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Environmental Review The City of Manteca, as Lead Agency, has prepared a Negative Declaration for the project for review and consideration by the Commission. (Refer to Exhibit F. The City's environmental review determined that the annexation project would not result in any significant environmental effects. Application Referrals The annexation proposal was distributed to local and affected agencies for their review and input. Responses received are included as Exhibit G. Environmental Health Department Refers to plume of contaminated groundwater and recommends that a City water main along Airport Way"be extended as soon as feasible." Lathrop-Manteca Fire District Prefers that the annexation occur-without detachment from the Fire District. South San Joaquin Irrigation District Points out that District facilities in the area may be affected by new development. OTHER RELATED ISSUES LAFCo Staff conducted two 'neighborhood' meetings to gauge concerns and issues of residents and property owners within the island annexation area. Timing of Water Sewer, and Storm Drainage Services and Street Improvements As reflected in the City Service Plan (Exhibit E), street and infrastructure improvements are not included as part of the annexation. Although water, sewer, and storm drainage facilities exist in the area, extension of these services will be added as new development occurs. Concerns were raised with respect to utilizing existing on-site wells and septic systems, and costs for extending City services to the area. Redevelopment Area Plan The annexation area is proposed to be added to the Manteca Redevelopment Area, and as such, will be evaluated for 'improvements benefiting both private and public interests." This evaluation will be done as part of the Redevelopment Plan amendment process, and is not a part of the annexation. The timing, amount of private contributions, and specific improvements for the new redevelopment area are not yet known. Soil Contaminants I Domestic wells north of Yosemite have been impacted by a release of methyl tertiary butyl ether (MtBE) and benzene from Frank's One Stop Service Station located at the southeast corner of Airport Way and Yosemite Avenue. (Refer to Exhibit H) As reflected in the Environmental Health Department letter (Exhibit G), corrective actions with respect to the contamination have not yet been completed. Affected residents have been supplied with potable water since early in 2001. E AFC 10-05 06-17-05 Page 3 of 62