Hi Ed, it seems this is a general WSUS and Windows Server related issue. As this forum focuses on Windows Vista specific issues, this inquiry would best be posted to the following server forum:
http://social.technet.microsoft.com/Forums/en-US/winservergen/threads/
The reason why we recommend posting appropriately is you will get the most qualified pool of respondents, and other partners who read the newsgroups regularly can either share their knowledge or learn from your interaction with us. Thank you for your understanding.
Sean Zhu - MSFT