[Federal Register Volume 61, Number 115 (Thursday, June 13, 1996)]
[Rules and Regulations]
[Pages 29949-29952]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-14857]
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DEPARTMENT OF THE TREASURY
Bureau of Alcohol, Tobacco and Firearms
27 CFR Part 9
RIN 1512-AA07
[TD ATF-375 ]
The Malibu-Newton Canyon Viticultural Area (95R-014P)
AGENCY: Bureau of Alcohol, Tobacco and Firearms, Department of the
Treasury.
ACTION: Final rule, Treasury decision.
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SUMMARY: This final rule establishes a viticultural area in the State
of California to be known as ``Malibu-Newton Canyon.'' The petition for
this viticultural area was filed by Mr. George Rosenthal, President of
Rancho Escondido, Inc.
The ``Malibu-Newton Canyon'' viticultural area comprises
approximately 850 acres within Newton Canyon, a bowl-shaped valley
located on the south-facing side of the Santa Monica Mountains.
Vineyards currently within the proposed viticultural area are located
on the Rancho Escondido Estate. Rancho Escondido is comprised of
approximately 157 acres, all of which lie within the proposed area.
Approximately 14 of these acres are planted with premium wine producing
vineyards. Varietals include Cabernet Savignon, Merlot, Cabernet Franc,
Chardonnay and Petite Verdot. Currently, there are no wineries located
within the proposed ``Malibu-Newton Canyon'' area.
ATF believes that the establishment of viticultural area names as
appellations of origin in wine labeling and advertising allows wineries
to designate the specific areas where the grapes used to make the wine
were grown and enables consumers to better identify the wines they
purchase.
EFFECTIVE DATE: June 13, 1996.
FOR FURTHER INFORMATION CONTACT: David Brokaw, Wine, Beer and Spirits
Regulations Branch, Bureau of Alcohol, Tobacco and Firearms, 650
Massachusetts Avenue, NW., Washington, DC 20226 (202-927-8230).
SUPPLEMENTARY INFORMATION:
Background
On August 23, 1978, ATF published Treasury Decision ATF-53 (43 FR
37672, 54624) revising regulations in 27 CFR Part 4. These regulations
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 a new Part 9 to 27 CFR, for the listing of approved
American viticultural areas.
Section 4.25a(e)(1), Title 27 CFR, defines an American viticultural
area as a delimited grape-growing region distinguishable by
geographical features, the boundaries of which have been delineated in
Subpart C of Part 9.
Section 4.25a(e)(2) outlines the procedure for proposing an
American viticultural area. Any interested person may petition ATF to
establish a grape-growing region as a viticultural area. The petition
should include:
(a) Evidence that the name of the proposed viticultural area is
locally and/or nationally known as referring to the area specified in
the petition;
(b) Historical or current evidence that the boundaries of the
viticultural area are as specified in the petition;
(c) Evidence relating to the geographical features (climate, soil,
elevation, physical features, etc.) which distinguish the viticultural
features of the proposed area from surrounding areas;
(d) A description of the specific boundaries of the viticultural
area, based on the features which can be found on United States
Geological Survey (U.S.G.S.) maps of the largest applicable scale; and
(e) A copy of the appropriate U.S.G.S. map(s) with the boundaries
prominently marked.
Petition
ATF received a petition from Mr. George Rosenthal, President of
Rancho Escondido, Inc., proposing to establish a new viticultural
appellation in the Malibu area of Los Angeles County, California, to be
known as ``Malibu-Newton Canyon.'' The viticultural area, comprising
approximately 850 acres, is located within Newton Canyon which is a
bowl-shaped valley located on the south-facing side of the Santa Monica
Mountains. Vineyards currently within the viticultural area are located
on the Rancho Escondido Estate. Rancho Escondido is comprised of
approximately 157 acres, all of which lie within the ``Malibu-Newton
Canyon'' viticultural area. Approximately 14 of these acres are planted
with premium wine producing vineyards. Varietals include Cabernet
Savignon, Merlot, Cabernet Franc, Chardonnay and Petite Verdot.
