On my branch that will merge "soon", see test_pipeline.py::test_pipeline_run_simple_gauss1.
That makes a plot. You can see the PSF is way off.
If you look at the output files with the decorrelated difference and the decorellated PSF, it's clear the PSF is not the right thing for the. The decoreelated difference has a PSF that's the same size as in the input images, but the decorrelated PSF is a delta function with some ringing.