Thank you for the refresher on transformations and projections. I consider myself generally well informed, but I have been known to miss the obvious in the past.
I did use transformations when I I projected the NAD 83 UTM, but on your suggestion I double checked what was used so I could report back accurately. I selected the NAD 83 to NAD 83 HARN_WA_OR, or something on those lines, but when I check the results the NAD_1927 To_NAD_1983_NADCON transformation was used instead. I tried it again, and the same result. I really have no idea what is going on there or why.. or how... On your suggestion, I projected the 27 data from the NAD 27 UTM set to SPS with your recommended transformation. The points are still not where they need to be. The 27 data did move with the projection. but not to the correct spot.
If you have any other thoughts, I am all ears.