Just a quick update.  I had upgraded to firefox 3 because its god damn amazing and everything was fine for about a day, then suddenly i lost my bookmarks.  I lost all bookmaring functionality. Needless to say i was bummed and completely helpless.  I tried a bunch of different techniques to get them back with no success.  Then at the last minute I found the appropriate fix.

http://kb.mozillazine.org/Lost_bookmarks_after_Firefox_3_upgrade

I followed the instructions for the manual deletion method and next thing you know i had my old book marks back.  Glorious.  If anyone else is still having trouble with this just leave a comment and I’ll do my best to help out.