### September 16, 2015

Exemption No. 12876

Regulatory Docket No. FAA

− 20 15

− 2278

Mr. John Conn

President/Owner

Conn, Inc

. dba Stage 2 Studios

5610 S outh Ouray Street

Centennial, CO 80015

Dear Mr. Conn :

This letter is to inform you that we have granted your request for exemption. It transmits our

decision, explains its basis, and gives you the conditions and limitations of the exemption,

including the date it ends.

By letter dated May 18 , you petitioned the Federal Aviation Administration (FAA) on behalf

of Conn, Inc

. dba Stage 2 Studios ( hereinafter petitioner or o perator ) for an exemption . The

petitioner requested to operate an unmanned ai rcraft system (UAS) to conduct a erial

videography/cinematography for geographical layout a nd the benefit of nonprofit

organizations

.

See Appendix A for the petition submitted to the FAA des cribing the proposed operations and

the regulations that the petitioner seeks an exemption

.

Airworthiness Certification

The UAS proposed by the petitioner are the DJI Inspire 1

, DJI Phantom 2 , and DJI Phantom

3

.

The petitioner requested relief from 14 CFR part 21, C ertification procedures for products

and parts, Subpart H

— Airworthiness Certificates

. In accordance with the statutory criteria

provided in Section 333 of P ublic Law 112

− 95 in reference to 49 U

. S

. C

. § 44704, and in

consideration of the size, weight, speed, and limited operating area associated with the

aircraft and its operation, the Secretary of Transportation has determined that this aircraft

### 2

meets the conditions of Section 333. There fore, the FAA finds that the requested relief from

14 CFR part 21

, C ertification procedures for products and parts, Subpart H

— Airworthiness

Certificates , and any associated noise certification and testing requirements of part 36, is

not necessary.

The Bas is for Our Decision

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



### . The FAA has issued grants of

exemption in circumstances similar in all material respects to those presented in your petition.

In Grants of Exemption No s

. 11062 to Astraeus Aerial ( see Docket No. FAA−2014−0352),

11109 to Clayco, Inc. ( see Docket No. FAA

− 2014

− 0507), 11112 to VDOS Global, LLC ( see Docket No. FAA−2014−0382), and 11213 to Aeryon Lab s , Inc. ( see Docket No.

FAA−2014−0642), the FAA found that the enhanced safety ac hieved using an unmanned

aircraft (UA) with the specifications described by the petitioner and carrying no passengers or

crew, rather than a manned aircraft of significantly greater proportions, carrying crew in

addition to flammable fuel, gives the FAA go od cause to find that the UAS operation enabled

by this exemption is in the public interest.

Having reviewed your reasons for requesting an exemption, I find that

—

 They are similar in all material respects to relief previously requested in Grant of

Exemp tion Nos. 11062, 11109, 11112, and 11213 ;

 The reasons stated by the FAA for granting Exemption Nos. 11062, 11109, 11112, and

11213 also apply to the situation you present; and

 A grant of exemption is in the public interest.

Our Decision

In consideration of the foregoing, I find that a grant of exemption is in the public interest.

Therefore, pursuant to the authority contained in 49 U.S.C. 106(f), 40113, and 44701,

delegated to me by the Administrator, Conn, Inc

. dba Stage 2 Studios is gr anted an exemption

from 14 CFR §§ 61.23(a) and ( c ), 61.101(e)(4 ) and (5), 61.113(a), 61.315(a) , 91.7(a),

91.119(c), 91.121, 91.151(a)(1), 91.405(a), 91.407(a)(1), 91.409(a)(1) and (2), and 91.417(a)

and (b), to the extent necessary to allow the petitioner to operate a UAS to perform aerial data

collection

. This exemption is subject to the conditions and limitations listed below.

1 

### Aerial data collection includes any remote sensing and measuring by an instrument(s) aboard the UA.

Examples include imagery (photography, video, infrared, etc.), electronic measurement (precision surveying, RF

analysis, etc.), chemical measurement (part iculate measurement, etc.), or any other gathering of data by

instruments aboard the UA.

### 3

Conditions and Limitations

In this grant of exemption, Conn, Inc

. dba Stage 2 Studios is hereafter referred to as

the operator.

Failure to comply with any of the conditions and limitations of this grant of exemption will be

grounds for the immediate suspension or rescission of this exemption.

1. Operations authorized by this grant of exemption are limited to the DJI Inspir e 1 and

DJI Phantom 2 and DJI Phantom 3 when weighing less than 55 pounds including

payload. Proposed operations of any other aircraft will require a new petition or a

petition to amend this exemption

.

2. Operations for the purpose of closed

- set motion picture and television filming are

not permitted.

3. The UA may not be operated at a speed exceeding 87 knots (100 miles per hour). The

exemption holder may use either groundspeed or calibrated airspeed to determine

compliance with the 87 knot speed restri ction. In no case will the UA be operated at

airspeeds greater than the maximum UA operating airspeed recommended by the

aircraft manufacturer.

4. The UA must be operated at an altitude of no more than 400 feet above ground level

(AGL). Altitude must be reported in feet AGL.

5. The UA must be operated within visual line of sight (VLOS) of the PIC at all times.

This requires the PIC to be able to use human vision unaided by any device other than

corrective lenses, as specified on the PIC’s FAA

- issued airman medical certificate or

U.S. driver’s license.

6. All operations must utilize a visual observer (VO). The UA must be operated within

the visual line of sight (VLOS) of the PIC and VO at all times. The VO may be used

to satisfy the VLOS requirement as long as the PIC always maintains VLOS

capability. The VO and PIC must be able to communicate verbally at all times ;

e lectronic messaging or texting is not permitted during flight operations. The PIC

must be designated before the flight and cannot transfer hi s or her designation for the

duration of the flight. The PIC must ensure that the VO can perform the duties

required of the VO.

7. This exemption and all documents needed to operate the UAS and conduct its

operations in accordance with the conditions and limitations stated in this grant of

exemption, are hereinafter referred to as the operating documents. The operating

documents must be accessible during UAS operations and made available to the

Administrator upon request. If a discrepancy exists between the conditions and

### 4

limitations in this exemption and the procedures outlined in the operating documents,

the conditions and limitati ons herein take precedence and must be followed.

Otherwise, the operator must follow the procedures as outlined in its operating

documents. The operator may update or revise its operating documents. It is the

operator’s responsibility to track such revi sions and present updated and revised

documents to the Administrator or any law enforcement official upon request. The

operator must also present updated and revised documents if it petitions for extension

or amendment to this grant of exemption. If the operator determines that any update

or revision would affect the basis upon which the FAA granted this exemption, then

the operator must petition for an amendment to its grant of exemption. The FA A’s

UAS Integration Office (AFS− 80) may be contacted if que stions arise regarding

updates or revisions to the operating documents.

8. Any UAS that has undergone maintenance or alterations that affect the UAS operation

or flight characteristics, e.g.

, replacement of a flight critical component, must undergo

a functio nal test flight prior to conducting further operations under this exemption.

Functional test flights may only be conducted by a PIC with a VO and must remain at

least 500 feet from other people. The functional test flight must be conducted in such

a mann er so as to not pose an undue hazard to persons and property.

9. The operator is responsible for maintaining and inspecting the UAS to ensure that it is

in a condition for safe operation.

10. Prior to each flight, the PIC must conduct a pre

- flight inspection an d determine the

UAS is in a condition for safe flight. The pre

- flight inspection must account for all

potential discrepancies, e.g.

, inoperable components, items, or equipment. If the

inspection reveals a condition that affects the safe operation of the UAS, the aircraft is

prohibited from operating until the necessary maintenance has been performed and the

UAS is found to be in a condition for safe flight.

11. The operator must follow the UAS manufacturer’s maintenance, overhaul,

replacement, inspection, an d life limit requirements for the aircraft and

aircraft components.

12. Each UAS operated under this exemption must comply with all manufacturer

safety bulletins.