Currently, there are no wineries located within the ``Malibu-Newton
Canyon'' viticultural area.
Notice of Proposed Rulemaking
In response to Mr. George Rosenthal's petition, ATF published a
notice of proposed rulemaking, Notice No. 817, in the Federal Register
on December 22, 1995 [60 FR 66535], proposing the establishment of the
Malibu-Newton Canyon viticultural area. The notice requested comments
from all interested persons by February 20, 1996.
Comments on Notice of Proposed Rulemaking
ATF did not receive any letters of comment in response to Notice
No. 817.
[[Page 29950]]
Two letters of support from landowners located within the Malibu-Newton
Canyon viticultural area were received prior to issuing Notice No. 817.
Accordingly, this final rule establishes a Malibu-Newton Canyon
viticultural area with boundaries identical to those proposed in Notice
No. 817. The petition provides the following information as evidence
that the viticultural area meets the regulatory requirements discussed
previously.
Evidence That the Name of the Area Is Locally or Nationally Known
According to the petitioner, the origin of the name Malibu comes
from the ancient Chumash Indian word MALA I BOO, meaning ``Place on the
Cliff,'' and was the name of an Indian village just beyond Malibu
Beach. After the Spaniards took control of southern California, the
encompassing Chumash ranchera UMALIBO became known as the Malibu
Rancho. A Spanish settler, Jose Bartolome Tapia gained control of the
rancho and was later granted the land by the Governor of the
Californias. The present day spelling appears on the name of the
Topanga Malibu Sequit grant dated July 12, 1805. It originally totalled
13,315 acres, one of the largest southern California Ranchos at that
time.
The petitioner further states that throughout the 19th century,
Rancho Malibu changed hands many times but remained intact. Until the
construction of the Pacific Coast Highway in the 1930's, the privacy of
Rancho Malibu had not been invaded. With the burgeoning economy of
southern California, conditions greatly changed. This historic rancho
was finally subdivided during the same decade. Following soon after,
the famous Malibu Beach Colony was established where movie stars and
industry moguls began constructing their homes. The Malibu area then
quickly developed into the highly recognized community of Los Angeles
as it is known today.
Throughout this region there exists topography in the form of
roads, a creek, a lake, a canyon, a beach, hiking trails, parks,
vistas, etc. which denote the name ``Malibu.'' The region lying roughly
from the ridge line of the Santa Monica Mountains to the ocean, and
from Topanga Canyon to the Ventura County line is commonly known as
Malibu, according to the petitioner. While the city of Malibu was
incorporated in 1992, the entire surrounding area described above
continues to be recognized as Malibu. ``Malibu'' could be applied to
any of the hills/mountains which drain toward the ocean through the
city of Malibu, including Newton Canyon, the location of the
viticultural area.
The petitioner provided a 1:250,000 scale Topographic-Bathymetric
map of Los Angeles to document the use of the name, ``Malibu.'' An
article in the October 15, 1994, issue of the ``Wine Spectator,''
entitled ``A Vineyard Grows in Malibu Canyon,'' refers to the area
around ``The Malibu Estate'' (Rancho Escondido, Inc.) as ``Malibu
Hills.'' Also, included as an exhibit was a copy of an article from,
``The Underground Wine Journal,'' 1994, entitled, ``Distinctive New
Wines.'' This article refers to ``The Malibu Estate'' as being located
``in the hills above Malibu.''
According to the petitioner, the name ``Newton Canyon'' is
generally known as describing the specific area in which the
viticultural area is located. This is evidenced by the name of the main
street running through the viticultural area-- ``Newton Canyon Road.''
In addition, maps of the area, including the U.S.G.S. map referenced
and shown within the petition, label the area as, ``Newton Canyon.''
