John,
I think what Mika is saying is the same problem I have - the oj.cfg variables seem to conflict. On my server, the users' html directory structure is this:
/home/rik/public_html/cgi-bin/oj.cgi # for the program
/home/rik/public_html/oj # for the oj dir

and I set the oj.cfg like this:
$mydir = "/home/rik/public_html";
$progdir = "/home/rik/public_html/cgi-bin";
$ojdir = "/oj";
$cgi_url = "/cgi-bin/oj.cgi";
$baseurl = "http://xku/~rik";
$title = "myJournal";
$mesgdir = "story";

After authorizing, the program tries to access itself using :
http://xku/cgi-bin/oj.cfg
which is incorrect, as it it trying to go to the server's (not users') base html directory.

Rik