[Federal Register Volume 76, Number 233 (Monday, December 5, 2011)]
[Proposed Rules]
[Pages 75830-75836]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-31141]


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DEPARTMENT OF THE TREASURY

Alcohol and Tobacco Tax and Trade Bureau

27 CFR Part 9

[Docket No. TTB-2011-0011; Notice No. 125]
RIN 1513-AB83


Proposed Establishment of the Inwood Valley 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 
establish the 28,298-acre ``Inwood Valley'' viticultural area in Shasta 
County, California. 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 addition to its regulations.

DATES: TTB must receive your comments on or before February 3, 2012.

ADDRESSES: Please send your comments on this notice to one of the 
following addresses:
     http://www.regulations.gov (via the online comment form 
for this notice as posted within Docket No. TTB-2011-0011 at 
``Regulations.gov,'' the Federal e-rulemaking portal);
     U.S. Mail: Director, Regulations and Rulings Division, 
Alcohol and Tobacco Tax and Trade Bureau, P.O. Box 14412, Washington, 
DC 20044-4412; or
     Hand delivery/courier in lieu of mail: Alcohol and Tobacco 
Tax and Trade Bureau, 1310 G Street NW., Suite 200-E, 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.
    You may view copies of this notice, selected supporting materials, 
and any comments TTB receives about this proposal at http://www.regulations.gov within Docket No. TTB-2011-0011. A link to that 
docket is posted on the TTB Web site at http://www.ttb.gov/wine/wine_rulemaking.shtml under Notice No. 125. You also may view copies of this 
notice, all related petitions, maps or other supporting materials, and 
any comments TTB receives about this proposal by appointment at the TTB 
Information Resource Center, 1310 G Street NW., Washington, DC 20005. 
Please call 202-453-2270 to make an appointment.

FOR FURTHER INFORMATION CONTACT: Elisabeth C. Kann, 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. 
002.

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 
regulations promulgated under the FAA Act.
    Part 4 of the TTB regulations (27 CFR part 4) allows the 
establishment of definitive viticultural areas and 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 and lists 
the approved American viticultural areas.

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 its 
geographic origin. The establishment of viticultural areas allows 
vintners to describe more accurately the origin of their wines to 
consumers and helps consumers to identify wines they may purchase. 
Establishment of a viticultural area 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 outlines the procedure 
for

[[Page 75831]]

proposing an American viticultural area and provides that any 
interested party may petition TTB to establish a grape-growing region 
as a viticultural area. Section 9.12 of the TTB regulations (27 CFR 
9.12) prescribes standards for petitions for the establishment or 
modification of American viticultural areas. Such petitions must 
include the following:
     Evidence that the area within the proposed viticultural 
area boundary is nationally or locally known by the viticultural area 
name specified in the petition;
     An explanation of the basis for defining the boundary of 
the proposed viticultural area;
     A narrative description of the features of the proposed 
viticultural area that affect viticulture, such as climate, geology, 
soils, physical features, and elevation, that make it distinctive and 
distinguish it from adjacent areas outside the viticultural area 
boundary;
     A copy of the appropriate United States Geological Survey 
(USGS) map(s) showing the location of the proposed viticultural area, 
with the boundary of the proposed viticultural area clearly drawn 
thereon; and
     A detailed narrative description of the proposed 
viticultural area boundary based on USGS map markings.

Inwood Valley Petition

    TTB received a petition from consulting geographer Patrick Shabram, 
on behalf of himself and Anselmo Vineyards of Inwood Valley, 
California, proposing the establishment of the ``Inwood Valley'' 
American viticultural area. As described in the petition, the proposed 
viticultural area contains 28,298 acres, 60 of which are dedicated to 4 
commercially-producing vineyards, with 14 additional acres planned for 
viticultural development. The distinguishing features of the proposed 
viticultural area include geology, topography, climate, native 
vegetation, and soil. According to the petition, the proposed Inwood 
Valley viticultural area, located in rural, southern Shasta County in 
north-central California, would not overlap, or otherwise involve, any 
existing or proposed viticultural areas.
    Unless otherwise noted, all information, evidence, and data 
described or contained in the following sections is from the petition 
and its supporting exhibits.

