Flyover Snapping

I'm using Version 7.1.0016. Under my Tools>Options>Snapping I have the Enable fly-over snapping checked (enabled). When working within a drawing, the flyover funcations are NOT working. I check my Drawing Setting>Coordinate Input (ESNAP SETTINGS) for my entity snaps. The Flyover Button is grayed out. I cannot activate it. Checking back to my Tool Options the Enable flyover snapping is still checked. Can anyone give me any help with this? The flyover snapping is a big time saver.