13. Under this grant of exemption, a PIC must hold either an airline transport,

commercial, private , recreational, or sport pilot certificate. The PIC must also hold a

current FAA airman medical certificate or a valid U.S. driver’s license issued by a

state, the District of Col u mbia, Puerto Rico, a territory, a possession, or the Federal

government. T he PIC must also meet the flight revi ew requirements specified in

14 CFR § 61.56 in an aircraft in which the PIC is rated on his or her pilot certificate.

### 5

14. The operator may not permit any PIC to operate unless the PIC demonstrates the

ability to safely operate the UAS in a manner consistent with how the UAS will be

operated under this exemption, including evasive and emergency maneuvers and

maintaining appropriate distances from persons, vessels, vehicles and structures. PIC

qualification flight hours a nd currency must be logged in a manner consistent with

14 CFR § 61.51(b). Flights for the purposes of training the operator’s PICs and VOs

(traini ng, proficiency, and experience

- building) and determining the PIC’s ability to

safely operate the UAS in a ma nner consistent with how the UAS will be operated

under this exemption are permitted under the terms of this exemption. However,

training operations may only be conducted during dedicated training sessions. During

traini ng, proficiency, and experience

- bu ilding flights, all persons not essential for

flight operations are considered nonparticipants, and the PIC must operate the UA

with appropriate distance from nonparticipants in accordance with 14 CFR § 91.119.

15. UAS operations may not be conducted during n ight, as defined in 14 CFR § 1.1. All

operations must be conducted under visual meteorological conditions (VMC). Flights

under special visual flight rules (SVFR) are not authorized.

16. The UA may not operate within 5 nautical miles of an airport reference point (ARP) as

denoted in the current FAA Airport/Facility Directory (AFD) or for airports not

denoted with an ARP, the center of the airport symbo l as denoted on the current

FAA

- published aeronautical chart, unless a letter of agreement with that airport’ s

management is obtained or otherwise permitted by a COA issued to the exemption

holder. The letter of agreement with the airport management must be made available

to the Administrator or any law enforcement official upon request.

17. The UA may not be operat ed less than 500 feet below or less than 2,000 feet

horizontally from a cloud or when visibility is less than 3 statute miles from the PIC.

18. If the UAS loses communications or loses its GPS sign al, the UA must return to a

pre

- determined location within the pr ivate or controlled

- access property.

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

20. The PIC is prohibited from beginning a flight unless (considering wind and forecast

weather conditions) there is enough available power for the UA to conduct the

intended operation and to operate after that for at least five minutes or with the reserve

power recommended by the manufacturer if greater.

21. Air Traffic Organization (ATO) Certificate of Waiver or Authorization (COA). All

operations shall be cond ucted in accordance with an ATO

- issued COA. The

exemption holder may apply for a new or amended COA if it intends to conduct

operations that cannot be conducted under the terms of the attached COA

.

### 6

22. All aircraft operated in accorda nce with this exemption must be identified by serial

number, registered in accordance with 14 CFR part 47, and have identification

(N− Number) markings in accordance with 14 CFR part 45, Subpart C. Markings must

be as large as practicable.

23. Documents used by the operator to ensure the safe operation and flight of the UAS and

any documents required under 14 CFR §§ 91.9 and 91.203 must be available to the

PIC at the Ground Control Station of the UAS any time the aircraft is operating.

These documents must be made available to the Administrator or any law enforcement

official upon request.

24. The UA must remain clear and give way to all manned aviation operations and

activities at all times.

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

26. All Flight operations must be conducted at least 500 feet from all nonparticipating

persons, vessels, vehicles, and structures unless:

a. Barriers or structures are present that suffi ciently protect nonparticipating persons

from the UA and/or debris in the event of an accident. The operator must ensure

that nonparticipating persons remain under such protection. If a situation arises

where nonparticipating persons leave such protectio n and are within 500 feet of

the UA, flight operations must cease immediately in a manner ensuring the safety

of nonparticipating persons ; and

b. The owner/controller of any vessels, vehicles or structures has granted permission

for operating closer to those objects and the PIC has made a safety assessment of

the risk of operating closer to those objects and determined that it does not

present an undue hazard.

The PIC, VO, operator trainees or essential persons are not considered

nonparticipating persons unde r this exemption.

27. All operations shall be conducted over private or control led

- access property with

permission from the property owner/controller or authorized representative.

Permission from property owner/controller or authorized representative will be

obtained for each flight to be conducted.

28. Any incident, accident, or flight operation that transgresses the lateral or vertical

boundaries of the operational area as defined by the applicable COA must be reported

to the FA A's UAS Integration Office (AFS− 80) within 24 hours. Accidents must be

reported to the National Transportation Safety Board (NTSB) per instructions

contained on the NTSB Web site: www.ntsb.gov

.

### 7

If this exemption permits operations for the purpose of closed

- set motion picture and

television filming and production, the following additional conditions and limitations apply.

29. The operator must have a motion picture and television operations manual (MPTOM)

as documented in this grant of exemption.

30. At least 3 days before aerial filming, the operator of the UAS affected by this

exemption must submit a written Plan of Activities to the local Flight Standards

District Office (FSDO) with jurisdiction over the a rea of proposed filming. The 3

- day

notificatio n may be waived with the concurrence of the FSDO. The plan of activities

must include at least the following:

a. Dates and times for all flights;

b. Name and phone number of the operator for the UAS aerial filming conducted

under this grant of exemption;

c. Name a nd phone number of th e person responsible for the on

- scene operation of

the UAS;

d. Make, model, and serial or N− Number of UAS to be used;

e. Name and certificate number of UAS PICs involved in the aerial filming;

f. A statement that the operator has obtained permi ssion from property owners

and/or local officials to conduct the filming production event; the list of those

who gave permission must be made available to the inspector upon request;

g. Signature of exemption holder or representative; and

h. A description of the flight activity, including maps or diagrams of any area, city,

town, county, and/or state over which filming will be conducted and the altitudes

essential to accomplish the operation.

31. Flight operations may be conducted closer than 500 feet from participa ting persons

consenting to be involved and necessary for the filming production, as specified in the

exemption holder’s MPTOM.

Unless otherwise specified in this grant of exemption, the UAS, the UAS PIC, and the UAS

operations must comply with all applica ble parts of 14 CFR including, but not limited to,

parts 45, 47, 61, and 91.

### 8

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

Sincerely,

/ s/

John S. Duncan

Director, Flight Standards Service

EnclosuresM a y 1 8

, 2 0 1 5

U

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. D e p a r t m e n t o f T r a n s p o r t a t i o n D o c k e t M a n a g e m e n t S y s t e m

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, D C 2 0 5 9 0

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1 4 C

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. 1 1 3 ( a ) & ( b ) ; 9 1

. 7 ( a ) ; 9 1

. 9 ( b ) ( 2 ) ; 9 1

. 1 0 3 ( b ) ;

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. 1 0 9 ; 1 1 9

. 1 2 1 ; 9 1

. 1 5 1 ( a ) ; 9 1

. 2 0 3 ( a ) & ( b ) ; 9 1

. 4 0 5 ( a ) ; 9 1

. 4 0 7 ( a ) ( 1 ) ; 9 1

. 4 0 9 ( a ) ( 2 ) ;

9 1

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D e a r S i r o r M a d a m

,

W e

, C o n n

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, d b a S t a g e 2 S t u d i o s ( h e r e a f t e r r e f e r r e d t o a s S t a g e 2 S t u d i o s )

, a r e w r i t i n g p u r s u a n t

t o t h e F A A M o d e r n i z a t i o n a n d R e f o r m A c t o f 2 0 1 2 a n d t h e p r o c e d u r e s c o n t a i n e d w i t h i n 1 4 C

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o u r s m a l l u l t r a l i g h t w e i g h t u n m a n n e d a i r c r a f t s y s t e m ( “ U A S ” ) c o m m e r c i a l l y i n a i r s p a c e r e g u l a t e d b y

t h e F e d e r a l A v i a t i o n A d m i n i s t r a t i o n ( “ F A A ” )

.

