Photos have been removed
11.1 You retain copyright and any other rights you already hold in Content which you submit, post or display on or through, the Services. By submitting, posting or displaying the content you give Google a perpetual, irrevocable, worldwide, royalty-free, and non-exclusive license to reproduce, adapt, modify, translate, publish, publicly perform, publicly display and distribute any Content which you submit, post or display on or through, the Services. This license is for the sole purpose of enabling Google to display, distribute and promote the Services and may be revoked for certain Services as defined in the Additional Terms of those Services.
11.2 You agree that this license includes a right for Google to make such Content available to other companies, organizations or individuals with whom Google has relationships for the provision of syndicated services, and to use such Content in connection with the provision of those services.
This says that while I retain copyright, Google can use my photos however they choose. I'd prefer language saying that Google can use the photos to promote Picasa or it's successor, but I'm not at all happy about giving my photos to third parties without my consent, attribution, or remuneration.
Google is not alone in doing this. It's a common consent clause in many photo contests, too. Think of it, a company gives away some trinkets as prizes and gets full rights to use all the photos in return.
For now, my photos will be posted on Flickr under CycleDog. I'm considering using one or more of the photos sites like DeviantArt for a few of the better shots.