An OS install - whether clean or upgrade - is what you make of it.
I have done thousands of installs, and troublehooting and support for those installs. Every OS that MS has put out has had good and bad points, but it does take some being your own "admin" to make it what it is - with stability and compatibility being the key.
I have had buggy installs with all of them - making things right is more of how much detective work you may be willing to undertake.
WinME has been fine for me for the most part - I have done everything from going DOS/Win3.x straight to ME and installing all of the upgrades one by one (Win3.x, 95, 98, 98SE, ME - even up to 2K with some testing) and running the upgrades. Very little hassle at all. Most pains come from hardware ability/compatibility (usually driver/resource). Bloat is also an issue, but it doesn't prevent you from doing your day-to-day - more of an issue of how much of that 20-80 gig drive you are willing to devote to let the OS have.
Go with ME, you should not have any issues.
BTW - I DON'T Work for MS, never have, never will.
Win2K Rules!!!!