Drones Taking Flight for Public Entities

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Watch OUT https://www.youtube.com/watch?v=P9rnTk6FBzs

Poll Drone Usage Concerns Coverage Your Questions and Experiences Agenda Poll Drone Usage Concerns Coverage Your Questions and Experiences Are Always Welcome Together, we’ are focusing on 3 areas important to drones Drone Basics: we’ll cover the fundamentals of drones – also known as unmanned aircraft systems – from the basic terminology to the technology available Legal Framework: next, we’ll discuss the legal framework that governs the use of drones. There are existing federal regulations and federal regulations that are being developed. On top of that, there may be state and local regulations Utilization & Risks: finally, we will address how public entities are using drones and the risks that entails.

Drone Poll Are You Using Drones? When Did You Learn They Were Being Used? Did the User Obtain Your Permission? + A COA? Many people – and much of the media – refer to the term “drones”   The term sounds a little ominous as it calls to mind military laser guide missiles targeting a national enemy. But the government and industry typically uses the term “unmanned aircraft system” or “UAS” The main reason is that most drones are not simply the vehicle itself. They are complex systems of hardware and software You may also hear the term “UAV,” which refers to an “unmanned aerial vehicle” You may also hear them called “remotely piloted aircraft,” to underline that there’s always a human controlling it, and it’s not some mindless -- or worse – machine making the decisions The key point: it’s a system that includes the vehicle, but also other hardware and software components that interact with humans

Drone Poll Is One Drone Being Used for More Than One Operation or Department? Any Contracted Drone Usage? Have Drones Improved Your Operation?

Drone Concerns Are There Protocols in Place? Write Out the Rules + Make Sure They Are Followed

Drone Concerns Have You Run Into Any Difficulties With Your Drones? If So How Was It Addressed?

UAS Basics What Are Drones? Unmanned Aerial Vehicles (UAV) Unmanned Aerial Systems (UAS) Student Unmanned Aerial Systems (SUAS) Remote Piloted Aircraft Systems (RPAS) Model / Recreational Aircraft Less Than 55 Pounds Fewer Regulations Unmanned Surface Vehicles

Drone Usage Police Use Surveillance - Photography Inspection Accident Reconstruction

Drone Usage Infrastructure Inspections Roofs, Spires, Antennas Bridges + Roads Rivers + Levees Outlying Fields What is Growing Out There?

Utility Inspection Electrical + Telephone Wire Towers Oil Pipes Drone Usage Utility Inspection Electrical + Telephone Wire Towers Oil Pipes Wind Turbines Water Towers Dams Power Plants + Sub Stations

Drone Usage Fire Suppression

Drone Usage Any Other Usage?

Legal Framework for UAS Three Spheres of Regulation Federal State Local

Legal Framework for UAS Federal Aviation Administration (FAA) is responsible for Setting and Enforcing Safety Standards in National Airspace (NAS) Since 2008, the FAA has been trying to Fashion Comprehensive Regulations to Govern the use of UASs (FAR) Still no formal set of Rules – Suggestions released in February of 2015 with a deadling set for September of 2015, but rules are still pending Still Testing + researching drone usage at 6 sites nationwide In December 2013, FAA established 6 testing areas around the country to research UAS technology to inform the process of developing regulations. [Alaska, Nevada, New York, North Dakota, Texas, Virginia] Recently allowed North Dakota to fly at all heights at any time of day

Legal Framework for UAS Scope of FAA Authority Recreational Use Not Regulated Below 400 Feet + Within Sight All Other Operations Are Regulated Operational Limitations - i.e. - Not near airports Operator Certification Aircraft requirements UAS are supposed to stay out of National AirSpace Exceptions Allowed Governmental Agencies Must apply for a COA or an Exemption 333 FAR – Federal Aviation Regulations - Section 333 a request for exemption from some of the FAR No fee required to do so by FAA The drone still has to be registered, if it is going to be used for commercial reasons With No COA, it should not be used HOW TO OBTAIN – Registered within 45 days of approval Operation of UAV Pilot Certification Crew Certification Training Medical Certification Airworthiness of UAV Reporting Trained Pilot; Sometimes an FAA Pilot Certificate Specific Purposes of Use Specific Geographic Area Specific Time Periods Coordination with Air Traffic Control Facilities Line of Sight

State Regulation Varies Legal Framework for UAS State Regulation Varies Over 20 States have Enacted Laws Addressing UASs Some Allow Usage, Some Do Not In 2015, 45 States considered 154 bills related to Drones Some states waiting for final FAA rules before approving any State legislature State Regulation Varies Most Deal with How Law Enforcement can Use UAVs Other Issues include: Hunting, Traffic Enforcement, Data Retention, Privacy and Disclosure of Information to 3rd Parties Likely to Find Conflicts with FAA Regulations

State/Local Laws More than THIRTY municipalities have passed their own ordinances/laws regarding the use of drones including: Miami/Chicago/Seattle/Pittsburgh/Los Angeles: • Pittsburgh banned the use of drones above, within or in the vicinity of a public park • Chatham Township, New Jersey prohibits the use of drones launched from, landing on, or flying above government or public buildings, property, or parks • Los Angeles passed an ordinance that approximately mirrors FAA recreational drone guidelines with a punishment for violators of up to $1,000 and six months in jail Other municipalities have previously banned the uses of drones altogether from flying within the airspace of the city - St. Bonifacius, MN- Northampton, MA: Iowa City IA Basically regarding the restriction of unwarranted surveillance – Nothing New in Ks or Mo Missouri Revised Statutes Aircraft and Airports 2014 House Bills #46 + 1204 Chapter 305.635-641 Pending Search Warrant Requirement ISO’s Recommended Endorsements Are Now Approved for Use in Missouri For Commercial General Liability

FAA Response FAA RESPONSE: “If municipalities enacted ordinances regulating UAS in the navigable airspace and a significant number of municipalities followed suit, fractionalized control of the navigable airspace could result. In turn, this ‘patchwork quilt’ of differing restrictions could severely limit the flexibility of FAA in controlling the airspace and flight patterns, and ensuring safety and an efficient air traffic flow. A navigable airspace free from inconsistent state and local restrictions is essential to the maintenance of a safe and sound air transportation system.” Registration Operational limitations: Weight – 55 pounds Line of sight Daytime Max speed = 100 mph Max altitude = 500ft   Operator Certification & Responsibilities Testing, initially & every 2 years Vetting by FAA Obtain an operator certificate Pre-flight inspection Aircraft Requirements Airworthiness certification not required Aircraft registration & markings required

Wisconsin Wisconsin SB 338 prohibits using a drone to interfere with hunting, fishing or trapping. AB 670 prohibits the operation of UAS over correctional facilities. First one some people like to inhibit hunting, etc Second one because of Ohio Incident

Drone Concerns Surveillance and Privacy Rights ACLU Involvement Privacy Safeguards Drone Proliferation / Air Traffic Jams Park Service Safety State and Federal Oversight / Statutes FAA Rules / Permits / Licensing Warrants + Entreprenurial Litigation

UAS Insurance Risks Possible Types of Exposure Property Damage Bodily Injury Invasion of Privacy Cyber-Attack Operators & Public Officials

Underwriting Considerations UAS Insurance Underwriting Considerations Aircraft Definition Owners Liability Non-Owners Liability

Questions or Comments Knowbeforeyoufly.org

Contact Information Richard A. Spiers CPCU, ARM, ARe Genesis Mgmt and Insurance Services Chicago, Ill richard.spiers@gumc.com Phone: (312) 526-7566