I feel lonely…replying to my own posts. 
Anyway - If you run into this same issue, just do the following:
cd /usr/local/lib/z-push/
(use your favorite editor, I prefer vim)
vim config.php
find the line that says
"define(‘USE_FULLEMAIL_FOR_LOGIN’, false);“
and change it to
"define(‘USE_FULLEMAIL_FOR_LOGIN’, true);”
That fixed the login issue. Now I seem to have mail appearing and disappearing on me…very odd, it shows up, but then when the phone connects again, it clears the inbox and show “No Messages” for a bit. The next time I get an email, they all show up again.
Very odd…I am off to investigate!