So here's what I think would possibly be legal in PRK:
1. design a .22LR dedicated upper (many has already done that)
2. Re-design a .22LR magazine, i.e. Ciener style magazine w/o the metal around the magazine to help fit it into .223 magwell, thus it's small and will only fit into a dedicated .22LR magazine well.
3. Machine the AR lower to accept only the magazine in #2.
In this case, the .22LR AR may be legal in CA, but still subject to DOJ approval. My question is: other then looking cool, what does this .22LR AR can do that a nicely modified Ruger 10/22 cannot do? The only reason for me to own .22LR conversion kit is so I can practice and shoot at lower cost then shooting .223. However, for those who live in CA and have not legally possess/Register an AR15 before the ban then the scenario above does not apply. Just like FAB-10, this "CA legal" .22LR AR15 (if anyone every built it) will be another PRK only toy that no one wants to buy/touch in the other free states. Personally, if I don't already have an AR I will just buy a 10/22 and start to modify it to be my fun plinking gun; if I need .223 or even .308, Kel-Tec SU-16, Ruger Mini14 and M1A are good choices.