Federal Register / Vol. 68, No. 173 / Monday, September 8, 2003 / Proposed Rules 52875

e. Redesignating existing paragraphs Trade Bureau, P.O. Box 50221, authority to the Alcohol and Tobacco (f)(2) through (f)(7) as paragraphs (f)(3) Washington, DC 20091–0221 (Attn: Tax and Trade Bureau. through (f)(8), Notice No. 15); Regulations in 27 CFR Part 4, Labeling f. And adding a new paragraph (f)(2) • 202–927–8525 (facsimile); and Advertising of Wine, allow the to read as follows: • [email protected] (e-mail); or establishment of definitive viticultural • http://www.ttb.gov/alcohol/rules/ areas and the use of their names as § 1308.11 Schedule I. index.htm. An online comment form is appellations of origin on wine labels * * * * * posted with this notice on our Web site. and in wine advertisements. Title 27 (d) * * * You may view copies of the petition, CFR part 9, American Viticultural (6) 2,5-dimethoxy-4-(n)- this notice, the appropriate maps, and Areas, contains the list of approved propylthiophenethylamine (other name: any comments we receive about this viticultural areas. 2C-T-7)—7348. notice by appointment at the ATF *** What Is the Definition of a Viticultural Reference Library, 650 Massachusetts Area? (29) 1-(3- Avenue, NW., Washington, DC 20226; trifluoromethylphenyl)piperazine (other phone 202–927–7890. You may also Title 27 CFR 4.25a(e)(1) defines an name: TFMPP)—7494. access copies of the notice and American viticultural area as a * * * * * comments on our Web site at http:// delimited grape-growing region (f) * * * www.ttb.gov/alcohol/rules/index.htm. distinguishable by geographic features (2) N-Benzylpiperazine (some other See the Public Participation section of whose boundaries have been delineated names: BZP, 1-benzylpiperazine)—7493. this notice for specific instructions and in subpart C of part 9. These * * * * * requirements for submitting comments designations allow consumers and vintners to attribute a given quality, Dated: September 2, 2003. and for information on how to request a public hearing. reputation, or other characteristic of Karen P. Tandy, wine made from grapes grown in an area FOR FURTHER INFORMATION CONTACT: Administrator. to its geographic origin. [FR Doc. 03–22684 Filed 9–5–03; 8:45 am] Jennifer Berry, Alcohol and Tobacco Tax and Trade Bureau, Regulations and BILLING CODE 4410–09–P What Is Required To Establish a Procedures Division, P.O. Box 18152, Viticultural Area? Roanoke, Virginia 24014; telephone Section 4.25a(e)(2) outlines the 540–344–9333. DEPARTMENT OF THE TREASURY procedure for proposing an American SUPPLEMENTARY INFORMATION: viticultural area. Anyone interested may Alcohol and Tobacco Tax and Trade TTB Background petition TTB to establish a grape- Bureau growing region as a viticultural area. Has Passage of the Homeland Security The petition must include— 27 CFR Part 9 Act Affected Department of Treasury • Evidence that the proposed Rulemaking? [Notice No. 15] viticultural area is locally and/or Effective January 24, 2003, the nationally known by the name specified RIN 1513—AA41 Homeland Security Act of 2002 divided in the petition; • the Bureau of Alcohol, Tobacco and Historical or current evidence that Proposed Eola Hills Viticultural Area the boundaries of the proposed (2002R–216P) Firearms into two agencies, the Alcohol and Tobacco Tax and Trade Bureau in viticultural area are as specified in the petition; AGENCY: Alcohol and Tobacco Tax and the Department of the Treasury and the • Trade Bureau (TTB), Treasury. Bureau of Alcohol, Tobacco, Firearms Evidence of growing conditions, such as climate, soils, elevation, ACTION: Notice of proposed rulemaking. and Explosives in the Department of Justice. Regulation of wine labeling, physical features, etc., that distinguish SUMMARY: The Alcohol and Tobacco Tax including viticultural area designations, the proposed area from surrounding and Trade Bureau proposes to establish areas; is the responsibility of the new TTB. • Eola Hills as a viticultural area in References to ATF in this document A description of the specific Oregon. The proposed viticultural area relate to events that occurred prior to boundaries of the proposed viticultural is entirely within the existing January 24, 2003, or to functions that area, based on features shown on United Willamette Valley viticultural area and the Bureau of Alcohol, Tobacco, States Geological Survey-approved encompasses roughly 37,900 acres Firearms