mihomes - 8:17 am on Oct 21, 2012 (gmt 0)
Nothing else in the htaccess for root or the /news/ directory than what I gave above.
At this point I have no idea. I have posted on the cms's forum as well in hopes of an answer, but nothing yet.
I really cannot figure this one out, but it obviously has to do with the way the cms code is written since what has been done is not working... well it is, but just the news' base location.