I will research this later when I have a little more time and give the
specific FARs. In the meantime, I will clarify this by saying that I
had a conversation with my FSDO about this and the consensus was that
the language in the FARs states that instruction for a private pilot
certificate can only be given by an instructor that is authorized to
give it. A flight instructor/Sport Pilot is indeed a Certified Flight
Instructor - Sport Pilot. There is no authorization for a CFI-SP to
give instruction for a rating or certificate above the level of Sport
Pilot. Therefore, it is the interpretation of my FSDO that cross
country dual given by a CFI-SP does not count toward the requirement
for cross country dual when going for a Private certificate.

The FSDO does agree that all solo time counts. By using "conventional'
or 'pre-sport pilot" CFI's for your Sport Pilot training, they are
authorized to give dual instruction toward the Private certificate and
therefore your dual that you receive during Sport Pilot training can be
counted towards your future Private certificate.

Again, this my FSDO's interpretation. I am travelling and when I get
home, I will get out my notes from the meeting and write more about it
including FAR references.

Perhaps somone from NAFI will jump in here and clarify this more.

Rick Pellicciotti
http://www.lightsportflying.com