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This is the traceback I was getting where it was just a script that simply made an SMTP connection then closed it. This fails before it attempts to connect to the server.
Traceback (most recent call last):
 File "C:\tmp\manysmtptest.py", line 8, in <module>
 main();
 File "C:\tmp\manysmtptest.py", line 4, in main
 a = SMTP(myserver);
 File "C:\Python32\lib\smtplib.py", line 259, in __init__
 (code, msg) = self.connect(host, port)
 File "C:\Python32\lib\smtplib.py", line 319, in connect
 self.sock = self._get_socket(host, port, self.timeout)
 File "C:\Python32\lib\smtplib.py", line 294, in _get_socket
 return socket.create_connection((host, port), timeout)
 File "C:\Python32\lib\socket.py", line 404, in create_connection
 raise err
 File "C:\Python32\lib\socket.py", line 395, in create_connection
 sock.connect(sa)
socket.error: [Errno 10013] An attempt was made to access a socket in a way forbidden by its access permissions
What I don't get is why rebooting didn't fix the problem. You'd think Python or Windows issue, things would resolve themselves after a reboot. All the other programs I was using seemed to work fine.