83_FR_14858 83 FR 14791 - Proposed Expansion of the Arroyo Seco Viticultural Area

83 FR 14791 - Proposed Expansion of the Arroyo Seco Viticultural Area

DEPARTMENT OF THE TREASURY
Alcohol and Tobacco Tax and Trade Bureau

Federal Register Volume 83, Issue 67 (April 6, 2018)

Page Range14791-14795
FR Document2018-07093

The Alcohol and Tobacco Tax and Trade Bureau (TTB) proposes to expand the approximately 18,240-acre ``Arroyo Seco'' viticultural area in Monterey County, California, by approximately 90 acres. The established Arroyo Seco viticultural area and the proposed expansion area both lie within the established Monterey viticultural area and the larger, multi-county Central Coast viticultural area. TTB designates viticultural areas to allow vintners to better describe the origin of their wines and to allow consumers to better identify wines they may purchase. TTB invites comments on this proposed amendment to its regulations.

Federal Register, Volume 83 Issue 67 (Friday, April 6, 2018)
[Federal Register Volume 83, Number 67 (Friday, April 6, 2018)]
[Proposed Rules]
[Pages 14791-14795]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-07093]


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DEPARTMENT OF THE TREASURY

Alcohol and Tobacco Tax and Trade Bureau

27 CFR Part 9

[Docket No. TTB-2018-0003; Notice No. 172]
RIN 1513-AC36


Proposed Expansion of the Arroyo Seco Viticultural Area

AGENCY: Alcohol and Tobacco Tax and Trade Bureau, Treasury.

ACTION: Notice of proposed rulemaking.

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SUMMARY: The Alcohol and Tobacco Tax and Trade Bureau (TTB) proposes to 
expand the approximately 18,240-acre ``Arroyo Seco'' viticultural area 
in Monterey County, California, by approximately 90 acres. The 
established Arroyo Seco viticultural area and the proposed expansion 
area both lie within the established Monterey viticultural area and the 
larger, multi-county Central Coast viticultural area. TTB designates 
viticultural areas to allow vintners to better describe the origin of 
their wines and to allow consumers to better identify wines they may 
purchase. TTB invites comments on this proposed amendment to its 
regulations.

DATES: Comments must be received by June 5, 2018.

ADDRESSES: Please send your comments on this notice to one of the 
following addresses:
     Internet: http://www.regulations.gov (via the online 
comment form for this notice as posted within Docket No. TTB-2018-0003 
at ``Regulations.gov,'' the Federal e-rulemaking portal);
     U.S. Mail: Director, Regulations and Rulings Division, 
Alcohol and Tobacco Tax and Trade Bureau, 1310 G Street NW, Box 12, 
Washington, DC 20005; or
     Hand delivery/courier in lieu of mail: Alcohol and Tobacco 
Tax and Trade Bureau, 1310 G Street NW, Suite 400, Washington, DC 
20005.
    See the Public Participation section of this notice for specific 
instructions and requirements for submitting comments, and for 
information on how to request a public hearing or view or obtain copies 
of the petition and supporting materials.

FOR FURTHER INFORMATION CONTACT: Karen A. Thornton, Regulations and 
Rulings Division, Alcohol and Tobacco Tax and Trade Bureau, 1310 G 
Street NW, Box 12, Washington, DC 20005; phone 202-453-1039, ext. 175.

SUPPLEMENTARY INFORMATION: 

Background on Viticultural Areas

TTB Authority

    Section 105(e) of the Federal Alcohol Administration Act (FAA Act), 
27 U.S.C. 205(e), authorizes the Secretary of the Treasury to prescribe 
regulations for the labeling of wine, distilled spirits, and malt 
beverages. The FAA Act provides that these regulations should, among 
other things, prohibit consumer deception and the use of misleading 
statements on labels and ensure that labels provide the consumer with 
adequate information as to the identity and quality of the product. The 
Alcohol and Tobacco Tax and Trade Bureau (TTB) administers the FAA Act 
pursuant to section 1111(d) of the Homeland Security Act of 2002, 
codified at 6 U.S.C. 531(d). The Secretary has delegated various

[[Page 14792]]

authorities through Treasury Department Order 120-01, dated December 
10, 2013, (superseding Treasury Order 120-01, dated January 24, 2003), 
to the TTB Administrator to perform the functions and duties in the 
administration and enforcement of these provisions.
    Part 4 of the TTB regulations (27 CFR part 4) authorizes TTB to 
establish definitive viticultural areas and regulate the use of their 
names as appellations of origin on wine labels and in wine 
advertisements. Part 9 of the TTB regulations (27 CFR part 9) sets 
forth standards for the preparation and submission of petitions for the 
establishment or modification of American viticultural areas (AVAs) and 
lists the approved AVAs.

Definition

    Section 4.25(e)(1)(i) of the TTB regulations (27 CFR 4.25(e)(1)(i)) 
defines a viticultural area for American wine as a delimited grape-
growing region having distinguishing features, as described in part 9 
of the regulations, and a name and a delineated boundary, as 
established in part 9 of the regulations. These designations allow 
vintners and consumers to attribute a given quality, reputation, or 
other characteristic of a wine made from grapes grown in an area to the 
wine's geographic origin. The establishment of AVAs allows vintners to 
describe more accurately the origin of their wines to consumers and 
helps consumers to identify wines they may purchase. Establishment of 
an AVA is neither an approval nor an endorsement by TTB of the wine 
produced in that area.

Requirements

    Section 4.25(e)(2) of the TTB regulations (27 CFR 4.25(e)(2)) 
outlines the procedure for proposing the establishment of an AVA and 
provides that any interested party may petition TTB to establish a 
grape-growing region as an AVA. Petitioners may use the same procedures 
to request changes involving existing AVAs. Section 9.12(c) of the TTB 
regulations (27 CFR 9.12(c)) prescribes standards for petitions for 
modifying established AVAs. Petitions to expand an established AVA must 
include the following:
     Evidence that the region within the proposed expansion 
area boundary is nationally or locally known by the name of the 
established AVA;
     An explanation of the basis for defining the boundary of 
the proposed expansion area;
     A narrative description of the features of the proposed 
expansion area affecting viticulture, including climate, geology, 
soils, physical features, and elevation, that make the proposed 
expansion area similar to the established AVA and distinguish it from 
adjacent areas outside the established AVA boundary;
     The appropriate United States Geological Survey (USGS) 
map(s) showing the location of the proposed expansion area, with the 
boundary of the proposed expansion area clearly drawn thereon; and
     A detailed narrative description of the proposed expansion 
area boundary based on USGS map markings.

Petition To Expand the Arroyo Seco AVA

    TTB received a petition from Ann Hougham, owner of the Mesa del Sol 
Vineyards, proposing to expand the established ``Arroyo Seco'' AVA. The 
Arroyo Seco AVA (27 CFR 9.59) was established by T.D. ATF-131, which 
published in the Federal Register on April 15, 1983 (48 FR 16245). The 
Arroyo Seco AVA covers approximately 18,240 acres in Monterey County, 
California, and is located within the established Monterey AVA (27 CFR 
9.98) and the larger, multi-county Central Coast AVA (27 CFR 9.75).
    The proposed expansion area contains approximately 90 acres and is 
adjacent to the far southwestern corner of the Arroyo Seco AVA. The 
proposed expansion area is located on an upland terrace on the northern 
bank of a creek known as the Arroyo Seco, which is Spanish for ``dry 
creek.'' There is one vineyard covering a total of approximately 14 
acres within the proposed expansion area. The petition included a copy 
of an email from the Arroyo Seco Winegrowers, stating that the proposed 
expansion was shared with its members and received no objections. 
Unless otherwise noted, all information and data pertaining to the 
proposed expansion area contained in this document come from the 
petition and its supporting exhibits.

