I think you can narrow it down to IU vs. UCLA. UCLA is going to be best for LA (at worst, tied with USC) and has in-state tuition, but graduating with minimal student loan debt will also provide you a lot of options if you want to do PI or even just take your time during your job search.

If you can make it out to Bloomington, definitely go visit and really try to get a feel for the school. Hopefully it'll be clear after visiting both. It might also help to talk to attorneys in LA and see what they think.  You might try to leverage your IU scholarship to get more money from UCLA and/or USC, too.

Congrats on the great options!

First, you can't assume the ease of being at the top of the curve is related to the ease of getting in.  There are so many variables, and often, since fewer get the top jobs from lower ranked schools, the students are even more competitive.  One school that's notorious for vicious competition is Cardozo in New York.  Maybe it will be easier to get in the top 10% at UB, but maybe it'll be easier to get in the top 10% at George Mason.  Think of it this way: you have a 10% chance of scoring in the top 10% at either.

Anyway, after the T14, law schools are largely regional.  If you want to practice in upstate NY, hands down Buffalo.  It's cheaper, it's well regarded in the region, and it's where you want to practice.

If you want to practice in DC, GMU would probably be better than Buffalo, but then you really have to take the cost factor into consideration.  Especially because in DC you also have UVA, Georgetown, GWU, and American for job competition.  That'll be roughly $150k in student loan debt for a slight edge in an over saturated market.  If your heart is set on DC, though, try to get more money out of GM by telling them about your offer from UB.  It may not work, but it's worth a shot.  If it doesn't work, look into how well Buffalo alumni have done in DC.  See if there are any attorneys you can network with.

Good luck and congrats!

Yes, I'm very interested in BigLaw.  If the current economic situation continues, I will not give up my job just for an internship in any BigLaw without any guarantee of full-time employment.  I don't want to lose my seniority or vested interest on my 401k plans.  I also know a college mate who gave up his job in a big construction firm for a summer internship in a law firm back in 2008.  He graduated from Seton Hall and the law firm didn't hire him in the end.  So, he really got screwed and had to go back to work as an engineer again for another company.  In general, these days it is best to hang on to what you have. 

The greatest dilemma for me is that I do not hate my current career.  I think I'm getting good pay and regular work hours.  Overtime work also gets premium pay.

I really don't want to risk my current engineering career for an unknown nascent legal career.  I'm working for a major publicly traded company also.  Maybe, I can find a legal position in the corporate hierarchy while going to law school P/T.

Thank you for your thoughts.

If you want BigLaw, the easiest way to get it (by far) is through a summer internship.  Some BigLaw firms do interview 3Ls to join their fall associate classes, but it's a very small percentage of firms for a very small number of slots.  While getting "no-offered" at the end of a summer internship is always a risk, it's a much smaller risk at certain firms.  The V25 firm I worked at did cut the number of slots in their summer class when the economy went south, but they still had a 100% offer rate at the end.  They pride themselves on their 100% offer rate because it means they can attract top candidates.
Here's a list compiled by Above the Law:
http://abovethelaw.com/2010/04/summer-offer-rates-vault-top-25-are-hot/
(Actually, the firm I worked for has a sub-100% offer rate on that list because it lists all offices, but the NY office had a 100% offer rate).

If you can get a legal position in-house at your current company, that's great.  For many corporate attorneys, that's living the dream because the money is decent and the hours are much better than firm hours.  But, while it's somewhat common to go in-house from a firm as an associate, it's less common/more difficult to go to a firm from a company unless you're pretty senior.

As for schools to add for potential aid negotiation, I'd add BC and BU.  They're also not far from NYC.  You probably don't need to waste an application on Brooklyn.  Fordham doesn't view it as a peer school, so it won't help you with aid negotiations, and your numbers and w/e can get you money at much better schools (assuming you haven't murdered anyone and don't come off as a raging a-hole in your applications...and even then...  ).
I think the Cardozo app is good for aid negotiations with Fordham, but I would caution against going there even if your negotiations prove unsuccessful (Fordham can be a little stingy...).  Before the downturn in the economy, Cardozo used to feed into NY BigLaw, but now many firms have stopped hiring from there because they've cut their class sizes.  It is now notorious for a gunner atmosphere because the majority of the class is competing for only a handful of jobs.  While you'll have a huge leg-up on them because of your resume (particularly if you're interested in IP), that type of learning environment does not sound at all appealing.

I saw a 15 point jump in my LSAT, and so far my decisions have lined up with my higher score.  Of course, in my case there's a 4 year gap instead of a 6 month gap, but write a concise addendum explaining the jump and apply as if you have just the 165.  The only schools I know of that average are T14; most just take the highest.
You should have a good shot at most schools in the 20-30 range assuming the usual softs.

I imagine the data is true overall.  However, I'd guess that earlier applicants are, on average, applying to more competitive schools.  Many of the top 50 don't even accept applications after early to mid-March, so those 20% are likely applying to a greater proportion of lower ranked schools than the 40% who apply by early January.
I'd be interested in seeing the data broken out that way.

Regardless, it's most beneficial to apply as early as you can compile a strong application.