From what I know after living in southern Cali for 10 years, the demand for occupational therapists is still high. California is fortunate in that we are such a populated state and that also allows for OT's to work in a variety of areas. Those who want to work in a school system may struggle to find a good contract depending on the district. At least that is what I have heard from friends who work in special education and speech therapy there.
I am in a similar position as you and changed careers.. If you have any questions feel free to PM me.