I cannot seem to find anything helpful about this issue. I had it working before when I first setup OpenLDAP and I have not changed any settings since then. The only thing I can seem to find is suggestion saying to use -x when running ldappasswd. When I use -x I get the error below

Result: Strong(er) authentication required (8)
Additional info: only authenticated users may change passwords

I am running OpenLDAP, I am not sure what version but it is somewhat new. It is running on Turnkey Linux (ubuntu 10.04 based) and is in a virtual machine.