"Existing connection is not authenticated: password change denied"

Has anyone received error "Existing connection is not authenticated: password change denied" when creating network users on a new installation? I just did a brand new installation of Mavericks on my mac mini yesterday March 27, 2014, installed the server app, setup Open Directory as a Master. All was done step by step following the Server Essentials 10.9 book, however, once I get to the chapter about adding network users I get the error above. After a few quick searches on the ol' goog' I found that many people were having this problem when they were migrating but I haven't seen anything for new installations. The fix about rekerberizing isn't applicable because this wasn't a migration.