Hi,
I had this problem myself when I installing yesterday. Basically it’s just the error level you have set in your php configuration. The version of PHP 5 I have on my localhost is set to show all errors, so it was telling me about coding notices, such as deprecated code.
That line in particular is telling you that you need to remove a & character from the file/line described. I.e. not assigning a return value by reference (as PHP 5 does this automatically now I believe).
On line 414 of system\application\libraries\Loader.php
Replace
$CI->dbutil =& new $class();
with:
$CI->dbutil = new $class();
I had the same issue on a number of files, so it just takes a bit of editing / correcting of the relevant files, which can take a bit of tracking down but it’s all good fun 
Again on line: 42 of \modules\auth\views\admin\access_control\resources.php
Replace:
$offset = $this->access_control_model->buildPrettyOffset(&$obj,$tree);
with
$offset = $this->access_control_model->buildPrettyOffset($obj,$tree);
I also had an error when trying to edit the site settings, ereg_replace needs to be replaced with preg_replace for example.
On line 100 of modules\preferences\libraries\Preference_form.php
Replace:
$this->field[$field]['label'] = ucwords(ereg_replace('_',' ',$field));
with
$this->field[$field]['label'] = ucwords(preg_replace('/_/',' ',$field));
There might be others… But I hope that’s some help.
Cheers,
Tom
