Well I just got back from going to 3 other stores and here is what I have come to the conclusion of.
I looked at the Pentax K10D, Canon 40D and XSi, and the Nikon D80. All the stores recommended the Canon bodies, except one in which the person I was talking to owned a Nikon D200. The reps basically steered me to whatever they personally use, which is what I expected. That being said I think I am going to go with either the XSi or 40D. The Nikon had decent pictures, but I do not like the menu and how you change setting on it (it's too cumbersome of an interface IMO). The Pentax is also good, but limited lens/accessories which means the lenses will end up costing more (since not as many 3rd party lens options). As an added bonus I found out today my mom has her old film Rebel lenses, which should work on the XSi or 40D and I could get them because she cant use them on her current camera (its a Sony).
So from the quick look through the pictures (I snapped a few hundred and will spend most of the night comparing them), I like the 40D better when all else is the same (lens, ISO, etc) by far for a few reasons. 1st is the frame/grip is much better and feels better in my hand, 2nd I like the LCD on the top of it for the ISO and such much more then the 3 inch LCD on back, 3rd pictures had less noise and looked a tad sharper, and finally 4th most of the accessories will work with a higher up cannons (same batteries, etc).
Now all that being said I still am thinking I will go with the XSi so I can spend more on lenses and other accessories (maybe add a tripod/monopod, etc that I wouldn't with the 40D).
Since I have the bodies down to one brand I can start narrowing down the lens choices. Here is what I am looking at in that department. Buying the XSi kit and using the kit lens for wide angle to start (for $100 getting an IS lens, that is fairly well rated is worth it IMO), then buy the EF 70-200mm f/2.8 L USM for a telephoto starting point. This puts me right around $2k+accessories. I would kind of like to drop that price down, but can't unless I change the L glass lens for a 3rd party lens or non L glass lens. I don't like that option, as I would rather have a top of the line lens then 2 mediocre lenses (either way would be in addition to the kit lens so add that lens to both options). The pros of the L glass is obivously going to be a better lens, and is also a 35 mm sensor capable lens which is what I want to upgrade to eventually so this is an important feature. I am heavily leaning towards getting the L glass lens, because the Sigma 50-150 mm has focusing issues from the reviews I've read but the Tamron 70-200mm f/2.8 SP AF Di LD IF Macro Lens is too new to find many reviews on. Hopefully I can find a shop in the area that has the Tamron and Canon that I can test out on the same body and such (XSi or 40D, preferably the XSi as it is what I will most likely get). For the price difference I would go with the Tamron, but the L glass has the Canon name and will hold its value better (although I don't plan on selling it).
Edit: I have 3 lenses in the telephoto range I am looking at. The Sigma 50-150mm f/2.8, the Tamron 70-200mm f/2.8, or the Canon 70-200 f/2.8 L glass. The 3rd party lenses of course are cheaper (~$400 or so). The Tamron and Canon are both lenses that support 35 mm sensors (not cropped), and are f/2.8 (which is what I need for sports/action). I hope the shop that has the L glass and the Sigma has the Tamron also, because I need to compare all 3 with the same camera/settings/shots. Anybody have any of these 3 lenses or tried them?