I don't have a "Z-Wave Options" button, I assume that you mean the advance button
In the devices tab, when you click '+' at the bottom should be 'reset device', 'advanced', 'delete device' and 'zwave options'.
Under ZWave options you have 'Configuration settings' to add the configuration options. We haven't posted the online docs for it.
RE: permanently remove dead node... I don't think this is working in the beta. I used the option, but the device still appears.
The Z-Wave protocol won't remove the node if it can communicate with it. But if the node is unreachable, it should delete ok. Is the node currently plugged in?