HEAT oven to 400 degrees F.
BROWN meat with peppers in large nonstick skillet. Stir in 1 cup salsa; simmer 5 min., stirring occasionally. Remove from heat; stir in 1/2 cup cheese.
SPREAD 1/4 cup of remaining salsa onto bottom of 13x9-inch baking dish. Brush dressing lightly over both sides of tortillas. Stack 4 tortillas; wrap in waxed paper. Microwave on HIGH 20 to 30 sec. or just until warmed. Immediately spoon 1/3 cup meat mixture down center of each warm tortilla; roll up. Place, seam-sides down, over salsa in dish. Repeat with remaining tortillas and meat mixture; top with remaining salsa. Cover.
BAKE 20 min. or until heated through. Uncover; top with remaining cheese. Bake, uncovered, 2 to 3 min. or until cheese is melted.
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KRAFT 2% Milk Natural Cheese