OK... I'm making progress now. I edited the boot.ini file that I posted above so that it reads like this:
[boot loader]
timeout=30
default=multi(0)disk(0)rdisk(1)partition(1)\WINDOW S
[operating systems]
multi(0)disk(0)rdisk(1)partition(1)\WINDOWS="Micro soft Windows XP Professional" /noexecute=optin /fastdetect
multi(0)disk(0)rdisk(0)partition(1)\WINDOWS="Micro soft Windows XP Home Edition" /fastdetect /NoExecute=OptIn
multi(0)disk(0)rdisk(0)partition(1)\WINDOWS="Micro soft Windows XP Professional Disk 0" /noexecute=optin /fastdetect
multi(0)disk(0)rdisk(2)partition(1)\WINDOWS="Micro soft Windows XP Professional Disk 2" /noexecute=optin /fastdetect
Now when I have all the drives functioning and boot the machine I get 4 selections when picking an operating system. When I select the last one (XP Pro Disk 2), the computer finds windows and boots as it should. When windows loads all 3 hard drives (with partitions) are theres. The 3 drive letters and locations that I had before remain the same, and the additional newly added drive is assigned drive letter F.
For me this is a temporary fix as I think I'll have to do a full reinstall to fix the separation of the Boot and System drives, but for now, this does it. I guess the problem was that by introducing the new drive it messed with the sequencing so that the boot.ini file was pointing to the wrong drive to locate Windows. I'll let you know if I make further headway, and thanks to everyone who helped me at least get this far... I was very impressed by the response in this forum.
Eric