### June 15, 2015

Exemption No. 11827 Regulatory Docket No. FAA–2015–1102

Ms. Camille Linnartz President / CEO Specialized Project Services, Inc. 401 East 8th Street, Suite 214 #914 Sioux Falls, SD 57103

Dear Ms. Linnartz:

This letter is to inform you that we have gran ted your request for exemption. It transmits our decision, explains its basis, and gives you th e conditions and limitations of the exemption, including the date it ends.

By letter dated April 12, 2015, you petitioned th e Federal Aviation Administration (FAA) on behalf of Specialized Project Services, Inc. (hereinafter pe titioner or operator) for an exemption. The petitioner requested to opera te an unmanned aircraft system (UAS) to conduct Precision agriculture aerial surveying, site inspection and pa trolling, wildlife and forestry monitoring, public entity support operations, and real estate photography.

See Appendix A for the petition submitted to the FAA describing the proposed operations and the regulations that the petitioner seeks an exemption.

The FAA has determined that good cause exists for not publishing a summary of the petition in the Federal Register because the requested exemption would not set a precedent, and any delay in acting on this petition would be detrimental to the petitioner.

Airworthiness Certification

The UAS proposed by the petitioner is a DJI Phantom 2 Vision+.

The petitioner requested relief from 14 CFR part 21, Certification procedures for products and parts, Subpart H—Airworthiness Certificates . In accordance with the statutory criteria

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provided in Section 333 of Public Law 112

− 95 in reference to 49 U.S.C. § 44704, and in consideration of the size, weight, speed, a nd limited operating area associated with the aircraft and its operation, the S ecretary of Transportation has de termined that this aircraft meets the conditions of Section 333. Therefore, the FAA finds that the requested relief from 14 CFR part 21, Certification procedures for products and parts, Subpart H—Airworthiness Certificates , and any associated noise certification and testing requirements of part 36, is not necessary.

The Basis for Our Decision

You have requested to use a UAS for aerial data collection 1 

### . The FAA has issued grants of exemption in circumstances similar in all materi al respects to those pres ented in your petition. In Grants of Exemption No s. 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 specifica tions described by the petition er and carrying no passengers or crew, rather than a manned aircraft of signi ficantly greater proporti ons, carrying crew in addition to flammable fuel, gi ves the FAA good cause to find th at the UAS operation enabled by this exemption is in the public interest.

Having reviewed your reasons for re questing an exemption, I find that—

 They are similar in all material respects to relief previously re quested in Grant of Exemption Nos. 11062, 11109, 11112, and 11213;

 The reasons stated by the FAA for granting Exemption Nos. 11062, 11109, 11112, and 11213 also apply to the situ ation you present; and

 A grant of exemption is in the public interest.

Our Decision

In consideration of the foregoing, I find that a gr ant of exemption is in the public interest. Therefore, pursuant to the authority contained in 49 U.S. C. 106(f), 40113, and 44701, delegated to me by the Administrator, Special ized Project Services, Inc. is granted an exemption from 14 CFR §§ 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), 91.407(a)(1), 91.409(a)(1) and (2), and 91.417(a) and (b), to the extent necessary to a llow the petitioner to operate a UAS to perform aerial data collection. This exemption is subj ect to the conditions and limitations listed below.

1 Aerial data collection includes any remote sensing and measuring by an instrument(s) aboard the UA. Examples include imagery (photography, video, infrared, et c.), electronic measurement (precision surveying, RF analysis, etc.), chemical measuremen t (particulate measurement, etc.), or any other gathering of data by instruments aboard the UA.

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Conditions and Limitations

In this grant of exemption, Specialized Projec t Services, Inc. is he reafter referred to as the operator.

Failure to comply with any of the conditions an d limitations of this grant of exemption will be grounds for the immediate suspension or rescission of this exemption.

1. Operations authorized by this grant of ex emption are limited to the Phantom 2 Vision+ when weighing less than 55 pounds including payload. Proposed operations of any other aircraft will require a new petition or a petition to amend this exemption.

2. Operations for the purpose of closed-set motion picture and television filming are not permitted.

3. The UA may not be operated at a speed exceeding 87 knots (100 miles per hour). The exemption holder may use either groundspeed or calibrated airspeed to determine compliance with the 87 knot speed restricti on. In no case will the UA be operated at airspeeds greater than the maximum UA operating airspeed recommended by the aircraft manufacturer.

4. The UA must be operated at an altitude of no more than 400 feet above ground level (AGL). Altitude must be reported in feet AGL.

5. The UA must be operated within visual line of sight (VLOS) of th e PIC at all times. This requires the PIC to be able to use human vision unaided by any device other than corrective lenses, as specified on the PIC’s FAA-issued airman medical certificate or U.S. driver’s license.

6. All operations must utilize a visual observer (VO). The UA must be operated within the visual line of sight (VLOS) of the PI C and VO at all times. The VO may be used to satisfy the VLOS requirement as long as the PIC always maintains VLOS capability. The VO and PIC must be able to communicate verbally at all times; electronic messaging or texting is not pe rmitted during flight operations. The PIC must be designated before the flight and ca nnot transfer his or her designation for the duration of the flight. The PIC must en sure that the VO can perform the duties required of the VO.

7. This exemption and all documents needed to operate the UAS and conduct its operations in accordance with the conditions and limitations stated in this grant of exemption, are hereinafter referred to as the operating documents. The operating documents must be accessible during UAS operations and made available to the Administrator upon request. If a discre pancy exists between the conditions and

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limitations in this exemption and the pro cedures outlined in the operating documents, the conditions and limitations herein ta ke precedence and must be followed. Otherwise, the operator must follow the pr ocedures as outlined in its operating documents. The operator may update or revi se its operating documents. It is the operator’s responsibility to track such revisions and pr esent updated and revised documents to the Administrator or any la w enforcement official upon request. The operator must also present updated and revise d documents if it petitions for extension or amendment to this grant of exemption. If the operator determines that any update or revision would affect the basis upon wh ich the FAA granted this exemption, then the operator must petition for an amendmen t to its grant of exemption. The FAA’s UAS Integration Office (AFS

− 80) may be contacted if questions arise regarding updates or revisions to the operating documents.

8. Any UAS that has undergone maintenance or alterations that aff ect the UAS operation or flight characteristics, e .g., replacement of a flight cr itical component, must undergo a functional test flight prio r to conducting further opera tions under this exemption. Functional test flights may only be conducted by a PIC with a VO and must remain at least 500 feet from other people. The functi onal test flight must be conducted in such a manner so as to not pose an undue hazard to persons and property.

9. The operator is responsible for maintaining and inspecting the UAS to ensure that it is in a condition for safe operation.

10. Prior to each flight, the PIC must conduct a pre-flight inspection and determine the UAS is in a condition for safe flight. Th e pre-flight inspection must account for all potential discrepancies, e.g., inoperable components, items, or equipment. If the inspection reveals a condition that affects the safe operation of the UAS, the aircraft is prohibited from operating until the necessary maintenance has been performed and the UAS is found to be in a condition for safe flight.

11. The operator must follow the UAS manu facturer’s maintenance, overhaul, replacement, inspection, and life limit requirements for the aircraft and aircraft components.

12. Each UAS operated under this exempti on must comply with all manufacturer safety bulletins.

13. Under this grant of exemption, a PIC mu st hold either an airline transport, commercial, private, recreational, or sport pi lot certificate. The PIC must also hold a current FAA airman medical certificate or a valid U.S. driver’s license issued by a state, the District of Columbia, Puerto Rico, a territory, a possession, or the Federal government. The PIC must also meet the f light review requirements specified in 14 CFR § 61.56 in an aircraft in which the PI C is rated on his or her pilot certificate.

