1. BDC Distilling Class March 26th Ron Grazioso/Stanton Webster

2. Outline Regulatory Distillation Theory Distillation Equipment
Federal
DSP, COLA, FONL, Bond, Excise Tax, Monthly Reports….
State
Distribution, brand registration
Distillation Theory
Water-Ethanol Equilibrium Curve
Rectification
Distillation Equipment
Pot Still, Column Still, Hybrid Still
Dephlegmator, Bubble Plate
Practical Spirit Manufacturing Processes
Standards of Identity
Mashing
Fermentation
Distillation
Proofing
Maturation
Bottling

3. Regulatory (Federal)
The TTB (Tax and Trade Bureau) regulates all DSPs (Distilled Spirits Plants) in terms of licensing, spirit definitions and formula/label approvals.
The TTB uses other federal agencies to regulate and determine approval, such as the FDA and NRC.
In order to start and operate a distillery, you must, among other things:
Obtain a DSP basic permit (owner information, location w/lease, bank statements, business creation, operating agreement and management, equipment, spirit production, bond insurance, etc..)
Get formula (FONL) approvals – some spirits require formula approval
Get label (COLA) approvals – all spirits require label approval
Submit monthly reports (production, processing and storage)
Pay federal excise tax (every 2 weeks)
Submit to inspections and audits
Very first step is on the next slide and should be to find a location with the proper zoning for a distillery
Federal is all free!
Start selling product

4. Regulatory (Federal): TTB Monthly Reports and Audits
You must file Production, Processing and Storage reports every month to the TTB.
Monthly reports are used to track every aspect of your distillery operation. Every gallon of spirit in your DSP must be accounted for in one of the three reports.
Production reports are used to show what class/type of spirit you produced and how much. It also includes the amount of raw materials used so the TTB can determine your yield.
Processing reports are used to show what class/type of spirit you bottled. This will be used to make sure you pay your correct excise tax.
Storage reports are used to show what class/type of spirit you are storing, whether in barrels or just in tanks. This will be used to show you are aging product or storing bulk spirits.
During an audit, the TTB agent will go through your monthly reports and your own tracking information to determine, for example: what day a bag of corn came in to produce your bottle of bourbon that is in a serialized case packer that came from a serialized barrel.

5. Regulatory (State)
The TN ABC (Alcoholic Beverage Commission) regulates all distilleries in terms of licensing, taxes, distribution and brand registration.
In order to start and operate a distillery in TN, you must:
Obtain local county/city zoning approval
Get a TN Distiller’s License (after obtaining your DSP permit from TTB)
Dept of Ag inspection
TN ABC inspection
Sign up with a distributor (no self-distribution in TN)
Register your brands (using your approved TTB COLA labels)
Pay state and local licensing fees
Yearly registration of brand fees
Almost every step to get legal in TN costs a fee
Start selling product

6. Distillation (Theory)
Distillation is the process of separating 2 or more liquids from a liquid mixture by exploiting their difference in boiling points.
For beverage distillation, we are specifically talking about separating ethanol from water. Water boils at 212F and Ethanol at 173F.
Ethanol and water are miscible meaning when combined they will form a homogenous mixture or solution. This new solution will boil at a specific boiling point between the boiling point of water and ethanol depending on the amount of each of the two components. This is shown in the Ethanol- Water Equilibrium Curve.
When the new solution is heated to its boiling point, both ethanol and water will be vaporized but a higher portion of ethanol will be turned to vapor since its boiling point it lower.
If you then condense that vapor, the condensate will have a higher amount of ethanol than the original solution.
This can be repeated many times to achieve a higher concentration of ethanol.

7. Distillation (Theory)
The Ethanol-Water Equilibrium Curve provides the boiling point and ethanol concentration in the vapor for different starting %ABV washes.
Example - Two whiskey distillations
W1: %ABV of starting solution (beer %ABV)
T1: Boiling point of W1
V1: %ABV of distillate after first distillation
W2: %ABV of second solution (V1=W2)
T2: Boiling point of W2
V2: %ABV of distillate after second distillation
Most important curve in distilling
Shows the start of hearts in spirit distilling

8. Distillation Equipment (Stills)
Column Still
Used for continuous distillation (mostly industrial)
Multiple distillations
Components
Rectifier Column
Analyzer Column
Bubble plates
Condenser
Pot Still
Used for batch distillation
Single distillation per batch
Components
Condenser
Lyne Arm
Neck
Kettle or Pot
Pot still used in Scotch and must be distilled twice to get high enough for whiskey proof
Column still mostly for industrial use to make high proof ethanol
Wash acts as the dephlegmator by creating a temperature gradient in the rectifier as it gets pumped down through rectifier over to analyzer

