March 11, 2016

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

RE: Exemption Request Pursuant to Section 333 of the FAA Modernization and Reform Act of 2012, 49 U.S.C. § 44701(f), and Par t 11 of the Federal Aviation Regulations

Dear Sir or Madam:

Pursuant to Section 333 of the FAA Modernizat ion and Reform Act of 2012 (“FMRA”) and 14

C FR Part II , PAX Services, LLC. is submitting this Petition and seeks Exemption from t he

Federal Aviatio n Regulations as detailed below.

Applicant Information:

The name of the applicant: PAX Services, LLC.

The primary contact for this application, which a copy to me at the address above, is:

Thomas Van Ness PAX Services, LLC.

9209 S W 28 th Street, Oklahoma City, OK 73182

PAX Services, LLC is a corporation formed under the State laws of Oklahoma on or about August 10, 2012 , and Thomas Van Ness is the owner and President of PAX Services, LLC.

Pursuant to Section 333 of the FMRA, PA X Services, LLC

. hereby requests a determination by the Secretary of Transportation authorizing commercial operations of UAS for the purposes of aerial photography & videography, aerial infrared and thermal imaging and data collection, aerial

wind turbine surveillance, aerial pipeline surveillance

, commercial videos and other work related to aerial photography in the NAS . PAX Services, LLC

. do es not intend to use for closed

- set filming. Flight operations will utilize the off the shelf DJI Phantom 3 Pro fam il ies of unmanned

aircraft equipped with FLIR Vue thermal imaging equipment. Conduct of UA operations will be with respect to FMRA Section 333(c) and the UAS “Blanket COA”.March 11, 2016

Page 2 of 11

Exemption is necessary to effect the determination requested pursuant to FMRA Section 333. The attached documentation includes detailed exemption requests that demonstrate how these exemptions are in the public interest and will maintain at least an equal level of safety to existing regulations. Authorizing PAX Services, LLC

. to co nduct commercial UAS operations will result in less disruptive, safer, and more cost effective solutions than manned aviation equivalents due to the low altitude environment, given the size, speed and inherent risk of traditional commercial helicopter oper ations. These commercial operations often occur in the unsafe areas of the height

velocity diagram requiring special precision and skill. PAX Services, LLC

. , will conduct the commercial UAS operation in a manner that will meet, and in many cases exceed, th e current level of safety of commercial helicopter operations. The DJI Phantom has a low noise signature,

and carries no volatile fuel which will limit collateral damage in the event of catastrophic failure. The low expense of operation compared to cost pr ohibitive manned aviation alternatives allow a greater economic benefit to businesses. For these reasons, granting an exemption under FMRA Section 333(c) is in the public interest. UAS technology used for these commercial purposes benefit the public intere st in the following ways:

 Reduces the collateral damage risks to life and property associated with low altitude helicopter operations in undesirable portions of the height

- velocity envelope.

 Increased economic wellbeing to local businesses via cost red uctions.

 Lower operating cost will allow for more frequent inspections of public buildings which will lower overall risks to the public of catastrophic structure failures based on more frequent maintenance schedules.

 Significant increase in worker safety; utilizing UAS’s for elevated inspections of roofs and walls as opposed to having workers ascend, descend or repel to make inspections of particular building details.

 Enabling aerial business imaging solutions to be available to a larger market.

 Due to slow er speed and lower altitudes, UAS technology allows for more thorough inspections of public buildings than conventional helicopter or fixed wing inspections for greater accuracy and maintenance determinations

.

 Structural energy efficiency studies can be pe rformed with greater accuracy based on the low speed and altitude of UAS operations.

 Building envelope inspections usually occur within a 25’ distance from the target

structure , both vertically and horizontally, the small operating area further reduces the possibility collateral damage risks to life and property in the event of drone failure.March 11, 2016

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### Table of Contents

I. Exemptions Requested

II. Commercial Operation/Operator

III. Unmanned Aircraft System (UAS)

IV. UAS Pilot

- in

- Command (PIC)

V. Public Intere st

VI. Summary

VII. List of Attachments

I. Exemptions Requested

Pursuant to 14 C.F.R. § 11.81(e), PAX Services LLC

. , requests exemption from the following regulations:

 14 C.F.R. Part 21 Subpart H

– Airworthiness Certificates

o Establishes: The procedural requirements for the issuance of airworthiness certificates as required by 14 C.F.R. § 91.203(a)(1)

Given the small size of the UA and the safeguards that will be taken as outline below, an exemption from Part 21 Subpart H meets the requirements of an eq uivalent level of safety under Part 11 and Section 333 of the FMRA with consideration “of the size, weight, speed, operational capability, and proximity to airports and populated areas of the particular UAS.”

