Here is an update on this issue for those that may find the same issue.
I added the following lines to the /etc/bashrc profile script at the very bottom.
saved the file then logged out and back in. After I did that the installer script downloaded the FOGService.msi file without error and the kernel and init.xz files existed when the installer was done.
Just to restate the issue, if you have your FOG server behind a proxy server you must update the bashrc file with your proxy server settings AND wgetrc with the proxy server settings, because both commands are used to download files in FOG.