Group writable bzr+ssh

[Brad Schick]

Using the smart server through bzr+ssh, I'd like several users to be
able to collaborate on ad-hoc branches without manually setting
permissions or configuring special umasks. I've read in several places that
bzr can preserve the group permission from the repo, but this
isn't working for me on Ubuntu 8.04 with the dev ppa version of bazaar 1.9:

bzr --version
Bazaar (bzr) 1.9
  Python interpreter: /usr/bin/python 2.5.2
  Python standard library: /usr/lib/python2.5
  bzrlib: /usr/lib/python2.5/site-packages/bzrlib
  ...

My server based directory structure starts like this:

server/                                     #This is the repository
|-- [drwxrws--- bzruser  users]  .bzr
|      (snip)