AHA, well this is bad. Back before when I'd read about opening up CMD.EXE I tried it even though it is a HUGE security hole. That apparently made it work. When I turned it off, it stopped working. I just went in and opened up CMD.EXE to read/execute for ISUR and POOF, CAPTCHA is working again.
However, it didn't help the gallery issue. Even with CAPTCHA images showing up, I get no gallery, no file in the TMP directory. And I really can't leave that CMD open like that, so I need a different solution to handle the CAPTCHA working, too.