Rick,
That was a very nice description of your workflow and rationale. I went through a similar exercise a few years ago in an attempt to archive my footage. I began filming with the arrival of our daughter in 1986 and have continued ever since. Fortunately (I think), I started with 8 and later, Hi8 footage rather than VHS which made the conversion to DV a lot easier. Surprisingly, the original tapes show little signs of deterioration, except for a few Hi8s.
Although tedious, learning to use Avisynth and Virtudaldub in concert with Vegas has really opened up lots of possibilities. In my view, the noise reduction scripts written by John Meyer are far superior to Neat Video which, in comparison, destroys a lot of scene detail. Plus, as you point out, they don’t cost anything, other than your time to learn to use them.
One thing you might consider for the future, now that you use Proshow, is the integration of stills with your old video. Rather than losing the resolution of my still pictures, I have taken the route of up-rezzing the video. A good compromise for project settings seems to be 720 60P–still pictures are reasonably sharp and the video maintains its temporal resolution. The key to making it work well is the choice of de-interlacers. Using Avisynth, QTGMC really gives good results, especially when you use its Source Match or Lossless options. Then a Spline36Resize to 960 by 720 and render using a lossless codec. Once in Vegas, there are lots of options to get rid of the black bars if you choose to do so.
Again, thanks for taking the time to provide your workflow. Hopefully, it will be of use to other forum members.
wwaag