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offering lots of various sizes, ranging from 3,500 square feet to 7,000 square feet. As explained below, the small lots would also be required to provide sites for a specified percentage of smaller homes. Since the lots in the R-M zone would be less than 3,600 square feet in size, the small lot Tentative Map would be subject to the residential size limits specified by Specific Plan III (Specific Plan III Table 3-7, Footnote 6). Specific Plan III requires that at least one plan of a Model Home Master Plan not exceed the maximum size limits specified below for R-M lots less than 3,600 square feet in size: Lot Size Maximum Livable Area <3,000 square feet 1,400 square feet 3,000-<3,200 square feet 1,500 square feet 3,200-<3,400 square feet 1,600 square feet 3,400-<3,600 square feet 1,700 square feet The percentage of small lots subject to these size limitations would depend on the number of plans comprising a Model Home Master Plan. Based on this information,the Community Development Department(CDD)has determined that the number of small homes (i.e., homes 1,700 square feet in size or less)required to be built in the project would range from a low of 5 to a high of 13. It is assumed that the number of small homes required to be built in the project would be sold at lower sales prices than larger units. These units and the number of second unit dwellings required for the project(29)would, therefore, help address Master Plan policies concerning the provision of affordable housing for households at every income level. PLEP. The Public Land Equity Program (PLEP)ordinance requires the owner of each proposed subdivision in Mountain House to dedicate 21.2 percent of the land area of said subdivision to the applicable public agency in satisfaction of that subdivision's fair-share contribution for("qualifying") public lands in Mountain House. (Qualifying public lands are public lands shown on the Mountain House Master Plan and include school sites, parks, some open space lands, Arterial roads, and some Collector streets.)For the purposes of the Public Land Equity Program (PLEP), the public land dedication requirement for the project is 30.3 acres (21.2% X 142.92 acres in the project) whereas the actual amount of qualifying public land shown by the Master Plan for the project is 32.06 acres. The resulting"Public Land Surplus" is, therefore, 1.76 acres. As a result, the applicant will receive a voucher(i.e., credit)of 1.76 acres from the Mountain House Community Services District(MHCSD). [Note: The applicant may exchange the voucher for available public or private land held by the MHCSD or sell the voucher to any developer who has a"Public Land Deficit"on property in Mountain House that he or she proposes to develop.] School Mitigation Agreements. The applicant as of this writing has not yet entered into school mitigation agreements with the Lammersville Elementary School District(LESD)and the Tracy Unified School District(TUSD). These mitigation agreements both require the payment of fees. Both the Master Plan and Specific Plan III require full mitigation of school impacts as part of development projects. As a result, conditions of approval (COAs)have been added for the small lot Tentative Map (LESD COA#1 and TUSD GOA#1)requiring the developer to enter into full mitigation agreements with these school districts prior to approval of the first Final Map. Hazardous Materials. The Limited Phase 11 Environmental Site Assessment and Summary of Project to Date—Machado Property and the Surface and Subsurface Contamination Report—Machado Property, which were 16