Steve Chrisman: Growth at Pendleton range slowed by Federal Aviation Administration

By Steve Chrisman
Eastern Oregon Regional Airport Manager
Published:  September 18, 2015 2:05PM


In 2013, Eastern Oregon Regional Airport was designated as an Unmanned Aerial System (UAS) Test Range for the use of drones. The UAS industry is projected to generate 104,000 jobs nationwide and attract $82 billion in investment in the next 10 years, according to industry sources.

The test ranges were intended to play a vital role in developing a process for UAS businesses to gain the ability to use their technology commercially. Thus, nationwide the acquisition of an FAA-approved range became a rare and highly sought after designation. The city invested over $500,000 of funds they had received in the sale of an industrial building to develop the necessary rules, regulations and infrastructure to meet the needs of future customers.

What has been the holdup?

The biggest one is that the FAA has given no indication of what the path to commercialization will be for vehicles heavier than 55 pounds. The primary motivation of most UAS companies is getting their vehicle approved to fly in the National Airspace System (NAS), so that they can make money.

They are understandably reluctant to spend money without knowing they are working towards some achievable goal (commercialization). The city and many industry insiders believe that path will eventually follow a similar form to what already exists in manned aviation, but only the FAA can make that determination. Until that happens, most companies will wait.

The FAA has approved over 1,300 Section 333 exemptions, which has allowed those companies to do limited commercial operations without using the test ranges.

Almost all of those exemptions are for vehicles under 55 lbs., operating with many restrictions, and for only two years. Despite being temporary, the 333 exemption has only served to further muddy the waters and give industry a false belief that this is their long term solution.

Also, process for public operations is unwieldy. Because we are structured under the University of Alaska in the Pan Pacific Test Range Complex, the process requires private UAS companies to sell or lease us their vehicle for a minimum of 90 days before they are able to fly. These companies have been flying on military bases and overseas, and are not accustomed to this leasing requirement. It adds time and expense to a process that they are not even 100 percent sure they need yet.

Do we have any customers? Why do we have customers based on what was said above?

Yes, we have seven companies/organizations actively seeking operations in the Pendleton UAS Range. We are close to signing our first contract with a well-known organization. This should at least get some bodies on the range and get some vehicles in the air.

What this organization wants — as well as several others — is a safe, controlled environment to train their people to do operations. They are currently conducting research in far-off places, and would like an area much closer to home (and much less expensive) to train their people.

The other two areas we are seeing interest in is the training of customers that have purchased U.S.-made vehicles/sensors, and in companies needing very unique terrain or infrastructure (mountains, wind turbines, etc.). Though this interest is encouraging, these are a much smaller niche markets. The best outcome will be getting the FAA to establish the true path to commercialization and then driving all that business through the test sites.

Can we afford to keep this going? How long can we afford this to keep dragging out?

We have not been paying our contractor, Peak 3, since last winter, so our costs are minimal. Our contractor only makes money if they get people under contract and flying here in the range. At present, our marketing is primarily tradeshow, website and direct salesperson contact, which is relatively inexpensive. There are really no other costs associated with the range.

Currently, the market landscape and path to commercialization are still very nebulous. The industry demand is very real, but it will require an FAA-approved pathway to be established. Since Congress’ intent with the test sites was to expedite NAS integration, so the U.S. could capitalize on this $82 billion economic opportunity, we are confident that path will eventually be established.

It’s difficult to dispute that UAS are the future of aviation. As industry demand builds and the technology proliferates, air space safety alone will mandate the need for clear vehicle certification and flight training standards. Many industry insiders believe the role of the test ranges will be vital in that endeavor, and the Pendleton UAS Range is very well positioned amongst those ranges.

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Steve Chrisman is the Airport Manager and Economic Development Director for the city of Pendleton. He can be reached at his office at the Eastern Oregon Regional Airport or by calling him at 541-276-7754.

Source: http://www.eastoregonian.com