Added at the end of path ",:C:\USR\LOCAL\BIN;C:\USR\SBIN;C:\USR\BIN;" and libpath ".;C:\usr\local\lib;C:\usr\lib;"
- Reboot
Run ANPM and it gets angry. Yes, angry. 
- It tells me to fix my config.sys. I select "yes"
- Reboot
Run ANPM and it works.
I find it amazing, that people still try to be smarter than package installers. The paths need to be in the order that ANPM insists on, for normal operation (and ANPM will, correctly, add the paths that you manually entered). That order can be modified, and ANPM can be set to ignore that, but there would need to be a very good reason to do that (perhaps a developer, working on updates to the RPM/YUM stuff), and you are likely to have weird problems, when you forget that you did it. As you noticed, after ANPM corrected your attempt to do it incorrectly, it works as it should.
Since RPM/YUM, doesn't (can't) clean up old files that it doesn't actually know about, you probably should analyze the OLD stuff, that RPM/YUM replaces, and remove older duplicates, before some program loads the wrong one, and something is broken until that wrong DLL is unloaded from memory. This is how you get a program to work perfectly, then it doesn't work, then it does again.