For our schools using teacher blogs, the formatting options recently disappeared when using IE 7.0.  Updates to our server have fixed that problem.  I'm not sure why the issue didn't come up earlier, we posted about IE 7 in November of 2006.  I'm not sure if something changed recently or our user are just now switching to IE 7.0.

Thanks to Mike Redman at Advance Public Schools for alerting us to this problem.