This was an incredibly helpful post. I had read that this was fixed (reported as a bug) on 12/24, and replaced my functions-post.php file with the fix, but still images wouldn’t work. I could see that they were uploading when I checked the uploads directory (under year and month), but they were not showing up in the browse. I was just getting a series of MySQL errors (running MySQL 5.x).
I made the two little changes to the fuctions-post.php file, and viola. Thanks!