I haven't actually tried doing this recently. Are you saying that you did indeed scan in your locals and these are now showing up in the guide with yellow, and you can select and watch them, but you can't record them when two sat channels are recording? That is bizarre. I think I've found myself recording something on TV1 and successfully switched to an OTA channel recently. Not sure.
Yes, I am. It will not allow me to select the yellow, OTA selection in the guide.