U.S. Department of Transporta1on Docket Management System 1200 New Jersey Avenue, SE Washington, D.C. 20590

Jaime Cardona Malc Studios Inc, 2574 SW 27th Lane Coconut Grove, FL 33133

BASIS	FOR	PETITION

Pe11oner, Malc	Studios	Inc , pursuant to the provisions of the Federal Avia1on Regula1ons (14 C.F.R. § 11.61) and the FAA Moderniza1on and Reform Act of 2012 (FMRA), Sec1on 333, Special	Rules	for	Certain	Unmanned	Aircra6 Systems , hereby pe11ons the Administrator to commercially operate the TBS Discovery, in the Na1onal Airspace System (NAS), and for an exemp1on from the requirements of :

14	C.F.R	§§	61.113(a)	&	(b)	14	CFR	45.23(b) 91.7(a),	91.121, 91.151(b), 91.405(a),	91.407(a)(1),	91.409(a)(1)	&	(a)(2),	and	91

Name	And	Address	Of	The	PeNNoner The name and address of the Pe11oner and Point of Contact is:

Jaime Cardona Malc Studios 2574 SW 27th Lane, Coconut Grove FL, 33133 Business Phone: 305-854-1810 Direct line305-854-1810 Email: jaime@malcstudios.com

PREFACE :
The Federal Avia1on Act expressly grants the FAA the authority to issue exemp1ons. This statutory authority by its terms includes exemp1ng civil aircraa, as the term is defined under §40101 of the Act, that includes UAS, from the requirement that all civil aircraa must have a current airworthiness cer1ficate.

1The Administrator may grant an exemp1on from a requirement of a regula1on prescribed under subsec1on (a) or (b) of this sec1on or any sec1ons 44702 - 44716 of this 1tle if the Administrator finds the exemp1on 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). Malc Studios,

Malc Studios proposes to use one UAS; 1) TBS Discovery, for commercial photography, cinematography, inspec1ons or surveying. This aircraa has four rotors and four motors in a quadcopter configura1on (X4). It is only capable of ver1cal take off and landing. This UAS weighs less than 55 lbs. including payload. Can fly, under normal condi1ons at a speed of no more than 42.8 knots and has the capability to hover, and move in the ver1cal and horizontal plane simultaneously. This UAS is equipped with GPS and auto-return func1on to the predetermined safe landing area as well as allowing reading of magne1c interference that can cause loss of GPS signal. The UAS will operate only in visual line of sight and will operate only within a sterile closed-set area of a residen1al or commercial lis1ng, open land and water, open desolate areas near rural farms or a closed-set special event. Such opera1ons will insure that the UAS will “not create a hazard to users of the na1onal airspace system or the public.” (Reform Act Sec1on 333 (b)).

This exemp1on applica1on is expressly submiied to fulfill Congress’ goal in passing Sec1on 333(a) through (c) of the Reform Act. This law directs the Secretary of Transporta1on to consider whether certain unmanned aircraa systems may operate safely in the na1onal airspace system (NAS) before comple1on of the rule making required under Sec1on 333 of the Reform Act. In making this determina1on, 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 na1onal security in light of the following:

• The UAS’s size, weight, speed and opera1onal capability;

• Opera1on of the UAS in close proximity to airports and populated areas; and

• Opera1on of the UAS within visual line of sight of the operator.

Reform Act § 333 (a). Secretary determines that such vehicles “may operate safely in the na1onal airspace system, the Secretary shall establish requirements for the safe opera1on of such aircraa in the na1onal airspace system.” Id. §333(c).

The Federal Avia1on Act expressly grants the FAA the authority to issue exemp1ons. This statutory authority by its terms includes exemp1ng civil aircraa, as the term is defined under §40101 of the Act, that includes UAS, from the requirement that all civil aircraa must have a current airworthiness cer1ficate.

The Administrator may grant an exemp1on from a requirement of a regula1on prescribed under subsec1on (a) or (b) of this sec1on or any sec1ons 44702 - 44716 of this 1tle if the Administrator finds the exemp1on 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).

RELIEF	OVERVIEW

Given the small size of the UAS involved and the restricted sterile 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 exemp1on, allow commercial opera1ons of UASs to commence immediately. Also

2due to the size of the UASs and the restricted areas in which the relevant UAS will operate, approval of the applica1on presents no na1onal security issue.
Given the clear direc1on in Sec1on 333 of the Reform Act, the authority contained in the Federal Avia1on Act, as amended; the strong equivalent level of safety surrounding the proposed opera1ons, and the significant public benefit, including enhanced safety, reduc1on in environmental impacts, including reduced emissions associated with allowing UASs for aerial inspec1ons, surveying and photography and cinematography, the grant of the requested exemp1ons is in the public interest. Accordingly, the applicant respecmully requests that the FAA grant the requested exemp1on without delay.

