18400 VON KARMAN AVENUE, SUITE 800 IRVINE, CALIFORNIA 92612-0514

TELEPHONE (949) 760-1121 / FAX (949) 720-0182

Direct Dial Number: (949) 224-6247

Direct Facsimile Number: (949) 224-6407

E-Mail Address: pfraidenburgh@buchalter.com

May 21, 2015

U.S. Department of Transportation

Docket Management System

1200 New Jersey Ave., SE

Washington, DC 20590

Panoptes Systems Corporation’s Petition for “Summary Grant” Exemption to

Operate Unmanned Aircraft Systems for Aerial Data Collection

FAA Regulatory Docket

NAME AND ADDRESS OF PETITIONER COUNSEL FOR PETITIONER

Panoptes Systems Corporation, Paul J. Fraidenburgh

Subsidiary of Aurora Flight Sciences BUCHALTER NEMER

Attn: Dr. Fabrice Kunzi 18400 Von Karman Ave, Suite 800

90 Broadway, Suite 11 Irvine, CA 92612

Cambridge, MA 02142 949.224.6247

617.229.6810 pfraidenburgh@buchalter.com

kunzi@panoptesuav.com

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I. PETITION SUMMARY

Pursuant to Section 333 of the FAA Modernization and Reform Act of 2012, 

Pub. L. No. 112-95 (2012), 126 Stat. 11 (“Section 333”) and the Federal Aviation 

Administration’s (“FAA”) general exemption authority under 49 U.S.C. § 44701(f),

Panoptes Systems Corporation (“Petitioner”), a subsidiary of Aurora Flight Sciences 

Corporation, hereby petitions for a “Summary Grant” Exemption from 14 C.F.R. Part 21, 

14 C.F.R. §§ 61.113(a) and (b), 61.133(a), 91.7(a), 91.9(b)(2), 91.103(b)(1), 91.119(c), 

91.121, 91.151, 91.203(a) and (b), 91.405(a), 91.407(a)(1) 91.409(a)(2), 91.417(a)-(b).

The proposed exemptions, if granted, would allow Petitioner to operate small, cameramounted unmanned aircraft systems (“UAS”) weighing 55 pounds or less for the purpose 

of research, testing, and aerial data collection.

Based on the small size of Petitioner’s UAS, the qualifications and experience of 

Petitioner’s UAS operators, and the restricted environments within which Petitioner will 

operate, the requested exemptions fall squarely within the zone of safety envisioned by 

Congress and set forth in Section 333. Additionally, the enhanced safety achieved by 

replacing significantly larger manned aircraft carrying crew and flammable fuel with 

small UAS carrying no passengers or crew and operated under the specific guidelines and 

procedures proposed by Petitioner gives the FAA good cause to find that the UAS 

operations enabled by the instant Petition are in the public interest. Because the 

requested exemption would not set precedent, and because any delay in acting on this 

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Petition would be detrimental to Petitioner, good cause exists for granting this Petition on 

an expedited basis pursuant to the FAA’s streamlined “Summary Grant” process. In 

addition, good cause exists for foregoing a published summary of the petition in the 

Federal Register. Thus, Petitioner respectfully requests that the FAA grant this nonprecedent setting exemption on an expedited basis.

II. STATUTORY AUTHORITY

A. Section 333

Section 333, titled “Special Rules for Certain Unmanned Aircraft Systems,”

provides a mechanism for seeking expedited FAA authorization of safe civil UAS 

operations in the National Airspace System (“NAS”). Section 333(a) states that the FAA 

“shall determine if certain unmanned aircraft systems may operate safely in the national

airspace system before completion of the [comprehensive] plan and rulemaking required 

by section 332(b)(1) of this Act or the guidance required by section 334 of this Act.” In 

Section 332(b)(1), Congress made it clear that Section 333 provides a mechanism for 

“expedited operational authorization.” The FAA has committed to complying with this 

mandate by granting several petitions similar to the one at hand. See, e.g., Exemption 

Nos. 11062, 11109, 11112, and 11213.

Section 333(b) identifies several factors that the FAA should consider in 

determining whether commercial UAS operations should be approved. These include 

UAS that, “as a result of their size, weight, speed, operational capability, proximity to 

airports and populated areas, and operation within visual line of sight do not create a 

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hazard to users of the [NAS] or the public or pose a threat to national security.” See 

Section 333(b).