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14. The operator may not permit any PIC to ope rate unless the PIC demonstrates the ability to safely operate the UAS in a ma nner consistent with how the UAS will be operated under this exemption, including evasive and emergency maneuvers and maintaining appropriate distan ces from persons, vessels, vehi cles and structures. PIC qualification flight hours and currency must be logged in a manner consistent with 14 CFR § 61.51(b). Flights for the purposes of training the operator’s PICs and VOs (training, proficiency, and e xperience-building) and determining the PIC’s ability to safely operate the UAS in a manner consistent with how the UAS will be operated under this exemption are permitted under the terms of this exemption. However, training operations may only be conducted dur ing dedicated training sessions. During training, proficiency, and expe rience-building flights, al l persons not essential for flight operations are considered nonpartic ipants, and the PIC must operate the UA with appropriate distance from nonparti cipants in accordance with 14 CFR § 91.119.

15. UAS operations may not be conducted during night, as defined in 14 CFR § 1.1. All operations must be conducted under visual me teorological conditions (VMC). Flights under special visual flight rule s (SVFR) are not authorized.

16. The UA may not operate within 5 nautical mile s of an airport reference point (ARP) as denoted in the current FAA Airport/Facil ity Directory (AFD) or for airports not denoted with an ARP, the center of the airport symbol as denoted on the current FAA-published aeronautical chart, unless a letter of agreement with that airport’s management is obtained or otherwise permitted by a COA issued to the exemption holder. The letter of agreement with the ai rport management must be made available to the Administrator or any law enforcement official upon request.

17. The UA may not be operated less than 500 feet below or less than 2,000 feet horizontally from a cloud or when visibility is less than 3 statute miles from the PIC.

18. If the UAS loses communications or loses its GPS signal, the UA must return to a pre-determined location within the pr ivate or controlled-access property.

19. The PIC must abort the flight in the even t of unpredicted obstacles or emergencies.

20. The PIC is prohibited from beginning a f light unless (considering wind and forecast weather conditions) there is enough available power for the UA to conduct the intended operation and to operate after that fo r at least five minutes or with the reserve power recommended by the manufacturer if greater.

21. Air Traffic Organization (ATO) Certificate of Waiver or Author ization (COA). All operations shall be conducted in accorda nce with an ATO-issued COA. The exemption holder may apply for a new or amended COA if it intends to conduct operations that cannot be conducted unde r the terms of the attached COA.

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22. All aircraft operated in accord ance with this exemption must be identified by serial number, registered in accordance with 14 CFR part 47, and have identification (N

− Number) markings in accordance with 14 CFR part 45, Subpart C. Markings must be as large as practicable.

23. Documents used by the operator to ensure th e safe operation and flight of the UAS and any documents required under 14 CFR §§ 91.9 and 91.203 must be available to the PIC at the Ground Control Station of the UAS any time the aircraft is operating. These documents must be made available to the Administrator or any law enforcement official upon request.

24. The UA must remain clear and give wa y to all manned aviation operations and activities at all times.

25. The UAS may not be operated by the PIC from any moving device or vehicle.

26. All Flight operations must be conducted at least 500 feet from all nonparticipating persons, vessels, vehicles, and structures unless:

a. Barriers or structures are present that sufficiently pr otect nonparticipating persons from the UA and/or debris in the event of an accident. The operator must ensure that nonparticipating persons remain under su ch protection. If a situation arises where nonparticipating persons leave such protection and are within 500 feet of the UA, flight operations must cease immediately in a manner ensuring the safety of nonparticipating persons; and b. The owner/controller of any vessels, vehicles or struct ures has granted permission for operating closer to those objects and the PIC has made a safety assessment of the risk of operating closer to those objects and determined that it does not present an undue hazard.

The PIC, VO, operator trainees or es sential persons are not considered nonparticipating persons under this exemption.

27. All operations shall be conducted over priv ate or controlled-access property with permission from the property owner/contro ller or authorized representative. Permission from property owner/controller or authorized representative will be obtained for each flight to be conducted.

28. Any incident, accident, or flight operation that transgresses the lateral or vertical boundaries of the operational area as defined by the applicable COA must be reported to the FAA's UAS Integration Office (AFS

− 80) within 24 hours. Accidents must be reported to the National Transportation Sa fety Board (NTSB) per instructions contained on the NTSB Web site: www.ntsb.gov

.

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If this exemption permits operations for th e purpose of closed-set motion picture and television filming and production, the following additional conditions and limitations apply.

29. The operator must have a motion picture and television operations manual (MPTOM) as documented in this grant of exemption.

30. At least 3 days before aerial filming, the operator of the UAS affected by this exemption must submit a written Plan of Activities to the local Flight Standards District Office (FSDO) with jurisdiction ove r the area of proposed filming. The 3-day notification may be waived w ith the concurrence of the FSDO. The plan of activities must include at least the following:

a. Dates and times for all flights; b. Name and phone number of the operator for the UAS aerial filming conducted under this grant of exemption;

c. Name and phone number of the person res ponsible for the on-s cene operation of the UAS; d. Make, model, and serial or N

− Number of UAS to be used;

e. Name and certificate number of UAS PI Cs involved in the aerial filming; f. A statement that the operator has obtain ed permission from property owners and/or local officials to conduct the filming production event; the list of those who gave permission must be made av ailable to the inspector upon request;

g. Signature of exemption holde r or representative; and h. A description of the flight activity, includi ng maps or diagrams of any area, city, town, county, and/or state over which film ing will be conducted and the altitudes essential to accomplish the operation.

31. Flight operations may be conducted closer th an 500 feet from pa rticipating persons consenting to be involved and necessary for the filming production, as specified in the exemption holder’s MPTOM.

Unless otherwise specified in this grant of exemption, the UAS, the UAS PIC, and the UAS operations must comply with al l applicable parts of 14 CFR including, but not limited to, parts 45, 47, 61, and 91.

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This exemption terminates on June 30, 2017, unless sooner superseded or rescinded.

Sincerely, /s/ John S. Duncan Director, Flight St andards Service

EnclosuresApril 12, 2015

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

Re: Exemption Request Section 333 of the FAA Reform Act

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, Specialized Project Services, Inc. (SPSRV)

, a technology consulting and services company and operator of Small Unmanned Aircraft Systems (“sUASs”) , hereby applies for an exemption from the
Federal Aviation Regulations (FARs) listed below to allow operation of our Small Unmanned Aircraft System (sUAS) commercially in airspace regulated by the Federal Aviation Administration (FAA) so long as such operations are conducted with and under the conditions outlined herein or as may be established by the FAA as required by Section 333.

The requested exemption would permit Specialized Project Services, Inc. to pursue its commercial interests in providing services to clients using a small advanced sUA S in the following areas:

 Precision agriculture a erial surveying

 Pipeline inspection and patrolling

 Utility

- power generation system inspections and patrolling

 Communications infrastructure inspection /monitoring

 Wildlife and forestry monitoring

 Construction si te inspection and monitoring

 Public e ntity s upport o perations.

 Real estate photography

As described more fully below, the requested exemption would permit the operation of small, unmanned and relatively inexpensive sUAS under controlled conditions in air space that is 1) limited 2) predetermined 3) controlled as to access and 4) would provide safety enhancements to the already best practices safe ty protocols followed by SPSRV at each of its client project locations . 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 system.” Section 333(c) of the Reform Act.The n ame and address of the applicant is:

Specialized Project Services, Inc.

