Preheat oven to 180 degrees C.
In a saucepan over low heat, add the chicken, bell pepper, cream cheese, and half of the salsa and cook, stirring, until the cream cheese is melted and mixture is thoroughly combined.
I clearly forgot to add the bell peppers when I took this picture.
Divide the chicken mixture into 8 equal portions. Spoon each portion down the centre of each tortilla, and roll up. Place in a lightly greased 12 x 8 inch baking dish.
Next, make the cheese sauce. In a saucepan over low heat, add the Montery Jack, cream cheese and milk. Let the cheeses melt, stirring, until a smooth mixture forms.
When it cools a little and becomes less runny (think thick lava consistency), pour the cheese sauce down the middle of the tray over the tortillas, and cover with foil.
Bake for 15 minutes or until thoroughly heated. Pour the remaining salsa over the tortillas.