Boot with kdm - keyboard won't work

[Robert S]

I've just installed a spanking new installation of FreeBSD 5.1 on my system. 
All went without a hitch EXCEPT I have configured kdm to start from
/etc/rc.local.  This file looks like this:
        #!/bin/sh 
        /usr/local/bin/kdm
If I let my system start up, it gets into the kdm screen, but nothing will
happen when I use the keyboard!  This includes entering username, password,
and using ctrl-alt-number combinations.  If I boot into safe mode, remount
/ as read-write then enter # kdm, everything works fine!

I've been using linux for some time but have never seen this one before.

Any ideas?