I tried plugged it into the box in the basement (straight from verizon). Then I cut a phone extension cord in half, and wired the center two wires to the rest of the house at the punch block, tested it, and plugged it into the phone port on the OBi110 (making sure that verizon is disconnected from the rest of the house at the panel).
I have three other phones in the house and all use less than 3 REN combined.
When the above was done, there was no dial tone on any of the phones. When I unplugged the house, and plugged the individual phones into the OBi, they each worked fine. I have tested and re-tested the wiring in the house, with no problems. When I plug verizon back into the rest of the house, all works fine. It seems to be the OBi not being able to supply enough signal to drive the house lines.
On Monday, I am going to get some RJ11 connecters from Lowes, and make up my own patch cable to do some more testing. Something just isn't right.