*scutil --dns* gives the following, in full:
DNS configuration
resolver #1

search domain[0] : internal

nameserver[0] : 192.168.0.10

nameserver[1] : 192.168.0.254

order : 200000
resolver #2
domain : username.members.mac.com.
options : pdns
timeout : 5
order : 150000
resolver #3
domain : local
options : mdns
timeout : 2
order : 300000
resolver #4
domain : 254.169.in-addr.arpa
options : mdns
timeout : 2
order : 300200
resolver #5
domain : 8.e.f.ip6.arpa
options : mdns
timeout : 2
order : 300400
resolver #6
domain : 9.e.f.ip6.arpa
options : mdns
timeout : 2
order : 300600
resolver #7
domain : a.e.f.ip6.arpa
options : mdns
timeout : 2
order : 300800
resolver #8
domain : b.e.f.ip6.arpa
options : mdns
timeout : 2
order : 301000
For my tcpdump I just did a *tcpdump -i en0 -vvv -n -s 0 -w DumpFile.dmp* and then scanned the dump file by hand with a *tcpdump -r DumpFile.dmp*. No filtering on port, name or anything, and still no mention of the first DNS server.
Your assumption is correct: 192.168.0.254 is indeed "smoothwall.domain", although it is not known by that FQDN by
anyone. It knows itself purely by the hostname "smoothwall" or "smoothwall.internal", and the internal DNS server has a host record for it at smoothwall.internal. I have no idea where smoothwall.domain was generated.
Finally, my nameservers are
not DHCP-specified; on this client they are manually assigned along with all the other IP information. However, DHCP on this network specifies exactly the same DNS settings, and Snow Leopard laptops that use DHCP do experience the same issue. I would therefore discount static or DHCP assignment of DNS servers as a factor (in my case, at least).