Trouble shoot Rails 3.2 assets pipeline

[McRails]

I'm trying to figure out why my asset pipeline isn't working right. 

I ran the following from the console:

y Rails.application.config.assets.precompile

and got:

- !ruby/object:Proc {}

- !ruby/regexp /(?:\/|\\|\A)application\.(css|js)$/

- .svg

- .eot

- .woff

- .ttf

=> nil

This appeared normal. Then I ran:

y Rails.application.config.assets.paths

and got:

- !binary |-

  L1VzZXJzL21hcmtydXNzb24vRG9jdW1lbnRzL3dlYnNpdGVzL2hvc3Rpbmcv

  ZmxldGNoZXIvYXBwL2Fzc2V0cy9mb250

- !binary |-

  L1VzZXJzL21hcmtydXNzb24vRG9jdW1lbnRzL3dlYnNpdGVzL2hvc3Rpbmcv

  ZmxldGNoZXIvYXBwL2Fzc2V0cy9pY28=

- !binary |-

  L1VzZXJzL21hcmtydXNzb24vRG9jdW1lbnRzL3dlYnNpdGVzL2hvc3Rpbmcv

  ZmxldGNoZXIvYXBwL2Fzc2V0cy9pbWFnZXM=

- !binary |-

  L1VzZXJzL21hcmtydXNzb24vRG9jdW1lbnRzL3dlYnNpdGVzL2hvc3Rpbmcv

  ZmxldGNoZXIvYXBwL2Fzc2V0cy9qYXZhc2NyaXB0cw==

- !binary |-

  L1VzZXJzL21hcmtydXNzb24vRG9jdW1lbnRzL3dlYnNpdGVzL2hvc3Rpbmcv

  ZmxldGNoZXIvYXBwL2Fzc2V0cy9zdHlsZXNoZWV0cw==

- !binary |-

  L1VzZXJzL21hcmtydXNzb24vRG9jdW1lbnRzL3dlYnNpdGVzL2hvc3Rpbmcv

  ZmxldGNoZXIvdmVuZG9yL2Fzc2V0cy9qYXZhc2NyaXB0cw==

- !binary |-

  L1VzZXJzL21hcmtydXNzb24vRG9jdW1lbnRzL3dlYnNpdGVzL2hvc3Rpbmcv

  ZmxldGNoZXIvdmVuZG9yL2Fzc2V0cy9zdHlsZXNoZWV0cw==

- !binary |-

  L1VzZXJzL21hcmtydXNzb24vLnJ2bS9nZW1zL3J1YnktMS45LjMtcDEyNUBm

  bGV0Y2hlci9nZW1zL2pxdWVyeS1yYWlscy0yLjAuMi92ZW5kb3IvYXNzZXRz

  L2phdmFzY3JpcHRz

- !binary |-

  L1VzZXJzL21hcmtydXNzb24vLnJ2bS9nZW1zL3J1YnktMS45LjMtcDEyNUBm

  bGV0Y2hlci9nZW1zL2NvZmZlZS1yYWlscy0zLjIuMi9saWIvYXNzZXRzL2ph

  dmFzY3JpcHRz

- !ruby/object:Pathname

  path: !binary |-

    L1VzZXJzL21hcmtydXNzb24vRG9jdW1lbnRzL3dlYnNpdGVzL2hvc3Rpbmcv

    ZmxldGNoZXIvYXBwL2Fzc2V0cy9mb250

 => nil 

This does not look right at all. Can anyone tell me what's going on here?