We can't help you; we're only customers here like yourself. . It seems to me from your post that what happened is pretty obvious:
The tendered the payment to you via PayPal, and PayPay, for what ever reason has not credited it to your account.
I'd write DreamHost, and confirm the details of the PayPay payment (via a support ticket), and then I'd get cracking on discussing the matter with PayPal. It could be something as simple a a payment posting lag, and then again it could be one of PayPal's famous snafus.
You would not be the first who has had trouble getting PayPal to promptly and properly credit their account, though in this case I think you are over-reacting considerably. The panel indicates the payment was only forwarded to PayPal today, and the business day isn't even over yet. PayPal may well post at the end of the business day, as do most "real" financial institutions.