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December 22, 2014

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

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

Dear Sir or Madam:

Pursuant to Section 333 of the FAA Modernization and Reform Act of 2012 (the “Ref orm Act”)

and 14 C.F.R. Part 11, RX AG SERVICES , LLC (“ RXAG ”), the operator of the 2015 AgEagle small

Unman ned Aircraft Systems (“sUAS”) seeks an exemption from the Federal Aviation Regulations (“FARs”) listed below and discussed in Appendix A. Details of RX AG SERVICES and the 2015 AgEagle sUAS are described in Appendix B. [ Attached as Appendix C is a summa ry of this request. ]

The requested exemption would permit RXAG commercial operation of AgEagle’s 2015 AgEagle (see details in Appendix B), in the Precision Agriculture market space. The Air Vehicle weighs 7.5 lbs. with imaging payload, to perform market research, aerial surveys, mapping, and inspections that consist of still photographs, video, and other data taken by onboard sensors. The 2015 AgEagle uses DroneDeploy
software which produces high quality imagery and d ata that can be used independently - o r in the case of surveying and thermal modelling, can be combined to produce precision charts, contour maps and determine the health of a crop. Applications for th is sUAS include inspection of ; mapping and surveying
tasks in precision agriculture, crop scouting, crop insurance, hazard mitigation and in support of Federal Crop Management programs. Use of the 2015 AgEagle for these inspections and surveying applications reduces the need to operate conventional aircraft, providing data more quickly, ac curately, economically, safely, and with reduced environmental impact.

Operations under the exemption will be subject to strict operating requirements and conditions to ensure at least an equivalent level of safety to currently authorized operations us ing manned aircraft

and under conditions as may be modified by the FAA as required by Section 333.

While RX AG SERVICES LLC is filing this exemption request on its own behalf, it anticipates that its customers, in the future, will file exemption applica tions to allow them to operate the 2015 AgEagle in commercial operations at their own facilities, farms, test plots and other sites that require aerial data for inspections and surveys. Wherever possible, those filings will be substantially similar to this exemption application.

As described more fully below, the requested exemption would authorize RX AG SERVICES LLC to perform commercial operations of aerial inspections and surveys using the 2015 AgEagle 1 , which at 7.5
lbs . is small in size and po wered electrically by a Li

- Po battery.

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The 2015 AgEagle will be operated under controlled conditions at low altitude (<400’ agl) in Class G airspace that is limited in scope, as described more fully herein. It will have automated control features, as described below. The AgEagle 2015 AgEagle is d esigned to be operated by one person but flight operations generally involve two people

, an operator and an observer. The operator is responsible for flying the sUAS, monitoring its statu s and flight dynamics while maintaining visual

- line

- of

- sight (VLOS)

, and keeping the flight within the specified factory limits (in terms of wind, flight range, battery life, etc

. ) to ensure safe operatio n of the sUAS itself. T he observer is responsible fo r monitoring the airspace for other aircraft and hazards and instructing the operator before and during flight as necessary to ensure
safe launching and de-confliction with ANY aircraft or identified hazards. The operator also will be an
individual who has passed the FAA approved or military equivalent ground training exam and authorized AgEagle training program for the 2015 AgEagle. Finally, the airspace in which the 2015 AgEagle will operate will be disclosed to and approved , as needed, by the FAA in advance.

RX AG SERVICES LLC respectfully submits that because this small, unmanned aerial system

– the 2015 AgEagle

– will be used in lieu of comparatively hazardous operations now conducted with fixed and rotary wing conv entional aircraft, the FAA can have confidence that the operations will achieve at least

an equivalent

- level or greater

, of safety. Approval of this exemption would thereby enhance safety and
f ulfill the Secretary of Transportation’s (the FAA Administrato r’s) responsibilities under Section 333(c) of the Reform Act to “establish requirements for the safe operation of such aircraft systems in the national airspace system.”

The name and address of the applicant are:

RXAGSERVICES LLC

Attn: Will Anderson

16470 445 th Ave
Florence SD 57235 1(605)460

- 1248 The primary contact for this application is: willanderson408@yahoo.com 1(605)460

- 1248

The regulations from which the exemption is requested are as follows: 14 C.F.R. Part 21; 14 C.F.R. 45.23(b);

14 C.F.R. xx 1.113(a) & (b);

14 C.F.R. xx 1.133(a); 14 C.F.R. 91.7(a); 14 C.F.R. 91.9(b)(2) & (c);
14 C.F.R. 91.103; 14 C.F.R. 91.109( a);
14 C.F.R. 91.119; 14 C.F.R. 91.151(a); 14 C.F.R. 91.203(a) & (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)

.

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Appendix A discusses each rule listed above and explains why exemptions pursuant to the proposal set forth in this letter are appropriate, provide an equivalent level of safety, a nd are in the public interest.

THE APPLICABLE LEGAL STANDARD UNDER SECTION 333

RX AG SERVICES LLC submits that grant of this exemption application for use of the 2015 AgEagle in Precision Agriculture, market research, surveying, mapping and inspection operations will advance the Congressional mandate in Section 333 of the Reform Act to accelerate the introduction of
sUASs into the national airspace system (“NAS”) if it can be accomplished safely. This law directs the Secretary of Transportation to consider whether certain sUASs may operate safely in the NAS before completion of the rulemaking required und er Section 332 of the Reform Act. In making this determination, the Secretary is required to determine which types of sUASs do not create a hazard to users of the NAS or the public or pose a threat to national security in light of the following:

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

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

 Operation of the sUAS within visual line of sight of the operato r.

