Thanks for the suggestion NogDog. I actually tried chmod() but since "nobody" owned the file, it did not work. I did just learn about the apache issue you are talking about and it seems like if I run php in cgi or or suphp, the problem would be resolved.
I attempted to run in both mode and I had different issues with both. With suphp, I get a 500 error. The error logged is "Premature end of script headers:".
With CGI, the first problem was the save location of sessions. The error is "Warning: Unknown: Failed to write session data (files). Please verify that the current setting of session.save_path is correct (/tmp) in Unknown on line 0".
I will need to look into the problem for one (or both) of them and resolve it. Before I do that, any ideas?
Thank!