Unable to get date to display correctly with timezone settings set to 'site'

Hi,

I've been trying to get the date to display correctly for my date without any success so far. So gist of what I do:

1) Click on 'Add Calendar Event' (calendar event is my content type)
2) Fill in the fields
3) For 'From Date' field, I place a day (use August 15 for test) and for time 8:30pm
4) For 'To Date field, I place a day (use August 16 for test) and for time: 10:30pm
5) Click submit

On the content view, I see for date: August 16 3:30am - August 17 5:30am. From what I understand, that is the UTC time being displayed on the page (I live in Los Angeles and PDT is 7 hours behind GMT/UTC). I am unsure on why that happens because I chose the calendar to use the site's time zone for the conversion and the site's time zone is set to that for Los Angeles. Below are my field settings:

$content[fields]  = array (
  0 => 
  array (
    'widget_type' => 'date_popup',
    'label' => 'Start/End Time',
    'weight' => '1',
    'default_value' => 'now',
    'default_value_code' => '',
    'default_value2' => 'same',
    'default_value_code2' => '',
    'input_format' => 'd/m/Y h:i:sA',
    'input_format_custom' => '',
    'year_range' => '-3:+3',
    'increment' => '15',
    'advanced' => 
    array (
      'label_position' => 'above',
      'text_parts' => 
      array (
        'year' => 0,
        'month' => 0,
        'day' => 0,
        'hour' => 0,
        'minute' => 0,
        'second' => 0,
      ),
    ),
    'description' => '',
    'group' => false,
    'required' => 1,
    'multiple' => '0',
    'repeat' => 0,
    'todate' => 'required',
    'granularity' => 
    array (
      'year' => 'year',
      'month' => 'month',
      'day' => 'day',
      'hour' => 'hour',
      'minute' => 'minute',
    ),
    'output_format_date' => 'M j Y - g:ia',
    'output_format_custom' => '',
    'output_format_date_long' => 'l, F j, Y - H:i',
    'output_format_custom_long' => '',
    'output_format_date_medium' => 'D, m/d/Y - H:i',
    'output_format_custom_medium' => '',
    'output_format_date_short' => 'M j Y - g:ia',
    'output_format_custom_short' => '',
    'tz_handling' => 'site',
    'timezone_db' => 'UTC',
    'repeat_collapsed' => '0',
    'field_name' => 'field_calendar_event',
    'field_type' => 'date',
    'module' => 'date',
    'label_position' => 'above',
    'text_parts' => 
    array (
    ),
  ),
);

Are there any settings that I may have overlooked in getting the display correct? Any help on this would be greatly appreciated. Please let me know what other info may be needed (I would prefer to create my site without performing any timezone conversion as I also use views and want to try and avoid the offset by seconds if possible).