Name Evidence

    The petition provides evidence that the proposed expansion area is 
associated with the name ``Arroyo Seco.'' The petitioner states that 
the address of her vineyard is Arroyo Seco Road, which also runs 
through the Arroyo Seco AVA. The creek known as the Arroyo Seco forms 
the southern and eastern boundary of the proposed expansion area and 
also flows through the established Arroyo Seco AVA. Two maps were 
included in the petition as evidence that the proposed expansion area 
is part of the larger region referred to as the ``Arroyo Seco.'' The 
first map was created by the State of California and shows proposed dam 
sites in the ``Arroyo Seco watershed.'' The confluence of Piney Creek 
and the Arroyo Seco, which is the location of the proposed expansion 
area, appears on this map. The second map is a wildlife survey study 
map that was produced by California State University-Monterey Bay and 
is titled ``Aquatic Life and Habitat in the Arroyo Seco Watershed.'' 
The bend in the Arroyo Seco where the proposed expansion area is 
located is shown on the map, and symbols on the map indicate that the 
region was included as part of the Arroyo Seco watershed aquatic life 
survey.
    The petition also includes evidence that the proposed expansion 
area has historically been associated with the name ``Arroyo Seco.'' An 
excerpt from a book that chronicles the history of the region states, 
``From April 15, 1880, when the first tract of 80 acres was patented to 
a George M. Moore, until August 22, 1924, * * * a total of 316 
homesteads were granted in the Arroyo Seco area.'' \1\ A second 
excerpt, from the memoirs of local resident Fred Weybret, Jr., 
describes his childhood in the region from 1928 to 1933 and notes, 
``There was no electricity in the Arroyo Seco at that time * * * '' \2\ 
The petition also included the ownership history of the petitioner's 
property, obtained from a title company, which shows that her property 
was once part of the land mentioned in the book as belonging to Mr. 
Moore and was owned by the Weybret family from 1928 to 1945.
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    \1\ Coelho, Al. The Arroyo Seco. 1982.
    \2\ Weybret, Fred Jr. (2002). Arroyo Seco. Unpublished memoir 
manuscript.
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Boundary Evidence

    The Arroyo Seco AVA is located along the sloping bench lands 
surrounding the Arroyo Seco, which flows into the Salinas River near 
Soledad. The Arroyo Seco AVA is irregularly shaped, with the main 
portion of the AVA roughly resembling a triangle with its apex pointing 
to the southwest. A long, narrow ``panhandle'' extends from the apex of 
the triangle and is aligned west to east. The ``panhandle'' is formed 
by a series of straight lines that follow the southern boundaries of 
several sections on the USGS Sycamore Flat quadrangle map. The 90-acre 
proposed expansion area is a roughly triangular area adjacent to the 
southern edge of the ``panhandle,'' near the confluence of Piney Creek 
and the Arroyo Seco.
    The proposed expansion area boundary begins at the intersection of

[[Page 14793]]

Arroyo Seco Road, Carmel Valley Road, and the southwestern corner of 
section 22 of the USGS Sycamore Flat quadrangle map. This intersection 
is also the beginning point for southern boundary of the ``panhandle'' 
portion of the current AVA boundary. Instead of proceeding east along 
the southern boundary of section 22, as the current boundary does, the 
proposed expansion area boundary proceeds southwesterly along Arroyo 
Seco Road to Piney Creek. The proposed boundary then proceeds 
southeasterly (downstream) along Piney Creek to its confluence with the 
Arroyo Seco. The proposed boundary then proceeds northeasterly 
(downstream) along the Arroyo Seco and rejoins the current AVA boundary 
at the intersection of the Arroyo Seco with the southern boundary of 
section 22.
    The proposed expansion area is bordered to the north by the 
established Arroyo Seco AVA. The petition states that the land 
surrounding the proposed expansion area in the other directions is 
mostly unavailable for commercial viticulture. Due south of the 
proposed expansion area, along the southern bank of the Arroyo Seco, is 
a large parcel of land owned by the Big Sur Land Trust to be kept as 
open space in perpetuity. To the west, southwest, and southeast of both 
the proposed expansion area and the Big Sur Land Trust property is the 
Ventana Wilderness portion of the Los Padres National Forest. Because 
of its status as a Federally-protected wilderness within a National 
Forest, this land is largely unavailable for commercial purposes. 
Although the Sycamore Flat USGS quadrangle map shows several inholdings 
(privately-held lands) within the National Forest, the petition 
describes the forest as a largely roadless, mountainous area with 
little land suitable for viticulture, even in the inholdings where 
commercial viticulture might be permitted.

Distinguishing Features

    The petition states that the soils and topography of the proposed 
expansion area are similar to those of the established Arroyo Seco AVA.
Soils
    T.D. ATF-131 described the soils of the Arroyo Seco AVA as gravelly 
and fine sandy loams with low lime content. The principal soil series 
within the AVA are Mocho, Lockwood, Arroyo Seco, Rincon, Elder, and 
Chular. The soils are described as well-drained. T.D. ATF-131 did not 
describe the soils of the regions surrounding the Arroyo Seco AVA.
    The proposed expansion petition included a soil report generated 
from the USDA Natural Resources Conservation Service website, as well 
as a report from a soil analysis performed on the petitioner's property 
by an agricultural testing service. The testing service's report shows 
that the three sample sites from within the proposed expansion area all 
have low levels of lime, similar to the soils within the Arroyo Seco 
AVA. The USDA soil report concludes that approximately 96 percent of 
the soils within the proposed expansion area are from the Lockwood 
series, and that minor amounts of soils from the Elder and Mocho series 
are also present. The results from both reports indicate that the soils 
within the proposed expansion area are very similar to the soils found 
within the established AVA.
    The soils within both the proposed expansion area and the 
established AVA affect viticulture. Vines planted in soils with low 
levels of lime are typically slightly acidic and are better able to 
absorb key nutrients, such as iron and phosphorous, than vines planted 
in soils with high levels of lime. Well-drained soils reduce the risk 
of fungal disease and rot.
Topography
    T.D. ATF-131 states that the Arroyo Seco AVA consists of sloping 
bench land surrounding the Arroyo Seco. Slope angles within the AVA are 
described as between 0 and 9 percent. According to T.D. ATF-131, 
elevations are highest within the far western portion of the AVA, where 
elevations can reach over 600 feet in the foothills of the Santa Lucia 
Mountains. The sloping elevations allow cold air to drain from the 
vineyards, reducing the risk of frost.
    According to the USGS topographic map included in the petition, 
elevations within the proposed expansion area are similar to those of 
the adjacent region that is within the Arroyo Seco AVA, which range 
from approximately 600 feet along the banks of the Arroyo Seco to an 
unnamed peak with an elevation of 1,110 feet. For comparison, 
elevations within the proposed expansion area are highest within the 
northern portion, adjacent to the established AVA's southern boundary, 
at approximately 700 feet. Elevations in the southern portion of the 
proposed expansion area, adjacent to the Arroyo Seco, are approximately 
600 feet. The USDA soil report included with the proposed expansion 
petition states that the slope angles within the proposed expansion 
area are between 0 and 9 percent, which is the same as the range of 
slope angles attributed to the established AVA in T.D. ATF-131. The 
USDA soil report also states that the principal landforms of the 
proposed expansion area are terraces and alluvial fans, which is 
similar to the topography of the established AVA. Finally, a USGS 
geologic map of the Salinas River Valley and the Arroyo Seco shows that 
the terrace formation on which the proposed expansion area is located 
extends into the Arroyo Seco AVA.

