How do I manage (add - delete) icon resources in VB.NET Express 2005?

I'm trying to write a VB.NET Express 2005 Windows application. I would like to store the various icons in the application resources.
Here's what I'm doing:  I want icons on some menu items, a toolbar and on form buttons. I click on the menu item and in the properties box I click on the ... on Images to add an image to the menu. I have the choice of Local resource or Project resource file.
If I always choose local resource file, it all works fine, but I don't know if that will work when the application is running on a system without the same path to the icons (png files).

So I choose Project resource file and add the image to it and it seems to work, but if I make ANY changes to the list of resources (like delete one I decided I don't need), the application doesn't build any more and in fact seems to crash. This happens even if I am NOT using the image for anything!

Deleting the image from the resources folder (resources.resx) seems to work until I try to run or build the application. Even though it was deleted, when I try to build the app again, I get errors that the resource isn't available. To fix it, I have to delete the menu completely and start over.

What's the right (or best) way to use/manage images (icons) in menus, form buttons and toolbars?

I need to be able to add new images for other forms / buttons / menu items later without messing up what I've already done. Please help me understand the best (or right) way to do this.

Thanks,

Ron