Yeah ady it's greyed out. I can customize every other filetype and setting EXCEPT MPEG-II (no matter which Template I use)
EDIT: I'm using Sony Vegas Movie Studio Platinum Pro 9
EDIT 2: Ady this version of Sony Vegas is made to be more user friendly and I was told to just use the DVD-NTSC for DVD Architect as the template and it automatically uses drop-down although it doesn't point it out. I think it's because of the whole "home editing" thing they have going on that they feel the average editor wouldn't understand what drop down is anyways.
I'm gonna go ahead and go with the DVD Architect template (as suggested). When working on ESB I'll go through my program's Software Library to try and find just Sony Vegas Pro 9 (which is what I originally thought I was using). Perhaps by then I'll even be more comfortable with FCP.
Sorry if that was a waste of time, I didn't realize this version wouldn't let me customize the MPEG-II settings. Thanks for all your help ady!!! I'm gonna render the MPEG-II now.