I was able to fix my problem with getting ASP.NET to send emails.
I looked into my "badmail" folder located in
"C:\Inetpub\mailroot\Badmail" and found this error
Unable to deliver this message because the follow error was encountered: "Error is processing file in pickup directory.".
The specific error code was 0xC00402CE.
I found help at Microsoft's website at
http://support.microsoft.com/default...b;en-us;319285
Which talked about the .FROM property was bad and you might need to make sure that the From email address is a valid email address.
The other problem is that I wasn't Granted to Relay messages.
Which you need to start IIS >> Right Click your SMTP Virtual Server >> Select Properties >> Select the Access Tab >> Click the Relay... button >> Uncheck "Allow all computers which successfully..." checkbox >> Then Add 127.0.0.1 "local IP address" to the list above the checkbox.
I hope that any of this can help future situations.