Hello nutt, welcome to NST.
I would suggest using a 3rd party partitioning tool (Gparted, for example, which is free) to format the F: partition. I would also suggest disconnecting disk 1 before installing Win 2k so you can be sure the boot files and the boot code get written to its own drive.
And then if you choose to boot from the drive by putting it first in the boot sequence in the BIOS, you will be able to boot Win2k without the need of another bootloader, should you need to.
Once you have down that, then just reconnect disk 1 again, make sure disk 1 is first in the boot sequence in the BIOS, boot into Vista (or XP - either one should work fine). Next, get
EasyBCD 2.0 Beta, re-add the XP entry (you'll see why in a minute), and you'll get a message asking you if you want to let it auto-configure boot.ini for you. Click Yes.
And then you will be able to boot into either XP or Win 2k from the second menu at startup (initiated by selecting the XP entry in the first menu). Just FYI, this is done through the same boot.ini file which will be located in your "system" "active" partition (as seen from Disk Management).
Cheers.
Jake