Hey Michael,
I finally got notification that you responded to the thread today.
I looked at your logs and its still a user permission issue.
Most likely you've added a report or sql output to your sharepoint, however you probably set the user authentication to "Windows Authentication".
This passes the users credentials through sharepoint and validates whether the user can run the query or not.
You can:
1. Add users as datareaders to the sharepoint.
2. Set up your report/sqloutput to use a specific sql or windows user to run the query.
I would recommend you do option #2.
Create a sql account like sharepointuser and give it a specific password. You'll give it the datareader role on the database you are querying.
In your sharepoint development suite you can keep the authentication of the item to be windows authentication but in the datasource object (sql) you'll change the credentials to sharepointuser and provide the sharepointuser's password.
I'm not trying to be vague but its been a nearly a decade since I've done sharepoint administration so its most likely changed alot and I don't have a sharepoint server installed anywhere to play with.
You are welcome to email me
I'd be happy to converse on another medium and we'll post our results in the end for the benefit of the website.