I think PHD2 was trying to tell you what was wrong by displaying this alert message:
Alert: PHD2 is not able to make sufficient corrections in Dec. If the side-of-pier has changed from where you last calibrated, check to see if the 'Reverse Dec output option' on the Advanced Dialog guiding tab is wrong. If so, fix it and recalibrate. Otherwise, check for cable snags, try re-doing your calibration, and check for problems with the mount mechanics.
Your Paramount requires that the "reverse" option be set. Your calibrations were done from side-of-pier east and your problems occurred when you meridian flipped and started to guide from side-of-pier west. So, to start, fix the "Reverse Dec output after meridian flip option" and try again. The behavior of this option and a procedure for deciding how it should be set is described in the User Guide.
Good luck,
Bruce