They showed a clip of this during the Yankee game last night, and the announcers (one was Paul O'Neill, a former player) commented that it's common for on deck batters to be out of the on deck circle, and O'Neill told the story that, during his playing days, when VIPs were in the lower stands at Yankee Stadium, the grounds crew would move the circle before the game so as not to obstruct their view. So there's evidently no set place for the on deck circle to be set up. It's sad when an umpire's ego takes over the game. People don't pay to watch the umps, even if they do have an important job.