I tried this and it did not work.  I was able to upload a couple photos but they appeared as broken images. Basically nothing was really processed when uploaded.  Where do we put the path to image magick? so the script can find it?

I have no idea. I switched back to GD- uploaded the images- they came back - then I turned off GD - uploading with GD on and then turning it off left the icon images still showing in Designer.  The site logo images don't show up in Designer but still are showing on the site after 2 day.  It is weird, but I can turn off GD and I assume imagemagik is working its magic on the images.  I can live with it for now.