UK Passport Application

Forgive me if this has been asked before, but all the information I've read both here and at other sites is just swimming in my head lol.  Here's the scoop... I'm a US citizen, born and raised in the US.  Both parents were born in the UK, and are also US citizens residing in the US.  My mom registered my birth with the British Consulate when I was born, and I have a British Birth Certificate in addition to my US one.  I've read over the UK passport application but it's making my head hurt lol.  Do I need to include anything other than my British Birth Certificate, current and past US Passports, application fee, passport photos, and of course the application itself?  I just want to make sure that I don't need to include my parents marriage and/or birth certs since my birth was registered with the British Consulate. 

Also, the application itself is a bit confusing (Form C1).  Section 1a asks if my birth was registered at the British Consulate.  I obviously ticked Yes.  But then where do I go from there?  For people ticking No, the arrow leads to the boxes 1b asking about citizenship, etc.  Do I fill that part out with my british birth cert information?  The arrows on the form are a bit confusing lol.  Section 1a seems to lead to a dead end in my case, unless I'm reading it way wrong lol.  After that, section 2 asks for my parents info.  Do I need to fill that out?

One last question that had me befuddled... the declaration at the end.  Item 4 states

(delete if not appropriate) If the passport mentioned in Section 5 comes again into my possession, I will return it immediately to a British passport issuing authority.

I'm assuming I want to delete that part since I will be attaching my current valid US passport which I will still need for travel into/out of the US.  Is that correct?

Any help would be appreciated.  I usually feel I am quite intelligent... but leave it to forms like these to prove me wrong 

Cheers!

I have looked at the background notes on the BritainUSA.com embassy website, and it does not appear to me that you need anything more than what you have said. To be on the safe side and to save yourself the trouble of having to do things over, it might be worth a phone call to the consulate before sending the application in to make sure that the British birth certificate/registration certificate from the Consulate would dispense with the need to prove your parents' British citizenship.

The section on previous passports has to do with previous  (lost) British passports, not any American passports you hold. The consulate will not retain your American passport.

When I was naturalised here I had to send in my American passport as well; it was all returned to me, safe and sound.

If you're in doubt, ring up the consulate and ask them in person. I always find it clearer to get an explanation from a human being rather than from a form!