[Federal Register Volume 86, Number 115 (Thursday, June 17, 2021)]
[Rules and Regulations]
[Pages 32191-32194]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-12771]


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DEPARTMENT OF THE TREASURY

Alcohol and Tobacco Tax and Trade Bureau

27 CFR Part 9

[Docket No. TTB-2020-0005; T.D. TTB-168; Ref: Notice No. 190]
RIN 1513-AC60


Establishment of The Burn of Columbia Valley Viticultural Area

AGENCY: Alcohol and Tobacco Tax and Trade Bureau, Treasury.

ACTION: Final rule; Treasury decision.

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SUMMARY: The Alcohol and Tobacco Tax and Trade Bureau (TTB) establishes 
the approximately 16,870-acre ``The Burn of Columbia Valley'' 
viticultural area in Klickitat County, Washington. The newly-
established The Burn of Columbia Valley viticultural area is located 
entirely within the existing Columbia Valley viticultural area. 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.

[[Page 32192]]


DATES: This final rule is effective July 19, 2021.

FOR FURTHER INFORMATION CONTACT: Karen A. Thornton, 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. 175.

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 FAA Act 
pursuant to section 1111(d) of the Homeland Security Act of 2002, 
codified at 6 U.S.C. 531(d). The Secretary has delegated the functions 
and duties in the administration and enforcement of these provisions to 
the TTB Administrator through Treasury Order 120-01, dated December 10, 
2013 (superseding Treasury Order 120-01, dated January 24, 2003).
    Part 4 of the TTB regulations (27 CFR part 4) authorizes TTB to 
establish definitive viticultural areas and regulate 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 to TTB of petitions 
for the establishment or modification of American viticultural areas 
(AVAs) and lists the approved AVAs.

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 the 
wine's geographic origin. The establishment of AVAs allows vintners to 
describe more accurately the origin of their wines to consumers and 
helps consumers to identify wines they may purchase. Establishment of 
an AVA 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 (27 CFR 4.25(e)(2)) 
outlines the procedure for proposing an AVA and provides that any 
interested party may petition TTB to establish a grape-growing region 
as an AVA. Section 9.12 of the TTB regulations (27 CFR 9.12) prescribes 
standards for petitions for the establishment or modification of AVAs. 
Petitions to establish an AVA must include the following:
    <bullet> Evidence that the area within the proposed AVA boundary is 
nationally or locally known by the AVA name specified in the petition;
    <bullet> An explanation of the basis for defining the boundary of 
the proposed AVA;
    <bullet> A narrative description of the features of the proposed 
AVA affecting viticulture, such as climate, geology, soils, physical 
features, and elevation, that make the proposed AVA distinctive and 
distinguish it from adjacent areas outside the proposed AVA;
    <bullet> If the proposed AVA is to be established within, or 
overlapping, an existing AVA, an explanation that both identifies the 
attributes of the proposed AVA that are consistent with the existing 
AVA and explains how the proposed AVA is sufficiently distinct from the 
existing AVA and therefore appropriate for separate recognition;
    <bullet> The appropriate United States Geological Survey (USGS) 
map(s) showing the location of the proposed AVA, with the boundary of 
the proposed AVA clearly drawn thereon; and
    <bullet> A detailed narrative description of the proposed AVA 
boundary based on USGS map markings.

