Ok. Here's the deal. First, thanks so much CEDARCREEKTV. If you didn't post with almost the same specs saying it worked fine for you, then I probably wouldn't have had the patience to fix the issue. I actually use the machine remotely using RDP so I'm rarely in front of it. Today, I decided to take a trip down to the church and try some things out. Here are some of the things I did.
1. Purchased and installed a Cooler Master Plus cooler for the CPU. This wasn't completely necessary but I didn't want temps to be an issue. Temps never pass 48 degrees celcius at full load.
2. Downloaded the latest chipset drivers from Intel. My motherboard is a Gigabyte Z77x-UD3H by the way. So we have the same chipset.
3. Downloaded CPUID and HWMonitor in order to monitor some things. I noticed that my cpu core voltage seemed to hang around .800 instead of 1.1. Also, my core clock was 3.7ghz instead of 3.5ghz. So I decided to go into the BIOS and make some changes. I changed my core voltage setting from "Normal" to "Auto". I have no idea what Gigabyte was going for with that. I guess it adjusts automatically. If I could do it all over again, I wouldn't have purchased a Gigabyte board. I'm also having some grounding issues with this board. The multiplier is set to 35 so I have no idea why it's reading 3.7ghz. My theory is that the 3.7 mixed with a voltage of .800 was a recipe for disaster and made my cpu unstable even though it never maxed out.
Long story short, it's working fine now.
I'm so happy. I was able to stream HD/High/Medium without a problem and the cpu usage never goes pass 30%. I was also able to use the ATEM switcher software to capture video while streaming and it still worked fine. It also works when using RDP as well. I think the culprit was the core voltage.
THANKS AGAIN! CHEERS!