[Federal Register: April 30, 2009 (Volume 74, Number 82)]
[Proposed Rules]
[Page 19917-19920]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr30ap09-15]
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DEPARTMENT OF THE TREASURY
Alcohol and Tobacco Tax and Trade Bureau
27 CFR Part 9
[TTB Docket No. 2007-0060; Notice No. 94; Re: Notice Nos. 71 and 72]
RIN 1513-AB27
Proposed Establishment of the Paso Robles Westside Viticultural
Area (2006R-087P)
AGENCY: Alcohol and Tobacco Tax and Trade Bureau, Treasury.
ACTION: Withdrawal of notice of proposed rulemaking.
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SUMMARY: The Alcohol and Tobacco Tax and Trade Bureau announces the
withdrawal of its proposal to establish the Paso Robles Westside
viticultural area within the existing Paso Robles viticultural area in
San Luis Obispo County, California. We take this action because, given
the conflicting information before us, we cannot conclude that a
delimited grape-growing region exists that is recognized by the name
Paso Robles Westside.
DATES: Notice No. 71 is withdrawn as of April 30, 2009.
FOR FURTHER INFORMATION CONTACT: N. A. Sutton, Regulations and Rulings
Division, Alcohol and Tobacco Tax and Trade Bureau, 925 Lakeville St.,
158, Petaluma, CA 94952; telephone 415-271-1254.
SUPPLEMENTARY INFORMATION:
Background
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 petitions for the establishment of viticultural
areas and contains the list of approved 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 distinguishable by geographical features, the boundaries
of which have been recognized and defined 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 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 9.3(b) of the TTB regulations requires
the petition to include--
Evidence that the proposed viticultural area is locally
and/or nationally known by the name specified in the petition;
Historical or current evidence that supports setting the
boundary of the proposed viticultural area as the petition specifies;
Evidence relating to the geographic features, such as
climate, soils, elevation, and physical features, that distinguish the
proposed viticultural area from surrounding areas;
[[Page 19918]]
A description of the specific boundary of the proposed
viticultural area, based on features found on United States Geological
Survey (USGS) maps; and
A copy of the appropriate USGS map(s) with the proposed
viticultural area's boundary prominently marked.
Publication of Notice No. 71
On January 24, 2007, TTB published Notice No. 71, a notice of
proposed rulemaking, in the Federal Register (72 FR 3088) regarding the
proposed establishment of the ``Paso Robles Westside'' American
viticultural area in northern San Luis Obispo County, California. We
undertook that action in response to a petition filed on behalf of 21
vintners and grape growers with interests in the proposed viticultural
area. As outlined in Notice No. 71, the proposed Paso Robles Westside
viticultural area lay west of the Salinas River but entirely within the
existing Paso Robles viticultural area (27 CFR 9.84), which in turn is
entirely within the existing, multi-county Central Coast viticultural
area (27 CFR 9.75).
Comments on the proposed Paso Robles Westside viticultural area
were originally due on or before March 26, 2007. However, on March 23,
2007, in response to a request from other Paso Robles wine industry
members, we extended the comment period for Notice No. 71 until April
24, 2007 (see Notice No. 72 published in the Federal Register at 72 FR
13720 on March 23, 2007).
Shortly before publication of Notice No. 71, TTB received 12
petitions from the Paso Robles AVA Committee (PRAVAC), one of which
proposed the expansion of the existing Paso Robles viticultural area
and 11 of which proposed the establishment of 11 smaller viticultural
areas within the expanded Paso Robles viticultural area.
Comments Received in Response to Notice No. 71
TTB received 220 comments in response to Notice No. 71. Of those,
144 supported the establishment of the proposed Paso Robles Westside
viticultural area, 61 opposed it, and, of the remaining 15 commenters,
2 requested an extension of time to comment and 13 provided comments
that could not be described as clearly supporting or opposing the
proposal. The 144 supporting comments included 19 from grape growers
and/or wine producers and 125 from other sources. Of the 61 opposing
comments, 43 were from grape growers and/or wine producers, including a
single comment from the 59-member PRAVAC. The remaining 18 opposing
comments were from other sources. These comments are posted under
Notice No. 71 on the TTB Web site at http://www.ttb.gov/wine/wine_
rulemaking.shtml.
