I like the design, very web 2.0 although i do agree that there are too many menu items, simplicity is probably the best thing when it comes to web 2.0, there will be a lot of people who may not know how to navigate a website properly, the last thing you want is for people to sign up and then not come back.
Yeah the navigation to any site is important, we will make sure Sceneparty.com is very easy to navigate.