My basic problem was that an Author is at Level 2. For some reason I thought it was higher.
So, when I added the menu, I had to have the minimum level at 2. There is also the option to allow someone to have access based on their capability. Since I wanted this available for someone who can create post, I changed the level 2 to publish_posts.
// mt_add_pages() is the sink function for the 'admin_menu' hook
add_management_page('WP People', 'WP People', 'publish_posts', 'wp-people','wp_people_admin');
// Insert the mt_add_pages() sink into the plugin hook list for 'admin_menu'
Now my WP People menu item now shows up in the Manage area. All I have to do now is fix the css styling on the popup window and do some code clean up and WP People version 2.0 will be done. Yeah!!