Hey Mike,
I know how you feel... I've been unable to get either of my Canon 5050n printers working on my MacBook Pro since installing Lion on the day of release. I don't normally jump in like that, but had just upgraded my MacBook so knew I could still print from the old machine. And just as well, because I had to all this time.
The Canon UK/Europe website is useless. They are always 6 months after the Aussie website, always go straight there.
Anyway, 3.36 didn't work for me, but 3.40 did - at the third attempt. Keep trying, it will work. Your method may have to be different. One thing for sure, after installing it didn't work until restarting, at which point it then worked. The other thing I had to do prior was to choose to Reset Printing System, wiping all the printers that were set up. Then installed. Then restarted, and it worked.
Good luck, just wanted to re-assure you that 3.40 will work.
Rob.