We report on the multi‐year process of developing the California PECAS statewide integrated land use/transportation model and the preliminary results of a sensitivity test. In the Trend 2030 Scenario, the model allocated economic activities and developed floorspace in a plausible pattern, when viewed statewide or regionally. In the High Fuel Cost Scenario, a more‐compact development pattern was found. We conclude that the initial demonstration model performed reasonably well. The chief problems that we encountered are discussed and our future work is outlined.