I'm not sufficiently familiar with the DNR and arcGIS stuff that I can help you out there. First some more questions and then a suggestion relating to the GPS Babel conversion.
1. What model of Garmin GPS are you using?
2. Do you have a standard Garmin map already loaded on the GPS?
3. What Garmin map(s) do you have loaded? E.g. just the basemap that normally comes preloaded on Garmin's units? Or some detail maps, like Topo or City Navigator or Metroguide, etc.?
4. When you do the DNR or arcGIS conversions are you loading a vector map to the GPS or a raster image (and do you know the difference)?
I am beginning to suspect, from your comments about using a KML file, that it's an Oregon or Dakota or Colorado or similar model that supports Garmin's Birdseye imagery (e.g. raster images) and that you are loading a raster image. If so, I have no personal experience with that so I can't make any useful comments.
5. Comment, not question: When I asked you about the CSV saved file I asked you to look at it with a text editor, like Notepad. Opening it again in Excel tells us nothing because it will always display it in columns. What matters is what the saved CSV file *really* looks like when it gets fed into GPS Babel. You can only tell that by looking at it in its raw form with a text editor.
The CSV file is just plain text so it will be obvious as soon as you look at it. As I described in my previous post, the first row of the spreadsheet should show up in the saved file as the first line of text with the title text separated by a comma. The rest of the rows should show up as your long/lat pairs, each pair on a separate line and separated by a comma.
6. You are missing at least one piece of data in order to create waypoints using this method. You need an additional column in the spreadsheet for the waypoint name.
7. The titles for the long and lat values should be "Longitude" and "Latitude" so GPS Babel will know how to tag them in the GPX file it will create.
Here's a sample of the first two lines in a CSV file:
Latitude,Longitude,Name
35.97203, -87.13470, Mountain Bike Heaven
If you include the column titles in the first row of the spreadsheet so the first line of text in the CSV file contains the titles you should select "universal CSV" in GPS Babel.
That should result in GPS Babel producing a good GPX file.
You can check the GPX file with your text editor. It should be pretty obvious whether the right data values got put in the right places because they will all be tagged, e.g. <waypoint>Mountain Bike Heaven</waypoint> <latitude>35.97203</latitude>, <longitude>-87.13470</longitude>, etc.
If you are still having problems with your installation of GPS Babel crapping out on you (it should work if you get the file format and contents right), use the online version (your search engine is your friend).
After that you're on your own with getting from the British National Grid to WGS84. If I was doing it I would set the projection in Mapsource to the British National Grid (if it's a selection in Mapsource) before you import the GPX file. You can test whether this works by simply opening Mapsource, selecting a detail map (e.g. Topo, City Navigator, whatever you have installed), changing the projection and creating a waypoint using the British National Grid coordinates from one of the waypoints in your file (just manually type the coordinates in). If that works, you should have no trouble with the GPX file.
I don't know what Mapsource supports at the moment because I don't have it installed yet. I just did a clean install of Win7 a couple of days ago and I don't have any of my navigation stuff reinstalled yet. That's on my todo list for today.
...ken...