A few things we might want to know:

-what version are you playing? (i cannot find the thread, but i believe that the boats may have been disabled as there were some problems, especially as it relates to the AI)

-did you build your harbor on a beach? (it's weird, but there is a bug in some versions that lets you build it anywhere in your city. this can prevent you from using boats correctly).

-how are you trying to move the boat? (i find it sometimes ignores you if you give it a destination more than a few tiles away unless you move it out of the city one tile at a time first - i suspect it is related to harbor placement).

Also, they probably want your save game, and a screen capture would be nice for the rest of us if you please.

1.Yes it is on a beach

2.I click on the boat pic and try to move it around in the water (just like clicking on the soldiers to move them). I get some sort of a error when I try to move it. 

and how do I put screen shot on here? also were do I upload my save file?

The tech is still in the civ tree.  At least on the Empire side of things.

There aren't supposed to be any boats or harbors in the game anymore, so that's why you're getting an error. The actual bug here is that Empire actually lets you build harbors.

I can research them as a kingdom in 1.2c beta too... I'll try and build a boat today and see if it works or not.  Why are they taking them away?

They work you might need to exit the game and come back in the game, at lest that is what I had to do...Yeah I want to know why they are taking the boats away too!