Yes, that worked. I was trying to import from the Project of Projects method. The problem still exists on being able to export a Working Set file if it doesn't exist already.
I start from scratch and create a Kinetis 2.0 project, then check to make sure that it builds and I can run the debugger on the FRDM-K22F boards that I have. Then I create a Working Set by some name related to this project. (which is a bit misleading because it doesn't store that with the project in that instant. Then I thought the right thing to do was to export to create (store) the projectname.wsd file. When the export can't find a file by that name it won't create one... (this is the confusing part for me -- why?)... SO I just coerce it to store a file, by going to my mac terminal and "touching" a wsd file in a folder (also doesn't exist) called kds.
Then I can save(export) to that wsd and all is well. I can then save this all to GIT, check out to other machines and use import to pull the whole project in by its working set.
I now see that I can save and restore projects by the GENERAL option. So, maybe I'm trying too hard by using the WSD. But that is the design pattern I saw in all the example files so I thought that was the way to go.