Due to home remodling project, we're in week 12 now, I need to move our security panel. Anything special about rewiring once back in place. Is there a distance it needs to be from the electrical service panel?

Identify all wires before removing from the board. You can have connections in an Electrical box, an extension if needed, and cover with a plate(do not bury in drywall, you may want to tamper the box/cover.
Remove Ac and battery first, then afetr rewired, reconnect AC abd battery.
It can be next to or even above the panel.

Sounds good. I,however, just discovered my door proximity switch has a short. I'm looking for a replacement. C&K 9648C. Any ideas as to where I can find this?

Is this it?:

IC PROXIMITY SWITCH PDSO-14 - TCA305G (http://parts.digikey.ca/1/1/858010-ic-proximity-switch-pdso-14-tca305g.html)

There was no picture for the proximity switch you had suggested. The one that is bad is about 3/8"dia. about 3/4"long. It is placed inside the door jamb.

Just sounds like a recessed magnetic switch, which actuall is a reed switch, when a magnet is near, the contact is closed. Is the Magnet Missing, check opposite of the contact. When the door is closed switch should be closed, when door opens, contacts should open.
Here is your basic contact:
magnetic contact, Home Garden, Business Industrial. Great deals on eBay! (http://shop.ebay.com/i.html?_nkw=magnetic+contact&_sacat=0&_trksid=p3286.m270.l1313&_odkw=recssed+magnetic+contact&_osacat=0&bkBtn=)

Everything is there, just had a new floor put in and the wires were cut to the quick. No wonder I could not find it under Proximity switch. Have a bid in on eBay. Thanks.

Good Luck.