Ok let me give ya all the details, i'm doing this in TA and when you go to the choose race screen the correct races are there but then it asks you to custimize the races, something i already did in the racecnfg file, not to mention when you go to pick your opponents it gives you the choice between 2 of each civ my modded one and the regular one.thanks for your help.

</Race>
    <Race Name="The Galactic Republic">
        <RaceID>7</RaceID>
        <DisplayName>Galactic Republic</DisplayName>
        <Alignment>75</Alignment>
        <Description>The Drath are a reptilian race who were originally the dominant species on what is now known as Altaria.</Description>
        <Homeworld>Coruscant</Homeworld>
        <Homestar>Drathis</Homestar>
        <RaceLeader>Chancellor Palpatine</RaceLeader>
        <ShortEmpireName>The Republic</ShortEmpireName>
        <AIPersonality>8</AIPersonality>
        <DialogueTag>Drath</DialogueTag>
        <LeaderGender>1</LeaderGender>
        <Portrait>Gfx\Race\RaceImage07.png</Portrait>
        <Logo>Gfx\Race\RaceLogo07.png</Logo>
        <SmallLogo>Gfx\Race\Small\RaceLogo7.png</SmallLogo>
        <DefaultTradePortrait>Gfx\Race\Trade_Race7_Neutral.png</DefaultTradePortrait>
        <DefaultTradeMovie>RaceImage07_neutral.bik</DefaultTradeMovie>
        <FriendlyTradeMovie>RaceImage07_happy.bik</FriendlyTradeMovie>
        <UnfriendlyTradeMovie>RaceImage07_angry.bik</UnfriendlyTradeMovie>
        <UnitedPlanetsMovie>RaceImage07_Small.bik</UnitedPlanetsMovie>
        <RobotMovie>NewsRobot_Alien</RobotMovie>
        <RobotImage>Gfx\Message_Alien</RobotImage>
        <RaceMusic>Race07</RaceMusic>
        <RaceColor>237, 88, 19</RaceColor>
        <ShadowColor>221, 146, 172</ShadowColor>
        <UndefendedStarColor>236, 81, 82</UndefendedStarColor>
        <DefendedStarColor>237, 88, 19</DefendedStarColor>
        <SectorColor>237, 88, 19</SectorColor>
        <BaseColor>208, 160, 62</BaseColor>
        <TrimColor>64, 0, 0</TrimColor>
        <EngineColor>255, 255, 0</EngineColor>
        <InterfaceColor>237, 88, 19</InterfaceColor>
        <ShipStyle>Republic Style</ShipStyle>
        <ModuleStyle>1</ModuleStyle>
        <AbilitiesDescription>+ Strong Diplomacy
- Weak start-up economy</AbilitiesDescription>
        <AIAbilities>50</AIAbilities>
        <Aggression>50</Aggression>
        <FinancialResources>100</FinancialResources>
        <CPUUsage>0</CPUUsage>
        <SuperAbility>7</SuperAbility>
        <ResearchAdvantage>Diplomacy</ResearchAdvantage>
        <ECONOMICS>0</ECONOMICS>
        <WEAPONS>0</WEAPONS>
        <DEFENSE>0</DEFENSE>
        <SPEED>0</SPEED>
        <POPULATIONGROWTH>-20</POPULATIONGROWTH>
        <SOCIALPRODUCTION>0</SOCIALPRODUCTION>
        <MILITARYPRODUCTION>0</MILITARYPRODUCTION>
        <RESEARCH>0</RESEARCH>
        <INFLUENCE>0</INFLUENCE>
        <TRADE>0</TRADE>
        <MORALE>0</MORALE>
        <DIPLOMACY>30</DIPLOMACY>
        <HITPOINTS>0</HITPOINTS>
        <REPAIR>0</REPAIR>
        <SENSORS>0</SENSORS>
        <ESPIONAGE>0</ESPIONAGE>
        <SOLDIERING>50</SOLDIERING>
        <INTERESTRATES>0</INTERESTRATES>
        <PLANETQUALITY>0</PLANETQUALITY>
        <TRADEROUTES>1</TRADEROUTES>
        <CRIME>0</CRIME>
        <CABINET>0</CABINET>
        <RANGE>0</RANGE>
        <LUCK>0</LUCK>
        <COURAGE>0</COURAGE>
        <CREATIVITY>0</CREATIVITY>
        <GOVERNMENT>0</GOVERNMENT>
        <LOYALTY>0</LOYALTY>
        <LOGISTICS>8</LOGISTICS>
        <MINIATURIZATION>0</MINIATURIZATION>
        <CustomizationPoints>10</CustomizationPoints>
        <CivType>4</CivType>
        <TechTree>Drath_TechTree</TechTree>
        <Tech>WayOfTheDrath</Tech>
        <Tech>IndustrialRevolution</Tech>
        <Tech>HyperDrive</Tech>
        <Tech>FusionReactors</Tech>
        <Tech>TraditionalResearch</Tech>
        <Tech>StellarCartography</Tech>
    </Race>

UPDATE: There is also a neat little trick I learned for finding typos in a raceconfig: rename the internal names of your races to the names of their corresponding races in the game. Then open the race selector window. The races with typos will be the default races, and those without typos will be your races.

When you say it asks you to customize each race, do you mean this in the same way that it asks you to customize the normal races when playing without a mod?

yes @ mac and im gonna move it to the TA folder and try that.