[ic] Category select box not working in 4.6.5

[Chris Rapier]

The category select box in the items submenu of Interchange 4.6.5
doesn't seem to be working. In the default configuration if you attempt
to edit an item (with no metaview) there isn't even an entry listed for
the category. You can actually see this in the Demo 2 store at
demo.akopia.com. 

It does seem to be working in the Demo 3 store but I'm not sure I'm
comfortable with using a prerelease version of the code in a production
environment (especially not to just fix one problem). 

Has anyone else encountered this problem and is there a solution to it?
I searched the archives but I was unable to find anything that seemed
appropriate or that worked. 

I'm guessing it might just be a configuration issue in the meta display
for the category widget *but* I can't find a combination that will give
me a select box. I can get a textbox with the correct name in there but
even that isn't following the meta values.

Any clue would be appreciated.