Reform Act § 333(a)(1). 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). 2

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, from the requirement that all civil aircraft must have a current airworthiness certificate and those regulations requiring commercial pilots to operate aircraft in commercial service:

The Administrator may grant an exemption from a req uirement of a regulation prescribed under subsection (a) or (b) of this section or any of sections 44702-4471 xx of this title if the Administrator finds the exemption is in the public interest.

49 U.S.C. §44701(f). See also 49 USC §44 711(a); 49 USC §44704; 14 CFR §91.203(a)(1).

The grant of the requested exemption is in the public interest based on the clear direction in

Section 333 of the Reform Act; the additional authority in the Federal Aviation Act, as amended; the strong equivalent level of safety surrounding the proposed operations; and the significant public benefit, including enhanced safety and cost savings associated wit h transitioning to sUASs for aerial surveying, mapping and inspection applications. Accordingly, the applicant respectfully requests that the FAA grant the requested exemption without delay.

Airworthiness of the 2015 AgEagle

A critical element of the exemption application involves evidence of the airworthiness of AgEagle sUAS including the 2015 AgEagle.

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- 2109 2 Applicant submits that this provision places a duty on the Administrator to not only p rocess applications for exemptions under Section 333, but for the Administrator, if he deems the conditions proposed herein require modification in o rder to allow approval, to supply conditions for the safe operation of the s UAS. RX AG SERVICES LLC welcomes the opportunity to consult with FAA staff in order to address any issues or concerns t hat this proposal may raise that they believe may require modification.

The criteria set forth in the Orde r specify the substantive showings of the device’s safety and fitness for operation to ensure that the FAA has sufficient basis to evaluate the aircraft’s safety

. 3

The 2015 AgEagle also has a significant set of automated features provided by DroneDeploy to ensure safe takeoff, flight and landing in many conditions, further details of operation can be found in Appendix B.

Mandatory Operating Conditions

Grant of the exemption to RX AG SERVICES LLC will be subject to the following mandatory conditions, which are based upon operating conditions set forth for operation of sUAS by public entities pursuant to Certificates of Authorization, with additional restrictions:

 All operations to occur in Class G airspace.

 Operations to avoid congested or populated areas, which are depicted in yellow on VFR charts.

 Operations to be conducted over private or controlled-access property.

 Permission from land owner/controller required before com mencing any flight.

 Operations to occur during Visual Flight Rules Meteorological Conditions (VMC).

 Aircraft to remain within Visual Line of Sight (VLOS).

 VLOS guaranteed with a cylinder of operation around operator of 1⁄2 nautical miles (NM).

 Cylind er walls may be expanded by observer with ability to control aircraft.

 Operations to occur during daylight hours.

 Above Ground Level (AGL) altitude to be restricted to 400 feet.

 All operations conducted in vicinity of airport to remain more than 2.5 NM from
centerline azimuth of runway centerline measured from runway thresholds.

 Operator will file a NOTAM for each flight.

 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.

 All operations will include one pilot for flight control and one observe r for VLOS enhancement
of surrounding area near the aircraft

Operator Requirements

RX AG SERVICES LLC respectfully proposes that operator requirements should take into account the characteristics of the particular sUAS. Certain sUASs, such as the AgEagle 2015 AgEagle, are characterized by a high degree of pre-programmed control and various built

- in technical capabilities that
limit the potential for o peration outside of the operating conditions set forth above. The 2015 AgEagle sUAS also pr ovides many built

- in functional and safety features to assist the operator in safe and reliable operation powered by DroneDeploy risk

- mitigation software

.

The AgEagle 2015 AgEagle provides two semi-autonomous flight modes using a point-and-clic k map and video interface.

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- 2109 3 RX AG SERVICES LLC can submit under confidentiality the following documents in support of this exemption application for the 2015 AgEagle: 1) AgEagle 2015 AgEagle User Guide (Exhibit 1) which inc ludes Safety and PreFlight Checklists; and 2) Training Manual (Exhibit 2).

4 As of Dec 2014 , AgEagle staff and customers have performed over 6,360 flights, logging 19,080 hours of flight time with the 2015 AgEagle with both development and release ve rsions. The previous generation produc t, the AgEagle, achieved over 480 flights and 1440 hours of flight time globally by AgEagle and its customers. This is a significant amount of flight time collected to understand and refine t he AgEagle sUAS products. The user clicks on a map to direct the 2015 AgEagle to fly to the point on the map where the operator is pointing, or programmed flight plans may be entered for a series of waypoints or grid based area. Additional navigation aids including landing zon es and flight areas may be designated to ensure the

2015 AgEagle operates only within user-specified flight p arameters. All flight operations are GPS controlled making the system easy to navigate, and the flight control system also employs a variety of sensors including sonar, barometric pressure, temperature, wind speed and others to ensure the high stability and reliability in challenging weather conditions. At all times during flight operations, the operator can intervene a pr ogrammed flight and take immediate control.