Attn: Camille Linnartz

401 E. 8 th Street, Ste. 214 #914 Sioux Falls, SD 57103
Ph one : 888

- 342

- 7159
Email: admin@spsrv.com

Regulations from which the exemption is requested:

14 C

. F

. R

. Part 21 Certification procedures for products and parts 14 C.F.R. 45.23(b) Identification and registration marking

14 C

. F

. R

. 61.113 (a) & (b) Private pilot privileges and limitations: p ilot in command. 14 C.F.R. 91.7 (a) Civil aircraft airworth iness

14 C. F

. R

. 91.9 (b) (2) Civil aircraft flight manual, marking, and placard requirements

14 C. F.R. 91.103 Preflight action

14 C.F.R. 91.109 Flight instruction; simulated instrument flight and certain flight tests

14 C.F. R. 91.119 Minimum safe altitudes; general

14 C.F.R. 91.121 Altimeter settings

14 C

. F

. R

. 91.151 (a) Fuel requirements and flight in VFR conditions

14 C

. F

. R

. 91.203 (a) & (b) Civil aircraft; certifications required

14 C

. F

. R

. 91.405 (a) Maintenance required

14 C

. F

. R

. 407 (a) (1) Operation after maintenance, preventative maintenance, rebuilding
or alteration

14 C

. F

. R

. 409 (a) (2) Inspections

14 C. F

. R

. 417 (a) & (b) Maintenance recordsI. STATUTORY AUTHORITY FOR EXEMPTIONS

The Federal Aviation Act expressly grants the FA A authority to issue exemptions. This statutory authority includes exempting civil aircraft, as the term is defined under §40101 of the Act, including sUASs, from the requirement that all civil aircraft must have a current airworthiness certificate.

The A dministrator 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 this title if the Administrator finds the exemption in the public interest. 49 U.S.C. §44701(f) See also 49 USC §44711(a); 49 USC §44704; 14 CFR §91.203(a) (1).

Section 333(b) of the Reform Act assists the Secretary in determining whether sUAS may operate in the National Airspace System (NAS) without creating a hazard to the user, the public, or a thre at to national security. In making this determination, the Secretary must consider:

• The sUAS’s size, weight, speed, and operational capability;

• Whether the sUAS operates within the visual line of sight of the operator

• Whether the sUAS operates outside of highly populated areas and away from close proximity to airports

Reform Act §333(a). If the Secretary determines that a sUAS “may operate safely in the national airspace system, the Secretary shall establish requirements for the safe operation of such air craft in the national airspace system.” Id . §333(c).

Specialized Project Services’ sUASs are rotorcraft, weighting 55 or fewer lbs. including payload. They operate, under normal conditions at a speed of no more than 50 knots and have the capability to hov er, and move in the vertical and horizontal plane simultaneously. They will operate only in line of sight and will operate only within a sterile area. Such operations will insure that the sUAS will “not create a hazard to users of the national airspace sys tem or the public.”

We are petitioning for exemption to enable SPSRV to operate a DJI Phantom 2 Vision Plus multi

- rotor equipped with a three

- axis gimbaled camera, a DJI Inspire 1 multi

- rotor equipped with a three

- axis gimbaled camera, a DJI S

- 900 multi

- rotor equipped with a three

- axis gimbaled camera, and a RF

- 70 fixed wing sUAS equipped with a fixed position multi

- spectral camera. These sUAS all weigh less than 25 lbs., have a built

- in capability to limit the height it flies above the ground, to limit the radius of the distance it flies from the operator and to exclude it from Class B, C and D airspace including a no fly zone feature. Each system also has the failsafe function of the autopilot system, which means when the
communication between the Main Controller and the transmitter is lost, the system will automatically trigger Return to Home and will land safely.

Given the small size of the sUAS involved and the restricted and sterile environment within which they will operate, our application falls squarely within the zone of safety (an equivalent level of safety) in which Congress envisioned that the FAA must, by exemption, allow commercial operations of sUAS to commence immediately. Also due to the small size of the sUAS and the low altitudes and r estricted areas in which the sUAS will operate, 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 equiva lent level of safety surrounding the proposed operations,and the significant public benefit, including enhanced safety, the grant of the requested exemptions is in

the public interest. Accordingly, Specialized Project Services, Inc. respectfully requests that the FAA grant the requested exemption without delay.

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 s afe operation of the UAS, if it should be determined that the conditions set forth herein do not fulfill the statutory requirements for approval. The Federal Aviation 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 civil aircraft must
have a current airworthiness certificate.

II. PUBLIC INTEREST

This exemption application is expressly submitted 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 syste m (NAS) before completion of the rulemaking required under Section 332 of the Reform Act. By granting an exemption the FAA will fulfill Congress’s intent of allowing UAS to operate with significant safety precautions in low
risk environments.

The use of s UAS on a work site can significantly reduce the risk to workers of falls while inspecting, surveying, or monitoring site progress. sUAS can inspect, photograph, and collect data on hard to get to areas that otherwise would require worker inspection. Falls are a leading source of workplace fatality and injury on construction sites, and reducing falls through sUAS use for site imaging could save workers lives.

Additionally, sUAS could replace the use of helicopters and small aircraft to monitor sites. The sU AS we propose to fly in this application are under five pounds, and carry no combustible material on board, as opposed to the much larger conventionally powered small aircraft. Shifting to sUAS from helicopters presents a marked safety increase for our wor kers and the public.

Lastly, sUAS reduce the environmental impact by dramatically decreasing the energy used for aerial imaging and data collection over a construction site. Our sUAS use rechargeable lithium ion batteries, as opposed to fossil fuels burne d in operation of small aircraft that are many hundreds of times heavier.

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

Accordingly, the applicant respectfully requests that the FAA grant the requested exemption without delay.III. AIRCRAFT AND EQUIVALENT LEVEL OF SAFETY

SPSRV p roposes that the exemption requested herein apply sUAS that have the characteristics and that operate with the limitations listed herein. These limitations provide for at least an equivalent or even higher level of safety to operations under the current re gulatory structure because the proposed operations represent a safety enhancement to the already safe operations conducted with conventional
aircraft. These limitations and conditions to which Specialized Project Services agrees to be bound when conducting commercial operations under an FAA issued exemption include:

1. The sUAS will be less than 55 pounds.
2. Flights will be operated within visual line of sight of a pilot.
3. Maximum total flight time for each operational flight will be 30 minutes. The UAS calcula tes battery reserve in real time, and will return to its ground station with at least 20% battery power reserve should that occur prior to the 30 minute limit.
4. Flights will normally be operated at an altitude of 200 feet AGL, never exceeding 400 feet AGL.
5. Crew for each operation will consist of the sUAS Pilot who will keep the sUAS within his visual line of sight at all times.
6. The sUAS Pilot will be trained in flight, operations, and safety procedures as detailed in the Flight Manual.
7. The sUAS will only ope rate within a confined “Sterile Area” as defined in the Manual. The Manual also requires the establishment of a “Security Perimeter” for the flight operations area.
8. A briefing will be conducted in regard to the planned sUAS operations prior to each day’s

p roduction activities. It will be mandatory that all personnel who will be performing duties within the boundaries of the safety perimeter be present for this briefing.
9. All onsite personnel will consent to the UAS flyover on site by waiver, and the operator will obtain additional verbal or written consent of all persons who will be allowed within 100 feet of the flight operation.
10. Pilot will have been trained in operation of UASs generally and received up

- to

- date information on the particular UAS to be operat ed as required by Section F of the Manual.
11. Written and/or oral permission from the relevant property holders will be obtained.
12. All required permissions and permits will be obtained from territorial, state, county or city jurisdictions, including local law enforcement, fire, or other appropriate governmental agencies.
13. If the sUAS loses communications or loses its GPS signal, it will have capability to enter “loiter mode” and hover, reestablish satellite connection, and return to a predetermined location with in the Security Perimeter and land.IV. DESCRIPTION OF SPECIFIC REGULATIONS

14 C.F.R. § 45.23 (b). Identification and registration markings

(a) Each operator of an aircraft must display on that aircraft marks consisting of the Roman capital letter “N” (denoting United States registration) followed by the registration number of the aircraft. Each suffix letter used in the marks displayed must also be a Roman capital letter.

(b) When marks include only the Roman capital letter “N” and the registration nu mber 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 les s than 2 inches nor more than 6 inches high, the words “limited,” “restricted,” “light

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

Even though the UAS will have no airworthiness certificate, an exemption may be needed as the UAS
will have no entrance to the cabin, cockpit or pilot station on which the word “Experimental” can be placed. Given the size of the sUAV, two

- inch lettering will be impossible. The word “Experimental” will be placed on the fuselage in compliance with §45.29 (f).

