Incoming email needs to be enabled  in Central Administration first. Then you'll
see the link in the settings  of a list  or library.

Incoming e-mail  is enabled  in Central Administration. All of
my other sites have the link, and I am able to send e-mails to my
lists successfully. Only this one site  that I created  from a template
does not have the link for all the lists  under it.

Customized lists  do not support incoming  email. Only a subset of the
out of the box lists do.

Do you know if you sharepoint administrators have enabled  this
function in your farm? If this is not enabled in the Central Admin
then it will not work on your sites.

There are many pros/cons about enabling this feature. From the
environments that I know of, I must say that maybe 8 out of 10
environments do not have this option  enabled. Now I am talking about
large enterprise environments. For smaller environments this is is
totally different.

Yes, incoming  e-mail is enabled  for the farm, I do have other sites
with many lists  that are receiving e-mail  successfully. For some
reason after creating a site  from a template  (one of the Fab 40
templates from Microsoft) only the site based on the template does not
have the incoming e-mail option  in the list  settings.

Ok, good information. I did not know you were using those customized
templates would utilize customized lists  and customized lists do not
support that function. In reality only the out of the box lists from
MOSS would support it.