On Sat, 31 Jul 2010 21:42:00 -0400, John Doe wrote:

Has there been any debate on whether KSC remains the best possible
launch location ?

Yes, prior to both Apollo and Shuttle. Final decision was "nowhere in
the Continental US is significantly better, and it is too expensive to
set up shop somewhere else off-continent."

How about southern California on the Baja peninsula ?

That would be in Mexico. Not going to happen.

Could this allow
both ascending and descending node launches ?

Neither.

Brian