The e quivalent level of safety will be provided by having the sUAV marked on its fuselage as required by §45.29 (f) where the pilot, observer and others working with the sUAV will see the identification of the UAS as “Experimental.” The FAA has issued the follo wing exemptions to this regulation to Exemptions Nos. 10700, 8738, 10167 and 10167A.

14 CFR § 61.113 (a) & (b): Private pilot privileges and limitations: Pilot in command

(a) Except as provided in paragraphs (b) through (h) of this section, no person wh o holds a private pilot certificate may act as pilot in command of an aircraft that is carrying passengers or property for compensation or hire; nor may that person, for compensation or hire, act as pilot in command of an aircraft.

(b) A private pilot may, for compensation or hire, act as pilot in command of an aircraft in connection with any business or employment if:

(1) The flight is only incidental to that business or employment; and

(2) The aircraft does not carry passengers or property for compensatio n or hire.

(c) A private pilot may not pay less than the pro rata share of the operating expenses of a flight with passengers, provided the expenses involve only fuel, oil, airport expenditures, or rental fees.

(d) A private pilot may act as pilot in comma nd of a charitable, nonprofit, or community event flight described in §91.146, if the sponsor and pilot comply with the requirements of §91.146.

(e) A private pilot may be reimbursed for aircraft operating expenses that are directly related to
search and l ocation operations, provided the expenses involve only fuel, oil, airport expenditures, or rental fees, and the operation is sanctioned and under the direction and control of:

(1) A local, State, or Federal agency; or(2) An organization that conducts sear ch and location operations.

(f) A private pilot who is an aircraft salesman and who has at least 200 hours of logged flight time may demonstrate an aircraft in flight to a prospective buyer.

(g) A private pilot who meets the requirements of §61.69 may act as a pilot in command of an aircraft towing a glider or unpowered ultralight vehicle.

(h) A private pilot may act as pilot in command for the purpose of conducting a production flight test in a light

- sport aircraft intended for certification in the light

- s port category under §21.190 of this chapter, provided that

—
(1) The aircraft is a powered parachute or a weight

- shift

- control aircraft;

(2) The person has at least 100 hours of pilot

- in

- command time in the category and class of aircraft flown; and

(3) The person is familiar with the processes and procedures applicable to the conduct of production flight testing, to include operations conducted under a special flight permit and any associated operating limitations.

Sections 61.113 (a) & (b) limit private pi lots to non

- commercial operations. Because the sUAS will not carry a pilot or passengers, the proposed operations can achieve the equivalent level of safety of current operations by requiring the Pilot operating the aircraft to have completed a sUAS flight training course of 100 hours before flying a sUAS. Unlike a conventional aircraft that carries the pilot and passengers, the sUAS is remotely controlled with no living thing or cargo on board. S PSRV ’s sUAS is also operated by an autopilot, which greatly r educes the danger of human error.

14 C.F.R. §91.7(a): Civil aircraft airworthiness.

(a) No person may operate a civil aircraft unless it is in an airworthy condition.

(b) The pilot in command of a civil aircraft is responsible for determining whether t hat aircraft is in condition for safe flight. The pilot in command shall discontinue the flight when un

- airworthy mechanical, electrical, or structural conditions occur.

The regulation requires that no person may operate a civil aircraft unless it is in a irworthy condition. As there will be no airworthiness certificate issued for the aircraft, should this exemption be granted, no FAA regulatory standard will exist for determining airworthiness. Given the size of the aircraft and the requirements contained in the Manual for maintenance and use of safety check lists prior to each flight, as set forth in Sections J, L and Q, an equivalent level of safety will be provided.

14 C.F.R. § 91.9 (b) (2): Civil Aircraft Flight Manual in the Aircraft.

(a) Except as provided in paragraph (d) of this section, no person may operate a civil aircraft without complying with the operating limitations specified in the approved Airplane or Rotorcraft Flight Manual, markings, and placards, or as otherwise prescribed by the ce rtificating authority of the country of registry.(b) No person may operate a U.S.

- registered civil aircraft

—

(1) For which an Airplane or Rotorcraft Flight Manual is required by §21.5 of this chapter unless there is available in the aircraft a current, ap proved Airplane or Rotorcraft Flight Manual or the manual provided for in §121.141(b); and

(2) For which an Airplane or Rotorcraft Flight Manual is not 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.

(c) No person may operate a U.S.

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

(d) Any pe rson taking off or landing a helicopter certificated under part 29 of this chapter at a heliport constructed over water may make such momentary flight as is necessary for takeoff or landing through the prohibited range of the limiting height

- speed envelope established for the helicopter if that flight through the prohibited range takes place over water on which a safe ditching can be accomplished and if the helicopter is amphibious or is equipped with floats or other emergency flotation gear adequate to acc omplish a safe emergency ditching on open water.

Section 91.9 (b) (2) provides: No person may operate a U.S.

- registered civil aircraft

- (2) For which an Airplane or Rotorcraft Flight Manual is not required by §21.5 of this chapter, unless there is availab le in the aircraft a current approved airplane or Rotorcraft Flight Manual, approved manual material, markings, and placards, or any combination thereof. The sUAS, given its size and configuration has no ability or place to carry such a flight manual on th e aircraft, not only because there is no pilot on board, but because there is no room or capacity to carry such an item on the aircraft.

The equivalent level of safety will be maintained by keeping the flight manual at the ground control point where the pilot flying the sUAS will have immediate access to it. The FAA has issued the following exemptions to this regulation: Exemption Nos. 8607, 8737, 8738, 9299, 9299A, 9565, 9565B, 10167, 10167A, 10602, 32827, and 10700.

14 C.F.R. § 91.103: Preflight actio n

Each pilot in command shall, before beginning a flight, become familiar with all available information concerning that flight. This information must include

—
(a) For a flight under IFR or a flight not in the vicinity of an airport, weather reports and forecasts, fuel requirements, alternatives available if the planned flight cannot be completed, and any known traffic delays of which the pilot in command has been advised by ATC;

(b) For any flight, runway lengths at airports of intended use, and the foll owing takeoff and landing distance information:

(1) For civil aircraft for which an approved Airplane or Rotorcraft Flight Manual containing takeoff and landing distance data is required, the takeoff and landing distance data contained therein; and

(2) For civil aircraft other than those specified in paragraph (b)(1) of this section, other reliable information appropriate to the aircraft, relating to aircraft performance under expected values of airport elevation and runway slope, aircraft gross weight, and wind and temperature.This regulation requires each pilot in command to take certain actions before flight to insure the safety

of flight. As FAA approved rotorcraft flight manuals will not be provided for the aircraft an exemption
will be needed. The PI C will take all actions including reviewing weather, flight battery requirements, landing and takeoff distances and aircraft performance data before initiation of flight.

14 C.F.R. §91.109: Flight instruction :

(a) No 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 controls. However, instrument flight instruction may be given in an airplane that is equipped with a single, functioning throwover cont rol wheel that controls the elevator and ailerons, in place of fixed, dual controls, when

—
(1) The instructor has determined that the flight can be conducted safely; and

(2) The person manipulating the controls has at least a private pilot certificate with appropriate category and class ratings.

(b) An airplane equipped with a single, functioning throwover control wheel that controls the elevator and ailerons, in place of fixed, dual controls may be used for flight instruction to conduct a flight review req uired by §61.56 of this chapter, or to obtain recent flight experience or an instrument proficiency check required by §61.57 when

—
(1) The airplane is equipped with operable rudder pedals at both pilot stations;

(2) The pilot manipulating the controls is q ualified to serve and serves as pilot in command during the entire flight;

(3) The instructor is current and qualified to serve as pilot in command of the airplane, meets the requirements of §61.195(b), and has logged at least 25 hours of pilot

- in

- command flight time in the make and model of airplane; and

(4) The pilot in command and the instructor have determined the flight can be conducted safely.

