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to providing long-term firm market where a single entity receives DEPARTMENT OF COMMERCE transmission rights.111 However, now offers to sell and bids to buy electric that Congress has weighed in on the energy and/or ancillary services from International Trade Administration issue, we remain optimistic that CAISO multiple sellers and buyers and will develop a plan, tariff sheets and determines which sales and purchases 19 CFR Part 351 implementation timetable to allow are completed and at what prices, based provision of long-term transmission Antidumping and Countervailing on formal rules contained in Duties rights at the inception of MRTU, Commission-approved tariffs, and without delaying MRTU’s target where the prices are used by a CFR Correction November 2007 implementation date. transmission organization for 124. We also deny SMUD’s request In Title 19 of the Code of Federal that, if implementation of financial establishing transmission usage Regulations, part 200 to end, revised as 114 long-term firm transmission rights charges.’’ In the Final Rule, however, of April 1, 2006, on page 225, § 351.218 cannot be accomplished within a short we modified the first clause of the is corrected by removing and reserving time after the date for the compliance definition to state that organized paragraph (d)(2)(iii). electricity market ‘‘means an auction filing, the affected transmission [FR Doc. 06–55530 Filed 11–24–06; 8:45 am] based day ahead and real time organizations should develop interim BILLING CODE 1505–01–D plans, such as the use of physical rights wholesale market. ***’’ 115 We service, until a financial rights service explained that the purpose of this modification was: can be implemented. We expect that, DEPARTMENT OF THE TREASURY apprised of the importance of this to clarify the application of the Final Rule matter to Congress, transmission and ensure that the definition captures the Alcohol and Tobacco Tax and Trade organizations will make compliance transmission organizations with organized Bureau proposals that fully comply with the electricity markets using LMP and FTRs to Final Rule in a timely manner. It is which Congress directed the Commission to 27 CFR Part 9 premature and inappropriate to consider apply this Final Rule in section 1233(b) of in this generic proceeding whether EPAct 2005.116 [T.D. TTB–56; Re: Notice No. 18] interim plans, such as the provision of RIN 1513–AA57 physical rights, are needed. Similarly, 126. CAISO does not currently we will not address in this rehearing of operate a day-ahead wholesale energy Establishment of the Chehalem a rulemaking of general applicability market, although it will upon the Mountains Viticultural Area (2002R– SMUD’s assertion that the CAISO’s inception of MRTU, scheduled to take 214P) proposed priority nomination process, place in November 2007. While CAISO or PNP, is discriminatory. As we currently has FTRs, their characteristics AGENCY: Alcohol and Tobacco Tax and explained in the Final Rule, we will will change dramatically upon Trade Bureau, Treasury. address the specifics of individual implementation of MRTU—e.g., they ACTION: Final rule; Treasury decision. transmission organizations’ will be point-to-point and available to SUMMARY: This Treasury decision implementation of the Final Rule in our load serving entities without establishes the 68,265-acre Chehalem orders on compliance proposals.112 The participation in an auction, two features Mountains viticultural area in compliance proposal process provides of long-term firm transmission rights Clackamas, Yamhill, and Washington transmission organizations with the required by our guidelines. Given that Counties, . This new viticultural opportunity to offer for comment the the nature of FTRs in CAISO is in area is entirely within the existing proposals they have created after vetting transition, implementing long-term viticultural area. We issues through their stakeholder FTRs under the current market design designate viticultural areas to allow process, and the comment process would be problematic. Nevertheless, we vintners to better describe the origin of ensures the opportunity for thorough clarify that CAISO must submit a their wines and to allow consumers to and fair discussion of the proposals. 125. Finally, with respect to Santa compliance filing on January 29, 2007. better identify wines they may Clara’s requested clarification/rehearing This will enable the Commission (and purchase. concerning CAISO’s obligation to its staff) to monitor CAISO’s progress DATES: Effective Date: December 27, comply with the Final Rule, section and ensure availability of long-term firm 2006. transmission rights when MRTU goes 1233(b) of EPAct 2005 requires the FOR FURTHER INFORMATION CONTACT: into effect. Commission to implement the FPA’s N.A. Sutton, Regulations and Rulings new statutory provision, section 217, By the Commission. Division, Alcohol and Tobacco Tax and concerning long-term firm transmission Magalie R. Salas, Trade Bureau, 925 Lakeville St., No. rights in transmission organizations Secretary. 158, Petaluma, CA 94952; telephone with organized electricity markets. [FR Doc. E6–19999 Filed 11–24–06; 8:45 am] 415–271–1254. Significantly, as we pointed out in the SUPPLEMENTARY INFORMATION: NOPR, neither EPAct 2005 nor section BILLING CODE 6717–01–P 217 of the FPA defines ‘‘organized Background on Viticultural Areas 113 electricity market.’’ In the NOPR, we TTB Authority proposed to define ‘‘organized electricity market’’ as ‘‘an auction-based Section 105(e) of the Federal Alcohol Administration Act (the FAA Act, 27 111 See id. at P 891 (recounting CAISO’s history U.S.C. 201 et seq.) requires that alcohol of procrastination concerning long-term rights beverage labels provide consumers with development). 114 See id. adequate information regarding product 112 Id. at P 495. 115 See Final Rule at P 30 (emphasis added). identity and prohibits the use of 113 See NOPR at P 8. 116 Id. misleading information on those labels.

