Thanks Germanunkol. I will take a look at that and see if I can use time_frame and time_step. I only put the one night into coding the structure so it is very preliminary. Earlier when I coded player movement I made sure all clients go the same speed by using the time_step, time_smooth and time_frame in a calculation that had fps for the clients...so even the slowest fps clients move the same speed as the fastest.

I was working with the animations to have them auto animation rather than having the clients send the actions. When a client walks it sends a 1, running sends a 2, jumping 3, etc. When I was coding the animation to be only on the local machines I ran into an issue with jumping, crawling, squat walking, attacking because the local machines have no idea what the client is doing (ex: walking forward while squating or jumping forward). No matter what I need to send the data to all clients to update animations for situations like this. The only issue I have now is the sliding effect because all clients see other clients as approx 30 frames or approx 1 second behind.

I will work on this though trying to perfect it the best I can and find the best way of doing this.

Your right, I do have a hovering problem. I will need to fix that soon. If your a client running 4-10 fps you seem to float to the ground and if your running 25fps+ it looks natural. One of the issues I had with updating clients was the local clients were getting stuck in the terrain when moving, so I had to make the terrain passable for them. This isn't a big deal because the client controlling his own character determines collision...but this is good and bad in many ways.

I will post updates on this system as it advances. Thanks for the comments, it helps because sometimes I either don't think of it or try to hide it and hope that no one catches it.