I had three, appropriately-sized photos posted in my gallery, and wanted to post a fourth viewable-size image. The system said, "no".
I just went to your gallery (good-looking kids by the way), and while I did not get out my calculator, you clearly have in excess of 1.00 MB in your 29 pictures.
So, there either did not used to be a quota on picture space, or the quota is now a whole lot smaller than it used to be.
It may be that, as a moderator, your quota is higher to make up for the lack of a paycheck from Andy R. It may be something else like a setting in the new software.
Right now I'm thinking that DC does not currently encourage the photo gallery's use or the quota would be significantly higher.