Name Evidence

    ``Inwood'' is the name of a small, rural community located within 
the proposed Inwood Valley viticultural area, as shown on the USGS 
Inwood quadrangle map. The Inwood community is located along California 
State Highway 44 (``Northern California'' map, American Automobile 
Association, 2007), and Inwood Road is the primary road running through 
the Inwood Valley area.
    According to TTB's research using the U.S. Board on Geographic 
Names, Geographic Names Information System (GNIS), the name ``Inwood'' 
is used in three contexts within the boundary of the proposed Inwood 
Valley viticultural area: a community, a school, and a cemetery. 
According to the GNIS, ``Inwood'' and ``Inwood Hill'' are geographical 
name uses found in nine U.S. states, but the GNIS contains no 
references to the use of the name ``Inwood Valley'' in the United 
States. Residents use ``Inwood Valley'' as a geographical descriptor 
for the area, and the ``Inwood Valley'' name is part of the business 
name for at least one local business, the Inwood Valley Counseling 
Services.
    In addition, local grape growers and winemakers use the terms 
``Inwood Valley'' and ``Inwood'' to describe their vineyard locations. 
For example, Anselmo Vineyards is ``nestled in the rolling hills of 
Inwood Valley,'' according to the Web site of Seven Hills Land and 
Cattle Ranch (previously named Inwood Ranch and Vineyards (http://www.bar7h.com/)), and another winery, the Lassen Peak Winery, states on 
its Web site that it is located in the ``Inwood area of Shingletown'' 
(http://www.lassenpeakwinery.com/2801.html). TTB notes that the town of 
Shingletown is adjacent to the southern portion of the proposed 
boundary line.

Boundary Evidence

    Viticulture in the Inwood Valley region predates Prohibition. In 
1864, Elijah Boots planted the first vines in the area (``Matson 
Vineyards beyond Elderberries,'' Earl Bloor, Edible Shasta-Butte, 2008, 
page 23), and wild mission grapes, which are evidence of the 1864 
plantings, are still found in one of the Inwood Valley vineyards. After 
a long hiatus, viticulture was re-established in the Inwood Valley 
region in the latter half of the twentieth century; 10 acres of merlot 
grapes were planted at the Inwood Ranch and Vineyards in the late 
1970s, and the Lassen Peak Winery planted vines in 1982.
    The east-west trending valley known as ``Inwood Valley'' has a 
unique climate that contrasts with the surrounding areas. The valley is 
located in a transition zone between the eastern high elevations around 
Lassen Peak and the western low elevations of the Redding Basin and the 
Sacramento Valley floor. Higher elevation ridges to the north and south 
of Inwood Valley also surround the proposed viticultural area. The 
mixed conifer forest vegetation to the east of the proposed boundary 
line gradually transitions westerly through the proposed Inwood Valley 
viticultural area to the grasslands and blue oak woodlands located to 
the west outside of the proposed boundary line. The diverse soil types 
in the proposed viticultural area also reflect the transitional nature 
of the region, although they all contain mostly volcanic parent 
materials, which is in marked contrast to the primarily sedimentary 
parent material in soils located to the west of the proposed 
viticultural area.
    The proposed boundary line is generally based on elevation and soil 
types, and it uses identifiable features on USGS maps rather than 
contour lines, which are difficult to follow on the relevant maps. 
Using the distinguishing features described below as a basis, the 
proposed viticultural area includes those areas in the Inwood Valley 
region that are located above 1,000 feet and below 3,000 feet.

Distinguishing Features

    The distinguishing features of the proposed Inwood Valley 
viticultural area include geology, topography, climate, native 
vegetation, and soil. The transitional nature of the region is 
evidenced by the contrast between the distinguishing features of the 
proposed Inwood Valley viticultural area and the same types of features 
in the areas to the east and west of the proposed viticultural area, 
with additional topographical differences along and outside of the 
surrounding ridges to the north and south.

