Well good new and bad news. Actually its the same news, just depends on your perspective. I'll start with that "bad".
I spent tonight doing some testing inside some freshly installed Windows XP virtual machines to test dependencies. I come to find the following: The editor in its current state requires a XNA 4.0 Game Studio. By that I don't mean the small redistributable package either, I mean the 50 MB developer framework. What's better, in order to even install that, the host machine needs Visual Studio installed, so double the fun. On a side note, a dependency of those two requires a full .NET installation, not client profile, but when you are installing almost a GB of bullshit to run a 5 MB application, what's 10 more MB, right? Obviously, this does not even come close to being in the realm of "acceptable", not in anyone's wildest imaginations. I would tell someone to shove ARC up their ass if they told me I had to install all that to run it. So I now I come to the "good" news.
I know how to fix it. Its not really even that difficult, I just need to change much of the current structure of the project. As it sits now, everything is pretty much in one project, all built into one project. All that really needs done is to move some of these namespaces into separate projects and assemblies so that they can be built using a different profile. I know of a few places where I will need to change the actual code around to avoid circular dependency within the solution, but all in all, this is something that needs done anyway. After it is done, the solution will be much more tidy and better organized, as well as much easier to maintain. Instead of having a single EXE, there is going to be a few more DLLs, etc, and a smaller main app, but in the end, I see this as a good thing. It may take me a whole night to get everything to where it needs to be, but in the end result is going to be better.