So, even though this is the security policy I set for one machine:
When trying to set passwords they still have to be over 16 characters and meet other various complexity requirements such as having a symbol.
The image used for this machine is Windows 7 Enterprise and not part of a domain (says workgroup is WORKGROUP, though it may have been on a domain at some point when the image was created), however I can't seem to disable the password requirements.
Additionally I've tried resetting the policy using the following commands:
RD /S /Q "%WinDir%\System32\GroupPolicyUsers" RD /S /Q "%WinDir%\System32\GroupPolicy" gpupdate /force
to no avail.
What am I missing here that still enforces password requirements?