Geology

    The geology of the proposed Inwood Valley viticultural area is 
dominated by volcanic lava flow and pyroclastic deposits associated 
with past eruptions that formed the Tuscan Formation, which is a subset 
of the Cascade Range Province. The lava flows occurred beginning around 
4 million years ago and continued through geologically recent times. 
The Tuscan Formation overlies the Chico Formation, which is composed of 
Cretaceous sedimentary rock that was created when the area was under 
water. The Chico Formation is exposed along some tributary depressions 
and in Bear Creek Canyon, which is located within the proposed 
viticultural area. The Tuscan Formation is overlain in places by porous 
Quaternary basalt and andesite lava flows, although it is also exposed 
in

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many locations within the proposed viticultural area.
    The Tuscan Formation is made of highly permeable rock, which holds 
large amounts of water and serves as a natural aquifer for the greater 
Sacramento Valley region. Some areas of the Tuscan Formation are 
exposed at its higher eastern elevations, which serve as recharging 
points for the aquifer's underground water flows. As a result, the 
exposure of the Tuscan Formation in some locations in the proposed 
Inwood Valley viticultural area creates an unusually large number of 
springs in the Inwood Valley region, which provide an important 
agricultural resource for area vineyards.
    To the west of the proposed Inwood Valley viticultural area, basalt 
flows overlie Tuscan Formation materials that flowed into the lower 
Redding Basin. The underlying geology is dominated by the Red Bluff 
Formation, characterized by older, thin sedimentary deposits 
(Pleistocene) (``Bear Creek Watershed Assessment,'' ENPLAN, Jan. 2006). 
In his geographic analysis submitted in support of the petition, Mr. 
Shabram explains that this geological distinction demonstrates a 
significant difference between the Inwood Valley region and the Redding 
Basin to the west, into which Bear Creek flows before joining the 
Sacramento River.
    The higher elevation Cascade Range lies to the east of the proposed 
Inwood Valley viticultural area.

Topography

    The proposed Inwood Valley viticultural area is a unique valley 
landform that lies in a vertical transition zone. Most of the Inwood 
Valley region is located at elevations around 2,000 feet, according to 
the USGS maps. The proposed Inwood Valley viticultural area is part of 
the large Bear Creek watershed, which has east-to-west elevations 
between 6,740 and 370 feet, ranging from the Cascade Range down to the 
Sacramento River.
    As shown on the USGS maps, elevations in the Inwood Valley region 
descend east-to-west as the valley runs from the Cascade Range to the 
Redding Basin. There are steep terrain and higher elevations to the 
east of the proposed Inwood Valley viticultural area toward the 10,335-
foot Lassen Peak in the Cascade Range. The low, flat Redding Basin, at 
only 564 feet in elevation, is to the west of the proposed Inwood 
Valley viticultural area.
    The 1,000- to 3,000-foot elevations of the proposed Inwood Valley 
viticultural area distinguish it viticulturally from the surrounding 
areas. Above 3,000 feet in elevation, the terrain ascends steeply to 
the Cascade Range in the east, according to USGS maps. Along the high 
eastern portion of the boundary line of the proposed Inwood Valley 
viticultural area is a 3,471-foot unnamed peak in the Cascade Range, 
according to the USGS maps. The steep terrain, high elevation, and 
concomitant low temperatures in this region render it unsuitable for 
viticulture. Farther to the west, the lower and flatter elevations 
outside of the proposed Inwood Valley viticultural area around Redding 
contrast to the approximately 900-1,000 feet elevations that define 
much of the western portion of the proposed viticultural area boundary 
line.
    To the north and south of the Inwood Valley region, ridges at 
higher elevations form natural boundaries between the Bear Creek 
watershed and other watersheds. The steep terrain along these ridges is 
generally unsuitable for viticulture.

