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For what it's worth, I'm having the same problem. I have updated all modules, rebuilt all templates, resaved pertinent blocks, and still have no administration menu.
Your work-around is pretty good. I'm starting to look at the code to see if I can figure anything out, but I'm still at a loss.
Any help would be wonderful....
(30 minutes later)
After some further research, I found the following:
The system doesn't think my admins are valid. I went to the xoops_user_block and eliminated the "if" statement (if $xoops_isadmin), which displayed the administration menu. However, when I selected it under that ID, I still didn't have permission to the admin area.
I've added a test user to every group in my site, including "webmasters" but still don't have the admin privilege.
Ideas?