Drones: Are they Risky Business? Andrew Kay- Divisional Vice - - PowerPoint PPT Presentation

Drones: Are they Risky Business?

Andrew Kay- Divisional Vice President

Great American Property & Casualty Public Sector Division

10-23-2015

Cool `Footage

Headlines…

“Secret Service Arrests Man After Drone Flies Near White House” “Drone slams into seating area at U.S. Open; teacher arrested”

Commonly Used Names:

• Remotely Piloted Aircraft System (RPAS)
• Unmanned Aerial Vehicle (UAV)
• Model Airplane / Model Aircraft

Defined as an aircraft without a human pilot aboard. The flight of UAVs may be controlled either autonomously by onboard computers or by the remote control of a pilot on the ground or in another vehicle.

What is a Drone?

Drone systems may include:

• Control station
• Computer software
• Data links
• Communication systems
• Navigational tools

Military Applications We are not talking about…

Public Sector Drone Application:

• Crime, accident, and fire scene investigation and documentation
• Search and rescue operations
• Law enforcement surveillance
• Fire suppression activities
• Tactical advantage and live imaging in hostile situations
• Monitoring and inspecting infrastructure
• Aerial photography, filming of events
• Property inspections and appraisals

Advantages:

• Reduce costs
• Increase efficiencies
• Reduce dangers or injury to personnel
• Produce better outcomes
• Offer enhanced perspectives on projects

Current Legal Environment for Local Government Entities Go Figure - Still Evolving, Very Fluid…

Governmental Regulation exists at various level:

• Federal
• State
• Local

Federal Regulation

The Federal Aviation Administration (FAA) limit how drones can be used by both the public and private sectors. Responsibilities:

• Control safety standards in the national airspace
• Establish regulations to incorporate drones into national airspace
• Currently regulate drones over 400 feet
• Grant permission for all commercial and governmental use
• Promote safe operations

FAA Regulation Continued:

The FAA presently oversees government ownership and

• peration of drones – including ownership and
• peration by local governments and schools – as

“public aircraft operation.” Public aircraft operation requires a certificate of authorization (COA) from the FAA, managed through an

• nline portal.

Public Sector Civil/Commercial

Regulated through a different process referred to as “Section 333 exemption.” Over 900 FAA exemptions to fly drones have been handed out to farmers, railroads, security services, and medical facilities. www.KnowBeforeYouFly.org

Obtaining a COA

60 to 90 day approval process

State Regulation

In 2015, 45 states have considered 150 drone related bills

• Largely focused on privacy rights

Be it enacted by the General Assembly of the State of South Carolina: SECTION 1. Article 7, Chapter 11, Title 16 of the 1976 Code is amended by adding: "Section 16-11-605. (A) Any person wilfully causing or allowing an unmanned aerial vehicle, an unpiloted aerial vehicle, or a remotely piloted aerial vehicle under his control that is equipped with a camera or a recording device to enter upon or above the lands of another, without the consent of the owner, shall be deemed guilty of a misdemeanor and upon conviction shall, for a first offense, be fined not more than two hundred dollars or imprisoned for not more than thirty days, for a second offense, be fined not less than one hundred dollars nor more than two hundred dollars or imprisoned for not more than thirty days and, for a third or subsequent offense, be fined not less than five hundred dollars nor more than one thousand dollars

• r imprisoned for not more than six months or both. A first or second offense prosecution resulting in a

conviction shall be reported by the magistrate or city recorder hearing the case to the communications and records division of the South Carolina Law Enforcement Division which shall keep a record of such conviction so that any law enforcement agency may inquire into whether or not a defendant has a prior record. Only those offenses which occurred within a period of ten years, including and immediately preceding the date of the last offense, shall constitute prior offenses within the meaning of this section.

South Carolina Specific

Some local governments are attempting to control aspects of drone use within their borders. Some may seek to create licensure requirements, prohibiting use of drones in certain locations under their land use and zoning power, and imposing other restrictions.

Local Regulation Conflicts

To the extent any state and local legislation overlaps with federal requirements, there is the potential for conflict. Federal requirements likely preempt states’ requirements in civil rights and matters under the jurisdiction of the FAA.

Federal > State > Local

Educational Drone Application

Engineering Curriculum Marching Band Practice Photography Senior Class Picture Sports Science Experiments Marketing/Promotion Building Maintenance/Evaluation

School Projects Not Recommended

School Ownership & Operation

• Develop a plan for use
• Implement policies and procedures
• Secure an operator whose credentials meet the requirements of the FAA
• Obtain a Certificate of Authority (COA)
• Educate Students and Volunteers

• Drones will be flown only by staff who have successfully completed basic flight operation class

training and can pass a basic skills test to certify safe operation, safe take off, safe travel in horizontal low level flight and safe landing on a closed-course indoor circuit.

• Drones will be flown outdoors by 2 person crews consisting of one pilot of record and one

spotter.

• All Drone flights will be (Firmware) ceiling limited to 400ft above take-off altitude and will

remain in line of sight control at all times. Additionally, Altitude firmware will also limit flights in FAA designated restricted airspaces.

• All drone flights will be prohibited over large crowds or congregations of people.
• Drones will not fly when any element of safety or visual flight reference capability is in

question.

• Outdoor Drone flights will be logged with: date, time, location, and crew.
• Drone flight will be used as practice/training exercises for recorded aerial news, scenery, and

educational data acquisition and only by individuals who are compliant with regulations.

• Drone flight will be limited to drones that are below the FAA weight limit of 55lbs. and typical

models will be DJI Phantom (1.6lbs), DJI Phantom 2 (1.7lbs), and DJI Inspire (3.6lbs), all of which are below current FAA thresholds for approval.

Drone Usage Guidelines

Risks of Drone Use

• Accidents/Collisions
• Trespassing
• Privacy breech and civil rights violations
• School Board legal liability
• Cyber risks
• Regulatory violations
• Failure to supervise or limit use

Types of coverage consideration for drone related losses

General Liability (3rd Party BI, PI, PD) Physical damage to drone/hull coverage Workers’ Compensation Cyber

Evaluating your OWN School exposure

• Detailed information about the number, type and specifications of drone(s)

being used;

• the base station and transmitter; payload (cameras or other

equipment);

• Operators’ names, training, certification, and experience;
• Specific intended uses
• How information gathered will be protected and controlled;
• Maintenance of logs
• Proof of a COA from the FAA for the intended use(s)

Start Collecting Information

Obtaining this information should not be difficult, because current FAA rules require a member to present much of it to obtain a COA.

Enforcement

FAA Expands Unmanned Aircraft Pathfinder Efforts

• Locate operators of small drones flying illegally
• Track radio signals within 5-mile radius
• Identify operator’s location

* FAA receiving 100 reports monthly from drone sighting in flight *

There is no public entity use of a drone that falls outside a regulatory

• process. If the drone use takes place above 400 feet, it is regulated by

the FAA. Any public entity use under 400 feet would not be classified as “recreational,” whether operated directly by the local government agency, a third party contractor, or a volunteer. If a public entity is making any use of a drone, it must comply with FAA regulatory guidelines.

Summary

Don’t let me Drone on….

Questions and Answers