After reading extensive postings about timeline frame rate conflict messages when importing video clips with a 30 FPS rate, I have learned the following. First off there would be no confusion if PowerDirector actually labeled the Timeline Frame Rate choice in General Options as 29.97 and not 30, since 29.97 is the actual Timeline Frame Rate you get when you select "30 FPS (NTSC)", regardless of whether you choose to compensate the Timeline display or not by selecting Yes or No to "Use Drop Frame Time Code". This would eliminate the confusion created when we get the warning message. A new user immediatlely asks "Why is there a conflict if my video is 30 FPS and I selected 30 FPS as the Timeline Frame Rate". The answer is PowerDirector misled you - the Timeline Frame rate is 29.97 not 30 as displayed in the General Options choice.
Using Drop Frame Timecode compensates the display for the mathematical timing discrepency between a 29.97 Timeline and a 30 FPS video, but it does not change the final rendering. When you select an NTSC Produce option, it will render at 29.97 FPS, by definition. If for some reason you want to make the final video exactly the same FPS as your original 30 FPS clips, you have to hit the + sign under Profile Name/Quality and create a custom profile and select 30 FPS. When doing this you can set other video and audio parameters to match as close as possible to the preset NTSC profile you would otherwise have selected. Can use the details button to get the details of the default profiles and then match them in a custon profile, except for using 30 FPS in the custom profile.