AIRCRAFT	AND	EQUIVALENT	LEVEL	OF	SAFETY

Malc Studios Inc proposes that the exemp1on requested herein apply to civil aircraa that have the characteris1cs and that operate with the limita1ons listed herein. These limita1ons provide for at least an equivalent or even higher level of safety to opera1ons under the current regulatory structure because the proposed opera1ons represent a safety enhancement to the already safe aerial inspec1ons, surveying and photography and cinematography opera1ons conducted with conven1onal aircraa.

These limita1ons and condi1ons to which Malc Studios Inc agrees to be bound when conduc1ng commercial opera1ons under an FAA issued exemp1on include:

1. The UAS will weigh less than 55 lbs.
2. Flights will be operated within visual line of sight of a pilot and/or observer.

3. Maximum total flight 1me for each opera1onal flight will be 13 minutes or less.

Flights will be terminated at 25% baiery power reserve should that occur prior to the 13 minute limit.

4. Flights will be operated at an al1tude of no more than 400 feet AGL or, not more than 200 feet above an elevated plamorm for which filming is planned.

5. Minimum crew for each opera1on will consist of the UAS Pilot, the Visual Observer, and or Camera Operator.

6. Addi1onal camera(s) will be filming UAS in flight at applicable 1mes.

7. The UAS will only operate within a confined sterile closed-set area with a set safety perimeter, the boundaries of which will be determined by the UAS PIC based on the site-specific ac1vi1es and speed of the UAS required for the opera1on, and coordinated with the jurisdic1onal FAA FSDO and local government officials as applicable.

8. A briefing will be conducted in regards to the planned UAS opera1ons prior to each day’s produc1on ac1vi1es. It will be mandatory that all personnel who will be performing du1es within the boundaries of the safety perimeter be present for this briefing.

39. The UAS Pilot and/or Aerial Coordinator will ensure this safety perimeter that only consen1ng personnel will be allowed within 100 feet of the UAS opera1on by not permirng anyone who had not been briefed or whom is not involved in produc1on to be in the closed-set area, and 500 a away from people not directly involved in opera1ons.

10. Observer and PIC will at all 1mes be able to communicate by voice and/or two way radio communica1on system.

11. Wriien and/or oral permission from the relevant property holders will be obtained.

12. If applicable, all required permissions and permits will be obtained from territorial, state, county or city jurisdic1ons, including local law enforcements, fire, or other appropriate governmental agencies.

13. If the UAS loses communica1ons or loses its GPS signal, the UAS will have the capability to return to a predetermined loca1on within the Security Perimeter and land safely.

14. The UAS will have the capability to abort flight in case of unpredicted obstacles or emergencies.

14	C.F.R.	Part	21,	Subpart	H:	Airworthiness	CerNficates	14	C.F.R.	§91.203	(a)	(1)
Subpart H, en1tled Airworthiness Cer1ficates, establishes the procedural requirements for the issuance of airworthiness cer1ficates as required by FAR §91.203 (a) (1). Given the size and limited opera1ng area associated with the aircraa to be u1lized by the Applicant, an exemp1on from Part 21 Subpart H meets the requirements of an equivalent level of safety under Part 11 and Sec1on 333 of the Reform Act. The Federal Avia1on Act (49 U.S.C.§44701 (f)) and Sec1on 333 of the Reform Act both authorize the FAA to exempt aircraa from the requirement for an airworthiness cer1ficate, upon considera1on of the size, weight, speed, opera1onal capability, and proximity to airports and populated areas of the par1cular UAS. In all cases, an analysis of these criteria demonstrates that the UAS operated without an airworthiness cer1ficate, in the restricted environment and under the condi1ons proposed will be at least as safe, or safer, than a conven1onal aircraa (fixed wing or rotorcraa) opera1ng with an airworthiness cer1ficate without the restric1ons and condi1ons proposed.

In considera1on of the speed, weight, size, and limited opera1ng area associated with the unmanned aircraa and its opera1on, Malc Studios Inc opera1on of TBS Discovery, UAS meets the condi1ons of FMRA Sec1on 333 and therefore, will not require an airworthiness cer1ficate in accordance with 14 C.F.R. Part 21, Subpart H.

Accordingly, Malc Studios Inc requests relief from Sec1ons 91.405(a), 91.407(a)(1), 91.409(a)(1) & (a)(2), and 91.417(a) & (b), as these sec1ons set forth requirements for maintenance that only apply to aircraa with an airworthiness cer1ficate. Malc Studios Inc submits that the requested relief is proper since an equivalent level of safety will be ensured. Malc Studios Inc will use experienced personnel or technicians as needed to perform maintenance, altera1ons, or preven1ve maintenance on the UASs using the methods, techniques, and prac1ces prescribed in the opera1ng documents (i.e., Monthly Maintenance Log, and TBS Discovery Instruc1on Manual). Furthermore, Malc Studios Inc will document and maintain all maintenance records for the TBS Discovery UAS.