B. Section 44701(f)

In addition to the specific authority conferred by Section 333, the FAA

Administrator has general authority to grant exemptions from the FAA’s safety 

regulations and minimum standards when the Administrator decides a requested 

exemption is in the public interest. See U.S.C. § 44701(f).

III. REQUESTED EXEMPTIONS

Petitioner requests relief from the following regulations:

Part 21 prescribes, in pertinent part, the procedural requirements for issuing and 

changing design approvals, production approvals, airworthiness certificates, and 

airworthiness approvals.

Section 61.113 prescribes that “no person who holds a private pilot certificate may 

act as a pilot in command of an aircraft that is carrying passengers or property for 

compensation or hire; nor may that person, for compensation or hire, act as pilot in 

command of an aircraft,” (see Section 61.113(a)), and that “a private pilot may, for 

compensation or hire, act as pilot in command of an aircraft in connection with any 

business or employment if: (1) The flight is only incidental to that business or 

employment; and (2) The aircraft does not carry passengers or property for compensation 

or hire,” (see Section 61.113(b)).

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Section 61.133(a) sets forth privileges for persons holding commercial pilot 

certificates, including a provision impliedly limiting to persons holding a commercial 

pilot certificate the ability to act as pilot in command of an aircraft “[f]or compensation 

or hire.”

Section 91.7(a) prescribes, in pertinent part, that no person may operate a civil 

aircraft unless it is in an airworthy condition.

Section 91.9(b)(2) prohibits operation of U.S. registered civil aircraft unless there 

is available in the aircraft a current approved Airplane or Rotorcraft Flight Manual, 

approved manual material, markings, and placards, or any combination thereof.

Section 91.103(b)(1) prescribes, in pertinent part, that each pilot in command 

shall, before beginning a flight, become familiar with all available information 

concerning that flight, to include, “For any flight, runway lengths at airports of intended 

use, and the following takeoff and landing distance information:... For civil aircraft for 

which an approved Airplane or Rotorcraft Flight Manual containing takeoff and landing 

distance data is required, the takeoff and landing distance data contained therein.”

Section 91.119(c) prescribes that, except when necessary for takeoff or landing, no 

person may operate an aircraft below the following altitudes: “Over other than congested 

areas. An altitude of 500 feet above the surface, except over open water or sparsely 

populated areas. In those cases, the aircraft may not be operated closer than 500 feet to 

any person, vessel, vehicle, or structure.”

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Section 91.121 requires, in pertinent part, each person operating an aircraft to 

maintain cruising altitude by reference to an altimeter that is set “to the elevation of the 

departure airport or an appropriate altimeter setting available before departure.”

Section 91.151(a) prescribes that no person may begin a flight in an airplane under 

VFR conditions unless (considering wind and forecast weather conditions) there is 

enough fuel to fly to the first point of intended landing and, assuming normal cruising 

speed, (1) during the day, to fly after that for at least 30 minutes; or (2) at night, to fly 

after that for at least 45 minutes.

Section 91.203 prohibits, in subpart (a), any person from operating a civil aircraft 

unless it has within it (1) an appropriate and current airworthiness certificate; and (2) an 

effective U.S. registration certificate issued to its owner or, for operation within the 

United States, the second copy of the Aircraft Registration Application as provided for in 

§ 47.31(c). Section 91.203 prescribes, in subpart (b), that no person may operate a civil 

aircraft unless the airworthiness certificate or a special flight authorization issued under § 

91.715 is displayed at the cabin or cockpit entrance so that it is legible to passengers or 

crew.

Section 91.405(a) requires, in pertinent part, that an aircraft operator or owner 

shall have the aircraft inspected as prescribed in subpart E of the same part and shall, 

between required inspections, except as provided in paragraph (c) of the same section, 

have discrepancies repaired as prescribed in Part 43 of the chapter.

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Section 91.407(a)(1) prohibits, in pertinent part, any person from operating an 

aircraft that has undergone maintenance, preventative maintenance, rebuilding, or 

alteration unless it has been approved for return to service by a person authorized under 

§ 43.7 of the same chapter.

Section 91.409(a)(2) prescribes, in pertinent part, that no person may operate an 

aircraft unless, within the preceding 12 calendar months, it has had an inspection for the 

issuance of an airworthiness certificate in accordance with part 21 of this chapter.

