Flight
There are three main airports in the Bay Area. We recommend flying into San Jose Mineta International Airport (SJC) as it's the closest, with a drive time of ~40 min to Scotts Valley. As a backup, the San Francisco International Airport (SFO) is another good option if the flights end up working better for you. It is an extra 20 minutes of driving to get to Scotts Valley.
Travel Note
Festivities will be located in this area. It is a smaller town removed from the larger city of Santa Cruz with great access to redwood forests! Getting to Santa Cruz and the beach is very easy and only takes about 15 minutes by car.
Travel Note
As discussed above, Santa Cruz is a short drive from festivities and a nice city with a beach-town feel. If you want to stay here I would highly recommend somewhere near West Cliff Drive, Seabright Beach, or Twin Lakes Beach. Avoid staying in areas near the San Lorenzo River, along Ocean Street, and near the Santa Cruz Beach Boardwalk, they are nice to visit during the day but can become a bit sketchy after dark.
Travel Note
While these are great places, you are starting to get a bit far from the festivities and both tourist and beach traffic can make traversing from these places take a while.