Oops. Found another bug related to retargeting. I am using 32-bit floating point. The retargeting lost two flags: -TD2 and -Fd. I'm not totally sure how to generate both of these, but there are two more things I changed:
(1) project > Properties > C/C++ Build > Settings > HCS08 Compiler > Code Generation
I checked Use IEEE32 for double (default is IEEE64)
(2) project > Properties > C/C++ Build > Settings > HCS08 Compiler > Type Sizes
I selected IEEE32 for double.
These two changes seem to have fixed the problem more completely...but more testing may be necessary!
Cheers,
Richly