The petitioner states that, ``Newton Canyon alone is not descriptive
enough to describe the general location of the viticultural area, and
further, might possibly cause public confusion in relation to Newton
Vineyards, located in the Napa Valley.'' Therefore, the petitioner
proposed the name, ``Malibu-Newton Canyon.''
Historical or Current Evidence that the Boundaries of the Viticultural
Area Are As Specified in The Petition
The boundaries of the ``Malibu-Newton Canyon'' viticultural area
follow the natural ridge lines which define Newton Canyon and are
delineated on the U.S.G.S. Point Dume, California, quadrangle map.
Newton Canyon is a bowl-shaped valley located on the south-facing
side of the Santa Monica Mountains, in the Malibu area of Los Angeles
County. The canyon is oriented along an east-west axis. The valley
floor lies at an elevation of approximately 1,400 feet. The surrounding
ridgeline ranges in elevation from 1,800-2,100 feet on the southern
ocean side of the canyon, continuing to 2,100-2,800 feet on the high
side of the canyon to the north.
According to the petitioner, the elevation of the southern rim of
the canyon is low enough to allow evening fog to sift into the valley,
but high enough to keep out the marine layer that shrouds much of the
coastline throughout the daytime. The northern rim of the canyon joins
the crest of the Santa Monica Mountains that divides oceanside from
leeside. Lying at the eastern most side of the canyon, Castro Peak is
another distinguishing feature which marks one of the highest points in
the Santa Monica Mountains at 2,824 feet.
The petitioner further states that approximately two-thirds of the
surrounding Malibu area contains slopes greater than 25 percent, with
only one-fifth having relatively level terrain. Throughout the past
several decades, most of the usable land in the Malibu area has been
developed. Because of increasingly high land prices, very little of the
land in the general Malibu area is still used for agriculture. The
Santa Monica Mountains also have thousands of acres dedicated to State
and national parks, with more acreage being aggressively acquired by
public conservation agencies.
Evidence Relating to the Geographical Features (Climate, Soil,
Elevation, Physical Features, etc.) Which Distinguish the Viticultural
Features of the Area From Surrounding Areas
Climate
Based upon a 1994 climate study completed by Fox Weather, Oxnard,
California, the petitioner asserts the following: The general climate
of the Malibu area is typical of southern California with mild, rainy
winters, and warm, dry summers. However, there are several
climatological factors which distinguish the ``Malibu-Newton Canyon''
viticultural area from the surrounding region.
While summer temperatures often exceed 80 degrees in the afternoon,
cooling ocean breezes flow into the valley in the evening, according to
the petitioner. Moreover, during the evening and early morning a light
fog often filters into the valley and settles along the slopes,
creating a unique microclimate which is significantly cooler than the
surrounding inland areas. Typically, the morning sun shines through the
fog, which in turn is swept out by warm winds and high daytime
temperatures. The valley enjoys southern exposure to the sun throughout
the afternoon. According to the petitioner, these conditions are ideal
for premium grape growing.
Because of its high elevation and orientation, the viticultural
area does not experience the constantly overcast skies and cooler
temperatures of the coastal region immediately below.
Newton Canyon, within which the viticultural area is located, is a
unique pocket protected from marine influence. The coastline near sea
level is a more temperate climate controlled by marine stratus with
uniformly cold
[[Page 29951]]
temperatures, fog and low clouds. This cooler and more humid coastal
environment, mainly affecting areas below the 1,300 foot level, can
create grape rot and delay maturation.
The petitioner claims that the ``Malibu-Newton Canyon''
viticultural area is, in the daytime, a sunny warm oasis for a coastal
location. The area is located at an elevation which lies just at the
bottom of the inversion layer and just at the top of the marine layer.
Typically, the marine layer ceiling is approximately 1,400 feet on
average. The southern or bottom rim of the canyon acts as a barrier to
the marine layer, preventing the bulk of the coastal fog and low clouds
from penetrating the valley for extended periods of time. This allows
the ``Malibu-Newton Canyon'' viticultural area to enjoy favorable
cooling effects of the Pacific ocean and have the warm sunny daytime
temperatures found in the adjacent interior valleys.
