Here is a bit of output from my rake commands, I don't believe the deprecation warning is the root of my problem:
rake ts:index
DEPRECATION WARNING: You have Rails 2.3-style plugins in vendor/plugins! Support for these plugins will be removed in Rails 4.0. Move them out and bundle them in your Gemfile, or fold them in to your app as lib/myplugin/* and config/initializers/myplugin.rb. See the release notes for more on this:
http://weblog.rubyonrails.org/2012/1/4/rails-3-2-0-rc2-has-been-released. (called from <top (required)> at /var/www/inventory/Rakefile:10)
Generating configuration to /var/www/inventory/config/development.sphinx.conf
Sphinx 2.0.8-id64-release (r3831)
Copyright (c) 2001-2012, Andrew Aksyonoff
using config file '/var/www/inventory/config/development.sphinx.conf'...
indexing index 'server_core'...
collected 365 docs, 0.0 MB
sorted 0.0 Mhits, 100.0% done
total 365 docs, 11221 bytes
total 0.457 sec, 24518 bytes/sec, 797.54 docs/sec
total 3 reads, 0.000 sec, 9.3 kb/call avg, 0.0 msec/call avg
total 9 writes, 0.000 sec, 6.2 kb/call avg, 0.0 msec/call avg