The City of Shasta Lake is a city in Shasta County, California, United States. It is the closest settlement to Lake Shasta and the Shasta Dam, which are popular tourist destinations. The population was 10,164 at the 2010 census, up from 9,008 at the 2000 census.HistoryShasta Lake started out as five small communities named Central Valley, Toyon, Project City, Pine Grove, and Summit City, all of which came about with the beginning of construction of Shasta Dam in 1938. Project City was built at the intersection of Highway 99 and Shasta Dam Boulevard, a larger Central Valley at a midpoint on Shasta Dam Blvd., Summit City at the intersection of Shasta Dam Blvd. and Lake Blvd., and Pine Grove at what today is the intersection of I-5 and Pine Grove Ave.The Bureau of Reclamation built the town of Toyon, first called Government Camp. Toyon was the premier community, built on 41acres of what was once the Seaman Ranch. By 1950 Toyon had two tennis courts, an outdoor basketball court, a Community Center, green lawns, concrete side walks, commercial water and power from Shasta Dam, its own sewage treatment plant, and its own landfill. Initially, Toyon also had two large dormitories for bachelor employees. All the residents of Toyon worked for the US Bureau of Reclamation. Bureau headquarters office and maintenance facilities were located on Kenneth Ave, parallel to Shasta Dam Blvd.All bureau employees were forced to vacate Toyon by the end of 1964 when the facility was turned over to the Job Corps as a work camp as a part of President Lyndon Johnson's Great Society. The Job Corps supervision ended in 1972. Toyon was subsequently occupied by local Indians who hoped to stake claim and have Toyon recognized as tribal lands; this did not occur. Water and electric power were turned off after the Indians failed to pay a $28,000 utility bill. Conflicts between law enforcement and the occupying Indians continued, and a large number of the homes burned to the ground. The historic Seaman Ranch Community House and the large USBR headquarters building also burned to the ground in this era. Today, one metal storage building and the flagpole are the only remaining structures other than overgrown streets and sidewalks. The site is fenced off from Shasta Dam Blvd.