Using DroneDeploy’s software package, a A dditional automated safety functions and safety enhancing features of the 2015 AgEagle include the following: ● Automated pre­flight system perform ance checks ● User pre­flight checklist

● “ Hit the deck” mode can be activated by simply pushing a button on the controller which causes the aircraft to drop from its cruising altitude to 50 above the ground and circle there to avoid a collisio n with another aircraft. ● Automated condition or fault detection, warnings, and pre­defined responses to a number of flight and system conditions. ◦ High winds with system and user defined safety thresholds
◦ Low ba ttery with system and user defined safety thresholds ◦ High temperature or other system safety thresholds
◦ Lost­link communication ● Pre­defined responses include behavior such as attempting to re-establish radio communication, return to home position and hover, return to home position and land, or land in current position ● In the case of lost GPS, a manual user flight mode is enabled which allows the operator to provide manual navigation inputs to assist in landing the vehicle.

Given these safety features, RX AG SERVICES LLC proposes that operators of the 2015 AgEagle should not be required to hold a commercial or private pilot certification. I nstead, operators should be required to:

● have successfully completed, at a minimum, FAA private pilot ground instruction and passed the FAA Private Pilot written examination or FAA-recognized equivalents including commercial or private license and ground school issued from an ICAO recognized country; ● have completed AgEagle’s authorized training program for operation and maintenance of the

sUAS.

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RX AG SERVICES LLC notes that the FAA has found that safety factors permitted operation of sUASs by operators with these qualifications in the case of operations pursuant to public COAs when the mandatory operating conditions specified above were present. See Federal Aviation Administration, Notice N-8900.227, Unmanned Aircraft Systems (UAS) Operational Approval, at 20-21 (July 30, 2013). The FAA has the statutory authority to grant exemptions to the requirements for and privileges associated with the grant of airmen’s certificates. 49 USC §44701 (f).

In summary, applicant seeks an exemption from the FARs set forth above and in Appendix C to allow market research and commercial operations of a small unmanned vehicle in surve ying, mapping and inspection operations .

Approval of the exemption allowing commercial operations of the 2015 AgEagle for surveying, mapping and inspection operations will enhance safety by reducing risk. Conventional aerial survey and inspection operations using manned aircraft involve very heavy aerial vehicles carrying significant quantities of combustible fuels, and a multi-person crew in piloting and observation roles. These operations require transit to and from the location of the activity, and often take place in congested

environments and includ e close proximity to physical obstacles and/or presence of the general public. By contrast, the 2015 AgEagle weighs 7.5 lbs including payloads and uses a battery for power, is
transpor ted or carried to/from the area of activity, removes the need for airborne pilots/observers, and poses less risk to people and infrastructure on the ground.

Additionally, no national security issue is raised by the grant of the requested exemptions. G iven the size, load carrying capacity, speed at which it operates, and the f act that it carries no explosives or other dangerous materials, the 2015 AgEagle poses no threat to national security.

The operation of the 2015 AgEagle for market research, su rveying, mapping and inspection operations in accordance with the strict conditions outlined above, will provide an equivalent level of safety supporting the grant of the exemption s requested herein, including exempting RX AG SERVICES LLC from the requirem ents of Part 21.

The 2015 AgEagle’s satisfaction of the criteria set forth in Section 333 of the Reform Act (i.e. s ize, weight, speed, operating capabilities, operation within VLOS and lack of proximity to airports, populated

or areas national securit y ) and demonstrated equivalent level of safety as it relate s to the requirement
for FAA pilot certification, provide more than adequate justification for the grant of the requested exemptions allowing RX AG SERVICES LLC commercial operation of the 2015 A gEagle in agricultural market research, surveying, mapping and inspection operations.

In conclusion, the safe operation of the 2015 AgEagle is of utmost concern and safety remains
paramount. RX AG SERVICES LLC intends to operate within the spirit of all applicable FAA regulations and will adhere to any further refinements. The operation of Precision Agriculture sUAS’s in remote farmlands across the country are literally of little safety concern, provided the op erators and observers maintain integrity of the flight, pose no risk to airborne platforms, and/or mitigate all risk to ground personnel and property.

Formatted: Indent: First line: 0"

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Best Regards

,

Will Anderson

RX AG SERVICES LLC Formatted: Indent: First line: 0.5"

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APPENDIX A

EXEMPTION REQUEST AND EQUIVALENT LEVEL OF SAFETY SHOWINGS UNDER APPLICABLE RULES

SUBJECT TO EXEMPTION

RX AG SERVICES requests an exemption from the following regulations as well as any additional regulations that may technically apply to the operation of the 20 15 AgEagle:

14 C.F.R. Part 21, Subpart H: Airworthiness Certificates 14 CFR § 91.203(a)(1)

Section 91.203(a)(1) requires all civil aircraft to have a certificate of airworthiness. Part 21, Subpart H, entitled Airworthiness Certificates, establishes the procedural requir ements for the issuance of

a irworthiness certificates as required by FAR § 91.203(a)(1). Given the size of the aircraft ( 7.5 lbs.) and the limited operating area associated with its utilization, it is unnecessary to go thro ugh the certificate of airworthiness process under Part 21 Subpart H to achieve or exceed current safety levels.

