So I created an account just to leave a thanks to you folks!!
Purchased a 2000 Ford F350 with ambulance body. It had $2800 in back fees. Using the info here I went to DMV and provided a statement of facts for the lost title, a statement of facts explaining it's "special interest vehicle" status (less than 100 sold in CA), a CNO from the previous owner, VIN verification (DMV wanted this to switch it's vehicle type from pickup to ambulance), and copies of the CVC and the above notice (thank a zillion for posting that hoser!), and regular transfer title form.
Not really sure what they did but I ended up paying $270 which they said was the sales tax on a $3000 vehicle (what I paid) and a title transfer fee. Not sure that adds up correctly and it wasn't itemized but it seemed about right.
THANKS again!!