What sequence settings for MP4s  when importing them? Rendering is a pain.

I downloaded some clips for an editing project and the codec information listed for them is H.264, AAC, MPEG-4, ODSM, MPEG-4, SDSM. I imported the files into FCP 5.1.2 as part of a new project so what exactly do I change so I don't have to render them every time I make an edit or apply a filter? I'm assuming I change the sequence settings but what exactly do I change...the QuickTime Video Compressor settings? Tried it for H.264 but it didn't work unless I missed a step. Thanks for any help.

chances are Shane's excellent tip will get it all set
up for you, but be warned that not all non-standard
codecs can be edited "natively" in FCP, and you
should not automatically assume that they can.
if you are trying to work with clips in one of these
non-native codecs then you should transcode them to a
native format, such as DV, first. (you can do this
using FCP's Batch Export function)
After using the Batch Export function on the clips as well as individual clips I am receiving General Error messages when I try to import the file(s). Any thoughts? I tried Shane's tip as well and it works except for the audio rendering as mentioned in the tutorial. Not a huge deal though. Now I need to figure out a way to do the Multi-Clip sequence thing for 16 clips since it only does it one clip at a time.

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