A s d e s c r i b e d h e r e i n S t a g e 2 S t u d i o s a r e e x p e r i e n c e d i n f l y i n g q u a d c o p t e r s f o r r e c r e a t i o n a l p u r p o s e s

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t h o s e i n d i v i d u a l s a n d c o m p a n i e s u n f a m i l i a r w i t h t h e g e o g r a p h i c a l l a y o u t o f t h e r e g i o n s o f A l a s k a

, C o l o r a d o a n d W a s h i n g t o n a r e a

, a n d a u g m e n t n o n p r o f i t a n d c o m m u n i t y b e n e f i t a n d n o n p r o f i t

o r g a n i z a t i o n s s u c h a s U n i t e d W a y

, J e w i s h F a m i l y S e r v i c e a n d m a n y o t h e r s ; f o l l o w i n g e x e m p t i o n a n d

a p p r o v a l b y t h e F A A

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f l i g h t

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( p i l o t e d b y r e m o t e c o n t r o l ) a n d c o m p a r a t i v e l y i n e x p e n s i v e U A S ( s ) i n t i g h t l y c o n t r o l l e d a n d l i m i t e d

a i r s p a c e

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, a i r p o r t s

, h e l i p o r t s a n d v e h i c u l a r t r a f f i c

f o r c o m m u n i t y v i d e o s

, a n d w i t h i n p r o p e r t y b o u n d a r i e s f o r i n d i v i d u a l o r g a n i z a t i o n s a n d c o m p a n i e s

. C u r r e n t l y

, s i m i l a r l i g h t w e i g h t

, r e m o t e c o n t r o l l e d U A S ' s a r e l e g a l l y o p e r a t e d b y u n m o n i t o r e d a m a t e u r

h o b b y i s t s w i t h n o s a f e t y p l a n o r c o n t r o l s i n p l a c e t o p r e v e n t c a t a s t r o p h e

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m a n n e d a i r c r a f

t h a z a r d s / c a t a s t r o p h e

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, S t a g e 2 S t u d i o s

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a n d o t h e r i n f o r m a t i o n g a i n e d t h r o u g h p e r m i t t e d f l i g h t o p e r a t i o n s t o s h a r e w i t h t h e F A A t h r o u g h a n y

r e q u i r e d F A A r e p o r t s t o a s s i s t w i t h f u t u r e p r o t o c o l a n d s a f e t y r e g u l a t i o n

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G r a n t i n g o u r

, S t a g e 2 S t u d i o s ’ s

, r e q u e s t c o m p o r t s w i t h t h e S e c r e t a r y o f T r a n s p o r t a t i o n ’ s ( F A A

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t h e n a t i o n a l a i r s p a c e s y s t e m ” u n d e r S e c t i o n 3 3 3 ( c ) o f t h e R e f o r m A c t s p e c i f i c t o t h e u s e o f U A S ' s f o r

v i d e o g r a p h y / a e r i a l c i n e m a t o g r a p h y p u r p o s e s

. F u r t h e r W e

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F o r t h e r e a s o n s s t a t e d b e l o w

, W e

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a l l o w i n g u s t o o p e r a t e u l t r a l i g h t w e i g h t

, r e m o t e c o n t r o l l e d U A S ’ s f o r a c a d e m i c c o m m u n i t y a w a r e n e s s

s t a g e 2 s t u d i o s

. c o mt o b e n e f i t c o m m u n i t y i m p a c t a n d n o n p r o f i t o r g a n i z a t i o n s w h o c a n n o t a f f o r d e x p e n s i v e m a n n e d

a i r c r a f t f o r t h e s a m e p u r p o s e

. B o t h o f w h i c h w i l l p r o m o t e l o c a l e c o n o m i c g r o w t h t h r o u g h i n c r e a s e d

e m p l o y m e n t a n d i n c r e a s e d t a x b a s e

. B o t h w i t h p u b l i c s a f e t y i n m i n d b y k e e p i n g h e a v i e r m a n n e d

a i r c r a f t c o n t a i n i n g c o m b u s t i b l e f u e l t h a t p o s e s p o t e n t i a l p u b l i c h a z a r d

.

I

. C o n t a c t I n f o r m a t i o n :

S t a g e 2 S t u d i o s

, D B A C o n n

, I n c

P r e s i d e n t / O w n e r : J o h n C o n n

5 6 1 0 S

. O u r a y S t ; C e n t e n n i a l

, C O 8 0 0 1 5 P h o n e : 7 2 0

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. T h e S p e c i f i c S e c t i o n s o f T i t l e 1 4 o f t h e C o d e o f F e d e r a l R e g u l a t i o n s F r o m W h i c h S t a g e 2 S t u d i o s

, D B A C o n n

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. R e q u e s t s E x e m p t i o n a r e :

1 4 C F R 2 1 ;

1 4 C

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. R

. 4 5

. 2 3 ( b ) ;

1 4 C F R 6 1

. 1 1 3 ( a ) & ( b ) ; 1 4 C

. F

. R

. 9 1

, e t s e q

. ;

1 4 C F R 4 0 7 ( a ) ( 1 ) ;

1 4 C F R 4 0 9 ( a ) ( 2 ) ; a n d

, 1 4 C F R 4 1 7 ( a ) & ( b )

.

I I I

. T h e E x t e n t o f r e l i e f S t a g e 2 S t u d i o s s e e k s a n d t h e R e a s o n H e S e e k s S u c h R e l i e f :

W e

, S t a g e 2 S t u d i o s s u b m i t t h i s a p p l i c a t i o n i n a c c o r d a n c e w i t h t h e R e f o r m A c t

, 1 1 2 P

. L

. 9 5 § §

3 3 1

- 3 3 4

, s e e k i n g r e l i e f f r o m a n y c u r r e n t l y a p p l i c a b l e F A R s o p e r a t i n g t o p r e v e n t w e

, S t a g e 2 S t d i o s

.

c o n t e m p l a t e d c o m m e r c i a l c i n e m a t i c

, a c a d e m i c a n d o t h e r f l i g h t o p e r a t i o n s w i t h i n t h e n a t i o n a l a i r s p a c e

s y s t e m

. T h e R e f o r m A c t i n S e c t i o n 3 3 2 p r o v i d e s f o r s u c h i n t e g r a t i o n o f c i v i l u n m a n n e d a i r c r a f t

s y s t e m s i n t o o u r n a t i o n a l a i r s p a c e s y s t e m a s i t i s i n t h e p u b l i c ’ s i n t e r e s t t o d o s o

. O u r

, S t a g e 2

S t u d i o s ’ s

, u l t r a l i g h t w e i g h t U A S m e e t s t h e d e f i n i t i o n o f “ s m a l l u n m a n n e d a i r c r a f t ” a s d e f i n e d i n

S e c t i o n 3 3 1 a n d t h e r e f o r e t h e i n t e g r a t i o n o f o u r u l t r a l i g h t w e i g h t U A S i s e x p r e s s l y c o n t e m p l a t e d b y

t h e R e f o r m A c t

. W e w o u l d l i k e t o o p e r a t e o u r l i g h t w e i g h t U A S p r i o r t o t h e t i m e p e r i o d b y w h i c h t h e

R e f o r m A c t r e q u i r e s t h e F A A t o p r o m u l g a t e r u l e s g o v e r n i n g s u c h c r a f t

. T h e r e b y

, p r o v i d i n g d i r e c t

e x p e r i e n c e a n d v a l u a b l e i n f o r m a t i o n f o r f o r m a l r e g u l a t i o n t h a t c a n b e a d m i n i s t e r e d u n i f o r m l y t o a l l

p r o m o t i o n a l r e l a t e d U A S a e r i a l v i d e o a n d p h o t o g r a p h y

. T h e R e f o r m A c t g u i d e s t h e S e c r e t a r y i n

d e t e r m i n i n g t h e t y p e s o f U A S ' s t h a t m a y o p e r a t e s a f e l y i n o u r n a t i o n a l a i r s p a c e s y s t e m

. C o n s i d e r a t i o n s i n c l u d e : T h e w e i g h t

, s i z e

, s p e e d a n d o v e r a l l c a p a b i l i t i e s o f t h e U A S ' s ; W h e t h e r t h e

U A S w i l l b e o p e r a t e d n e a r a i r p o r t s o r h e a v i l y p o p u l a t e d a r e a s ; a n d

, W h e t h e r t h e U A S w i l l b e o p e r a t e d

b y l i n e o f s i g h t

. 1 1 2 P

. L

. 9 5 § 3 3 3 ( a )

. E a c h o f t h e s e i t e m s r e f l e c t i n f a v o r o f a n e x e m p t i o n f o r

u s

, S t a g e 2 S t u d i o s

. O u r U A S u t i l i z e s f o u r ( 4 ) c o u n t e r

- r o t a t i n g p r o p e l l e r s f o r b a l a n c e

, c o n t r o l a n d

s t a b i l i t y

. O u r U A S i s e q u i p p e d w i t h G P S a n d a u t o r e t u r n s a f e t y t e c h n o l o g y

. W e i g h i n g l e s s t h a n f i f t e e n

( 1 5 ) p o u n d s ( f a r b e l o w t h e m a x

. 5 5 p o u n d l i m i t ) ; i n c l u d i n g c a m e r a w i t h g i m b a l

.

