Hi,
But the AXIS ZERO BUTTONS on the DROs will not change from red to green
No, they won't, nor will they, nor are they supposed to. The green LED indicates whether that axis is Homed or Referenced.
The only way to cause that is to Home or Referefnce with <Ref All>, say, each axis in turn and therefore zero the MACHINE COORDINATE for each axis, and the LED go green.
<Axis Zero> button zero's the WORK COORDINATES not MACHINE COORDINATES.
Craig