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The FAA Act also authorizes the Chehalem Mountains Viticultural Area started operations on Chehalem Creek. Secretary of the Treasury to issue Petition and Rulemaking Also, in 1848, Joseph B. Rogers platted regulations to carry out its provisions. the town of ‘‘Chehalem’’ on his Background The Alcohol and Tobacco Tax and property, the current site of Newberg, Trade Bureau (TTB) administers these TTB received a petition from Alex Oregon. The petition further states that regulations. Sokol-Blosser, secretary of the North on March 14, 1851, the township of Part 4 of the TTB regulations (27 CFR Willamette Valley AVA Group, ‘‘Chehalem’’ established one of the part 4) allows the establishment of proposing establishment of the new earliest post offices in Yamhill County. definitive viticultural areas and the use ‘‘Chehalem Mountains’’ viticultural The ‘‘Chehalem Mountains’’ name of their names as appellations of origin area. David Adelsheim, Paul Hart, and figures prominently on the USGS on wine labels and in wine Richard Ponzi authored the petition. quadrangle maps of Newberg, Dundee, advertisements. Part 9 of the TTB The proposed Chehalem Mountains Laurelwood, and Scholls, Oregon, regulations (27 CFR part 9) contains the viticultural area is located in portions of submitted with the petition. Within the list of approved viticultural areas. Clackamas, Yamhill, and Washington Chehalem Mountains, these USGS maps Counties in northwestern Oregon. The name the Parrett Mountain and Ribbon Definition proposed area lies in the northern Ridge spurs, as well as other hills, Section 4.25(e)(1)(i) of the TTB region of the Willamette Valley peaks, and ridges, including Laurel regulations (27 CFR 4.25(e)(1)(i)) defines viticultural area (27 CFR 9.90) and, Ridge, Bald Peak, Iowa Hill, Spring Hill, a viticultural area for American wine as along its southwestern boundary, and Fern Hill. The entry for Chehalem a delimited grape-growing region encompasses the smaller Ribbon Ridge Mountains in ‘‘Oregon Geographic distinguishable by geographical viticultural area (27 CFR 9.182). The Names’’ by Lewis L. McArthur reads, features, the boundaries of which have Chehalem Mountains viticultural area is ‘‘These are the highest mountains in the been recognized and defined in part 9 approximately 19 miles southwest of Willamette Valley * * *. The Chehalem of the regulations. These designations Portland, Oregon, and 45 miles inland Mountains and some independent spurs allow vintners and consumers to from the Pacific Ocean. The proposed extend from the east of attribute a given quality, reputation, or Chehalem Mountains viticultural area Newberg to the foothills of the Coast other characteristic of a wine made from covers 106.6 square miles, or 68,265 range south of Forest Grove, Oregon.’’ grapes grown in an area to its acres. The petition states that, in 2002, Additional geographic location name geographic origin. The establishment of the area contained at least 80 vineyards, references on the USGS maps include viticultural areas allows vintners to totaling over 1,100 acres, and 12 Chehalem Creek, which runs through describe more accurately the origin of commercial wineries. Chehalem Valley, on the south side of their wines to consumers and helps Terrain, elevation, and climate are the the Chehalem Mountains. consumers to identify wines they may significant distinguishing features of the In addition to the USGS map purchase. Establishment of a viticultural proposed Chehalem Mountains references, modern ‘‘Chehalem’’ name area is neither an approval nor an viticultural area. The proposed usages include a municipal park and endorsement by TTB of the wine boundary line, which is generally at 200 recreation district, a public middle produced in that area. to 250 feet in elevation, encompasses school, public roads, 27 business names, this single, continuous landmass lifted and several housing developments, Requirements from the Willamette Valley floor. according to petition evidence. We summarize below the supporting Section 4.25(e)(2) of the TTB Boundary Evidence evidence presented with the petition. regulations outlines the procedure for The proposed boundary line of the proposing an American viticultural area Name Evidence Chehalem Mountains viticultural area and provides that any interested party The petition explains that the region relies primarily on geographical features may petition TTB to establish a grape- within the proposed viticultural area is and elevations, the petition explains growing region as a viticultural area. locally known as the ‘‘Chehalem and the USGS regional maps confirm. In Section 9.3(b) of the TTB regulations Mountains.’’ The petition notes that use addition to terrain and elevation, slope requires the petition to include— • of the Chehalem name extends back to and soil criteria help delineate the line Evidence that the proposed the early 19th century, that it is featured between mountains and valley floor, viticultural area is locally and/or on USGS maps of the region, and that according to the petition. Thus, the nationally known by the name specified it is used by a variety of present-day proposed Chehalem Mountains in the petition; businesses, housing developments, viticultural area boundary line includes • Historical or current evidence that parks, and roads. mountainous and hillside terrain, but supports setting the boundary of the The modern word ‘‘Chehalem’’ comes excludes flat or barely sloping lands. proposed viticultural area as the from the Native American name A valley formed by the petition specifies; ‘‘Chahelim,’’ listed under the heading and its tributaries lies on much of the • Evidence relating to the Atfalati (Tualatin) in the ‘‘Handbook of west side and all of the north side of the geographical features, such as climate, American Indians,’’ according to Chehalem Mountains. On the east side soils, elevation, and physical features, references in the petition. Also, of the Chehalem Mountains, Rock Creek that distinguish the proposed beginning in the early 1800s, the and Seely Ditch separate the mountains viticultural area from surrounding areas; ‘‘Chehalem’’ name referred to more than from the high ground around Tonquin. • A description of the specific 20 bands of Native Americans living in The southeast side of the Chehalem boundary of the proposed viticultural the general vicinity of the Chehalem Mountains borders the flood plain of the area, based on features found on United Mountains. Willamette River, and the Chehalem States Geological Survey (USGS) maps; Historically, the ‘‘Chehalem’’ name Valley lies along the southwest side of and entered the vocabulary of the early the proposed viticultural area’s • A copy of the appropriate USGS European settlers prior to 1840, boundary line. map(s) with the proposed viticultural according to the petition. The petition Historically, the first vineyard area’s boundary prominently marked. explains that in 1834 a lumber mill acquisition in the Chehalem Mountains

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dates to 1968, when Dick Erath valley floor sits at or below 200 feet in Temperatures vary within the purchased 49 acres on Dopp Road in elevation, according to the USGS Chehalem Mountains more than in any Yamhill County, according to the regional maps. other region within the Willamette petition. Mr. Erath planted vineyards in Most of the vineyards in the proposed Valley, the petition explains. According the spring of 1969, the petition Chehalem Mountains viticultural area, to data from the Oregon Climate Service, continues, and shortly thereafter other the petition states, lie between the 200 heat accumulation during the Chehalem land owners also started planting wine feet and 1,000 feet contour lines. The Mountains growing season varies from grapes. areas below 200 feet in elevation have over 2,200 degree days along the alluvial soils, characterized by greater mountains’ south side base to less than Distinguishing Features depth, fertility, and water-holding 1,800 degree days on the northsides of The petition states that the capacity, according to the petition. This their higher peaks. The annual 400 distinguishing features of the proposed combination of soil features extends the degree-day variation typically results in Chehalem Mountains viticultural area growing period of the Willamette Valley a three-week difference in the ripening include its terrain, elevation, and floor and delays grape ripening. Also, of Pinot Noir grapes, the petition climate. These features contrast with the frost potential increases at the lower explains. (Each degree that a day’s mean surrounding Willamette Valley, Coast elevations of the valley floor when temperature is above 50 degrees Range, and Columbia Gorge regions. compared to the higher hillside and Fahrenheit, which is the minimum mountain elevations. As a result, the Physical Features temperature required for grapevine proposed Chehalem Mountains growth, is counted as one degree day; The length and towering peaks of the viticultural area boundary line excludes see ‘‘General Viticulture,’’ Albert J. Chehalem Mountains landform valley floor elevations and its alluvial Winkler, University of California Press, distinguish the proposed viticultural soils, the petition states. 