S t a g e 2 S t u d i o s

, c o n s i d e r s s a f e t y a s f o r e m o s t w i t h e a c h f l i g h t

. O u r s m a l l u n m a n n e d a i r c r a f t i s

d e s i g n e d t o h o v e r i n p l a c e v i a G P S a n d o p e r a t e i n l e s s t h a n a 1 3 k n o t ( 1 5 m p h ) w i n d

. F o r s a f e t y

,

s t a b i l i t y a n d f e a r o f f i n a n c i a l l o s s w e w i l l n o t f l y i n w i n d s e x c e e d i n g 1 3 k n o t ( 1 5 m p h )

. B u i l t i n s a f e t y

s y s t e m s i n c l u d e a G P S m o d e t h a t a l l o w s o u r U A S t o h o v e r i n p l a c e w h e n r a d i o c o n t r o l s a r e r e l e a s e d

. W i t h t h r e e m o d e s t o c h o o s e f r o m

, W e u t i l i z e t h e S a f e M o d e f o r a e r i a l v i d e o g r a p h y / p h o t o g r a p h y

. T h i s

i s t h e s a f e s t

, m o s t r e l i a b l e a n d s t a b l e m o d e t o p r e v e n t a c c i d e n t a n d h a z a r d

. W h e n p i l o t

c o m m u n i c a t i o n i s l o s t U A S i s d e s i g n e d t o s l o w l y d e s c e n d t o p o i n t o f t a k e o f f

. N o U A S o p e r a t i o n s n e a r

s t a g e 2 s t u d i o s

. c o ma i r p o r t s

, H o s p i t a l s n o r P o l i c e h e l i p o r t s

, a n d d o n o t o p e r a t e n e a r a r e a s w h e r e g e n e r a l p u b l i c i s w i t h i n

f i f t y t o o n e h u n d r e d ( 5 0

- 1 0 0 ) y a r d s d e p e n d i n g o n l o c a t i o n

, c o n d i t i o n s a n d w e a t h e r

. W e a r e c o n s t a n t l y

o n a l e r t f o r a n y m a n n e d a i r c r a f t ( P o l i c e / M e d i c a l h e l i c o p t e r s

, e t c

. ) a n d p r e p a r e d t o l a n d / a b o r t

i m m e d i a t e l y t o t h e n e a r e s t a n d s a f e s t g r o u n d p o i n t s h o u l d a m a n n e d a i r c r a f t a p p r o a c h o u r l o c a t i o n o r

w e s u s p e c t m a n n e d a i r c r a f t m a y a p p r o a c h n e a r o u r l o c a t i o n

. O u r U A S i s c a p a b l e o f v e r t i c a l a n d

h o r i z o n t a l o p e r a t i o n s

, a n d a r e f l o w n o n l y w i t h i n o u r l i n e o f s i g h t o f u s

, a s t h e r e m o t e c o n t r o l p i l o t

. U t i l i z i n g b a t t e r y p o w e r r a t h e r t h a n c o m b u s t i b l e f u e l s

, f l i g h t s g e n e r a l l y l a s t b e t w e e n t e n ( 1 0 ) t o f i f t e e n

( 1 5 ) m i n u t e s

, w i t h a n a l t i t u d e u n d e r t h r e e h u n d r e d ( 3 0 0 ) f e e t

. W e

, S t a g e 2 S t u d i o s

, u t i l i z e a f r e s h

f u l l y c h a r g e d b a t t e r y w i t h e a c h f l i g h t a s a s a f e t y p r e c a u t i o n ; f u l l f l i g h t t i m e l i m i t f o r e a c h b a t t e r y i s

t e n ( 1 0 ) t o f i f

t e e n ( 1 5 ) m i n u t e s a s t e s t e d

. W e d o n o t o p e r a t e o u r U A S a t o r b e l o w m a n u f a c t u r e

r e c o m m e n d m i n i m u m c h a r g e l e v e l s f o r o p e r a t i o n ; p r e f e r r i n g t o r e m a i n w e l l w i t h i n a s a f e o p e r a t i n g

r a n g e t o i n s u r e a d e q u a t e c o m m u n i c a t i o n b e t w e e n r a d i o c o n t r o l a n d U A S t o e l i m i n a t e p o t e n t i a l f o r

c r a s h

, l o s s o f c o n t r o l o r h a z a r d

. R e s e r v e b a t t e r i e s a r e a t h a n d w i t h e a c h e x e r c i s e t o i n s u r e

r e p l a c e m e n t f o r s u f f i c i e n t s a f e l e v e l o f o p e r a t i o n

. W e d o n o t b e l i e v e i n t a k i n g r i s k t h a t m a y c a u s e a

c r a s h

, t h a t c o u l d c r e a t e h a z a r d t o t h e p u b l i c / p r o p e r t y / m a n n e d a i r c r a f t

, a n d h a v e n o d e s i r e t o l o s e a n

i n v e s t m e n t

. W e h a v e c l o c k e d n u m e r o u s p r a c t i c e f l i g h t s i n r e m o t e a r e a s a s a h o b b y i s t s i m u l a t i n g

f l i g h t s f o r f u t u r e c o m m e r c i a l u s e t o g a i n f a m i l i a r i z a t i o n w i t h t h e c h a r a c t e r i s t i c s o f t h i s s p e c i f i c U A S ' s

p e r f o r m a n c e u n d e r d i f f e r e n t t e m p e r a t u r e a n d w e a t h e r c o n d i t i o n s

. W e h a v e a l s o d e v e l o p e d a t r a i n g

c o u r s e m a n u a l a n d o u t l i n e f o r n e w m e m b e r s a s w e l l a s c u r r e n t

. A l l f o r t h e s a k e o f s a f e t y

.

W e

, S t a g e 2 S t u d i o s

, a r e e x t r e m e l y c a u t i o u s w h e n o p e r a t i n g o u r U A S / u l t r a l i g h t w e i g h t u n m a n n e d

a i r c r a f t a n d w i l l n o t “ c r e a t e a h a z a r d t o u s e r s o f t h e n a t i o n a l a i r s p a c e s y s t e m o r t h e p u b l i c

. ” 1 1 2 P

. L

. 9 5 § 3 3 3 ( b )

. G i v e n t h e s m a l l s i z e a n d w e i g h t o f o u r U A S i t f a l l s w e l l w i t h i n C o n g r e s s ’ s c o n t e m p l a t e d

s a f e t y z o n e w h e n i t p r o m u l g a t e d t h e R e f o r m A c t a n d t h e c o r r e s p o n d i n g d i r e c t i v e t o i n t e g r a t e U A S ' s

i n t o t h e n a t i o n a l a i r s p a c e s y s t e m

. S t a g e 2 S t u d i o s

, u s e d i n h o b b y f l i g h t

, h a s a d e m o n s t r a b l e s a f e t y

r e c o r d a n d d o e s n o t p o s e a n y t h r e a t t o t h e g e n e r a l p u b l i c o r n a t i o n a l s e c u r i t y

.