Climate

Temperatures
    The growing season data in the petition for the proposed Inwood 
Valley viticultural area is measured according to the Winkler climate 
classification system (``General Viticulture,'' Albert J. Winkler, 
University of California Press, 1974, pp. 61-64).\1\ In the proposed 
Inwood Valley viticultural area, growing season temperatures range from 
2,700 to 3,400 GDD units, according to 1978-99 data from vineyard owner 
Michael Boehlert at Lassen Peak Winery. The temperatures of the 
proposed Inwood Valley viticultural area are a combination of regions 
ll and lll, which are cooler than the region V temperatures to the 
west, and they are warmer than the much cooler mountainous regions to 
the east and the cooler ridges to the immediate north and south. Beyond 
the adjacent ridges, the surrounding valleys to the north and south of 
the proposed Inwood Valley viticultural area have region IV growing 
season temperatures, which are warmer than the proposed viticultural 
area.
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    \1\ In the Winkler system, heat accumulation per year defines 
climatic regions. As a measurement of heat accumulation during the 
growing season, 1 growing degree day (GDD) accumulates for each 
degree Fahrenheit that a day's mean temperature is above 50 degrees, 
which is the minimum temperature required for grapevine growth. 
Climatic region I has less than 2,500 GDD units per year; region II, 
2,501 to 3,000; region III, 3,001 to 3,500; region IV, 3,501 to 
4,000; and region V, 4,001 or more (ibid.).
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    Mr. Shabram explains that growing season temperatures in the 
proposed Inwood Valley viticultural area are greatly influenced by the 
valley's east-west funnel shape and consistent winds, as well as by its 
proximity to higher, cooler elevations on three sides. In addition, a 
reduction in solar radiation in the early and late months of the 
growing season results from the narrow valley floor and high flanking 
ridgelines that obscure the sun. Beyond the north and south ridgelines 
are small valleys with varying climatic influences and different 
watersheds.
    A cooling pattern of nighttime mountain breezes also significantly 
affects the growing season temperatures of the proposed Inwood Valley 
viticultural area. In the evening, cold, heavy air drains downward into 
the valley, primarily from the Cascade Range to the east and, to a 
lesser extent, from the north and south ridgelines. The funnel of air 
that moves down slope through the valley intensifies the cooling effect 
of the surrounding air drainage. The nighttime cooling effect is most 
predominant in the summer months as it buffers the effect of the warm 
western wind pattern from the Redding Basin. The nighttime down slope 
wind speeds, moving east-to-west through Inwood Valley, vary from 5 to 
7 miles per hour, according to Mr. Boehlert.
    To the east of the proposed Inwood Valley viticultural area, 
temperatures decrease as the elevation increases. The 5,677-foot 
elevation Manzanita Lake, located in the Cascade Range, is 
approximately 20 miles east of Inwood Valley (``Northern California 
Map''). Mr. Shabram states that the region to the east of the proposed 
viticultural area is not conducive to viticulture based on mean 
temperatures that are above 50 degrees Fahrenheit only 4 months per 
year.
    To the south of the proposed Inwood Valley viticultural area, near 
Volta Powerhouse, temperatures yield 3,965 GDD units, a high region IV 
growing season, according to data from Lassen Peak Winery.
    The Redding Basin lies to the west of the proposed Inwood Valley 
viticultural area, which is an area known for hot days and warm nights 
during the growing season. The lower elevations of the Redding Basin 
result in higher temperatures as compared to the Inwood Valley region. 
The Redding Basin averages a hot region V growing season at 4,564 GDD 
units, according to data from the Western Regional Climate Center 
(WRCC).
    The 3,000-foot elevation Bear Creek Ridge lies to the north of the 
proposed Inwood Valley viticultural area. The petition provides two 
2008 region IV heat summation totals for the area near Whitmore, also 
to the north of the proposed viticultural area: 3,642 and

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3,941 GDD units. These temperatures indicate warmer growing season 
temperatures than the Inwood Valley region.
Precipitation
    The table below shows the annual and growing season precipitation 
averages for the proposed Inwood Valley viticultural area and 
surrounding areas; the information in the table is based on years of 
data collection from the WRCC and Inwood Valley residents.

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                                                                     Average
                                                     Average     growing season
   Location and direction from Inwood Valley      annual total      total in       Data years                          Data source
                                                    in inches    inches  (April
                                                                   to October)
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Inwood Valley..................................            53.8            14.1       1973-2005  Stan Weidert.
Inwood Valley..................................            59.5            14.4       1995-2004  Soaring Hawk Ranch.
Inwood Valley (average)........................            56.6            14.2  ..............  Average of above sources.
Shingletown (south)............................            45.8            12.2       1958-1984  WRCC.
Manzanita Lake (east)..........................            40.9            13.0       1949-2009  WRCC.
Redding (west).................................            34.2             7.9       1986-2009  WRCC.
Burney (north).................................            28.0             7.2       1948-2009  WRCC.
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    The table indicates that the average precipitation in the proposed 
Inwood Valley viticultural area is 56.6 inches annually, with an 
average of 14.2 inches of precipitation during the growing season. As 
shown in the table, the proposed Inwood Valley viticultural area is 
wetter, both annually and during the growing season, than all of the 
surrounding areas listed in the table. For example, the Inwood Valley 
region on average receives 10.8 inches more precipitation annually than 
Shingletown and 28.6 inches more precipitation annually than Burney, 
which are located to the south and north of the proposed Inwood Valley 
viticultural area, respectively. In addition, according to the table, 
the growing season precipitation average in the proposed Inwood Valley 
viticultural area--a viticulturally important factor--is approximately 
2 inches more than Shingletown and 7 inches more than Burney.