1975.) area from the surrounding Willamette Evapotranspiration, or the loss of Climate Valley area, the petition explains. water from soil and plants by a Viewable from the West Hills of Significant annual precipitation best combination of evaporation and Portland, Oregon, and the northern distinguishes the climate of the transpiration, averages about 3 inches Willamette Valley floor, the Chehalem proposed Chehalem Mountains less at the higher elevations of the Mountains measure more than 20 miles viticultural area from surrounding Chehalem Mountains when compared to in length and 5 miles in width. The regions, the petition claims. As the the surrounding valleys, the petition mountains are a single continuous highest mountains in the Willamette states. This difference corresponds to landmass of increasing elevation, Valley the Chehalems create a large the warmer growing temperatures found containing a series of ridges and two obstacle for west-to-east moving storms. at the lower elevations, as compared to highly delineated spurs, Ribbon Ridge When the moist air rises over the the cooler growing temperatures at the and Parrett Mountain. The mountains Chehalem Mountains, water vapor in higher elevations of the Chehalem also serve to separate the Tualatin River the cooling air condenses and falls to Mountains, the petition explains. basin and the Chehalem Valley, the earth as terrain-induced rain, the Soil petition continues. petition explains. The slopes of the Chehalem According to data from the ‘‘Atlas of The petition emphasizes that the Mountains, both steep and gentle, Oregon,’’ second edition (University of diverse Chehalem Mountains soils fail significantly contrast with the almost Oregon Press, 2001), annual rainfall to qualify as a distinguishing feature for flat Willamette Valley floor, the petition within the boundaries of the proposed this viticultural area petition. The soils, explains. On the west side of Ribbon viticultural area ranges from 37 inches according to the petition, include loess, Ridge and the southeast side of Parrett in the lower elevations to almost 60 sedimentary, basaltic, and alluvial Mountain, the slopes descend steeply, inches at the highest elevation at Bald origins. according to the petition and the USGS Peak. This annual precipitation The Ribbon Ridge spur, within the maps of the region. At the bottom of contrasts with the 36 inches received in proposed Chehalem Mountains these steep descents, the slopes become Hillsboro and Beaverton to the north of southwest boundary line and heavily almost level and flatten into the valley the proposed viticultural area, French planted to red wine grapes, includes floor. Prairie to the south, and Portland sedimentary soil of the Willakenzie The majority of the Chehalem International Airport to the east, the Series, the petition explains. The central Mountains slopes shift gradually and petition explains. To the west of the and southern Chehalem Mountains, gently to the valley floor, as shown on Chehalems, the Coast Range, closer to with vineyards of white grapes and USGS regional maps. Where the terrain the moisture-laden air of the Pacific extensive Pinot Noir plantings, include transition lacks distinction, the Ocean, annually averages over 100 large deposits of basaltic soils, mainly of petitioner uses a combination of terrain, inches of rain. the Jory Series. The central Chehalem elevation, slope, and soil criteria to Several other uplifted regions within Mountains region also includes loess determine the boundary line of the the Willamette Valley include higher soils, primarily of the Laurelwood proposed Chehalem Mountains rainfall levels than the surrounding Series. viticultural area. valley floor, but none are as dramatic as The petition further states that the the Chehalem Mountains. For example, sedimentary western flank of the Elevation to the south-southwest of the proposed Chehalem Mountains contains Within the Willamette Valley, the viticultural area, the Eola Hills, which similarities to the adjacent hilly region Chehalem Mountains tower in height peak at approximately 1,160 feet, surrounding the Yamhill River Basin, over the surrounding landforms and receive 40 to 48 inches of annual beyond the proposed boundary line. terrain, according to the petition. Bald precipitation, while to the south of the Also, the basaltic-origin soils of the Peak, northwest of Newberg and within proposed viticultural area, the Dundee Chehalem Mountains’ southern slope the proposed Chehalem Mountains Hills, which peak at 1,067 feet in and the Parrett Mountain spur resemble viticultural area, rises to 1,633 feet elevation, receive 40 to 44 inches of soils found further south and outside above sea level, while the surrounding annual precipitation. the proposed boundary line in the

