Recommended Wireless Router Settings w/ City-wide Wireless ISP

Hello Experts,
I am a new subscriber to our cities new wireless ISP. Now I'm the first person to say something like: "Don't jump on something new without a chance for bugs to be worked out..." - but the price per year compared to our cable provider was just too much to look past. I'm having a few small issues that I hope you can help me with.
Q: 2 PCs connect at my house - and the ISP recommends some home router configurations which are not sitting with me right (having a bit of experience in enterprise and home networks). I currently have both of the wireless PC's connecting to the wireless router (DHCP enabled, different channel than wireless modem, etc)  and the connection is good, but could the ISP recommendations be better for me? They recommend this:
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Plug your computer into the wireless router using an Ethernet cable. Do not plug into the "Internet" port.

Turn DHCP off.

Set the LAN IP address to 192.168.30.2 255.255.255.0.

The router needs to be broadcasting on a different wireless channel than the Ruckus uses. We already determined what channel the Ruckus was using in step 3 of the previous section. If the Ruckus is on channel 6, then the router needs to be on a channel other than 6. It's best to set the channel of the router to be far from the channel of the Ruckus. For example, if your Ruckus is on channel 6, then you would want to set the router to either channel 1, 2, 10, or 11.

Create an SSID and turn on a security password. This is very important. We recommend WPA2 for the type encryption if your router supports it. Please consult your router's documentation.

Unplug your computer from the wireless router.

Plug a 20' (or longer) Ethernet cable from the Ruckus into one of the ports on your wireless router. Do not plug it into the "Internet" port of the router.

You can now turn your computer's wireless card back on. You should be able to see the wireless network SSID you created in step 5 in your list of available wireless networks and connect to it. If you followed our suggestion by creating a WPA2 encrypted security password, this is where you'll have to enter it in.
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What I'm confused on a bit, is how 2 computers are going to connect to DHCP? If I'm reading this correctly, my router is basically configured as a switch, and each computer will connect to the ISP DHCP. But with my experience, every time I disconnect/connect a different PC to a modem (through a switch even), the modem must be power-cycled and reset&

Am I missing something maybe? Should I be following their rules for better performance??  

Note: please feel free to be technical with your answers, but I would rather not see posts which read only "Always follow the ISP recommendations." ;-)
Thanks for your time!