 14 C.F.R. § 45.23(b)

– Aircraft Marking and Id entification Requirements

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

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

- sport, "experimental," or "provisional," as applicable.

PAX Servi ces LLC

. , will ensure compliance with § 45.29(f) to meet the intent of the regulation by displaying the registration number in the largest practicable lettering.

 14 C.F.R. 61.113 (a)(b) and 61.133(a)(1)(ii) and 61.101

– Recreational, Private and

Commerci al Pilot Privilege and Limitations

o 14 C.F.R. § 61.113: (a) Except as provided in paragraphs (b) through (g) of this section, no person who 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 ofMarch 11, 2016

Page 4 of 11

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

o 14 C.F. R. § 61.133 : (a) Privileges

– (1) General. A person who holds a commercial pilot certificate may act as pilot in command of an aircraft

– (ii) For compensation or hire, provided the person is qualified in accordance with this part and with the applicable p arts of this chapter that apply to the operation.

o 14 C.F.R. § 61.101 : (a) A person who holds a recreational pilot certificate may not act as pilot in command of an aircraft:

 For compensation or hire;

 In furtherance of a business;

UA operations will emplo y a PIC who holds, at a minimum, a recreational or sport pilot certificate of any category or a valid driver’s license.

 14 C.F.R. 91.7(a)

– Civil Aircraft Airworthiness

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

The PI C will conduct daily pre and post flight inspections in accordance with manufactures maintenance manual(s) and guidance. During flight, the PIC will adhere to § 91.7(b) and abort air operations immediately upon identification of an in

- flight

emergency or o ther unsafe condition. By complying with procedures outlined by the manufacturer, an equivalent level of safety will be achieved.

 14 C.F.R. 91.9(b) Civil aircraft flight manual, marking, and placard requirements

o (b)(2) prohibits operation of U.S.

- register ed civil aircraft 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.

By keeping all operating documents, manuals, authorizations and exemptions in a binder

co

- located with the GCS, PAX Services LLC

. , meet s the intent of the regulations and therefore achieve an equivalent level of safety.

 14 C.F.R. 91.109(a)

– Flight Instruction

o No person may operate a civil aircraft (except a mann ed free balloon) that is being used for flight instruction unless that aircraft has fully functioning dual controls.

The majority of sUAS by design are developed with single operational control through the use of pre

- determined GPS enabled waypoints progr ammed before or during flight in addition to the use of a single hand held transmitter or control station controlled by the PIC. The design does not allow for dual controls during flight training and therefore the exemption is requested to train operators, build experience, and maintain proficiency. An equal level of safety will be achieved by conducting all training in st er ile environment s

. Training sessions will be accomplished separately from flights conducted for compensation or hire.March 11, 2016

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 14 C.F.R. 91.119 ( c)

– Minimum Safe Altitudes

o Except when necessary for takeoff or landing, no person may operate an aircraft below the following altitudes: (b) 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 helico pter may be operated at less than the minimums prescribed in paragraph (b) or (c) of this section, provided each person operating the helicopter complies with any routes or altitudes specifically prescribed for helicopters by the

FAA.

Commercial UAS opera tions will be conducted at or below the maximum altitude authorized by COA. Given the size, weight and lack of fuel; combined with operation limitations listed below, the operation will be conducted with a greater level of safety

than exists with current m anned aviation operations.

 14 C.F.R. 91.121

– Altimeter Settings

o 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...

SUAS a re equipped with Global Positioning System (GPS), which provide altitude and

geo

- location data to the operator without utilizing an altimeter. Due to this fact, an exemption is required. GPS are precise within a few feet and combined with fail

- safes

and a visual observer the operation will meet an equivalent level of safety.

