After some
feedback and some thought I did a slew of factory resets. The thing I kept missing was what order to do what in.
Every time before a reset I would go into privacy--> and uncheck backup my data as well as uncheck factory restore. The problem is, even after a factory reset by default automatic restore is check and all apps downloaded will still start pushing down.
Most of us just automatically log into our gmail accounts. The only way to get a truly clean reset is to NOT log into your google account after a factory reset. Just skip it. When the next screen shows up with choices of accounts to choose from asking you if you're done adding accounts... still, skip it - tap done adding accounts. Once you're fully booted, go to privacy--> you actually have to ENABLE or check off "back up my data" so you can uncheck "automatic restore". Once "automatic restore" is unchecked, then uncheck "back up my data again". Now you can log into your google account and you are finally fresh.
*(you may see a screen again with a check box asking if you would like google to back up your data - uncheck this)
As per usual, please backup any important info such as your pictures and format your SD card right before you do your factory reset.
[Edit]
A word about ADW and LauncherPro - They do install the old 2.1 google search widget. When the old widget is used, it can get stuck on a screen. Make sure you use the new 2.2 google search widget (the one with the blue g button on the left of the widget) that was added with this update.