Relief from certain requirements of Sec1on 61.113(a) and (b), en1tled Private	pilot	privileges	and	limita;ons:	Pilot in	command , is requested by Malc Studios Inc to the extent necessary to allow a Pilot in Command (PIC) meet or exceed the described requirements of opera1ons set by manufacturer, and who has demonstrated, that the PIC is

4able to safely operate the TBS Discovery UAS in a manner consistent with this exemp1on, including evasive and emergency maneuvers and maintaining appropriate distances from people, vessels, vehicles and structures.

Malc Studios Inc seeks relief from Sec1on 91.7(a), en1tled Civil	aircra6	airworthiness , because the TBS Discovery UAS do not require an airworthiness cer1ficate in accordance with 14 C.F.R. Part 21, Subpart H. As such, Malc Studios Inc submits that he will ensure that the TBS Discovery UAS is in an airworthy condi1on, prior to every flight, by determining that the UASs are in compliance with the opera1ng documents (i.e., Monthly Maintenance Log, and TBS Discovery Instruc1on Manual), and that the aircraa are in a condi1on for safe flight.

Malc Studios Inc also seeks an exemp1on from the requirements of Sec1on 91.121, en1tled Al;meter	Se?ngs , as the TBS Discovery will not have a typical barometric al1meter onboard. However, al1tude informa1on of the TBS Discovery will be provided to the PIC via Global Posi1oning System (GPS) equipment and radio communica1ons telemetry data link, which downlinks from the UA to the GCS for ac1ve monitoring of the flight path. This al1tude informa1on, combined with Malc Studios Inc's opera1on of the TBS Discovery UAS within visual line of sight, at or below 500 feet AGL, will ensure a level of safety equivalent to Sec1on 91.121.

Addi1onally, Malc Studios Inc seeks an exemp1on from the requirements of Sec1on 91.151(b), en1tled Fuel requirements	for	flight	in	VFR	condi;ons . Malc Studios Inc submits that safety will not be affected by opera1on of the TBS Discovery during daylight hours in visual meteorological condi1ons (VMC) under visual flight rules (VFR), with enough baiery power to fly for a total dura1on of approximately 13 minutes to the first point of intended landing and, assuming normal cruising speed, to fly aaer that for at least 5 minutes.

EXTENT	AND	REASONING	WHY	Malc	Studios	Inc	SEEKS	RELIEF	FROM	THE	LISTED	SECTIONS	ABOVE:

1. SecNon	61.113(a)	&	b). Relief from Sec1on 61.113(a) and (b) en1tled Private	pilot	privileges	and	limita;ons: Pilot	in	command , is requested to the extent necessary to allow a PIC meet all requirements as described in the TBS Discovery owner’s manual to conduct the proposed UAS flight opera1ons for compensa1on or hire. This relief is requested since the limita1ons set forth in Sec1on 61.113(a) and (b) state that a private pilot may, for compensa1on or hire, act as PIC of an aircraa in connec1on with any business or employment if: (1) The flight is only incidental to that business or employment; and (2) The aircraa does not carry passengers or property for compensa1on or hire. As set forth more fully below, Malc Studios Inc submits that an equivalent level of safety will be maintained because no PIC will be allowed to operate the TBS Discovery UAS unless that PIC has demonstrated that the PIC is able to safely operate either the TBS Discovery UAS in a manner consistent with the opera1ons specifica1ons as described in this exemp1on, including evasive and emergency maneuvers, as well as maintaining appropriate distances from people, vessels, vehicles and structures. Further, Malc Studios Inc submits that all flights of the TBS Discovery UAS, conducted by the PIC pursuant to the grant of this Pe11on: (1) will be incidental to Malc Studios Inc's business; and (2) will not carry passengers or property for compensa1on or hire.

2. 91.7(a). Relief from Sec1on 91.7(a) en1tled Civil	aircra6	airworthiness , is requested to the extent required to allow Malc Studios Inc to determine that the TBS Discovery UAS are in airworthy condi1on prior to every flight by ensuring that the UAS is in compliance with the opera1ng documents (i.e., the Malc Studios Inc Opera1ons Manual, Monthly Maintenance Log, and TBS Discovery Instruc1on Manual). Malc Studios Inc seeks the requested relief because the TBS Discovery UAS does not require an airworthiness cer1ficate in accordance with

514 C.F.R. Part 21, Subpart H. Therefore, Malc Studios Inc will ensure that the TBS Discovery UAS are in airworthy condi1on based upon its compliance with the opera1ng documents (i.e., Monthly Maintenance Log, and TBS Discovery Instruc1on Manual) prior to every flight, and further, determine that the aircraa are in condi1on for safe flight, as stated in the condi1ons and limita1ons below.