Comparison of the Proposed Arroyo Seco AVA Expansion Area to the 
Existing Monterey and Central Coast AVAs

Monterey AVA
    The Monterey AVA was established by T.D. ATF-177, which was 
published in the Federal Register on June 15, 1984 (49 FR 24714). The 
Monterey AVA is located in Monterey County, California, south and 
southeast of the city of Salinas, and covers approximately two-thirds 
of the county. Elevations within the Monterey AVA are generally below 
1,000 feet. The soils of the Monterey AVA are described as having low 
levels of lime and salt, with pH levels between 5.1 and 8.4, as well as 
very low levels of organic matter.
    The proposed Arroyo Seco AVA expansion area has elevations and 
soils similar to the Monterey AVA. Within the proposed expansion area, 
the highest elevations are between 600 and 700 feet. The soils of the 
proposed expansion area are also low in lime and salt and have pH 
levels of between 6.2 and 6.6. However, the soil analysis provided in 
the expansion petition shows that the soils of the proposed expansion 
area have medium-to-high levels of organic matter, compared to the very 
low levels of organic matter that characterize the Monterey AVA. 
Additionally, the expansion petition provided evidence that the 
proposed expansion area is frequently described as being in an area 
referred to as the ``Arroyo Seco,'' rather than being described with 
the broader County name of ``Monterrey.''
Central Coast AVA
    The large, 1 million-acre Central Coast AVA was established by T.D. 
ATF-216, which was published in the Federal Register on October 24, 
1985 (50 FR 43128). The Central Coast viticultural area encompasses the 
California counties of Alameda, Contra Costa, Monterey, San Benito, San 
Francisco, San Luis Obispo, San Mateo, Santa Barbara, Santa Clara, and 
Santa Cruz, and it contains 39 established AVAs. T.D. ATF-216 describes 
the Central Coast viticultural area as extending from Santa Barbara to 
the San Francisco Bay

[[Page 14794]]

area, and east to the California Coastal Ranges. The only 
distinguishing feature of the California Coast AVA addressed in T.D. 
ATF-216 is that all of the included counties experience marine climate 
influence due to their proximity to the Pacific Ocean.
    The Arroyo Seco AVA and the proposed expansion area are both 
located within the Central Coast AVA. Cool marine breezes enter the 
established AVA and the proposed expansion area from Monterey Bay via 
the Salinas River and the Arroyo Seco. However, because of their 
locations east of the Santa Lucas Mountains, neither the Arroyo Seco 
AVA nor the proposed expansion area are as exposed to the marine air 
and fog as the more western regions of the Central Coast AVA that are 
closer to the ocean. Additionally, due to its much smaller size, the 
topographical features of the proposed expansion area are more uniform 
than the diverse features of the large, multicounty Central Coast AVA, 
and are more similar to the topographical features of the Arroyo Seco 
AVA, which is located on the same sloping bench lands and terraces 
along the Arroyo Seco as the proposed expansion area.

TTB Determination

    TTB concludes that the petition to expand the boundaries of the 
established Arroyo Seco AVA merits consideration and public comment, as 
invited in this notice of proposed rulemaking.

Boundary Description

    See the narrative description of the boundary of the petitioned-for 
expansion area in the proposed regulatory text published at the end of 
this proposed rule.

Maps

    To document the existing and proposed boundaries of the Arroyo Seco 
AVA, the petitioner provided a copy of the required map, and it is 
listed below in the proposed regulatory text.

Impact on Current Wine Labels

    Part 4 of the TTB regulations prohibits any label reference on a 
wine that indicates or implies an origin other than the wine's true 
place of origin. For a wine to be labeled with an AVA name, at least 85 
percent of the wine must be derived from grapes grown within the area 
represented by that name, and the wine must meet the other conditions 
listed in Sec.  4.25(e)(3) of the TTB regulations (27 CFR 4.25(e)(3)). 
If the wine is not eligible for labeling with an AVA name and that name 
appears in the brand name, then the label is not in compliance and the 
bottler must change the brand name and obtain approval of a new label. 
Similarly, if the AVA name appears in another reference on the label in 
a misleading manner, the bottler would have to obtain approval of a new 
label. Different rules apply if a wine has a brand name containing an 
AVA name that was used as a brand name on a label approved before July 
7, 1986. See Sec.  4.39(i)(2) of the TTB regulations (27 CFR 
4.39(i)(2)) for details.
    The approval of the proposed expansion of the Arroyo Seco AVA would 
not affect any other existing viticultural area. The expansion of the 
Arroyo Seco AVA would allow vintners to use ``Arroyo Seco'' as an 
appellation of origin for wines made primarily from grapes grown within 
the proposed expansion area if the wines meet the eligibility 
requirements for the appellation.

Public Participation

Comments Invited

    TTB invites comments from interested members of the public on 
whether it should expand the Arroyo Seco AVA as proposed. TTB is 
specifically interested in receiving comments on the similarity of the 
proposed expansion area to the established Arroyo Seco AVA, as well as 
the differences between the proposed expansion area and the areas 
outside the Arroyo Seco AVA. Please provide specific information in 
support of your comments.

Submitting Comments

    You may submit comments on this notice of proposed rulemaking by 
using one of the following three methods:
     Federal e-Rulemaking Portal: You may send comments via the 
online comment form posted with this notice within Docket No. TTB-2016-
XXXX on ``Regulations.gov,'' the Federal e-rulemaking portal, at http://www.regulations.gov. A direct link to that docket is available under 
Notice No. XXX on the TTB website at https://www.ttb.gov/wine/wine_rulemaking.shtml">https://www.ttb.gov/wine/wine_rulemaking.shtml. Supplemental files may be attached to comments 
submitted via Regulations.gov. For complete instructions on how to use 
Regulations.gov, visit the site and click on the ``Help'' tab.
     U.S. Mail: You may send comments via postal mail to the 
Director, Regulations and Rulings Division, Alcohol and Tobacco Tax and 
Trade Bureau, 1310 G Street NW, Box 12, Washington, DC 20005.
     Hand Delivery/Courier: You may hand-carry your comments or 
have them hand-carried to the Alcohol and Tobacco Tax and Trade Bureau, 
1310 G Street NW, Suite 400, Washington, DC 20005.
    Please submit your comments by the closing date shown above in this 
notice. Your comments must reference Notice No. XXX and include your 
name and mailing address. Your comments also must be made in English, 
be legible, and be written in language acceptable for public 
disclosure. TTB does not acknowledge receipt of comments, and TTB 
considers all comments as originals.
    In your comment, please clearly state if you are commenting for 
yourself or on behalf of an association, business, or other entity. If 
you are commenting on behalf of an entity, your comment must include 
the entity's name, as well as your name and position title. If you 
comment via Regulations.gov, please enter the entity's name in the 
``Organization'' blank of the online comment form. If you comment via 
postal mail or hand delivery/courier, please submit your entity's 
comment on letterhead.
    You may also write to the Administrator before the comment closing 
date to ask for a public hearing. The Administrator reserves the right 
to determine whether to hold a public hearing.

Confidentiality

    All submitted comments and attachments are part of the public 
record and subject to disclosure. Do not enclose any material in your 
comments that you consider to be confidential or inappropriate for 
public disclosure.

Public Disclosure

    TTB will post, and you may view, copies of this notice, selected 
supporting materials, and any online or mailed comments received about 
this proposal within Docket No. TTB-2018-0003 on the Federal e-
rulemaking portal, Regulations.gov, at http://www.regulations.gov. A 
direct link to that docket is available on the TTB website at https://www.ttb.gov/wine/wine_rulemaking.shtml under Notice No. 172. You may 
also reach the relevant docket through the Regulations.gov search page 
at http://www.regulations.gov. For information on how to use 
Regulations.gov, click on the website's ``Help'' tab.
    All posted comments will display the commenter's name, organization 
(if any), city, and State, and, in the case of mailed comments, all 
address information, including email addresses. TTB may omit voluminous 
attachments or material that the Bureau considers unsuitable for 
posting.

[[Page 14795]]

    You may also view copies of this notice of proposed rulemaking, all 
related petitions, maps and other supporting materials, and any 
electronic or mailed comments that TTB receives about this proposal by 
appointment at the TTB Information Resource Center, 1310 G Street NW, 
Washington, DC 20005. You may also obtain copies at 20 cents per 8.5-
x11-inch page. Please note that TTB is unable to provide copies of USGS 
maps or other similarly-sized documents that may be included as part of 
the AVA petition. Contact TTB's information specialist at the above 
address or by telephone at 202-453-2265 to schedule an appointment or 
to request copies of comments or other materials.

Regulatory Flexibility Act

    TTB certifies that this proposed regulation, if adopted, would not 
have a significant economic impact on a substantial number of small 
entities. The proposed regulation imposes no new reporting, 
recordkeeping, or other administrative requirement. Any benefit derived 
from the use of an AVA name would be the result of a proprietor's 
efforts and consumer acceptance of wines from that area. Therefore, no 
regulatory flexibility analysis is required.

Executive Order 12866

    It has been determined that this proposed rule is not a significant 
regulatory action as defined by Executive Order 12866 of September 30, 
1993. Therefore, no regulatory assessment is required.

Drafting Information

    Karen A. Thornton of the Regulations and Rulings Division drafted 
this notice of proposed rulemaking.

