I think you have failed to show us what is in /etc/resolv.conf on the
machine, which is running host command.
unless listen-address or interface is specified, it should listen on all
interfaces.
Try using host -v jacquibennett.com, it might provide more details what
exactly has timed out.
I use dnsmasq on a number of, mostly Ubuntu, home systems. One system
at 192.168.1.2 acts as the DNS server for my LAN, then there are
several 'client' systems that just use dnsmasq as a caching DNS server
for their own lookups.
I *suspect* I have a problem with looking up names via the local
dnsm