Thanks for the reply. I noticed you removed the item template from my example. When I added it back in, it stopped working again. Here's an example: http://jsfiddle.net/jtower/uSLND/36/
1. Type 'az'. 'AZ - Arizona' is correctly displayed.
2. Switch the dropdown selection to 'Code'.
3. Type 'ar'. 'AZ - Arizona' is correctly displayed.
4. Type 'az'. Nothing is displayed, as expected.
*** 5. Type 'mi'. Nothing is displayed, even though 'MI - Michigan' should be.
6. Clear the textbox, switch back to 'Name' and type 'mi'. 'MI - Michigan' is now displayed correctly.
Here's a video of it happening: http://screencast.com/t/J0iNHEVH