Ok, spent some more time on this. So far I haven't found any issues with this, so please let me know if any of you find something.
got to /etc and make a backup of "authorization"
Edit authorization (you'll need to do this as root)
find the <key>system.login.console</key>
under the mechanisms array add
<string>builtin:smartcard-sniffer,privileged</string>
find the <key>authenticate</key>
under the mechanisms array add
<string>builtin:smartcard-sniffer,privileged</string>
save the file
next add your reader and card.
open terminal and type:
sc_auth hash
You'll see a line that looks like this:
01C2F20D8964BE7701B57B63B0A1795B8F2604C1 Identity Private Key
use the key from the output and type the following using your current username in the "myuser" spot
sudo sc_auth accept -u myuser -h 01C2F20D8964BE7701B57B63B0A1795B8F2604C1
REBOOT
I'm hoping I got the steps correct, as I tried multiple edits on the authorization file, and a few reboots before I go to what appears to be a working setup. These are the steps I used after restoring the authorization file from backup and trying again. I did a reboot before testing anything as one of my initial tests appeared to work correctly until I rebooted, at which time nothing worked anymore.
I have done multiple open/close, lock/unluck of System Preferences both with CAC in and out over the last few days, no reboot, multiple sleep/wake cycles, and it seems to always function. The only thing I have noticed is that authentications when CAC is inserted (Sys Pref, return from sleep, possibly others) is a bit slower before the password dialog box pops up than when CAC is removed.... small price to pay for not needing a reboot just to change Prefs after using my CAC.
Let me know if you experience something out of the ordinary using this setup.
-- OSX 10.7.5, MacOSforge Smarcard Services 2.0.b2 --
UPDATE:
After 3 days of testing, and then posting, I just pulled my CAC reader and my Sys Prefs are locked up. It could have something to do with the fact that I pulled the reader with the card still in it, instead of pulling my card first like I always do. Will do further testing on this to see if it's the case.