ActoveRecord AdapterNotSpecified database is not configured

My database is a MySQL running on `localhost`. The `mysql2` gem
installed without errors. I never managed to connect, regardless of
which account I used.

The root password contains a `#` which is the comment character in
Sublime Text 2 editor so I think it might not be passing my password
in-correctly.

I tried using double- and single quotes, but it doesn't seem to make any
difference. I also tried creating a new user and giving that user
privileges on the command line in mysql,

I have read a lot of similiar posts on stackoverflow but haven't found
solution yet.

Below is a stack trace of the error:

    C:\inetpub\wwwroot\siteone\simple_cms>rake db:schema:dump
    DL is deprecated, please use Fiddle
    rake aborted!
    ActiveRecord::AdapterNotSpecified: 'mysql2' database is not
configured. Available: ["default", "adapter", "encoding", "pool",
"username", "password", "host", "development", "database"]

    Tasks: TOP => db:schema:dump => db:load_config
    (See full trace by running task with --trace)

    I checked ymlint and it says my yml file is ok.

    Here is the output of trace using the user I created which has all
privileges on the Database.

    C:\inetpub\wwwroot\siteone\simple_cms>rake db:schema:dump --trace
    DL is deprecated, please use Fiddle
    ** Invoke db:schema:dump (first_time)
    ** Invoke environment (first_time)
    ** Execute environment
    ** Invoke db:load_config (first_time)
    ** Execute db:load_config
    rake aborted!
    YAML syntax error occurred while parsing
C:/inetpub/wwwroot/siteone/simple_cms/c
    onfig/database.yml. Please note that YAML must be consistently
indented using sp
    aces. Tabs are not allowed. Error: (<unknown>): found character that
cannot star
    t any token while scanning for the next token at line 12 column 1
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/railties-4.2.1/lib/rails/ap
    plication/configuration.rb:115:in `rescue in database_configuration'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/railties-4.2.1/lib/rails/ap
    plication/configuration.rb:98:in `database_configuration'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/activerecord-4.2.1/lib/acti
    ve_record/railtie.rb:117:in `block (2 levels) in <class:Railtie>'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/activesupport-4.2.1/lib/act
    ive_support/lazy_load_hooks.rb:38:in `instance_eval'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/activesupport-4.2.1/lib/act
    ive_support/lazy_load_hooks.rb:38:in `execute_hook'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/activesupport-4.2.1/lib/act
    ive_support/lazy_load_hooks.rb:45:in `block in run_load_hooks'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/activesupport-4.2.1/lib/act
    ive_support/lazy_load_hooks.rb:44:in `each'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/activesupport-4.2.1/lib/act
    ive_support/lazy_load_hooks.rb:44:in `run_load_hooks'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/activerecord-4.2.1/lib/acti
    ve_record/base.rb:316:in `<module:ActiveRecord>'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/activerecord-4.2.1/lib/acti
    ve_record/base.rb:26:in `<top (required)>'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/activerecord-4.2.1/lib/acti
    ve_record/tasks/mysql_database_tasks.rb:8:in
`<class:MySQLDatabaseTasks>'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/activerecord-4.2.1/lib/acti
    ve_record/tasks/mysql_database_tasks.rb:3:in `<module:Tasks>'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/activerecord-4.2.1/lib/acti
    ve_record/tasks/mysql_database_tasks.rb:2:in `<module:ActiveRecord>'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/activerecord-4.2.1/lib/acti
    ve_record/tasks/mysql_database_tasks.rb:1:in `<top (required)>'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/activerecord-4.2.1/lib/acti
    ve_record/tasks/database_tasks.rb:50:in `<module:DatabaseTasks>'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/activerecord-4.2.1/lib/acti
    ve_record/tasks/database_tasks.rb:37:in `<module:Tasks>'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/activerecord-4.2.1/lib/acti
    ve_record/tasks/database_tasks.rb:4:in `<module:ActiveRecord>'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/activerecord-4.2.1/lib/acti
    ve_record/tasks/database_tasks.rb:3:in `<top (required)>'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/activerecord-4.2.1/lib/acti
    ve_record/railtie.rb:41:in `block (3 levels) in <class:Railtie>'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/task.r
    b:240:in `call'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/task.r
    b:240:in `block in execute'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/task.r
    b:235:in `each'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/task.r
    b:235:in `execute'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/task.r
    b:179:in `block in invoke_with_call_chain'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/2.0.0/monitor.rb:211:in
`mon_synchronize'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/task.r
    b:172:in `invoke_with_call_chain'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/task.r
    b:201:in `block in invoke_prerequisites'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/task.r
    b:199:in `each'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/task.r
    b:199:in `invoke_prerequisites'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/task.r
    b:178:in `block in invoke_with_call_chain'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/2.0.0/monitor.rb:211:in
`mon_synchronize'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/task.r
    b:172:in `invoke_with_call_chain'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/task.r
    b:165:in `invoke'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/applic
    ation.rb:150:in `invoke_task'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/applic
    ation.rb:106:in `block (2 levels) in top_level'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/applic
    ation.rb:106:in `each'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/applic
    ation.rb:106:in `block in top_level'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/applic
    ation.rb:115:in `run_with_threads'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/applic
    ation.rb:100:in `top_level'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/applic
    ation.rb:78:in `block in run'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/applic
    ation.rb:176:in `standard_exception_handling'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/lib/rake/applic
    ation.rb:75:in `run'
    C:/RailsInstaller/Ruby2.0.0/lib/ruby/gems/2.0.0/gems/rake-10.4.2/bin/rake:33:in
    `<top (required)>'
    C:/RailsInstaller/Ruby2.0.0/bin/rake:23:in `load'
    C:/RailsInstaller/Ruby2.0.0/bin/rake:23:in `<main>'
    Tasks: TOP => db:schema:dump => db:load_config

    C:\inetpub\wwwroot\siteone\simple_cms>