On April 19, 2016, the full Senate of the United States passed the “Federal Aviation Administration Reauthorization Act of 2016” (“FAA Act”), which had been previously passed by the full House of Representatives in February, 2016.  The FAA Act contains several notable provisions, the first of which, Section 2142, regarding federal preemption of local drone regulations, was approved by the Senate Commerce, Science and Transportation Committee on March 17, 2016, and reported in this publication on March 31.  

The FAA Act, as finally approved by the Senate, devotes substantial additional space to unmanned aircraft systems (“UAS”), and, most notably for this purpose, Section 2141, “Carriage of Property by Small Unmanned Aircraft Systems for Compensation or Hire.”  (Section 2141 will be codified in the main body of the legislation at Section 44812.)  That provision was clearly authored by Amazon, which has made considerable noise about the capability of UAS to deliver its products expeditiously and at low cost.  The FAA Act gives the Secretary of Transportation two years to issue a final rule authorizing the carrying of property by operations of small UAS within the United States.  
 
The requirement for the contents of the final rule is, however, clearly specified in the Act.  
 

First, each carrier of property will be required to obtain a “Small Unmanned Aircraft System Air Carrier Certificate” which must include:  

A. Consideration the unique characteristics of highly automated unmanned aircraft systems; and
 
B. Minimum requirements for safe operations, including
 
(i) Confirmation of airworthiness;
 
(ii) Qualifications of operators; and
 
(iii) Operating specifications.
 
In addition, the FAA Act requires a process for issuance “that is performance based and ensures required safety levels are met.”  Section 44812(b)(2).  Specifically, the Bill requires the certification process to consider:
 
A. The safety risks of operating UAS around other UAS and over persons and property on the ground;
 
B. Competencies and compliance” of manufacturers, operators, and parts manufacturers of UAS; and
 
C. Compliance with requirements established in other sections of the legislation.
 
Finally, the legislation establishes a “small unmanned aircraft system air carrier classification” to “establish economic authority for the carriage of property,” Section 44812(b)(3), which only requires registration with the Department of Transportation, and a valid Small Unmanned Aircraft System Air Carrier Certificate issued pursuant to the legislation.  
 
Clearly, there is much more involved in assessing the readiness of UAS to transport packages over inhabited areas.  Only the final rule will reveal the full scope of the regulation that may be necessary to monitor and control a proliferating industry.