To answer my own question... Sketch-up help took a look at it. It turns out my machine is weaksauce. They complted in 4 hours what I gave up on in 10. Looks like it's time for a new machine!

I'm having a similar problem with the drape tool. I've got the 2-d linework and the topo created in sketchup. I've attempted to group them seperately, together and as each exploded. (which is the best way?) I've let the drape tool run over night and have watched it get into the 50 percent range but it never completes the drape. I have taken everything out of the model except the terrain and the 2-d lines. I haven't come across this using drape before. I've attached a couple images.
Thanks!