Alright, after puzzling over it and using all my fingers to do the math, I emailed the designer. As it turns out there is an error in the pattern. Talitha Kuomi kindly emailed the correction:
"Shape crown, changing to dpn when
Rnd 1: [K3, sl m, *sl 2 kwise, k2tog, p2sso,
yo twice, sl 1, k2tog, psso, yo twice; rep
from * to next m, sl m] 5 times—105 sts
Also to be sure that I've fully answered your questions, yes there should be 105 stitches left at the end of the decrease round. If you follow the bit of the directions above (with the p2sso included), you decrease 3 stitches every 'section' starting with 21 sts + 3 k sts and decreasing down to 18 sts + 3 k sts in each section. Knit happy!"
Keelys, does this work with the rest of the pattern?