So I have found if I set direwolf to
PTT /dev/ttyUSB1 -DTR RTS
then the FSK light comes on and when it transmits it flips from FSK to PTT.
That I find functional.
Now to figure out why nothing else understands it when it transmits.
I am thankful for all the replies and help, don't misunderstand my frustration but I do believe there is a issue with RTS and DTR in direwolf as I'm not the first to have this issue and likely not the last.