Dave,
Was it a Taurus with 197k or a Sable with 156k? You start out by saying you're looking to get rid of a Taurus with 197k, then you say you're trading in a Sable with 156k. 197k on any Ford or Mercury product is probably at the end of its rope. 156k, however, is another story.
How much was the fee, by the way? I don't see it anywhere in this thread. To me, these "fees" are just a way for dealers to under-advertise the TRUE price of a vehicle. This racket started in the mid-90's with "doc fees" - which were usually small - say $90. But then someone probably figured they might as well jack the number up really high - say $500 to $1000 - so they could undercut the competition's price and get more people in the door. Then they'd lower the boom on the unsuspecting customer and get the REAL price they needed to get for the vehicle.
I don't get excited about "fees". I just make sure I know how much they're worth so that I know what the TRUE asking price is for the vehicle. Back in '02 when I bought my Impala, I actually had a salesman tell me on the phone that his deal was better than another dealership's deal because his "base" price was lower. For example, his dealership was asking $17,500 for the car, but their fees were $600, bringing the TRUE asking price for the vehicle to $18,100. The other dealership wanted $17,700 for their car, with fees totaling $200 (total cost $17,900). The sales guy at the first dealership was adamant that his deal was the better one, but the math didn't say so and I bought the vehicle from the 2nd dealership for $17,900.
Lastly, I've never heard of a dealership dropping the destination charge, but again, that's just another "fee". A dealership might "drop" this fee if your negotiated price is high enough (or poor enough) to absorb it. You have to know what you're doing when you buy a car. That means, RESEARCH, RESEARCH, RESEARCH, then establish an acceptable "purchase window" price, then negotiate from below the bottom of the window into the window until you have a deal. It might take several dealerships to accomplish your goal, but it can be done. I do it every time (with very little trouble).