Which branch of Apache 2? If 2.2, there may be an issue with it. I'm guessing it's 2.0 since your phpinfo() said it was. I haven't tried running PHP in 2.2 yet as I know it's experimental (if not just out of the experimental stage.)
Just misread what I was doing. It definately sees all my ini settings and everything now. Jeeeeez man, what a beast. Thanks for all the help guys... just had to upgrade =\