The FAA was ordered to do this in the Pirker decision. The FAA lost the Pirker case with "Prejudice" which means that they could not refile the same action. Which in all likelihood is the reason they have not been able to appeal the decision.
The FAA claimed that because they were going to appeal this decision the regulations reverted to those before the case was lost, however the judge made it very clear that the FAA did not have jurisdiction over the use of model aircraft for civil, commercial or any other use. So the FAA was forced to remove the "Operational Guidelines" that had been in place since the mid 80's.
After the FAA lost that case they appeared to try to circumnavigate the federal ruling by issuing an opinion regarding the definition of "model aircraft" in the H.R 658 - 2012 Modernization Act. That has not worked either, they had to extend the comment period and I seriously doubt the extension had anything to do with a request from the AMA.
I know online we don't really know one another, however, we certainly share a common interest in flying sUAS, but it can still be difficult to trust each other. I want to caution everyone in this debate, if you think FAA officials aren't reading this, think again. Also, don't panic, it takes a lot of bureaucratic paperwork and positioning to get such a large organization to act when all around them is changing so fast so a lot of this started months ago -- the sky isn't falling and this is not some covert conspiracy.
If you want to look for the cause for this mess look no further than Congress. Politicians might talk like they want to get this resolved quickly but anyone familiar with the Government RFP process should realize that H.R.658 is written in such a way so that the large contractors on the "Rules" committee are the only ones who can possibly comply with the pending regulations. They want to be the hero for their lobbyists at the expense of the FAA and the sUAS community.
The FAA are not the bad guys BUT that does not mean that they are in a position to protect our right to operate commercially in this market. We are the only people with the vested interest to do something about this and about the only thing we can do is organize in a way that we can gain a large enough membership that we can leverage to become part of the regulatory process.
This is a non issue. With the exception of flight corridors for IFR landings and takeoffs the NAS system starts at 500ft AGL if we stay at 400ft AGL and below then we don't need transponders, emergency beacons or radios. We don't need to see and avoid any air traffic that isn't supposed to be there. But look out for that tree!