How do you setup a new RPM database. For example I have copied a bunch of RPMs of a CD into a folder on my HDD and I want to speed things up by having RedHat look in that folder to install new packages. Anyone know how to set this up?

this is not a reason to set up a new rpm database. A new database is set up when actual database is corrupted or rpm is not functional.

you seem to need a local repository. For that you can use yum