[Federal Register Volume 66, Number 193 (Thursday, October 4, 2001)]
[Rules and Regulations]
[Pages 50564-50565]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-24903]


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DEPARTMENT OF THE TREASURY

Bureau of Alcohol, Tobacco and Firearms

27 CFR Part 9

[T.D. ATF-468; Re: Notice No. 910]
RIN: 1512-AAO7


Realignment of the Alexander Valley and Dry Creek Valley 
Viticultural Areas (2000R-298P)

AGENCY: Bureau of Alcohol, Tobacco and Firearms (ATF), Treasury.

ACTION: Treasury decision, final rule.

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SUMMARY: This Treasury decision realigns a boundary line between the 
Alexander Valley and the Dry Creek Valley viticultural areas, located 
in northern Sonoma County, California. This realignment is a result of 
a petition submitted by E. & J. Gallo Winery.

EFFECTIVE DATE: Effective December 3, 2001.

FOR FURTHER INFORMATION CONTACT: Nancy Sutton, Specialist, Regulations 
Division (San Francisco, CA), Bureau of Alcohol, Tobacco and Firearms, 
221 Main Street, 11th Floor, San Francisco, CA (415) 947-5192.

SUPPLEMENTARY INFORMATION:

1. Background on Viticultural Areas

What Is ATF's Authority To Establish a Viticultural Area?

    ATF published Treasury Decision ATF-53 (43 FR 37672, 54624) on 
August 23, 1978. This decision revised the regulations in 27 CFR part 
4, Labeling and Advertising of Wine, to allow the establishment of 
definitive viticultural areas. The regulations allow the name of an 
approved viticultural area to be used as an appellation of origin on 
wine labels and in wine advertisements. On October 2, 1979, ATF 
published Treasury Decision ATF-60 (44 FR 56692), which added 27 CFR 
part 9, American Viticultural Areas, for the listing of approved 
American viticultural areas, the names of which may be used as 
appellations of origin.

What Is the Definition of an American Viticultural Area?

    An American viticultural area is a delimited grape-growing region 
distinguishable by geographic features. Viticultural features such as 
soil, climate, elevation, topography, etc., distinguish it from 
surrounding areas.

What Is Required To Establish a Viticultural Area?

    Any interested person may petition ATF to establish a grape-growing 
region as a viticultural area. The petition should include:
     Evidence that the name of the proposed viticultural area 
is locally and/or nationally known as referring to the area specified 
in the petition;
     Historical or current evidence that the boundaries of the 
viticultural area are as specified in the petition;
     Evidence relating to the geographical characteristics 
(climate, soil, elevation, physical features, etc.) that distinguish 
the viticultural features of the proposed area from surrounding areas;
     A description of the specific boundaries of the 
viticultural area, based on features that can be found on United States 
Geological Survey (U.S.G.S.) maps of the largest applicable scale; and
     A copy (or copies) of the appropriate U.S.G.S. map(s) with 
the boundaries prominently marked.

2. Rulemaking Proceeding

Realignment of the Alexander Valley and Dry Creek Valley Viticultural 
Areas Petition

    The Bureau of Alcohol, Tobacco and Firearms (ATF) received a 
petition from E. & J. Gallo Winery proposing the revision and 
realignment of a common boundary line between the Alexander Valley and 
the Dry Creek Valley viticultural areas, located in northern Sonoma 
County, California. This petition proposed realigning approximately 410 
acres from the Dry Creek Valley area to the Alexander Valley area. The 
original petitions for these areas incorporated U.S.G.S. mapping 
section lines to define the boundary of this realignment area. To re-
define the boundary line, the petitioner used geographic and climatic 
features.
    The petitioner indicated that a small section of the boundary 
between the established Alexander Valley viticultural area, 27 CFR 
9.53, and Dry Creek Valley viticultural area, 27 CFR 9.64, should be 
modified. The petition stated that the original boundary ignored 
distinctive geographic features, climatic differences and it now 
divides several vineyards. The original boundary line, in sections 4 
and 5 of T.10 N., R.10 W. of the Geyserville Quadrangle, California, 
Sonoma Co., 7.5 Minute Series (Topographic), 1955, U.S.G.S. map, was 
defined primarily by the mapping section lines. According to the 
petitioner, there were no vineyards along this boundary section at the 
times the boundary line was petitioned and approved, in 1983 for Dry 
Creek Valley and 1984 for Alexander Valley.
    The petitioner provided a Geyserville Quadrangle, California, 
Sonoma Co., 7.5 Minute Series (Topographic), 1955, U.S.G.S. map as 
evidence of a significant ridgeline along the proposed boundary line. 
This ridgeline defines the watershed dividing point between the Dry 
Creek Valley and Alexander Valley viticultural areas. With the original 
boundary line, both the Dutcher Creek and Gill Creek watersheds are in 
the Dry Creek Valley area but drain into different viticultural areas. 
The Gill Creek watershed, to the east of the ridgeline, drains east and 
crosses the boundary line into the Alexander Valley area. The Dutcher 
Creek Planning Watershed, to the west of the ridgeline, drains into Dry 
Creek, staying in the Dry Creek Valley area. The realignment will put 
the Gill Creek watershed into the Alexander Valley area, where it 
drains, and will keep the Dutcher Creek watershed within the Dry Creek 
Valley area.

