Building some models in Model Builder for a training session, and it's not working out so well. Model Builder can't seem to find Python. 

Model Builder Error 000574: Python 2.7 is not installed

Here's the kicker...Not only am I looking at Python 2.7 as I type this, but I also ran a more complex model this morning. 

Since the first issue this morning I have run a repair on ArcGIS 10.2 and installed Python again, since I was still receiving the same error after the repair. 

Windows 7
Data source is read from Database Connection over the network and written locally. 
ArcGIS 10.2
Python 2.7.9
I've used several tools and datasets in the model. Both local and netowork sources. 

![Error Message from Model Builder along with command line showing version](https://i.stack.imgur.com/rMsnJ.png)

![Very simple model. Verifies fine.](https://i.stack.imgur.com/O6LY4.png)

![Python Window in ArcGIS. Commands not being recognized.](https://i.stack.imgur.com/iFNtQ.png)