OK. After going to Tandy MULTIPLE times, downloading and looking at MANY videos (especially Bruce Chaney videos), I found out several things:
1. The leather was wrong. The leather I was using was some type of sealed leather. I remember buying it at Tandy a while back but never used it. I though it was a good piece of leather to use for a cover but not for carving. So,
2. I bought some veg tan and recut the cover. Spent all day yesterday carving and stamping into the veg tan and came up with this. I know come of the cuts are messed up, but this is the look I was looking for.