List of Subjects in 27 CFR Part 9

    Wine.

Proposed Regulatory Amendment

    For the reasons discussed in the preamble, TTB proposes to amend 
title 27, chapter I, part 9, Code of Federal Regulations, as follows:

PART 9--AMERICAN VITICULTURAL AREAS

0
1. The authority citation for part 9 continues to read as follows:

    Authority:  27 U.S.C. 205.

Subpart C--Approved American Viticultural Areas

0
2. Section 9.59 is amended by revising paragraphs (c) introductory text 
and (c)(1), redesignating paragraphs (c)(2) through (c)(21) as 
paragraphs (c)(3) through (c)(22), and adding new paragraph (c)(2) to 
read as follows:


Sec.  9.59  Arroyo Seco.

* * * * *
    (c) Boundaries. The Arroyo Seco viticultural area is located in 
Monterey County, California. The beginning point is found on the 
``Sycamore Flat'' U.S.G.S. map at the intersection of Jamesburg Road 
(known locally as Carmel Valley Road) and Arroyo Seco Road, near the 
intersection of sections 21, 22, 28, and 27, T.19 S., R. 5 E. From the 
beginning point, proceed southwesterly along Arroyo Seco Road to its 
intersection with Piney Creek.
    (1) Then southeasterly along Piney Creek to its confluence with the 
Arroyo Seco in section 27, T. 19 S., R. 5 E.
    (2) Then northerly along the Arroyo Seco to its intersection with 
the southern boundary of section 22, T. 19 S., R 5 E.
* * * * *

    Signed: November 30, 2017.
John J. Manfreda,
Administrator.
    Approved: March 30, 2018.
Timothy E. Skud,
Deputy Assistant Secretary (Tax, Trade, and Tariff Policy).
[FR Doc. 2018-07093 Filed 4-5-18; 8:45 am]
 BILLING CODE 4810-31-P



                                                                            Federal Register / Vol. 83, No. 67 / Friday, April 6, 2018 / Proposed Rules                                             14791

                                                 www.regulations.gov. A direct link to                   Proposed Regulatory Amendment                          Monterey County, California, by
                                                 that docket is available on the TTB                       For the reasons discussed in the                     approximately 90 acres. The established
                                                 website at https://www.ttb.gov/wine/                    preamble, TTB proposes to amend title                  Arroyo Seco viticultural area and the
                                                 wine_rulemaking.shtml under Notice                      27, chapter I, part 9, Code of Federal                 proposed expansion area both lie within
                                                 No. 173. You may also reach the                         Regulations, as follows:                               the established Monterey viticultural
                                                 relevant docket through the                                                                                    area and the larger, multi-county Central
                                                 Regulations.gov search page at http://                  PART 9—AMERICAN VITICULTURAL                           Coast viticultural area. TTB designates
                                                 www.regulations.gov. For information                    AREAS                                                  viticultural areas to allow vintners to
                                                 on how to use Regulations.gov, click on                                                                        better describe the origin of their wines
                                                 the website’s ‘‘Help’’ tab.                             ■ 1. The authority citation for part 9                 and to allow consumers to better
                                                   All posted comments will display the                  continues to read as follows:                          identify wines they may purchase. TTB
                                                 commenter’s name, organization (if                          Authority: 27 U.S.C. 205.                          invites comments on this proposed
                                                 any), city, and State, and, in the case of                                                                     amendment to its regulations.
                                                 mailed comments, all address                            Subpart C—Approved American                            DATES: Comments must be received by
                                                 information, including email addresses.                 Viticultural Areas                                     June 5, 2018.
                                                 TTB may omit voluminous attachments                                                                            ADDRESSES: Please send your comments
                                                                                                         ■ 2. Section 9.48 is amended by revising
                                                 or material that the Bureau considers                                                                          on this notice to one of the following
                                                                                                         paragraph (c)(16), redesignating
                                                 unsuitable for posting.                                                                                        addresses:
                                                                                                         paragraph (c)(17) as paragraph (c)(19),
                                                   You may also view copies of this                      and adding new paragraphs (c)(17) and                    • Internet: http://www.regulations.gov
                                                 notice of proposed rulemaking, all                      (c)(18) to read as follows:                            (via the online comment form for this
                                                 related petitions, maps and other                                                                              notice as posted within Docket No.
                                                 supporting materials, and any electronic                § 9.48   Monticello.                                   TTB–2018–0003 at ‘‘Regulations.gov,’’
                                                 or mailed comments that TTB receives                    *     *     *     *     *                              the Federal e-rulemaking portal);
                                                 about this proposal by appointment at                     (c) * * *                                              • U.S. Mail: Director, Regulations and
                                                 the TTB Information Resource Center,                      (16) Then continuing southwest along                 Rulings Division, Alcohol and Tobacco
                                                 1310 G Street NW, Washington, DC                        the county line to its intersection with               Tax and Trade Bureau, 1310 G Street
                                                 20005. You may also obtain copies at 20                 the Rivanna River;                                     NW, Box 12, Washington, DC 20005; or
                                                 cents per 8.5- x 11-inch page. Please                     (17) Then southeast along the Rivanna                  • Hand delivery/courier in lieu of
                                                 note that TTB is unable to provide                      River to its confluence with the James                 mail: Alcohol and Tobacco Tax and
                                                 copies of USGS maps or other similarly-                 River, near the Fluvanna–Goochland                     Trade Bureau, 1310 G Street NW, Suite
                                                 sized documents that may be included                    County line;                                           400, Washington, DC 20005.
                                                 as part of the AVA petition. Contact                      (18) Then southwest, then northwest                    See the Public Participation section of
                                                 TTB’s information specialist at the                     along the James River to its intersection              this notice for specific instructions and
                                                 above address or by telephone at 202–                   with the Albemarle County line;                        requirements for submitting comments,
                                                 453–2265 to schedule an appointment                     *     *     *     *     *                              and for information on how to request
                                                 or to request copies of comments or                                                                            a public hearing or view or obtain
                                                 other materials.                                          Signed: November 30, 2017.                           copies of the petition and supporting
                                                                                                         John J. Manfreda,                                      materials.
                                                 Regulatory Flexibility Act                              Administrator.
                                                                                                                                                                FOR FURTHER INFORMATION CONTACT:
                                                    TTB certifies that this proposed                       Approved: March 30, 2018.
                                                                                                                                                                Karen A. Thornton, Regulations and
                                                 regulation, if adopted, would not have                  Timothy E. Skud,                                       Rulings Division, Alcohol and Tobacco
                                                 a significant economic impact on a                      Deputy Assistant Secretary, (Tax, Trade, and           Tax and Trade Bureau, 1310 G Street
                                                 substantial number of small entities.                   Tariff Policy).                                        NW, Box 12, Washington, DC 20005;
                                                 The proposed regulation imposes no                      [FR Doc. 2018–07090 Filed 4–5–18; 8:45 am]             phone 202–453–1039, ext. 175.
                                                 new reporting, recordkeeping, or other                  BILLING CODE 4810–31–P
                                                                                                                                                                SUPPLEMENTARY INFORMATION:
                                                 administrative requirement. Any benefit
                                                 derived from the use of an AVA name                                                                            Background on Viticultural Areas
                                                 would be the result of a proprietor’s                   DEPARTMENT OF THE TREASURY
                                                 efforts and consumer acceptance of                                                                             TTB Authority
                                                 wines from that area. Therefore, no                     Alcohol and Tobacco Tax and Trade                        Section 105(e) of the Federal Alcohol
                                                 regulatory flexibility analysis is                      Bureau                                                 Administration Act (FAA Act), 27
                                                 required.                                                                                                      U.S.C. 205(e), authorizes the Secretary
                                                                                                         27 CFR Part 9                                          of the Treasury to prescribe regulations
                                                 Executive Order 12866
                                                                                                         [Docket No. TTB–2018–0003; Notice No.                  for the labeling of wine, distilled spirits,
                                                   It has been determined that this                      172]                                                   and malt beverages. The FAA Act
                                                 proposed rule is not a significant                                                                             provides that these regulations should,
                                                 regulatory action as defined by                         RIN 1513–AC36                                          among other things, prohibit consumer
                                                 Executive Order 12866 of September 30,                                                                         deception and the use of misleading
                                                                                                         Proposed Expansion of the Arroyo
                                                 1993. Therefore, no regulatory                                                                                 statements on labels and ensure that
                                                                                                         Seco Viticultural Area
                                                 assessment is required.                                                                                        labels provide the consumer with
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                                                                                                         AGENCY: Alcohol and Tobacco Tax and                    adequate information as to the identity
                                                 Drafting Information
                                                                                                         Trade Bureau, Treasury.                                and quality of the product. The Alcohol
                                                   Karen A. Thornton of the Regulations                  ACTION: Notice of proposed rulemaking.                 and Tobacco Tax and Trade Bureau
                                                 and Rulings Division drafted this notice                                                                       (TTB) administers the FAA Act
                                                 of proposed rulemaking.                                 SUMMARY:  The Alcohol and Tobacco Tax                  pursuant to section 1111(d) of the
                                                                                                         and Trade Bureau (TTB) proposes to                     Homeland Security Act of 2002,
                                                 List of Subjects in 27 CFR Part 9
                                                                                                         expand the approximately 18,240-acre                   codified at 6 U.S.C. 531(d). The
                                                    Wine.                                                ‘‘Arroyo Seco’’ viticultural area in                   Secretary has delegated various