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Dundee Hills and on the east side of the Chehalem Mountains viticultural area minor boundary line change ensures Eola Hills. Eolian soils on the north side boundary line. One of these commenters that the Chehalem Mountains and of the Chehalem Mountains, the petition specifically suggested that such Ribbon Ridge viticultural areas share a continues, resemble those found on the continued use of ‘‘Chehalem’’ in the common boundary where appropriate so hills further north and east, beyond the winery’s brand name would be that the Ribbon Ridge area is entirely proposed boundary line, in the Tualatin appropriate so long as all of the grapes within the Chehalem area as the basin at Cooper and Bull Mountains. in question came from within the petitioner intended. This boundary line Finally, alluvial soils at the base of the Willamette Valley viticultural area. modification increases the overall size Chehalem Mountains contain of the proposed Chehalem Mountains TTB Finding similarities to the surrounding valley viticultural area by approximately 425 flood plain soils found at elevations After careful review of the petition acres. below the proposed viticultural area and the eight comments received, TTB In addition, for clarity, we have made boundary line. finds that the evidence submitted minor editorial, non-substantive The petition concludes that terrain, supports the establishment of the changes to the wording of the originally elevation, and climatic features of the proposed viticultural area. Therefore, proposed Chehalem Mountains proposed Chehalem Mountains under the authority of the Federal viticultural area boundary description. viticultural area join to create the Alcohol Administration Act and part 4 See the narrative boundary description distinguishing features of this proposed of our regulations, we establish the of the viticultural area in the regulatory viticultural region. The Chehalem ‘‘Chehalem Mountains’’ viticultural area text published at the end of this Mountains soils, with their variety of in Clackamas, Yamhill, and Washington document. parent material types, lack distinction Counties, Oregon, effective 30 days from Maps from the surrounding Willamette Valley the publication date of this document. floor and hill formations. Regarding the concerns about use of The maps for determining the the ‘‘Chehalem’’ name by Chehalem boundary of the viticultural area are Notice of Proposed Rulemaking and Winery and Vineyards, TTB has listed below in the regulatory text. Comments Received determined that only the full Impact on Current Wine Labels On October 7, 2003, TTB published in ‘‘Chehalem Mountain’’ name should the Federal Register (68 FR 57840) as have viticultural significance upon the Part 4 of the TTB regulations prohibits Notice No. 18 a notice of proposed establishment of the new viticultural any label reference on a wine that rulemaking regarding the establishment area. Therefore, the name ‘‘Chehalem’’ indicates or implies an origin other than of the Chehalem Mountains viticultural standing alone will not have viticultural the wine’s true place of origin. With the area. We received eight comments in significance. Accordingly, the Chehalem establishment of this viticultural area response to that notice. Winery and Vineyards may continue to and its inclusion in part 9 of the TTB All comments supported the use its brand name for wines produced regulations, its name, ‘‘Chehalem establishment of the Chehalem from grapes grown outside the Mountains’’ is recognized under 27 CFR Mountains viticultural area. Six of the boundaries of the Chehalem Mountains 4.39(i)(3) as a name of viticultural eight comments agreed that the viticultural area. significance. The text of the new proposed ‘‘Chehalem Mountains’’ name, regulation clarifies this point. boundary line, and distinguishing Boundary Description Consequently, wine bottlers using features accurately represented the As originally proposed, the boundary ‘‘Chehalem Mountains’’ in a brand proposed viticultural area. The of the Chehalem Mountains viticultural name, including a trademark, or in remaining two comments also area encompassed the Ribbon Ridge another label reference as to the origin supported establishment of the landform, and the petitioning North of the wine, must ensure that the Chehalem Mountains viticultural area, Willamette Valley AVA Group intended product is eligible to use the viticultural but specifically expressed concern about to include the then proposed Ribbon area name or other term as an a possible conflict with one winery’s Ridge viticultural area entirely within appellation of origin. longstanding use of ‘‘Chehalem’’ in its the proposed Chehalem Mountains area. For a wine to be eligible to use as an brand name, because the winery does Notice No. 8, included, therefore, appellation of origin a viticultural area not source all of its grapes from within proposed regulatory text that used the name or other term specified as being the proposed Chehalem Mountains 200-foot and the 240-foot contour lines viticulturally significant in part 9 of the boundary. to define much of the southwestern TTB regulations, at least 85 percent of It is the understanding of TTB that boundary of the Chehalem Mountains the wine must be derived from grapes these two commenters were referring to viticultural area. In contrast, the grown within the area represented by Chehalem Winery and