Formulas for Denatured Alcohol and Rum

DEPARTMENT OF THE TREASURY

Bureau of Alcohol, Tobacco and Firearms

27 CFR Parts 19 and 21

[Notice No. 832; 95R-029P]

RIN 1512-AB60

Formulas for Denatured Alcohol and Rum

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

ACTION: Notice of proposed rulemaking.

-----------------------------------------------------------------------

SUMMARY: The Bureau of Alcohol, Tobacco and Firearms (ATF) is proposing

in this document to update the information provided for in parts 19 and

21 relating to the formulation of completely denatured alcohol (CDA),

specially denatured alcohol (SDA), and specially denatured rum (SDR);

the denaturants authorized for use in the manufacturing of these

formulations; and the specifications for these denaturants. The updates

being proposed include replacing the previously named ``Scientific

Services Division'' and ``Chemical Branch'' with their new names,

removing the only proprietory name listed with the denaturant

denatonium benzoate, incorporating an ATF ruling that approves the use

of two substitute denaturants, and making other amendments to provide

clarity. ATF believes that the proposed updates will ensure that the

information provided in this part is current.

As part of the President's regulatory reform initiative that calls

for a complete review and revision of all Federal government

regulations, ATF is proposing in this document to eliminate regulatory

requirements that may pose an undue burden on industry members.

DATES: Written comments must be received on or before September 30,

1996.

ADDRESSES: Submit written comments to: Chief, Wine, Beer, and Spirits

Regulations Branch; Bureau of Alcohol, Tobacco and Firearms; PO Box

50221; Washington, DC 20091-0221. Attn: Notice No. 832.

FOR FURTHER INFORMATION CONTACT: Mary A. Wood, Wine, Beer, and Spirits

Regulations Branch, Bureau of Alcohol, Tobacco and Firearms, 650

Massachusetts Avenue, NW., Washington, DC 20226; (202) 927-8210.

SUPPLEMENTARY INFORMATION:

Background

27 CFR part 21 contains listings of information relating to the

formulation

[[Page 39930]]

of CDA, SDA, and SDR, to the specifications for denaturants and to the

denaturants authorized for use in the formulation of CDA, SDA, and SDR.

ATF is authorized under section 5242 of the Internal Revenue Code of

1986 to prescribe the character and quantity of approved denaturing

materials. Pursuant to Sec. 21.91, ATF may authorize substitutions or

variations from the specified list of denaturants pursuant to an

application filed with ATF by the denaturer. This document proposes to

amend part 21 to incorporate denaturants that have been approved

pursuant to such applications but not yet published in this part, as

well as to clarify the regulations where necessary. Additionally, this

document proposes to make a technical correction to the wording of

Sec. 21.91 by replacing ``of'' with ``or'' in the second sentence.

Correcting Division and Branch Names

The ATF National Laboratory Center, Rockville, Maryland, underwent

reorganization and the division and certain branches were renamed. The

division previously named ``Scientific Services Division'' has been

renamed ``Laboratory Services Division'' and the branch previously

named ``Chemical Branch'' has been renamed ``Alcohol and Tobacco

Laboratory.'' The regulations are being corrected to reflect the new

names. The division name correction affects Sec. 21.11. The branch name

correction affects Secs. 21.3, 21.11, 21.21, 21.31, 21.33, 21.34,

21.56, 21.65, and 21.141.

Removal of a Proprietary Name

The appearance of the proprietary brand name ``BITREX'' in

conjunction with the approved denaturant denatonium benzoate, N.F. may

be mistakenly considered a product endorsement by ATF over all other

proprietory names. Since ``denatonium benzoate, N.F.'' is the actual

chemical name for this denaturant, ``BITREX'' is eliminated every where

it appears in parts 19 and 21.

Substitute Denaturants

ATF Ruling 94-4 approved the use of heptane as a substitute

denaturant for toluene in SDA Formula No. 2-B (SDA 2-B) and alpha

terpineol as a substitute denaturant in SDA Formula No. 38-B (SDA 38-

B).

Heptane is currently approved as a substitute denaturant for rubber

hydrocarbon solvent in SDA 28-A. This ruling allows for the use of

heptane as a substitute, on an equal (1:1) basis, for any one of the

denaturants (toluene, benzene or rubber hydrocarbon solvent) in SDA 2-

B.

Alpha terpineol having similar specifications to those of pine oil,

N.F., an approved denaturant for SDA 38-B, is now approved for use as a

substitute denaturant in SDA 38-B.