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                                                 14792                      Federal Register / Vol. 83, No. 67 / Friday, April 6, 2018 / Proposed Rules

                                                 authorities through Treasury                            geology, soils, physical features, and                 was created by the State of California
                                                 Department Order 120–01, dated                          elevation, that make the proposed                      and shows proposed dam sites in the
                                                 December 10, 2013, (superseding                         expansion area similar to the                          ‘‘Arroyo Seco watershed.’’ The
                                                 Treasury Order 120–01, dated January                    established AVA and distinguish it from                confluence of Piney Creek and the
                                                 24, 2003), to the TTB Administrator to                  adjacent areas outside the established                 Arroyo Seco, which is the location of
                                                 perform the functions and duties in the                 AVA boundary;                                          the proposed expansion area, appears
                                                 administration and enforcement of these                   • The appropriate United States                      on this map. The second map is a
                                                 provisions.                                             Geological Survey (USGS) map(s)                        wildlife survey study map that was
                                                    Part 4 of the TTB regulations (27 CFR                showing the location of the proposed                   produced by California State
                                                 part 4) authorizes TTB to establish                     expansion area, with the boundary of                   University–Monterey Bay and is titled
                                                 definitive viticultural areas and regulate              the proposed expansion area clearly                    ‘‘Aquatic Life and Habitat in the Arroyo
                                                 the use of their names as appellations of               drawn thereon; and                                     Seco Watershed.’’ The bend in the
                                                 origin on wine labels and in wine                         • A detailed narrative description of                Arroyo Seco where the proposed
                                                 advertisements. Part 9 of the TTB                       the proposed expansion area boundary                   expansion area is located is shown on
                                                 regulations (27 CFR part 9) sets forth                  based on USGS map markings.                            the map, and symbols on the map
                                                 standards for the preparation and                       Petition To Expand the Arroyo Seco                     indicate that the region was included as
                                                 submission of petitions for the                         AVA                                                    part of the Arroyo Seco watershed
                                                 establishment or modification of                                                                               aquatic life survey.
                                                 American viticultural areas (AVAs) and                    TTB received a petition from Ann                        The petition also includes evidence
                                                 lists the approved AVAs.                                Hougham, owner of the Mesa del Sol                     that the proposed expansion area has
                                                                                                         Vineyards, proposing to expand the                     historically been associated with the
                                                 Definition                                              established ‘‘Arroyo Seco’’ AVA. The                   name ‘‘Arroyo Seco.’’ An excerpt from
                                                   Section 4.25(e)(1)(i) of the TTB                      Arroyo Seco AVA (27 CFR 9.59) was                      a book that chronicles the history of the
                                                 regulations (27 CFR 4.25(e)(1)(i)) defines              established by T.D. ATF–131, which                     region states, ‘‘From April 15, 1880,
                                                 a viticultural area for American wine as                published in the Federal Register on                   when the first tract of 80 acres was
                                                 a delimited grape-growing region having                 April 15, 1983 (48 FR 16245). The                      patented to a George M. Moore, until
                                                 distinguishing features, as described in                Arroyo Seco AVA covers approximately                   August 22, 1924, * * * a total of 316
                                                 part 9 of the regulations, and a name                   18,240 acres in Monterey County,                       homesteads were granted in the Arroyo
                                                 and a delineated boundary, as                           California, and is located within the                  Seco area.’’ 1 A second excerpt, from the
                                                 established in part 9 of the regulations.               established Monterey AVA (27 CFR                       memoirs of local resident Fred Weybret,
                                                 These designations allow vintners and                   9.98) and the larger, multi-county                     Jr., describes his childhood in the region
                                                 consumers to attribute a given quality,                 Central Coast AVA (27 CFR 9.75).                       from 1928 to 1933 and notes, ‘‘There
                                                 reputation, or other characteristic of a                  The proposed expansion area contains                 was no electricity in the Arroyo Seco at
                                                 wine made from grapes grown in an area                  approximately 90 acres and is adjacent                 that time * * * ’’ 2 The petition also
                                                 to the wine’s geographic origin. The                    to the far southwestern corner of the                  included the ownership history of the
                                                 establishment of AVAs allows vintners                   Arroyo Seco AVA. The proposed                          petitioner’s property, obtained from a
                                                 to describe more accurately the origin of               expansion area is located on an upland                 title company, which shows that her
                                                 their wines to consumers and helps                      terrace on the northern bank of a creek                property was once part of the land
                                                 consumers to identify wines they may                    known as the Arroyo Seco, which is                     mentioned in the book as belonging to
                                                 purchase. Establishment of an AVA is                    Spanish for ‘‘dry creek.’’ There is one                Mr. Moore and was owned by the
                                                 neither an approval nor an endorsement                  vineyard covering a total of                           Weybret family from 1928 to 1945.
                                                 by TTB of the wine produced in that                     approximately 14 acres within the
                                                 area.                                                   proposed expansion area. The petition                  Boundary Evidence
                                                                                                         included a copy of an email from the                      The Arroyo Seco AVA is located
                                                 Requirements                                            Arroyo Seco Winegrowers, stating that                  along the sloping bench lands
                                                    Section 4.25(e)(2) of the TTB                        the proposed expansion was shared                      surrounding the Arroyo Seco, which
                                                 regulations (27 CFR 4.25(e)(2)) outlines                with its members and received no                       flows into the Salinas River near
                                                 the procedure for proposing the                         objections. Unless otherwise noted, all                Soledad. The Arroyo Seco AVA is
                                                 establishment of an AVA and provides                    information and data pertaining to the                 irregularly shaped, with the main
                                                 that any interested party may petition                  proposed expansion area contained in                   portion of the AVA roughly resembling
                                                 TTB to establish a grape-growing region                 this document come from the petition                   a triangle with its apex pointing to the
                                                 as an AVA. Petitioners may use the                      and its supporting exhibits.                           southwest. A long, narrow ‘‘panhandle’’
                                                 same procedures to request changes                      Name Evidence                                          extends from the apex of the triangle
                                                 involving existing AVAs. Section 9.12(c)                                                                       and is aligned west to east. The
                                                 of the TTB regulations (27 CFR 9.12(c))                   The petition provides evidence that                  ‘‘panhandle’’ is formed by a series of
                                                 prescribes standards for petitions for                  the proposed expansion area is                         straight lines that follow the southern
                                                 modifying established AVAs. Petitions                   associated with the name ‘‘Arroyo                      boundaries of several sections on the
                                                 to expand an established AVA must                       Seco.’’ The petitioner states that the                 USGS Sycamore Flat quadrangle map.
                                                 include the following:                                  address of her vineyard is Arroyo Seco                 The 90-acre proposed expansion area is
                                                    • Evidence that the region within the                Road, which also runs through the                      a roughly triangular area adjacent to the
                                                 proposed expansion area boundary is                     Arroyo Seco AVA. The creek known as                    southern edge of the ‘‘panhandle,’’ near
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                                                 nationally or locally known by the name                 the Arroyo Seco forms the southern and                 the confluence of Piney Creek and the
                                                 of the established AVA;                                 eastern boundary of the proposed                       Arroyo Seco.
                                                    • An explanation of the basis for                    expansion area and also flows through                     The proposed expansion area
                                                 defining the boundary of the proposed                   the established Arroyo Seco AVA. Two                   boundary begins at the intersection of
                                                 expansion area;                                         maps were included in the petition as
                                                    • A narrative description of the                     evidence that the proposed expansion                     1 Coelho,
                                                                                                                                                                          Al. The Arroyo Seco. 1982.
                                                 features of the proposed expansion area                 area is part of the larger region referred               2 Weybret,
                                                                                                                                                                           Fred Jr. (2002). Arroyo Seco.
                                                 affecting viticulture, including climate,               to as the ‘‘Arroyo Seco.’’ The first map               Unpublished memoir manuscript.



