I went through everything and found that I had a bad cable (it was grounding out my pwm signal). I fixed that and have the router working now.
I currently have full speed control of the router. It is controlled with M3. PWM is set for pin 16 and is split to go to both the laser and the router. The mach3 setting are:
Motor outputs:
spindle Step pin 16, Direction 0
Output Signals,
Output 1 port 1, pin 14 (K2 router Relay)
Output 2 port 1, pin 1 (K1 Laser Relay)
Spindle Setup:
Relay Control (on - unchecked) M3 and M4 both set to output 1
Motor Control - use spindle Motor output (check) ,PWM Control (check) Step/Dir Motor (unchecked)
SmoothStepper Config:
PWM Checked
Base Hz 5000
Currently M3 works great and I can control the speed.
What I am uncertain of is how disable the router, keep the pwm signal and enable the laser. I was thinking of modifying M6 to turn off the router, but leave pin 16 active when a tool change was called for with a specific tool number that would represent the laser. Lets use 150 as the laser tool number.
So the scenario would look like this:
load a g-gode file. It has a header that has the dust collector start (m7). Then a m3 with a tool number (say 4) that represents a .25 endmill. A speed (15krpm)- etc... G-code..Then, ToolChange! M6 with a call for tool 150 (Laser).
M6 would have a script that starts when it see if it is tool number 150. If it is, then It turns off the spindle, leaves pin 16 active and turns on the laser (k1).