Supporting Comments
The 19 grape growers and/or wine producers supporting the
establishment of the Paso Robles Westside viticultural area agree that
the proposed area's topography, climate, and soils are different from
the rest of the existing Paso Robles viticultural area and that the
area is therefore deserving of separate recognition under the Paso
Robles Westside name.
Doug Beckett, the owner of Peachy Canyon Winery and the proposed
Paso Robles Westside lead petitioner, submitted two strongly supportive
comments (numbered by TTB as comments 55 and 128) for the area's
establishment. In comment 55, he largely reiterates the petition's
evidence and conclusions. He states, for example, that the soil
analysis report included in the petition found that the ``soils
contained in the Proposed Paso Robles Westside AVA are unique to the
area.'' In comment 128, Mr. Beckett argues that the Paso Robles
Westside viticultural area petition does not conflict with the separate
PRAVAC effort to expand the existing Paso Robles viticultural area and
then sub-divide the resulting larger Paso Robles viticultural area into
11 smaller viticultural areas.
Other Paso Robles grape growers and wine producers agree with Mr.
Beckett. For example, Robert Hartenberger of Midnight Cellars (comment
80) and Bob Shore of Arroyo Robles Winery (comment 84) state that the
proposed Paso Robles Westside viticultural area's climate, topography,
soils, and name recognition contrast with the east side of the existing
Paso Robles viticultural area, and the Paso Robles Westside region is
therefore deserving of its own viticultural area designation.
In addition, some Paso Robles wine industry members express concern
over the misuse of the ``Westside'' name. Noting that his winery uses
the ``Westside'' claim on some wines, Erich Russell of Rabbit Ridge
Winery (comment 71), states that another winery uses the ``West side''
name on a wine made from non-West side, and even non-Paso Robles,
grapes. He states, therefore, that TTB should approve the Westside
petition to stop the misuse of the Paso Robles Westside name. Gary
Conway of Carmody McKnight Estate Wines (comment 114) notes that the
proposed area's establishment would allow those within the area ``to
determine their own viticultural future,'' and that ``if there are some
within the area who don't wish to adopt the name, there is such a
simple solution for them. Don't use it.''
The 125 other supportive commenters include wine consumers familiar
with the Paso Robles viticultural area, as well as wine distributors,
retailers, and sales personnel. Some comments largely focus on the
distinctive taste of wines produced on the west side of the existing
Paso Robles viticultural area, while others note the rolling topography
and distinguishable climate and soils to the west of the Salinas River.
Some commenters argue that, based on the 100-plus year history of the
``Westside'' name, recognition of the Paso Robles Westside viticultural
area is long overdue and that its establishment would enhance the
entire Paso Robles region's wine industry. Additional commenters offer
support for evidence contained in the Westside petition, including its
soil analysis section.
Opposing Comments
As noted above, TTB received 61 comments opposing the establishment
of the Paso Robles Westside viticultural area. Of those, 43 comments
were from grape growers and/or wine producers with interests in the
existing Paso Robles viticultural area. In general, these 43 commenters
note the location of their vineyards and describe significant
variations in climate, geology, soil, and topography within the
proposed Paso Robles Westside viticultural area. Some of these
commenters also describe the viticultural similarities between the west
and east sides of the existing Paso Robles viticultural area.
The 43 grape growers and/or wine producer commenters included two
persons who withdrew their names from the Paso Robles Westside petition
and two persons who were among the original 1982 Paso Robles
viticultural area petitioners.