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                                                                            Federal Register / Vol. 83, No. 67 / Friday, April 6, 2018 / Proposed Rules                                          14793

                                                 Arroyo Seco Road, Carmel Valley Road,                   the USDA Natural Resources                             also states that the principal landforms
                                                 and the southwestern corner of section                  Conservation Service website, as well as               of the proposed expansion area are
                                                 22 of the USGS Sycamore Flat                            a report from a soil analysis performed                terraces and alluvial fans, which is
                                                 quadrangle map. This intersection is                    on the petitioner’s property by an                     similar to the topography of the
                                                 also the beginning point for southern                   agricultural testing service. The testing              established AVA. Finally, a USGS
                                                 boundary of the ‘‘panhandle’’ portion of                service’s report shows that the three                  geologic map of the Salinas River Valley
                                                 the current AVA boundary. Instead of                    sample sites from within the proposed                  and the Arroyo Seco shows that the
                                                 proceeding east along the southern                      expansion area all have low levels of                  terrace formation on which the
                                                 boundary of section 22, as the current                  lime, similar to the soils within the                  proposed expansion area is located
                                                 boundary does, the proposed expansion                   Arroyo Seco AVA. The USDA soil                         extends into the Arroyo Seco AVA.
                                                 area boundary proceeds southwesterly                    report concludes that approximately 96
                                                 along Arroyo Seco Road to Piney Creek.                  percent of the soils within the proposed               Comparison of the Proposed Arroyo
                                                 The proposed boundary then proceeds                     expansion area are from the Lockwood                   Seco AVA Expansion Area to the
                                                 southeasterly (downstream) along Piney                  series, and that minor amounts of soils                Existing Monterey and Central Coast
                                                 Creek to its confluence with the Arroyo                 from the Elder and Mocho series are                    AVAs
                                                 Seco. The proposed boundary then                        also present. The results from both                    Monterey AVA
                                                 proceeds northeasterly (downstream)                     reports indicate that the soils within the
                                                                                                                                                                   The Monterey AVA was established
                                                 along the Arroyo Seco and rejoins the                   proposed expansion area are very
                                                                                                                                                                by T.D. ATF–177, which was published
                                                 current AVA boundary at the                             similar to the soils found within the
                                                                                                                                                                in the Federal Register on June 15, 1984
                                                 intersection of the Arroyo Seco with the                established AVA.
                                                 southern boundary of section 22.                           The soils within both the proposed                  (49 FR 24714). The Monterey AVA is
                                                    The proposed expansion area is                       expansion area and the established AVA                 located in Monterey County, California,
                                                 bordered to the north by the established                affect viticulture. Vines planted in soils             south and southeast of the city of
                                                 Arroyo Seco AVA. The petition states                    with low levels of lime are typically                  Salinas, and covers approximately two-
                                                 that the land surrounding the proposed                  slightly acidic and are better able to                 thirds of the county. Elevations within
                                                 expansion area in the other directions is               absorb key nutrients, such as iron and                 the Monterey AVA are generally below
                                                 mostly unavailable for commercial                       phosphorous, than vines planted in                     1,000 feet. The soils of the Monterey
                                                 viticulture. Due south of the proposed                  soils with high levels of lime. Well-                  AVA are described as having low levels
                                                 expansion area, along the southern bank                 drained soils reduce the risk of fungal                of lime and salt, with pH levels between
                                                 of the Arroyo Seco, is a large parcel of                disease and rot.                                       5.1 and 8.4, as well as very low levels
                                                 land owned by the Big Sur Land Trust                                                                           of organic matter.
                                                                                                         Topography                                                The proposed Arroyo Seco AVA
                                                 to be kept as open space in perpetuity.
                                                 To the west, southwest, and southeast of                   T.D. ATF–131 states that the Arroyo                 expansion area has elevations and soils
                                                 both the proposed expansion area and                    Seco AVA consists of sloping bench                     similar to the Monterey AVA. Within
                                                 the Big Sur Land Trust property is the                  land surrounding the Arroyo Seco.                      the proposed expansion area, the
                                                 Ventana Wilderness portion of the Los                   Slope angles within the AVA are                        highest elevations are between 600 and
                                                 Padres National Forest. Because of its                  described as between 0 and 9 percent.                  700 feet. The soils of the proposed
                                                 status as a Federally-protected                         According to T.D. ATF–131, elevations                  expansion area are also low in lime and
                                                 wilderness within a National Forest,                    are highest within the far western                     salt and have pH levels of between 6.2
                                                 this land is largely unavailable for                    portion of the AVA, where elevations                   and 6.6. However, the soil analysis
                                                 commercial purposes. Although the                       can reach over 600 feet in the foothills               provided in the expansion petition
                                                 Sycamore Flat USGS quadrangle map                       of the Santa Lucia Mountains. The                      shows that the soils of the proposed
                                                 shows several inholdings (privately-                    sloping elevations allow cold air to                   expansion area have medium-to-high
                                                 held lands) within the National Forest,                 drain from the vineyards, reducing the                 levels of organic matter, compared to
                                                 the petition describes the forest as a                  risk of frost.                                         the very low levels of organic matter
                                                 largely roadless, mountainous area with                    According to the USGS topographic                   that characterize the Monterey AVA.
                                                                                                         map included in the petition, elevations               Additionally, the expansion petition
                                                 little land suitable for viticulture, even
                                                                                                         within the proposed expansion area are                 provided evidence that the proposed
                                                 in the inholdings where commercial
                                                                                                         similar to those of the adjacent region                expansion area is frequently described
                                                 viticulture might be permitted.
                                                                                                         that is within the Arroyo Seco AVA,                    as being in an area referred to as the
                                                 Distinguishing Features                                 which range from approximately 600                     ‘‘Arroyo Seco,’’ rather than being
                                                   The petition states that the soils and                feet along the banks of the Arroyo Seco                described with the broader County
                                                 topography of the proposed expansion                    to an unnamed peak with an elevation                   name of ‘‘Monterrey.’’
                                                 area are similar to those of the                        of 1,110 feet. For comparison, elevations
                                                                                                         within the proposed expansion area are                 Central Coast AVA
                                                 established Arroyo Seco AVA.
                                                                                                         highest within the northern portion,                     The large, 1 million-acre Central Coast
                                                 Soils                                                   adjacent to the established AVA’s                      AVA was established by T.D. ATF–216,
                                                    T.D. ATF–131 described the soils of                  southern boundary, at approximately                    which was published in the Federal
                                                 the Arroyo Seco AVA as gravelly and                     700 feet. Elevations in the southern                   Register on October 24, 1985 (50 FR
                                                 fine sandy loams with low lime content.                 portion of the proposed expansion area,                43128). The Central Coast viticultural
                                                 The principal soil series within the                    adjacent to the Arroyo Seco, are                       area encompasses the California
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                                                 AVA are Mocho, Lockwood, Arroyo                         approximately 600 feet. The USDA soil                  counties of Alameda, Contra Costa,
                                                 Seco, Rincon, Elder, and Chular. The                    report included with the proposed                      Monterey, San Benito, San Francisco,
                                                 soils are described as well-drained. T.D.               expansion petition states that the slope               San Luis Obispo, San Mateo, Santa
                                                 ATF–131 did not describe the soils of                   angles within the proposed expansion                   Barbara, Santa Clara, and Santa Cruz,
                                                 the regions surrounding the Arroyo Seco                 area are between 0 and 9 percent, which                and it contains 39 established AVAs.
                                                 AVA.                                                    is the same as the range of slope angles               T.D. ATF–216 describes the Central
                                                    The proposed expansion petition                      attributed to the established AVA in                   Coast viticultural area as extending from
                                                 included a soil report generated from                   T.D. ATF–131. The USDA soil report                     Santa Barbara to the San Francisco Bay