and Explosives continues to (USGS) maps; and • Copies of the appropriate USGS- within Polk and Yamhill Counties. We perform. designate viticultural areas to allow approved map(s) with the boundaries bottlers to better describe the origin of Background on Viticultural Areas prominently marked. wines and allow consumers to better What Is TTB’s Authority To Establish a What Impact May This Notice Have on identify the wines they may purchase. Viticultural Area? Current Wine Labels? We invite comments on this proposed The Federal Alcohol Administration As appellations of origin, viticultural addition to our regulations, particularly Act (FAA Act) at 27 U.S.C. 205(e) area names have geographic from bottlers who use brand names requires that alcohol beverage labels significance. Our 27 CFR part 4 label similar to that of the proposed area. provide the consumer with adequate regulations prohibit the use of a brand DATES: We must receive written information regarding a product’s name with geographic significance on a comments on or before November 7, identity, while prohibiting the use of wine unless the wine meets the 2003. misleading information on such labels. appellation of origin requirements for ADDRESSES: You may send comments to The FAA Act also authorizes the the named area. Our regulations also any of the following addresses— Secretary of the Treasury to issue prohibit any other label references that • Chief, Regulations and Procedures regulations to carry out its provisions, suggest an origin other than the true Division, Alcohol and Tobacco Tax and and the Secretary has delegated this place of origin of the wine.

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If we establish this proposed Geology and Mineral Industries. Both What Evidence of Distinctive Growing viticultural area, bottlers who use brand prominently label the area ‘‘Eola Hills.’’ Conditions Has Been Provided? names, including trademarks, like Eola According to the petitioner, Eola Hills Soil and Geology Hills must ensure that their existing has name recognition and a reputation products are eligible to use the for quality among wine consumers both The petitioner states that the soils and viticultural area’s name as an in and out of Oregon. For this reason, geology of the Eola Hills are distinctive appellation of origin. For a wine to be vineyards and wineries within the from those of the surrounding areas in eligible, at least 85 percent of the grapes two regards: proposed area utilize the name • in the wine must have been grown frequently in their promotional The prevailing basalt-derived soils within the viticultural area, and the literature. The petitioner submitted two are clearly shallower than the soils of wine must meet the other requirements promotional maps demonstrating this. other hills of the North Willamette of 27 CFR 4.25a(e)(3). One map, entitled ‘‘The Wine Valley, and • The well-drained basalt soils are If a wine is not eligible for the Appellations of Oregon,’’ issued by the very different from the alluvial soils of appellation, the bottler must change the Oregon Wine Marketing Coalition, the surrounding valley floor. brand name or other label reference and portrays the Eola Hills area as a As evidence of this, Mr. Raney obtain approval of a new label. Different subregion within the Willamette Valley. submitted two geologic maps issued by rules apply if a wine in this category has The other map, entitled ‘‘Eola Hills the State of Oregon’s Department of a brand name used on a label approved Winegrowing Region, Willamette Valley Geology and Mineral Industries. One is prior to July 7, 1986. See 27 CFR 4.39(i) Oregon,’’ shows the location of all entitled ‘‘Geologic Map of the Rickreall for details. vineyards and wineries in the proposed and Salem Quadrangles, Oregon’’; the area. Eola Hills Petition other is entitled ‘‘Preliminary Geologic The petitioner notes that a small Map of the Amity and Mission Bottom Mr. Russell Raney of Evesham Wood portion of the proposed area is Quadrangles, Oregon.’’ According to Vineyard, Salem, Oregon, petitioned sometimes referred to as ‘‘Amity Hills.’’ these documents, volcanic basalt rock ATF for the establishment of a ‘‘Oregon Geographic Names’’ describes from the lava flows of the Miocene era viticultural area to be called ‘‘Eola Amity Hills as a northern extension of underlies the Eola Hills, with areas of Hills.’’ The proposed viticultural area is the Eola Hills that is separated from the marine sedimentary rock from the within the State of Oregon and entirely main ridge by a pass east of the town of Oligocene era at the lower elevations of within the existing Willamette Valley Amity. USGS maps for McMinnville the ridge. The soils in the middle and viticultural area described in 27 CFR and Amity, Oregon, identify this area as higher elevations of the Eola Hills are 9.90. The petitioner estimates that the Amity Hills. However, the geologic largely well-drained, silty-clay loams proposed area encompasses 37,900 maps issued by Oregon’s Department of weathered from basalt, while on the acres, with about 1,244 acres planted to Geology and Mineral Industries identify lower slopes, silt loams weathered from vines. Currently 12 wineries operate it as part of the Eola Hills. The sedimentary rock predominate, within the proposed area. petitioner argues that, for the purpose of particularly on the west-facing slopes. What Name Evidence Has Been wine designation, consumers in Oregon According to soil survey maps Provided? have come to recognize the entire area published by the Soil Conservation as a single unit known as ‘‘Eola Hills.’’ Service of the U.S. Department of As historical evidence of the use of He also states that vintners in the Amity Agriculture, the dominant basalt- the name ‘‘Eola Hills,’’ the petitioner Hills portion of the proposed area derived soils in the Eola Hills are Nekia submitted an excerpt from ‘‘Oregon support the designation of Eola Hills for (recently reclassified as ‘‘Gelderman’’ Geographic Names’’ (published by the the entire area. series), Ritner, and Jory series soils. The Oregon Historical Society, 5th Edition, preponderance of the shallower Nekia- 1982, pp. 294–295). This source states What Boundary Evidence Has Been Provided? Gelderman soils in the Eola Hills that the Eola Hills were named for the differentiates them from the Red Hills village of Eola, which is situated at the As evidence of the boundaries, the farther north, where the Jory soil series southern end of the ridge. On January petitioner submitted with the petition predominates. The Nekia-Gelderman 17, 1856, the Oregon territorial six USGS topographic maps on which soils have a much lower water capacity legislature incorporated the village as the Eola Hills are dominant features. than the Jory soil series. The most ‘‘Eola,’’ a name derived from Aeolus, the The main ridge of the Eola Hills runs frequently occurring sedimentary soils Greek god of winds. The book further north to south, starting approximately in the Eola Hills are the Steiwer, states that the Eola Hills ‘‘constitute one 53⁄4 miles northeast of the town of Chehulpum, and Helmick series, of the important groups of isolated hills Amity and extending south for 16 miles especially on the west side of the ridge. in the Willamette Valley.’’ It goes on to to Oregon highway 22, just north of the The third major soil group in the Eola explain that the hills have been known Willamette River at West Salem. At their Hills is comprised of those soils formed by other names, but the name ‘‘Eola widest point, toward the southern end, from alluvial deposits, the most Hills seems firmly established.’’ the Eola Hills are about 61⁄2 miles common of which is the Woodburn silt For additional name evidence, the across, from Wallace Road in the east to loam series. Such alluvial soils petitioner also submitted several maps U.S. highway 99 in the west. generally occur only on the lowest that identify the proposed area as ‘‘Eola The petitioner uses the 200-foot elevations of the proposed viticultural Hills.’’ Four of the United States contour line as the predominant area (below 300 feet). Like the above- Geological Survey maps used to show boundary marker. He notes that he mentioned soils, this third group, too, the proposed boundaries (Rickreall, occasionally diverges to use roads or can provide suitable conditions for wine Salem West, Mission Bottom, and highways where they form a more grapes if sufficient slope exists for good Amity) identify the area as Eola Hills. convenient boundary and to exclude water drainage. The petitioner also submitted two land not deemed suitable for grape Finally, the Eola Hills are surrounded geologic maps of the area that are issued cultivation due to soil type, elevation, or on almost all sides by, and are easily by the State of Oregon’s Department of urban development. distinguished from, Willamette Valley

