Are there any known issues with ISA or TMG?
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WHEW! I think I finally found a workaround. The issue is that even though 'Web Protection' was disabled, the 'Download Scanning' option right below it was still set to 'As on-access scanning', and that kept the LSP loaded which conflicts with ISA/TMG. Changing the Download Scanning to OFF, letting the computer apply the change and then rebooting unloads the LSP and stops the conflict.
WHEW! I think I finally found a workaround. The issue is that even though 'Web Protection' was disabled, the 'Download Scanning' option right below it was still set to 'As on-access scanning', and that kept the LSP loaded which conflicts with ISA/TMG. Changing the Download Scanning to OFF, letting the computer apply the change and then rebooting unloads the LSP and stops the conflict.