Mysql password hashes- 16 byte vs 41 byte

I have a rails app that is (was) working with MySQL 5.0. Until
yesterday that is when I started mucking with the MySQL GRANTs.

Right now I have grants for the following:

User Host
root %
root 192.168.0.63
root localhost

The rails server is 192.168.0.63.

In database.yml I have used socket: as well as host: and I am getting
login errors despite having what I think are valid grants that map to
localhost, the ip, and a socket login. In fact I can log in using the
mysql command line client with no problem.

Now, when I was mucking with grants, I noticed one thing. There was
one root grant that used the newer mysql 41 byte PASSWORD() hash. All
the other grants use the older 16 byte hash. I thought the grant with
the longer hash was redundant and stale so I removed it.

Would rails require a grant with the newer larger hash? It seems to me
that one of the combinations of grants and hosts in database.yml should
have worked.

Gary