Yes, the 4L60E that would have been behind the LT1 is a 40 PPR signal, ECM output to speedo is 4000PPM
2004R used 2 or 4 PPR signal, depending on original trans year/usage...not sure how you are going to address that with the ECM as the ECM generates the PPM signal for the speedo.
The 4L60E application used the data to control upshift, downshift, and converter lockup
The 2004R uses a TV cable to control trans function, If I recall correctly...this will be an issue as far as attaching to the LT1. The 2004R used a 2000PPM signal to operate the cruise control.
I'm sure it can be done with enough resources, but the 4L60E would appear to be a more streamlined choice for use with the LT1
You will need to use the PPM count of the trans being used, but like i said before, not sure how you will get there with a different input to the ECM. You may have to look into a 40 tooth reluctor wheel for the 2004R...if there IS such a thing.
Does the Dakota cluster not simply take the 1 VSS output wire from the ECM for the speed signal?
The DD webpage says speed sender comes with the VHX setup?