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A few years ago (ok a LOT) I had written a VERY simple network monitoring system for work. It primarily gathers syslog events, and does a basic TCP connect to check on machine state. This uses MSDE as it's engine for events.
SWAL is a program that can launch as a service (or standalone) and monitor other services and control other programs. Written in C++ and might have some .NET components (planning on a linux port)