 332 of the Reform Act. In making this determination, the Secretary is required to determine which types of UASs do not create a hazard to users of the NAS or the public or pose a threat to national security in light of the following:

 The UAS’s size, weight, speed, and operational capability;

 Operation of the UAS in close proximity to airports and populated areas; and

 Operation of the UAS within visual line of sight of the operator.

Reform Act § 333 (a). Lastly, if the Secretary det ermines that such vehicles “may operate safely in the national airspace system, the Secretar y shall establish requirements for the safe operation of such aircraft in the national airspace system.” Id. § 333(c) (emphasis added) 1

.

1 Applicant interprets this provision to place the duty on the Administrator to not only process applications for exemptions under section 333, but for the Administrator to craft conditions for the safe operation of the UAS, if it should be determined that the conditions set forth herein do not fulfill the statutory requirements for approval.June 18, 2015 Page Three

117147439 v2 1299 PENNSYLVANIA AVENUE, NW, SUITE 700, WASHINGTON, DC 20004-2400 T: (202) 842-7800 F: (202) 842-7899 WWW.COOLEY.COM The Federal Aviation Act, in addition to the authority granted by Section 333 of Reform Act, expressly grants the FAA the authority to issue exemptions. This statutory authority by its terms includes exempting civil aircraft, as the term is defined under § 40101 of the Act, that includes sUASs, from the requirement that all ci vil aircraft must have a current airworthiness

certificate.

The Administrator may grant an exemption from a requirement of a regulation prescribed under subsection (a) or (b) of this section or any sections 44702-44716 of the Transportation Act if the Administrator finds the exemption in the public interest. 49 U.S.C. §44701(f). See

also 49 U.S.C. § 44711(a); 49 U.S.C. § 44704; 14 C.F.R. § 91.203 (a) (1).

PINC is an established provider of data collection services. PINC UASs are rotorcraft (four to eight rotors), weighting 55 or fewer lbs. including payload. They operate, under normal conditions, at a speed of no more than 87 knots. PINC aircraft have the capability to hover, and move in the vertical and horizontal plane simultaneously. They will operate at altitudes of no more than 400 feet, as further explained, and only in line of sight. They will operate only within the areas as described in the Flight Operations Manual (“FOM”) and Aircraft Flight Manuals (“AFMs”) attached as Exhibits 1 through 2 (hereinafter “the Manuals”) 2 . Operations in compliance with these manuals will ensure that the sUAS will “not create a hazard to users of the national airspace system or the public” 3 and that the aircraft will operate in compliance with the conditions set forth in this application.

This request covers operations using a PINC Air sUAS.

Given the small size of the sUASs involved and the restricted environment within which they will operate, the applicant falls squarely within that zone of safety (an equivalent level of safety) in which Congress envisioned that the FAA must, by exemption, allow commercial operations of UASs to commence immediately. Also due to the size of the UASs, the restricted areas in which the relevant sUASs will operate and the fact that aircraft will be flown by pilots holding at least a FAA pilot license, approval of the application presents no national security issue. Given the clear direction in Section 333 of the Reform Act, the authority contained in the Federal Aviation Act, as amended; the strong equivalent level of safety surrounding the proposed operations, and the significant public benefit, including enhanced safety, reduction in environmental impacts, including reduced emissi ons associated with allowing battery powered UASs for these functions instead of turbine or gas power aircraft/rotorcraft and operations with pilots having at least a private pilot license, the grant of the requested exemption is in the public interest. Accordingly, the applicant respectfully requests that the FAA grant the requested exemption without delay.

2 Applicant submits the FOM and AFM for each aircraft applied for hereunder and its MPTOM, marked “CONFIDENTIAL”, as they contain propriety business information that is not released to the public and is protected under the Freedom of Information Act 5 U.S.C. § 553

etc.

3 Reform Act Section 333 (b).June 18, 2015 Page Four

117147439 v2 1299 PENNSYLVANIA AVENUE, NW, SUITE 700, WASHINGTON, DC 20004-2400 T: (202) 842-7800 F: (202) 842-7899 WWW.COOLEY.COM AIRCRAFT AND EQUIVALENT LEVEL OF SAFETY

The Applicant states that operating in compliance with the conditions set forth in Exemptions 11062, 11360 and 11447 will provide an equivalent level of safety to operations conducted with the listed aircraft without the grant of the requested exemption.

