With the help of Rob (I will not write his full name) that reported this issue to me, I was able to find a solution.
The XNA framework version (3.1) link I attached with the PortX360 is NOT the correct framework to use with the PortX360.
To fix this issue you must install Microsoft XNA Framework 3.0 from this link:
This should fix the crashing and let you use the PortX360.
Thank you Rob!