Disk containing iPhoto is running low on space, photos cannot be imported???

Question

How is this possible? I have 659 GB space available? Please help! I want to import more pics.
Mac OS 10.6.7
2.3 GHz Intel Core i7
Memory: 4 GB 1333 MHz DDR3
Volumes:
  Capacity:    209.7 MB (209,715,200 bytes)
  Writable:    Yes
  BSD Name:    disk0s1
Macintosh HD:
  Capacity:    749.81 GB (749,812,400,128 bytes)
  Available:    659.43 GB (659,425,685,504 bytes)
  Writable:    Yes
  File System:    Journaled HFS+
  BSD Name:    disk0s2
  Mount Point:    /

Answer 1

You have a damaged library.  First, try this:  launch iPhoto with the Option key held down and create a new, test library.  Import some photos and check to see if the same problem persists.  If you're able to create the new library confirms that it's your current library that's the culprit. 
If that's the case make a temporary, duplicate copy of your library and apply the three fixes in order as necessary.
Fix #1
1 - delete  the iPhoto preference file, com.apple.iPhoto.plist, that resides in your Home/Library/Preferences folder. 
2 - delete iPhoto's cache file,, Cache.dbt, that is located in your Home/Library/Caches/com.apple.iPhoto folder. 
3 - reboot, launch iPhoto and try again.
NOTE: If you're moved your library from its default location in your Home/Pictures folder you will have to point iPhoto to its new location when you next open iPhoto by holding down the Option key when launching iPhoto.  You'll also have to reset the iPhoto's various preferences.
If that doesn't help try the following: make a temporary, duplicate copy of the library and try the two fixes below in order as needed:
Fix #2
Launch iPhoto with the Command+Option keys depressed and follow the instructions to rebuild the library.
Select the options identified in the screenshot. 
Fix #3
Using iPhoto Library Manager  to Rebuild Your iPhoto Library
Download iPhoto Library Manager and launch.
Click on the Add Library button, navigate to your Home/Pictures folder and select your iPhoto Library folder.
Now that the library is listed in the left hand pane of iPLM, click on your library and go to the File ➙ Rebuild Library menu option
In the next  window name the new library and select the location you want it to be placed.
Click on the Create button.
Note: This creates a new library based on the LIbraryData.xml file in the library and will recover Events, Albums, keywords, titles and comments but not books, calendars or slideshows. The original library will be left untouched for further attempts at fixing the problem or in case the rebuilt library is not satisfactory.
OT