Cannot get WSUS Imports to work

I have a detached WSUS server that I can't get to import updates correctly.  I export the metadata and move the content files from my attached server, run the wsusutil.exe import command,  and I see the new updates available for approval.  Once I approve the new updates it never "downloads" the files even though the files are present in the correct directory on the import server.  When I look in the SoftwareDistribution log I see an error that says the following:

 "Warning w3wp.8SoapExceptionProcessor.SerializeAndThrow Discarding stack trace for user DOMAINNAME\account.name, IP Address x.x.x.x, exception System.Security.SecurityException: Request for principal permission failed.
 at System.Security.Permissions.PricipalPermission.ThrowSecurityException()
 at System.Security.Permissions.PricipalPermission.Demand()
 at System.Security.PermissionSet.DemanNonCAS()
 at MicrosoftUpdateServices.Internal.DatabaseAccess.AdminDataAccess.ExecuteSPGetComputerCount(StringcomputerTargetScopeXmll)
 at MicrosoftUpdateServices.Internal.ApiRemoting.Exeecute.SPGetComputerCount(String computerTargetScopeXml)
 The action that failed was:
 Demand
 The type of the first permission that failed was:
 System.Security.Permissions.PrincipalPermission"

 Any one have any suggestions on what I need to do to get this fixed?
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