Thanks for the response NogDog. I certainly understand what you are saying and it makes sense. However, that doesn't explain the difference in the resulting html on the two servers. I have been doing things over so I can remind myself why I was using html_entity_decode. Hopefully this will make things more clear.
Originally, when I was testing this page on our private server I did not change the information coming from the database at all. The result is that the <br> and similar statements show up in the html source as <br>, and thus displayed as <br> in the browser rather than as an actual line break. Since I do not know of a way to change how Filemaker outputs these characters I started using html_entity_decode. The result of which is a perfectly viewable page.
When I move it to the other web server, with the html_entity_decode, and view the page source all of the <br> tags have changed to just br. When I remove the html_entity_decode the results do not change at all. The tags still show up without any carrots. This makes me think there is some weird setting on the public server. Does this make any sense to you?