Thanks Clint
Would you please check which kernel you are using? If it's 2.6.8.x then there is a FAQ/bug related to burning CD or DVD as a non-root user. If you have a kernel < 2.6.8.x then you should be able to burn normally. If you don't have an earlier kernel, then try burning after su to the root user.
Sure enough, when I started k3d as root it correctly detected the dvd+rw and I am burning with out any problems. It seems excessive to disable burning for everyone but root at the kernel level. Wouldn't it be a administrators prerogative wether users were allowed this functionality? Oh well.