Native Vegetation

    The vegetation within the proposed Inwood Valley viticultural area 
further reflects the distinctiveness of the region as a transition zone 
between the cooler climate at higher elevations to the east and the 
warmer climate at lower elevations to the west. Vegetation differences 
are significant in foothill environments as variations in native 
vegetation closely reflect shifts in elevation and climate.
    Sierra mixed conifer dominates the eastern section of the Bear 
Creek watershed, and grasslands and blue oak foothill pine woodland 
dominate the western section (``WHR Vegetation Classification'' map, 
Bear Creek Watershed Assessment). The middle part of the Bear Creek 
watershed defines the viticulturally unique transition area of the 
Inwood Valley region. Blue oak and ponderosa pine woodland and mountain 
hardwoods dominate the valley region, with some mixed chaparral and 
pockets of annual grasses. According to Mr. Shabram, the variety of 
vegetation in this region contributes to the viticultural 
distinctiveness of the proposed Inwood Valley viticultural area because 
it results in a more varied organic composition of the soils in the 
area as contrasted to the surrounding regions, which contain more 
homogenous vegetation.
    The cool climate to the east of the proposed Inwood Valley 
viticultural area results in different natural vegetation. To the east 
of the proposed viticultural area, the blue oak and valley oak 
vegetation of the Inwood Valley area transitions to mixed conifer and 
lodgepole pine forests, eventually transitioning to tundra at the 
higher elevations of the Cascade Range. At the opposite end of the 
valley, in the lower elevation Redding Basin to the west of the 
proposed Inwood Valley viticultural area, are annual grasses and 
foothill woodland vegetation, including some foothill pine and blue 
oak.
    To the south of the proposed Inwood Valley viticultural area, as 
the terrain changes from the lower Inwood Valley elevations to the 
higher Shingletown elevations, the vegetation transitions from mixed 
woodland and ponderosa forest to the complete dominance of ponderosa 
pine forests. Variations in vegetation are less apparent to the north 
of the proposed Inwood Valley viticultural area due to the well-
exposed, southern facing slopes on Bear Creek Ridge, which increase the 
amount of warming solar radiation and moderate the cooling temperatures 
normally expected at higher elevations. According to Mr. Shabram, this 
exposure has a drying effect that would favor grasses, montane 
chaparral, and woodland over mixed pine forests.

Soils

    There are 27 different soil series within the proposed Inwood 
Valley viticultural area. The diversity in soil series results from 
volcanic activity that created various volcanic parent materials, the 
exposure of Cretaceous sedimentary parent materials, and the 
transitional and varied nature of the vegetation in the region. Despite 
this diversity, however, the top 5 soil series in the area cover 
approximately 71.4 percent of the proposed viticultural area, and all 
of the soils within the proposed boundary line are generally moderately 
well-drained and share a similar color and texture.
    According to Mr. Shabram, the soil types of the proposed Inwood 
Valley viticultural area are distinguishable from the soils of the 
surrounding regions. For example, the mostly volcanic parent materials 
of the Inwood Valley region soils are in marked contrast to the 
primarily sedimentary parent material in soils found in Redding, to the 
west of the proposed viticultural area. In addition, according to Mr. 
Shabram, none of the deep alluvial deposits found to the west and 
southwest of the proposed Inwood Valley viticultural area in the 
Redding Basin and Sacramento Valley floor are found within Inwood 
Valley. Mr. Shabram further notes that the varied organic composition 
of the soils in the proposed viticultural area reflects the unique 
climate and the distinctively transitional vegetation of the Inwood 
Valley region, particularly as compared to the surrounding regions.
    The dominant soil type in the proposed Inwood Valley viticultural 
area is the Aiken series, which accounts for nearly 25 percent of the 
soil in the area, as well as the majority of the area currently planted 
to vineyards. Aiken soils are derived from basic volcanic rock, with 
conifers and mixed

