Hello! You are OK. The sticker is absolutely scary! But, since the vehicle is now considered "used", it can be registered in California without a problem after it passes a Smog Check inspection here (CA).
There is a difference with 49-state emissions legal systems and 50-state (California) emissions however a USED 49-state emissions equipped vehicle (such as in this case) can pass the California smog test and receive registration. The smog inspection for 2000 and newer vehicles consist of a visual and functional inspection of the vehicle's engine emissions system only. The tailpipe test for these late model vehicles has been discontinued.
California does not require used vehicles which are brought in from out of state receive an emissions systems upgrade. As long as the vehicle is equipped with it's original federal emission components and its emission system has not been tampered with, it can pass the California smog inspection.
Note the same does not apply to new out of state vehicles. A brand new out of state vehicle must have an emissions system which conforms to California emission regulations. Your vehicle's underhood emission label will indicate whether the vehicle is California emissions certified (50-State) or Federal emissions certified (49-State).