3. 3.	91.121. Relief from Sec1on 91.121, en1tled Al1meter serngs, may be required to allow flight opera1ons of the TBS Discovery UAS, which u1lize a barometric pressure sensor, GPS equipment, and a radio communica1ons telemetry data link to downlink al1tude informa1on from the UA to the PIC at the ground control sta1on (GCS). Since the FAA requires that any al1tude informa1on concerning UAS opera1ons be reported to air traffic control (ATC) in feet above ground level (AGL), Malc Studios Inc seeks the requested relief because the TBS Discovery UA al1meter may be set on the ground to zero feet AGL, rather than the local barometric pressure or field al1tude, before each flight. Considering the limited al1tude of the proposed opera1ons, relief from 14 CFR 91.121 is sought to the extent necessary to comply with the applicable condi1ons and limita1ons stated below. As more fully set forth herein, an equivalent level of safety will be maintained since the TBS Discovery UA are equipped with a barometric pressure sensor and GPS equipment, which automa1cally ensures that a ground level pressure serng will be established prior to each flight, and provides the PIC with al1tude informa1on of the UA on the heads-up display of the GCS.

4. 91.151(b). Relief from Sec1on 91.151(b) en1tled Fuel requirements for flight in VFR condi1ons, is requested to the extent required to allow flights of the baiery powered TBS Discovery UA during daylight hours in visual meteorological condi1ons (VMC), under visual flight rules (VFR), for a total dura1on of 13 minutes to the first point of intended landing and, assuming normal cruising speed, to fly aaer that for at least 5 minutes. Malc Studios Inc seeks the requested relief because without an exemp1on from Sec1on 91.151(b), the flight 1me dura1on of the baiery powered TBS Discovery UA will severely constrain the prac1cality of any aerial video or s1ll photo flight opera1ons that Malc Studios Inc proposes to conduct pursuant to this Pe11on. Significantly, as set forth below, the technical specifica1ons of the TBS Discovery UAS, the TBS Discovery opera1ng documents, and Malc Studios Inc's proposed opera1ng limita1ons, ensure that Malc Studios Inc will safely operate the baiery powered TBS Discovery UA during daylight hours in visual meteorological condi1ons (VMC), under visual flight rules (VFR), with enough baiery power to fly for a total dura1on of 13 minutes to the first point of intended landing and, assuming normal cruising speed, to fly aaer that for at least 5 minutes.

14	CFR	45.23(b)

Marking of the Aircraa;

Applicable codes of Federal Regula1on require aircraa to be marked according to certain specifica1ons. Malc Studios Inc UASs are, by defini1on, unmanned. They therefore do not have a cabin, cockpit or pilot sta1on on which to mark certain words or phrases. Further, two inch leiering is difficult to place on such small aircraa. Regardless, Malc Studios Inc will mark its UAS in the largest possible leiering by placing the "N "number on its fuselage as required by 14 CFR 45.29 (f) so that the pilot, technician, spoier and others working with the UAV will see the markings. The FAA has previously issued exemp1ons to this regula1on through- ExempNon	No	10167	and	10700

65. 91.405(a),	91.407(a)(1),	91.409(a)(1)	&	(a)(2),	And	91.417(a)	&	(b). Since Sec1ons 91.405(a), 91.407(a)(1), 91.409(a)(1) & (a)(2), and 91.417(a) & (b) only apply to aircraa with an airworthiness cer1ficate, Malc Studios Inc requests relief from these Sec1ons because the TBS Discovery UAS do not require airworthiness cer1ficates. As set forth more fully below, the TBS Discovery UAS meet the condi1ons of FMRA Sec1on 333 for opera1on without an airworthiness cer1ficate. Accordingly Malc Studios Inc will use trained technicians to perform maintenance, altera1ons, or preven1ve maintenance on the UASs using the methods, techniques, and prac1ces prescribed in the UAS opera1ng documents (i.e., the Malc Studios Inc Aerial Opera1ons Manual, Monthly Maintenance Log, and TBS Discovery Instruc1on Manual). Furthermore, Malc Studios Inc will document and maintain all maintenance records for the TBS Discovery UAS.

The Reasons for gran1ng my request are en1rely beneficial to the public and community as a whole.

Gran1ng the present Pe11on will further the public interest by allowing Malc Studios Inc to safely, efficiently, and economically perform aerial video and photography of construc1on sites, real estate, survey and inspect over certain areas of the United States. To assist other businesses in helping them grow from my services or rather, to fulfill their needs, whatever it may be.

This exemp1on applica1on is expressly submiied to fulfill Congress’ goal in passing Sec1on 333(a) through (c) of the Reform Act. This law directs the Secretary of Transporta1on to consider whether certain unmanned aircraa systems may operate safely in the na1onal airspace system (NAS) before comple1on of the rule making required under Sec1on 332 of the Reform Act. In making this determina1on, the Secretary is required to determine which types of UAS do not create a hazard to users of the NAS or the public or pose a threat to na1onal security in light of the following:

• The UAS’s size, weight, speed and opera1onal capability;

• Opera1on of the UAS in close proximity to airports and populated areas; and

• Opera1on of the UAS within visual line of sight of the operator.

