Free Shipping not working

[HaydenRummel]

I am trying to set up a customer group that will receive free products and free shipping because they will be invoiced later for all of their purchases.

Setting up all of the products to be free was easy by simply assigning the customer group to a Price Level that had $0.0 assigned to all of the products at that level.

The issue I am running into is with Free Shipping. I set up a promotion called 'Free Shipping' for the new customer group and assigned it to receive free shipping. When testing it I can see the promotional code show up automatically when checking out. On the shipping page it even offers the option to go with 'Free Shipping' or 'Ground Shipping'. The problem is that Free Shipping is not actually free. It is the normal shipping amount for that particular item.

I don't use the real time shipping info but instead use flat shipping amounts for each product. I don't know if that is what is causing the problem (I had an issue like that with an old shopping cart provider). Does anyone have any thoughts on what might be causing the free shipping discount to not apply correctly?

Thanks!