"We did this to let people know that we come out to their location, and also to try to expand our reach. For example, if you were searching for an SEO company in Chesterfield, that is an area that is about 30 mins from us. I'm not sure our local office listing would "carry" that far out, and thus the service area was created as a test."
Service area and service radius have absolutely no impact on ranking. It's been tested, proven. Typically you'll only rank in the city your are in. Unless competition is low and you are very strong, then sometimes you'll rank in other cities, but service area settings don't play a part.
"I'm not sure that the bot would take that long to recrawl the listing, and I would have thought that it would have happened by now if that was the case."
Sorry, not talking regular bots, like the ones that crawl sites. Maybe bot is the wrong word. But with Local listings you can have a violation for years without an issue. Then you make a minor edit and it seems to trigger a recheck of the listing to see if it stands up to current guidelines, then it gets wacked.
You had another question I got via email but it's not showing up here so copying:
"I had a question about this, as even though we had quite a few mentions of the city and service they were spread out throughout the description and not bulked together in the traditional definition of keyword-stuffing. If what you were saying about the description having no part to play is true, how would that have had an impact on the LBL drop?
Help me understand, my mind is a sponge right now ;)"
Description is not a RANKING factor. But the algo looks at it as a signal of spamminess. Spammers have lots of patterns that the algo can pick up on, this is one of them. So a non-spammy description can trip a filter if it follows the same pattern of overly repetitious keywords.
In that short description, count every single time any word is repeated more than once. I did a quick scan and counted 25.
Mike Blumenthal has also said mentioning city even twice in description can cause a 10 point ranking penalty. I have examples I could show at my forum, where the description was not spammy or KW stuffed, but the city and KWs were repeated multiple times. They clean up description per my recommendation and pop right back up.
But again all that was pre-pigeon. After, it seemed like lots of really spammy ones were getting away with it. So may no longer be an issue.
But like I said above, if it does not help and if customers will never see it and if it could maybe hurt AND if your ranking was suffering, why not clean it up? Nothing to lose.