I have a site that i want to use to set up another portal (which I have already done) http://www.morrisschooley.com/web/  and http://www.morrisshcooley.com/web/towner. The question is, can this be treated similar to a subdomain? I want to transfer another DNN site http://www.townerpark.com/ (not working as of today) database and all to use it on the portal created on the morrisschooley.com/web/towner site. Is this possible or would it be a better route to just create a subdomain and install DNN again?

sorry, i might misunderstand your question, but if you try to merge databases from multiple DNN installations, this is not a trivial task; you will get best results by creating a portal template and create a new portal on the target DNN installation.

If you want to move a DNN portal from www.morrisshcooley.com/web/towner to www.morrisshcooley.com, you need to add new domain address as additional portal alias in Host :: portals for the portal, move DNN installation to web site root and afterwards check all rich text for internal links you might need to adopt.