(c) No person may operate a civil aircraft in simulated instrument flight unless

—
(1) The other control seat is occupied by a safety pilot who possesses at least a private pilot certificate with category and class ratings appropriate to the aircraft being flown.

(2) The safety pilot has adequate vision forward and to each side of the aircraft, or a competent
obse rver in the aircraft adequately supplements the vision of the safety pilot; and

(3) Except in the case of lighter

- than

- air aircraft, that aircraft is equipped with fully functioning dual controls. However, simulated instrument flight may be conducted in a single

- engine airplane, equipped with a single, functioning, throwover control wheel, in place of fixed, dual controls of the elevator and ailerons, when

—
(i) The safety pilot has determined that the flight can be conducted safely; and

(ii) The person mani pulating the controls has at least a private pilot certificate with appropriate category and class ratings.(d) No person may operate a civil aircraft that is being used for a flight test for an airline transport

pilot certificate or a class or type rating on that certificate, or for a part 121 proficiency flight test, unless the pilot seated at the controls, other than the pilot being checked, is fully qualified to act as pilot in command of the aircraft.

Section 91.103 provides that no 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 controls.

s UASs and remotely piloted aircraft, by their design do not have fully functional dual controls. Flight

c ontrol is accomplished through the use of a control box that communicates with the aircraft via radio communications. The FAA has approved exemptions for flight training without fully functional dual controls for a number of aircraft and for flight instruc tion in experimental aircraft. See Exemption Nos.5778K & 9862A. The equivalent level of safety provided by the fact that neither a pilot nor passengers will be carried in the aircraft and by the size and speed of the aircraft.

14 C.F.R. §91.119: Minimum safe altitudes

Except when necessary for takeoff or landing, no person may operate an aircraft below the following altitudes:

(a) Anywhere. An altitude allowing, if a power unit fails, an emergency landing without undue hazard to persons or property on t he surface.

(b) Over congested areas. Over any congested area of a city, town, or settlement, or over any open air assembly of persons, an altitude of 1,000 feet above the highest obstacle within a horizontal radius of 2,000 feet of the aircraft.

(c) Over other than congested areas. An altitude of 500 feet above the surface, except over open water or sparsely populated areas. In those cases, the aircraft may not be operated closer than 500 feet to any person, vessel, vehicle, or structure.

(d) Helicopters, powered parachutes, and weight

- shift

- control aircraft. If the operation is conducted without hazard to persons or property on the surface

—
(1) A helicopter may be operated at less than the minimums prescribed in paragraph (b) or (c) of this section, provid ed each person operating the helicopter complies with any routes or altitudes specifically prescribed for helicopters by the FAA; and

(2) A powered parachute or weight

- shift

- control aircraft may be operated at less than the minimums prescribed in paragraph (c) of this section.

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 rout e or altitudes prescribed for helicopters by the FAA. As this exemption is for a sUAS that is a helicopter and the exemption requests authority to operate at altitudes up to 400 AGL, or not more than 200 above an elevated platform from which filming is pla nned, an exemption may be needed to allow such operations. As set forth herein, the UAS will never operate at higher than

400 AGL

. Compared to flight operations with aircraft or rotorcraft weighting far more than themaximum 55lbs. proposed herein and the lack of flammable fuel, any risk associated with these

operations is far less than those presently presented with conventional aircraft operating at or below 500 AGL other industries. In addition, the low

- altitude operations of the sUAS will ensure separat ion
between these small

- UAS operations and the operations of conventional aircraft that must comply with

Section 91.119.

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

(a) Each person operating an aircraft shall maintain the cruising altitude or flight level of that aircraft, as the case may be, by reference to an altimeter that is set, when operating

—
(1) Below 18,000 feet MSL, to

—
(i) The current reported altimeter setting of a station along the route and within 100 nautical miles of the aircraft;

(ii) If ther e is no station within the area prescribed in paragraph (a)(1)(i) of this section, the current reported altimeter setting of an appropriate available station; or

(iii) In the case of an aircraft not equipped with a radio, the elevation of the departure air port or an appropriate altimeter setting available before departure; or

(2) At or above 18,000 feet MSL, to 29.92 ′′ Hg.

(b) The lowest usable flight level is determined by the atmospheric pressure in the area of operation as shown in the following table:

Cu rrent altimeter setting Lowest usable flight level

29.92 (or higher) 180

29.91 through 29.42 185

29.41 through 28.92 190

28.91 through 28.42 195

28.41 through 27.92 200

27.91 through 27.42 205

27.41 through 26.92 210

(c) To convert minimum altitude prescribed under §§91.119 and 91.177 to the minimum flight level, the pilot shall take the flight level equivalent of the minimum altitude in feet and add the appropriate number of feet specified below, according to the current reported altimeter setting:

Current altimeter setting Adjustment factor

29.92 (or higher) None

29.91 through 29.42 500

29.41 through 28.92 1,000

28.91 through 28.42 1,50028.41 through 27.92 2,000

27.91 through 27.42 2,500

27.41 through 26.92 3,000

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 the sUAS may not have a barometric alt imeter, but instead a GPS altitude read out, an exemption may be needed. An equivalent level of safety will be achieved by the operator, pursuant to the Manual and Safety Check list, confirming the altitude of the launch site shown
on the GPS altitude indi cator before flight.

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

(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.

(b) No person may begin a flight in a rotorcraft under VFR cond itions 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, to fly after that for at least 20 minutes.

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 afte r 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 approximately 40 minutes of powered flight. To meet the 30

- minute reserve requirement in 14 CFR §91.151, sUAS flights woul d 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 reaso nable. Applicant believes that an exemption from 14 CFR §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 tight ly 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 gi ven the size and speed of the small UAS. Additionally, limiting sUAS flights to 10 minutes would greatly reduce the utility for which the exemption will be granted. Applicant believes that an equivalent level of safety can be achieved by limiting flights t o 30 minutes or 25% of battery power whichever happens first. This restriction would be more than adequate to return the sUAS to itsplanned landing zone from anywhere in its limited operating area. Similar exemptions have been

granted to other operations, including Exemptions 2689F, 5745, 10673, and 10808.

14 C.F.R. §91.203 (a) (1) & (b): Civil aircraft: Certificat ion s required
(a) Except as provided in §91.715, no person may operate a civil aircraft unless it has within it the following:

(1) An appropr iate and current airworthiness certificate. Each U.S. airworthiness certificate used to comply with this subparagraph (except a special flight permit, a copy of the applicable operations specifications issued under §21.197(c) of this chapter, appropriate s ections of the air carrier manual required by parts 121 and 135 of this chapter containing that portion of the operations specifications issued under §21.197(c), or an authorization under §91.611) must have on it the registration number assigned to the air craft under part 47 of this chapter. However, the airworthiness certificate need not have on it an assigned special identification number before 10 days after that number is first affixed to the aircraft. A revised airworthiness certificate having on it an assigned special identification number, that has been affixed to an aircraft, may only be obtained upon application to an FAA Flight Standards district office.

(2) An effective U.S. registration certificate issued to its owner or, for operation within the United States, the second copy of the Aircraft registration Application as provided for in §47.31(c), or a registration certification issued under the laws of a foreign country.

(b) No person may operate a civil aircraft unless the airworthiness certifica te 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 passengers or crew.

(c) No person may operate an aircraft with a fuel tank installed within the passenger compartment or a baggage compartment unless the installation was accomplished pursuant to part 43 of this chapter, and a copy of FAA Form 337 authorizing that installation is on board the aircraft.

(d) No person may operate a civil air plane (domestic or foreign) into or out of an airport in the United States unless it complies with the fuel venting and exhaust emissions requirements of part 34 of this chapter.

The UAS fully loaded weighs no more than 55 lbs. and is operated without an onboard pilot. As such, there is no ability or place to carry certification and registration documents or to display them on the

sUAS.