Such an exemption meet s the requirements of an equivalent level of safety under Part 11 and Section
333 of the Reform Act. The Federal Avia tion Act and Section 333 of the Reform Act both authorize the FAA to exempt aircraft from the requirement for an airworthiness certificate, upon consideration of the size, weight, speed, operational capability, and proximity to airports and populated areas of the sUAS
involved.

In this case, an analysis of these criteria demonstrates that the 2015 AgEagle operated without an airworthiness certificate, under the condition s proposed herein, will be at least as safe, or safer, than a
conventional aircraft (fixed wing or rotorcraft) with an airworthiness certificate. The 2015 AgEagle weighs 7.5 lbs. fully loaded . It will not carry a pilot or passenger, will not carry flammable fuel, and will operate exclusively within an area pre-disclosed and in compliance with conditions set forth herein. Operations under this exemption will be tightly controlled and monitored by both the o perator, pursuant to the conditions set forth above, and by local public safety requirements. The FAA will have

advance notice o f all operations through the filing of NOTAMs. Receipt of the prior permission of the land owner, the size of the aircraft, the lack of flammable fuel, and the fact that the aircraft is carried to
the location and not flown there all establish the equivalent level of safety. The 2015 AgEagle provides at least an equivalent, and most likely exceeds 5 , level of safety to that of such operations being
conducted with conventional manned aircraft that would be significantly larger and would be carry ing additional personnel, cargo, and flammable fuel. The automated safety features including redundant sensor systems as described in Appendix B and throughout this document highlight the design intentions towards safety and reliability on the 2015 AgEagle

.

14 C.F.R. § 45.23 & 91.9(c): Marking of the Aircraft

Regulation 45.23 provides:

(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

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n umber 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” an d the registration number is displayed on limited, restricted or light-sport category aircraft or experimental or provisionally certificated aircraft, the operator must also display on that aircraft near each entrance to the cabin, cockpit, or pilot station, in letters not less than 2 inches nor
more than xx inches high, the words “limited,” “restricted,” “light­sport,” “experimental,” or “provisional ,” as applicable.

Regulation 91.9(c) provides: No person may operate a U.S.-registered civil aircraft unless that aircraft is identified in accordance with part 45 of this chapter.

The 2015 AgEagle has no entrance to the cabin, cockpit, or pilot station on which the markings
can be placed. Given th e size of the sUAS, two inch lettering will be impossible. Official marking systems for small UAS have not yet been establishe d for operations inside the NAS. The 2015 AgEagle is currently marked with a fixe d label containing AgEagle l abs 2015 AgEagle measuring 1.5” x 0.5” as well as a serial number located under the removable camera payload. AgEagle is prepared to mark the inspection system with the name of the organization and location or origin and fulfill any other request by the FAA to this topic in accordance to § 45.29(f) where the pilot, observer, and others working with the sUAS will see the identification of the sUAS.

The FAA has issued the following exemptions to this regulation, see Exemption Nos. 8738,

101 xx 7, 101 xx 7A and 10700.

14 C.F.R. § xx 1.113(a) & (b); xx 1.133( a): Private Pilot Privileges and Limitations; Pilot in Command; Commercial Pilot Privileges and Limitations.

Section xx 1.113(a) & (b) limit private pilots to non-commercial operations. Unlike a conventional aircraft that carries a pilot, passenger s, and cargo, the 2015 AgEagle in this case is remotely controlled with no passengers or property of others on board. Section xx 1.133(a) requires an individual with a commercial pilot’s license to be pilot in command of an aircraft for compensation or hire. RX AG

SERVICES LLC respectfully proposes that operator requirements should take into account the characteristics of the particular sUAS. AgEagle’s 2015 AgEagle has a high degree of pre-programmed
control and various built-in technical capabilities through DroneDeploy’s software that strictly limit the potential for operation outside of the operating conditions set forth in the exemption application.

The 2015 AgEagle has an all-digital software platform pow ered by DroneDeploy with advanced features previously restricted to full size unmanned aircraft. Automated features and advanced fly-safe controls enable safe, reliable operation, as well as advanced networking capabilities and system extensibility.

● P lan your flight or fly ad-hoc: The system can autonomously fly a programmed flight path or fly in
manual mode ● Smart batteries and charger: Flight time and battery minutes are d isplayed at all times. The system will return home and land au tomatically if user-configurable limits are reached.

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Flight safety is a priority, no matter the operating environment or project. The 2015 AgEagle offers superior safety over manned aircraft by removing the need for people to be onb oard in potentially dangerous situations. With multiple built-in safety features, the AgEagle platform leads
other sUAS with respect to safety.

● Intelligent fault handling: The system automatically detects potential issues - with confi gurable automated response behavior such as a return-home-and-land routine

● Automatic pre-flight checks: The system self-calibrates all of its sensors and performs self-tests prior to takeoff to check for errors ● No­fly zon es: The system has the ability to set up visual no-fly zones ● Self­monitoring: Monitoring battery levels, in­flight wind speeds, and othe r system and

E nvironmental conditions are automatically handled by the system ● Battery communication: Battery minutes and flight time are displayed at all times. The system will return home and land automatically if user-configurable limits are reached.