I V

. H o w S t a g e 2 S t u d i o ’ s R e q u e s t W i l l B e n e f i t t h e P u b l i c A s A W h o l e :

A e r i a l v i d e o g r a p h y f o r g e o g r a p h i c a l a w a r e n e s s a n d f o r s t o r y t e l l i n g f o r n o n p r o f i t

, c o m m u n i t y i m p a c t

o r g a n i z a t i o n s a s w e l l a s t o p r o m o t e n a t u r a l b e a u t y a n d t o u r i s m f o r t h e S t a t e o f A l a s k a h a s b e e n

a r o u n d f o r a l o n g t i m e t h r o u g h m a n n e d f i x e d w i n g a i r c r a f t a n d h e l i c o p t e r s

. F o r s m a l l b u d g e t

c o m p a n i e s a n d a v e r a g e n o n p r o f i t o r g a n i z a t i o n s t h e e x p e n s e o f s u c h a e r i a l v i d e o g r a p h y i s c o s t

p r o h i b i t i v e

. O n l y l a r g e c o m p a n i e s a n d h i g h e n d c i n e m a t o g r a p h e r s c a n a f f o r d t o a b s o r b s u c h e x p e n s e

. D e p r i v i n g t h e s e o r g a n i z a t i o n s f r o m a v a l u a b l e m a r k e t i n g t o o l

. M a n n e d a i r c r a f t p o s e a t h r e a t t o t h e

p u b l i c t h r o u g h p o t e n t i a l c a t a s t r o p h i c c r a s h t h a t t h e a l l o f o u r o f f i c e l o c a t i o n ’ s c o m m u n i t i e s h a v e

e x p e r i e n c e d i n t h e p a s t

. E a c h r e s u l t i n g i n l o s s o f l i f e

. E a c h w i t h c o m b u s t i b l e f u e l t h a t e x p l o d e d a n d

b u r n e d o n i m p a c t

. O u r

, S t a g e 2 S t u d i o s

, U A S p o s e n o s u c h t h r e a t s i n c e s i z e a n d l a c k o f c o m b u s t i b l e

f u e l a l l e v i a t e s a n y p o t e n t i a l t h r e a t t o t h e p u b l i c

.

C o n g r e s s h a s a l r e a d y p r o c l a i m e d t h a t i t i s i n t h e p u b l i c ’ s i n t e r e s t t o i n t e g r a t e c o m m e r c i a l l y f l o w n

U A S ' s i n t o t h e n a t i o n a l a i r s p a c e s y s t e m

, h e n c e t h e p a s s i n g o f t h e R e f o r m A c t

. G r a n t i n g O u r

, S t a g e 2

S t u d i o ' s

, e x e m p t i o n r e q u e s t f u r t h e r s t h e p u b l i c i n t e r e s t t h r o u g h a c a d e m i c / v i s u a l a w a r e n e s s o f t h e

n a t u r a l b e a u t y a n d c o m m u n i t y b e n e f i t s i n a n d a r o u n d t h e t h r e e s t a t e s o u r c o m p a n y o p e r a t e s i n

. O u r

u l t r a l i g h t w e i g h t U A S i s b a t t e r y p o w e r e d a n d c r e a t e s n o e m i s s i o n s t h a t c a n h a r m t h e e n v i r o n m e n t

. T h e c o n s e q u e n c e o f o u r u l t r a l i g h t w e i g h t U A S c r a s h i n g i s f a r l e s s t h a n a f u l l s i z e h e l i c o p t e r o r f i x e d

w i n g a i r c r a f

t ; w h i c h a r e h e a v y

, c o n t a i n c o m b u s t i b l e f u e l a n d c a n c a u s e c a t a s t r o p h i c d e v a s t a t i o n t o

t h e p u b l i c

.

s t a g e 2 s t u d i o s

. c o mT h e p u b l i c ’ s i n t e r e s t i s f u r t h e r e d b y m i n i m i z i n g e c o l o g i c a l a n d c r a s h t h r e a t b y p e r m i t t i n g a e r i a l

v i d e o / p h o t o c a p t u r e t h r o u g h o u r b a t t e r y o p e r a t e d u l t r a l i g h t w e i g h t U A S ' s

. P e r m i t t i n g u s

, S t a g e 2

S t u d i o s

, t o i m m e d i a t e l y f l y w i t h i n n a t i o n a l a i r s p a c e f u r t h e r s e c o n o m i c g r o w t h

. G r a n t i n g o u r

e x e m p t i o n r e q u e s t s u b s t a n t i a l l y f u r t h e r s t h e e c o n o m i c i m p a c t f o r t h e C o l o r a d o

, W a s h i n g t o n a n d

A l a s k a c o m m u n i t i e s f o r c o m p a n i e s l o o k i n g t o r e l o c a t e o r b u i l d i n t h e a r e a s a s w e l l a s i n d i v i d u a l s

l o o k i n g t o r e l o c a t e f o r c a r e e r a d v a n c e m e n t t h r o u g h a c a d e m i c a n d g e o g r a p h i c a l a w a r e n e s s

. B o t h o f

w h i c h s e r v e a s a s t i m u l u s t o t h e c o m m u n i t y

.

V

. R e a s o n s W h y S t a g e 2 S t u d i o ' s E x e m p t i o n W i l l N o t A d v e r s e l y A f f e c t S a f e t y O r H o w T h e E x e m p t i o n

W i l l P r o v i d e a L e v e l o f S a f e t y A t L e a s t E q u a l T o E x i s t i n g R u l e :

O u r

, S t a g e 2 S t u d i o s

, e x e m p t i o n w i l l n o t a d v e r s e l y a f f e c t s a f e t y

. Q u i t e t h e c o n t r a r y

, f o r t h e r e a s o n s

s t a t e d p e r m i t t i n g u s

, S t a g e 2 S t u d i o s

, t o l o g m o r e f l i g h t t i m e i n F A A c o n t r o l l e d a i r s p a c e

, w i t h

c o m m u n i c a t i o n w i t h t h e F A A

, w i l l a l l o w u s t o c o n t r i b u t e t o t h e i n n o v a t i o n a n d i m p l e m e n t a t i o n o f n e w

a n d n o v e l

, a s o f y e t u n d i s c o v e r e d s a f e t y p r o t o c o l s f o r C o m p a n i e s h o p i n g t o d e v e l o p a e r i a l

c i n e m a t o g r a p h y f o r d e v e l o p m e n t i n c o o p e r a t i o n w i t h t h e F A A

. I n a d d i t i o n W e

, S t a g e 2 S t u d i o s

,

s u b m i t t h e f o l l o w i n g r e p r e s e n t a t i o n s o f e n h a n c e m e n t s t o c u r r e n t a e r i a l v i d e o g r a p h y a n d p h o t o g r a p h y

f o r n o n p r o f i t a n d o t h e r o r g a n i z a t i o n s :

O u r U A S w e i g h s l e s s t h a n 1 5 p o u n d s c o m p l e t e w i t h g i m b a l a n d h i g h r e s o l u t i o n 4 k C i n e m a C a m e r a

W e o n l y o p e r a t e o u r U A S b e l o w 3 0 0 f e e t ( w e l l w i t h i n t h e 4 0 0 f o o t p e r m i s s i b l e c e i l i n g s e t b y t h e F A A

M o d e r n i z a t i o n a n d R e f o r m A c t o f 2 0 1 2 ) ;

M o s t o f o u r f l i g h t s w o u l d b e l e s s t h a n 1 0 0 f e e t a b o v e g r o u n d l e v e l ;

O u r U A S o n l y o p e r a t e f o r 1 0

- 1 5 m i n u t e s p e r f l i g h t ;

W e l a n d o u r U A S p r i o r t o m a n u f a c t u r e r r e c o m m e n d e d m i n i m u m l e v e l o f b a t t e r y p o w e r ;

W e p i l o t o u r U A S t h r o u g h r e m o t e c o n t r o l o n l y b y l i n e o f s i g h t ;

O u r U A S h a s G P S a f l i g h t s a f e t y f e a t u r e w h e r e b y i t h o v e r s a n d t h e n s l o w l y l a n d s i f c o m m u n i c a t i o n

w i t h t h e r e m o t e c o n t r o l p i l o t i s l o s t ;

W e a c t i v e l y a n a l y z e f l i g h t d a t a a n d o t h e r s o u r c e s o f i n f o r m a t i o n t o c o n s t a n t l y u p d a t e a n d e n h a n c e

s a f e t y p r o t o c o l s ;

W e o n l y o p e r a t e i n r e a s o n a b l y s a f e e n v i r o n m e n t t h a t a r e s t r i c t l y c o n t r o l l e d

, a r e a w a y f r o m p o w e r

l i n e s

, e l e v a t e d l i g h t s

, a i r p o r t s a n d a c t i v e l y p o p u l a t e d a r e a s ;

W e c o n d u c t e x t e n s i v e p r e

- f l i g h t i n s p e c t i o n s a n d p r o t o c o l

, d u r i n g w h i c h s a f e t y c a r r i e s p r i m a r y

i m p o r t a n c e ;

W e a l w a y s o b t a i n a l l n e c e s s a r y p e r m i s s i o n s p r i o r t o o p e r a t i o n ; a n d

,

W e h a v e p r o c e d u r e s i n p l a c e t o a b o r t f l i g h t s i n t h e e v e n t o f s a f e t y b r e a c h e s o r p o t e n t i a l d a n g e r

.

s t a g e 2 s t u d i o s

. c o mO u r

, S t a g e 2 S t u d i o ' s

, s a f e t y p r o t o c o l s p r o v i d e a l e v e l o f s a f e t y e q u a l t o o r e x c e e d i n g e x i s t i n g r u l e s

.

