Good catch! That picture is taken in the area in the upper left corner and it looks like the tracks themselves may be on dirt (though I don't recall specifically). The rest of Old Town in the lower right is paved, though they covered all of streets with dirt for the event.
Yes, Sacramento is pretty low in elevation being so close to the Delta, which is the lowest part of the central valley. Stockton, about 50 miles south on the San Joaquin River is only 10 ft. The ever present concern, even more so after Hurricane Katrina, is that the levees in the Delta are higher than the development behind and the potential damage from levee breaks if we had a powerful earthquake.
As to my photography plans, I'd like to do more exploring of the Central Valley. I have a few I've already done and would maybe like to see more of the San Joaquin Valley. The summers there are always really hot though and the winters bring a lot of fog, so, conditions aren't always ideal. I've also never been to Santa Barbara other than to drive by, nor have I ever been to the desert parts of California like Palm Springs or Death Valley. On the other end of the state, I'd like to go to Crescent City in the Northern coast and spend more time in the Redwoods. I'm also dying to check out the fall colors of the Eastern Sierras near Bishop/Mono Lake. I missed it this year. Sometimes I'm amazed at how big (and diverse) California is!
What about you? I always enjoy your Delaware threads. Have you done any of Wilmington itself?