I figured it out. I found an example idea from LyX/LaTeX-Layouts as found 
in google cache. (The example I found offered a custom leftmargin.)

I am now using:

\renewenvironment{lyxcode}      
    {\begin{list}{}{     
      \setlength{\leftmargin}{0in}         
      \raggedright
      \setlength{\itemsep}{0pt}           
      \setlength{\parsep}{0pt}  
      \normalfont\ttfamily}%
     \item[]}
    {\end{list}}


 Jeremy C. Reed

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