Update:
I removed the nest. It was absolutely gross. I think I screamed and ran a few times. So, the web, it felt like a wet membrane and actually stuck to the tree. I 1st used 7 dust..left it on overnight. Came back 24 hours later...and nothing. The nest looked the same. So I had to get brave. I suited up (put on some good gloves) and grabbed a small shovel and some 'Captian Jacks Dead Bug'.
Sprayed the nest...and waited a few hours. After a few hours, I returned with the shovel.
This is where the screaming and running took place. I removed the wet membrane, to reveal a dead moth...and it didnt smell so great. There were hundreds of eggs. Those got a extra spray. I also used my gloves to 'give the tree a hard rub. Then it got another spray.
I ended up cutting one of the branches off, it looked bad.
Now, I dont know if I got to it in time. I didnt see and caterpillars, but that doesnt mean they arent there. So, if this doesnt work....the entire limb/or even possibly the entire tree. Only time will tell.
Another update will come, when I know if this method worked!