I was having the same problem and spent some time on the phone with apple today.(new computer is under apple care). Tried a ton of stuff with different folks and ultimately I (well, me and 3 apple specialists) was able to solve this issue.
Here's the break down:
1. Quit Mail, Calendar and Messages.
2. Open: System Preference -> Mail, Contacts & Calendars
3. Delete all your google accounts (using the little minus button below your account list)
4. Restart your computer.
5. Re-add your google accounts. (Obviously, keep the calendar box checked).
6. Open calendar and wait for your google info to populate.
7. Attempt to add an event with correct time zone.
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IMPORTANT NOTE:
Events I created while I was having the problem still had the problem.
I simply deleted those broken events and recreated them with refreshed settings.
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I've only had this working for a few hours so I'm not certain it will stay working forever.
But for now it is a relief.
I realize deleting and re-adding the accounts is annoying but it's a lot less frustrating than seeing UTC every time you add an event.
Hope that helps everyone else having this problem.