Nope, it's not that. Or at least, I don't think he was talking about that...
The way those work, is you make a new folder inside your normal Templates folder and put public_common and any other template files you want in there. Then go to the cpanel section for it, and UBB automatically finds it and allows you to select the new template set. Basically makes it really easy to have several different HTML page layouts running on the same forum.
---Jamin