The menu gets it's encoding from the page. The menu does not need to be encoded if the page is encoded properly.
Perhaps it would help us understand what is going wrong if you provided a URL to demonstrate the issue.
Your friends over here at WebAssist! These Dreamweaver extensions will assist you in building unlimited, custom websites.
These out-of-the-box solutions provide you proven, tested applications that can be up and running now. Build a store, a gallery, or a web-based email solution.