calendar-query timezone confusion

Greetings,

I think I am missing something.

I have set the America/Detroit timezone on the calendar collection.
I have an event in the CalendarServer created with iCal:

BEGIN:VCALENDAR
VERSION:2.0
PRODID:-//Apple Inc.//iCal 3.0//EN
CALSCALE:GREGORIAN
BEGIN:VTIMEZONE
TZID:America/Detroit
BEGIN:DAYLIGHT
TZOFFSETFROM:-0500
TZOFFSETTO:-0400
DTSTART:20070311T020000
RRULE:FREQ=YEARLY;BYMONTH=3;BYDAY=2SU
TZNAME:EDT
END:DAYLIGHT
BEGIN:STANDARD
TZOFFSETFROM:-0400
TZOFFSETTO:-0500
DTSTART:20071104T020000
RRULE:FREQ=YEARLY;BYMONTH=11;BYDAY=1SU
TZNAME:EST
END:STANDARD
END:VTIMEZONE
BEGIN:VEVENT
SEQUENCE:3
TRANSP:OPAQUE
UID:9D7A5B23-B956-49E7-B1AE-90155506531D
DTSTART;TZID=America/Detroit:20081113T110000
DTSTAMP:20081109T193054Z
SUMMARY:Another Event
CREATED:20081109T193030Z
DTEND;TZID=America/Detroit:20081113T120000
END:VEVENT
END:VCALENDAR

I am doing a calendar-query REPORT:

     <C:calendar-query xmlns:C="urn:ietf:params:xml:ns:caldav" xmlns:D="DAV:">
          <D:prop>
              <C:calendar-data>
                  <C:expand start="20081101T000000Z" end="20090301T000000Z"/>
                  <C:comp name="VCALENDAR">
                      <C:allprop />
                      <C:allcomp />
                  </C:comp>
              </C:calendar-data>
          </D:prop>
          <C:filter>
              <C:comp-filter name="VCALENDAR">
                  <C:comp-filter name="VEVENT">
                      <C:time-range start="20081101T000000Z" end="20090301T000000Z"/>
                  </C:comp-filter>
              </C:comp-filter>
          </C:filter>
          <C:timezone>
            <![CDATA[BEGIN:VCALENDAR
VERSION:2.0
PRODID:-//ABC Corp//ABC App 0.1//EN
BEGIN:VTIMEZONE
TZID:America/Detroit
BEGIN:DAYLIGHT
TZOFFSETFROM:-0500
TZOFFSETTO:-0400
DTSTART:20070311T020000
RRULE:FREQ=YEARLY;BYMONTH=3;BYDAY=2SU
TZNAME:EDT
END:DAYLIGHT
BEGIN:STANDARD
TZOFFSETFROM:-0400
TZOFFSETTO:-0500
DTSTART:20071104T020000
RRULE:FREQ=YEARLY;BYMONTH=11;BYDAY=1SU
TZNAME:EST
END:STANDARD
END:VTIMEZONE
END:VCALENDAR
]]>
          </C:timezone>
      </C:calendar-query>

Yet the response has the start and end times being specified in UTC time even though they also specify a TZID:

     <multistatus xmlns="DAV:">
          <response>
              <href>
/calendars/__uids__/abc/calendar/9D7A5B23-B956-49E7-B1AE-90155506531D.ics
              </href>
              <propstat>
                  <prop>
                      <calendar-data xmlns="urn:ietf:params:xml:ns:caldav">
                        <![CDATA[BEGIN:VCALENDAR
VERSION:2.0
CALSCALE:GREGORIAN
PRODID:-//Apple Inc.//iCal 3.0//EN
BEGIN:VEVENT
UID:9D7A5B23-B956-49E7-B1AE-90155506531D
DTSTART;TZID=America/Detroit:20081113T160000Z
DTEND;TZID=America/Detroit:20081113T170000Z
CREATED:20081109T193030Z
DTSTAMP:20081109T193054Z
SEQUENCE:3
SUMMARY:Another Event
TRANSP:OPAQUE
END:VEVENT
END:VCALENDAR
]]>
                      </calendar-data>
                  </prop>
                  <status>
                    HTTP/1.1 200 OK
                  </status>
              </propstat>
          </response>
      </multistatus>

This is not the behavior I was expecting.

I think I am missing something but I am unable to see the forest for the trees. Any insight would be appreciated.

Regards,

Mark