I have quite the same problem, but my informatic level is beginner.
In the dreamhost control panel I set up PHP 5.3.x fast CGI, but following the instructions to modify max dimension attached file as described in this link http://wiki.dreamhost.com/index.php/PHP.ini using "SXi's Easy Auto Copy Script", the administration page of Drupal show 5.2.17 PHP version.
This version is no longer supported by phpbb forum.
I remember before applying SXi's Easy Auto Copy Script I have successfully update my php version through dreamhost control panel.
How can I solve my problem?