Clearly no one seems to be able to find an easy way to fix this. Im pretty sure the issue is the Intel driver conflicting with the Catalyst driver, this was fixed for a while in 12.10 by someone downgrading it in a ppa. Anyway Is there any way to just disable the intel gpu and run pure AMD gpu. I know you can blacklist the amd but have had no luck with the intel. Or can someone make a fake intel driver that still lets you boot up in AMD, just dont switch to intel and it will be fine.
Someone did it, it's in the “Old hybrid graphics works” thread posted by BastiFantasti.
This guy's guide works http://ubuntuforums.org/showthread.php?t=1930450&page=76
That said, for 64-bit I had to pull the files from other sources than the ones listed in the post. Then in Synaptic I locked the Intel drivers so they could not upgrade.