When creating custom single signon PeopleCode it can often appear that the code is not firing.
Single signon PeopleCode is very fickle code, and some regular PeopleCode functions will cause major issues. For example putting in popup messages to debug the code will actually cause the code to fail. Make sure functions like WinMessages, MsgGet, MessageBox, and other interactive information function are not in your code.
Make sure all your function references are actually within the same Record/Field/PeopleCode Event, Single Signon Peoplecode will fail if you put in a function call that is stored within another Record/Field/PC-Event. You also should make sure that the Signon PeopleCode is stored in the FieldChange or FieldDefault event, I always put my code in the FieldDefault.
Make sure the you have a valid userid/password within the execute peoplecode as area of the signon peoplecode activation page or make sure that the user logging into the system has the appropriate privileges to execute the signon peoplecode.
Lastly, Shutdown the application server, clear cache, and restart before attempting another test.