IT HAS BEEN FIGURED OUT!!!!!!!!!!
New screen is up and working FINALLY!!! I figured up the confusion. So, the newer style DMD screens dont require 5 volts. The new one came configured with the jumpers on W1 conecting the 1s, however the online manual says for Data East, Sega games, the W1 jumper 4s should be connected. Those two different jumper configurations also coincide with a different input voltages for the pins at the input power plug, which is P3 on this new DMD. (It was J7 on the old one) Basically, no matter which jumper setting you are using, the grounds stay the same. The only different is the outer 2 pins, one is 12 volts, and the other is N/C (no connection). Basically, its completely backwards.
So, applying deductive reasoning, I decided to go with the online manual for a few reasons. #1 Its never let me down before, and #2, If I changed the W1 jumper to the 4s, like the online manual, then the 12 volts input pin on P3 was in the right spot. I unhooked the 5 volt wire, as it is not needed, according to the new DMD instructions. #3, if my connections were wrong, then the 12 volt wire would simply be on a supposed N/C, no connection, and would not harm anything.
Well, I did it right.
Screen is up and working properly, I was able to go into the menus and change a few settings and put everything on extra easy and free play and so on.
This has been a long thread but its been worth it. In the end, I still feel I was sold a game with a nonworking screen. I also feel the online manual could be much easier to understand.
Im going to take a picture of the paddlewheel motor connections for DC here in a bit, then this thread is DONE!!!!