AKDogg, I spoke with Sudz at HTC and he told me they are supposed to be 8-bit sounds only, and the lower the sampling rate the better.
What has me perplexed is that I have custom sounds that I've used for the past two years without issue, but with the changes in v2.14 they have started to create problems. From my discussion with HTC it seems that the previous versions would handle higher quality sound files than what it was designed for, but now that is not the case (for my system at least).
Looking at all my custom sound files I noticed that the sampling rates and bit size's are all over the place so I have removed them completely and started using audacity to verify the wav file formats to comply with the requirements I mentioned above. I am just going to go slowly and add a few customs sounds at a time to see if that can help narrow down any issues.