Additional automated safety functions and safety en hancing features of the 2015 AgEagle include the following: ● Auto detection of lost GPS warns the pilot and initiates an immediate landing. ● Low battery on the 2015 AgEa gle triggers a Non

- Fatal Warning alarm to return h ome, land

and replace the battery ● Very low battery on the 2015 AgEagle triggers an Fatal Error alar m and initiates an

emergency high speed descent landing.
● If the 2015 AgEagle detects a lost-link to the base station the vehicle will perform its pre-defined Non-Fatal Condition Response.

Given these safety features, RX AG SERVICES LLC proposes that operators of the 2015 AgEagle should not be required to hold a commercial or private pilot ce rtification. Instead, operators should be required to: ● have successfully completed, at a minimum, FAA private pilot ground instruction and passed the FAA Private Pilot written examination or FAA-recognized equivalents including ICA O issued commercial, private license and ground school; ● have completed AgEagle’s training program for operation of the sUAS.

RX AG SERVICES LLC notes that the FAA has found that safety factors permitted operation of sUASs by oper ators with these qualifications in the case of operations pursuant to public COAs where the mandatory operating conditions specified above are present. See Federal Aviation Administration, Notice N-8900.227 , Unmanned Aircraft S ystems (UAS) Operational Approval, at 20-21 (July 30, 2013). The FAA has the statutory authority, granted at 49 U.S.C.§44701(f) to waive the pilot requirements for commercial operations.

Given these conditions and restrictio ns, an equivalent level of safety will be provided by allowing operation of the 2015 AgEagle without a private pilot’s certificate or a commercial pilot’s certificate, under the conditions set forth herein.

The risks associated wi th the operation of the 2015 AgEagle (given its size, speed, operational

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capabilities, and lack of combustible fuel) are so diminished from the level of risk associated with private pilot operations or commercial operations contemplated by Part xx 1 with conventional aircraft (fixed wing or rotorcraft), that allowing operations of the sUAS as set forth above meets or exceeds the present level of safety provided under 14 C.F.R. § xx 1.113(a) & (b)

and do es not rise to the level of requiring a commercial pilot to operate the airc raft under §

xx 1.133(a).

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

This regulation requires that no person may operate a civil aircraft unless i t is in airworthy condition. Should the exemption be granted allowing commercial operation of the 2015 AgEagle without an airworthiness certificate, no standard will exist for airworthiness of the 2015 AgEagle.
Given the siz e of the aircraft and the previous COAs issued for AgEagle’s 2015 AgEagle and 2015 AgEagle, an equivalent level of safety will be achieved by ensuring compliance with the AgEagle manuals prior to each flight.

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

The regulation 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 available in the aircraft a current approved airplane or Rotorcraft Flight Manual, approved manual material, markings, and placards, or any combination thereof.

Given the size and configuration of the 2015 AgEagle, it has no ability or place to carry such a flight manual on the 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.

Th e equivalent level of safety will be achieved by keeping the flight manual (see, e.g., User Guide, Exhibit 1) at the ground control point where the pilot flying the sUAS will have

immediate access to it. The FAA has issued to others the following exemptions to this regulation: Exemption Nos. 8 xx 07, 8737, 8738, 9299, 9299A, 95 xx 5, 95 xx 5B, 101 xx 7, 101 xx 7A, 10 xx 02, 32827, and

10700.

14 C.F.R. § 91.103: Preflight action

This regulation requires each pilot in comma nd 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. An equivalent level of safety will be provided as set for th in the 2015 AgEagle User Manual (exhibit 1) under the ‘Getting Ready to Fly’ section. The PIC will take all actions including reviewing weather, flight battery requirements, landing and takeoff distances and aircraft p erformance data before initiation of flight.

14 C.F.R. § 91.109(a) & 91.319(a)(1): Flight Instruction

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These regulations provide 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.

The 2015 AgEagle is a remotely piloted aircraft and by design, does not have fully functional dual controls. Flight control is accomplished through the use of a control box that communicates with the aircraft via radio communications. The flight plan is either manually controlled through point-and-click touchscreen navigation or pre-programmed as way points or an AutoGrid into the auto pilot before or during flight and only in unusual circumstances will the pilot input control functions to alter the pre-programmed flight. If instruction is accomplished through a training program, as set forth in Exhibit 2, an equivalent level of safety will be assured. The FAA has approved exemptions for flight trai ning without fully functional dual controls for a number of aircraft and for flight instruction in experimental aircraft. See Exemption Nos. 5778K & 98 xx 2A. The equivalent level of safety will be achieved by the manufacturer pro viding the training as outlined, for example, in Exhibit 2 and through the use of experienced and qualified pilots familiar with the

2015 AgEagle.

14 CFR § 91.119: Minimum Safe Altitudes

Section 91.119 establishes safe altitudes for operation of civil aircraft. Specifically, 91.119(c) limits aircraft flying over areas other than congested areas to 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 per son, vessel, vehicle, or structure.

As set forth herein, the 2015 AgEagle will never operate at higher than 400 feet AGL. It will, however, be operated to avoid congested or populated areas that are depicted in yellow on VFR sectional charts. Because aerial survey, mapping and inspection work must be accomplished at relatively low altitudes and at altitudes less than 500 feet AGL, an exemption from Section 91.119(c) is

needed.

