The marker light output is deceptive, it's current limited. I've connected many LEDs to the marker outputs of the CC-M, they all survived.
FWIW, the market outputs turn on/off with AUX2, but that doesn't mean they're headlights.
If you want to lose the regulator, you need to do some minor rewiring. First off, remove the regulator and make sure none of the wires are touching anything. Find the wire that went to the regulator that powers the the smoke unit element. This wire will have to be connected to the smoke triac output of the R2LC. Since I don't know for sure what motherboard is in your locomotive, I can't tell you exactly how to connect it. Your ohmmeter is your friend, smoke comes out of the R2LC on pins-5/6 Look around for an unused pin on the connectors and see if you have continuity to pins-5/6, that's the smoke output. That goes to the smoke element. None of the other connections to the smoke regulator will be used. If there is no connector output, my choice is to solder the wire to the bottom of the motherboard, don't solder it to the R2LC.
IMPORTANT
You need to change the resistor in the smoke unit from the 8 ohm resistor to 20 ohms or more, the 8 ohm resistor will go up in flames and take the R2LC with it!
