I got the game working again but same set of problems. The music doesn't double up anymore but the game still doesn't recognize any setting changes in the .cfg file. It sticks to the default resolution settings no matter what. I also tried changing other settings in the .cfg file to see if it make any difference but it didn't. Any ideas? Here's the contents of the .cfg file as I'm using it.
# ff7_opengl-0.7.10b config file
## USER OPTIONS ##
## If you just want to play the game, these are the only options you'll want to change.
# set the window size (or fullscreen resolution) of FF7
# 0 means use original resolution (whatever ff7.exe provides)
# preserve_aspect adds black borders as needed to preserve a 4:3 aspect ratio
window_size_x = 1280
window_size_y = 720
preserve_aspect = no
fullscreen = yes
# mod directory
# subdirectroy of mods/ where textures will be loaded from
# does not affect the old external textures feature, those should still go in textures/
mod_path = none
# check your driver settings if this option doesn't seem to work
enable_vsync = yes
# limit snowboard, coaster and highway minigames to refresh rate / 2, i.e. 30fps for a 60hz display mode
# vsync must be enabled and working for this to have any effect
minigame_framelimiter = on
# same thing, but for the battle swirl
battleswirl_framelimiter = off
# allow FF7 to use linear filtering for its textures
# some things look slightly better with this option on, but alot of textures just lose their detail
linear_filter = off
# plugin used to play music, the FF7Music plugin MUST be enabled for FF7Music to work.
# If no music plugin is loaded the game will play MIDI as usual but FF7Music will NOT work.
music_plugin = plugins/ff7music.fgp
## ENHANCEMENTS ##
## All the little extras that weren't part of the original game, default options include only trivial bug fixes.
# make all dialog boxes transparent, same effect as the transparent dialog boxes YAMP patch
transparent_dialogs = on
# allow max hp/mp to go over 9999, same effect as the YAMP patch by dziugo
break_9999limit = no
# include armor in magic defense calculation
mdef_fix = yes
# expand battle viewport to cover entire screen and make the battle menu transparent
new_battle_interface = off
# post-processing shader, used to apply fullscreen effects
post_source = shaders/bloom2.post
enable_postprocessing = no
## ADVANCED OPTIONS ##
## Don't fiddle with these unless you know what you're doing.
# use shaders, if available and supported
# turn shaders off to use the OpenGL 1.1 backend
use_shaders = yes
# prevent glitches due to rounding errors by rendering in the nearest (larger, if supported)
# multiple of the original resolution and up/down-scaling
prevent_rounding_errors = yes
# enable alpha blending for textures without an existing blending effect
fancy_transparency = on
# display frames per second counter in upper right corner
show_fps = no
# display some real-time debug information
show_stats = no
# store external textures in a compressed cache for increased performance
# compression is not lossless, some artifacts may appear when this option is in use
# texture cache does NOT update automatically if the source image changes, however, deleting anything from the cache
# will cause that file to be recreated from the source
compress_textures = yes
# use pixel buffer objects to speed up texture loading
# will probably crash horribly on ATI cards but should work for NVIDIA users
use_pbo = no
# replace FF7's default framelimiter timer source
use_new_timer = yes
# use a more stable (but less accurate) timer to control FF7's framelimiter
# this option has no effect unless the use_new_timer option is on
use_stable_timer = no
# plugin used to play movies, FFMpeg is the only choice for now
movie_plugin = plugins/ffmpeg_movies.fgp
## MODDER OPTIONS ##
## These options are mostly useful to modders and should not be enabled during normal play.
# read files directly instead of using LGP archives
# for example; if FF7 is looking for aaab.rsd in char.lgp, this option will make it open direct/char/aaab.rsd first,
# if this file doesn't exist it will look for the original in the LGP archive
direct_mode = off
# show every failed attempt at loading a .png texture
show_missing_textures = no