The equivalent level of sa fety will be achieved given the size, weight, speed, and material with
which the 2015 AgEagle is built. Also, no flight will be taken without the permission of the land
owner or those who control the land. Because of the advance notice to the landowner, all affected individuals will be aware of the flights. Compared to aerial survey operations conducted with aircraft or rotorcraft weighing far more than 7.5 lbs. and carrying flammable fue l, any risk associated with these operations will be far less than those currently allowed with conventional aircraft operating at or below 500 feet AGL. Indeed, the low-altitude operations of the sUAS will maintain separa tion between these sUAS operations and the operations of conventional aircraft that must comply with Section 91.119.

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

This regulation prohibits an individual from beginni ng “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 f ly after that for at least 30 minutes; or (2) At night, to fly after that for at least 45 minutes.”

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The 2015 AgEagle ba tteries provide approximately 40 minutes of powered flight. Without an exemption from § 14 CFR 91.151, the sUAS’s flights would be limited to approximately 20 minutes in length. Given the limitations on its proposed operations and the location of those proposed operations, a longer time frame for flight in daylight VFR conditions is reasonable.

RX AG SERVICES LLC believes that an exemption from 14 CFR § 91.151(a) is safe and within the scope of a prior exemption. See Exemption 10 xx 73 (allowing Lockheed Martin Cor poration to operate without compliance with 91.151(a)). Operating the sUAS, without 30 minu tes of reserve fuel does not engender the type of risks that Section 91.151(a) was meant to prevent given the size and speed at which the sUAS operates. The fact that it carries no pilot, passenger, or cargo also enhances i ts safety. Additionally, limiting 2015 AgEagle flights to 20 minutes would greatly reduce their utility. In the unlikely event that the 2015 AgEagle should run out of fuel (battery power) , it would simply land. Given its weight and constructi on material, the risks are less than contemplated by the current regulation.

RX AG SERVICES LLC believes that an equivalent level of safety can be achieved by maintaining 10 minutes of reserve fuel, which, allo wing 3 0 minutes of flight time, would be more than adequate
to return the sUAS to its p lanned landing zone from anywhere in its operating area.

The FAA has granted similar exemptions to others, including Exemptions 2 xx 89F, 5745, 10 xx 73
and

10808.

14 C.F.R. § 91.203 (a) & (b): Carrying Civil Aircraft Certification and Registration

This regulation provides as follows:

(a) ... no person may operate a civil aircraft unless it ha s ... an appropriate and current airworthiness
certificate. (b) No per son may operate a civil aircraft unless the airworthiness certificate required by paragraph (a) of this section or a special flight authorizati on issued under §91.715 is displayed at the cabin or cockpit entrance so that it is legible to pass engers or crew.

The 2015 AgEagle fully loaded weighs approximately 7.5 lbs . As such, there is no ability or place to carry certification and registration documents or to display them on the sUAS. In addition, there is no pilot on board the aircraft.

An equivalent level of safety will be achieved by ke eping these documents at the ground control point where the pilot flying the sUAS will have immediate access to them. The FAA has issued numerous exemptions to this regulation. A representative sample of other exceptions includes Exempt ion Nos. 95 xx 5, 9 xxxx 5, 9789, 9789A, 9797, 9797A, 981 xx A, and 10700.

14 C.F.R. § 91.405(a); 407(a)(1); 409(a)(2); 417(a): Maintenance Inspections

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Section 91.405(a) requires 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 s ection, have discrepancies repaired as prescribed in part 43 of this chapter ...”

Section 91.407 similarly makes reference to requirements in Part 43; Section 91.409(a)(2) requires an annual inspection for the issuance of an air worth iness certificate. Section 91.417(a) requires the owner or operator to keep records showing certain maintenance work that has been accomplished by certificated mechanics, under Part 43, or licensed pilots and records of approval o f the
aircraft for return to service.

The 2015 AgEagle is nearly maintenance free, DroneDeploy’s software it performs automatic pre­flight checks and the failure of any check will prevent take­off. Checks which cannot be done by the system will be performed by a qualified person prior to each flight and at predefined intervals as part of the Maintenance Schedule in the User Manual (see Exhibit 1).

Pre­flight checklist includes:

1. Visual inspection of the airframe

2. Visual inspections of rotor integrity

3. Check charge of all batteries (aerial vehicle, command station, radio repeater station)

An equivalent level of safety will be achieved because the sUAS is small in size, will carry no external payload, will operate only in restricted predetermined areas and is not a complex
mechanical devise. As provided in the attached User Guide (System Maintenance section), the operator of 2015 AgEagle wil l ensure that the sUAS is in working order prior to initiating flight, perform required maintenance, and keep a log of any maintenance that is performed. Moreover, the operator is the person most familiar with the aircraf t and is best suited to maintain the aircraft in an airworthy condition and to ensure an equivalent level of safety.

The 2015 AgEagle’s Maintenance guidelines ensure an equivalent level of safety to the maintenance requirem ents in Part 91. In addition, any component failure detectable by the system will be reported to the control station and will cause the UAV to perform a Fatal Condition Response (FCR) or Non-Fatal Conditioned Response (NFCR), depending on t he type of failure.

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APPENDIX B

SMALL UNMANNED AERIAL SYSTEM DESCRIPTION

AgEagle Corporate Overview: AgEagle is a United States company located in Neodeshsa, KS

. AgEagle is focused on providing micro unmanned aerial system and is globally recognized as the market and technology leader in this space. Key customers range from individual farmers to agronomists doing research as well as others outside of the USA.

