SUCCESS!!!!!!!!!!!!!!!!
Thanks Tom!!!!! I did a search on Doug's library and downloaded it. I did not get the compile error. But it still didn't work. As a last resort I switch the zc and data pins around and it worked. I know I had the plug wired correctly between the PL513 and the Arduino. All I can think of is inside the phone cable I am using they switch 2 wires around. Anyway I am very happy now.
Regarding what you said about the X10, I have been using X10 for 25 years and my whole house is using it. I got alot of spare modules around and it works good for me. Many years ago I installed the X10 capactior which coupled both phases of my 220 in my house so I have no problem sending a signal from one socket to any other in ther house.
My next step is my ultimate goal, to control the X10 from the net using the Arduino. That is a piece of cake compared to getting the X10 to be controled by the Arduino. 
Joe