The fact that another major corporation is leaving California and no new ones are moving here is a telling sign about the economic environment businesses face. There needs to be more than pleasant weather for them financially that isn't here anymore. Along with them, 700K people have left in the past three years with lifestyle and affordability as the main reasons and that's a state government issue. Like others Valero is downsizing not to lose money but making more somewhere else. If this trend continues and then high tech companies leave, the tax base will be put on the shoulders of workers who won't be able to afford it sending the state's finances into a death spiral.
Doesn't seem the California model is working very well regardless of it's virtues. That's the point.