The FAA has granted exemptions to the following regulations in the listed exemptions; 14 C.F.R. §§ 61.23 (a) and (c ), 61.101(e ) (4) and (5), 61.113 (a), 61.315 (a), 91.7 (a), 91.119 (c), 91.121, 91.151 (a) (1), 91.405(a), 91.405 (a)(1), 91.409 (a) (1) and (2) and 91.417(a) and (b) to allow aerial data collection (See FAA Exemptions 11360 -; 11473)

14 C.F.R. Part 61: Private Pilot Privileges and Limitations: Pilot in Command

Sections 61.113 (a) & (b) limit private pilots to non-commercial operations

. Because the UAS will not carry a pilot or passengers, the proposed operations can achieve the equivalent level of safety of current operations by requiring the PIC operating the aircraft to hold a certificate issued by the FAA authorizing operation of any aircraft (ATP, Commercial, Private, Recreational or Sport). Unlike a conventional aircraft that carries the pilot and passengers, the sUAS is remotely controlled with no living thing on board. The area of operation is controlled and restricted, and all flights are planned and coordinated in advance as set forth in the Manual. The level of safety provided by the requirement s included in the Manual exceeds that provided by a single individual holding a commercial pilot’s certificate operating a conventional aircraft. The risks associated with the operation of the sUAS are so diminished from the level of risk associated with commercial operations contemplated by Part 61 when drafted, that allowing operations of the sUAS as requested with any certificate issued by the FAA as the PIC exceeds the present level of safety achieved by 14 C.F.R. Part 61. The FAA has granted exemptions for private pilots to conduct similar operations in Exemptions 11062, 11213, 11360 and 11447.

14 C.F.R. § 91.119: Minimum Safe Altitudes

Section 91.119 establishes safe altitudes for operation of civil aircraft. Section 91.119 (d) allows helicopters to be operated at less than the minimums prescribed, provided the person operating the helicopter complies with any route or altitudes prescribed for helicopters by the FAA. As this exemption is for a sUAS that are helicopters and the exemption requests authority to operate at altitudes up to 400 AGL an exemption may be needed to allow such operations. As set forth herein, except for the limited c onditions stated in the Manual, the UAS will never operate at higher than 400 AGL.

The equivalent level of safety will be achieved given the size, weight, speed of the UAS as well as the location where it is operated. No flight will be taken without the permission of the property owner, facility owner and local officials. Because of the advance notice to the property owner and participants all affected individuals will be aware of the planned flight operations as set forth in the Manual. Compared to flight operations with aircraft or rotorcraft weighting far more than the maximum 55lbs. proposed herein and the lack of flammable fuel, any riskJune 18, 2015 Page Five

117147439 v2 1299 PENNSYLVANIA AVENUE, NW, SUITE 700, WASHINGTON, DC 20004-2400 T: (202) 842-7800 F: (202) 842-7899 WWW.COOLEY.COM associated with these operations is far less than those presently presented with conventionalaircraft operating at or below 500 AGL in the aerial photography industry. In addition, the lowaltitude operations of the sUAS will ensure separation between these small-UAS operations and the operations of conventional aircraft that must comply with Section 91.119. The FAA has granted exemptions to conduct similar operations in Exemptions 11062, 11213, 11360 and

11447.

14 C.F.R. § 91.121: Altimeter Settings

This regulation requires each person operating an aircraft to maintain cruising altitude by reference to an altimeter that is set “...to the elevation of the departure airport or an appropriate altimeter setting available before departure.” As each sUAS model in at least one operating mode will not have a barometric altimeter, but instead a GPS altitude read out, an exemption will be needed. An equivalent level of safety will be achieved by the operator, pursuant to the Manual and Safety Check list, confirming the al titude of the launch site shown on the GPS altitude indicator before flight. The FAA has granted exemptions to conduct similar operations in Exemptions 11062, 11213, 11360 and 11447.

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

Section 91.151 (a) prohibits an individual from beginning “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.”

The battery powering the sUAS provides approx imately 40 minutes of powered flight. To meet the 30 minute reserve requirement in 14 C.F.R. § 91.151, sUAS flights would be limited to approximately 10 minutes in length. Given the limitations on the UAS’s proposed flight area and the location of its proposed operations within a predetermined area, a longer time frame for flight in daylight or night VFR conditions is reasonable.

Applicant believes that an exemption from 14 C.F.R. § 91.151(a) falls within the scope of prior exemptions. See Exemption 10673 (allowing Lockheed Martin Corporation to operate without compliance with FAR 91.151 (a)). Operating the small UAS, in a tightly controlled area where only people and property owners or official representatives who have signed waivers will be allowed, with less than 30 minutes of reserve fuel, does not engender the type of risks that Section 91.151(a) was intended to alleviate given the size and speed of the small UAS.

