Phone memory low on space - unable to receive text messages

[dhinged]

I installed an app (~5MB) and got the "low on space" warning in the title bar, and now I can't receive text messages... it says the text message memory is full. The problem is, I know text messages use phone memory, and I have 25MB left. This doesn't make any sense. If I uninstall the app, I can now receive text messages. I know text messages aren't 25MB each, so it appears they're being blocked simply because I hit the low space flag.

I have a rooted Droid with stock (Motorola) Froyo 2.2, so how do I change the setting to a lower amount, such as 5MB, or disable messages from being blocked simply based on the flag being hit?