An equivalent level of safety will be achieved by keeping these documents at the ground control point where the pilot f lying the sUAS will have immediate access to them, to the extent they are applicable to the sUAS. The FAA has issued numerous exemptions to this regulation. A representative sample of other exceptions includes Exemption Nos. 9565, 9665, 9789, 9789A, 9797, 9797A, 9816A, and 10700.14 C.F.R. §91.405 (a); 407 (a) (1); 409 (a) (2); 417(a) & (b): Maintenance Inspections

§91.405 Maintenance required.

Each owner or operator of an aircraft

—
(a) Shall have that aircraft inspected as prescribed in subpart E of t his 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;

(b) Shall ensure that maintenance personnel make appropriate entries in the aircraft maintenance records indicating the aircraft has been approved for return to service;

(c) Shall have any inoperative instrument or item of equipment, permitted to be inoperative by §91.213(d)(2) of this part, repaired, replaced, removed, or inspected at th e next required inspection;
and

(d) When listed discrepancies include inoperative instruments or equipment, shall ensure that a placard has been installed as required by §43.11 of this chapter.

§91.407 Operation after maintenance, preventive maintenance, rebuilding, or alteration.

(a) No person may operate any aircraft that has undergone maintenance, preventive maintenance, rebuilding, or alteration unless

—
(1) It has been approved for return to service by a person authorized under §43.7 of this chapter;
and

(2) The maintenance record entry required by §43.9 or §43.11, as applicable, of this chapter has
been made.

(b) No person may carry any person (other than crewmembers) in an aircraft that has been maintained, rebuilt, or altered in a manner that may ha ve appreciably changed its flight characteristics or substantially affected its operation in flight until an appropriately rated pilot with at least a private pilot certificate flies the aircraft, makes an operational check of the maintenance performed or alteration made, and logs the flight in the aircraft records.

(c) The aircraft does not have to be flown as required by paragraph (b) of this section if, prior to flight, ground tests, inspection, or both show conclusively that the maintenance, preventive maintenance, rebuilding, or alteration has not appreciably changed the flight characteristics or substantially affected the flight operation of the aircraft.

(Approved by the Office of Management and Budget under control number 2120

- 0005)

§91.409 Inspections.

(a) Except as provided in paragraph (c) of this section, no person may operate an aircraft unless, within the preceding 12 calendar months, it has had

—(1) An annual inspection in accordance with part 43 of this chapter and has been approved for

return to service by a person authorized by §43.7 of this chapter; or

(2) An inspection for the issuance of an airworthiness certificate in accordance with part 21 of this chapter.

No inspection performed under paragraph (b) of this section may be substituted for a ny inspection required by this paragraph unless it is performed by a person authorized to perform annual inspections and is entered as an “annual” inspection in the required maintenance records.

(b) Except as provided in paragraph (c) of this section, no p erson may operate an aircraft carrying any person (other than a crewmember) for hire, and no person may give flight instruction for hire in an aircraft which that person provides, unless within the preceding 100 hours of time in service the aircraft
has re ceived an annual or 100

- hour inspection and been approved for return to service in accordance with part 43 of this chapter or has received an inspection for the issuance of an airworthiness certificate in accordance with part 21 of this chapter. The 100

- ho ur limitation may be exceeded by not more than 10 hours while en route to reach a place where the inspection can be done. The excess time used to reach a place where the inspection can be done must be included in computing the next 100 hours of
time in ser vice.

(c) Paragraphs (a) and (b) of this section do not apply to

—
(1) An aircraft that carries a special flight permit, a current experimental certificate, or a light

- sport or provisional airworthiness certificate;

(2) An aircraft inspected in accordance w ith an approved aircraft inspection program under part 125 or 135 of this chapter and so identified by the registration number in the operations specifications of the certificate holder having the approved inspection program;

(3) An aircraft subject to the requirements of paragraph (d) or (e) of this section; or

(4) Turbine

- powered rotorcraft when the operator elects to inspect that rotorcraft in accordance with paragraph (e) of this section.

(d) Progressive inspection. Each registered owner or operator of an aircraft desiring to use a progressive inspection program must submit a written request to the FAA Flight Standards district office having jurisdiction over the area in which the applicant is located, and shall provide

—
(1) A certificated mechanic holdi ng an inspection authorization, a certificated airframe repair station, or the manufacturer of the aircraft to supervise or conduct the progressive inspection;

(2) A current inspection procedures manual available and readily understandable to pilot and
mai ntenance personnel containing, in detail

—
(i) An explanation of the progressive inspection, including the continuity of inspection responsibility, the making of reports, and the keeping of records and technical reference material;

(ii) An inspection schedu le, specifying the intervals in hours or days when routine and detailed inspections will be performed and including instructions for exceeding an inspection interval by not more than 10 hours while en route and for changing an inspection interval because o f service experience;

(iii) Sample routine and detailed inspection forms and instructions for their use; and(iv) Sample reports and records and instructions for their use;

(3) Enough housing and equipment for necessary disassembly and proper inspection of the aircraft; and

(4) Appropriate current technical information for the aircraft.

The frequency and detail of the progressive inspection shall provide for the complete inspection of the aircraft within each 12 calendar months and be consistent with the ma nufacturer's recommendations, field service experience, and the kind of operation in which the aircraft is engaged. The progressive inspection schedule must ensure that the aircraft, at all times, will be airworthy and will conform to all applicable FAA ai rcraft specifications, type certificate data sheets, airworthiness directives, and other approved data. If the progressive inspection is discontinued, the owner or operator shall immediately notify the local FAA Flight Standards district office, in writing , of the discontinuance. After the discontinuance, the first annual inspection under §91.409(a)(1) is due within 12 calendar months after the last complete inspection of the aircraft under the progressive inspection. The 100

- hour inspection under §91.409(b ) is due within 100 hours after that complete inspection. A complete inspection of the aircraft, for the purpose of determining when the annual and 100

- hour inspections are due, requires a detailed inspection of the aircraft and all its components in accor dance with the progressive inspection. A routine inspection of the aircraft and a detailed inspection of several components is not considered to be a complete inspection.

(e) Large airplanes (to which part 125 is not applicable), turbojet multiengine airpl anes, turbopropeller

- powered multiengine airplanes, and turbine

- powered rotorcraft. No person may operate a large airplane, turbojet multiengine airplane, turbopropeller

- powered multiengine airplane, or turbine

- powered rotorcraft unless the replacement tim es for life

- limited parts specified in the aircraft specifications, type data sheets, or other documents approved by the Administrator are complied with and the airplane or turbine

- powered rotorcraft, including the airframe, engines, propellers, rotors,

ap pliances, survival equipment, and emergency equipment, is inspected in accordance with an inspection program selected under the provisions of paragraph (f) of this section, except that, the owner or operator of a turbine

- powered rotorcraft may elect to use the inspection provisions of §91.409(a), (b), (c), or (d) in lieu of an inspection option of §91.409(f).

(f) Selection of inspection program under paragraph (e) of this section. The registered owner or operator of each airplane or turbine

- powered rotorcra ft described in paragraph (e) of this section must select, identify in the aircraft maintenance records, and use one of the following programs for the inspection of the aircraft:

(1) A continuous airworthiness inspection program that is part of a continuou s airworthiness maintenance program currently in use by a person holding an air carrier operating certificate or an operating certificate issued under part 121 or 135 of this chapter and operating that make and model aircraft under part 121 of this chapter or operating that make and model under part 135 of this chapter and maintaining it under §135.411(a)(2) of this chapter.

(2) An approved aircraft inspection program approved under §135.419 of this chapter and currently in use by a person holding an operat ing certificate issued under part 135 of this chapter.

(3) A current inspection program recommended by the manufacturer.

(4) Any other inspection program established by the registered owner or operator of that airplane or turbine

- powered rotorcraft and app roved by the Administrator under paragraph (g) of this section.However, the Administrator may require revision of this inspection program in accordance with the

provisions of §91.415.

Each operator shall include in the selected program the name and addres s of the person responsible for scheduling the inspections required by the program and make a copy of that program available to the person performing inspections on the aircraft and, upon request, to the Administrator.