Reform Act § 333 (a). Lastly, id. the Secretary determines that such vehicles “may operate safely in the na1onal airspace system, the Secretary shall establish requirements for the safe opera1on of such aircraa in the na1onal airspace system.” Id. §333(c).

Given the small size of the UAS involved and the restricted sterile 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 exemp1on, allow commercial opera1ons of UASs to commence immediately. Also due to the size of the UASs and the restricted areas in which the relevant UAS will operate, approval of the applica1on presents no na1onal security issue. Given the clear direc1on in Sec1on 333 of the Reform Act, the authority contained in the Federal Avia1on Act, as amended; the strong equivalent level of safety surrounding the proposed opera1ons, and the significant public benefit, including enhanced safety, reduc1on in environmental impacts, including reduced emissions associated with allowing UASs for movie and television opera1ons, the grant of the requested exemp1ons is in the public interest. Accordingly, the applicant respecmully requests that the FAA grant the requested exemp1on without delay.

7REASONS	BENEFICIAL	TO	THE	PUBLIC/COMMUNITY

1. The	Public	Will	Benefit	From	Decreased	CongesNon	Of	The	NAS. The TBS Discovery UA are baiery powered and serve as a safe, efficient, and economical alterna1ve to the manned aircraa tradi1onally u1lized to obtain aerial imagery. By reducing the amount of manned aircraa needed to perform aerial acquisi1ons, an exemp1on allowing the use of a TBS Discovery UAS would reduce the amount of manned aircraa in the NAS, reduce noise and air pollu1on, as well as increase the safety of life and property in the air and on the ground. Furthermore, by reducing the number of manned aircraa opera1ng in the NAS, conges1on around airports caused by arriving and depar1ng aircraa will be reduced. The TBS Discovery UA do not require an airport to takeoff or land. Likewise, a reduc1on of manned aircraa conduc1ng aerial video and photography missions would result in fewer aircraa that must be handled by air traffic control during the ground, takeoff, departure, arrival, and landing phases of flight opera1ons.

2. The	Public	Will	Benefit	From	The	Safety	And	Efficiency	Of	The	TBS	Discovery	UAS. Conduc1ng aerial acquisi1ons with the TBS Discovery UAS, instead of manned aircraa, will greatly benefit the public by dras1cally reducing the levels of air and noise pollu1on generated during tradi1onal aerial video and s1ll photography flight opera1ons. By using baiery power and electric motors, the TBS Discovery UAS produce no air pollu1on, and is the most viable environmentally conscious alterna1ve to the cabin class, six cylinder internal combus1on engine aircraa that are typically u1lized for aerial video and photography, while burning approximately 20-30 gallons per hour of leaded avia1on fuel. The TBS Discovery UA, while reducing the carbon footprint of aerial acquisi1ons, also eliminates noise pollu1on, as the UAs are propelled by baiery powered electric motors, rather than an internal combus1on engine. By using the TBS Discovery UAS to perform aerial acquisi1ons, the substan1al risk to life and property in the air and on the ground, which is usually associated with tradi1onal manned aircraa flight opera1ons, will be substan1ally reduced or completely eliminated. Aside from the lack of flight crew members located on-board the aircraa, the TBS Discovery UA (weighing approximately 6 pounds 7 ounces, at their maximum gross weights with length of 16 inches, widths of 17 inches, and with no fuel on board), has less physical poten1al for collateral damage to life and property on the ground, and in the air, compared to the manned aircraa that typically conduct similar opera1ons (weighing approximately 6,000 pounds with a wingspan of approximately 42 feet, a length of 34 feet, and a fuel capacity of 180 gallons).

3. Performing	Aerial	Video	and	Photography,	Surveys	and	InspecNons,	OperaNons	With	The	TBS	Discovery	UAS Will	Benefit	The	Economy. In addi1on to being safe and efficient, the TBS Discovery UAS are also an economical alterna1ve to using manned aircraa to conduct similar aerial opera1ons. As such, opera1on of the TBS Discovery UAS will allow United States based companies, like Malc Studios Inc, to remain compe11ve and contribute to growth of the U.S. economy. Specifically, with the rising cost of avia1on fuel and the Environmental Protec1on Agency (“EPA”) regulatory ac1ons phasing out leaded avia1on fuels, U.S. owned and operated companies must adopt new and alterna1ve technology in order to remain compe11ve. Opera1ng the baiery powered TBS Discovery UAS is one such technology that not only allows companies greater opera1onal flexibility compared to manned aircraa, but provides such flexibility without the high opera1onal cost of a tradi1onal manned aircraa. By opera1ng the TBS Discovery UAS, companies such as Malc Studios Inc, can remain compe11ve and profitable, and therefore, provide greater job stability to employees and contractors, which will ul1mately contribute to growth of the U.S. economy. Improved financial performance of U.S. companies, through commercial use of the TBS Discovery UAS, provides a stable workforce that increases consumer spending; improves local, state, and

8federal tax revenues; and allows companies to invest in research and development in order to remain compe11ve both in the United States and abroad.

