Perry,
Check out MS Knowledgebase article Q193339.
"When a new version of the SQL Server ODBC Driver is installed by a SQL Server Service Pack (or by SQL Server), the Instcat.sql executes and helps configure the driver for operation. The SQL Server OLE DB Provider has the same dependency upon the execution of the Instcat.sql as the SQL Server ODBC Driver. Visual Basic 6.0, when installing either driver or provider, does not execute the Instcat.sql file, which then causes the preceding errors.
The latest SQL Server Service Pack is Service Pack 4. However, the version of the SQL Server ODBC Driver (3.60.0319) shipped with Visual Studio 6.0 and the Data Access Software Development Kit (SDK) 2.0 is newer than what is found in SQL Server 6.5 Service Pack 4."
The article states a resolution:
"To work around this problem, run the Instcat.sql file from your SQL Server. Instcat.sql is installed but not executed by Visual Studio 6.0 and the Data Access SDK 2.0. You may have more than one Instcat.sql file on your computer in different sub-directories. Make sure that you execute the file dated 6/5/98 or later. "
Also make sure that you have SP3 for Visual Studio installed and SP1 for SQL Server.
-Mike