I didn't recognize this before as I already had it installed, but the ebuild needs this dependency. I removed all dhcp clients installed net-misc/networkmanager and networkmanager will not resolve name servers. I wrote the http://gentoo-wiki.com/NetworkManager in case anybody thinks I'm full of it. :) Reproducible: Always
net-misc/dhcdbd (which is the real NM dependency) already depends on it.
*** Bug 210440 has been marked as a duplicate of this bug. ***
I removed dhcp after installing networkmanager thinking net-misc/dhcdbd was a dhcp client. Ooops. Re-emerging networkmmanager obviously wouldn't show it needed dhcp. Appreciate the explaining.