I tried making those changes to the template and it compiles just fine on TeX Live 2012. What happens when you skip the errors all the way to the end? Have you tried making just those changes to the original template file, if it compiles then the issue will be with something you have changed, either in your document or your bibliography.
The only other thing I recommend you can do is update your LaTeX distribution and packages to the latest versions.
Cheers,
Vel
Founder and administrator of LaTeXTemplates.com and LaTeXTypesetting.com
Ok, I've just changed it back to the original bibliography style after trying apacite and I get a bunch of "! Undefined control sequence." errors too. Once I skip these through the whole document after running bibtex the next compile works instantly and gives no errors with the old style. So try skipping the errors several times and it should work!
Founder and administrator of LaTeXTemplates.com and LaTeXTypesetting.com