The Burn of Columbia Valley Petition

    TTB received a petition from Kevin Corliss, Vice President of 
Vineyards for Ste. Michelle Wine Estates, Joan R. Davenport, Professor 
of Soil Sciences at Washington State University, and John Derrick, Vice 
President of Operations for Mercer Ranches, Inc., proposing to 
establish ``The Burn of Columbia Valley'' AVA. The proposed AVA is 
located in Klickitat County, Washington, and lies entirely within the 
established Columbia Valley AVA (27 CFR 9.74). Within the 16,870-acre 
proposed AVA, there are 3 commercial vineyards, which cover a total of 
approximately 1,261 acres and are owned by two different entities. The 
distinguishing features of the proposed The Burn of Columbia Valley AVA 
are its soils, climate, and topography.
    The soils of the proposed The Burn of Columbia Valley are primarily 
silty loams in the taxonomic order Mollisols. The soils are described 
as having good plant-available water holding capacity that are capable 
of delivering sufficient water to the vines during the growing season. 
The soils are also relatively high in organic material and provide 
adequate nutrients, particularly nitrogen, to the vines. The most 
common soil series and complexes in the proposed AVA are Walla Walla 
silt loam (without cemented substratum), Rock outcrop-Haploxeroll 
complex, Haploxeroll-Fluvaquent complex, Fluventic Haploxeroll-
Riverwash complex, Rock outcrop Rubble and Complex, Wato silt loam, 
Walla Walla silt loam (with cemented substratum), Endicott silt loam, 
and Endicott-Moxee complex.
    The climate within the proposed The Burn of Columbia Valley AVA is 
characterized by an average annual growing degree day \1\ (GDD) 
accumulation of 2,763 GDDs, with a minimum of 2,405 GDDs and a maximum 
of 3,249 GDDs. The average annual GDD accumulations favor the 
production of grape varietals with higher heat unit requirements, such 
as Cabernet Sauvignon and Syrah, which are the two most commonly grown 
grape varietals within the proposed AVA. The proposed AVA receives an 
average of 8.76 inches of precipitation annually, with a minimum of 
6.65 inches and a maximum of 10.44 inches. Low annual rainfall amounts 
mean that vineyards within the proposed AVA require supplemental 
irrigation.
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    \1\ See Albert J. Winkler et al., General Viticulture (Berkeley: 
University of California Press, 2nd. ed. 1974), pages 61-64. In the 
Winkler scale, the GDD regions are defined as follows: Region I = 
less than 2,500 GDDs; Region II = 2,501-3,000 GDDs; Region III = 
3,001-3,500 GDDs; Region IV = 3,501-4,000 GDDs; Region V = greater 
than 4,000 GDDs.
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    The topography of the proposed The Burn of Columbia Valley AVA is 
comprised of gently sloping bench lands above the Columbia River. The 
average slope angle within the proposed AVA is 7.27 percent, which is 
suitable for mechanical cultivation of vineyards, yet is steep enough 
to avoid the pooling of cold air that could damage grapes. The proposed 
AVA also has a large, contiguous expanse of land with easterly and 
southern aspects, as well as a southeasterly aspect, which allows 
excellent sunlight exposure for vineyards.
    To the east-northeast and northwest of the proposed AVA, the soils 
include series and complexes that are not

[[Page 32193]]

present within the proposed AVA, including the Renslow-Ralls-Whipple 
complex, Van Nostern silt loam, Van Nostern-Bakeoven complex, Colockum-
Cheviot complex, Swalecreek-Rockley complex, and Goldendale silt loam. 
Average annual GDD accumulations to the east-northeast and northwest of 
the proposed AVA are lower, and average annual rainfall amounts are 
higher than within the proposed AVA. In the region to the south of the 
proposed AVA, the soils contain series and complexes also not present 
within the proposed AVA, including Ritzville silt loam, Willis silt 
loam, and Roloff-Rock outcrop complex. Average annual GDD accumulations 
are higher in the region south of the proposed AVA, as are average 
annual precipitation amounts. Additionally, in the region to the west 
of the proposed AVA, the soils contain complexes not present within the 
proposed AVA, including the Cheviot-Tronsen complex, Goodnoe-
Swalecreek-Horseflat complex, and Asotin silt loam. The region to the 
west of the proposed AVA has lower annual GDD accumulations and higher 
average annual rainfall amounts. When compared to the proposed The Burn 
of Columbia Valley AVA, each of the surrounding regions has higher 
average slope angles except the region to the south, which has lower 
average slope angles.