RX AG SERVICES LLC is a small precision Ag company located in Florence SD and is focused on bringing profitable precision Ag technology’s to farmers. The 2015 AgEagle will assist RX AG in bringing a strong analytical tool to help grower’s determine their crop health and address weed issue’s, seeding rates, and
fertilizer rates. The 2015 AgEagle and its sensors have the ability to help address problems before they become out of hand and that will help reduce input cost.

AgEagle systems have a demonstrated safety track record

. The AgEagle sUAS platforms were the first

to officiall y fly a total of 19,080 operational hours.

2015 AgEagle Overview : AgEagle unmanned systems have been used to map approximately 1,272,000

acres.

The AgEagle 2015 AgEagle ca n carry payloads up to 2.5 pounds . The 2015 AgEagle flies at a maximum
wind threshold of 43 M.P.H. for sustained winds and wind gusts up to 55 M.P.H.. What is unique about the AgEagle 2015 AgEagle is the system automatically compensates for wind versus relying on the operator’s ‘sense of feel’ for what the impact of the wind is at the altitude the system is flying. The end result is a system capable of gathering high quality aerial intelligence at much higher wind
thresholds. A trait t hat is imperative for many aerial inspection operations.

The 2015 AgEagle has an operational range of up to 20 Statue miles ( 17.38 Nautical Miles )

.

All flight operations are GPS controlled making the system extremely easy to navigate. At any point if the operator is not explicitly commanding the system to move, the system automatically holds its GPS position (i.e. GPS hold for reliable location hover). Camera positioning is also GPS controlled allowing for the most so phisticated camera targeting available. The flight control system employs not only GPS positioning but a variety of sensors including sonar, barometric pressure, temperature, wind speed and others to ensure the most stability of any system in its class

- regardless of
the wind.

Powered by DroneDeploy, t T he AgEagle 2015 AgEagle can be operated in both semi and fully autonomous flight modes. Creating preplanned flight paths to fly in autonomous mode is as simple as clicking on the map to create a preplanned flight path. In semi-autonomous mode, the operator clicks on the map and the AgEagle 2015 AgEagle automatically flies to the point on the map where the operator is pointing. Pre-missio n waypoints, Landing zone points and flight area dimensions can all be entered during preflight ensuring the 2015 AgEagle operates only within specified
parameters.

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The 2015 AgEagle includes many advanced safety features that makes the 2015 AgEagle the safest choice for both urban and non-urban environments. Built-in intelligent fault handling allows the

2015 AgEagle to detect a system fault while in the air, and to automatically fly back to its take-off
location and land. Faults that c an be detected include: loss of communication; pre­set wind thresholds exceeded; and low battery levels. In addition, the operator can create no fly zones or maximum flight ranges and altitudes so the system cannot enter areas deemed uns afe or unnecessary to fly over. And before every take-off automated flight checks ensure the system is flight ready before it
takes off.

The AgEagle 2015 AgEagle can be operated entirely by a touch-screen, map based interface. This means The operator only needs to command the system where to go, and the system does all the flying for the operator. Maps can be saved and flight plans can be made or recalled.

2015 AgEagle Operating Manual - System user manual available upon request.

Physical Characteristics :

Measurements

– 56” wingspan X 6.5” long Weight (without payload but with batteries )

– 7 pounds Weight with payload (T/O weight)

– 7.5 pounds
Fuel

- Batteries Landing style/type

– belly landing Propulsion System ● Engines

– The 2015 AgEagle is powered by 1 electric br ushless DC motor

. ● Batteries

– Lithium polymer batteries are sel f-contained high duration systems with SMART intelligence on-board. This includes cycle charge times, locations, GPS antenna, chemical management, and real-time data feeds to ensure maximum flight duration and sub-system safety processes. Charging is done in the included AgEagle Battery charger and can be charged via standard wall outlet, or via a vehicle.

Performance Characteristics
● Maximum Altitude

– 400 AGL
● Maximum Endurance

– 40 minute s ● Maximum Range

– VLOS (Visual Line Of Sight)
● Weather Minimums ­ NA
● Winds Maximum

– 40 MPH ● Minimum ceiling:

- VLOS (Visual Line Of Sight) ● Minimum visibility:

- VLOS (Visual Line Of Sight) ● Icing conditions

– no icing conditions ● Precipitation

– no visible moisture

Maintenance

– The UAS is nearly maintenance free, it performs automati c pre-flight checks and
the failure of any check will prevent take-off. Che cks which cannot be d one by the system will
be performed by a qualified person prior to each flight.

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Pre-flight checklist includes: ● Visual inspection of the airframe ● Visual inspections of rotor integrity ● Check charge of all batteries (aerial vehicle, command station, radio repeater station)

Reliability

– The system is designed for maximum reliability and to maintain performance over its life. The only components experience routine wear are rotors, batteries, motors, a nd legs. Battery and motor conditions are monitored by the system with deviations reported to the operator.

Contact with other objects during flight may cause other components, particularly rotors, and motor arms, to become damaged. Da maged components are likely to be detected during the full visual inspection of the airframe performed before each flight. Structural damage affecting flight characteristics will be detected by on-board sensors.

