Just so people don't write this problem off as fixed and proceed to ignore it, the above fix did NOT work for me and many others.
Yes this is not a for sure fix as I would like NV to be running the way it is supposed to just like I wanted the original to work as well. the sad fact is this was the only way I could get the original game to work and it just happened to work for NV as well.
As for if it is running in DX10 or 11 I can not answer but the effects sure suggest it.
Come on Bethesda fix this already. This issue has been around from the original game.