Elizabeth Van Steenwyck of Adelaida Cellars (comment 121) and
Justin Baldwin of Justin Vineyards (comment 124) withdrew their names
as supporting petitioners for the proposed Paso Robles Westside
viticultural area. After indicating her specific reasons for her
withdrawal of support for the Westside petition, Ms. Van Steenwyck
concludes: ``The establishment of a Paso Robles Westside AVA has
little, if any, viticultural relevance, lacks geographic definition,
and will not serve the best interests of the entire Paso Robles wine
community in the long term.'' Mr. Baldwin states that the PRAVAC
proposal ``is more comprehensive and is
[[Page 19919]]
based on more sound and substantial scientific, historic, and climatic
data.''
Gary Eberle (comment 86) and Herman Schwartz (comment 134), who
were original 1982 Paso Robles viticultural area petitioners, also
submitted comments opposing Notice No. 71. These commenters note the
diversity of the proposed Paso Robles Westside viticultural area's
climate and geography and object to the use of the Salinas River as its
proposed eastern boundary line. Also, they state that ``Paso Robles
Westside,'' as a geographical term, could mislead consumers. Charging
that the Paso Robles Westside petition uses ``cherry picked'' data and
information, Mr. Eberle states: ``When we created such a large and
diverse AVA we knew that down the line there would be a movement to
create smaller AVAs within the area * * * based on sound viticultural
and scientific information. Unfortunately, an application for the Paso
Robles Westside AVA has been filed that is the antithesis of this.''
Concerning geographical diversity, Mr. Schwartz remarked: ``Most
experienced wine people in our area are keenly aware of the vast
differences in the proposed new Westside appellation that runs the
gamut from one of the hottest, flattest and driest areas in the entire
North County of San Luis Obispo to one of the more moderate in
temperature, slightly rolling hills and the highest rainfall in our
county, let alone the varieties of soil types and the quantity and
quality of the water.''
While most opposing commenters supported other plans to divide the
existing Paso Robles viticultural area into smaller viticultural areas,
some did not. For example, Richard Sauret, president of the Independent
Grape Growers of the Paso Robles Area, a group of 195 growers, states
(comment 213): ``As a native of Paso Robles and a grape grower for 55
years I didn't think I would ever see a political fiasco of this
magnitude in Paso Robles.'' Mr. Sauret opposes all efforts to sub-
divide the existing Paso Robles viticultural area, including the Paso
Robles Westside petition and the petitions submitted by the PRAVAC.
The PRAVAC submitted a lengthy opposing comment (comment 98) on
behalf of its 59 grape-grower and winery members. According to PRAVAC,
its members farm approximately 1,700 acres and own 15 wineries in the
portion of the existing Paso Robles viticultural area that is west of
the Salinas River. As noted above, the PRAVAC submitted a petition to
TTB to expand the existing Paso Robles viticultural area and 11
petitions to sub-divide the area, as expanded, into smaller
viticultural areas. The PRAVAC notes that 5 of the 11 proposed smaller
viticultural areas lie wholly or partially west of the Salinas River,
that is, within the proposed Paso Robles Westside viticultural area.
Two of those proposed viticultural areas lie on both the east and west
sides of the Salinas River and thus would overlap the proposed Paso
Robles Westside viticultural area, and the other three lie wholly
within it.
The ``Westside'' name, according to the PRAVAC, is not locally or
nationally known to refer to the proposed viticultural area and is
confusing, misapplied, and inappropriate in the context of the
petition. The ``Westside'' name, the PRAVAC states, refers to a much
smaller area, limited to a portion of the City of Paso Robles and the
entire Adelaida District, but not extending to the northern or southern
limits of the proposed Paso Robles Westside viticultural area boundary
line.