[[Page 75834]]

hardwoods (particularly Ponderosa pine) contributing to the organic 
component of the soil. Generally located on gently rolling, broad, 
tabular slopes, Aiken soils cover most of the Inwood Valley floor as 
well as portions of the Shingletown Ridge in the southeastern portion 
of the proposed viticultural area. In the western portion of the 
proposed viticultural area, Guenoc series soil is increasingly present, 
along with small pockets of Toomes loam, Aiken loam, and Anita clay.
    In contrast, soils to the west of the proposed viticultural area 
are dominated by Guenoc and Toomes series soils; there are no Aiken 
soils located in this region. Guenoc series soils are formed from 
weathered igneous parent material, particularly basaltic rock, and 
include organic influences of annual grasses and foothill woodland 
vegetation. Toomes soils are shallow soils typically consisting of 
well- to excessively well-drained gravelly loam, with volcanic parent 
materials and annual grasses as organic influences.
    The areas to the east and southeast of the proposed viticultural 
area are dominated by Cohasset, Windy, and McCarthy loams, all of which 
are generally found at high elevations (above 5,600 feet), are 
influenced by conifers, and are indicative of the elevations and 
volcanic parent material in the area.
    The soils along the ridges and in the adjacent valleys to the north 
and south of the proposed viticultural area are highly variable. The 
adjacent valley to the north lacks the Aiken loams found in the floor 
of Inwood Valley. Although some Aiken series soils are present in 
pockets in areas to the southeast of the proposed viticultural area, 
those soils are adjacent to Cohasset series soils, indicating that the 
soils in those areas are subject to different climactic and vegetative 
influences.

TTB Determination

    TTB concludes that the petition to establish the 28,298-acre Inwood 
Valley viticultural area merits consideration and public comment, as 
invited in this notice.

Boundary Description

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

Maps

    The petitioner provided the required maps, and TTB lists them 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. If TTB establishes this proposed viticultural area, 
its name, ``Inwood Valley,'' will be recognized as a name of 
viticultural significance under 27 CFR 4.39(i)(3). The text of the 
proposed regulation clarifies this point. Consequently, wine bottlers 
using ``Inwood Valley'' in a brand name, including a trademark, or in 
another label reference as to the origin of the wine, will have to 
ensure that the product is eligible to use the viticultural area name 
as an appellation of origin. TTB does not believe that ``Inwood,'' 
standing alone, should have viticultural significance if the new area 
is established because of the widespread use of ``Inwood'' as a 
geographical name, as noted earlier in this preamble. Accordingly, the 
proposed part 9 regulatory text set forth in this document specifies 
only the full ``Inwood Valley'' name as a term of viticultural 
significance for purposes of part 4 of the TTB regulations.
    If this proposed regulatory text is adopted as a final rule, wine 
bottlers using ``Inwood Valley'' in a brand name, including a 
trademark, or in another label reference as to the origin of the wine, 
will have to ensure that the product is eligible to use ``Inwood 
Valley'' as an appellation of origin.
    For a wine to be labeled with a viticultural area name or with a 
brand name that includes a viticultural area name or other term 
identified as being viticulturally significant in part 9 of the TTB 
regulations, at least 85 percent of the wine must be derived from 
grapes grown within the area represented by that name or other term, 
and the wine must meet the other conditions listed in 27 CFR 
4.25(e)(3). If the wine is not eligible for labeling with the 
viticultural area name or other viticulturally significant term and 
that name or term 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 viticultural area name or 
other viticulturally significant term 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 a 
viticultural area name or other term of viticultural significance that 
was used as a brand name on a label approved before July 7, 1986. See 
27 CFR 4.39(i)(2) for details.