I t i s i m p o r t a n t t o n o t e t h a t a b s e n t t h e i n t e g r a t i o n o f c o m m e r c i a l U A S i n t o o u r n a t i o n a l a i r s p a c e

s y s t e m

, h e l i c o p t e r s a r e t h e p r i m a r y m e a n s o f a e r i a l v i d e o a n d p h o t o g r a p h y f o r c o m m u n i t y a w a r e n e s s

a n d v i d e o p r o d u c t i o n

. W h i l e t h e s a f e t y r e c o r d o f s u c h h e l i c o p t e r s i s r e m a r k a b l y a s t o u n d i n g

, t h e r e h a s

b e e n l o c a l i n c i d e n t i n v o l v i n g l o s s o f l i f e a s w e l l a s e x t e n s i v e p r o p e r t y d a m a g e ; i t i s f a r s a f e r t o

o p e r a t e a b a t t e r y p o w e r e d u l t r a l i g h t w e i g h t U A S

.

F i r s t

, t h e p o t e n t i a l l o s s o f l i f e i s d i m i n i s h e d b e c a u s e U A S ' s c a r r y n o p e o p l e o n b o a r d a n d w e o n l y

o p e r a t e o u r U A S i n s p e c i f i c a r e a s a w a y f r o m m a s s p o p u l a t i o n s

. S e c o n d

, t h e r e i s n o f u e l o n b o a r d a

U A S a n d t h u s t h e p o t e n t i a l f o r f i r e o r e x p l o s i o n s i s g r e a t l y d i m i n i s h e d

. T h i r d

, t h e s m a l l s i z e a n d

e x t r e m e m a n e u v e r a b i l i t y o f o u r U A S a l l o w s u s t o r e m o t e l y p i l o t a w a y f r o m a n d a v o i d h a z a r d s q u i c k l y

a n d s a f e l y

. L a s t l y

, g i v e n i t s s m a l l s i z e a n d w e i g h t

, e v e n w h e n c l o s e e n o u g h t o c a p t u r e a m a z i n g

i m a g e s

, o u r U A S n e e d n o t b e s o c l o s e t o t h e o b j e c t s t h e y a r e f o c u s e d o n t h r o u g h t h e t e c h n o l o g y a n d

u s e o f p o s t e d i t i n g s o f

t w a r e a l l o w i n g p a n a n d z o o m

.

A c c o r d i n g l y

, o u r U A S h a s b e e n e x p e r i m e n t a l l y o p e r a t e d f o r f a m i l i a r i z a t i o n / c o m p e t e n c y a n d w i l l

c o n t i n u e t o o p e r a t e a t a n d a b o v e c u r r e n t s a f e t y l e v e l s

.

V I

. A S u m m a r y T h e F A A M a y P u b l i s h i n t h e F e d e r a l R e g i s t e r :

A

. 1 4 C

. F

. R

. 2 1 a n d 1 4 C

. F

. R

. 9 1 : A i r w o r t h i n e s s C e r t i f i c a t e s

, M a n u a l s a n d T h e L i k e

.

1 4 C

. F

. R

. 2 1

, S u b p a r t H

, e n t i t l e d A i r w o r t h i n e s s C e r t i f i c a t e s

, s e t s f o r t h r e q u i r e m e n t s f o r p r o c u r e m e n t

o f n e c e s s a r y a i r w o r t h i n e s s c e r t i f i c a t e s i n r e l a t i o n t o F A R § 9 1

. 2 0 3 ( a ) ( 1 )

. T h e s i z e

, w e i g h t a n d

e n c l o s e d o p e r a t i o n a l a r e a o f o u r

, S t a g e 2 S t u d i o s ’

, U A S p e r m i t s e x e m p t i o n f r o m P a r t 2 1 b e c a u s e o u r

U A S m e e t s ( a n d e x c e e d s ) a n e q u i v a l e n t l e v e l o f s a f e t y p u r s u a n t t o S e c t i o n 3 3 3 o f t h e R e f o r m A c t

. T h e F A A i s a u t h o r i z e d t o e x e m p t a i r c r a f t f r o m t h e a i r w o r t h i n e s s c e r t i f i c a t e r e q u i r e m e n t u n d e r b o t h

t h e A c t ( 4 9 U

. S

. C

. § 4 4 7 0 1 ( f ) ) a n d S e c t i o n 3 3 3 o f t h e R e f o r m A c t

. B o t h p i e c e s o f l e g i s l a t i o n p e r m i t

t h e F A A t o e x e m p t U A S ' s f r o m t h e a i r w o r t h i n e s s c e r t i f i c a t e r e q u i r e m e n t i n c o n s i d e r a t i o n o f t h e

w e i g h t

, s i z e

, s p e e d

, m a n e u v e r a b i l i t y a n d p r o x i m i t y t o a r e a s s u c h a s a i r p o r t s a n d d e n s e p o p u l a t i o n s

. O u r

, S t a g e 2 S t u d i o s ’ s

, c u r r e n t a n d p r o j e c t e d U A S ' s m e e t o r e x c e e d e a c h o f t h e e l e m e n t s

.

1 4 C

. F

. R

. 9 1

. 7 ( a ) p r o h i b i t s t h e o p e r a t i o n o f a n a i r c r a f t w i t h o u t a n a i r w o r t h i n e s s c e r t i f i c a t e

. A s n o

s u c h c e r t i f i c a t e w i l l b e a p p l i c a b l e i n t h e f o r m c o n t e m p l a t e d b y t h e F A R s

, t h i s R e g u l a t i o n i s

i n a p p l i c a b l e

.

1 4 C

. F

. R

. § 9 1

. 9 ( b ) ( 2 ) r e q u i r e s a n a i r c r a f t f l i g h t m a n u a l i n t h e a i r c r a f t

. A s t h e r e a r e n o o n b o a r d

p i l o t s o r p a s s e n g e r s

, a n d g i v e n t h e s i z e o f t h e U A S ' s

, t h i s R e g u l a t i o n i s i n a p p l i c a b l e

. A n e q u i v a l e n t

l e v e l o f s a f e t y w i l l b e a c h i e v e d b y m a i n t a i n i n g a s a f e t y / f l i g h t m a n u a l d e l i n e a t i n g a r e a s o f w h e r e

s a f e t y c a n b e d e f i n e d

. 1 0 T h e F A A h a s p r e v i o u s l y i s s u e d e x e m p t i o n s t o t h i s r e g u l a t i o n i n E x e m p t i o n

N o s

. 8 6 0 7

, 8 7 3 7

, 8 7 3 8

, 9 2 9 9

, 9 2 9 9 A

, 9 5 6 5

, 9 5 6 5 B

, 1 0 1 6 7

, 1 0 1 6 7 A

, 1 0 6 0 2

, 1 0 7 0 0 a n d 3 2 8 2 7

.

1 4 C

. F

. R

. § 9 1

. 1 2 1 r e g a r d i n g a l t i m e t e r s e t t i n g s i s i n a p p l i c a b l e i n s o f a r a s o u r U A S u t i l i z e s e l e c t r o n i c

g l o b a l p o s i t i o n i n g s y s t e m s w i t h a b a r o m e t r i c s e n s o r

.