Notice of Proposed Rulemaking and Comments Received

    TTB published Notice No. 190 in the Federal Register on May 27, 
2020 (85 FR 31718), proposing to establish The Burn of Columbia Valley 
AVA. In the notice, TTB summarized the evidence from the petition 
regarding the name, boundary, and distinguishing features for the 
proposed AVA. The notice also compared the distinguishing features of 
the proposed AVA to the surrounding areas. For a detailed description 
of the evidence relating to the name, boundary, and distinguishing 
features of the proposed AVA, and for a detailed comparison of the 
distinguishing features of the proposed AVA to the surrounding areas, 
see Notice No. 190.
    In Notice No. 190, TTB solicited comments on the accuracy of the 
name, boundary, and other required information submitted in support of 
the petition. In addition, given the proposed The Burn of Columbia 
Valley AVA's location within the Columbia Valley AVA, TTB solicited 
comments on whether the evidence submitted in the petition regarding 
the distinguishing features of the proposed AVA sufficiently 
differentiates it from the established AVA. TTB also requested comments 
on whether the geographic features of the proposed AVA are so 
distinguishable from the established Columbia Valley AVA that the 
proposed AVA should no longer be part of the established AVA. The 
comment period closed July 27, 2020.
    In response to Notice No. 190, TTB received 13 comments. The 
commenters included local wine industry members, local wine consumers, 
the Goldendale Chamber of Commerce, the Klickitat County Natural 
Resources & Economic Development Department, and the Columbia-Snake 
Rivers Irrigators Association. Eleven of the comments support creating 
the proposed The Burn of Columbia Valley AVA so as to distinguish this 
region from other areas within the established Columbia Valley AVA. One 
of the comments (comment 12) did not specifically express support for 
or opposition to the proposed AVA, but did state that the geography and 
climate of the proposed The Burn of Columbia Valley AVA are 
``significantly different than the existing Columbia Valley AVA.'' Only 
one comment (comment 13), submitted by an anonymous commenter, opposed 
establishing the proposed AVA. The commenter stated their belief that 
the proposed The Burn of Columbia Valley AVA was not sufficiently 
distinguishable from the nearby established Horse Heaven Hills AVA (27 
CFR 9.188) and should be included in that AVA instead of recognized as 
a new AVA. However, the comment did not include any evidence to support 
this claim.

TTB Determination

    After careful review of the petition and the comments received in 
response to Notice No. 190, TTB finds that the evidence provided by the 
petitioner supports the establishment of The Burn of Columbia Valley 
AVA. Accordingly, under the authority of the FAA Act, section 1111(d) 
of the Homeland Security Act of 2002, and parts 4 and 9 of the TTB 
regulations, TTB establishes the ``The Burn of Columbia Valley'' AVA in 
Klickitat County, Washington, effective 30 days from the publication 
date of this document.
    TTB has also determined that The Burn of Columbia Valley AVA will 
remain part of the established Columbia Valley AVA. As discussed in 
Notice No. 190, The Burn of Columbia Valley AVA shares some broad 
characteristics with the established AVA. For example, the proposed AVA 
and the Columbia Valley AVA both have similar average annual rainfall 
amounts. However, the proposed AVA can accumulate maximum GDDs of over 
3,000 annually, indicating a climate that is slightly warmer than the 
rest of the much larger Columbia Valley AVA. Additionally, because the 
proposed The Burn of Columbia Valley AVA is much smaller than the 
Columbia Valley AVA, the proposed AVA has a greater uniformity of 
characteristics within its boundaries.

Boundary Description

    See the narrative description of the boundary of The Burn of 
Columbia Valley AVA in the regulatory text published at the end of this 
final rule.

Maps

    The petitioners provided the required maps, and they are listed 
below in the regulatory text. The Burn of Columbia Valley AVA boundary 
may also be viewed on the AVA Map Explorer on the TTB website, at 
https://www.ttb.gov/wine/ava-map-explorer.

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. For a wine to be labeled with an AVA name or with a 
brand name that includes an AVA name, at least 85 percent of the wine 
must be derived from grapes grown within the area represented by that 
name, 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 an AVA name 
and that name 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 AVA name 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 an AVA name that was used as a brand name on a 
label approved before July 7, 1986. See 27 CFR 4.39(i)(2) for details.
    With the establishment of The Burn of Columbia Valley AVA, its 
name, ``The Burn of Columbia Valley,'' will be recognized as a name of 
viticultural significance under Sec.  4.39(i)(3) of the TTB regulations 
(27 CFR 4.39(i)(3)). The text of the regulations clarifies this point. 
Consequently, wine bottlers using the name ``The Burn of Columbia 
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 AVA name as an appellation of origin.
    TTB is not designating ``The Burn,'' standing alone, as a term of 
viticultural significance because the term ``The

