Well folks, mark it down, 6/30/2015 is the day the iPod died. I got my hopes up when I updated iTunes to 12.2 and was able to add "apple music" albums to my collection and the cloud icon even showed up to download to iTunes.
I got all giddy and plugged in my Nano, selected a new playlist with the Apple Music items and clicked "sync." To my sadness, iTunes gives you a popup notice to the effect of: "could not sync Artist-Song because Apple Music can't be synced to your Nano, click to see all XX errors." With the XX being all the remaining items in the playlist.
So there you have it, until Apple decides it is time to release an Apple Music iPod, or for f' sake update the current iPods to allow offline syncing of your "WHOLE" Music collection, it looks like they officially killed off the iPod today.