4. There	Are	No	Privacy	Issues. Similar to the manned aerial acquisi1on flight opera1ons that have been conducted for decades, Malc Studios Inc's proposed opera1on of the TBS Discovery UAS will not implicate any privacy issues. Specifically, the TBS Discovery UAS will be operated only in compliance with opera1ng documents (i.e., the Malc Studios Inc Aerial Opera1ons Manual, Monthly Maintenance Log, and TBS Discovery Instruc1on Manual) which requires property owner involvement as well as local law enforcement no1fica1on, and in accordance with the Federal Avia1on Regula1ons, including the minimum al1tude requirements of 14 C.F.R. § 91.119.

E.	The	Reasons	Why	GranNng	The	ExempNon	Would	Not	Adversely	Affect	Safety,	Or	How	The	ExempNon	Would Provide	A	Level	Of	Safety	At	Least	Equal	To	That	Provided	By	The	Rule	From	Which	Malc	Studios	Inc	Seeks ExempNon.

1.	Reasons	Why	The	TBS	Discovery	UA	Meet	The	CondiNons	Of	The	FAA	ModernizaNon	and	Reform	Act	of	2012 (FMRA)	SecNon	333.
In considera1on of the size, weight, speed, and limited opera1ng area associated with the unmanned aircraa and its opera1on, Malc Studios Inc opera1on of the TBS Discovery UAS meet the condi1ons of FMRA Sec1on 333, and will not require an airworthiness cer1ficate in accordance with 14 C.F.R. Part 21, Subpart H.

In seeking this exemp1on, Malc Studios Inc submits that the TBS Discovery UAS can operate safely in the NAS pursuant to FMRA Sec1on 333, as demonstrated by: (a) the characteris1cs of the TBS Discovery UAS; (b) the pilot cer1fica1on requirement; and (c) the specific opera1ng limita1ons.

a. The Specifica1ons Of The TBS Discovery UAS Demonstrate Its Safe Characteris1cs. The TBS Discovery UAS do not create a hazard to users of the NAS or the public, or otherwise pose a threat to na1onal security considering its size, weight, speed, and opera1onal capability.

a.i) Technical	SpecificaNons	Of	The	TBS	Discovery	UAS. The technical specifica1ons of the TBS Discovery UAS are set forth by the TBS Discovery Specifica1ons and Data Sheet.

a.ii) The	TBS	Discovery	UAS	Autonomous	Flight	And	NavigaNon	Modes	Enable	The	UAS	To Remain	Within	A	Defined	OperaNonal	Area. The TBS Discovery UAS may be operated in both manual and fully autonomous flight modes. A complete descrip1on of the flight and naviga1onal modes of the NAZA flight controler UAS User Manuals.

a.iii) The	DJI	NAZA	flight	controller	on	board	the	TBS	Discovery	Are	Designed	For	AutomaNc Return	To	Home	Point	Or	Hover	In	The	Event	Of	Loss	Of	The	Control	Link	Or	NavigaNon. When the Control Link is lost, the TBS Discovery UA will remain sta1onary, in flight, for 3 seconds or more. If, aaer 3 seconds, the TBS Discovery UA does not reacquire control link data from the GCS, the UAs will assume that the Control Link is lost and the UAs will return to the home posi1on (i.e., fail-safe mode) via GPS, and will descend to the takeoff posi1on and shutdown. A complete

9descrip1on of the Fail-safe Func1ons of the TBS Discovery UA are set forth in the TBS Discovery and NAZA flight controller User Manual, aiached.

a.iv) The	TBS	Discovery	GCS	And	Its	OperaNon. A complete descrip1on of the opera1on and specifica1ons of the TBS Discovery GCS and flight control soaware is provided in the TBS Discovery User Manual and NAZA flight controller User Manual, aiached.

b. Flight	OperaNons	Of	TBS	Discovery	UAS	Are	Limited	To	The	Visual	Line	Of	Sight	Of	A	CerNficated	Pilot in	Command	With	A	Safety	Observer. Malc Studios Inc will only u1lize cer1ficated pilots who possess a current and valid airman medical cer1ficate to act as a pilot in command (PIC) of the TBS Discovery UAS. Addi1onally, a safety observer will assist all pilots during flight 1me.

c. Flights	Of	TBS	Discovery	UAS	Will	Be	Conducted	Pursuant	To	Specific	OperaNng	LimitaNons. In seeking this exemp1on, Malc Studios Inc proposes to commercially operate TBS Discovery UAS for the special purpose of conduc1ng aerial video and photography over certain areas of United States, pursuant to the following specific opera1ng limita1ons:

c.1. Opera1ons authorized by this grant of exemp1on will be limited to the following aircraa described in the opera1ng documents, rotorcraa UASs weighing less than 55 pounds maximum gross weight: TBS Discovery Unmanned Aircraa Systems. Proposed opera1ons of any other aircraa will require a new pe11on or a pe11on to amend this grant.

