WAIT A MINUTE! I see something about the boiler board in your screen shot. You do realize that you DO NOT use the chain files from the locomotive you grab off the MTH site, right? You MUST use the PS32 board specific chain files with the PS32 board. There is no separate boiler and tender board, so trying to load those chain files really confuses the PS32 board!
Use this chain file, I think you'll have better luck! I'm assuming this is for the Premier T1 Duplex you mentioned, right?
There are a host of chain files specifically for the PS32 board for various scenarios, if you're going to be doing upgrades, you might want to round up the full set.