This is the original poster. I am using 10.0.2 build 13. This is coming from Univ Server v2.12. I'm planning to upgrade to Univ Server 3.x, but have been waiting for verification that I can do a direct upgrade without losing any info. Do you know if 10.1.1 be included in that version?
In the meantime, removing the PGP desktop icon from login items seems to have helped. Also, we've created additional PGP user accounts for WDE on the Macs so that there is an account that matches the directory account as well as one that matches the local login account. I haven't seen a prompt to re-enroll in a few days.