Section 91.417(a) and (b) prescribes, in pertinent part, that-

(a) Each registered owner or operator shall keep the following records 

for the periods specified in paragraph (b) of this section:

(1) Records of the maintenance, preventative maintenance, and 

alteration and records of the 100-hour, annual, progressive, 

and other required or approved inspections, as appropriate, 

for each aircraft (including the airframe) and each engine, 

propeller, rotor, and appliance of an aircraft. The records 

must include-

(i) A description (or reference to data acceptable to the 

Administrator) of the work performed; and

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

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(iii) The signature, and certificate number of the person 

approving the aircraft for return to service.

(2) Records containing the following information:

(i) The total time in service of the airframe, each engine, 

each propeller, and each rotor.

(ii) The current status of life-limited parts of each 

airframe, engine, propeller, rotor, and appliance.

(iii) The time since last overhaul of all items installed on 

the aircraft which are required to be overhauled on a 

specified time basis.

(iv) The current inspection status of the aircraft, including 

the time since the last inspection required by the 

inspection program under which the aircraft and its 

appliances are maintained.

(v) The current status of applicable airworthiness 

directives (AD) and safety directives including, for 

each, the method of compliance, the AD or safety 

directive number and revisions date. If the AD or 

safety directive involves recurring action, the time and 

date when the next action is required.

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(vi) Copies of the forms prescribed by § 43.9(d) of this 

chapter for each major alteration to the airframe and 

currently installed engines, rotors, propellers, and 

appliances.

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

periods prescribed:

(1) The records specified in paragraph (a)(1) of this section shall 

be retained until the work is repeated or superseded by other 

work or for 1 year after the work is performed.

(2) The records specified in paragraph (a)(2) of this section shall 

be retained and transferred with the aircraft at the time the 

aircraft is sold.

(3) A list of defects furnished to a registered owner or operator 

under § 43.11 of this chapter shall be retained until the 

defects are repaired and the aircraft is approved for return to 

service.

IV. PETITIONER’S PROPOSED OPERATIONS SATISFY SECTION 333.

A. Unmanned Aircraft System

The UAS to be operated under this request are less than 55 lbs. fully loaded, will 

be operated at a speed of no more than 87 knots (100 miles per hour), carry neither a pilot 

nor passenger, carry no explosive materials or flammable liquids, and operate exclusively 

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within a secured area. In no case will the UAS be operated at airspeeds greater than the 

maximum UAS operating airspeed recommended by the aircraft manufacturer. 

Petitioner’s UAS use a radio frequency spectrum for operation and control that complies 

with Federal Communications Commission (“FCC”) requirements, and Petitioner has 

integrated safety features into the UAS, as described in Petitioner’s Flight Operations and 

Procedures Manual (“FOPM”).

Petitioner’s UAS are equipped with redundant safety mechanisms allowing them 

to operate safely after experiencing certain in-flight failures. If a lost-link event occurs, 

including the loss of ground communications and/or the loss of a GPS signal, Petitioner’s

UAS have the ability to perform a pre-coordinated, predictable, automated flight 

maneuver and return to a predetermined location within a designated security perimeter 

for landing. The UAS further have the ability to abort a flight in the event of unpredicted 

obstacles or emergencies. The PIC will not begin a flight unless (considering wind and 

forecast weather conditions) there is enough available battery power for the UAS 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. Thus, good cause exists 

for granting Petitioner’s requested relief from 14 C.F.R. § 91.151(a) (setting forth fuel 

requirements for flight in VFR conditions).

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Petitioner’s UAS will be identified by serial number, registered in accordance with 

14 C.F.R. Part 47, and have identification (N-Number) markings in accordance with 14 

C.F.R. Part 45, Subpart C. Markings will be as large as practicable.

Regarding Petitioner’s requested relief from 14 C.F.R. § 91.121 (Altimeter 

Settings), Petitioner seeks such relief because Petitioner will not have a typical 

barometric altimeter onboard the UAS. Instead, altitude information will be provided to 

the UAS PIC via a digitally encoded telemetric data feed, which downlinks from the 

aircraft to a ground-based on-screen display. The altitude information will be generated 

by equipment installed onboard the UAS, using GPS triangulation, digitally encoded 

barometric altimeter, radio altimeter, or any combination thereof. Prior to each flight, a 

zero altitude initiation point will be established and confirmed for accuracy by the UAS 

PIC. Thus, good cause exists for granting the requested relief from 14 C.F.R. § 91.121.

