Heres the way i do it. Sofar it NEVER has failed me.
First go into AH TE and set a terrain, Lets say we call it "Firstmap" close the Editor and restart, the editor will now open to "firstmap" which will have default tiles and absolutely no elevation. Exit out of the editor ( wether you save the map or not will not effect the map)
NOW go into AKwabbits mapmaker utility and using your .BMP file ( the one you want the map of) create a new map to the elevation you want and call it "firstmap" and save to Desktop (you can save this to any folder you wish, I'm using Desktop)
Now copy the files AKwabbits utility made and paste them in your folder that AH TE made, ( should be C:/programfiles/HTC/editor/terrains/firstmap... if my memory is right)
This will override the Old firstmap.elv and Firstmap.typ files.
You are now done... Open AH TE and your map is perfect!!
Now you can copy in your coloerd .BMP file to the same folder and this becomes your clipboard map.
It may seam long and a weird way of getting there, but this whole process takes seconds and It has Always produced what i am looking for. The nice thing about this is if your not pleased with the elevation just open akwabbits utility and redo the elevation and replace the file again, till you acheive the look you want.
NUTTZ