(g) Inspection program approved under paragraph (e) of this section. Each operator of an airplane
or turbine

- powered rotorcraft desiring to establish or change an approved inspection program under paragraph (f)(4) of this section must submit the program for approval to the local FAA Flight St andards district office having jurisdiction over the area in which the aircraft is based. The program must be in writing and include at least the following information:

(1) Instructions and procedures for the conduct of inspections for the particular make and model airplane or turbine

- powered rotorcraft, including necessary tests and checks. The instructions and procedures must set forth in detail the parts and areas of the airframe, engines, propellers, rotors, and appliances, including survival and emerge ncy equipment required to be inspected.

(2) A schedule for performing the inspections that must be performed under the program expressed in terms of the time in service, calendar time, number of system operations, or any combination of these.

(h) Changes f

rom one inspection program to another. When an operator changes from one inspection program under paragraph (f) of this section to another, the time in service, calendar times, or cycles of operation accumulated under the previous program must be applied i n determining inspection due times under the new program.

§91.417 Maintenance re cords.

(a) Except for work performed in accordance with §§91.411 and 91.413, each registered owner or operator shall keep the following records for the periods specified in paragraph (b) of this section:

(1) Records of the maintenance, preventive maintenan ce, and alteration and records of the 100

- hour, annual, progressive, and other required or approved inspections, as appropriate, for each aircraft (including the airframe) and each engine, propeller, rotor, and appliance of an aircraft. The records must
in clude

—
(i) A description (or reference to data acceptable to the Administrator) of the work performed; and

(ii) The date of completion of the work performed; and

(iii) The signature, and certificate number of the person approving the aircraft for return to service.

(2) Records containing the following information:

(i) The total time in service of the airframe, each engine, each propeller, and each rotor.

(ii) The current status of life

- limited parts of each airframe, engine, propeller, rotor, and appliance.

(iii) The time since last overhaul of all items installed on the aircraft which are required to be overhauled on a specified time basis.(iv) The current inspection status of the aircraft, including the time since the last inspection

required by the inspection program under which the aircraft and its appliances are maintained.

(v) The current status of applicable airworthiness directives (A D) and safety directives including, for each, the method of compliance, the AD or safety directive number and revision date. If the AD or safety directive involves recurring action, the time and date when the next action is required.

(vi) Copies of the for ms prescribed by §43.9(d) of this chapter for each major alteration to the airframe and currently installed engines, rotors, propellers, and appliances.

(b) The owner or operator shall retain the following records for the periods prescribed:

(1) The record s specified in paragraph (a)(1) of this section shall be retained until the work is repeated or superseded by other work or for 1 year after the work is performed.

(2) The records specified in paragraph (a)(2) of this section shall be retained and transfer red with the aircraft at the time the aircraft is sold.

(3) A list of defects furnished to a registered owner or operator under §43.11 of this chapter shall be retained until the defects are repaired and the aircraft is approved for return to service.

(c) The owner or operator shall make all maintenance records required to be kept by this section available for inspection by the Administrator or any authorized representative of the National Transportation Safety Board (NTSB). In addition, the owner or operat or shall present Form 337 described in paragraph (d) of this section for inspection upon request of any law enforcement officer.

(d) When a fuel tank is installed within the passenger compartment or a baggage compartment pursuant to part 43 of this chapter , a copy of FAA Form 337 shall be kept on board the modified aircraft by the owner or operator.

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 section and Part 43 apply only to aircraft with an airworthiness certificate, these sections will not apply to the applicant. The operator pursuant to the flight manual and operating handbook will accomplish maintenance. An equivalent level of safety will be achieved because these small UASs are very limit ed in size and will carry a small payload and operate only in restricted 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 Manual, the opera tor 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 air craft in an airworthy condition to provide the equivalent level of safety.

********* 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 se eks an exemption from the following
rules:14 C.F.R. §21, subpart H; 14 C.F.R 45.23(b);14 C.F.R. §§ 61.113( a) & (b);91.7 (a); 91.9 (b)

(2);91.103(b);91.109; 91.119; 91.121; 91.151(a);91.203(a) and (b); 91.405 (a);91.407 (a) (1); 91.409 (a) (2); 91.409 (a ) (2) and 91.417 (a) & (b) to operate commercially a small unmanned vehicle (55lbs or less).

Approval of exemptions allowing commercial operations of sUASs, will enhance safety by reducing risk. Conventional operations, using jet or piston power aircraft , operate at extremely low altitudes just feet from the subjects being filmed and in extreme proximity to people and structures and present the risks associated with vehicles that weigh in the neighborhood of 4,000lbs, carrying large amounts of jet A or

ot her fuel. Such aircraft must fly to and from the operational 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 operation site 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 the exemptions requested herein, including exempting the applicant from the requirements of Part 21 and allowing commercial operations. These lightw eight aircraft operate at slow speeds, close to the ground, and in a sterile environment and, as a result, are far safer than conventional operations conducted with turbine helicopters operating in close proximity to the ground and people.

Privacy
All f lights will occur over private or controlled access property with the property owner’s prior consent and knowledge. Filming will be of people who have also consented to being filmed or otherwise have agreed to be in the area where filming will take place. The grant of this exemption request will provide improved safety in both day and night operations. Satisfaction of the criteria provided in Section 333 of
the Reform Act of 2012

- size, weight, speed, operating capabilities, proximity to airports and popula ted 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.

Satisfaction of the criteria provided in Section 333 of the Reform Act of 2012

-- size, weight, speed, operating capabilities, proximity to airports and p opulated 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 sUAS in our clients ’ specified industr ies

.

Sincerely,

President / CEO Specialized Project Services, Inc.

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DEPARTMENT OF TRANSPORTATION FEDERAL AVIATION ADMINISTRATION CERTIFICATE OF WAIVER OR AUTHORIZATION
ISSUED TO Specialized Project Services, Inc. 401 East 8th Street, Suite 214 #914 Sioux Falls, SD 57103 This certificate is issued for the operations specifically described hereinafter. No person shall conduct
any operation pursuant to the authority of this certificate except in accordance with the standard and special provisions contained in this certificate, and such other requirements of the Federal Aviation Regulations not specifically waived by this certificate

. OPERATIONS AUTHORIZED Operation of Phantom 2 Vision+ Unmanned Aircraft Systems at or below 200 feet Above Ground Level (AGL) for the purpose of aerial data collection

. LIST OF WAIVED REGULATIONS BY SECTION AND TITLE N/A STANDARD PROVISIONS 1. A copy of the application made for this certificate shall be attached and become a part hereof. 2. This certificate shall be presented for inspection upon the request of any authorized representative of the Federal Aviation Administration, or of any State or municipal official charged with the duty of enforcing local laws or regulations. 3. The holder of this certificate shall be responsible for the strict observance of the terms and provisions containe d herein. 4. This certificate is nontransferable.
Note

- This certificate constitutes a waiver of those Federal rules or regulations specifically referred to above. It does not constitute a waiver of any State law or local ordinance. SPECIAL PROVISIONS Special Provisions are set forth and attached. This certificate FAA

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- 333E is effective from June 23 , 2015 to June 3 0 , 2017 and is subject to cancellation at any time upon notice by the Administrator or his/her authorized representative.

BY DIRECTION OF THE ADMINISTRATOR

/S/

FAA Headquarters, AJV

- 115 Jacqueline R. Jackson (Region) (Signature)

June 1 5 , 2015 Mana ger, UAS Tactic al Operations Section (Date) (Title)

FAA Form 7711

- 1 (7

- 74)

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STANDARD PROVISIONS

A. General

.

1. The approval of this COA is effective only with an approved FAA Gr ant of Exemption.

2. A copy of the COA including the special limitations must be immediately available to all operational personnel at each operating location whenever UAS operations are being conducted.

3. This authorization may be canceled at any time by the Administrator, the person authorized to grant the authorization, or the representative designated to monitor a specific operation. As a general rule, this authorization may be canceled when it is no longer required, there is an abuse of its provisions, or when unforeseen safety factors develop. Failure to comply with the authorization is cause for cancellation. The operator will receive written notice of cancellation.

