I just figured out that it's the FONT that decides how much space will be
between each line of text within the label box.
Well, yes... and no.
Check the control's LineSpacing property (on the Format tab). Someone
may have set it to a measurement greater than 0".
From Access help:
LineSpacing Property
You can use the LineSpacing property to specify or determine the
location of information displayed within a label or text box control.
Read/write Integer.
expression.LineSpacing
expression Required. An expression that returns one of the objects
in the Applies To list.
Remarks
A control's displayed information location is the distance measured
between each line of the displayed information. To use a unit of
measurement different from the setting in the Regional Options dialog
box in Windows Control Panel, specify the unit, such as cm or in (for
example, 3 cm or 2 in).
In Visual Basic, use a numeric expression to set the value of this
property. Values are expressed in twips.
You can set these properties by using the property sheet, a macro, or
Visual Basic.