Fly or no?

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There is a dark red marked off spot near the airport. Obviously I can't fly there. However, I Am in the lighter red circle. Can I fly. Do I have to notify ATC? just would never want to fly anywhere that I would need to notify anyone as I believe it's an unnecessary risk all the way around. Not looking for trouble; just looking to have fun.
 

N017RW

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Page 41 of the manual covers this as well as a link to a video explaining it further.
 

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