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terrace land. With few exceptions, this July. This contributes to the ideal brand names of geographic significance, terrace land lies below the 200-foot conditions for the ‘‘cool-climate’’ grape as discussed above under ‘‘What impact elevation line and is characterized by varieties which dominate in Eola Hills may this notice have on current wine less well-drained alluvial soils. vineyards, such as Pinot Noir, Pinot labels?’’ According to the petitioner, this type of Gris, and Chardonnay. All comments must include your soil is generally not suitable for the The petitioner notes that Eola Hills name and mailing address, reference cultivation of premium wine grapes. slopes experience greater heat this notice number, and be legible and Therefore, land below 200 feet is not accumulation during the growing season written in language acceptable for included in the proposed Eola Hills than does the surrounding Willamette public disclosure. boundaries. Valley floor, due to the effects of Although we do not acknowledge thermal inversion. Cool air drains receipt, we will consider your Topography toward the valley floor during the night, comments if we receive them on or The main ridge of the Eola Hills runs which layers warmer air on the lower before the closing date. We will north-south and has numerous lateral slopes. To demonstrate the differences consider comments received after the ridges that run east-west on both sides. between sites in the Eola Hills and the closing date if we can. We regard all Slopes on the west side of the ridge tend valley floor, the petitioner submitted comments as originals. to be somewhat steeper and pocketed, monthly heat accumulation data that Will TTB Keep My Comments and they fall away below 200 feet more compares a valley floor site, the site of Confidential? abruptly than those slopes on the east the Salem, Oregon, airport, and an Eola side, which tend to be gentler and more Hills vineyard site, Seven Springs We do not recognize any submitted extensive. Both sides, however, provide Vineyard, for the years 1992–95. This material as confidential. All comments vineyards sites with very similar soils data showed that the Seven Springs are part of the public record and subject and growing conditions. The highest Vineyard site had consistently higher to disclosure. Do not enclose in your point in the south end of the hills is seasonal heat accumulation for the years comments any material you consider 1,093 feet. In the central area, near the in question. According to data gathered confidential or inappropriate for Polk-Yamhill County line, the ridge from the Salem WSO Airport, a typical disclosure. peaks at around 1,160 feet; in the north, vineyard site in the Eola Hills has a How May I Submit Comments? it peaks at 863 feet. The majority of Eola growing season (April 1 to October 31) Hills vineyard sites are found in the heat accumulation range of 2,300–2,500 You may submit comments in any of elevation range of 250–700 feet, degree-days, with a base of 60° F. Based four ways. • although suitable sites exist above this on standards for determining climatic By mail: You may send written elevation, given proper sun exposure regions using temperature summation, comments to TTB at the address listed and microclimate. The most common this places it high in the Region 1 in the ADDRESSES section. • orientation of vineyards here is south, category (2,500 degree-days or less). By facsimile: You may submit southwestern, and southeastern. comments by facsimile transmission to However, in gently sloping terrain, due What Boundary Descriptions Have Been 202–927–8525. Faxed comments must— east- and due west-facing sites are also Provided? (1) Be on 8.5- by 11-inch paper; capable of producing high quality wine The proposed Eola Hills viticultural (2) Contain a legible, written grapes. area is located in the northern half of signature; and Climate the existing Willamette Valley (3) Be five or less pages long. This viticultural area in Oregon. Two-thirds limitation assures electronic access to According to the petitioner, the Eola of the area lies within Polk County, our equipment. We will not accept Hills are blessed with a temperate while the northern one-third extends faxed comments that exceed five pages. climate. Summers are warm, but seldom into Yamhill County. A