c.2. UAS opera1ons under this exemp1on will be limited to conduc1ng opera1ons for the purpose of aerial video and photography, surveys, and inspec1ons.

c.3. The UA may not be flown at an indicated airspeed exceeding 45 knots.

c.4. The UA must be operated at an al1tude of no more than 500 feet above ground level (AGL), as indicated by the procedures specified in the opera1ng documents unless a special request is made and approved by ATC. All al1tudes reported to ATC must be in feet AGL.

c.5. The UAs must be operated within visual line of sight (VLOS) of the PIC at all 1mes. This requires the PIC to be able to use human vision unaided by any device other than correc1ve lenses, as specified on the PIC’s FAA- issued airman medical cer1ficate.

c.6. The use of first person view (FPV) by the PIC or safety observer (SO) is not permiied.

c.7. All opera1ons must u1lize a safety observer (SO). The SO may be used to sa1sfy the VLOS requirement as long as the PIC always maintains VLOS capability. The SO and PIC must be able to communicate verbally at all 1mes. Electronic messaging or tex1ng is not permiied during flight opera1ons. The PIC must be designated before the flight and cannot transfer his or her designa1on for the dura1on of the flight. The PIC must ensure that the SO can perform the func1ons prescribed in the opera1ng documents.

10c.8. The SO must not perform any other du1es beyond assis1ng the PIC with seeing and avoiding other air traffic and other ground based obstacles/obstruc1ons and is not permiied to operate the camera or other instruments.

c.9. The opera1ng documents and the grant of exemp1on must be accessible during UAS opera1ons and made available to the Administrator upon request. If a discrepancy exists between the condi1ons and limita1ons contained in the grant of exemp1on and the procedures outlined in the opera1ng documents, the condi1ons and limita1ons contained in the grant of exemp1on take precedence and must be followed. Otherwise, the operator must follow the procedures as outlined in its opera1ng documents. The operator may update or revise its opera1ng documents. It is the operator’s responsibility to track such revisions and present updated and revised documents to the Administrator upon request. The operator must also present updated and revised documents if it pe11ons for extension or amendment to the grant of exemp1on. If the operator determines that any update or revision would affect the basis upon which the FAA granted the exemp1on, then the operator must pe11on for amendment to its grant of exemp1on. The FAA’s UAS Integra1on Office (AFS-80) may be contacted if ques1ons arise regarding updates or revisions to the opera1ng documents.

c.10. Prior to each flight the PIC must inspect the UAS to ensure that it is in a condi1on for safe flight. If the inspec1on reveals a condi1on that affects the safe opera1on of the UAS, the aircraa is prohibited from opera1ng un1l the necessary maintenance has been performed and the UAS isfound to be in a condi1on for safe flight. The Ground Control Sta1on must be included in the preflight inspec1on. All maintenance and altera1ons must be properly documented in the aircraa records.

c.11. Any UAS that has undergone maintenance or altera1ons that affect the UAS opera1on or flight characteris1cs, e.g. replacement of a flight cri1cal component, must undergo a func1onal test flight. The PIC who conducts the func1onal test flight must make an entry in the aircraa records.

c.12. The pre-flight inspec1on must account for all poten1al discrepancies, e.g. inoperable components, items, or equipment, not already covered in the relevant sec1ons of the opera1ng documents.

c.13. The operator must follow the UAS manufacturer’s aircraa/component, maintenance, overhaul, replacement, inspec1on, and life limit requirements.

c.14. The operator must carry out its maintenance, inspec1ons, and record keeping requirements, in accordance with the opera1ng documents. Maintenance, inspec1on, altera1ons, and status of replacement/overhaul component parts must be noted in the aircraa records, including total 1me in service, descrip1on of work accomplished, and the signature of the authorized person returning the UAS to service.

c.15. Each UASs operated under this exemp1on must comply with all manufacturer Safety Bulle1ns.

