The fact that the Safe boot shows there are no problems indicates that the issue lies in your user account, not with your hardware.
The first thing I'd do is remove EVERYTHING from here:
> System Preferences > Accounts > Login Items
Select all in the list, and hit the minus '-' button at the bottom of the window.
Restart the mac normally and see if the problem is resolved.
I had done that yesterday before the last round of DU repairs. The Mac looks happy this morning, but then I haven't opened anything...
I have to mention though that I had changed the user name and home folder name according to instructions found on these boards. I wasn't crazy about trying that but thought it would be easier than creating a new user and moving everything over. Hmm, I realize now that maybe not...
Thanks you for your help, now I have some idea of where the problem lies. I'll be back if the problem returns.
I have found and removed an old network setting, files in odd places as well as 2 copies of Safari, restarted and did some work in iPhoto since that's where the real freak-out started. It is scanning for Faces, slowly but surely. However, I still see some 1-pixel high multicolored horizontal lines that come and go. When the Faces scan is done, I'll see if it needs another DU repasir.
It seems there is an existing issue between SL and iPhoto '09. I foubnd this thread: https://discussions.apple.com/thread/2558979?start=0&tstart=0
So i guess I'll take this over to that board. Thanks again, Softwater!