I'm pretty sure they mean this:
they go right at the base of where that chain is. Usually, you move over one stitch to start a new row/ round. When you want to increase at the chain, you go into the base of the stitch where the chain starts. Hmmm does that make sense? I don't have any pics handy- put the hook right in the space at where the chain comes out, instead of the first set of loops over where you would usually start.
so for row 6, you will have the ch3 and the dc coming out of the same space
and for row 9, you will have the ch 5, tr, ch1, tr, all from the same space.
you are pretending the ch3 is a dc in row 6, and pretending the ch5 is a tr ch1 in row 9.
(it is a way to get the proper height when starting a new row or round.)
hope that hasn't made things worse. If I can find a pic I'll post it tomorrow.....
did I say one project at a time?