Okay, I figured out how to do this, so if anybody searches for this in the future:
bozo is right, you have to use nero's 'bootable cd' feature.
Select 'New..." then click 'CD-ROM (boot)' in the left pane, then click 'New' button. Then what you will need is your bootable floppy (in my case it was a win98 startup disk), put all of the files from your bootable floppy into the cd. then click burn.
Worked like a charm.
-shane