One thing I noticed extra quote marks were put around the isapi_fcgi.dll within the IIS MMC
I then checked for quote marks around the isapi_fcgi.dll entry - because during my testing it had caused an fast cgi server error
You can check this value by using the IIS MMC , right click the site / select properties / click home tab / click configuration button / click the ISAPI mappings tab / scroll down to .fcgi, select it and click edit.
If the reference to the isapi_fcgi.dll file location has quote marks around it remove both of them.
Many thanks for the great work - what you're doing makes life much easier for those of us who are new to rails.