Applicant believes that an equivalent level of safety can be achieved by limiting flights to 5 minutes of reserve time on the batteries. This restriction would be more than adequate to return the sUAS to its planned landing zone from anywhere in its limited operating area.

Similar exemptions have been granted to other operations, including Exemptions 2689F, 5745, 10673, 10808 and Exemptions 11062, 11213, 11360 and 11447.June 18, 2015 Page Six

117147439 v2 1299 PENNSYLVANIA AVENUE, NW, SUITE 700, WASHINGTON, DC 20004-2400 T: (202) 842-7800 F: (202) 842-7899 WWW.COOLEY.COM 14 C.F.R. Part 91: Maintenance Inspections

These regulations require that an aircraft operator or owner “shall have that aircraft inspected as prescribed in subpart E of this part and shall between required inspections, except as provided in paragraph (c) of this section, have discrepancies repaired as prescribed in part 43 of this chapter...,” and others shall inspect or maintain the aircraft in compliance with Part 43.

Given that these sections and Part 43 apply only to aircraft with an airworthiness certificate, these sections will not apply to the applicant. Maintenance will be accomplished by the operator pursuant to the flight manual and operating handbook as referenced in the FOM attached as confidential Exhibit 1. An equivalent level of safety will be achieved because these small UASs are very limited in size and will ca rry a small payload and operate only in areas for limited periods of time. If mechanical issues arise the UAS can land immediately and will be operating from no higher than 400 feet AGL. As provided in the FOM the operator will ensure that the UAS is in working order prior to initiating flight, perform required maintenance, and keep a log of any maintenance performed. Moreover, the operator is the person most familiar with the aircraft and best suited to maintain the aircraft in an airworthy condition to provide the equivalent level of safety. The FAA has granted exemptions for similar operations in Exemptions
11062, 11213, 11360 and 11447.

*********

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

Applicant seeks an exemption from the following rules:

14 C.F.R. §§61.23 (a) and (c ), 61.101(e ) (4) and (5), 61.113 (a), 61.315 (a), 91.7 (a), 91.119 (c), 91.121, 91.151 (a) (1), 91.405(a), 91.405 (a)(1), 91.409 (a) (1) and (2) and 91.417(a) and (b) to operate commercially a small unmanned vehicle (55 lbs. or less) in motion picture and television operations and aerial data collection.

Approval of exemptions allowing commercial operations of sUASs for filming for motion picture and television work, both for closed set and in other environments, and aerial data collection will enhance safety by reducing risk. Conventional operations, using jet or piston power aircraft, operate at extremely low altitudes just feet from the subject being filmed and in extreme proximity to people and structures; and pr esent the risks associated with vehicles that weigh in the neighborhood of 6,000 lbs., carrying large amounts of jet A or other fuel (140 gallons for jet helicopters). Such aircraft must fly to and from the project location. In contrast, a sUAS weighing fewer than 55 lbs. and powered by batteries eliminates virtually all of that risk given the reduced mass and lack of combustible fuel carried on board. The sUAS is carried to the target area and not flown. The sUAS will carry no passengers or crew and, therefore, will not expose them to the risks associated with manned aircraft flights.

The operation of small UASs, weighting less than 55 lbs., conducted in the strict conditions outlined above, will provide an equivalent level of safety supporting the grant of theJune 18, 2015 Page Seven

117147439 v2 1299 PENNSYLVANIA AVENUE, NW, SUITE 700, WASHINGTON, DC 20004-2400 T: (202) 842-7800 F: (202) 842-7899 WWW.COOLEY.COM exemptions requested herein. These lightweight aircr aft operate at slow speeds, close to the ground, and in areas that are under the control of the customer for the inspections and, as a result, are far safer than conventional operations conducted with turbine helicopters operating in close proximity to the ground and people or the use of people to climb the structures to conduct the inspection.

Satisfaction of the criteria provided in Section 333 of the Reform Act of 2012--size, weight, speed, operating capabilities, proximit y to airports and populated areas and operation within visual line of sight and national security – provide more than adequate justification for the grant of the requested exemptions allowing commercial operation of applicant’s UAS for the Purposes outlined herein and are consistent with exemptions already granted, including, as examples, Exemptions 11062, 11063, 11064, 11065, 11066, 11067, 11062, 11213, 11360,

11447 and 11473.

Sincerely,

Jonathan B. Hill Cooley, LLP Counsel for PINC Aerial Productions, Inc.

John McGraw John McGraw Aerospace Consulting, LLC Agent for PINC Aerial Productions, Inc.

cc: William Crozier Robert Pappas

Jake Troutman

Dean Griffith Thuy H. Cooper

# Exhibit 1 (Confidential)

# Exhibit 2 (Confidential)