Sharepoint Migration issues

I appologize what may seem like a mundane issue, but I have exhausted all
resources on this issue:

I am trying to migrate the front end of WSS 2003 server to a different
server. Both servers are windows 2003 with updated patches. The backend
database is on a SQL 2000 that will not be migrated to a different server. I
believe I need to basically install WSS on my new server. I want to setup as
a server farm and connect to the exisiting configuration and content
database. Once I have the new server running, I believe I can disconnect the
old server from the sharepoint databases and then my migration would be
complete. (Please correct me if this is not a good idea). So I started the
process by creating a new virtual server on my new server. From the
sharepoint Configuration page, I am at the page where it prompts me to
connect to the configuration database. I type in the name of my
configuration database and the server name in which it resides. I make sure
to have the "connect to existing configuration database" checkbox is checked.
I also have the "Use Windows authenticaion" radio button selected since that
is what I used on the existing server.


When I try to do that, I receive an error message: [DBNETLIB][ConnectionOpen
(Connect()).]SQL Server does not exist or access denied. (Error code: 17).


I have verified the account that is used by application pool does have the
required permissions to the SQL Server database by using this article as a
reference: http://support.microsoft.com/?kbid=823287

I have tried the following tip from an another KB:
----------------------------------------------------
"This is due to SharePoint Portal Server and Windows SharePoint Services
implementation of .NET Code Access Security (CAS). A solution that
addresses the aforementioned error is cited below:
• Locate and open the wss_minimaltrust.config file (NOTE: If you've
gone with the default SharePoint or WSS install, this file is located
at <INSTALL_DRIVE>:\Program Files\Common Files\Microsoft Shared\Server
Extensions\60\Config)
• Add the following element to the SecurityClasses section of this
config file:
<SecurityClass Name="SqlClientPermission"
Description="System.Data.SqlClient.SqlClientPermission, System.Data,
Version=1.0.5000.0, Culture=neutral, PublicKeyToken=b77a5c561934e089"
/>
• In the PermissionSet section of this configuration file, add the
following:

<IPermission class="SqlClientPermission" version="1"
Unrestricted="true" /> "

--------------------------------------------------------------------

And that method does not fix my issue.


I have tried other methods for migration. For example:
I have also tried to migrate using the stsadm tool. I created a backup of
the current site by using front page and then I tried to do a restore on the
new site, but I received an error saying "your backup is from a different
version of windows sharepoint services and cannot be restored to a server
running the current version" I have verified that they are the same version
of sharepoint installed so I am confused on why I am receiving this message.

So in summary, I am sure you can see I am pretty stuck on what direction I
need to go to resolve this issue. I appreciate any help that anyone could
provide.
.