So, as I struggled through these 17 pages of notes scrounging for answers, I decided that once I deciphered everything I was going to post at the end with the step-by-step instructions so no one else would have to read through all that.

1. Once you have installed patch 1.8 you cannot receive anymore arr'd items using the Sims 3 Launcher. If you have already installed the patch you have to uninstall the game and download everything in version 1.0.

2. Go to your Mods>Packages folder and create a new folder for your .dbc files.

3. Go to your DCCache folder (located in Documents>Electronic Arts>The Sims 3 and copy ONLY the .dbc files. DO NOT include the .ebc files (legit store downloads) or the .idx file.
    *Note, you cannot cut the .dbc files. You have to copy them then delete them later.

4. Paste .dbc files into new folder in Mods>Packages.

5. Delete .dbc files from DCCache Folder

6. Go to DCBackup and delete these files. All of them. (if you are uncomfortable deleting them, move them to a folder on the desktop or a new folder in Documents)

7. Go to C:>Program Files>Electronic Arts>The Sims 3. (your mods folder should be in this folder) This is where the Resource.cfg you NEED to edit is located. Double Click and open in Notepad.

8. Add:

PackedFile Mods/Packages/*.dbc
PackedFile Mods/Packages/*/*.dbc

to the end of the Document.

9. Save the new document to the desktop.

10. Delete old Resource.cfg (still in the C:>Program Files>Electronic Arts>The Sims 3 folder) and move the edited one into that folder.

Thank you Coconnor for your great work. I am not trying to steal the glory, just make it easier to read!

Happy Simming everyone!