So I just noticed that you can check "include videos" under the syncing options for photos and it will sync the video's you have in the albums in iPhotos. This is awesome and I know a lot of people have been asking for it (including myself).
i meant the reverse. It use to be if you took a video with the 3GS, synced it to iPhoto on your computer and then selected that album to sync back to the phone, the photos would sync but the video would not sync back. You would have to make the video a video in iTunes and sync it. Now it will sync into photos with the photos from iPhoto.