>    First, it can't find pkgsrc. The manual page says it defaults to
> /home/pkgsrc/pkgsrc (which is where it is). But the program is trying to
> find it in /usr/pkgsrc.

I don't know pkg_select. But I had a look at the build and I see it uses 
the correct location for me (/home/reed/pkgsrc).

The package copies its example configuration into place. I see its default 
configuration has hard-coded:

pkgsrcdir               /usr/pkgsrc
pkg_dbdir               /var/db/pkg

Also I found an error with how to it did the sed for the "etc" directory. 
I am fixing that and also making sure the sed expressions are done over 
the example config too.

Update to pkg revision nb1 in a little while and try again please.