The PRAVAC claims that the Paso Robles Westside viticultural area
petition lacks adequate scientific support and justification. The
PRAVAC notes that its research shows that the climate and geographic
features of the proposed Paso Robles Westside viticultural area fail to
distinguish it from the Paso Robles area east of the Salinas River. In
support of this contention, the PRAVAC comment includes a point-by-
point rebuttal of the Paso Robles Westside petition researched and
written by Dr. Deborah Elliott-Fisk, an ecology professor at the
University of California, Davis. Dr. Elliott-Fisk explains that she
conducted recent in-depth scientific research of the Paso Robles
viticultural area that contributed to the development of the one
expansion petition and the 11 new establishment petitions submitted by
the PRAVAC.
Dr. Elliott-Fisk argues that the Salinas River does not divide the
existing Paso Robles viticultural area into two distinct east-west
regions based on climate, geology, soils, topography, elevation,
landforms, or natural vegetation. She states that viticultural
conditions within the existing Paso Robles viticultural area change
from north to south instead of from east to west. Noting that climates
change along gradients in latitude, longitude, maritime and continental
position, elevation, orographic position, and other physical
parameters, Dr. Elliott-Fisk states that the existing Paso Robles
viticultural area ``shows incredible diversity in vineyard geographics
and viticultural environments, from an almost desert climate in the
north to a maritime climate in the central portion to a cold, wet
mountain climate to the south.'' In addition, she also contends that no
soil series found in the proposed Paso Robles Westside viticultural
area is unique to that area. Based on her research, Dr. Elliott-Fisk
concludes that ``[t]he proposed Paso Robles Westside viticultural area
makes no sense from a historical, geographical, or viticultural
perspective'' and that ``[t]he flawed and deficient petition does not
support the establishment of the proposed Paso Robles Westside AVA.''
The PRAVAC comment thus urges TTB to reject the Paso Robles
Westside viticultural area petition. As an alternative, PRAVAC suggests
TTB consolidate into one public notice the Paso Robles Westside
viticultural area petition with the 12 PRAVAC petitions to expand and
sub-divide the existing Paso Robles viticultural area. The commenter
also requested a public hearing if TTB decides to proceed with
rulemaking for the Paso Robles Westside viticultural area.
Other opposing grape growers and wine producers also comment that
the supporting data for the Paso Robles Westside viticultural area
petition is, at times, inadequate or wrong. They believe that the
scientific data provided in the petition does not support establishment
of the Paso Robles Westside viticultural area. They also note that the
climate, soils, elevation, natural vegetation, and other geographical
features of the proposed Paso Robles Westside viticultural area fail to
distinguish it from other parts of the larger Paso Robles viticultural
area. Further, some commenters state that the cooling marine influence
coming through the Templeton Gap affects certain portions of the
proposed viticultural area more than other areas, and that the marine
influence significantly affects some portions of the Paso Robles
viticultural area east of the Salinas River.
According to comments of some opposing wine industry members, the
Salinas River, as the eastern boundary line for the proposed Paso
Robles Westside boundary line, is an over-simplification of regional
viticultural differences that could have long-range negative
implications for other Paso Robles viticultural area petitions. Other
commenters claim the ``Westside'' name is ambiguous or vague and could
confuse and mislead consumers.
The 18 opposing commenters who are neither grape growers nor wine
producers include wine consumers, local residents, and scientists with
expertise in climate, soil and geology. Some of these commenters
describe the Paso Robles Westside viticultural area
[[Page 19920]]
petition as a wine industry marketing effort. A local resident states
that the proposed Paso Robles Westside viticultural area ``includes a
wide diversity of land, climate, geology and soils as to be a
completely arbitrary division.'' Other commenters contend, similar to
the PRAVAC, that the recognized ``west side'' of the Paso Robles region
encompasses only a western portion of the City of Paso Robles and the
Adelaida District, not the significantly larger proposed Paso Robles
Westside viticultural area.