B. Safety of Flight

.

1. The operator or pilot in command (PIC) is responsible for halting or canceling activity in the COA area if, at any time, the safety of persons or property on the ground or in the air is in jeopardy, or if there is a failure to comply with the terms or conditions of this authorization

.

See

- and

- Avoid

Unmanned aircraft ha ve no on

- board pilot to perform see

- and

- avoid responsibilities; therefore, when operating outside of active restricted and warning areas approved for aviation activities, provisions must be made to ensure an equivalent level of safety exists for unmanned o perations consistent with 14 CFR Part 91 §91.111, §91.113 and §91.115.

a. The pilot in command (PIC) is responsible:

• To remain clear and give way to all manned aviation operations and activities at all times,

• For the safety of persons or property on the surface with respect to the UAS, and

• For compliance with CFR Parts 91.111, 91.113 and 91.115

b. UAS pilots will ensure there is a safe operating distance between aviation activities and unmanned aircraft (UA) at all times.

c. Visual observers must be us ed at all times and maintain instantaneous communication with the PIC.

d. The PIC is responsible to ensure visual observer(s) are:

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• Able to see the UA and the surrounding airspace throughout the entire flight, and

• Able to provide the PIC with the UA’s f light path, and proximity to all aviation activities and other hazards (e.g., terrain, weather, structures) sufficiently for the PIC to exercise effective control of the UA to prevent the UA from creating a collision hazard.

e. Visual observer(s) must be able to communicate clearly to the pilot any instructions required to remain clear of conflicting traffic

.

2. Pilots are reminded to follow all federal regulations e.g. remain clear of all T emporary Flight Restrictions , as well as following the exemption g ranted for their operation.

3. The operator or delegated representative must not operate in Prohibited Areas, Special Flight Rule Areas or, the Washington National Capital Region Flight Restricted Zone. Such areas are depicted on charts available at http://www.faa.gov/air_traffic/flight_info/aeronav/

. Additionally, aircraft operators should beware of and avoid other areas identified in Notices to Airmen (NOTAMS) which restricts operations in proximity to Power Plants, Electric Substations, Dams, Wind Farms, Oil Refineries, Industrial Complexes, National Parks, The Disney Resorts, Stadiums, Emergency Services, the Washington DC Metro Flight Restricted Zone, Military or other Federal Faciliti es.

4. All aircraft operated in accordance with this Certificate of Waiver/Authorization must be identified by serial number, registered in accordance with 14 CFR part 47, and have identification (N

- Number) markings in accordance with 14 CFR part 45, Subpart C. Markings must be) as large as practicable

.

C. Reporting Requirements

1. Documentation of all operations associated with UAS activities is required regardless of the airspace in which the UAS operates. NOTE: Negative (zero flights) reports are required.

2. Th e operator must submit the following information through mailto:9

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- UASOrganization@faa.gov on a monthly basis:

a. Name of Operator , Exemption number and Aircraft registration number

b. UAS type a nd model

c. All operating locations, to include location city/name and latitude/longitude

d. Number of flights (per location, per aircraft)

e. Total aircraft operational hours

f. Takeoff or Landing damage

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g. Equipment malfunctions. Reportable malfunctions include, but ar e not limited to the following:
(1) On

- board flight control system
(2) Navigation system
(3) Powerplant failure in flight
(4) Fuel system failure
(5) Electrical system failure
(6) Control station failure

3. The number and duration of lost link events (control, performance and heal th monitoring, or communications) per UA per flight.

D. Notice to Airmen (NOTAM).
A distant (D) NOTAM must be issued when unmanned aircraft operations are being conducted. This requirement may be accomplished:

a. Through the operator ’s local base operations or NOTAM issuing authority, or

b. By contacting the NOTAM Flight Service Station at 1

- 877

- 4

- US

- NTMS (1

- 877

- 487

- 6867) not more than 72 hours in advance, but not less than 24 hours prior to the operation, unless otherwise authorized as a special provision. The iss uing agency will require the:
(1) Name and address of the pilot filing the NOTAM request
(2) Location, altitude, or operating area
(3) Time and nature of the activity.
(4) Number of UAS flying in the operating area.

AIR TRAFFIC CONTROL SPECIAL PROVISIONS

A. Coordination R equirements.

1. Operators and UAS equipment must meet the requirements (communication, equipment and clearance) of the class of airspace they will operate in.

2. Operator filing and the issuance of required distance (D) NOTAM, will serve as advance ATC facility notification of UAS operations in an area.

3. Operator must cancel NOTAMs when UAS operations are completed or will not be conducted.

4. Coordination and deconfliction between Military Training Routes (MTRs) is the operator ’s responsibility. When identifying an operational area the operator must

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evaluate whether an MTR will be affected. In the event the UA S operational area overlaps (5 miles either side of centerline) an MTR

, the operator will contact the scheduling agency 24 hours in advance to coordinate an d deconflict. Approval from the scheduling agency is not required. Scheduling agencies are listed in the Area Planning AP/1B Military Planning Routes North and South America , if unable to gain access to AP/1B contact the FAA at email address mailto:9

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- UASOrganization@faa.gov with the IR/VR routes affected and the FAA will provide the scheduling agency information. If prior coordination and deconfl iction does not take place 24 hours in advance, the operator must remain clear of all MTRs.

B. Communication Requirements

.

1. When operating in the vicinity of an airport without an operating control tower

, announce your operations in accordance with the FAA Ae ronautical Information Manual (AIM) 4

- 1

- 9 Traffic Advisory Practices at Airports without Operating Control Towers.

C. Flight Planning Requirements

.

Note: For all UAS requests not covered by the conditions listed below, t h e e x e mption hold e r m a y a p p l y f or a n e w A ir Tra f f ic O r g a ni z a tion (ATO ) C e r ti f i ca te of W a i v e r or A utho r i z a tion ( C O A) at https://oeaaa.faa.gov/oeaaa/external/uas/portal.jsp

Th is COA will allow small UAS (55 pounds or less) operations during daytime V FR

conditions under the following conditions and limitations :

(1) At or below 200 feet AGL; and

(2) Beyond the following distances from the airport reference point (ARP) of a public use

ai rport, heliport, gliderport, seaplane base and military airports listed in the
Airport/Facility Directory, Alaska Supplement, or Pacific Chart Supplement of the
U.S. Government Flight Information Publications.

a) 5 nautical miles (NM) from an airport having an operational control tower; or

b) 3 NM from an ai rport having a published instrument flight procedure, but not having an operational control tower; or

c) 2 NM from an airport not having a published instrument flight procedure or an operational control tower; or

d) 2 NM from a heliport , gliderport or seaplane b ase

D. Emergency/Contingency Procedures

.

1. Lost Link/Lost Comm unications Procedures:

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• If the UAS loses communications or loses its GPS signal, the UA must return to a

pre

- determined location within the private or controlled

- access property and land.

• The PIC m ust abort the flight in the event of unpredicted obstacles or emergencies.

2. Any incident, accident, or flight operation that transgresses the lateral or vertical boundaries defined in this COA must be reported to the FAA via email at mailto:9

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- UASOrganization@faa.gov within 24 hours. Accidents must be reported to the National Transportation Safety Board (NTSB) per instructions contained on the NTSB We b site: www.ntsb.gov

AUTHORIZATION This Certificate of Waiver or Authorization does not, in itself, waive any Title 14 Code of Federal Regulations

, nor any state law or local ordinance. Should the proposed operation conflict with any state law or local o rdinance, or require permission of local authorities or property owners, it is the responsibility of the operator to resolve the matter. This COA does not authorize flight within Special Use a irspace without approval from the scheduling a gency. The

opera tor is hereby authorized to operate the small Unmanned Aircraft System in the National Airspace System.

Small UAS Operations 200 feet and below for Co mmercial Purposes March 201 5