@Higgins, others in terribad situations
I've been reading through plenty of peoples trials and tribulations and your fiasco prompted me to finally register. Here's mine.
I was a TA in the Fall at my esteemed university in another department (mine doesn't have any slots). I found on Thanksgiving that my spot for Spring is not happening (enrollment down) and so I lost my TA slot. I proceeded to scramble and apply for 5 other positions which I was maybe 75% qualified for... which they found people who were 100% qualified for. I'm currently not a grad student and managed to find a tech job in a related lab doing research very similar to my own. My adviser didn't have any money (all of it's tied up pretty tight), but he was supportive through the entire thing.
Enter late spring, find out that the TA I had in the fall is not available because of enrollment. I had the oh so fun talk with my adviser that if I don't have a funding stream by November (my tech position is done in January) that I'm applying to other programs. Which sucks because I have really cool research that we're both very excited about. He was gracious enough to allow me to take my research ideas with me if I end up leaving.
I'm down to an interview I have this morning in another department for a TA, a USDA proposal we're submitting in June that I doubt will get funded, and the NSF GRF.
All in all, you tend to persevere because... well... you have to. It's just shocking because you hear about these stories, but you never, ever think that it could happen to you.
Also: 397 additional awards