I don't know if I'm just doing it wrong or if parts are simply not working.  But I am trying to get fog cloud to work as a granted spell once per day as well as make it count as always prepared if they want to cast it more with spell slots.  the first part works fine but It doesn't seem that "always prepared" does anything. 

If this is a racial spell, you do not need to bother with "always prepared", all racial spells are effectively considered prepared and ready for use at all times.

If you choose "included in known spells" as no this ensure the spell does not interfere with class spells in any way.

You will need to use the Limited Use section, however.

-- edit --

On re-reading I think what you're asking is if it's possible to have a Racial feature add a spell to your list of class known spells which cannot be done in D&D Beyond as far as I can tell.

cool that does answer my question. thanks