When first changing the admin pwd on a new clean install of 1.10 (the very first thing I did) I got the expected page, suffixed with this:
Warning: ini_set() has been disabled for security reasons in [my path]/blog/inc/MODEL/sessions/_session.class.php on line 157
Warning: ini_set() has been disabled for security reasons in [my path]/blog/inc/MODEL/sessions/_session.class.php on line 167
Warning: Cannot modify header information - headers already sent by (output started at [my path]/blog/inc/MODEL/sessions/_session.class.php:157) in [my path]/blog/inc/VIEW/_menutop.php on line 39
The pwd was correctly changed. Not sure if this really is a bug or my own poor configuration but there were no other apparent ill effects. This is not a production install anyway so I'm not troubled.
I thought someone might want to know, as this is a beta and all that.
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I'm no expert on this stuff, but it seems like a setting your host has imposed on you. "ini_set() has been disabled" is what makes me think that. Still I'm sure the developers would want to know that even though it works the user is getting error messages.