John, Matt tried my base on his layout and said it worked, and I believe him. I consider that loop test done and the unit passed. That being the case, the problem must be with my layout wiring, or the environment in the train room. The only other possibility that makes any sense would be a weak output level from the base.
One thing that I may not have mentioned in this conversation, though I have said it before elsewhere, to me Legacy is just the frosting on the cake. The cake is still TMCC. I only bought Legacy to access the extra features on my Milwaukee Road S-3. For the purposes of normal operations, TMCC does everything I need, speed, direction, couplers, and turning the volume down or off.
This does not mean that I don't want to get to the bottom of this. It just means that it isn't a high priority, as was demonstrated by my setting it aside for almost four years after my first attempt to set it up when I bought it.