 14 C.F.R. 91.151(a)

– Fuel Requirements for Flight in VFR Conditions

o No person may begin a flight in an airplane under VFR conditions unless (considering wind and forecast weather cond itions) 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;

This regulation is written based on the capabilities of a traditional aircraft, which have flight times of several hours or greater; therefore, with the majority of sUAS which have flight times of only an hour or less, this regulation would effectively deny the ability of the air vehicle to operate.

The PIC will achieve an equivalent level of safety by complying with all manufacturer guidelines and DJI low battery failsafe system s

.March 11, 2016

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 14 C.F.R. 91.215(b)

– ATC Transponder and Altitude Reporting Equipment and

Use.

o All airspace. Unless otherwise authorized or directed by ATC, no person ma y operate an aircraft in the airspace described in paragraphs (b)(1) through (b)(5) of this section, unless that aircraft is equipped with an operable coded radar beacon transponder having either Mode 3/A 4096 code capability, replying to Mode 3/A interrog ations with the code specified by ATC, or a Mode S capability, replying to Mode 3/A interrogations with the code specified by ATC and intermode and Mode S interrogations in accordance with the applicable provisions specified in

TSO C

- 112, and that aircraft is equipped with automatic pressure altitude reporting equipment having a Mode C capability that automatically replies to Mode C interrogations by transmitting pressure altitude information in 100

- foot increments. This requirement applies

—

(1) All aircra ft. In Class A, Class B, and Class C airspace areas;

(2) All aircraft. In all airspace within 30 nautical miles of an airport listed in appendix D, section 1 of this part from the surface upward to 10,000 feet MSL;

(3) Notwithstanding paragraph (b)(2) of this section, any aircraft which was not originally certificated with an engine

- driven electrical system or which has not subsequently been certified with such a system installed, balloon or glider may conduct operations in the airspace within 30 nautical miles of an airport listed in appendix D, section 1 of this part provided such operations are conducted

—

(i) Outside any Class A, Class B, or Class C airspace area; and

(ii) Below the altitude of the ceiling of a Class B or Class C airspace area designa ted for an airport or 10,000 feet MSL, whichever is lower; and

(4) All aircraft in all airspace above the ceiling and within the lateral boundaries of a Class B or Class C airspace area designated for an airport upward to 10,000
feet MSL; and

(5) All air craft except any aircraft which was not originally certificated with an engine

- driven electrical system or which has not subsequently been certified with such a system installed, balloon, or glider

—

(i) In all airspace of the 48 contiguous states and the District of Columbia at and above 10,000 feet MSL, excluding the airspace at and below 2,500 feet above the
surface; andMarch 11, 2016

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(ii) In the airspace from the surface to 10,000 feet MSL within a 10

- nautical

- mile

radius of any airport listed in appendix D, section 2 of this part, excluding the airspace below 1,200 feet outside of the lateral boundaries of the surface area of the airspace designated for that airport.

The sUAS to be used in the proposed operation does not come equipped with a transponder. No transpo nder exists for the sUAS, which can be installed. The petitioner requests relief from the exemption to the extent required to operate in areas in which a transponder is required according the applicable regulations in this part.

The PIC will achieve an e quivalent level of safety by complying with all provisions of the COA under which operations are to be conducted. By issuing appropriate NOTAMS and prior ATO coordination, an equivalent level of safety can be achieved as other manned aircraft, which receiv e authorization to fly in airspace where a transponder is required but not operable. In order to give proper notice to the ATO, the PIC will comply with the provisions of 91.215(d)(3). The sUAS flown under this exemption will comply

with all altitude limit s and airport standoff distances required by COA, which mitigate hazards to aircraft controlled by the ATO in congested airspace.

