fix db initial setup for rails 3

Change-Id: I4f94a9b1957e81e2fb30a6d75badce594b0b6c79
Reviewed-on: https://gerrit.instructure.com/31435
Tested-by: Jenkins <jenkins@instructure.com>
Reviewed-by: Cody Cutrer <cody@instructure.com>
Product-Review: James Williams  <jamesw@instructure.com>
QA-Review: James Williams  <jamesw@instructure.com>