Public Participation

Comments Invited

    TTB invites comments from interested members of the public on 
whether we should establish the proposed Inwood Valley viticultural 
area. TTB is also interested in receiving comments on the sufficiency 
and accuracy of the name, boundary, geology, topography, climate, and 
other information submitted in support of the petition. Please provide 
any available specific information in support of your comments.
    Because of the potential impact of the establishment of the 
proposed Inwood Valley viticultural area on wine labels that include 
the term ``Inwood Valley'' as discussed above under Impact on Current 
Wine Labels, TTB is also interested in comments as to whether there 
will be a conflict between the proposed viticulturally significant term 
and currently used brand names. If a commenter believes that a conflict 
will arise, the comment should describe the nature of that conflict, 
including any anticipated negative economic impact that approval of the 
proposed viticultural area will have on an existing viticultural 
enterprise. TTB is also interested in receiving suggestions for ways to 
avoid conflicts, for example, by adopting a modified or different name 
for the viticultural area.
    Although TTB believes that only the full ``Inwood Valley'' name 
should be considered to have viticultural significance upon 
establishment of the proposed new viticultural area, TTB also invites 
comments from those who believe that ``Inwood'' standing alone should 
have viticultural significance upon establishment of the viticultural 
area. Comments in this regard should include documentation or other 
information regarding whether the use of ``Inwood'' on a label of a 
wine derived from grapes grown outside the proposed viticultural area 
could cause consumers and vintners to attribute to the wine in question 
the quality, reputation, or other characteristic of wine made from 
grapes grown in the proposed viticultural area.

Submitting Comments

    You may submit comments on this notice 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-2011-
0011 on ``Regulations.gov,'' the Federal e-rulemaking portal, at http://www.regulations.gov. A direct link to that docket is available under 
Notice No. 125 on the TTB Web site at

[[Page 75835]]

http://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 
``User Guide'' under ``How to Use this Site.''
     U.S. Mail: You may send comments via postal mail to the 
Director, Regulations and Rulings Division, Alcohol and Tobacco Tax and 
Trade Bureau, P.O. Box 14412, Washington, DC 20044-4412.
     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 200-E, Washington, DC 20005.
    Please submit your comments by the closing date shown above in this 
notice. Your comments must reference Notice No. 125 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 it 
considers all comments as originals.
    If you are commenting on behalf of an association, business, or 
other 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, 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 we receive 
about this proposal within Docket No. TTB-2011-0011 on the Federal e-
rulemaking portal, Regulations.gov, at http://www.regulations.gov. A 
direct link to that docket is available on the TTB Web site at http://www.ttb.gov/wine/wine_rulemaking.shtml under Notice No. 125. You may 
also reach the relevant docket through the Regulations.gov search page 
at http://www.regulations.gov. For instructions on how to use 
Regulations.gov, visit the site and click on ``User Guide'' under ``How 
to Use this Site.''
    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 e-mail addresses. TTB may omit 
voluminous attachments or material that it considers unsuitable for 
posting.
    You also may view copies of this notice, all related petitions, 
maps and other supporting materials, and any electronic or mailed 
comments 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- x 11-inch page. Contact 
TTB's information specialist at the above address or by telephone at 
202-453-2270 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 a viticultural area 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

    This proposed rule is not a significant regulatory action as 
defined by Executive Order 12866. Therefore, it requires no regulatory 
assessment.

Drafting Information

    Elisabeth C. Kann of the Regulations and Rulings Division drafted 
this notice.

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

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

    Authority:  27 U.S.C. 205.

Subpart C--Approved American Viticultural Areas

    2. Subpart C is amended by adding Sec.  9.-------- to read as 
follows:


Sec.  9.--------  Inwood Valley.

