Ok, I thought I was going crazy here. Based on my experience over the course of the year with this app and the Laredo 1000, plus hours of troubleshooting, including numerous calls to both Pit Boss and Smoke IT support, I think I FINALLY know what's happening (even though the Support folks won't really admit to it.)
Simply put, it appears to be an oversight (or laziness) by the app developers. My belief is that updates to the discrete temperature settings displayed in the app have not been properly updated to reflect the increments possible with the newer line of grills, including the KC Combo Platinum or Laredo Platinum. The newer grills can be set to S, 180, 200, 225, 250, 275, 300 and so on, whereas the older models only has settings of S, 250, 300, 350, and so on. It seems that the app developers failed to update the app with the proper temp settings for the newer units, which frankly is a pretty glaring design flaw.
It's not clear to me whether this issue is present in both the Android and iOS app, but I can say with certainty that it is an issue on the Android variety. If you want it resolved, I encourage you to reach out to both the PitBoss Support number, and the Smoke IT support number and explain the issue, and request that the developers fix this oversight. Based on my own experiences with these support teams, you'll likely be given some sort of excuse, or given troubleshooting tips like cleaning your temp probe, updating the app, deleting and reinstalling the app, and the list goes on.
In reality, this seems to be a developer issue and is not something that any amount of troubleshooting will fix. I'd urge you all to keep calling and messaging Pit Boss and Smoke IT til they finally agree to update the app correctly.