Terrain Model Boundary Problem

This is for PowerGEOPAK SS10

I don't think this is a unique problem but I can't seem to find any answer on it. The terrain model I was working on had a boundary created from Extract Graphic and I manipulate the boundary and it just expands to it as expected. A day passed and when I get back to working on the terrain model, it seems to have disconnected from the boundary line that I was able to work with. Thinking it might not be that big of a deal - I could just recreate the boundary and continue my work but the tool doesn't let me. It is saying "Terrain Model doesn't have a source boundary". 

So if the Terrain Model doesn't have a boundary, I should be able to extract graphic and have a boundary to work with. However, using the 'Create Terrain Model Boundary' tool -  I get the error saying "Terrain already has a source boundary". So which is it? If I were to reimport my terrain model my work would be lost so that's not an option. 

Has anyone had this issue before? Am I out of luck or am I missing something here? The boundary line has already been deleted.