Can anyone help me understand how to do this. and is this the best way to do it or should i be using a different program? Would really appreciate some help.
There's nothing special to observe. It's all just hard code work. Nothing you can do in design view, though there is some plug-in for DW that tries a bit of that by inserting data in the otherwise empty WP query fields to produce a usable layout. The rest is just ...edit code - upload to test server - preview - edit code.... So if you don't know anything about PHP and the internals of WP, you may be trying something that is beyond you (no offense).
Just study the CSS file and related images until you understand what relates to what; then tinker with it until you get what you want. There is also a useful DW extension for Wordpress in the Exchange called Themedreamer