Well, I really thought that would be the last of my problems, but another one popped up. Turns out, ReplaceColor doesn't work in Construct 2 if the sprite has any change in Opacity. Not great when you are lowering your Overlay sprite to 35% to get the look you want. A work around is that I can put all of my overlay sprites on the same layer and lowering that layer's opacity. The hard part there is getting the overlay sprite layer to match the main sprite layer. Not sure how I would exactly do it. I'm sure its not impossible, but definitely tricky.
Above, I've added a quick cape graphic to see what it would look like. Also, put my intended overlay on the character. I'm going to try and use Animate Pro's morph feature to do some quick animation to the cape and attach it to the player sprite. I'll hopefully post that soon.