11c.16. The authorized person must make an entry in the aircraa record of the correc1ve ac1on taken against discrepancies discovered between inspec1ons.

c.17. The PIC must meet or exceed all requirements as set forth by manufacturer in order to jus1fiably operate the TBS Discovery, or hold an equivalent pilot license approved by the FAA.

c.18. The operator may not permit any PIC to operate unless the PIC meets the operator’s qualifica1on criteria and demonstrates the ability to safely operate the UAS in a manner consistent with how the UAS will be operated under the exemp1on, including evasive and emergency maneuvers and maintaining appropriate distances from persons, vessels, vehicles and structures. PIC qualifica1on flight hours must be logged in a manner consistent with 14 C.F.R. § 61.51(b). Flights for the purposes of training the operator’s PICs are permiied under the terms of the exemp1on. However, training opera1ons may only be conducted during dedicated training sessions. During training, proficiency, and experience-building flights, all persons not essen1al for flight opera1ons are considered nonpar1cipants, and the PIC must operate the UA with appropriate distance from nonpar1cipants in accordance with 14 C.F.R. § 91.119.

c.19. UAS opera1ons may not be conducted during night, as defined in 14 C.F.R. § 1.1. All opera1ons must be conducted under visual meteorological condi1ons (VMC). If flight at night is required, a special request will be made at the FAA office closest to proposed area of opera1ons. Flights under special visual flight rules (SVFR) are not authorized.

c.20. The UA may not operate within 5 nau1cal miles of an airport reference point as denoted on a current FAA- published aeronau1cal chart unless a leier of agreement with that airport’s management is obtained, and the opera1on is conducted in accordance with a NOTAM as required by the operator’s COA. The leier of agreement with the airport management must be made available to the Administrator upon request.

c.21. 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.

c.22. If the UA loses communica1ons or loses its GPS signal, it must return to a pre- determined loca1on within the planned opera1ng area and land or be recovered in accordance with the opera1ng documents.

c.23. The PIC must abort the flight in the event of unpredicted obstacles or emergencies in accordance with the opera1ng documents.

c.24. The PIC is prohibited from beginning a flight unless (considering wind and forecast weather condi1ons) there is enough power to fly at normal cruising speed to the intended landing point and land the UA with 25% baiery power remaining.

c.25. The operator must obtain an Air Traffic Organiza1on (ATO) issued Cer1ficate of Waiver or Authoriza1on (COA) prior to conduc1ng any opera1ons under the grant of exemp1on. This COA will also require the operator to request a No1ce to Airman (NOTAM) not more than 72 hours in advance, but not less than 48 hours prior to the opera1on. All opera1ons shall be conducted in

12accordance with airspace requirements in the ATO issued COA including class of airspace, al1tude level and poten1al transponder requirements.

1. All aircraa operated in accordance with the exemp1on must be iden1fied by serial number, registered in accordance with 14 C.F.R. part 47, and have iden1fica1on (N- Number) markings in accordance with 14 C.F.R. part 45, Subpart C. Markings must be as large as prac1cable.

2. Before conduc1ng opera1ons, the radio frequency spectrum used for opera1on and control of the UA must comply with the Federal Communica1ons Commission (FCC) or other appropriate government oversight agency requirements.

3. The documents required fewer than 14 C.F.R. 91.9 and 91.203 must be available to the PIC at the Ground Control Sta1on of the UAS any 1me the UAS is opera1ng. These documents must be made available to the Administrator or any law enforcement official upon request.

4. The UA must remain clear and yield the right of way to all manned avia1on opera1ons and ac1vi1es at all 1mes.

5. Flight opera1ons must be conducted at least 500 feet from all nonpar1cipa1ng persons (persons other than the PIC, SO, operator trainees or essen1al persons), vessels, vehicles, and structures unless:

5.a. Barriers or structures are present that sufficiently protect nonpar1cipa1ng persons from the UA and/or debris in the event of an accident. The operator must ensure that nonpar1cipa1ng persons remain under such protec1on. If a situa1on arises where nonpar1cipa1ng persons leave such protec1on and are within 500 feet of the UA, flight opera1ons must cease immediately and/or;

5.b. The aircraa is operated near vessels, vehicles or structures where the owner/ controller of such vessels, vehicles or structures has granted permission and the PIC has made a safety assessment of the risk of opera1ng closer to those objects and determined that it does not present an undue hazard, and;

5.c. Opera1ons nearer to the PIC, SO, operator trainees or essen1al persons do not present an undue hazard to those persons per § 91.119(a).

6. All opera1ons shall be conducted over private or controlled-access property with permission from the land owner/controller or authorized representa1ve. Permission from land owner/ controller or authorized representa1ve will be obtained for each flight to be conducted.

7. Any incident, accident, or flight opera1on that transgresses the lateral or ver1cal boundaries of the opera1onal area as defined by the applicable COA must be reported to the FAA's UAS Integra1on Office (AFS- 80) within 24 hours. Accidents must be reported to the Na1onal Transporta1on Safety Board (NTSB) per instruc1ons contained on the NTSB Web site: www.ntsb.gov

13Malc Studios Inc AFFIRMS ALL INFORMATION LISTED ABOVE TO BE TRUE AND BINDING UPON FAA’S FINDINGS OF EXEMPTION REGARDING COMMERCIAL OPPERATIONS OF LISTED UAS, UNTIL FURTHER NOTICE OF LAWS OR REGULATIONS DECIDED BY THE GOVERNEMENT/FAA. THANK YOU FOR YOUR CONSIDERATION.

Jaime Cardona Malc Studios Inc

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