When I import from Photoshop the text files I bring In are missing some effects applied to them in Photoshop (i.e. drop shadow, outer glow etc.) Why would this be am I missing a step why I bring it in as a composition cropped layers and convert them to editable text or is it a coding error on my end. Any advise would help.
What version of AE? Only CS3 and up get over all PS layer styles. Versions before that will either only bring over partial effects or none at all; some of the effects will be re-created by establishing additional sub-comps. Assuming you are using CS3 and up, perhaps you simply forgot to select the Editable Layer Styles option and chose the flattened variant instead, which naturally will not update and disappear when you convert the text....
Just a personal anecdote.
I have several Photoshop people who try to provide me with files for After Effects and Final Cut Pro projects. Bless their little hearts, all they understand is how to print on white paper. It has taken many years to convince them to just give the raw, naked, un-effected stuff and to allow me, sometimes with their guidance, to apply all effects and filters in AE.
This just makes all of my work in AE simpler and cleaner; I know exactly how things will look as I go to video.