Other Changes

27 CFR 21.6 and 21.141 are proposed to be amended to correctly cite

referenced information.

Public Participation

ATF requests written comments from all interested persons. All

comments received on or before the closing date will be carefully

considered. Comments received after that date will be given the same

consideration if it is practical to do so, but assurance of

consideration cannot be given except as to comments received on or

before the closing date.

ATF will not recognize any material as confidential. Any material

which the commenter considers to be confidential or inappropriate for

disclosure should not be included in the comment. The name of the

person submitting the comment is not exempt from disclosure.

Any interested person who desires an opportunity to comment orally

at a public hearing should submit a request, in writing, to the

Director within the 60-day comment period. The Director, however,

reserves the right to determine, in light of all circumstances, whether

a public hearing will be scheduled.

Written comments will be available for public inspection during

normal business hours at the following address: ATF Reading Room,

Office of Public Affairs and Disclosure, Room 6480, 650 Massachusetts

Avenue, NW., Washington, DC.

Regulatory Flexibility Act

It is hereby certified that this proposed regulation will not have

a significant economic impact on a substantial number of small

entities. The regulations will provide industry members with the most

current listings of denaturants, denatured alcohol and rum formulations

and their specifications. The regulations will not increase

recordkeeping or reporting requirements. Accordingly, a regulatory

flexibility analysis is not required because the proposal, if

promulgated as a final rule, will not have a significant economic

impact on a substantial number of small entities. Pursuant to section

7805(f) of the Internal Revenue Code, this regulation has been

submitted to the Chief Counsel for Advocacy of the Small Business

Administration for comment on its impact on small business.

Executive Order 12866

It has been determined that this proposed regulation is not a

significant regulatory action as defined in Executive Order 12866.

Accordingly, this proposal is not subject to the analysis required by

this Executive Order.

Paperwork Reduction Act

The provisions of the Paperwork Reduction Act of 1980, Public Law

96-511, 44 U.S.C. chapter 35, and its implementing regulations, 5 CFR

part 1320, do not apply to this document because no new information

collection requirements are being proposed.

The collections of information referenced in this notice of

proposed rulemaking have been previously reviewed and approved by the

Office of Management and Budget in accordance with the requirements of

the Paperwork Reduction Act of 1980 (44 U.S.C. 3504(h); 27 CFR parts 19

and 20).

Drafting Information

The principal author of this document is Mary A. Wood of the Wine,

Beer, and Spirits Regulations Branch, Bureau of Alcohol, Tobacco, and

Firearms.

List of Subjects

27 CFR Part 19

Administrative practice and procedure, Alcohol and alcoholic

beverages, Authority delegations (Government agencies), Chemicals,

Claims, Customs duties and inspection, Electronic fund transfers,

Excise taxes, Exports, Gasohol, Imports, Labeling, Liquors, Packaging

and containers, Puerto Rico, Reporting and recordkeeping requirements,

Research, Security measures, Spices and flavorings, Stills, Surety

bonds, Transportation, Vinegar, Virgin Islands, Warehouses, Wine.

27 CFR Part 21

Alcohol and alcoholic beverages, Authority delegation, Chemicals,

Gasohol.

Authority and Issuance

Accordingly, ATF is proposing to amend chapter I, of title 27 of

the Code of Federal Regulations as follows:

Sec. A. The regulations in 27 CFR part 19 are amended as follows:

PART 19--DISTILLED SPIRITS PLANTS

Para. 1. The authority citation for part 19 continues to read as

follows:

Authority: 19 U.S.C. 81c, 1311; 26 U.S.C. 5001, 5002, 5004-5006,

5008, 5010, 5041, 5061, 5062, 5066, 5081, 5101, 5111-5113,

[[Page 39931]]

5142, 5143, 5146, 5171-5173, 5175, 5176 5178-5181, 5201-5204, 5206,

5207, 5211-5215, 5221-5223, 5231, 5232, 5235, 5236, 5241-5243, 5271,

5273, 5301, 5311-5313, 5362, 5370, 5373, 5501-5505, 5551-5555, 5559,

5561, 5562, 5601, 5612, 5682, 6001, 6065, 6109, 6302, 6311, 6676,

6806, 7011, 7510, 7805; 31 U.S.C. 9301, 9303, 9304, 9306.

Sec. 19.460 [Amended]

Para. 2. Section 19.460(a) is amended by removing the word

``(BITREX),'' wherever it appears.