Regarding Petitioner’s requested relief from 14 C.F.R. § 91.7(a), it is Petitioner’s 

understanding that Petitioner’s UAS will not require an airworthiness certificate in

accordance with 14 C.F.R. Part 21, Subpart H, and that exemption from 14 C.F.R. 

§ 91.7(a) is therefore unnecessary. To the extent such an exemption is deemed necessary, 

Petitioner asserts that it should be granted in light of the safety procedures proposed 

herein. In accordance with the pertinent part of 14 C.F.R. § 91.7(b), the operator in 

command of Petitioner’s UAS shall be responsible for determining whether the aircraft is 

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in a safe condition for flight. Petitioner’s manuals for maintenance and operations shall 

include safety checklists to be used by the operator in command prior to each flight.

Petitioner will strictly comply with safety and maintenance procedures included in 

all applicable UAS manufacturer’s instructions and operating manuals. To the extent 

such information is not included in the guidelines developed by the manufacturers, 

Petitioner will develop and document maintenance, overhaul, replacement, and inspection 

requirements, procedures to document and maintain maintenance records with regard to 

Petitioner’s UAS, and UAS technician qualification criteria. Petitioner’s operations 

manuals will include maintenance requirements for Petitioner’s UAS, including “oncondition” maintenance and modifications. In light of these mitigating factors, 

exemptions from 14 C.F.R. §§ 91.405(a), 91.407(a)(1), 91.409(a)(1) and (2), and 

91.417(a) and (b) are warranted.

B. UAS Pilot in Command

Petitioner’s UAS pilot in command (“PIC”) shall hold either an airline transport, 

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

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

the District of Columbia, Puerto Rico, a territory, a possession, or the Federal 

government. Since there are no standards for either private or commercial UAS pilot 

certificates, knowledge of airspace regulations acquired from FAA ground school and 

dexterity in the control and operation of the UAS acquired from actual operation of the 

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aircraft will be the most important factors in establishing an equivalent level of safety. 

According to the FAA, “the FAA considers the overriding safety factor for the limited 

operations proposed by the petitioner to be the airmanship skills acquired through UASspecific flight cycles, flight time, and specific make and model experience, culminating 

in verification through testing.” See Exemption No. 11062, Regulatory Docket No. FAA2014-0352, at p. 18.

With those factors in mind, Petitioner will not allow 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 and currency will be logged in a manner 

consistent with 14 C.F.R. § 61.51(b). Flights for the purpose of training Petitioner’s PICs 

and VOs (training, proficiency, and experience-building) will be conducted under the 

terms of the requested exemption. During training, proficiency, and experience-building

flights, all persons not essential for flight operations are considered nonparticipants, and 

the PIC will operate the aircraft with appropriate distance from nonparticipants in 

accordance with 14 C.F.R. § 91.119.

Regarding Petitioner’s requested relief from 14 C.F.R. § 91.9(b)(2) (Civil aircraft 

flight manual, marking, and placard requirements) and § 91.203(a) and (b), (Civil 

aircraft: certifications required), it is Petitioner’s understanding that relief from these 

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regulations is no longer necessary in light of the FAA Memorandum “Interpretation 

regarding whether certain required documents may be kept at an unmanned aircraft’s 

control station,” dated August 8, 2014. To the extent the FAA deems an exemption from 

this section necessary for Petitioner’s proposed operations, such exemption should be 

granted in light of the mitigating fact that Petitioner will maintain the documents required 

under 14 C.F.R. §§ 91.9 and 91.203 at the UAS ground control station during flights.

Additionally, 100% of Petitioner’s operations will utilize a visual observer 

(“VO”). The VO may be used to satisfy the VLOS requirement as long as the PIC 

always maintains VLOS capability. The VO and the PIC will be able to communicate 

verbally at all times during operational flights.

Regarding Petitioner’s requested relief from 14 C.F.R. § 91.103(b)(1), Petitioner 

will comply with the other applicable procedures and requirements stated in § 91.103(a) 

and (b). Specifically, the PIC will take all actions including reviewing weather, flight 

battery requirements, aircraft performance data, and landing and takeoff distances before 

initiation of a flight. The PIC will also account for all relevant site-specific conditions in 

their preflight procedures. Risks presented by sun glare will be mitigated by the PIC’s 

and VO’s ability to see other air traffic and initiate a return-to-home sequence if needed.

