Seems to work oaky for me but I'm really having trouble understanding what you're talking about in this:
> Once I try to add an effect, suddenly my sequence is NO LONGER EDITED the way I had it edited and saved in FCP. It reverts back to whatever the original clip was.
At the risk of sounding terribly dismissive, lots changed in Motion 3, did you read the new features? Are you sure the procedure you're using is correct? Motion 3 has been out for about a year now so try searching other Motion forums for the correct or suggested workflow for roundtripping between FCP and Motion.
You might want to cruise the apple.com discussion forums. Much more Motion traffic over there.
This is my standard sigfile so do not take it personally: "For crying out loud, read the freakin' manual."
What I mean is, I'll take something that I edited in FCP - I edited clips ABCDE together. Each clip's original length was 10 seconds, but in FCP I edited them together so that they are only 3 seconds long. Then I go to Send To>Motion. I save the Motion project.
I add some text. Everything is fine. Then I add a behavior. Suddenly those five clips are not edited in their 3 second long segments anymore - they are their original lengths of 10 seconds, so everything I did up to that point is ruined.
Does that make sense? They are not edited, they are original clips.