Here's what I came up with so far:

I moved the BO in question and it's DE to a separate classlib that's stored in a common directory. I redefined the DE's parent class to a more abstract class based off of cdataenvironment. Changed the properties that point to the old database and everythings SEEMS o.k. since the bizobj works at the command prompt and on a form. I haven't tested the other app yet but I don't see why it shouldn't work.

Hopefully I'm on the right track.

Thanks Armin for your advice.

Chuck