Thanks for the reply ElaKat. It is nice to have at least one person give it a shot.
TOC as an overlay works fine but the screen is still too big. Both Scalable Html Content AND making the TOC an overlay tend to blur (by blue I mean some pixels are lost so the text is sometimes barely readable). Your answer was helpful as it gave me part of the solution and led me to experiment some more in order to get a very nice work-around.
I experimented with the Fullscreen Output so that when I run the ..._fs.htm things do fit and look a bit better. This isn't a proper solution to the issue but it is a better workaround than I was about to settle on. I had not previously played much with the overlay TOC option and it does work better than I thought so thanks for turning me back around on the overlay option. This will do fine but I'd still like some answers one day regarding what seems to be a forced use of externalized mp4 when previous internal video worked just fine I think.
Bottom line: Scaleable does not work well IMHO but Full Screen Output combined with Overlayed TOC both looks good and includes nearly all of the original recording.