 14 C.F.R. 91.405(a), 91.407(a)(1), 91.409(a)(2) and 91.417(a) & (b)

– Maintenance Inspections

o 91.405(a) States : Each owner or operator of an aircraft

— (a) 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 thi s chapter

o 91.407(a)(1) States : (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 chapte r

o 91.409(a)(2) States: (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 (2) An inspection for the issuance of an airworthiness certificate in

accordance w ith part 21 of this chapter. No inspection performed under paragraph (b) of this section may be substituted for any inspection required by this paragraph unless it is performed by a person authorized to perform annual inspections and is entered as an ‘‘ann ual’’ inspection in the required maintenance

records.

o 91.417(a) & (b) States: (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: (paragraphs 1 (i

– iii), 2 (i

– vi)); (b) The owner or operator shall retain the following records for the periods prescribed: (paragraphs 1

– 3)March 11, 2016

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The PIC will conduct Pre/Post flight inspections and maintenance in accordance with the

m anufacturer’s guidance as stated in the operations manual. If maintenance is required,

the PIC will conduct a dedicated test flight will be conducted to ensure safety before resuming commercial operations. All inspection, maintenance and alterations will b e documented and maintained in a record. These actions will meet the intent of the regulations from which exemption is being requested and lead to an equivalent level of safety.

II. Commercial Operator/Operation

For each flight, PAX Services, LLC :

 Will contact the controlling air traffic organization to issue a NOTAM.

 Will conduct a comprehensive worksite inspection and analysis, identifying limits of customer property or authorized access areas.

 Will conduct preflight planning in accordance with Section 91.103 Preflight Action.

 Will identify potential obstructions or other hazards to safe operation.

 Will clear the area of personnel or bystanders that are non

- essential to the operation, maintaining at a minimum, 500 feet away from non

- participating person s.

 Will conduct a preflight safety briefing to Visual Observer (VO) and participating

persons.

 Will assure that the PIC and all operational staff will not be under the influence of alcohol or other pharmaceuticals.

 Will at all times yield to manned air tr affic.

 Will maintain voice communications with VO and participating persons.

 Will operate under visual flight rules, in visual meteorological conditions, for the airspace in which the flight is conducted.

 Will not exceed the maximum altitude as defined in the COA under which flight authorized, as determined by the installed GPS.

 Will keep operating documents, manuals, authorizations and exemptions in a binder co

located with the GCS.

 Will immediately terminate flight, in the safest manner possible, when saf ety to persons or property become compromised.

 Will terminate flight, in the safest manner possible, when unable to comply with these limitations or any other limitations granted as part of this exemption.

 Will not attach equipment or payloads that are mor e than the manufacturer recommended weight for the UA.

In order to remain at an altitude at or below the attitude prescribed by the applicable COA, relief is needed from Section 91.119 (c). By following these operating standards, the commercial operation will meet an equivalent level of safety to the regulation in which relief is sought.March 11, 2016

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III. Unmanned Aircraft System

PAX Services

. seeks exemption to operate DJI UAS. Other UAS types may be requested in

future amendments. The DJI Phantom 3 Pro is the pri mary aircraft in our operation for which we seek exemption The UA will be flown via a combination of RC control and tablet GCS. UA types are GPS equipped multirotor helicopters. Quad

- copter type rotorcraft utilizing four motors.

Lithium

- polymer batteries p ower the UA.

The UA also has several fail

- safes for loss of RC signal, loss of GPS, and low battery as outlined in the respective Operation Manuals. The UA display visual and emit an audible low battery alerts at which time the UA will automatically engag e the landing sequence. Based upon those safeguards, I request exemption from Section 91.151(b) Fuel requirements for flight in VFR

conditions.

Given the size, weight, speed, and controlled operating area associated with the UA to be utilized, an exempti on from 14 CFR part 21, Subpart H (Airworthiness Certificates) and § 91.203 (a) and (b) is requested. Exemption is sought from § 45.23 Marking of the aircraft. The UA will display the registration number in the largest practicable lettering. PAX Services LLC seeks to be exempt from § 91.405(a), 91.407(a)(1), 91.409(a)(2) and 91.417(a) and (b) Maintenance inspections will be conducted according to operations manual and prudent judgment as previously outlined to determine the integrity and safety of the UA a nd associated equipment. Further, relief is required from 91.7(a), which prohibits the operation of an aircraft without an airworthiness certificate and 91.9(b) (2) requiring an approved flight manual in the aircraft. The UA will not be operating with an a irworthiness certificate therefore, this would be inappropriate. The UAS are too small to carry the operating documents so an equivalent amount of safety can be achieved through keeping the operating documents and manuals at the GCS.

