Call Webservice in different project within same solution. Service Reference / Path problem

I got the not so bright idea from the time tracker starter kit of creating a couple of projects in one solution, one for the website, common library ( data access ) and webservice project where i figured I could put all of my web services. I am using the ajaxtoolkit autocomplete extender and I cannot seem to figure out how to set the servicereference path for the scriptmanager and the servicepath for the control. I am thinking perhaps there might be an easy way to make this work. I read another post http://forums.asp.net/p/1300520/2536023.aspx#2536023 but I am a total newbie, so I do not get any of it.

My project is called WebServices and the ClientServices.asmx is the service. I also tried to add the reference via the Service References folder in my web solution, and I found the service, but I couldn't make it work with the page either. Any ideas, nothing complicated, otherwise I ...