Earlier quoted context omitted.
All righty... it was just a usage of the term "flat file" I was unfamiliar with. :-)
Yeah, I think they made that up. I've only ever encountered the term "flat file" in the sense of a flat file database, such as a CSV file. As you say, pre-rendered static page is a much better name for it.
"Flattened files" may have been what they were meaning. "Flattened Files" would be a nice simple term for them if there wasn't confusion with Flat-file databases.