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                                                 14794                      Federal Register / Vol. 83, No. 67 / Friday, April 6, 2018 / Proposed Rules

                                                 area, and east to the California Coastal                compliance and the bottler must change                 Tobacco Tax and Trade Bureau, 1310 G
                                                 Ranges. The only distinguishing feature                 the brand name and obtain approval of                  Street NW, Suite 400, Washington, DC
                                                 of the California Coast AVA addressed                   a new label. Similarly, if the AVA name                20005.
                                                 in T.D. ATF–216 is that all of the                      appears in another reference on the                       Please submit your comments by the
                                                 included counties experience marine                     label in a misleading manner, the bottler              closing date shown above in this notice.
                                                 climate influence due to their proximity                would have to obtain approval of a new                 Your comments must reference Notice
                                                 to the Pacific Ocean.                                   label. Different rules apply if a wine has             No. XXX and include your name and
                                                    The Arroyo Seco AVA and the                          a brand name containing an AVA name                    mailing address. Your comments also
                                                 proposed expansion area are both                        that was used as a brand name on a                     must be made in English, be legible, and
                                                 located within the Central Coast AVA.                   label approved before July 7, 1986. See                be written in language acceptable for
                                                 Cool marine breezes enter the                           § 4.39(i)(2) of the TTB regulations (27                public disclosure. TTB does not
                                                 established AVA and the proposed                        CFR 4.39(i)(2)) for details.                           acknowledge receipt of comments, and
                                                 expansion area from Monterey Bay via                       The approval of the proposed                        TTB considers all comments as
                                                 the Salinas River and the Arroyo Seco.                  expansion of the Arroyo Seco AVA                       originals.
                                                 However, because of their locations east                would not affect any other existing                       In your comment, please clearly state
                                                 of the Santa Lucas Mountains, neither                   viticultural area. The expansion of the                if you are commenting for yourself or on
                                                 the Arroyo Seco AVA nor the proposed                    Arroyo Seco AVA would allow vintners                   behalf of an association, business, or
                                                 expansion area are as exposed to the                    to use ‘‘Arroyo Seco’’ as an appellation               other entity. If you are commenting on
                                                 marine air and fog as the more western                  of origin for wines made primarily from                behalf of an entity, your comment must
                                                 regions of the Central Coast AVA that                   grapes grown within the proposed                       include the entity’s name, as well as
                                                 are closer to the ocean. Additionally,                  expansion area if the wines meet the                   your name and position title. If you
                                                 due to its much smaller size, the                       eligibility requirements for the                       comment via Regulations.gov, please
                                                 topographical features of the proposed                  appellation.                                           enter the entity’s name in the
                                                 expansion area are more uniform than                                                                           ‘‘Organization’’ blank of the online
                                                 the diverse features of the large,                      Public Participation                                   comment form. If you comment via
                                                 multicounty Central Coast AVA, and are                  Comments Invited                                       postal mail or hand delivery/courier,
                                                 more similar to the topographical                                                                              please submit your entity’s comment on
                                                                                                           TTB invites comments from interested                 letterhead.
                                                 features of the Arroyo Seco AVA, which                  members of the public on whether it
                                                 is located on the same sloping bench                                                                              You may also write to the
                                                                                                         should expand the Arroyo Seco AVA as                   Administrator before the comment
                                                 lands and terraces along the Arroyo                     proposed. TTB is specifically interested
                                                 Seco as the proposed expansion area.                                                                           closing date to ask for a public hearing.
                                                                                                         in receiving comments on the similarity                The Administrator reserves the right to
                                                 TTB Determination                                       of the proposed expansion area to the                  determine whether to hold a public
                                                   TTB concludes that the petition to                    established Arroyo Seco AVA, as well as                hearing.
                                                 expand the boundaries of the                            the differences between the proposed
                                                                                                         expansion area and the areas outside the               Confidentiality
                                                 established Arroyo Seco AVA merits
                                                 consideration and public comment, as                    Arroyo Seco AVA. Please provide                           All submitted comments and
                                                 invited in this notice of proposed                      specific information in support of your                attachments are part of the public record
                                                 rulemaking.                                             comments.                                              and subject to disclosure. Do not
                                                                                                         Submitting Comments                                    enclose any material in your comments
                                                 Boundary Description                                                                                           that you consider to be confidential or
                                                   See the narrative description of the                     You may submit comments on this                     inappropriate for public disclosure.
                                                 boundary of the petitioned-for                          notice of proposed rulemaking by using
                                                                                                         one of the following three methods:                    Public Disclosure
                                                 expansion area in the proposed
                                                 regulatory text published at the end of                    • Federal e-Rulemaking Portal: You                    TTB will post, and you may view,
                                                 this proposed rule.                                     may send comments via the online                       copies of this notice, selected
                                                                                                         comment form posted with this notice                   supporting materials, and any online or
                                                 Maps                                                    within Docket No. TTB–2016–XXXX on                     mailed comments received about this
                                                   To document the existing and                          ‘‘Regulations.gov,’’ the Federal e-                    proposal within Docket No. TTB–2018–
                                                 proposed boundaries of the Arroyo Seco                  rulemaking portal, at http://                          0003 on the Federal e-rulemaking
                                                 AVA, the petitioner provided a copy of                  www.regulations.gov. A direct link to                  portal, Regulations.gov, at http://
                                                 the required map, and it is listed below                that docket is available under Notice                  www.regulations.gov. A direct link to
                                                 in the proposed regulatory text.                        No. XXX on the TTB website at https://                 that docket is available on the TTB
                                                                                                         www.ttb.gov/wine/wine-                                 website at https://www.ttb.gov/wine/
                                                 Impact on Current Wine Labels                           rulemaking.shtml. Supplemental files                   wine_rulemaking.shtml under Notice
                                                    Part 4 of the TTB regulations prohibits              may be attached to comments submitted                  No. 172. You may also reach the
                                                 any label reference on a wine that                      via Regulations.gov. For complete                      relevant docket through the
                                                 indicates or implies an origin other than               instructions on how to use                             Regulations.gov search page at http://
                                                 the wine’s true place of origin. For a                  Regulations.gov, visit the site and click              www.regulations.gov. For information
                                                 wine to be labeled with an AVA name,                    on the ‘‘Help’’ tab.                                   on how to use Regulations.gov, click on
                                                 at least 85 percent of the wine must be                    • U.S. Mail: You may send comments                  the website’s ‘‘Help’’ tab.
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                                                 derived from grapes grown within the                    via postal mail to the Director,                         All posted comments will display the
                                                 area represented by that name, and the                  Regulations and Rulings Division,                      commenter’s name, organization (if
                                                 wine must meet the other conditions                     Alcohol and Tobacco Tax and Trade                      any), city, and State, and, in the case of
                                                 listed in § 4.25(e)(3) of the TTB                       Bureau, 1310 G Street NW, Box 12,                      mailed comments, all address
                                                 regulations (27 CFR 4.25(e)(3)). If the                 Washington, DC 20005.                                  information, including email addresses.
                                                 wine is not eligible for labeling with an                  • Hand Delivery/Courier: You may                    TTB may omit voluminous attachments
                                                 AVA name and that name appears in the                   hand-carry your comments or have them                  or material that the Bureau considers
                                                 brand name, then the label is not in                    hand-carried to the Alcohol and                        unsuitable for posting.


