Your camcorder is an AVCHD camcorder. You should be using the AVCHD project specs, not the HDV.
The Full HD 1080i 30 Project is an AVCHD project. It is one of the four project options listed under the AVCHD project presets folder.
If you are capturing your video and using Premiere Elements with an AVCHD preset, I don't know why you're having interlacing issues.
It sounds like you're using the correct workflow.
So.... more than two years later...this thread is still here... and there was no solution? I have the same constant problem ... and the only response is: "It sounds like you're using the correct workflow."
Apparantly, this is a major problem with Elements - that has not been fixed?
I have never experienced this issue in nearly 10 years of using the program, Eric. So I don't know what's going on at your end.
But if you can post a sampling of your video (about 30 seconds worth of raw footage, directly from your camcorder), I will be glad to see if I get the same results.
You'll have to post the video to a download site though. Not YouTube or Vimeo, which transcodes the video into another format. I need to get my hands on the native AVCHD 1920x1080 60i video.