So you have 4 folders and 4 files in your server folder. You have changed the HOST in cfg.ini and you have changed it in the Options script. Both match and are either 5.x.x.x or 127.0.0.1. You have set up a MySQL password and you have set SQL_PASSWORD, SQL_USERNAME, SQL_HOSTNAME and SQL_DATABASE properly in cfg.ini. You can run it all on 127.0.0.1 properly without any network connections active.
That's how it should be.
And now, which of these are not true?
BTW, Server IS version 0.82. The server hasn't been changed.