Sorry, only just catching up on these messages.
It sounds like you're getting there. Make sure that the two wires connected to the middle pin go to the ground rail on the board (the outside), and the two for either switch go to the +ve (inside). As in this image...
Like longuich says, you have to make sure (and double-check, because I didn't) that you have the inputs assigned correctly in the BBI config. As for the pulse width, I didn't find a value that worked with 100% reliability, either missing inputs or getting double presses. That's the main reason I switched most of my rotaries over to pots, only the COMM switches remain as encoders.