try changing the update and command handlers so they include the handles keyword (see below). Couldn't test the code though as the bit you posted doesn't contain a variable called cmdSQL or a function called BindDataGrid.
Sub dgrdDivision_EditCommand(ByVal s As Object, ByVal e As DataGridCommandEventArgs) Handles dgrdDivision.EditCommand
dgrdDivision.EditItemIndex = e.Item.ItemIndex
End Sub
Sub dgrdDivision_UpdateCommand(ByVal s As Object, ByVal e As DataGridCommandEventArgs) Handles dgrdDivision.UpdateCommand
Dim txtDivisionCode As TextBox
Dim txtDivisionName As TextBox
Dim strDivisionCode As String
Dim strDivisionName As String
Dim conn As SqlConnection = openDatabase()
txtDivisionCode = dgrdDivision.DataKeys(e.Item.ItemIndex)
txtDivisionCode = e.Item.Cells(0).Controls(0)
txtDivisionName = e.Item.Cells(1).Controls(0)
strDivisionCode = txtDivisionCode.Text
strDivisionName = txtDivisionName.Text
strSQL = "Update DivisionCode Set DivisionCode=@DivCode, " _
& "DivisionName=@TrackingDivisionName Where DivisionCode=@DivisionCode"
cmdSQL = New SqlCommand(strSQL, conn)
cmdSQL.Parameters.Add("@DivisionCode", strDivisionCode)
cmdSQL.Parameters.Add("@DivisionName", strDivisionName)
openDatabase()
cmdSQL.ExecuteNonQuery()
closeDatabase(conn)
BindDataGrid()
dgrdDivision.EditItemIndex = -1
End Sub