    (a) Name. The name of the viticultural area described in this 
section is ``Inwood Valley''. For purposes of part 4 of this chapter, 
``Inwood Valley'' is a term of viticultural significance.
    (b) Approved maps. The five United States Geological Survey 
1:24,000 scale topographic maps used to determine the boundary of the 
Inwood Valley viticultural area are titled:
    (1) Clough Gulch, California-Shasta County, Provisional edition 
1985;
    (2) Inwood, California-Shasta County, Provisional edition 1985;
    (3) Hagaman Gulch, California-Shasta County, Provisional edition 
1985;
    (4) Shingletown, California-Shasta County, Provisional edition 
1985; and
    (5) Tuscan Buttes NE., California, 1965, Photoinspected 1976.
    (c) Boundary. The Inwood Valley viticultural area is located in 
Shasta County, California. The boundary of the Inwood Valley 
viticultural area is as described below:
    (1) The beginning point is on the Clough Gulch map at BM 
(Benchmark) 1254.4 located along State Route 44 in T31N/R2W. From the 
beginning point, proceed east-northeast in a straight line for 
approximately 4.2 miles, onto the Inwood map, to the intersection of 
that line with the 1,786-foot elevation point, section 17, T31N/R1W; 
then
    (2) Proceed east-northeast in a straight line for approximately 2 
miles to the intersection of that line with the 2,086-foot elevation 
point, section 15, T31N/R1W; then
    (3) Proceed north-northeast in a straight line for approximately 
0.7 mile to the intersection of that line with the marked 1,648-foot 
elevation point (which should be marked as 2,648 feet based on its two 
adjacent elevation lines) and a 4WD (four-wheel drive) trail on the 
Bear Creek Ridge; section 10, T31N/R1W; then
    (4) Proceed east-northeast in a straight line for approximately 0.8 
mile to the intersection of that line with the 2,952-foot elevation 
point (located between two transmission lines), section 11, T31N/R1W; 
then
    (5) Proceed east-northeast in a straight line for approximately 1.2 
miles to the intersection of that line with the 3,042-foot summit of 
Blue Mountain, section 1, T31N/R1W; then
    (6) Proceed east in a straight line for approximately 0.7 mile, 
crossing over the Mt. Diablo Meridian line, to the

[[Page 75836]]

intersection of that line with the 3,104-foot elevation point, section 
6, T31N/R1E; then
    (7) Proceed east-northeast in a straight line for approximately 2.3 
miles to the intersection of that line with the 3,000-foot elevation 
Alamine Peak, section 32, T32N/R1E; then
    (8) Proceed southeast in a straight line for approximately 2.2 
miles, onto the Hagaman Gulch map, to the intersection of that line 
with Bear Pen Springs, section 10, T31N/R1E; then
    (9) Proceed west-southwest in a straight line for approximately 0.9 
mile to the intersection of that line with the 3,373-foot summit of 
Chalk Mountain, section 9, T31N/R1E; then
    (10) Proceed south-southwest in a straight line, returning to the 
Inwood map, for approximately 1.1 miles to the intersection of that 
line with the 2,756-foot elevation point, section 17, T31N/R1E; then
    (11) Proceed south-southwest in a straight line for approximately 
0.6 mile to the western-most intersection of that line with an improved 
road marked ``Private'' and the section 17 southern boundary line, 
T31N/R1E; then
    (12) Proceed southwest along that ``Private'' road for 
approximately 1.6 miles to the marked gate of the ``Private'' road at 
the road's intersection with unnamed improved and unimproved roads, 
section 29, T31N/R1E; then
    (13) Proceed southwest in a straight line, onto the Shingletown 
map, approximately 1.6 miles to the intersection of that line with 
Highway 44 and an unnamed improved road (known locally as Ash Creek 
Road), section 31, T31N/R1E; then
    (14) Proceed southwest in a straight line for approximately 0.2 
miles to the intersection of that line with the 3,334-foot elevation 
point, section 31, T31N/R1E; then
    (15) Proceed southwest in a straight line for approximately 1.6 
miles to the intersection of that line with the 3,029-foot elevation 
point on the Shingletown Ridge, section 1, T30N/R1W; then
    (16) Proceed nearly due west in a straight line for approximately 
1.6 miles to the intersection of that line with the 2,435-foot 
elevation point, section 3, T30N/R1W; then
    (17) Proceed nearly due west in a straight line for approximately 
1.8 miles to the intersection of that line with the 1,989-foot 
elevation point and an unnamed improved road (shown as ``Black Butte 
Road'' on the Tuscan Buttes NE map), section 5 south boundary line, 
T30N/R1W; then
    (18) Proceed west-northwest in a straight line, onto the Tuscan 
Buttes NE map, for approximately 4.9 miles to the intersection of that 
line with the 956-foot elevation point near an unnamed spring in 
section 33, T31N/R2W; then
    (19) Proceed north in a straight line, onto the Clough Gulch map, 
for approximately 1.7 miles to the intersection of that line with BM 
1048.1 on Highway 44, section 28, T31N/R2W; then
    (20) Proceed east along Highway 44 for approximately 1.1 miles, 
returning to the beginning point.

    Signed: November 14, 2011.
John J. Manfreda,
Administrator.
[FR Doc. 2011-31141 Filed 12-2-11; 8:45 am]
BILLING CODE 4810-31-P