Thanks to all who have chimed in!
Issue #1 covered (config file not being read on load)
Issue #2 covered (DHCP request not being accepted by client) -- TC 4.7.7 (latest 4.x release) contains dnsmasq v2.55; current version is 2.7x. A bug existed once upon a time where some NICs had a problem with one-way broadcasting (where DHCPOFFER would not be received) and a patch was thrown in v2.53 adding the command option of
dhcp-broadcast which seems to have corrected the problem based on the version of the TCZ. I'll build a new TCZ once time permits and the three services have been otherwise mastered. The main differences between v2.55 and the majority of blogs describing the "ease of setting up dnsmasq as DHCPd" yet on TC are:
dhcp-broadcast (solves failed DHCPOFFER from server to client)
dhcp-generate-names (solves Option-12 problem where client refuses offer if hostname is not returned)
Permissions: the lease file defaults into a non-existent directory by default and needs to be root.staff/writable if defined.
Note: I know TC4 is "old news" and for the life of me I can't recall why we chose 4.x as opposed to 5.x (I do remember it was severe, I just don't have my project notes handy at the moment) so this information may also be old news. I do truly appreciate those who have chimed in!
Servers: This profile (TC+dnsmasq+etc) is being run through many different machines from VIA C3, Atom 330, down to Cisco Content Servers, each one having their own unique quirks when running TC in the fashion it's being done. (Boot drive is a small IDE-like flash drive for the core OS and one of many different types of tce= and home/opt= storage units) so this has been an adventure none the less! Thank you all for keeping the "flaming" to a minimum