Music Playlist Folders - Mac - Problems

When I click on many of the MUSIC playlist folders I've created in iTunes 12.7.3.46 on my Mac they each contain what looks to be every podcast I've ever listened to or subscribed to. I certainly did not put them there intentionally. Further, when I highlight the files and click delete the system warns me that I will be deleting the files from my library, when all I want to do is delete them from the playlist. Right clicking on the folder does not reveal any options to delete files from the folder. It also does not show any option to add an additional playlist to the folder.

My iTunes is a mess. I am wanting to delete some music playlists and reassign various songs to others. Shouldn't this be a basic function of iTunes? If it is, how to figure out the logic behind this is so monumentally unintuitive that it is driving me bonkers. Screenshots follow: