Clueless in Sweater Land

I have been working on this same sweater forever, but that doesn’t mean that the pattern is getting any easier for me to understand! The sweater is a wrap, and I am working on the tie and edge part of it. I have 7 sts in a rib that I worked for 30 inches increased to 14, put 7 on a holder, and continued on those 7 sts for another 13 inches. The rib was k2, p1, k1, p1, k2 on the right side and k1,p1 across on the WS.
Now it says: [B]Work Side Opening: Next row (RS): Rib 2, cast off 3, rib to end.
Next row: Rib across row casting on 3 sts over those cast off on previous row. [/B]
Does this mean that on the first row, it’s knit 2, bind off 3 , knit 2?
And on the second row, I knit 2 and then how do I “cast on” 3?
Can anyone please help me make sense of this so I can finish it in this century? Sally

You’re correct about the first row–k2, bind off 3, k2.

When you go back, p2, cast on 3, p2. You can use any of the single strand cast-ons; backward loop, knitted or cable.

Do I use the stitch on the left needle(beyond the hole where the three sts were cast off) to cast on new stitches or do I have to make a slip knot? I keep trying it with a slip knot but it doesn’t seem right.

Start with the stitch.

You do not add a slip knot when casting on stitches mid row. Personally, because you are working until you reach the gap and there is no stitch immediately to the left except on the other side of the gap, I would use the backward loop method. It casts the stitches directly onto the right needle without having to use an existing stitch to cast on, like you do in knitting on or cable cast on.

You can turn the needles around and use the stitch you just made as the start, then turn back and go on.