photos not appearing in MBP Photos

My photos from my iPhone 6 (IOS 7.3) are uploading and in iCloud photos. Here are the settings from preferences in Photos.

Notice Photos is trying to upload the pics to iCloud, which is a pain because my upload speed is very slow (.4 mbps). It's also stupid because all the pics are ALREADY in iCloud. Why doesn't iCloud just send the pics that haven't synced in photo streaming down to MBP? I certainly don't need duplicates in iCloud.

Here are my iCloud settings regarding photos in system Preferences.

So I've been using Macs since 1999, and iPhones since the original. I guess the sync feature came out a few years ago and everything worked fine until Sometime in February of this year.