When importing raw files into LR 5, the photos are going into a separate folder on my hard drive as DNG's, how do I get rid of this separate folder so this doesn't happen on import? Also, I created a separate folder naming it 2016 but photos are going into the previous folder, 2015. How do I correct that?
The files are importing as DNG files because you have "Copy as DNG" selected the top of the import dialog. All of your other issues are related to setting up the appropriate options in the import dialog. You can choose import into one folder and then choose the folder in the panel on the right-hand side. If you have also chosen to import into a subfolder then that subfolder will be created. Just watch your import options and ensure that you have them set properly.
I'm still doing something wrong in that this is still creating a separate DNG folder even when I just hit "copy" at the top of the LR5 page rather than "copy as a DNG". Any ideas?