I am not aware of any partitioning tool native to Windows that can resize partitions. The 'fdisk' tool that comes with DOS and Windows can create new partitions, however (This can be found on your installation disk).
I, personally, have never used Partition Magic (but I have set up a dual boot with RH). From what I know of PM though, it is very easy and user-friendly. Maybe someone with more experience with PM in the LQ community could enlighten aeb105?
Also, I think you should look into Knoppix. Oh, and to find out more about Parition Magic -> http://www.google.com