phelan, it could help if you post your system's specifications inclduing graphics driver/card...are you trying to use a Glide wrapper...did you install patch(es). IIRC, the D3D patch, while not necessary, provides a convenient config file which can be used outside the sim to select which mode - D3D, Glide, etc.
Moments like this, +G comes to mind, and then I remember...even his great site is gone now. Kevin, we'll never forget you.
However, thanks to the Wayback Machine, here is a link to all the info you might find helpful for running LB2:
http://web.archive.org/web/20061128145710/www.speichts.com/games/lb2/basic_install.htmlFollow the links in the index for various steps and options.