Here's some additional code to add the ability to use site-name instead of logo or both.
page.tpl.php

<div id="logo">
  <?php if (!empty($logo)): ?>
    <a href="<?php print $front_page; ?>" title="<?php print t('Home'); ?>" rel="home">
      <img src="<?php print $logo; ?>" alt="<?php print t('Home'); ?>" />
    </a>
  <?php endif; ?>
			
  <?php if (!empty($site_name)): ?>
    <div id="site-name">
      <?php if (!empty($site_name)): ?>
        <h1 id="site-name">
          <a href="<?php print $front_page; ?>" title="<?php print t('Home'); ?>" rel="home"><?php print $site_name; ?></a>
        </h1>
      <?php endif; ?>
    </div>
  <?php endif; ?>
</div>

style.css

#logo{
  display:block;
  float:left;
  height:168px;
  margin-top:20px;
/*removed width*/
}
#column994{
  width:994px;
  margin:0 auto;
/*removed text-align*/
}
body{
  background-color:#79a742;
  border:0;
  margin:0;
  padding:0;
  color:#255B7A;
  font: 12px Arial, Verdana, Helvetica, sans-serif;
  line-height:1.5em;
  background-image: url(img/body_bg.jpg);
  background-repeat:repeat-x;
  background-position:top center;
/*removed text-align*/
}