IV. UAS Pilot in Comm and (PIC)

Under part § 61, recreational, sport and private pilots are limited to non

- commercial operations,

however PAX Services LLC

. , can ensure UA operations will achieve an equivalent level of safety as current regulation because UA do not carry any pi lots or passengers. A commercial pilot certificate will not ensure RC piloting ability, as the psychomotor skills are different. The inherent risks of operating a UAS are far less than in the commercial activities outlined in 14 CFR part 61, et seq., thus exemption is requested from § 61.101 Recreational Pilot Privileges

and Limitations. PICs will maintain recent flight experience on the UAS. Training and experience flights will be conducted separate from commercial operations. PIC training will be

document ed and maintained in a binder with UA operating manuals and flight plans.

V. Public Interest

Given the above stated evidence, procedures, and precautions operating UAS commercially for the purposes of aerial photography & videography, data collection, ae rial infrared and thermal data collection, aerial structure inspections, aerial wind turbine surveillance, aerial pipelineMarch 11, 2016

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surveillance

, commercial videos and other work related to aerial photography will ultimately be in the public interest. These operati ons, when executed with prudence, will exceed the current level of safety as the regulations from which exemption is sought. UA operations will allow greater access to commercial aerial services that were not previously econo mically feasible for many firms ; furthermore, the increased frequency of inspections due to lower cost will fu r ther mitigate the risk to life and property due to catastrophic structure failure. Structural energy efficiency studies help to find areas where energy consumption and associat ed emissions may be lowered creating both a financial and environmental benefit to the public. UA operations are associated with less risk of collateral damage to persons and property while limiting disruptive noise pollution associated with low altitude aviation operations.

VI. Summary

Pursuant to Section 333 of PL 112

- 95 commonly known as the “FAA Modernization and Reform Act of 2012”, PAX Services, LLC , hereby applies for authorization to conduct commercial unmanned aerial systems (UAS) operations for the purposes of aerial photography & videography, data collection, aerial wind turbine surveillance, aerial pipeline surveillance

, commercial videos and other work related to aerial photography listings Rules for which exemption is sought:

 14 C.F.R. Part 21 Subpart H

 14 C.F.R. § 45.23(b)

 14 C.F.R. § 61.101, 61.113 and 61.133(a)(1)(ii)

 14 C.F.R. § 91.7(a)

 14 C.F.R. 91.9(b)

 14 C.F.R. § 91.103

 14 C.F.R. § 91.109(a)

 14 C.F.R. § 91.119

 14 C.F.R. § 91.121

 14 C.F.R. § 91.151(a)

 14 C.F.R. § 91.215(b)

 14 C.F.R. § 91.405(a)

 14 C.F.R. § 91.407(a)(1)

 14 C.F.R. § 91.409(a)(2)

 14 C.F.R. § 91.417(a) & (b)

VII. Attachments : (CHANGE ATTACHMENTS LISTED BELOW BASED ON THE DRONES YOU ARE USING FOR YOUR BUSINESS****)

1. Specific UAV manuals.

a. DJI Phantom 3 Safety Guidelines Disc laimer

b. DJI Phantom 3 Charging Hub User Manual

c. DJI Phantom 3 How to Update Firmware

– Version 1.2

d. DJI Phantom 3 Professional Release NoteMarch 11, 2016

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e. DJI Phantom 3 Advanced Release Note

2. UAV user manual

a. DJI Phantom 3 Professional User Manual

– Version 1.4

b. DJI Phantom 3 Advanced User Manual

– Version 1.4

3. Battery Manuals

a. DJI Phantom 3 Professional Intelligent Flight Battery Safety Guidelines

4. Quick Start guides.

a. DJI Phantom 3 Professional Quick Start Guide

– Version 1.2

b. DJI Phantom 3 Advanced Quick Start Guide

– Version 1.2

Thanks you for your prompt attention and consideration. Our company and its clients are committed to safe UAS operation and ambassadors. Please do not hesitate to contact me directly with any questions or concerns at : 405 761 3876

Very trul y yours,

PAX Services, LLC>

Thomas Van Ness PAX Services LLC,

9209 SW 28 th ST Oklahoma City, OK 73128

ES /ca m Enclosures