Vineyards, which regulatory text of § 9.182 adopted in that name or other term, and the wine utilizes grapes grown within the T.D. TTB–27, which established the must meet the other conditions listed in boundary of the proposed Chehalem Ribbon Ridge viticultural area, uses 27 CFR 4.25(e)(3). If the wine is not Mountains viticultural area but also Dopp and North Valley Roads for the eligible to use the viticultural area name relies on grapes from the nearby Dundee Ribbon Ridge area’s southern and or term as an appellation of origin and Hills viticultural area (27 CFR 9.180) for western boundary lines, thus placing that name or other term appears in the its production, with the result that the the Ribbon Ridge boundary slightly brand name, then the label is not in wine produced would not meet the 85 outside the originally proposed compliance and the bottler must change percent standard for use of ‘‘Chehalem Chehalem Mountains southwestern the brand name and obtain approval of Mountains’’ as an appellation of origin boundary line. a new label. Similarly, if the viticultural (see the Impact on Current Wine Labels TTB has, with the petitioner’s area name or other term appears in discussion below). The two commenters agreement, modified the originally another reference on the label in a recommended that TTB allow the proposed southwestern boundary of the misleading manner, the bottler would winery to continue to use the Chehalem Mountains viticultural area to have to obtain approval of a new label. ‘‘Chehalem’’ brand name for grapes mirror the established Ribbon Ridge Different rules apply if a wine has a obtained outside the proposed viticultural area boundary line. This brand name containing a viticultural

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area name or other viticulturally (3) Laurelwood Quadrangle, Oregon, R3W, to its intersection with the 240- significant term that was used as a 7.5 Minutes Series 1956 (revised 1992); foot contour line, Newberg map; then brand name on a label approved before (4) Scholls Quadrangle, Oregon, 7.5 (10) Proceed westerly for 4 miles July 7, 1986. See 27 CFR 4.39(i)(2) for Minute Series, 1961 (photorevised along the 240-foot contour line, crossing details. 1985); onto the Dundee map, to its intersection (5) Beaverton Quadrangle, Oregon, 7.5 with an unnamed light-duty road locally Regulatory Flexibility Act Minute Series, 1961 (photorevised known as Sullivan Lane, section 74, We certify that this regulation will not 1984); and T3S/R3, Dundee map; then have a significant economic impact on (6) Sherwood Quadrangle, Oregon, 7.5 (11) Proceed south 0.25 mile along a substantial number of small entities. Minute Series, 1961 (photorevised Sullivan Lane to its intersection with This regulation imposes no new 1985). North Valley Road at elevation point reporting, recordkeeping, or other (c) Boundary. The Chehalem 216, section 74, T3S/R3, Dundee map; administrative requirement. Any benefit Mountains viticultural area is located in then derived from the use of a viticultural Clackamas, Yamhill, and Washington (12) Proceed west 0.1 mile along area name is the result of a proprietor’s Counties, Oregon. The boundary of the North Valley Road to its intersection efforts and consumer acceptance of Chehalem Mountains viticultural area is with the 200-foot contour line, section wines from that area. Therefore, no as described below: 74, T3S/R3W, Dundee map; then regulatory flexibility analysis is (1) The beginning point is in Yamhill (13) Proceed northwesterly 1 mile required. County on the Newberg map in section along the 200-foot contour line to its 15, T3S/R2W, at the intersection of intersection with an unnamed creek Executive Order 12866 Oregon Highway 99W and the 250-foot northeast of elevation point 215, and This rule is not a significant contour line, 0.4 mile east of Spring continue northwesterly 0.05 mile along regulatory action as defined by Brook; the unnamed creek to its intersection Executive Order 12866 (58 FR 51735). (2) From the beginning point, proceed with Dopp Road along the western Therefore, it requires no regulatory northwesterly 1.2 miles along the 250- boundary line of section 74, T3S/R3W, assessment. foot contour to its intersection with an Dundee map; then unnamed light-duty road locally known (14) Proceed south 0.8 mile along Drafting Information as Benjamin Road, section 50, T3S/ Dopp Road to its intersection with N.A. Sutton of the Regulations and R2W, Newberg map; then North Valley Road at the elevation point Rulings Division drafted this notice. (3) Proceed west 0.5 mile along 202 near the School, Benjamin Road, crossing railroad tracks, List of Subjects in 27 CFR Part 9 section 39, T3S/R3W, Dundee map; then to its intersection with an unnamed (15) Proceed northerly 5 miles on Wine. light-duty road locally known as Spring North Valley Road, crossing onto the The Regulatory Amendment Brook