[[Page 50565]]

    The petitioner provided a chart of growing degree days for five 
vineyards in the Dry Creek Valley and Alexander Valley viticultural 
areas. This chart indicates that the Dry Creek Valley viticultural area 
is generally cooler than sites in the Alexander Valley viticultural 
area. The climate of the realigned area more closely reflects the 
warmer Alexander Valley than the cooler Dry Creek Valley.

3. Notice of Proposed Rulemaking

    A Notice of Proposed Rulemaking, Notice No. 910, was published in 
the Federal Register on February 5, 2001 (66 FR 8925), requesting 
comments from all interested persons concerning the realignment of 
these viticultural areas be received by April 6, 2001. ATF received no 
comments concerning this proposal.

4. Regulatory Analyses and Notices

Does the Paperwork Reduction Act Apply to This Final Rule?

    The provisions of the Paperwork Reduction Act of 1995, 44 U.S.C. 
chapter 35, and its implementing regulations, 5 CFR part 1320, do not 
apply to this rule because no requirement to collect information is 
imposed.

How Does the Regulatory Flexibility Act Apply to This Final Rule?

    These regulations will not have a significant economic impact on a 
substantial number of small entities. ATF does not wish to give the 
impression that by approving the realignment of a boundary line between 
the Alexander Valley and Dry Creek Valley viticultural areas it is 
endorsing wine produced in the area. The realignment of these two 
viticultural areas merely allows the wineries in these areas to more 
accurately describe the origin of their wines to consumers, and helps 
consumers identify the wines they purchase. Thus, any benefit derived 
from the use and reputation of a viticultural area name is the result 
of the proprietor's own efforts and consumer acceptance of wines from 
that area.
    The final rule is not expected (1) to have significant secondary, 
or incidental effects on a substantial number of small entities, or (2) 
to impose, or otherwise cause a significant increase in the reporting, 
recordkeeping, or other compliance burdens on a substantial number of 
small entities. No new requirements are imposed. Accordingly, a 
regulatory flexibility analysis is not required.

Is This a Significant Regulatory Action as Defined by Executive Order 
12866?

    It has been determined that this regulation is not a significant 
regulatory action as defined by Executive Order 12866. Therefore, a 
regulatory assessment is not required.

5. Drafting Information

    The principal author of this document is Nancy Sutton, Regulations 
Division, Bureau of Alcohol, Tobacco, and Firearms.

List of Subjects in 27 CFR Part 9

    Wine.

Authority and Issuance

    Title 27, Code of Federal Regulations, part 9, American 
Viticultural Areas, is amended as follows:

PART 9--AMERICAN VITICULTURAL AREAS

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

    Authority:  (27 U.S.C. 205).

Subpart C--Approved American Viticultural Areas

    Par. 2. Section 9.53 is amended by revising paragraph (c)(6) and 
removing and reviewing paragraph (c)(7) as follows:


Sec. 9.53  Alexander Valley.

* * * * *
    (c) Boundaries. * * *
    (6) Then southeasterly in a straight line approximately 11,000 feet 
(closely following the ridge line) to the northwest corner of Section 
10, T. 10 N., R.10 W. on the Geyserville Quadrangle map;
    (7) [Reserved]
* * * * *

    Par. 3. Section 9.64 is amended by revising paragraphs (c) 
introductory text and (c)(1) to read as follows:


Sec. 9.64  Dry Creek Valley.

* * * * *
    (c) Boundaries. The Dry Creek Valley viticultural area is located 
in north central Sonoma County, California. From the beginning point, 
lying at the intersection of latitude line 38 degrees 45 minutes and 
the northwest corner of Section 5, T. 10 N., R. 10 W. on the 
``Geyserville Quadrangle'' map, the boundary runs--
    (1) Southeasterly in a straight line approximately 11,000 feet 
(closely following the ridge line) to the northeast corner of Section 
9, T. 10 N., R. 10 W.;
* * * * *

    Signed: July 27, 2001.
Bradley A. Buckles,
Director.
    Approved: August 31, 2001.
Timothy E. Skud,
Acting Deputy Assistant Secretary, (Regulatory, Tariff & Trade 
Enforcement).
[FR Doc. 01-24903 Filed 10-3-01; 8:45 am]
BILLING CODE 4810-31-P