I just called Apple and they said the issue was with my MacBook Pro display and it was a simple fix.
1) shut down the computer and be sure it is plugged into a power source
2) After off, hold down all these keys for five seconds: shift, control, option and power button (nothing will appear on your screen if done correctly - the laptop will not power up, but it does re-set)
3) Now this takes a quick and deliberate act - prepare to hold down these keys all at the same time: option, command, R and P. Then hit the power button and immediately hold down all those keys - you will hear the startup sound, keep holding them down until the second startup sound and then let all go
4) The laptop will boot up normally. Log in and then open up system preferences, go to displays, under airplay display, select apple tv and it should connect
That should fix this issue!