Road, section 48, T3S/R2W, Laurelwood map, to the road’s Newberg map; then intersection with Laughlin Road and I For the reasons discussed in the (4) Proceed southwest 0.3 mile along Albertson Road at elevation point 235, preamble, we amend title 27 CFR, Spring Brook Road, parallel to the section 58, T2S/R3W, Laurelwood map; chapter 1, part 9, as follows: railroad tracks, to its intersection with then an unnamed light-duty road locally (16) Proceed east 0.1 mile on PART 9—AMERICAN VITICULTURAL known as Mountainview Drive, section Albertson Road to its intersection with AREAS 48, T3S/R2W, on the Newberg map; the 240-foot contour line, section 58, I 1. The authority citation for part 9 then T2S/R3W, Laurelwood map; then continues to read as follows: (5) Proceed west 0.35 mile on (17) Proceed northerly 15.6 miles Mountainview Drive to its intersection along the 240-foot contour line to its Authority: 27 U.S.C. 205. with an unnamed light-duty road locally intersection with Sandstrom Road, Subpart C—Approved American known as Aspen Way, along the western section 19, T1S/R3W, Laurelwood map; Viticultural Areas boundary of section 8, T3S/R2W, then Newberg map; then (18) Proceed west 0.15 mile on I 2. Subpart C is amended by adding (6) Proceed northwesterly 1.4 miles Sandstrom Road to its third crossing of § 9.205 to read as follows: on Aspen Way to its intersection with the 200-foot contour line, just before Bell Road, along the northern boundary Fern Hill Road to the west, section 24, § 9.205 Chehalem Mountains. of section 47, T3S/R2W, Newberg map; T1S/R4W, Laurelwood map; then (a) Name. The name of the viticultural then (19) Proceed northwesterly and then area described in this section is (7) Proceed west 0.8 mile on Bell northeasterly 4.5 miles along the ‘‘Chehalem Mountains’’. For purposes of Road, which becomes North Valley meandering 200-foot contour line to its part 4 of this chapter, ‘‘Chehalem Road after crossing Oregon Highway intersection with La Follette Road along Mountains’’ is a term of viticultural 219, to its intersection with the 250-foot the eastern boundary of section 8, T1S/ significance. contour line, immediately before an R3W, Laurelwood map; then (b) Approved Maps. The appropriate unimproved dirt road on the left, (20) Proceed south 0.25 mile on La maps for determining the boundary of section 46, T3S/R2W, Newberg map; Follette Road to its intersection with the the Chehalem Mountains viticultural then 240-foot contour line, north of Blooming area are six United States Geological (8) Proceed westerly 2 miles along the Fern Hill Road, along the western Survey 1:24,000 scale topographic 250-foot contour line to its first boundary line of section 16, T1S/R3W, maps. They are titled: intersection with the western boundary Laurelwood map; then (1) Newberg Quadrangle, Oregon, 7.5 line of section 43, T3S/R3W, along the (21) Proceed easterly and then Minute Series, 1961 (photorevised western border of the Newberg map; southerly 17 miles along the 1985); then meandering 240-foot contour line, (2) Dundee Quadrangle, Oregon, 7.5 (9) Proceed north 0.2 mile along the crossing over and back on the Scholls Minute Series, 1956 (revised 1993); western boundary of section 43, T3S/ map in section 25 and 56, T1S/R3W,

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crossing Christensen Creek in section section 1, T3S/R2W, Sherwood map; Brook, section 57, T3S/R2W, Newberg 35, T1S/R3W, and continuing to the then map; then contour line’s intersection with Laurel (30) Proceed southwesterly 0.5 mile (42) Proceed northeasterly 0.05 mile Road West, along the southern boundary on Middleton Road, which becomes along the unnamed tributary of Spring line of section 1, T2S/R3W, Laurelwood Rein Road, to the road’s intersection Brook to its intersection with the 250- map; then with the 200-foot contour line, foot contour line, southwest of the (22) Proceed east 0.15 mile on Laurel immediately south of Cedar Creek, quarries, section 57, T3S/R2W, Newberg Road West to its intersection with the section 1, T3S/R2W, Sherwood map; map; then 200-foot contour line, along the then (43) Proceed northerly 2.2 miles along southern boundary line of section 1, (31) Proceed 1.6 miles generally east the 250-foot contour line to its T2S/R3W, Laurelwood map; then along the 200-foot contour line to its intersection with Corral Creek Road (23) Proceed easterly 17.5 miles along intersection, in the village of Middleton, (misnamed Ladd Hill Road on the the meandering 200-foot contour line, with an unnamed light-duty east-west Newberg map), south of Oregon and, after crossing onto the Scholls map road locally known as Brookman Road, Highway 99W, section 15, T3S/R2W, and crossing over Laurel Road South, section 6, T3S/R1W, Sherwood map; Newberg map; then McCormick Hill Road four times, and then (44) Proceed north 0.5 mile along Midway Road, and after crossing over (32) Proceed