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EVERYONE! I figured out a way to install this mod and not have the infinite loading screen:
Start up OpenIV
Edit the file called "fxdecal.ytd" located in x64a
Find each of the original image names that match up with the modded image names and replace them
BUT after replacing each of the 4 images, go through each of their "Properties" and change the "MipMap levels" to 1 and the "Pixel format" is set to "DXT5". Hit ok and save it.
Worked for me! But I think the MipMaps being set to 10 instead of the game engine only being limited to 1 for these images is what is causing the infinite load screen.