The UAV system detects numerous conditions which may make flying unsafe, such as reduced GPS accuracy, magnetic anomalies, low battery charge, battery cell imbalances, temperature fluctuations. Automatic pre-flight checks prevent the UAV from tak ing off if such conditions are present; or, if the condition is detected during flight, the system will trigger a Fatal Conditioned Response.

Fault Tolerance - The key feature of the UAV fault tolerance is its mechanical simplicity . It uses four fixed pitched rotors, each mounted on a separate motor. No control surfaces or other actuators are required for the UAS to fly. Any component failure detectable by the system will be reported
to the control station and will cause the UAV to perform a Fatal Condition Response (FCR) or Non-Fatal Conditioned Response (NFCR), depending on the type of failure.

Command and Control Systems
The 2015 AgEagle Ground Control station allows the operator simultaneous contr ol over aircraft and payloads. The touch screen control allows for quick navigation and data entry while the display screen provides all essential flight data to the operator. Telemetry data is tran smitted to the command station at least once per second.

Displayed on GCS:

● UAS Position ● Navigation Route
● UAS Tail Number

● UAS Position
● UAS Altitude ● UAS Heading ● North Seeking Arrow ● Range to Target ● Calculated target position ● Date/time ● Sensor heading and orientation relative to UAS

On-board Flight Instruments

– The UAV is equipped with an Inertial Navigation System (3-axis

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gyroscope, 3-axis magnetometer, GPS receiver, and static pressure sensor) and a sonar sensor for precision AGL altitude measurement.

On

– board computer systems

– The UAS is equipped on-board computer systems to monitor (sensors, battery, etc.), control (speeds, altitude, position, etc.), and co mmunicate (control, telemetry, etc.).

On-board guidance and navigation equipment

– The UAS can operate autonomously; it does not require any input from ground-based equipment, or from the pilot to hover in place.

Frequency Allocations

– 900 MHz, 2.4 GHz, 5.8 GHz, 1,700

– 2,100 Mhz, custom

Flight termination link

– to prevent a “fly away” or other potentially da ngerous situation a flight termination link is available to the operator at the GCS.

Takeoff and Landing

– The 2015 AgEagle has vertical lift autonomous launch and recovery. A Landing Zone “LZ” is designated by the operators and identified in the GCS softw are. For launch procedures the aircraft will takeoff and hover 3 meters directly above the LZ and hold until further operator instruction is given. The aircraft will automatically adjust for wind during this period.

Navigation System

– Specific maps can be downloaded to the display screen (such as air sectional

and geographic maps) which are overlaid with GPS positional data. Wa ypoints can be created
before and during flight operation creating specific locations and sequences for the aircraft.

Redundant Systems

– The UAS combines the input from a multitude of sensors. Even though the
data from all sensors is required for optimal system performance, a singl e sensor malfunction is likely to result in degraded performance rather than leading to a catastrophic failure.

Emergency Procedure s and System Failures

Failure Handling

– The UAS has extensive failure detection and handling capabilities. All failures are deeded to be either fatal or non-fatal. Failures classified as fatal result in a Fatal Condition Response (FCR); and failures classified as non-fatal result in a Non-Fatal Condition Response (NFCR).

Sensor Failure

– Failure of on-board flight instruments/sensors will degrade the UAS performance and will result in either a FCR or a NFCR, dependi ng on their severity. If the UAS
becomes unstable due to sensor failure, it will stop all four motors and free fall to avoid a fly away

condition.

Motor Failure

– The UAS flight performance will degrade significantly if one or more motors fail

.

A irframe Failure

– If airframe is damaged in ways that impacts flight characteristics, the UAS will behave similar to if an on-board flight instrument failed.

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Navigation System Failure

– In a navigation system failure, degr aded GPS will result in FCR or NFCR ‘s depending on failures.

Power Failure

– A complete battery failure which results in power loss to the UAS will result i n degraded flight performance.

Low Battery Condition

– Operator will be alerted of a low battery condition and will land the aircraft as
soon as able.

Low Battery Condition

– Operator will be alerted of a low battery condition and will land the aircraft as
soon as able.

Line-of-Sight Loss

– All flight operations will be conducted with the UAS within visual sight of the pi lot. If the pilot’s view becomes obstructed and line­of­sight is lost, the pilot ma y instruct the UAS to hover in place until line-of-sight is reestablished, to return to the take-off posit ion, or to land at the current position.

Security The system and communication links are encrypted by the manufacturer’s proprietary software.

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APPENDIX C

SUMMARY OF AGEAGLE SECTION 333 EXEMPTION REQUEST

RX AG SERVICES LLC hereby provides pursuant to Part 11

, a summary of its exemption appli cation to
allow commercial operation of the 2015 AgEagle small unmanned system in : agricultural market research, data collection, scouting, precision aerial survey work, mapping and inspections. An exemption is requested from the following regulations:

14 C.F.R. Part 21; 14 C.F.R. 45.23(b);

14 C.F.R. xx 1.113(a) & (b);

14 C.F.R. xx 1.133(a); 14 C.F.R. 91.7(a); 14 C.F.R. 91.9(b)(2) & (c);
14 C.F.R. 91.103; 14 C.F.R. 91.109(a);
14 C.F.R. 91.119; 14 C.F.R. 91.151(a); 14 C.F.R. 91.203(a) & (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)