I think I found the problem. The presence of nadgrids prevents d.grid -g from
working. If you remove the nadgrids or create a state plane projection that
does not include the nadgrids then it works.
nadgrids are an empirical projection that is not mathematically defined (the
grids are used to look up the coordinate transformation values). That may be
the root of the problem.
There are also some problems with g.proj and nadgrids which I will file as a
seperate bug.
David
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