Hi, Jeff,
sorry for the late reply, but basically I am already on holidays for a few days, just had one spare minute.
Here's how you do it:
1. Create an interactive layout.
2. Create a picture box.
3. Make that a "video object" in Interactive palette.
4. Place the video into the box (choose or external reference in Interactive palette).
5. Add controls to start/stop video (or just use the option to start upon click).
6. Go to advanced layout properties, "share" the layout.
7. Create a web layout IN THE SAME project as your interactive layout.
8. Open "Shared content" palette.
9. Drag Interactive layout into web layout.
10. Design web layout and export as HTML.
Does that work for you?
Thanks
Matthias