detailed • By e-mail: You may e-mail excessively hot, while winters are mild, description of the proposed boundaries comments to [email protected]. Comments with temperatures usually above can be found in the proposed transmitted by electronic mail must— freezing. Annual rainfall ranges from regulations below in this notice. (1) Contain your e-mail address; under 40 inches on the southeastern (2) Reference this notice number on edge of the Eola Hills to more than 45 What Maps Were Provided? the subject line; and inches in the higher elevations. More The petitioner provided the required (3) Be legible when printed on 8.5- by important, only about 15 percent of the maps, and we list them in the proposed 11-inch paper total annual rainfall in the mid- regulation. • By online form: We provide a Willamette Valley occurs from April comment form with the online copy of through September. Thus, rainfall Public Participation this notice on our Web site at http:// averages during the growing season are We request comments from anyone www.ttb.gov/alcohol/rules/index.htm. uniform throughout the Eola Hills. interested. Please support your Select the ‘‘Send comments via email’’ The petitioner states that the Eola comments with specific information link under this notice number. Hills are influenced more by their about the proposed area’s name, You may also write to the position due east of the Van Duzer growing conditions, or boundaries. Administrator to ask for a public Corridor than by their location in the Because of the potential impact of an hearing. The Administrator reserves the rain-shadow of the Coast Range. Ocean Eola Hills viticultural area on current right to determine, in light of all winds vented through this Corridor brand names that include ‘‘Eola,’’ we are circumstances, whether a public hearing often cause late-afternoon, summer particularly interested in comments will be held. temperatures to drop dramatically, regarding the proposed area’s name. Are which further distinguishes the area there other names for this area that What Information Will TTB Disclose? from the hills further north. During the would not conflict with current brand You may view copies of this notice, growing season, average maximum names? We are also interested in the petition, the appropriate maps, and temperatures at the middle elevations suggestions for preventing conflicts any comments received by appointment range from 62° F in April to 83° F in between viticultural area names and at the ATF Reference Library in room

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6480 at 650 Massachusetts Avenue, Drafting Information (6) Continue north on State Highway NW., Washington, DC 20226. You may Jennifer Berry of the Regulations and 221 to its intersection with the 200-foot also obtain copies at 20 cents per 8.5- Procedures Division, Alcohol and contour line at the point where the x 11-inch page. Contact the ATF Tobacco Tax and Trade Bureau, drafted contour line departs from highway 221 Librarian at the above address or this notice. and runs southwest along the southern telephone 202–927–7890 to schedule an edge of Spring Valley (section 53 on the appointment or to request copies of List of Subjects in 27 CFR Part 9 Mission Bottom, Oregon, map); then comments. Wine. For your convenience, we will post (7) Follow the 200-foot contour line this notice and the comments received Authority and Issuance first south onto the Salem West, Oregon, map, then northwest around the on the TTB Web site. All posted For the reasons discussed in the southern and western edge of Spring comments will show the names of preamble, we propose to amend Title Valley and back on to the Mission commenters, but not street addresses, 27, Code of Federal Regulations, Part 9, Bottom, Oregon, map; then telephone numbers, or e-mail addresses. American Viticultural Areas as follows: We may also omit voluminous (8) Continue to follow the 200-foot attachments or material that we PART 9—AMERICAN VITICULTURAL contour line generally north on the consider unsuitable for posting. In all AREAS Mission Bottom, Oregon, map, crossing cases, the full comment will be available onto and back from the Amity, Oregon, 1. The authority citation for part 9 in the ATF Reference Library. To access map and continue past the Yamhill continues to read as follows: the online copy of this notice, visit at County line and onto the Dayton, http://www.ttb.gov/alcohol/rules/ Authority: 27 U.S.C. 205. Oregon, map; then index.htm. Select the ‘‘View 2. Subpart C is amended by adding (9) Follow the 200-foot contour line Comments’’ link under this notice § 9.