OpenSSH not logging denied public keys, even with logging set to verbose.

[Jordon Bedwell <envygeeks@gmail.com>]

SSH Version: OpenSSH_5.5p1 Debian-6+squeeze1, OpenSSL 0.9.8o 01 Jun 2010

part of the config:
compression yes
maxauthtries 1
port 22
listenaddress 10.6.18.80
protocol 2
useprivilegeseparation yes
syslogfacility AUTH
loglevel VERBOSE
logingracetime 30
permitrootlogin yes
strictmodes yes
rsaauthentication no
publickeyauthentication yes
authorizedkeysfile %h/.ssh/authorized_keys
permitemptypasswords no
passwordauthentication no
x11forwarding no
printlastlog yes
tcpkeepalive yes
acceptenv LANG LC_*
usepam yes
allowusers root git

It seems like no matter what I try (even DEBUG3) it cannot get it to
spit out publickey denied so that we can ban with our banning daemons.
 I am at a loss since I've tried everything that I can think of.