Subversion Integration on Mac OS X is not working

The subversion Integration for PHPStrom in Mac OS X is no longer working. I am able to check out a Project from the repository.  The .svn folder is indeed created at the root of the project. But after I do this PHPStorm doesn't recognize the project as being under subversion. All the functionality related to subversion is not available. Instead I am offered, under the VCS menu, the option to "Enable Version Control Integration..."              
Older project that I had under version control work correctly.              
I recently updated to PHPStorm 8 and to Xcode 6 including the new command line tools, one of which is probably causing the problems.              
The Repository users subversion 1.7.            
Any ideas what the problem could be?
Thanks.

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