9. Distillation Equipment (Stills)
Components
Dephlegmator
Column with 4 bubble plates
Condenser
Hybrid Still (craft still)
Used for batch distillation
1 or more distillations per batch
Components
Lyne Arm
Neck
Kettle or Pot
1st distillation
2nd-5th distillations
Works similar to column still but not continuous
Pot still is the analyzer, column is the rectifier
Can run as pure pot still or column still by bypassing the column
wash
spirit

10. Distillation Equipment (Reflux)
Dephlegmator
Coldest
Water in/out
4th distillation
90% ABV
Reflux: the process of condensing vapor in order for it to return to the wash to increase distillate proof.
All stills (even pot stills) will produce some amount of reflux as hot vapors touch the cooler sides of the still neck or column.
Most distillers want to control the amount of reflux so they will employ either Passive or Active reflux devices.
Passive reflux is produced by using raschig rings packed into the column of a still to increase the surface area available for vapor to condense. The reflux will be proportional to the surface area.
Active reflux is produced and controlled by using a dephlegmator (or pre-condenser) and bubble plate(s). The water flow to the dephlegmator can be controlled to increase or decrease condensation to flood the bubble plates which act as filters to condense proportionally more water vapor than ethanol vapor.
3rd distillation
87% ABV
2nd distillation
80% ABV
Dephlegmator used in hybrid stills to control active reflux
Bubble plates will not work without dephlegmator, dephlegmator only slightly works without bubble plates.
In combination and under proper control, a dephlegmator and bubble plate will add one theoretical distillation per bubble plate
1st distillation
53% ABV
Hottest

11. Spirit Manufacturing Processes (Standards of Identity)
Before you can manufacture your spirit, you must first understand what defines your spirit.
The TTB Standards of Identity is the federal law that defines the types or classes of spirits. It gives requirements on:
What material the spirit may need to be made from
How the spirit should taste
What proof it should be distilled to
If it can be aged or not
What proof it can be bottled at
This is defined in the Code of Federal Regulations 27 CFR 5.22, do NOT use the Beverage Alcohol Manual (BAM) Chapter 4
BAM is only a guideline, 27 CFR 5.22 is federal law.
Type “TTB standards of identity” into google and go to the CFR

12. Spirit Manufacturing Processes (Standards of Identity)
Standards of identity of some common spirits:
“Neutral spirits” or “alcohol” are distilled spirits produced from any material at or above 190° proof, and, if bottled, bottled at not less than 80° proof.
“Vodka” is neutral spirits so distilled, or so treated after distillation with charcoal or other materials, as to be without distinctive character, aroma, taste, or color.
“Whisky” is an alcoholic distillate from a fermented mash of grain produced at less than 190° proof in such manner that the distillate possesses the taste, aroma, and characteristics generally attributed to whisky, stored in oak containers (except that corn whisky need not be so stored), and bottled at not less than 80° proof, and also includes mixtures of such distillates for which no specific standards of identity are prescribed. (BAM does not say whiskey needs to be stored in oak containers!)
“Bourbon whisky”, “rye whisky”, “wheat whisky”, “malt whisky”, or “rye malt whisky” is whisky produced at not exceeding 160° proof from a fermented mash of not less than 51 percent corn, rye, wheat, malted barley, or malted rye grain, respectively, and stored at not more than 125° proof in charred new oak containers; and also includes mixtures of such whiskies of the same type. (Still needs to be bottled at 80 proof or higher since it’s a whiskey)
“Rum” is an alcoholic distillate from the fermented juice of sugar cane, sugar cane syrup, sugar cane molasses, or other sugar cane by-products, produced at less than 190° proof in such manner that the distillate possesses the taste, aroma, and characteristics generally attributed to rum, and bottled at not less than 80° proof; and also includes mixtures solely of such distillates.

13. Spirit Manufacturing Processes (MashingProduction report)
Mashing for distilled spirits is in theory the same for mashing for beer: cooking the grain to extract starches and convert to sugar.
They only differ typically due to the source material used for the spirit vs malted barley for beer
Distilled spirits (depending on their class) can be made from:
Potatoes, grain, sugar, fruit, basically any fermentable material
Each of these fermentable materials have their own requirements for optimal mashing. Where they typically differ from malted barley is:
Gelatinization temperatures or no gelatinization at all (sugar, fruit, molasses, etc..)
Yeast nutrient requirements (sugar washes need additional yeast nutrients added)
Types of enzymes needed (amylase, pectinase, etc..)
Typically lautering will not work or not necessary
Typical whiskey mashing takes 2-4 hours and will use off-the-shelf enzymes, especially using corn due to the high gelatinization temperatures. The mash is typically not lautered and the wort is not boiled before fermentation.
Most mashes will be made in a mash tun without a false bottom, truly a mash cooker.

