Well thank you Hildegard_von_Knittin. At least I don't feel like a total ding dong. I hate it when the pattern says easy. Define easy.
This pattern has a long piece that you sew together to form a tube and a bottom that also has to be sewn on. The flap is made on the side portion of the knitting (I think) or the top of the tube once the other stuff is sewn together. I'll have to try it when I get that far. I was just so confused reading it over but it makes a little more sense now. Sometimes it helps just to talk it through with someone.
Thanks again everyone for the help.