2.2 Upgrade Problems on POWWEB

Gallery version: 2.2.5 (I think)
PHP version: http://codex.gallery2.org/index.php
PHPInfo Link (see FAQ): http://www.bordwayphotography.net/gallery/lib/support/index.php?phpinfo
Webserver (e.g. Apache 1.3.33):
Database: MySQL 5.0.45
Activated toolkits (e.g. NetPbm, GD):GD
Operating system (e.g. Linux): Linux
Browser (e.g. Firefox 2.0): Firefox 3.0.7

I just installed Gallery2 using POWWEB's 'Install Central' and immediately went to http://bordwayphotography.net/gallery/ and it took me to a v2.2 upgrader and I decided to follow the steps and when it got the System Checks phase, it failed when it came to Storage Directory Permissions it displayed this message:

Error: Some files and or directories in your storage directory are not writeable by the webserver user. Run chown -R webserverUser /home/users/web/b837/pow.bordway13/htdocs/gallery/g2data/ OR run chmod -R 777 /home/users/web/b837/pow.bordway13/htdocs/gallery/g2data/.

Which is quite odd since I checked the permissions and it said that that path is indeed set to 777. So I don't understand the problem. I also don't understand the reason I need to upgrade since I thought we were already at v2.2.5.

I also received one warning of Gallery file integrity featuring one modified file at modules/core/classes/GalleryUrlGenerator.class

How do I get out of this dilemma so I can upgrade properly?