[[Page 32194]]

Burn'' is used to refer to multiple areas in the United States. 
Therefore, wine bottlers using ``The Burn,'' standing alone, in a brand 
name or in another label reference on their wines will not be affected 
by the establishment of this AVA.
    The establishment of The Burn of Columbia Valley AVA will not 
affect the existing Columbia Valley AVA, and any bottlers using 
``Columbia Valley'' as an appellation of origin or in a brand name for 
wines made from grapes grown within the Columbia Valley will not be 
affected by the establishment of this new AVA. The establishment of The 
Burn of Columbia Valley AVA will allow vintners to use ``The Burn of 
Columbia Valley'' and ``Columbia Valley'' as appellations of origin for 
wines made primarily from grapes grown within The Burn of Columbia 
Valley AVA if the wines meet the eligibility requirements for these 
appellations.

Regulatory Flexibility Act

    TTB certifies that this regulation will not have a significant 
economic impact on a substantial number of small entities. The 
regulation imposes no new reporting, recordkeeping, or other 
administrative requirement. Any benefit derived from the use of an AVA 
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

    It has been determined that this final rule is not a significant 
regulatory action as defined by Executive Order 12866 of September 30, 
1993. Therefore, no regulatory assessment is required.

Drafting Information

    Karen A. Thornton of the Regulations and Rulings Division drafted 
this final rule.

List of Subjects in 27 CFR Part 9

    Wine.

The Regulatory Amendment

    For the reasons discussed in the preamble, TTB amends title 27, 
chapter I, part 9, Code of Federal Regulations, as follows:

PART 9--AMERICAN VITICULTURAL AREAS

0
1. The authority citation for part 9 continues to read as follows:

    Authority:  27 U.S.C. 205.

Subpart C--Approved American Viticultural Areas

0
2. Subpart C is amended by adding Sec.  9.276 to read as follows:


Sec.  9.276   The Burn of Columbia Valley.

    (a) Name. The name of the viticultural area described in this 
section is ``The Burn of Columbia Valley''. For purposes of part 4 of 
this chapter, ``The Burn of Columbia Valley'' is a term of viticultural 
significance.
    (b) Approved maps. The four United States Geological Survey (USGS) 
1:24,000 scale topographic maps used to determine the boundary of The 
Burn of Columbia Valley viticultural area are titled:
    (1) Sundale NW, OR-WA, 2017;
    (2) Goodnoe Hills, WA, 2017;
    (3) Dot, WA, 2017; and
    (4) Sundale, WA-OR, 2017.
    (c) Boundary. The Burn of Columbia Valley viticultural area is 
located in Klickitat County in Washington. The boundary of The Burn of 
Columbia Valley viticultural area is as described below:
    (1) The beginning point is on the Sundale NW map, at the 
intersection of the Columbia River and the east shore of Paterson 
Slough. From the beginning point, proceed northerly along the east 
shore of Paterson Slough to its junction with Rock Creek, and 
continuing northeasterly along Rock Creek to its intersection with the 
boundary of the Yakima Nation Trust Land; then
    (2) Proceed south, then east, then generally northeasterly along 
the boundary of the Yakima Nation Trust Land, crossing onto the Goodnoe 
Hills map, to the intersection of the Trust Land boundary with Kelley 
Road; then
    (3) Proceed north in a straight line to the intersection with the 
main channel of Chapman Creek; then
    (4) Proceed southeasterly (downstream) along Chapman Creek, 
crossing over the Dot map and onto the Sundale map, to the intersection 
of Chapman Creek with its southernmost tributary; then
    (5) Proceed due east in a straight line to the creek running 
through Old Lady Canyon; then
    (6) Proceed southerly along the creek to its intersection with the 
northern shoreline of the Columbia River; then
    (7) Proceed westerly along the northern shoreline of the Columbia 
River, returning to the beginning point.

    Signed: January 4, 2021.
Mary G. Ryan,
Administrator.
    Approved: January 5, 2021.
Timothy E. Skud,
Deputy Assistant Secretary (Tax, Trade, and Tariff Policy).
[FR Doc. 2021-12771 Filed 6-16-21; 8:45 am]
BILLING CODE 4810-31-P