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Dan's the expert but since he has not answered I'll tell you what I do. When the bit is finding the surface of the board I hit stop and then choose #3" Jog to position" and move the carrier in the X...

I have this problem occasionally even though I use a piece of 1/8th plywood to set the board 1/8th inch above the rails, just raising the board a little higher solves the problem.

I could be wrong but I do not think you can. I just make the key hole a separate pattern.

Actually Suzanne it is not that bad. It looks like a lot to begin with but once you get started it is pretty easy. Mine is almost complete.