More information:
I was able to remove the axle via the non freewheel side. The axle is in one piece and underneath when I remove the axle, there is metal ring containing bearings on that side. I don't have a chain whip so I can't take the freewheel off yet to see what's on that side. When I put the axle back in, the wheel spins until the nut tightens and then it stops and tries to to spin the axle.
Is it possible that the bearings on the freewheel side have seized or need much lubricant to be able to turn? The freewheel turns smoothly when I spin it backwards.