I do have kind of a major update, so I am happy that many more have seen the thread and I'm not the only one seeing problems...check xda and there is even one example of a battery starting to smoke. Anyway, I purchased a $4 external battery charger for some reason when I originally got the phone and thought I would give it a whirl to see if it had any effect on the battery....and it did. Here is what the thing looks like:
Since I was frustrated and wasn't thinking it would work, I just kept touching the contacts on the charger to the battery in various combinations until one of the green lights started blinking. I left it plugged in for about an hour and then put the battery back into the Evo...sure enough it booted up! Keep in mind that I couldn't get the battery to charge AT ALL while in the phone, and since the battery was DEAD to the world I could not boot the phone or anything with it. I got my phone on long enough with my wife's battery to change to the HTC kernel, but otherwise my phone was no good with the original battery.
So the phone booted miraculously after I pretty much used a defibrillator on it

but the battery widget said 16%...then 15%...then 14%, all in a span of about 45 seconds. So I immediately plugged it into an AC outlet charger and it started charging back up, albeit slowly (or so it seemed). So here I am a few hours later with my Evo running, but plugged in. If I unplug the cord, I am losing up to 3-5% in charge every minute, but it seems to be OK otherwise. It got so far as to the LED turning green while turned off, but was down to 96% by the time it booted.
I have to be perfectly honest and admit that I am thoroughly confused about what is going on, so hopefully someone has some ideas. I'm happy that it kind of works right now, but I realize that the battery is all but dead at this point.
Why does the Battery Widget still say the health of the battery is "good"?