you want to do something like this

$ su
# mysqladmin create openstreetmap
# mysql
> grant all privileges on openstreetmap.* to 'openstreetmap'@'localhost' identified by 'openstreetmap';
> exit
# exit
$ mysql openstreetmap -u openstreetmap -p < db/create_database.sql

(the last line above gets you to what the server has right now)

$ mysql openstreetmap -u openstreetmap -p < db/migrate.sql

(this line gets you to where its going to be when we go live with rails)