In iMovie is there a way to have the background have key frames and motion (similar to picture in picture)? I want to see in iMovie if there is any way I can have my background image start in one location at the beginning of the movie and end of in a different position at the end of the movie.

I see I can do that with a non background image using picture in picture and key frames but I want to see If I can do that to the background image as well?
iMovie is just not meant to be that flexible. You have more options in Premiere Elements, the affordable consumer-grade version of Premiere Pro. Or, of course, the 'pro' applications such as Final Cut Pro.