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Federal Register/Vol. 70, No. 234

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Federal Register/Vol. 70, No. 234 Federal Register / Vol. 70, No. 234 / Wednesday, December 7, 2005 / Rules and Regulations 72713 Impact on Current Wine Labels effective date of that final rule, (c) Boundary. The Sta. Rita Hills certificates of label approval showing viticultural area is located in Santa General ‘‘Santa Rita Hills’’ as an appellation of Barbara County, California. The Part 4 of the TTB regulations prohibits origin will be revoked by operation of boundary is as follows: any label reference on a wine that that final rule (see 27 CFR 13.51). We * * * * * indicates or implies an origin other than have added a statement to this effect as (d) From July 30, 2001, until January the wine’s true place of origin. With the a new paragraph (d) in § 9.162. adoption of this modification of the 5, 2006, this viticultural area was named name for the Santa Rita Hills viticultural Regulatory Flexibility Act ‘‘Santa Rita Hills’’. Effective January 6, area, the abbreviated ‘‘Sta. Rita Hills’’ We certify that this regulation will not 2006, the name of this viticultural area name will be recognized as a name of have a significant economic impact on is ‘‘Sta. Rita Hills’’. Existing certificates viticultural significance. Consequently, a substantial number of small entities. of label approval showing ‘‘Santa Rita wine bottlers using ‘‘Sta. Rita Hills’’ in This regulation imposes no new Hills’’ as the appellation of origin are a brand name, including a trademark, or reporting, recordkeeping, or other revoked by operation of this regulation in another label reference as to the administrative requirement. Any benefit on January 6, 2007. origin of the wine, will have to ensure derived from the use of a viticultural Signed: August 25, 2005. that the product is eligible to use the area name is the result of a proprietor’s John J. Manfreda, viticultural area’s name as an efforts and consumer acceptance of Administrator. appellation of origin. Accordingly, the wines from that area. Therefore, no amended regulatory text set forth below regulatory flexibility analysis is Approved: November 3, 2005. in § 9.162(a) specifies that ‘‘Sta. Rita required. Timothy E. Skud, Hills’’ is a term of viticultural Executive Order 12866 Deputy Assistant Secretary (Tax, Trade, and significance for purposes of part 4 of the Tariff Policy). TTB regulations. This rule is not a significant [FR Doc. 05–23682 Filed 12–6–05; 8:45 am] For a wine to be eligible to use as an regulatory action as defined by BILLING CODE 4810–31–P appellation of origin the name of a Executive Order 12866 (58 FR 51735). viticultural area specified in part 9 of Therefore, it requires no regulatory the TTB regulations, at least 85 percent assessment. DEPARTMENT OF THE TREASURY of the grapes used to make the wine Drafting Information must have been grown within the area Alcohol and Tobacco Tax and Trade represented by that name. If the wine is Rita Butler of the Regulations and Bureau not eligible to use the viticultural area Rulings Division drafted this document. name as an appellation of origin and List of Subjects in 27 CFR Part 9 27 CFR Part 9 that name appears in the brand name, Wine. then the label is not in compliance and [T.D. TTB–38; Re: Notice No. 25] the bottler must change the brand name The Regulatory Amendment and obtain approval of a new label. Similarly, if the viticultural area name I For the reasons discussed in the RIN 1513–AA77 appears in another reference on the preamble, we amend title 27, chapter 1, part 9, Code of Federal Regulations, as Establishment of the Texoma label in a misleading manner, the bottler Viticultural Area (2003R–110P) would have to obtain approval of a new follows: label. Accordingly, if a new label or a PART 9—AMERICAN VITICULTURAL AGENCY: Alcohol and Tobacco Tax and previously approved label uses the AREAS Trade Bureau, Treasury. name ‘‘Sta. Rita Hills’’ for a wine that does not meet the 85 percent standard, I 1. The authority citation for part 9 ACTION: Final rule; Treasury decision. the new label will not be approved, and continues to read as follows: SUMMARY: the previously approved label will be Authority: 27 U.S.C. 205. This Treasury decision subject to revocation. establishes the Texoma viticultural area Different rules apply if a wine has a Subpart C—Approved American in north-central Texas, in Montague, brand name containing a viticultural Viticultural Areas Cooke, Grayson, and Fannin Counties. area name that was used as a brand The proposed area covers approximately name on a label approved before July 7, I 2. In subpart C, amend § 9.162 by 3,650 square miles on the south side of 1986. See 27 CFR 4.39(i)(2) for details. revising the section heading, revising Lake Texoma and the Red River, along paragraph (a) and the introductory text the Texas-Oklahoma Stateline. We Use of the Name ‘‘Santa Rita Hills’’ of paragraphs (b) and (c), and adding a designate viticultural areas to allow Since July 30, 2001, the name of this new paragraph (d), to read as follows: vintners to better describe the origin of viticultural area has been expressed as their wines and to allow consumers to § 9.162 Sta. Rita Hills. ‘‘Santa Rita Hills.’’ After the effective better identify wines they may date of this final rule, we will approve (a) Name. The name of the viticultural purchase. wine labels showing ‘‘Sta. Rita Hills,’’ area described in this section is ‘‘Sta. and not ‘‘Santa Rita Hills,’’ as the Rita Hills’’. For purposes of part 4 of EFFECTIVE DATE: January 6, 2006. this chapter, ‘‘Sta. Rita Hills’’ is a term viticultural area appellation. FOR FURTHER INFORMATION CONTACT: The final rule includes, under our of viticultural significance. Jennifer Berry, Alcohol and Tobacco authority pursuant to 27 CFR (b) Approved Maps. The appropriate Tax and Trade Bureau, Regulations and 13.72(a)(2), a transition period during maps for determining the boundary of Rulings Division, P.O. Box 18152, which vintners may continue to use the Sta. Rita Hills viticultural area are Roanoke, VA 24014; telephone 540– approved labels that carry ‘‘Santa Rita five United States Geological Survey 344–9333. Hills’’ as the name of the viticultural (USGS) 7.5 Minute Series maps titled: area. However, one year after the * * * * * SUPPLEMENTARY INFORMATION: VerDate Aug<31>2005 12:30 Dec 06, 2005 Jkt 208001 PO 00000 Frm 00015 Fmt 4700 Sfmt 4700 E:\FR\FM\07DER1.SGM 07DER1 72714 Federal Register / Vol. 70, No. 234 / Wednesday, December 7, 2005 / Rules and Regulations Background on Viticultural Areas that distinguish the proposed County line forms most of the proposed viticultural area from surrounding areas; area’s western boundary, while the TTB Authority • A description of the specific Fannin County line forms most of its Section 105(e) of the Federal Alcohol boundary of the proposed viticultural eastern boundary. Administration Act (the FAA Act, 27 area, based on features found on United Historical evidence in the petition for U.S.C. 201 et seq.) requires that alcohol States Geological Survey (USGS) maps; the proposed boundaries includes the beverage labels provide the consumer and contributions of the Texoma region to with adequate information regarding a • A copy of the appropriate USGS world viticulture. Renowned 19th product’s identity and prohibits the use map(s) with the proposed viticultural century viticulturalist Thomas Volney of misleading information on such area’s boundary prominently marked. (T.V.) Munson chose the Texoma area as labels. The FAA Act also authorizes the the site for his experimental vineyards. Texoma Petition and Rulemaking Secretary of the Treasury to issue An expert on native grape varieties, it regulations to carry out its provisions. General Background was reported that he was particularly excited by the varieties of native grapes The Alcohol and Tobacco Tax and The Texoma Appellation Committee, found within the region, calling the area Trade Bureau (TTB) administers these in Denison, Texas, petitioned TTB to his ‘‘grape paradise.’’ He developed over regulations. establish the ‘‘Texoma’’ viticultural area 300 new grape varieties from the wild Part 4 of the TTB regulations (27 CFR in north-central Texas. Located along grapes growing along the bluffs of the part 4) allows the establishment of the Texas-Oklahoma Stateline on the Red River and its tributaries. Today, the definitive viticultural areas and the use south side of Lake Texoma and the Red T.V. Munson Memorial Vineyard at of their names as appellations of origin River, the proposed area covers Grayson County College in Denison, on wine labels and in wine approximately 3,650 square miles, or Texas, carries on Munson’s legacy. The advertisements. Part 9 of the TTB about 2.3 million acres, in Montague, vineyard grows 65 of the 300 grape regulations (27 CFR part 9) contains the Cooke, Grayson, and Fannin Counties. varieties developed by Munson, and the list of approved viticultural areas. The proposed viticultural area contains college, unlike most junior colleges in four wineries and a number of small Definition the nation, bestows an associate degree vineyards with approximately 55 acres in viticulture. Section 4.25(e)(1)(i) of the TTB planted to vines. Both native Texas Because of the importance of native regulations (27 CFR 4.25(e)(1)(i)) defines grape varieties and Vitis vinifera grape species to the viticultural history a viticultural area for American wine as varieties thrive in the proposed area. and identity of the Texoma region, the a delimited grape-growing region Below, we summarize the evidence petitioner bases the southern boundary distinguishable by geographical presented in the petition. features, the boundaries of which have in part on the distribution of wild been recognized and defined in part 9 Name Evidence grapevines through the area.
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