So I downloaded the FPS Optimizer to get my Morrowind to play in widescreen... I change the appropriate settings and nothing happens. IT does say "Morrowind Process not Found!" and when I try to click launch Morrowind, it says that it can't find Morrowind.exe.. I browse to my morrowind folder where it is and it doesn't show up in the browser for me to select. It just shows the folders. I got the game through steam, so the Morrowind folder is not where it would normally be. However, I created a Bethesda folder under program files and I copied and pasted the EXE file to the apropriate place and got it to launch morrowind from the FPS optimizer but it still doesn't change my FOV...

Any clue what I could be doing wrong?

As long as it's in the same folder as your Morrowind.exe it should work.
There is no need to launch Morrowind from the FPS Opt.
As long as the FPS Opt is open, you can start Morrowind normally and it will work behind the game.

Make sure you're using http://planetelderscrolls.gamespy.com/View.php?view=utilities.detail&id=22, because version 2.0 has some problems.