After autolevel, starting the program plunges bit into board, before turning it on preventing movement

Not sure if I'm doing some order of operations incorrectly, I had 1 decent run and since then cannot replicate. Steps I follow:

Using machine 3018 cnc with Woodpecker 3.4 control board

Plug in power, connect USB, connect with CNCJS
Move machine to where I want starting position to be.
Set work axis to 0. Have also tried reseting board completely so both machine + work coordinates are all 0.
(Note my z axis is not actually at 0 touching the board, but ~3mm above, is this correct?)
Run autolevel macro - (#autolevel D6 H3 F50 M0.2)
First probe is very slow, and sometimes will fail if my starting position and value for macro H setting is > starting position.
After successful level, remove the probes.
Have tried starting immediately from probing end position, and also first moving back to X/Y 0,0. I leave Z at +3 where it ends after probing
Immediately shoves drill bit ~1mm or so further than what my gcode should allow before even starting the spindle. Now stuck and unable to move at all. Cancel program

Using this test gcode: test-cnc-flatcam.txt

kreso-t / cncjs-kt-ext