So I've been working on the basement, and it is now almost ready for paint and then set up the storage shelving.
This photo is at the bottom of the stairs into the basement. You can see that I have removed the carpet and scraped off all the foam backing that was stuck onto the stairs. You can also see the splint that I had to put on one of the studs. It was bowed out severely, so I cut it almost completely through in two locations, pushed the stud in so it was in line with the other studs, and then fastened a cripple stud on one side to keep the newly straightened 2x4 in place.
This photo shows the basement "workshop" area. It is really a storage area, but it could be used for a workshop. I removed the old light fixture that was wired illegally and installed three pot lights with a switch that is at the top of the stairs - the pot lights are on the stairs, in front of the laundry room entrance, and half way in between (which happens to be in front of the entrance to the bathroom. The pot lights are marked with a ">" in the photo - they don't show up very well in the flash photos.
I also hooked up my workshop fluorescent light which you can see at the left middle of the photo.