Sec. 19.1005 [Amended]

Para. 3. Section 19.1005(c) is amended by removing the word

``(Bitrex),'' wherever it appears.

Sec. B. The regulations in 27 CFR part 21 are amended as follows:

PART 21--FORMULAS FOR DENATURED ALCOHOL AND RUM

Para. 1. The authority citation for part 21 continues to read as

follows:

Authority: 5 U.S.C. 552(a); 26 U.S.C. 5242, 7805.

Secs. 21.3, 21.21, 21.31, 21.34, and 21.56 [Amended]

Para. 2. Sections 21.3(b), 21.21 (b) and (c), 21.31(c), 21.34(c),

and 21.56(a) are amended by removing the words ``Chemical Branch'' and

adding in their place the words ``Alcohol and Tobacco Laboratory.''

Para. 3. Section 21.6 is amended by revising the first sentence of

paragraph (a) to read as follows:

Sec. 21.6 Incorporations by reference.

(a) ``The United States Pharmacopoeia and the National Formulary''

published together as ``The USP and NF Compendia,'' are incorporated by

reference in this part. * * *

* * * * *

Sec. 21.11 [Amended]

Para. 4. Section 21.11 is amended in the definition ``Chief,

Chemical Branch'' by removing the words ``Scientific Services

Division'' and adding in their place the words ``Laboratory Services

Division'' and by removing the words ``Chemical Branch'' and adding in

their place the words ``Alcohol and Tobacco Laboratory.''

Sec. 21.32 [Amended]

Para. 5. Section 21.32(a) is amended by removing the word

``(BITREX).''

Para. 6. Section 21.33 is amended as follows:

1. Paragraph (a) is revised to read as follows:

Sec. 21.33 Formula No. 2-B.

(a) Formula. To every 100 gallons of alcohol add:

One-half gallon of benzene, \1/2\ gallon of rubber hydrocarbon

solvent, \1/2\ gallon of toluene, or \1/2\ gallon of heptane.

* * * * *

2. Paragraph (c) is amended by removing the words ``Chemical

Branch'' and adding in their place ``Alcohol and Tobacco Laboratory.''

Sec. 21.65 [Amended]

Para. 7. Section 21.65(a) is amended as follows:

1. The words ``Alpha terpineol'' are added at the top of the list

of substances.

2. In the concluding text, the words ``Chemical Branch'' are

removed and added in their place are the words ``Alcohol and Tobacco

Laboratory'' every place they appear.

Sec. 21.76 [Amended]

Para. 8. Section 21.76(a) is amended by removing the word

``(BITREX).''

Sec. 21.91 [Amended]

Para. 9. Section 21.91 is amended by removing ``of'' where it

appears for the second time in the second sentence and adding ``or'' in

its place.

Secs. 21.95 through 21.132 [Redesignated as Secs. 21.96 through

21.133]

Para. 10. Sections 21.95 through 21.132 are redesignated as

Secs. 21.96 through 21.133.

Para. 11. A new Sec. 21.95 is added to read as follows:

Sec. 21.95 Alpha terpineol.

(a) Boiling point at 752mm 218.8-219.4 deg.C.

(b) Density at 15 deg. 0.9386.

(c) Refractive index at 20 deg. 1.4831.

Sec. 21.141 [Amended]

Para. 12. Section 21.141 is amended as follows:

1. Formula 40-B is added to the end of the list in the column

entitled ``Formulas authorized for the entry ``External

pharmaceuticals, miscellaneous, U.S.P. or N.F.'', Code No. 249.''

2. The words ``Chemical Branch'' are removed from footnote 1 and

added in their place are the words ``Alcohol and Tobacco Laboratory.''

Sec. 21.151 [Amended]

Para. 13. Section 21.151 is amended as follows:

1. ``Alpha Terpineol * * * S.D.A. 38-B'' is added directly after,

``Almond oil, bitter, N.F.X * * * S.D.A. 38-B.''

2. ``(BITREX)'' is removed from the reference to ``Denatonium

benzoate, N.F. S.D.A. 1, 40-B.''

3. ``2-B'' is added between ``S.D.A.'' and ``28-A'' across from

``Heptane.''

Signed: May 29, 1996.

John W. Magaw,

Director.

Approved: June 6, 1996.

John P. Simpson,

Deputy Assistant Secretary (Regulatory, Tariff and Trade Enforcement).

[FR Doc. 96-19388 Filed 7-30-96; 8:45 am]

BILLING CODE 4810-31-U