Nearby inland areas experience uniformly hot summer temperatures
similar to those experienced in the upper elevations on the oceanside
of the Santa Monica Mountains. However, these inland areas receive
little or no fog and much less precipitation than the oceanside regime,
according to the petitioner.
An additional distinctive aspect is an increasing amount of
precipitation with increasing elevation. The petitioner states that
upland weather stations report practically twice the mean precipitation
of the nearby lowland stations. Furthermore, the greatest monthly
precipitation during the rainy season is from 1.5 to 3.0 times as great
as that for the lowland stations. Precipitation is concentrated in the
winter months. The average annual rainfall is about 24 inches, with
approximately 12 percent occurring from the months of April to October.
The viticultural area experiences typical low temperatures in the
winter time, just above freezing temperatures. Infrequent winter
freezes have been known to occur during the dormant winter growing
cycle.
In summary, the petitioner states that the viticultural area is
characterized by an isolated microclimate that captures the favorable
climatic conditions necessary for premium wine grape growing. In
contrast, the petitioner states that the surrounding areas found on the
oceanside of the Santa Monica Mountains (i.e, Malibu, Oxnard, Santa
Monica) are uniformly cool and overcast. Surrounding inland areas found
on the leeside of the Santa Monica Mountains (i.e, Thousand Oaks,
Agoura, Woodland Hills) are uniformly hot and dry. The petitioner
provided a diagram illustrating the ``Malibu-Newton Canyon''
microclimate and a November 29, 1994, ``CLIMATOLOGICAL SURVEY FOR
RANCHO ESCONDIDO VINEYARDS,'' by Alan D. Fox of Fox Weather.
Physical Features
According to the petitioner, the primary distinction of the
viticultural area is its unique combination of shape, elevation,
orientation and relative location to the marine influences of the
Pacific Ocean. The viticultural area lies within a clearly defined
valley with a ``bowl'' shape resting high on the oceanside of the Santa
Monica Mountains. These physical features create a pocket which harbors
the distinct microclimatic described above. The petitioner provided
aerial photos to illustrate these physical features.
Drainage
All of the viticultural area drains into Newton Canyon Creek,
continuing to Zuma Creek which then drains into the Pacific Ocean at
Point Dume's westward beach, according to the petitioner.
Soils
As evidence of soil types, the petitioner provided a 1994 soils
study completed by Soil & Plant Laboratory, Inc., Orange, California,
in addition to ``Soils of the Malibu Area California'' published by the
Soil Conservation Service, United States Department of Agriculture.
According to this information, major soils within the viticultural
area range from loam to clay loam in texture. Subsoil texture ranges
from clay loam to clay. Current plantings are mainly on Castaic and
Rincon silty clay loams and Malibu loam which are lower elevation
terrace soils that are moderately deep, with favorable Capability Class
ratings of II to IV. Steeper hillside soils (mostly above the 1,700
foot contour line) are shallower with Capability Class ratings ranging
from IV to VIII.
Soils in the viticultural area have moderate to high inherent
fertility. Soil reaction in surface soils ranges from moderately acid
to slightly alkaline. Subsoil ph varies with type and several areas are
calcareous.
According to the petitioner, soil tests performed prior to the
planting of vineyards in 1988 revealed that the topsoil found in much
of lower Newton Canyon contained crushed rock, as a result of the
construction of the nearby Kanan Dume Road tunnel, which is ideal for
good drainage.
The surrounding areas are mainly steep hillsides and mountainous
uplands with poor soil capability. These soils are usually shallower
than those found in the viticultural area, and are subject to erosion.
Boundary
The boundary of the ``Malibu-Newton Canyon'' viticultural area may
be found on one United States Geological Survey map, entitled Point
Dume Quadrangle, California, 7.5 minute series, with a scale of
1:24,000.
