[K12OSN] Strange glitch in X on LTSP server

[xmechanic]

I have a demo system setup at the local school here with 2 terminals and
a test server with an AMD 1800+ and 512mb of RAM. System is set up with
K12LTSP ver. 5.0. Everything is working ok for the most part, but when a
client logs off and the terminal goes back to the login screen, the
screen on the server goes blank and then comes up with a message that
there is already an X-server running on TTY1. I can do ctrl+alt+F7 and
get back to my existing desktop, but it would be nice to find a fix for
this. Any ideas? Thanks!

Dave Land
Land Computer Service