Custom Category Loop - Missing Pagination

category-slug.php

<?php

/**
* Template Name: Category Template: Art Three
* Description: Page template for the Art Category 
*/

// Remove Genesis loop
remove_action( 'genesis_loop', 'genesis_do_loop' );

// Add our custom loop
add_action( 'genesis_loop', 'pg_art_loop' );

function pg_art_loop() {
	global $post;

	$paged = (get_query_var('paged')) ? get_query_var('paged') : 1;
	
	global $only_query;
	$only_query = new WP_Query( 'paged=' . $paged . '&offset=1');

	// Pagination fix
	$temp_query = $wp_query;
	$wp_query   = NULL;
	$wp_query   = $only_query;

		if( $only_query->have_posts() ) :
	 		$i = 1;
			
			$ids = array();
			
			// loop through posts
			while( $only_query->have_posts() ): $only_query->the_post();
			
			$ids[] = get_the_ID();
	
			if($i < 4) {
	 			$widthclass = "one-fourth";
	 		} else {
	 			$widthclass = "";
	 		}
	 		
			if($i == 1 || $i == 4) {
	 			$widthclass .= " first";
	 		} else {
	 			$widthclass .= "";
	 		}
	
			if($i == 4) {
	 			$widthclass .= " one-half";
	 		} else {
	 			$widthclass .= "";
	 		}

	 		// First Widget (one-fourth)
			if ( is_active_sidebar('category_middle') && $i==4 ) { 
				genesis_widget_area('category_middle');
				echo '<div class="clearfix"></div>';
			} 

			echo '<div class="'. trim($widthclass) . '">';
				
				// This is for putting the right featured image in the right post. Plugin: Multiple Post Thumbnails
				if($i == 5){
					MultiPostThumbnails::the_post_thumbnail(get_post_type(), 'secondary-featured-image', NULL,  'featured-image-400-square');	
				} else {
					MultiPostThumbnails::the_post_thumbnail(get_post_type(), 'secondary-featured-image', NULL,  'featured-image-400-square');	
				}
				
				echo '<h4>' . get_the_title() . '</h4>';
				echo '<p>' . get_the_date() . '</p>';
			echo '</div>';
	 		

	 		// Second Widget (one-half) 
	 		// change the id? 
			if(is_active_sidebar('category_middle') && $i==4 )  { 
				genesis_widget_area('category_middle');
				echo '<div class="clearfix"></div>';
			}

	 		$i++;
	 		
			endwhile;
			
			do_action( 'genesis_after_endwhile' );
			//genesis_posts_nav();
						
		endif;
		
	wp_reset_query();

	// Reset main query object
	$wp_query = NULL;
	$wp_query = $temp_query;
}

genesis();