Hi Brad,
Not sure why it ran the conversion wizard, it shouldn't do that. The issue with the web project is that you need to install the newer Web Application Project type from here:
first install this update patch for VS 2005
http://www.microsoft.com/downloads/details.aspx?FamilyId=8B05EE00-9554-4733-8725-3CA89DD9BFCA&displaylang=en
and then this new project type for VS 2005
http://msdn2.microsoft.com/en-us/asp.net/aa336618.aspx
The release files have no code behind on purpose, they are only for deployment. Developers should use the source files.
Hope it helps,
Joe