filtering taxonomies dynamically

I'm using a third party taxonomy filter to filter out real estate properties. You can see from the video on this page that it should work ( http://codecanyon.net/item/taxonomies-filter-widget/4282257 ) however, I have a newer version than what is demonstrated there and the "and / or" option is no longer there. It seems like it would default to "and" but neither seems to be happening. You can see on the site that selecting a city, for example, does not filter out the neighborhoods that are not in that city.

http://scottirealtygroup.com/