I figured it out. It wasn't evaluating this:
<CFSET xmlvar="<" & #i# & ">" &
"#trim(var)#" & "<" & "/" & "#i#" &
">">
<cfoutput>#xmlvar#</cfoutput>
I changed the loop to this and now it works.
<cfloop list="#SelectedExtractColumns#" index="i">
<!---
** i = COLUMN NAME, e.g. Full_Name, Company, etc.
** var = COLUMN VALUE, e.g, Chris Thomas, Aspen Tech, Etc.
--->
<CFSET var=evaluate("getformdata.#i#")>
<CFIF i NEQ "FORM_ID">
<!---Build XML Field name, Value, /Field name e.g.
<Full_Name>Joe Dee</Full_Name>--->
<
<cfoutput>#i#</Cfoutput>><CFOUTPUT>#var#</CFOUTPUT></<cfoutput>#i#</CFoutput>>
</CFIF>
</cfloop>