1 4 C

. F

. R

. § 9 1

. 2 0 3 ( a ) a n d ( b ) p r o v i d e s f o r t h e c a r r y i n g o f c i v i l a i r c r a f t c e r t i f i c a t i o n s a n d

r e g i s t r a t i o n s

. T h e y a r e i n a p p l i c a b l e f o r t h e s a m e r e a s o n s d e s c r i b e d a b o v e

. T h e e q u i v a l e n t l e v e l o f

s a f e t y w i l l b e a c h i e v e d b y m a i n t a i n i n g a n y s u c h r e

q u i r e d c e r t i f i c a t i o n s a n d r e g i s t r a t i o n s b y u s

, S t a g e 2 S t u d i o s

.

s t a g e 2 s t u d i o s

. c o m1 4 C

. F

. R

. § 4 5

. 2 3 : M a r k i n g o f T h e A i r c r a f t

. A p p l i c a b l e C o d e s o f F e d e r a l R e g u l a t i o n r e q u i r e a i r c r a f t t o b e m a r k e d a c c o r d i n g t o c e r t a i n

s p e c i f i c a t i o n s

. O u r U A S a r e

, b y d e f i n i t i o n

, u n m a n n e d

. T h e y t h e r e f o r e d o n o t h a v e a c a b i n

, c o c k p i t o r

p i l o t s t a t i o n o n w h i c h t o m a r k c e r t a i n w o r d s o r p h r a s e s

. F u r t h e r

, t w o

- i n c h l e t t e r i n g i s d i f f i c u l t t o p l a c e

o n s u c h s m a l l a i r c r a f

t w i t h d i m e n s i o n s s m a l l e r t h a t m i n i m a l l e t t e r i n g r e q u i r e m e n t

. R e g a r d l e s s

, W e w i l l

m a r k o u r U A S i n t h e l a r g e s t p o s s i b l e l e t t e r i n g b y p l a c i n g t h e w o r d “ E X P E R I M E N T A L ” o n i t s f u s e l a g e a s

r e q u i r e d b y 1 4 C

. F

. R

. § 4 5

. 2 9 ( f ) s o t h a t w e t h e p i l o t

, o r a n y o n e a s s i s t i n g m e a s a s p o t t e r w i t h t h e

U A V w i l l s e e t h e m a r k i n g s

. T h e F A A h a s p r e v i o u s l y i s s u e d e x e m p t i o n s t o t h i s r e g u l a t i o n t h r o u g h

E x e m p t i o n s N o s

. 8 7 3 8

, 1 0 1 6 7

, 1 0 1 6 7 A a n d 1 0 7 0 0

.

1 4 C

. F

. R

. § 6 1

. 1 3 3 : C o m m e r c i a l P i l o t P r i v i l e g e s a n d L i m i t a t i o n s : P I C

. P u r s u a n t t o 1 4 C

. F

. R

. § 6 1

. 1 3 3 ( a

- i

, i i )

, C o m m e r c i a l p i l o t s a r e n o t l i m i t e d t o c o m m e r c i a l o p e r a t i o n s

. W e

, S t a g e 2 S t u d i o s

, c a n a c h i e v e a n e q u i v a l e n t l e v e l o f s a f e t y a s a c h i e v e d b y c u r r e n t R e g u l a t i o n s

b e c a u s e o u r U A S d o e s n o t c a r r y a n y p i l o t s o r p a s s e n g e r s

. T h e r i s k s a t t e n d e d t o t h e o p e r a t i o n o f o u r

U A S i s f a r l e s s t h a n t h e r i s k l e v e l s i n h e r e n t i n t h e c o m m e r c i a l a c t i v i t i e s o u t l i n e d i n 1 4 C

. F

. R

. § 6 1

, e t

s e q

. T h u s

, a l l o w i n g u s

, S t a g e 2 S t u d i o s

, t o o p e r a t e o u r U A S a n d m e e t o r e x c e e d c u r r e n t s a f e t y l e v e l s

i n r e l a t i o n t o 1 4 C

. F

. R

. § 6 1

. 1 1 3 ( a ) & ( b )

.

1 4 C

. F

. R

. 9 1

. 1 1 9 : M i n i m u m S a f e A l t i t u d e s

. 1 4 C

. F

. R

. § 9 1

. 1 1 9 p r e s c r i b e s s a f e a l t i t u d e s f o r t h e o p e r a t i o n o f c i v i l a i r c r a f t

. I t a l l o w s h e l i c o p t e r s t o

b e o p e r a t e d a t l o w e r a l t i t u d e s i n c e r t a i n c o n d i t i o n s

. O u r U A S w i l l n e v e r o p e r a t e a t a n a l t i t u d e g r e a t e r

t h a n 3 0 0 A G L ; s a f e l y b e l o w t h e s t a n d a r d o f 4 0 0 A G L

. W e

, S t a g e 2 S t u d i o s l

, w i l l h o w e v e r o p e r a t e o u r

U A S i n s a f e a r e a s a w a y f r o m p u b l i c a n d t r a f f i c

, p r o v i d i n g a l e v e l o f s a f e t y a t l e a s t e q u i v a l e n t t o o r

b e l o w t h o s e i n r e l a t i o n t o m i n i m u m s a f e a l t i t u d e s

. G i v e n t h e s i z e

, w e i g h t

, m a n e u v e r a b i l i t y a n d s p e e d

o f o u r U A S

, a n e q u i v a l e n t o r h i g h e r l e v e l o f s a f e t y w i l l b e a c h i e v e d

.

1 4 C

. F

. R

. 9 1

. 4 0 5 ( a ) ; 4 0 7 ( a ) ( 1 ) ; 4 0 9 ( a ) ( 2 ) ; 4 1 7 ( a ) & ( b ) : M a i n t e n a n c e I n s p e c t i o n s

. T h e a b o v e

- c i t e d R e g u l a t i o n s r e q u i r e

, a m o n g s t o t h e r t h i n g s

, a i r c r a f t o w n e r s a n d o p e r a t o r s t o “ h a v e

[ t h e ] a i r c r a f

t i n s p e c t e d a s p r e s c r i b e d i n s u b p a r t E o f t h i s p a r t a n d s h a l l b e t w e e n r e q u i r e d i n s p e c t i o n s

,

e x c e p t a s p r o v i d e d i n p a r a g r a p h ( c ) o f t h i s s e c t i o n

, h a v e d i s c r e p a n c i e s r e p a i r e d a s p r e s c r i b e d i n p a r t

4 3 o f t h i s c h a p t e r

. . . . ”

T h e s e R e g u l a t i o n s o n l y a p p l y t o a i r c r a f t w i t h a n a i r w o r t h i n e s s c e r t i f i c a t e

. T h e y w i l l n o t

, t h e r e f o r e

,

a p p l y t o o u r

, S t a g e 2 S t u d i o s ' s

, U A S

. H o w e v e r

, a s a s a f e t y p r e c a u t i o n w e i n s p e c t o u r U A S b e f o r e a n d

a f t e r e a c h f l i g h t a s w e l l a s m a i n t a i n i n g a m a i n t a n a n c e l o g

.

A S u m m a r y T h e F A A M a y P u b l i s h i n t h e F e d e r a l R e g i s t e r : A

. 1 4 C

. F

. R

. 2 1 a n d 1 4 C

. F

. R

. 9 1 :

A i r w o r t h i n e s s C e r t i f i c a t e s

, M a n u a l s a n d T h e L i k e

. 1 4 C

. F

. R

. 2 1

, S u b p a r t H

, e n t i t l e d A i r w o r t h i n e s s

C e r t i f i c a t e s

, s e t s f o r t h r e q u i r e m e n t s f o r p r o c u r e m e n t o f n e c e s s a r y a i r w o r t h i n e s s c e r t i f i c a t e s i n

r e l a t i o n t o F A R § 9 1

. 2 0 3 ( a ) ( 1 )

. T h e s i z e

, w e i g h t a n d e n c l o s e d o p e r a t i o n a l a r e a o f o u r U A S p e r m i t s

e x e m p t i o n f r o m P a r t 2 1 b e c a u s e o u r

, S t a g e 2 S t u d i o ’ s

, U A S m e e t s a n e q u i v a l e n t l e v e l o f s a f e t y

p u r s u a n t t o S e c t i o n 3 3 3 o f t h e R e f o r m A c t

. T h e F A A i s a u t h o r i z e d t o e x e m p t a i r c r a f t f r o m t h e

a i r w o r t h i n e s s c e r t i f i c a t e r e q u i r e m e n t u n d e r b o t h t h e A c t ( 4 9 U

