I downloaded the pattern for your viewing purposes
I can see the photo that you posted. Where exactly do you think you are having a problem? Is it just a matter of counting sts after every row?
I honestly do not know we’re to begin after the seventh row.
You should have 199sts to begin the main body of the pattern.
For the first row of the main body, follow the directions in the row (P2) and when you come to the “Lace Panel”, refer to the directions under Lace Panel. When you do that,
1st row: (RS). *P2. Work 1st row Lace Panel.
(P2. K2tog. yo. P2. yo. ssk.) twice. P2. K2tog. yo. Rep from * to last 13 sts. P2.
Work 1st row Lace Panel. P2.
becomes
1st row: (RS). *P2. K1. yo. K1. K2tog. P1. ssk. K1.yo. K1.
(P2. K2tog. yo. P2. yo. ssk.) twice. P2. K2tog. yo. Rep from * to last 13 sts. P2.
K1. yo. K1. K2tog. P1. ssk. K1.yo. K1. P2.
Keep doing that for the following rows. For the second row, work the directions as given (K2) and where it says “work 2nd row Lace Panel” substitute row 2 under the Lace Panel instructions. For the third row, work the directions substituting the 3rd row of the Lace Panel where it’s indicated.