H. R. 302—112 
‘‘§ 44808. Carriage of property by small unmanned aircraft 
systems for compensation or hire 
‘‘(a) IN GENERAL.—Not later than 1 year after the date of 
enactment of the FAA Reauthorization Act of 2018, the Adminis-
trator of the Federal Aviation Administration shall update existing 
regulations to authorize the carriage of property by operators of 
small unmanned aircraft systems for compensation or hire within 
the United States. 
‘‘(b) CONTENTS.—Any rulemaking conducted under subsection 
(a) shall provide for the following: 
‘‘(1) Use performance-based requirements. 
‘‘(2) Consider varying levels of risk to other aircraft and 
to persons and property on the ground posed by different 
unmanned aircraft systems and their operation and tailor 
performance-based requirements to appropriately mitigate risk. 
‘‘(3) Consider the unique characteristics of highly auto-
mated, small unmanned aircraft systems. 
‘‘(4) Include requirements for the safe operation of small 
unmanned aircraft systems that, at a minimum, address— 
‘‘(A) airworthiness of small unmanned aircraft systems; 
‘‘(B) qualifications for operators and the type and 
nature of the operations; 
‘‘(C) operating specifications governing the type and 
nature of the unmanned aircraft system air carrier oper-
ations; and 
‘‘(D) the views of State, local, and tribal officials related 
to potential impacts of the carriage of property by operators 
of small unmanned aircraft systems for compensation or 
hire within the communities to be served. 
‘‘(5) SMALL UAS.—The Secretary may amend part 298 of 
title 14, Code of Federal Regulations, to update existing regula-
tions to establish economic authority for the carriage of property 
by small unmanned aircraft systems for compensation or hire. 
Such authority shall only require— 
‘‘(A) registration with the Department of Transpor-
tation; 
‘‘(B) authorization from the Federal Aviation Adminis-
tration to conduct operations; and 
‘‘(C) compliance with chapters 401, 411, and 417. 
‘‘(6) AVAILABILITY OF CURRENT CERTIFICATION PROCESSES.— 
Pending completion of the rulemaking required in subsection 
(a) of this section, a person may seek an air carrier operating 
certificate and certificate of public convenience and necessity, 
or an exemption from such certificate, using existing proc-
esses.’’. 
(b) TABLE OF CONTENTS.—The table of contents for chapter 
448 of title 49, United States Code, as added by this Act, is further 
amended by adding at the end the following: 
‘‘44808. Carriage of property by small unmanned aircraft systems for compensation 
or hire.’’. 
SEC. 349. EXCEPTION FOR LIMITED RECREATIONAL OPERATIONS OF 
UNMANNED AIRCRAFT. 
(a) IN GENERAL.—Chapter 448 of title 49, United States Code, 
as added by this Act, is further amended by adding at the end 
the following:
H. R. 302—113 
‘‘§ 44809. Exception for limited recreational operations of 
unmanned aircraft 
‘‘(a) IN GENERAL.—Except as provided in subsection (e), and 
notwithstanding chapter 447 of title 49, United States Code, a 
person may operate a small unmanned aircraft without specific 
certification or operating authority from the Federal Aviation 
Administration if the operation adheres to all of the following 
limitations: 
‘‘(1) The aircraft is flown strictly for recreational purposes. 
‘‘(2) The aircraft is operated in accordance with or within 
the programming of a community-based organization’s set of 
safety guidelines that are developed in coordination with the 
Federal Aviation Administration. 
‘‘(3) The aircraft is flown within the visual line of sight 
of the person operating the aircraft or a visual observer co- 
located and in direct communication with the operator. 
‘‘(4) The aircraft is operated in a manner that does not 
interfere with and gives way to any manned aircraft. 
‘‘(5) In Class B, Class C, or Class D airspace or within 
the lateral boundaries of the surface area of Class E airspace 
designated for an airport, the operator obtains prior authoriza-
tion from the Administrator or designee before operating and 
complies with all airspace restrictions and prohibitions. 
‘‘(6) In Class G airspace, the aircraft is flown from the 
surface to not more than 400 feet above ground level and 
complies with all airspace restrictions and prohibitions. 
‘‘(7) The operator has passed an aeronautical knowledge 
and safety test described in subsection (g) and maintains proof 
of test passage to be made available to the Administrator 
or law enforcement upon request. 
‘‘(8) The aircraft is registered and marked in accordance 
with chapter 441 of this title and proof of registration is made 
available to the Administrator or a designee of the Adminis-
trator or law enforcement upon request. 
‘‘(b) OTHER OPERATIONS.—Unmanned aircraft operations that 
do not conform to the limitations in subsection (a) must comply 
with all statutes and regulations generally applicable to unmanned 
aircraft and unmanned aircraft systems. 
‘‘(c) OPERATIONS AT FIXED SITES.— 
‘‘(1) OPERATING PROCEDURE REQUIRED.—Persons operating 
unmanned aircraft under subsection (a) from a fixed site within 
Class B, Class C, or Class D airspace or within the lateral 
boundaries of the surface area of Class E airspace designated 
for an airport, or a community-based organization conducting 
a sanctioned event within such airspace, shall make the location 
of the fixed site known to the Administrator and shall establish 
a mutually agreed upon operating procedure with the air traffic 
control facility. 
‘‘(2) UNMANNED
AIRCRAFT
WEIGHING
MORE
THAN
POUNDS.—A person may operate an unmanned aircraft 
weighing more than 55 pounds, including the weight of any-
thing attached to or carried by the aircraft, under subsection 
(a) if— 
‘‘(A) the unmanned aircraft complies with standards 
and limitations developed by a community-based organiza-
tion and approved by the Administrator; and
H. R. 302—114 
‘‘(B) the aircraft is operated from a fixed site as 
described in paragraph (1). 
‘‘(d) UPDATES.— 
‘‘(1) IN GENERAL.—The Administrator, in consultation with 
government, stakeholders, and community-based organizations, 
shall initiate a process to periodically update the operational 
parameters under subsection (a), as appropriate. 
‘‘(2) CONSIDERATIONS.—In updating an operational param-
eter under paragraph (1), the Administrator shall consider— 
‘‘(A) appropriate operational limitations to mitigate 
risks to aviation safety and national security, including 
risk to the uninvolved public and critical infrastructure; 
‘‘(B) operations outside the membership, guidelines, 
and programming of a community-based organization; 
‘‘(C) physical characteristics, technical standards, and 
classes of aircraft operating under this section; 
‘‘(D) trends in use, enforcement, or incidents involving 
unmanned aircraft systems; 
‘‘(E) ensuring, to the greatest extent practicable, that 
updates to the operational parameters correspond to, and 
leverage, advances in technology; and 
‘‘(F) equipage requirements that facilitate safe, effi-
cient, and secure operations and further integrate all 
unmanned aircraft into the national airspace system. 
‘‘(3) SAVINGS CLAUSE.—Nothing in this subsection shall be 
construed as expanding the authority of the Administrator to 
require a person operating an unmanned aircraft under this 
section to seek permissive authority of the Administrator, 
beyond that required in subsection (a) of this section, prior 
to operation in the national airspace system. 
‘‘(e) STATUTORY CONSTRUCTION.—Nothing in this section shall 
be construed to limit the authority of the Administrator to pursue 
an enforcement action against a person operating any unmanned 
aircraft who endangers the safety of the national airspace system. 
‘‘(f) EXCEPTIONS.—Nothing in this section prohibits the 
Administrator from promulgating rules generally applicable to 
unmanned aircraft, including those unmanned aircraft eligible for 
the exception set forth in this section, relating to— 
‘‘(1) updates to the operational parameters for unmanned 
aircraft in subsection (a); 
‘‘(2) the registration and marking of unmanned aircraft; 
‘‘(3) the standards for remotely identifying owners and 
operators of unmanned aircraft systems and associated 
unmanned aircraft; and 
‘‘(4) other standards consistent with maintaining the safety 
and security of the national airspace system. 
‘‘(g) AERONAUTICAL KNOWLEDGE AND SAFETY TEST.— 
‘‘(1) IN GENERAL.—Not later than 180 days after the date 
of enactment of this section, the Administrator, in consultation 
with manufacturers of unmanned aircraft systems, other 
industry stakeholders, and community-based organizations, 
shall develop an aeronautical knowledge and safety test, which 
can then be administered electronically by the Administrator, 
a community-based organization, or a person designated by 
the Administrator.
H. R. 302—115 
‘‘(2) REQUIREMENTS.—The Administrator shall ensure the 
aeronautical knowledge and safety test is designed to ade-
quately demonstrate an operator’s— 
‘‘(A) understanding of aeronautical safety knowledge; 
and 
‘‘(B) knowledge of Federal Aviation Administration 
regulations and requirements pertaining to the operation 
of an unmanned aircraft system in the national airspace 
system. 
‘‘(h) COMMUNITY-BASED ORGANIZATION DEFINED.—In this sec-
tion, the term ‘community-based organization’ means a membership- 
based association entity that— 
‘‘(1) is described in section 501(c)(3) of the Internal Revenue 
Code of 1986; 
‘‘(2) is exempt from tax under section 501(a) of the Internal 
Revenue Code of 1986; 
‘‘(3) the mission of which is demonstrably the furtherance 
of model aviation; 
‘‘(4) provides a comprehensive set of safety guidelines for 
all aspects of model aviation addressing the assembly and oper-
ation of model aircraft and that emphasize safe aeromodelling 
operations within the national airspace system and the protec-
tion and safety of individuals and property on the ground, 
and may provide a comprehensive set of safety rules and 
programming for the operation of unmanned aircraft that have 
the advanced flight capabilities enabling active, sustained, and 
controlled navigation of the aircraft beyond visual line of sight 
of the operator; 
‘‘(5) provides programming and support for any local 
charter organizations, affiliates, or clubs; and 
‘‘(6) provides assistance and support in the development 
and operation of locally designated model aircraft flying sites. 
‘‘(i) RECOGNITION
OF COMMUNITY-BASED ORGANIZATIONS.—In 
collaboration with aeromodelling stakeholders, the Administrator 
shall publish an advisory circular within 180 days of the date 
of enactment of this section that identifies the criteria and process 
required for recognition of community-based organizations.’’. 
(b) TECHNICAL AND CONFORMING AMENDMENTS.— 
(1) TABLE OF CONTENTS.—The table of contents for chapter 
448 of title 49, United States Code, as added by this Act, 
is further amended by adding at the end the following: 
‘‘44809. Exception for limited recreational operations of unmanned aircraft.’’. 
(2) REPEAL.—Section 336 of the FAA Modernization and 
Reform Act of 2012 (49 U.S.C. 40101 note) and the item relating 
to that section in the table of contents under section 1(b) 
of that Act are repealed. 
SEC. 350. USE OF UNMANNED AIRCRAFT SYSTEMS AT INSTITUTIONS 
OF HIGHER EDUCATION. 
(a) EDUCATIONAL AND RESEARCH PURPOSES.—For the purposes 
of section 44809 of title 49, United States Code, as added by 
this Act, a ‘‘recreational purpose’’ as distinguished in subsection 
(a)(1) of such section shall include an unmanned aircraft system 
operated by an institution of higher education for educational or 
research purposes.