Executive Order 12866
It has been determined that this regulation is not a significant
regulatory action as defined by Executive Order 12866. Accordingly,
this proposal is not subject to the analysis required by this executive
order.
Regulatory Flexibility Act
It is hereby certified that this regulation will not have a
significant economic impact on a substantial number of small entities.
The establishment of a viticultural area is neither an endorsement nor
approval by ATF of the quality of wine produced in the area, but rather
an identification of an area that is distinct from surrounding areas.
ATF believes that the establishment of viticultural areas merely allows
wineries to describe more accurately the origin of their wines to
consumers, and helps consumers identify the wines they purchase. Thus,
any benefit derived from the use of a viticultural area name is the
result of the proprietor's own efforts and consumer acceptance of wines
from that area.
Accordingly, a regulatory flexibility analysis is not required
because this 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.
Paperwork Reduction Act
The provisions of the Paperwork Reduction Act of 1980, Pub. L. No.
96-511, 44 U.S.C. Chapter 35, and its implementing regulations, 5 CFR
Part 1320, do not apply to this rulemaking because no requirement to
collect information is proposed.
Drafting Information
The principal author of this document is David Brokaw, Wine, Beer
and Spirits Regulations Branch, Bureau of Alcohol, Tobacco and
Firearms.
[[Page 29952]]
List of Subjects in 27 CFR Part 9
Administrative practices and procedures, Consumer protection,
Viticultural areas, and Wine.
Authority and Issuance
Title 27, Code of Federal Regulations, Part 9, American
Viticultural Areas, is amended as follows:
PART 9--AMERICAN VITICULTURAL AREAS
Par. 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. Subpart C is amended by adding Sec. 9.152 to read as
follows:
* * * * *
Sec. 9.152 Malibu-Newton Canyon.
(a) Name. The name of the viticultural area described in this
petition is ``Malibu-Newton Canyon.''
(b) Approved maps. The appropriate map for determining the boundary
of the Malibu-Newton Canyon viticultural area is the U.S.G.S. map,
``Point Dume Quadrangle, California'' (7.5 Minute Series 1:24,000
Topographic map, photorevised 1981).
(c) Boundary. The Malibu-Newton Canyon viticultural area is located
in Los Angeles County, California. The boundary is as follows:
(1) Beginning at the intersection of the Newton Canyon creek
(lowest elevation) and an unnamed medium duty road referred to by the
petitioner as Kanan Dume Road at the boundary of section 13 and 18 on
the U.S.G.S. map ``Point Dume Quadrangle.''
(2) Then south along Kanan Dume Road to the point where an unnamed,
unimproved dirt road referred to by the petitioner as Ramerez Mountain
Way crosses over Kanan Dume Road at the tunnel in the northwest corner
of section 19.
(3) Then east along Ramerez Mountain Way, following the southern
ridgeline of Newton Canyon, to Latigo Canyon Road in the southwest
corner of section 17.
(4) Then south along Latigo Canyon Road to an unnamed, unimproved
dirt road referred to by the petitioner as Newton Mountain Way at the
southern boundary of section 17.
(5) Then northeast along Newton Mountain Way, following the
southeastern ridgeline of Newton Canyon, to an unnamed, unimproved dirt
road referred to by the petitioner as Castro Mountain Way in section
16.
(6) Then west along Castro Mountain Way, past Castro Peak,
following the northern ridgeline of Newton Canyon to Latigo Canyon Road
in section 18.
(7) Then southwest along the natural ridgeline of Newton Canyon to
the intersection of Kanan Dume Road and the 1,600 foot contour line in
the southeastern portion of section 13.
(8) Then southeasterly along Kanan Dume Road to the beginning
point.
Signed: May 7, 1996.
Bradley C. Buckles,
Acting Director.
Approved: May 24, 1996.
John P. Simpson,
Deputy Assistant Secretary (Regulatory, Tariff and Trade Enforcement).
[FR Doc. 96-14857 Filed 6-12-96; 8:45 am]
BILLING CODE 4810-31-P
