I had to re-install WD Smartware, and even then I could not successfully remove security through the Settings tab and Security option. I could, however, do a complete drive erase. This wiped out all the data, but it also succeeded in removing security.
After setting the drive up again, I was able to get Time Machine to work properly after the iMac went to sleep and reawakened. I have still found that WD Smartware wasn’t working properly, but I have been able to set up the drive so that I do not need WD Smartware to manage it.