easterly 0.7 mile on Corral Creek Road to its western-most and back on the Newberg map (crossing Brookman Road to its intersection with intersection with an unnamed light-duty road locally known as Veritas Lane, Heaton Creek) in section 28, T2S/R2W, the Washington-Clackamas County line, section 15, T3S/R2W, Newberg map; continue to the contour line’s at the northwest corner of section 5, T3S/R1W, Sherwood map; then then intersection with Mountain Home Road, (45) Proceed north-northwesterly in a east of Heaton Creek, section 21, T2S/ (33) Proceed east 1 mile along the Washington-Clackamas County line to straight line approximately 0.05 mile R2W, Scholls map; then and return to the beginning point. (24) Continue easterly and then its intersection with Brown Road, at the southerly 8.9 miles along the 200-foot northeast corner of section 5, T3S/R1W, Signed: September 8, 2006. contour line and, after crossing Baker Sherwood map; then John J. Manfreda, Creek, skirting Laurel Ridge to the (34) Proceed southerly 1 mile on Administrator. north, crossing onto the Beaverton map, Brown Road to its second intersection Approved: October 27, 2006. with the 250-foot contour line, crossing over and back on the Sherwood Timothy E. Skud, map, crossing over in the northwest immediately south of an intermittent stream, in section 4, T3S/R1W, Deputy Assistant Secretary (Tax, Trade, and corner of the Beaverton map, and Tariff Policy). returning to the Scholls map, continue Sherwood map; then (35) Proceed southerly 2.8 miles along [FR Doc. E6–20018 Filed 11–24–06; 8:45 am] to the contour line’s intersection with the meandering 250-foot contour line, BILLING CODE 4810–31–P the middle tributary of an unnamed skirting Hoodview, to the contour line’s creek, along the western boundary line intersection with Baker Road, section of section 24, T2S/R2W, Scholls map; DEPARTMENT OF THE TREASURY 16, T3S/R1W, Sherwood map; then then (36) Proceed south 0.15 mile on Baker (25) Proceed southeast along the Alcohol and Tobacco Tax and Trade Road to its intersection with the 200- Bureau meandering 200-foot contour line and, foot contour line, section 16, T3S/R1W, after crossing over to the northeast Sherwood map; then 27 CFR Part 9 corner of the Newberg map to the (37) Proceed southwesterly 13.1 miles Sherwood map, continue to the contour along the meandering 200-foot contour [T.D. TTB–57; Re: Notice No. 39] line’s intersection with Edy Road, line and, after crossing onto the RIN 1513–AA70 section 25, T2S/R2W, Sherwood map; Newberg map, continue to the contour then line’s intersection with Wilsonville Establishment of the Shawnee Hills (26) Proceed southwest along the Road, north of Willamette Greenway Viticultural Area (2002R–345P) meandering 200-foot contour line and, State Park, section 60, T3S/R2W, AGENCY: after crossing onto the Newberg map, Newberg map; then Alcohol and Tobacco Tax and skirting part of Chicken Creek, and (38) Proceed northwesterly 2 miles on Trade Bureau, Treasury. returning to the Sherwood map, Wilsonville Road to its intersection with ACTION: Final rule; Treasury decision. continue to the contour line’s an unnamed tributary of Spring Brook, intersection with Elwert Road, along the SUMMARY: This Treasury decision east-northeast of Grouse Butte, section establishes the Shawnee Hills eastern boundary line of section 25, 57, T3S/R2W, Newberg map; then T2S/R2W, Sherwood map; then viticultural area in the Shawnee (39) Proceed southwesterly 0.25 mile National Forest region of southern (27) Proceed south 0.85 mile on along the unnamed tributary of Spring Elwert Road to its intersection with Illinois. We designate viticultural areas Brook to its intersection with the 200- to allow vintners to better describe the Oregon Highway 99W, along the eastern foot contour line, section 57, T3S/R2W, boundary line of section 36, T2S/R2W, origin of their wines and to allow Newberg map; then consumers to better identify wines they Sherwood map; then (40) Proceed westerly and then may purchase. (28) Proceed south-southwest 0.45 northerly 0.45 mile along the 200-foot mile on Oregon Highway 99W to its contour line, following the base of DATES: Effective Date: December 27, intersection with the 250-foot contour Grouse Butte, to the contour line’s 2006. line immediately south of an unnamed intersection with Wilsonville Road, FOR FURTHER INFORMATION CONTACT: Rita Cedar Creek tributary, section 36, T2S/ section 57, T3S/R2W, Newberg map; Butler, Regulations and Rulings R2W, Sherwood map; then then Division, Alcohol and Tobacco Tax and (29) Proceed southerly 1 mile along (41) Proceed east 0.45 mile on Trade Bureau, 1310 G Street, NW., the meandering 250-foot contour line to Wilsonville Road to its intersection with Washington, DC 20220; telephone 202– its intersection with Middleton Road, the same unnamed tributary of Spring 927–8210.

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