As I was messing around with things the other day, I noticed something really odd. This switch was using the Generic Z-Wave Switch driver (just like all my other switches of the same make and model). However, if I physically actuated the switch, the driver wouldn't register it. If I pushed the "on" or "off" button in the driver, it did. Not at all clear on why. However, I switched drivers to Jeff Page's Universal Z-Wave Switch Driver (link), and now it seems to work.
I'm still not clear what is going on with this switch and why it won't work with the generic driver like all the others, but I do have it working.