Since your original contribution was to a Roth IRA, all of your entries are to be made in the sections dealing with Roth IRA contributions. When TurboTax indicates that you have a $7,000 excess Roth IRA contribution, you'll indicate that you recharacterized the $7,000 contribution, not a $7,016 contribution. $7,016 was the gain-adjusted amount transferred to the traditional IRA, not the amount recharacterized. Since the original contribution was not to a traditional IRA, entering nothing in the traditional IRA contribution section (or enter $0 as your traditional IRA contribution This is what the TurboTax instruction that you quoted is saying to do.
Everything that you say you entered appears to agree with this. The result will be either a $7,000 nondeductible traditional IRA contribution on Form 8606 line 1 (most likely) or a $7,000 deductible traditional IRA contribution on Schedule 1 line 20 (or the $7,000 split between these two), depending on your circumstances.
The $16.13 of gain transferred to the traditional IRA simply becomes gain in the traditional IRA. The only reference to it that should be present in your 2024 tax return is in the explanation statement for the recharacterization. When converted to Roth the $16.13 will be taxed along with any other gains that occurred while the money was in the traditional IRA ($62 total taxable, if I read your original post correctly).
