dgwyn,
I'll take a stab at your questions...
"Object below the horizon": Need more information, such as what software were you using when you got the message? Assuming it was AutoStar, did you set your location, timezone, then save the parameters? If you are using some other software (Cartes du Ciel, Starry Night, TheSky, etc.) you need to do it there also. The most common reason for 'object below the horizon" is because the software's time or the scope's time does not match reality.
Again, this is just a guess. More detailed information is required to narrow the issue (software used, location settings, slew limit settings, etc.). And a smarter group of people to help you, than me.

If you can't find an answer here, the next best resource (maybe even better) is the LX200 GPS Yahoo group. The world's best experts hang out there (Dr. Clay, John Mahony, Dick Seymour, Andrew Johansen, etc.). If the problem can be diagnosed & fixed without sending the scope back (likely in your case), these guys will know.