The PIC’s UAS operation will be limited to a unique and restricted environment. 

Given the (1) separation of the proposed operations from manned aircraft operations, (2) 

parallel nature of aeronautical knowledge requirements incumbent in obtaining a private, 

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recreational, or sport pilot certificate versus a commercial pilot’s license, and (3) the 

proposed UAS airmanship skills of Petitioner’s PICs, the additional manned airmanship 

experience of a commercial pilot would not correlate to the airmanship skills necessary 

for Petitioner’s proposed unmanned operations. Thus, Petitioner’s request for relief from 

14 C.F.R. § 61.113(a) and (b) and § 61.133(a) should be granted.

C. Operating Parameters of Petitioner’s UAS

Petitioner’s operations will remain within VLOS of the PIC and VO, below 400 

feet AGL, and at speeds below 87 knots. Only participating persons will be permitted 

within the operating area.

Operations conducted pursuant to the requested exemption will be conducted only 

during daylight hours. Permission to conduct night flights is not requested herein.

Regarding the distance from nonparticipating persons, Petitioner will ensure that 

all operations are conducted at least 500 feet from all nonparticipating persons, vessels, 

vehicles, and structures unless:

(a) Barriers or structures are present that sufficiently protect nonparticipating 

persons from the UAS and/or debris in the event of an accident. Petitioner 

will ensure that nonparticipating persons remain under such protection. If a 

situation arises where nonparticipating persons leave such protection and 

are within 500 feet of the UAS, flight operations must cease immediately in 

a manner ensuring the safety of nonparticipating persons; and

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(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 has 

determined that it does not present an undue hazard.

The PIC, VO, operator trainees, and other essential persons will not be considered 

nonparticipating persons under the requested exemption.

Unless a letter of agreement with an airport’s management is obtained or the 

operations are otherwise permitted by a Certificate of Waiver or Authorization (“COA”), 

Petitioner will not conduct UAS operations within 5 nautical miles of an airport reference 

point (“ARP”) as denoted in the current FAA Airport/Facility Directory (“AFD”). For 

airports not denoted with an ARP, Petitioner will not conduct UAS operations within 5 

nautical miles of the center of the airport symbol as denoted on the current FAApublished aeronautical chart, without the aforementioned letter of agreement or COA in 

place. The letter of agreement with airport management will be made available to the 

FAA and any law enforcement official upon request.

All operations will be conducted in accordance with a Notice to Airmen 

(“NOTAM”). Additionally, Petitioner will not operate in Class B, C, or D airspace 

without written approval from the FAA. Nor will Petitioner operate the UAS 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.

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Petitioner’s UAS will remain clear and yield the right of way to all manned 

operations and activities at all times (including, but not limited to, ultralight vehicles, 

parachute activities, parasailing activities, and hang gliders).

Petitioner requests a “blanket” COA permitting commercial UAS operations at or 

below 200 feet AGL. For all other operations, Petitioner will obtain an Air Traffic

Organization (“ATO”) issued COA prior to conducting any operations under this grant of 

exemption. In fulfilling its requirements under the COA, Petitioner will be required to 

request a NOTAM not more than 72 hours in advance, but not less than 24 hours prior to 

the operation.

When applicable, all UAS operations will be conducted in accordance with any 

state or local privacy laws.

D. The Requested Exemption Promotes the Public Interest

The enhanced safety achieved by replacing significantly larger manned aircraft 

carrying crew and flammable fuel with small UAS carrying no passengers or crew and 

operated under the specific guidelines and procedures proposed by Petitioner gives the 

FAA good cause to find that the UAS operations enabled by the instant Petition are in the 

public interest.

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www.buchalter.com
May 21, 2015

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V. CONCLUSION

For the foregoing reasons, the regulatory exemptions requested herein should be 

granted pursuant to the FAA’s expedited “Summary Grant” process and Petitioner should 

be permitted to conduct small UAS operations for the purpose of research, testing, and

aerial data collection.

Respectfully submitted,

BUCHALTER NEMER

A Professional Corporation

By

Paul J. Fraidenburgh

Counsel for Petitioner

Panoptes Systems Corporation,

Subsidiary of Aurora Flight Sciences

Buchalter Nemer

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