OK I did it. I put the washing machine on hot water and filled the tub with pretty hot water - not boiling but extra warm. I then added 1/2 cup of baby shampoo. Before putting the wool in I let the water agitate to mix the soap. I pushed the wool down into the water a couple of times. I let this sit until the water was just plain warm and then I put the machine on spin -- no agitation just plain spin. I also cut the water supply off because my machine has 2-3 spurts of COLD water during the final spin. After the spin I filled the machine with hot water again. I pushed the fabric up and down a few times to mix it with the water and let it set until warm. I put machine on spin again and then I repeated this to remove all of the shampoo. (3 rinses) I then filled the machine with warm water and added 1 full cup of 'cheap' hair conditioner. After letting this sit for about 15 minutes I put machine on spin again. After this final spin I took the wool out and it smelled like the conditioner - very nice. No more smell of smoke - it was house fire smoke not cigarette smoke. I then realized I had absolutely no drying space. I covered 2 dining room chairs with plastic bags and draped the wool over them. The wool is not as light and loose as it was before washing but it is soooooooo soft and lovely. I may experiment and wash some of it with a gentle agitation just to see what will happen. This wool is excellent quality - like Pendleton. Thanks one and all for all of the tips on washing wool.
Sun BTW - I removed the wool from the machine before the "hair conditioner" rinse so I could let the water agitate to mix the conditioner. Then I put the wool back in. I think the key to success is NOT letting the machine agitate.