Thanks to all of you for the great comments. It looks like I have much to think about. I think I would have a hard time giving up the Q8's since I have heard them for myself. Therefore, I want to leave them in the budget.
Tom,
As for your question, I am using a Pioneer Elite 47TX. I got a great deal on a closeout. It probably is a bit overkill for this room (150 wpc), but I couldn't pass up the deal and I like the automatic setup.
For the picture, I picked up a used Panasonic PTL300u projector (short throw).
I can't wait to have this all up and running.
Jim