Is the OTA Antenna not on its own tuner? I was recording two shows via the dish which used up both of my tuners. It was my thought that I could then watch live TV via the antenna, but when I try to tune in, the DVR prompts me to cancel one of the two recordings.

Is this the way it works?

That's the way it works. The OTA and Sat tuners share hardware. Two channels in any combination will work.

Bummer! Thanks for the info.

Split the OTA antenna and feed your TV, if it has an atcs tuner. Mine does and I can watch off air if the two tuners are recording.
You can watch a previously recorded show even if the two tuners are recording.