Dr. Thomas Rice, a certified professional soil scientist who
provided soil information for the Paso Robles Westside viticultural
area petition, submitted two comments opposing Notice No. 71 (comments
94 and 129). In his opposing comments, Dr. Rice states that some of his
soils information ``has been inaccurately quoted'' and that ``some
erroneous conclusions regarding the soils in the Paso Robles AVA have
been stated in the final petition.'' He adds that ``not a single soil
series mapped by the USDA that occurs within the proposed Paso Robles
Westside AVA is unique to that area.'' He concludes by urging TTB ``to
reject the Paso Robles Westside petition based on its inaccurate,
misleading and false statements related to topography and soils
diversity within the larger Paso Robles AVA.''
Opposing commenter Richard Hoenisch (comment 112), a plant
pathologist at the University of California, Davis, and the education
director for the western region of the National Plant Diagnostic
Network, explains that he served for six years as the founding manager
of the Tablas Creek Winery in Paso Robles. Mr. Hoenisch states that,
based on his past and current experience and knowledge, the proposed
Paso Robles Westside viticultural area ``includes too many different
geologies, soil types, and micro-climates.'' Mr. Hoenisch concludes
that the Paso Robles area contains many distinct and excellent
potential viticultural area sites.
Mr. Donald Schucraft, a certified consulting meteorologist with the
Western Weather Group, explains in his opposing comment (comment 122)
that in the mid-1990's he led a team of meteorologists and physical
scientists that established a network of automated weather stations in
the Paso Robles region, and that these stations continue to provide key
information for localized Paso Robles weather forecasts. Based on the
data from these stations, Mr. Schucraft states that the Salinas River
does not provide a suitable boundary line for the many different
microclimates found in the Paso Robles viticultural area. He notes that
there are distinct microclimates to the west of the Salinas River
within the proposed Paso Robles Westside viticultural area, and that
these microclimates change from north to south as well as to east to
west.
Seasonal rainfall, according to Mr. Schucraft, varies from 11 to 12
inches in the northern-most part of the proposed Paso Robles Westside
viticultural area to 27 to 28 inches in the southern-most part. Also,
air temperatures, influenced by the marine air passing through the
Templeton Gap, and wind speeds, influenced by the Salinas River Valley
Basin, vary widely within the proposed viticultural area. Mr. Schucraft
concludes that observed weather in the Paso Robles region fails to
define the proposed Paso Robles Westside viticultural area as a single
viticultural region, but instead supports the existence of multiple
viticultural regions within the existing Paso Robles viticultural area.
TTB Finding
TTB notes that there is a marked lack of unanimity among the
commenters concerning the appropriateness of establishing the proposed
Paso Robles Westside viticultural area. While substantial petition
evidence and a large number of comments support the establishment of
the proposed viticultural area, we also received a significant number
of comments setting forth information that refutes, or is otherwise
inconsistent with that petition evidence. Some of those comments
challenge the appropriateness of the Paso Robles Westside name. Other
commenters, including scientific experts, contradict the geographical
feature evidence presented in the petition and relied upon by TTB in
Notice No. 71 as a basis for proposing the establishment of the Paso
Robles Westside viticultural area.
Given the conflicting information before us, we cannot conclude
that a delimited grape-growing region exists that is recognized by the
name ``Paso Robles Westside,'' or that the area described in Notice No.
71 is distinguishable by geographical features. Accordingly, TTB hereby
withdraws its proposal to establish the Paso Robles Westside
viticultural area.
With regard to the petitions submitted by the PRAVAC to establish
11 smaller viticultural areas within the Paso Robles viticultural area,
TTB will review those 11 petitions independently from this regulatory
action. A notice regarding the PRAVAC proposal to expand the existing
Paso Robles viticultural area was published in the Federal Register on
July 15, 2008 (see Notice No. 85, 73 FR 40474).
Signed: February 12, 2009.
John J. Manfreda,
Administrator.
Approved: February 27, 2009.
Timothy E. Skud,
Deputy Assistant Secretary (Tax, Trade, and Tariff Policy).
[FR Doc. E9-9855 Filed 4-29-09; 8:45 am]
BILLING CODE 4810-31-P