[OS X TeX] MacTex 2008 and (Oberdiek) kvoptions

[Joe Goddard]

Dear Anyone:

After upgrading to MacTex 2008 and TexShop 2.18, I get failure to typeset
a LaTeX article file with

\usepackage{epstopdf}

in the preamble. The console error message is:

"...
(Users/~/Library/texmf/tex/latex/kvoptions.sty)

LaTeX Warning: You have requested, on input line 127, version
	'2007/10/02' of package kvoptions,
	but only version
	'2006/06/01 v2.2 Connects package keyval with LaTeX options (HO)
'
	is available

(/usr/local/texlive/2008/texmf-dist/tex/generic/oberdiek/pdftexcmds.sty)
!Undefined control sequence.
l.163 \DeclareBoolOption

	(update)
? "

Could there be an incompatibility in the oberdiek package, or am I 
misinterpreting the
error?

Thanks, Joe Goddard