Well I think I have this figured out. Overriding AA isn't working because of OBSE.
Someone in my other thread about Java suggested ATI Tray Tools. It never worked before when I tried it either, much like Radeon Pro doesn't now.
With ATT though, I was able to determine that if I launch the game directly from oblivion.exe or using ATT's profile, AA override works properly. No jaggies. Obvious downside is that the game immediately informs me that OBSE is no longer loaded. The annoying line is there though.
Going through obse_loader.exe, ATT will still load its FPS indicator but AA override is clearly not functioning. Jaggies everywhere. Also the annoying line is there, so I know it TRIED to do the AA.
Setting ATT to use morphological filtering gets it partway there, but I then noticed that making it do that generates an effect that looks like ants crawling all over everything on the edges where AA is working. It gave me a headache after about 5 minutes of putting up with it. That doesn't happen if I use CCC to do the morphological override directly. Of course, CCC will only let me do this globally. I don't want it on globally

Bottom line, something about how OBSE loads the game is clobbering the AA support.