Fading Grid Question

The Fading Grid toturial works great…I got that working…
but my problem is when I try to place a image over the fading grid effect it wont show up…it shows up though when the grid effect is over…its like the grid effect is on the very top layer of the movie…when in fact its all the way in the bottom…so i cant place anything over the effect cause then it becomes part of the effect…anyway i can make the fading grid effect realize thats its a bottom layer?
I tried everything and looked around the forums and couldnt find the answer to this question.
I uploaded the movie so it can make more sense…i even reposition the image i want on top of the effect a little to the bottom of the effect so you can see how its there but it only shows when the movie is over…


on yeah and does anyone know how to make the movie less choppy…kind of skips…i want it nice and smooth…i tried putting the frame rate up but it actually made it skip more…went from 25fps to 16fps…at 16 fps its actually smoother then 25fps…maybe my computer is to slow?? 500mhz