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                                                                            Federal Register / Vol. 83, No. 67 / Friday, April 6, 2018 / Proposed Rules                                             14795

                                                   You may also view copies of this                      through (c)(21) as paragraphs (c)(3)                   vintners to better describe the origin of
                                                 notice of proposed rulemaking, all                      through (c)(22), and adding new                        their wines and to allow consumers to
                                                 related petitions, maps and other                       paragraph (c)(2) to read as follows:                   better identify wines they may
                                                 supporting materials, and any electronic                                                                       purchase. TTB invites comments on this
                                                 or mailed comments that TTB receives                    § 9.59   Arroyo Seco.                                  proposed addition to its regulations.
                                                 about this proposal by appointment at                   *      *     *    *     *                              DATES: Comments must be received by
                                                 the TTB Information Resource Center,                       (c) Boundaries. The Arroyo Seco
                                                                                                                                                                June 5, 2018.
                                                 1310 G Street NW, Washington, DC                        viticultural area is located in Monterey
                                                                                                                                                                ADDRESSES: Please send your comments
                                                 20005. You may also obtain copies at 20                 County, California. The beginning point
                                                                                                         is found on the ‘‘Sycamore Flat’’                      on this notice to one of the following
                                                 cents per 8.5-×11-inch page. Please note                                                                       addresses:
                                                 that TTB is unable to provide copies of                 U.S.G.S. map at the intersection of
                                                                                                         Jamesburg Road (known locally as                         • Internet: http://www.regulations.gov
                                                 USGS maps or other similarly-sized                                                                             (via the online comment form for this
                                                 documents that may be included as part                  Carmel Valley Road) and Arroyo Seco
                                                                                                         Road, near the intersection of sections                notice as posted within Docket No.
                                                 of the AVA petition. Contact TTB’s                                                                             TTB–2018–0006 at ‘‘Regulations.gov,’’
                                                 information specialist at the above                     21, 22, 28, and 27, T.19 S., R. 5 E. From
                                                                                                         the beginning point, proceed                           the Federal e-rulemaking portal);
                                                 address or by telephone at 202–453–                                                                              • U.S. Mail: Director, Regulations and
                                                 2265 to schedule an appointment or to                   southwesterly along Arroyo Seco Road
                                                                                                         to its intersection with Piney Creek.                  Rulings Division, Alcohol and Tobacco
                                                 request copies of comments or other                                                                            Tax and Trade Bureau, 1310 G Street
                                                 materials.                                                 (1) Then southeasterly along Piney
                                                                                                         Creek to its confluence with the Arroyo                NW, Box 12, Washington, DC 20005; or
                                                 Regulatory Flexibility Act                              Seco in section 27, T. 19 S., R. 5 E.                    • Hand delivery/courier in lieu of
                                                                                                            (2) Then northerly along the Arroyo                 mail: Alcohol and Tobacco Tax and
                                                    TTB certifies that this proposed
                                                                                                         Seco to its intersection with the                      Trade Bureau, 1310 G Street NW, Suite
                                                 regulation, if adopted, would not have
                                                                                                         southern boundary of section 22, T. 19                 400, Washington, DC 20005.
                                                 a significant economic impact on a
                                                                                                         S., R 5 E.                                               See the Public Participation section of
                                                 substantial number of small entities.
                                                                                                                                                                this notice for specific instructions and
                                                 The proposed regulation imposes no                      *      *     *    *     *
                                                                                                                                                                requirements for submitting comments,
                                                 new reporting, recordkeeping, or other                    Signed: November 30, 2017.                           and for information on how to request
                                                 administrative requirement. Any benefit                 John J. Manfreda,                                      a public hearing or view or obtain
                                                 derived from the use of an AVA name
                                                                                                         Administrator.                                         copies of the petition and supporting
                                                 would be the result of a proprietor’s
                                                                                                           Approved: March 30, 2018.                            materials.
                                                 efforts and consumer acceptance of
                                                 wines from that area. Therefore, no                     Timothy E. Skud,                                       FOR FURTHER INFORMATION CONTACT:
                                                 regulatory flexibility analysis is                      Deputy Assistant Secretary (Tax, Trade, and            Karen A. Thornton, Regulations and
                                                 required.                                               Tariff Policy).                                        Rulings Division, Alcohol and Tobacco
                                                                                                         [FR Doc. 2018–07093 Filed 4–5–18; 8:45 am]             Tax and Trade Bureau, 1310 G Street
                                                 Executive Order 12866                                   BILLING CODE 4810–31–P                                 NW, Box 12, Washington, DC 20005;
                                                   It has been determined that this                                                                             phone 202–453–1039, ext. 175.
                                                 proposed rule is not a significant                                                                             SUPPLEMENTARY INFORMATION:
                                                 regulatory action as defined by                         DEPARTMENT OF THE TREASURY
                                                 Executive Order 12866 of September 30,                                                                         Background on Viticultural Areas
                                                 1993. Therefore, no regulatory                          Alcohol and Tobacco Tax and Trade
                                                                                                                                                                TTB Authority
                                                 assessment is required.                                 Bureau
                                                                                                                                                                  Section 105(e) of the Federal Alcohol
                                                 Drafting Information                                    27 CFR Part 9                                          Administration Act (FAA Act), 27
                                                   Karen A. Thornton of the Regulations                                                                         U.S.C. 205(e), authorizes the Secretary
                                                                                                         [Docket No. TTB–2018–0006; Notice No.
                                                 and Rulings Division drafted this notice                175]
                                                                                                                                                                of the Treasury to prescribe regulations
                                                 of proposed rulemaking.                                                                                        for the labeling of wine, distilled spirits,
                                                                                                         RIN 1513–AC39                                          and malt beverages. The FAA Act
                                                 List of Subjects in 27 CFR Part 9                                                                              provides that these regulations should,
                                                   Wine.                                                 Proposed Establishment of the Van                      among other things, prohibit consumer
                                                                                                         Duzer Corridor Viticultural Area and                   deception and the use of misleading
                                                 Proposed Regulatory Amendment                           Clarification of the Eola-Amity Hills                  statements on labels and ensure that
                                                   For the reasons discussed in the                      Viticultural Area Boundary Description                 labels provide the consumer with
                                                 preamble, TTB proposes to amend title                   AGENCY: Alcohol and Tobacco Tax and                    adequate information as to the identity
                                                 27, chapter I, part 9, Code of Federal                  Trade Bureau, Treasury.                                and quality of the product. The Alcohol
                                                 Regulations, as follows:                                                                                       and Tobacco Tax and Trade Bureau
                                                                                                         ACTION: Notice of proposed rulemaking.
                                                                                                                                                                (TTB) administers the FAA Act
                                                 PART 9—AMERICAN VITICULTURAL                            SUMMARY:   The Alcohol and Tobacco Tax                 pursuant to section 1111(d) of the
                                                 AREAS                                                   and Trade Bureau (TTB) proposes to                     Homeland Security Act of 2002,
                                                 ■ 1. The authority citation for part 9                  establish the approximately 59,871-acre                codified at 6 U.S.C. 531(d). The
                                                 continues to read as follows:                           ‘‘Van Duzer Corridor’’ viticultural area               Secretary has delegated various
daltland on DSKBBV9HB2PROD with PROPOSALS




                                                                                                         in portions of Polk and Yamhill                        authorities through Treasury
                                                     Authority: 27 U.S.C. 205.                           Counties, Oregon. The proposed                         Department Order 120–01, dated
                                                                                                         viticultural area lies entirely within the             December 10, 2013, (superseding
                                                 Subpart C—Approved American
                                                                                                         existing Willamette Valley viticultural                Treasury Order 120–01, dated January
                                                 Viticultural Areas
                                                                                                         area. TTB also is proposing to clarify the             24, 2003), to the TTB Administrator to
                                                 ■ 2. Section 9.59 is amended by revising                boundary description of the adjacent                   perform the functions and duties in the
                                                 paragraphs (c) introductory text and                    Eola–Amity Hills viticultural area. TTB                administration and enforcement of these
                                                 (c)(1), redesignating paragraphs (c)(2)                 designates viticultural areas to allow                 provisions.


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Document Created: 2018-11-01 09:14:58
Document Modified: 2018-11-01 09:14:58
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionProposed Rules
ActionNotice of proposed rulemaking.
DatesComments must be received by June 5, 2018.
ContactKaren A. Thornton, Regulations and Rulings Division, Alcohol and Tobacco Tax and Trade Bureau, 1310 G Street NW, Box 12, Washington, DC 20005; phone 202-453-1039, ext. 175.
FR Citation83 FR 14791 
RIN Number1513-AC36

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