An interesting article on the now defunct California Space Authority titled, Space Group Took $16M In Public Funds. The proposed space park and museum are also gone.
Meanwhile, the New Mexico Space Port, the future home of Virgin Galactic, is making slow but steady progress towards completion, as noted in At Last, NM Spaceport Shaping Up. For anyone who has worked in the remote area of New Mexico where the spaceport is located, frankly, the people running it deserve a medal for making as much progress as they have.
The larger debate of how commercial space companies will thread the needle of safety vs. regulation is ongoing, as shown in, Catching Air Without NASA: How Will We Regulate Commercial Space Flight?