I'm glad I'm not the only one confused. In short, what Vegas settings would give me the maximum quality without unnecissary render time?

You need to export to MPEG2 using 720x480/60i or 720x480/24P.

The fact that your source is 1440x108/60i MPEG encoded material means you need to re-encode to 720x480/60i MPEG2 for burning a standard DVD. No other way, unless you use the in camera downrezzing to SD.

Thanks. I've have noticed some choppiness in one of my DVDs. I bet this is the problem.

Dana,

I don't use Vegas, so maybe I'm wrong, but in Premiere you have to take into consideration that all HDV material is UFF, while for standard DVD it is LFF. Just experiment on a DVD-RW which is best, although in my experience LFF for a DVD works fine, no field flicker.