14. Spirit Manufacturing Processes (FermentationProduction report)
Fermentation for distilled spirits is in theory the same for fermenting beer: converting sugars to alcohol(s).
The main differences will again come from the main fermentable material which determines the types of sugars produced in mashing and the type of yeast strain necessary.
Typically a distiller is trying to optimize the fermentation in terms of attenuation and less so for flavor (congener production).
The fermentation for some unaged spirits are more important since much of the flavor will come from the fermentation process, such as an unaged rum.
Typical whiskey fermentations last 4 days and end with % attenuation. The fermentation will occur at higher temperatures, as high as 90F. Many are not temperature controlled.
Typical whiskey yeast is Saccharomyces Cerevisiae will commonly be pitched new for every batch. Fermentations will be done on- or off-grain (or if not a whiskey on- or off-fruit, must, etc..)
Lautering typically not done in distilling mashing and fermentation. The grain will be later separated in distillation.

15. Spirit Manufacturing Processes (DistillationProduction report)
The distillation process and equipment can vary dramatically from spirit to spirit.
Typically whiskeys are produced on pot stills or hybrid stills:
For a pot still, 2-3 distillations are typically made:
The first distillation is called the stripping run which “strips” out all the alcohol in the wash from the spent grains
The second (and/or third) are called the spirit run(s) to separate and collect the heads, hearts and tails.
For a hybrid still, a single pass is typically made with 1 or more bubbles plates to achieve the desired distillate proof.
Column stills can also be used but are much more typically employed in large distilleries and especially when producing a neutral spirit, such as vodka.
A distillation can take anywhere from a few hours to all day depending on: the type of still, type of spirit being produced and desired flavor profile of the distillate.

16. Spirit Manufacturing Processes (ProofingProduction, Processing, Storage reports)
Accurate determination of proof is important in all three phases of spirits manufacturing: production, processing and storage. Final bottle proofing is performed for the processing report.
Proof must be accurate for: TTB monthly reporting, to follow the standards of identity and for product consistency.
Proof is given by volume but should be calculated using weight since the volume of liquids change with temperature.
If the spirit has a low amount of dissolved solids, then a hydrometer or densitometer can be used to measure its proof. If not, the spirit must be re-distilled in order to separate the ethanol from the dissolved solids before using a hydrometer.
Only %ABV is required on the product label and the actual spirit %ABV must be within: +0%ABV to -0.15%ABV within what is written on the label, according to TTB regulations.
In the U.S., proof or %ABV must be determined and reported at 60F.
Proofing inaccuracies are the biggest source of TTB fines during an audit.
You must, by law, purchase and use calibrated and accurate hydrometers, temperature gauges and/or TTB qualified densitometers or alcolyzers.

17. Spirit Manufacturing Processes (MaturationStorage report)
Many distilled spirits are matured even if they are considered un-aged.
Even with unaged spirits, congener formation can continue while it is “resting” before being bottled.
Though for almost all whiskeys, they must be aged in oak containers. Aging in oak imparts the largest amount of the flavor profile to a whiskey (and most aged spirits).
In the U.S., most grain-specific whiskey types (bourbon, malt, rye, wheat, malted rye) have to be aged in new, charred oak barrels. Generic “whiskey” can be aged in used oak barrels and corn whiskey does not have to be aged.
Maturation in barrels is due to two main components: the char layer and the red layer.
The char layer, which is on the outer surface of the wood, acts as an activated carbon layer to reduce unwanted (and sometimes wanted) flavors.
The red layer which is underneath the char layer imparts the most flavor and color to the spirit. This is where the oak sugars have caramelized and created the sweet, vanillin flavors that many whiskeys are known for.

18. Spirit Manufacturing Processes (BottlingProcessing report)
One key difference in the manufacture and distribution of distilled spirits as compared to beer is all spirits must be bottled for retail sale.
There are defined bottle sizes that must be used in the U.S., with the most common being 750ml and the largest being 1.75l.
The volume and proof designations on your label determine the amount of federal excise tax you must pay which is why volume and proof have such tight tolerances:
Volume: +/-2%
Proof: +0°/-0.3°
Once a spirit is bottled and leaves the bonded premises of your DSP, you must pay federal excise tax.
Federal excise tax is $2.70 per proof gallon. A proof gallon is a gallon of spirits at 100 proof. A 750ml bottle at 80 proof would cost ~$0.43 in federal excise tax. This FET rate is only for the next two years then it may revert back to the original (2017) rate of $13.50 per proof gallon.

19. References
Whisky: Technology, production and marketing, I. Russel, 2003
The science and commerce of whisky, I. Buxton, 2014
Fermented beverage production, A. Lea and J. Piggot, 2003
Craft of whiskey distilling, B. Owens, 2009
A treatise on the manufacture and distillation of alcoholic liquors, P. Duplais, 1871
Chemistry and technology of wines and liquors, K. Herstein, 1935
The manufacture of liquors and preserves, J. Brevans, 1893
The chemistry of corn into alcohol, D. Holm, 1980
Making pure corn whiskey: A professional guide for amateur and micro distillers, I. Smiley, 2003

20. THANK YOU!