1) create the SQL databases on your control panel. NOTE: Unlike REAL Hosts, these take a Minimum of 30 minutes and possibly HOURS(or days) before you can access them. Make note of the Hostname, database name, username, and password.
2) Grab Lunch..
3) Go back to the SQL portion of the control panel periodically and click on your SQL server name. If it asks you for username/password then your database is all set.
4) Enter in the info from step one into your script.
Does anyone search the knowledgebase any more?
Dreamhost Hosting - Last one out, turn off the lights. Alternative.