ONLY local admin can run updates on domain. Very strange.

A brief summary is that ONLY local administrators can executing the
downloading and installation of Windows updates. I've tried a bunch of
different GPO settings. Creating NEW local admin accounts works fine,
however, adding any DOMAIN account to the local admin groups fails to enable
that user to use Windows update. The user gets the update notification, but
when he clicks the balloon, the screenshot below shows up. Basically saying
that the settings are managed by the system administrator, even though that's
me.

Everything works great in XP, so I'm inclined to believe is a security
issue. I've tried disabling UAC, to no avail. Please help, this is the only
issue so far

Here's a link to my issue, with a screenshot.

http://episteme.arstechnica.com/eve/...m/136006225831





Thank you for any assistance that can be provided.