Jeremy: Are you sure you rolled back to the XP ATI driver? You may have just reverted to an older driver you've installed.
It let me press the roll back button a couple of times before a help window with a trouble shooting guide popped up. It wouldn't let me do it again. But a couple of days ago after I posted this thread, I had completely uninstalled the video drivers and rebooted and let windows pick the drivers, but that didn't solve the problem either. Unfortunatly my computer didn't come with an XP cd, just a Restore CD that wipes the hard drive and reloads windows. I think I will wait for support before resorting to that drastic measure.
Speaking of support they contacted me again with some new instructions on what exactly to do to get it started. I followed their steps precisely and it only resulted in the game not starting at all. No screen going black or dump file, just a windows hour glass appearing for a few seconds and then disappearing. I included in an email to them all the exact steps I took and all the setting changes I made in settings.user.
They also gave me instructions on how to generate a .txt file in DOS cmd that would show them how the game was installed.
1. start->run->cmd
2. cd C:\Program Files\Stardock\TotalGaming\
3. type "dir /s *.* > sins.txt
Strangely C:\Program Files\Stardock\TotalGaming\ doesn't exist on my computer. So I sent them files of C:\Program Files\Stardock Games and C:\Program Files\Stardock. I also sent them a new dxdiag report and a copy of my settings.user file and the info about my Direct3D Test failures.
Hopefully this will be enough to help them figure it out.
My fingers are crossed.