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indicated that the 1986 yield was below normal because of adverse weather. The applicant also discussed the difficulties of farming in the midst of the encroaching urbanization pressure (Trains, 1987). A subsequent telephone communication with staff of the Agricultural Commissioner's Office confirmed that residential development adjacent to farm properties can restrict types of materials available to farm operators, methods of pesticide and fertilizer application, and timing of pesticide and fertilizer applications. For example, air pesticide applications are difficult on small parcels and are further constrained by adjacent and intermixed residences, schools, and other nonagricultural land uses. Road dust and neighborhood nuisances can further complicate normal farming operations. THE STUDY AREA. The larger area is more diverse in parcel size, in degrees of encroachment, and in the timing of past development. Parcels north of Bates Road are smaller in size than those between Bates Road and the railroad right-of-way. Typically walnuts are planted on parcels north of Bates Road. South of the railroad right-of-way, parcels include a mix of young and mature walnut plantings and lesser acreages devoted to apricots. Agriculturally, the study area is a mosaic of different orchards, different in age and tree type. It is evident that the levels of cultural and management practices on the existent agricultural parcels (orchards) vary greatly within the study area. Most of the orchards to the north of the railroad right-of-way appear quite attractive, but there also exists older, less well tended plantings in the study area. Observation of tracts in the existing Valpico Rural Residential area also show variability, due either to the lack of understanding and/or management skills; or possibly from the difficulty in providing normal types and scales of operations for fruit and nut trees now part of small residential parcels. IMPACTS Conversion of Agricultural Parcels to Rural Residential Developments. The examination of parcel maps (which are part of Appendix 13.3) reveals the gradual encroachment of residential homesites on agricultural parcels in the Valpico area since the 1950s. The existence of older plantings from times when urbanization pressures were not present indicates the then highest and best use of the area's climatic and soil resources to be in orchard production. The existence of young plantings in the area seems to reflect some commitment to continued agricultural activity into the future. The spillover of population pressures from the San Francisco Bay Area has increased the demand for homesites in the Tracy area, as indicated by the number of recent and substantial houses located on parcels in the Valpico area and on residential lots in the study area. The demand for such development comes at a time when much of the study area is already impacted to varying degrees by urban encroachment. In addition, the economic viability of agricultural production in the area is not strong, especially for canning apricots. Urbanization of the area has already placed restrictions on agricultural operations in the study area. Development, if permitted, is likely to take place over an extended period of time, although it may occur at a quicker pace than has existed in the Valpico development area. There will be continued and heightened concerns among the area's inhabitants (rural residents and agriculturalists) as the area's 3.2-3