From the manual entry for fread:
<?php
$filename = "c:\\files\\somepic.gif";
$handle = fopen($filename, "rb");
$contents = fread($handle, filesize($filename));
fclose($handle);
?>
The $filename (as a URL) would be placed in a text box in the form. Once $contents is read you can use other filesystem functions to move it to another folder on the server, rename it, etc.