Yeah, I think I must have flipped the sensor's pins. I think I may have to dish out and get a new Arduino. I like that Arduino Ethernet...
Thankfully I can use my LilyPad in the meantime. BTW, do you have any experience using Kinect with the Arduino?
Thanks for your help,
Joseph 
(I'm also building my Freeduino 1.2 right now: can't wait for capacitors!!)