OK, figured one part out. When I checked my settings in Facebook, I noticed that the iPhoto app was set so that pics that were uploaded were visible only to myself. This was over-riding the setting within iPhoto. When I changed that within Facebook to allow iPhoto to post to Friends, that problem was solved.
I still can't get iPhoto to add location information in Facebook. It seems that Facebook strips the GPS tag, as this happens when I manually upload photos from within the Facebook webpage. Is there a way to change that?