I'm running Microsoft SQL 2008 on a Windows 2008 Server.

The MSSQL server server authentication is set to SQL Server and Windows Authentication mode.

I have created an active directory security group "xyz app users". I have added a normal user (without any active directory admin privledges) and a user with domain admin privledges to the "xyz app users" group.

I have added the group to the MSSQL management console as a login user. This group is a member of the public server role and is mapped to two databases.

On a workstation, when the normal user is logged in, I configure a DSN ODBC connection, and I'm able to successfully create the DSN and test the SQL connection.

However, when I'm logged in as the user with domain admin privledges, when I attempt to configure the DSN ODBC connection, I can't get past the login ID configuration screen. If I select "windows authentication" and click "next", I get an error:

Connection failed:
SQLState: '28000'
SQL Server Error: 18456
[Microsoft][ODBC SQL Server Driver][SQL Server]Login failed for user 'mydomain\myuser'

On the server's application event logs, this error appears:

Login failed for user 'mydomain\myuser'. Reason: Token-based server access validation failed with an infrastructure error. Check for previous errors. [CLIENT: 172.x.x.x]

And in MSSQL's event logs:

Error: 18456, Severity: 14, State: 11

Solutions that I've seen so far do not seem to fit this situation (some solutions I've seen are only applicable when the BUILDIN\Administrator is being used locally on the server, which is not the case here).