Well, our team fixed the problem.
Props to Alex Slaughter, who stomped on that lag issue.
The issue was that two devices were on the same IP, and the router needed to take some time to sort out the information. The driver station classmate wasn't the root cause of the problem...
We also upgraded our firmware. Here is the
link
In addition, we also set the router to bridge mode, and connected it to the linksys router we had around from previous years. I am not sure how this part helped though.