I spoke with a different tech guy at Happ and got a bit more info. He essentially confirmed what I suspected...
When receiving a VGA input, their dual-res LCD monitors behave exactly like any other computer LCD panel--the image is scaled to match the LCD's native resolution. He also thought that the LCD resolution was at least 1280x1024, if not higher.
In the case of a 15kHz lo-res input, the circuitry has additional programming and componentry in order to interpolate this type of signal. (This is where Happ's contribution comes into play.) The results are still the same though, and that signal would have to be scaled as well. So, in other words, a 15kHz signal is going to look like crap (my comment).
Basically, he recommended sticking with a CRT as long as possible. Case closed!
Thanks for all of your input, Joshua.