Description:
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I wrote a little program below that shows the problem.  This simply adds 1 day to the date and prints the date.

At Oct 31st, 2004, it prints 2004-10-31 TWICE.  In other words, the date function is returning an incorrect result.

Reproduce code:
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<?php
define("ONEDAY",86400);    //  seconds in a day

$startdate = "20041001";
$timestamp = strtotime($startdate); 
for($i=0; $i<95; $i++):
  $timestamp = $timestamp + ONEDAY; 
  $workingdate = date("Y-m-d",$timestamp);
  echo("NEXT DAY IS  $workingdate <br>");
endfor;
?>

Expected result:
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All dates from 10-02-2004 until 01-02-2005 printed one after the other in sequence.

Actual result:
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NEXT DAY IS 2004-10-26 
NEXT DAY IS 2004-10-27 
NEXT DAY IS 2004-10-28 
NEXT DAY IS 2004-10-29 
NEXT DAY IS 2004-10-30 
NEXT DAY IS 2004-10-31 
NEXT DAY IS 2004-10-31 
NEXT DAY IS 2004-11-01 
NEXT DAY IS 2004-11-02 
NEXT DAY IS 2004-11-03 
NEXT DAY IS 2004-11-04 
NEXT DAY IS 2004-11-05