Unable to upload images to subsites media libraries

Hello, I have a strange path issue I that I'm having a hard time nailing down.

Basically, when I try and upload an image it gives me:

http://coolsubsite.basesite/files/2011/09/sdrbg.jpg

Is this correct? Because, the file's thumbnail won't show in the media library and when I go directly to the url it's not there..

I found this solution:

http://utd.hu/the-wordpress-multisite-upload-problem

But, that breaks my site.. :slight_frown:

Any ideas and what I might try next?

Thanks, Dustin