____ to read as follows: number to view the posted comments. from the Dayton, Oregon, map onto the McMinnville, Oregon, map and back to Subpart C—Approved American Regulatory Analyses and Notices the Dayton, Oregon, map and continue Viticultural Areas Does the Paperwork Reduction Act around the northeast edge of the Amity Apply to This Proposed Rule? § 9.____ Eola Hills. Hills spur of the Eola Hills; then We propose no requirement to collect (a) Name. The name of the viticultural (10) Follow the 200-foot contour line information. Therefore, the provisions area described in this section is ‘‘Eola onto the McMinnville, Oregon, map as of the Paperwork Reduction Act of 1995, Hills’’. it continues around the northern and 44 U.S.C. 3507, and its implementing (b) Approved Maps. The six USGS, western periphery of the Amity Hills regulations, 5 CFR part 1320, do not 1:24,000 scale, topographic maps used spur; then to determine the boundaries of the Eola apply. (11) Follow the 200-foot contour line Hills viticultural area are titled— Does The Regulatory Flexibility Act (1) Rickreall, Oregon, 1969, onto the Amity, Oregon, map as it heads Apply to This Proposed Rule? photorevised 1976; first south, then generally southeast, then generally south, along the western We certify that this regulation, if (2) Salem West, Oregon, 1969, edge of the Eola Hills until it intersects adopted, will not have a significant photorevised 1986; economic impact on a substantial (3) Mission Bottom, Oregon, 1957, Old Bethel Road at a point just north of number of small entities, including revised 1993; the Polk County line; then small businesses. The proposal imposes (4) Dayton, Oregon, 1957, revised (12) Follow Old Bethel Road, which no new reporting, recordkeeping, or 1992; becomes Oak Grove Road, south until it other administrative requirements. (5) McMinnville, Oregon, 1957, intersects with the 200-foot contour line The establishment of viticultural areas revised 1992; and just northwest of the township of represents neither our endorsement nor (6) Amity, Oregon, 1957, revised Bethel; then 1993. approval of the quality of wine made (13) Follow the 200-foot contour line from grapes grown in the designated (c) Boundary. The Eola Hills around in a southeasterly loop until it areas. Rather, the system allows us to viticultural area is located in the State again intersects Oak Grove Road where identify areas distinct from one another. of Oregon, within Polk and Yamhill Oak Grove and Zena Roads intersect; In turn, identifying viticultural areas Counties, and entirely within the lets wineries describe more accurately Willamette Valley viticultural area. The then the origin of their wines to consumers area’s boundary is defined as follows— (14) Follow Oak Grove Road south and helps consumers identify the wines (1) Begin on the Rickreall, Oregon, until it intersects with Frizzell Road; they purchase. Thus, any benefit map, at the intersection of State then derived from using a viticultural area Highways 22 and 223; then (15) Follow Frizzell Road west for (2) Proceed east on highway 22 to its name results from a proprietor’s efforts three-tenths mile until it intersects with intersection with Doaks Ferry Road on and consumer acceptance of wines from the 200-foot contour line; then that area. Therefore, no regulatory the Salem West, Oregon, map; then flexibility analysis is required. (3) Proceed northeast on Doaks Ferry (16) Follow the 200-foot contour line Road to its intersection with the 200- generally south until it intersects with Does Executive Order 12866 Define This foot contour line southeast of Gibson the starting point on the Rickreall, NPRM as a Significant Regulatory Gulch, in section 65; then Oregon, map. Action? (4) Follow the 200-foot contour line in Signed: August 6, 2003. This proposed rule is not a a westerly loop until it rejoins Doaks Arthur J. Libertucci, ‘‘significant regulatory action’’ as Ferry Road; then defined by Executive Order 12866. (5) Continue north on Doaks Ferry Administrator. Therefore, no regulatory assessment is Road to its intersection with highway [FR Doc. 03–22762 Filed 9–5–03; 8:45 am] required. 221; then BILLING CODE 4810–31–P

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