TTB Labeling and Formula Processes: Evaluating Burden among Craft Brewers

Abstract

Previous research indicates that craft breweries experience difficulties with the Certificate of Labeling Approval (COLA) and formula approval processes established by the Alcohol and Tobacco Tax and Trade Bureau (TTB). This study evaluated the relationship between brewery characteristics and regulatory outcomes. Brewery characteristics of interest were number of full-time personnel, permit age, production volume, regulatory submission volume, and resource utilization. The outcomes evaluated were resubmission frequency of COLA and formula submissions, expense burden, and information burden. The results indicate that correspondence with TTB officials decreases resubmission frequency of formula submissions, while volume of resources used during submission preparation is positively correlated with the resubmission frequency of COLA submissions. Regarding expense burden, advice from fellow brewers and coworkers decreases burden associated with formula submissions and COLA submissions, respectively. The results indicate that the COLA and formula processes are associated with substantial information burden and are significantly associated with certain brewery characteristics.

Keywords

• craft brewing industry
• labeling approval
• formula approval
• information burden
• expense burden