This hardware config give the same results as the original issue...ie the LED does not blink and the code appears to run off into la la land. Not sure how it is being detected as a usb device with the DT_INTS-18 code.

Code:
    '   Hardware configuration
    '   ======================    
        '
        '   I/O and PORTs
        '   -------------  
    PORTB   =   0
    PORTC   =   0
    PORTD   =   0
    PORTE   =   0
    TRISB   =   %11111110       '<7:1> Inputs
    TRISC   =   0
    TRISA   =   0
    TRISD   =   0
    TRISE   =   0
        '
        '   A/D converter
        '   -------------       
    ADCON0  =   %00000000       ' A/D converter off     
    ADCON1  =   %00001111       ' All Digital Inputs
    ADCON2  =   %00000000
I have two port b pins connected together as part of the ICSP and 2 others connected for inputs off a single PB. Setting the TRISB to FE is what got me back to the original problem.