. S

. C

. § 4 4 7 0 1 ( f ) ) a n d S e c t i o n 3 3 3 o f

t h e R e f o r m A c t

. B o t h p i e c e s o f l e g i s l a t i o n p e r m i t t h e F A A t o e x e m p t U A S ' s f r o m t h e a i r w o r t h i n e s s

c e r t i f i c a t e r e q u i r e m e n t i n c o n s i d e r a t i o n o f t h e w e i g h t

, s i z e

, s p e e d

, m a n e u v e r a b i l i t y a n d p r o x i m i t y t o

a r e a s s u c h a s a i r p o r t s a n d d e n s e p o p u l a t i o n s

. O u r U A S m e e t s o r e x c e e d s e a c h o f t h e e l e m e n t s

. 1 4

C

. F

. R

. 9 1

. 7 ( a ) p r o h i b i t s t h e o p e r a t i o n o f a n a i r c r a f t w i t h o u t a n a i r w o r t h i n e s s c e r t i f i c a t e

. A s n o s u c h

c e r t i f i c a t e w i l l b e a p p l i c a b l e i n t h e f o r m c o n t e m p l a t e d b y t h e F A R s

, t h i s R e g u l a t i o n i s i n a p p l i c a b l e

. 1 4

C

. F

. R

. § 9 1

. 9 ( b ) ( 2 ) r e q u i r e s a n a i r c r a f t f l i g h t m a n u a l i n t h e a i r c r a f t

. A s t h e r e a r e n o p i l o t s o r

p a s s e n g e r s

, a n d g i v e n t h e s i z e o f t h e U A S ' s

, t h i s R e g u l a t i o n i s i n a p p l i c a b l e

. A n e q u i v a l e n t l e v e l o f

s t a g e 2 s t u d i o s

. c o ms a f e t y w i l l b e a c h i e v e d b y m a i n t a i n i n g a m a n u a l

. T h e F A A h a s p r e v i o u s l y i s s u e d e x e m p t i o n s t o t h i s

r e g u l a t i o n i n E x e m p t i o n N o s

. 8 6 0 7

, 8 7 3 7

, 8 7 3 8

, 9 2 9 9

, 9 2 9 9 A

, 9 5 6 5

, 9 5 6 5 B

, 1 0 1 6 7

, m a i n t e n a n c e

p r o g r a m t h a t i n v o l v e s r e g u l a r s o f t w a r e u p d a t e s a n d c u r a t i v e m e a s u r e s f o r a n y d a m a g e d h a r d w a r e

. T h e r e f o r e

, a n e q u i v a l e n t l e v e l o f s a f e t y w i l l b e a c h i e v e d

.

I n s u m m a r y

, S t a g e 2 S t u d i o s s e e k s a n e x e m p t i o n f r o m t h e f o l l o w i n g R e g u l a t i o n s :

1 4 C

. F

. R

. 2 1

, s u b p a r t H ; 1 4 C

. F

. R

. 4 5

. 2 3 ( b ) ; 1 4 C

. F

. R

. § § 6 1

. 1 1 3 ( a ) & ( b ) ; 1 4 C

. F

. R

. § 9 1

. 7 ( a ) ; 1 4

C

. F

. R

. § 9 1

. 9 ( b ) ( 2 ) ; 1 4 C

. F

. R

. § 9 1

. 1 0 3 ( b ) ; 1 4 C

. F

. R

. § 9 1

. 1 0 9 ; 1 4 C

. F

. R

. § 9 1

. 1 1 9 ; 1 4 C

. F

. R

. §

9 1

. 1 2 1 ; 1 4 C

. F

. R

. § 9 1

. 1 5 1 ( a ) ; 1 4 C

. F

. R

. § § 9 1

. 2 0 3 ( a ) a n d ( b ) ; 1 4 C

. F

. R

. § 9 1

. 4 0 5 ( a ) ; 1 4 C

. F

. R

. §

9 1

. 4 0 7 ( a ) ( 1 ) ; 1 4 C

. F

. R

. § 9 1

. 4 0 9 ( a ) ( 2 ) ; 1 4 C

. F

. R

. § 9 1

. 4 0 9 ( a ) ( 2 ) ; a n d

, 1 4 C

. F

. R

. § § 9 1

. 4 1 7 ( a )

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, S t a g e 2 S t u d i o s

, s m a l l u n m a n n e d v e h i c l e / l i g h t w e i g h t u n m a n n e d

a i r c r a f t v e h i c l e i n c o m m u n i t y a w a r e n e s s a n d r e a l e s t a t e o p e r a t i o n s

, a n d t o d e v e l o p e c o n o m i c

p l a t f o r m s f o r r e a l e s t a t e t o e n h a n c e t h e e x p e r i e n c e o f t h o s e s e e k i n g t o r e l o c a t e t o t h e C o l o r a d o

, W a s h i n g t o n o r A l a s k a a r e a s

. C u r r e n t l y

, a r e a a w a r e n e s s a n d r e a l e s t a t e a e r i a l

v i d e o g r a p h y / p h o t o g r a p h y r e l i e s p r i m a r i l y o n t h e u s e o f l a r g e r a i r c r a f t r u n n i n g o n c o m b u s t i b l e f u e l

. P o s i n g p o t e n t i a l r i s k t o t h e p u b l i c

. G r a n t i n g o u r

, S t a g e 2 S t u d i o ’ s

, r e q u e s t f o r e x e m p t i o n w i l l r e d u c e

c u r r e n t r i s k l e v e l s a n d t h e r e b y e n h a n c e s a f e t y

. O u r U A S c r a f t d o n o t c o n t a i n p o t e n t i a l l y e x p l o s i v e

f u e l

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a i r c r a f t w i t h l e s s f l i g h t t i m e

. F u r t h e r

, W e o p e r a t e a t l o w e r a l t i t u d e s a n d i n c o n t r o l l e d a i r s p a c e

e l i m i n a t i n g p o t e n t i a l p u b l i c r i s k f l y i n g t o a n d f r o m e s t a b l i s h e d a i r f i e l d s

. W e

, S t a g e 2 S t u d i o s h a v e

b e e n i n f o r m a l l y a n a l y z i n g f l i g h t i n f o r m a t i o n a n d w i l l c o m p i l e s a f e t y p r o t o c o l s a n d t h e i m p l e m e n t a t i o n

o f a f l i g h t o p e r a t i o n s m a n u a l f o r r e a l e s t a t e u s a g e t h a t e x c e e d s c u r r e n t l y a c c e p t e d m e a n s a n d

m e t h o d s f o r s a f e f l i g h t

. F o r m a l c o l l e c t i o n o f i n f o r m a t i o n s h a r e d w i t h t h e F A A w i l l e n h a n c e t h e F A A ' s

i n t e r n a l e f f o r t s t o e s t a b l i s h p r o t o c o l s f o r c o m p l y i n g w i t h t h e F A A M o d e r n i z a t i o n a n d R e f o r m A c t o f

2 0 1 2

. T h e r e a r e n o p e r s o n n e l o n b o a r d o u r

, S t a g e 2 S t u d i o s ’

, U A S a n d t h e r e f o r e t h e l i k e l i h o o d o f

d e a t h o r s e r i o u s b o d i l y i n j u r y i s s i g n i f i c a n t l y d i m i n i s h e d

. o u r

, S t a g e 2 S t u d i o ’ s

, o p e r a t i o n o f o u r U A S

,

w e i g h i n g l e s s t h a n 1 5 p o u n d s a n d t r a v e l l i n g a t l o w e r s p e e d s w i t h i n l i m i t e d a r e a s w i l l p r o v i d e a n

e q u i v a l e n t l e v e l o f s a f e t y a s t h a t a c h i e v e d u n d e r c u r r e n t F A R s

. A c c o r d i n g l y W e

, S t a g e 2 S t u d i o s

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r e s p e c t f u l l y r e q u e s t t h a t t h e F A A g r a n t o u r e x e m p t i o n r e q u e s t a n d a r e w i l l i n g t o c o o p e r a t e i n s h a r i n g

i n f o r m a t i o n t o b e n e f i t t h e F A A

, s a f e t y o f m a n n e d a i r c r a f t

, a n d t h e g e n e r a l p u b l i c a t l a r g e

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5 6 1 0 S

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, C O 8 0 0 1 5

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. 5 0 8 7 j o h n @ s t a g e 2 s t u d i o s

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