If you haven't gotten it fixed yet, for the Search problem, download
folder_open.vbs from the Doug Knox site and run it. (I've used a lot of his scripts. All have been safe (virus free) and all have worked)
Not knowing what operating system, I'll guess it's XP. You should be able to change an individual's folder icon by right-clicking on the folder, going to the Customize tab and clicking on the Change Icon button.