Controllerless Networks

I'm setting up an IAP105 and I think i have everything configured that I need in order for a user to get internet access. If I choose the virtual controller to give IP/VLAN assignment, users get internet access no problem. If I choose network assigns IP address and statically set the VLAN to 1, users do not get ip address or internet access.

VLAN1 is the native vlan on the switch, all traffic goes from the IAP to the switch through the sonicwall. I'm not sure where the traffic is being blocked.

Is there anything on the IAP that might not be configured that could cause this? If not, does it sound like the switch isn't giving out DHCP like it should?

Thanks!

Update:

I set an ACL to assign VLAN1 and tested with Android Phone. As I connected I saw Connecting -> Authenticating -> Obtaining IP Address .. .and that's where it stops. 

Set the client VLAN assignemnt to default and not static tagging VLAN 1

Thanks for the response, unfortunately I did that and it didn't solve the issue. One thing I found is that the IP address of VLAN1 on the controller was the same as the virtual controller, so I changed virtual controller's IP and still not working. Attached is a screenshot of the DHCP error on the IAP.

I would say delete the SSID and start again...no ACL...no VLAN.  Set it to default and open access (no 802.1x or PSK) and start there.

Question...does the AP itself get an IP address?  Also..do not set a VC IP address (yet).

Let's get a baseline working and then build from there. 

Thanks again. 

I solved the problem. In 6.2.1.0 code the default wired profile is set to a "deny all" ACL. I changed to "allow all" and I can now receive an IP address and pass traffic. 

Thanks for all the help!