Update: I managed to print color from the Tool Box. This leads me to believe it is a Windows 7 Ultimate issue. Any suggestions?

It prints black and white from all programs except when printing from the Dell Tool Box diagnostics - Print '4 Colors Configuration Chart'. I don't think the Dell-Toolbox uses the Windows Printer Drivers at all, I think it communicates directly with the printer, which is on the network. for other Windows printing, I think I have tracked down the problem to the driver: 1. The "Output Color" option is not available in the Printer Preferences screen under 'Graphics', where it is suppose to be. 2. By default 3 'Print Favorites' are installed when the driver is installed. All three 'Print Favorites' Output Color is set to 'GrayScale' Of cause, it can't be changed because 'Output Color' option (1 above) is missing.

I removed the printer driver and then re-installed it from the DVD. It worked after I followed the printer driver uninstall instructions at : http://answers.microsoft.com/en-us/windows/forum/windows_7-hardware/i-want-to-removedelete-printerdriver-from-windows/6700d817-cfb7-4d94-904e-25bc8f435c7f. Thanks for helping, you were right, re-installing the driver did solve the problem.

The other possible solution is that MONO is turned on at the printer.

Go to the printer and select Menu button / Admin / System

Locate and select 'Auto Color to ...' option.  The actual options reads 'Auto Color to Mono'

OFF = Color

ON = B&W

Once selected restart the printer and see if that fixes the issue.