I think you have the -P parameter inside the header calculation:
wget -N -P /home/test/public_html/resources/ --header="If-Modified-Since: `date -r /home/test/public_html/resources/testing.zip --utc --rfc-2822 2>/dev/null || date --utc --rfc-2822 --date='1 week ago'`" http://www.test.com/files/zz666/testing.zip
There is no -P
option in date command ...