Heat grill to around 375°F (190°C)
In a large cast iron skillet, dutch oven, or grill safe pan, brown breakfast sausage over direct heat on grill.
Once your breakfast sausage is browned, cut the velveeta and cream cheese into small cubes and set aside. Grate the colby jack cheese and set aside.
Rinse the jalapeño, remove the stem, and slice in half. Then, remove the seeds and pith from the halves and finely chop.
Place all ingredients in a large cast iron skillet, dutch oven, or aluminum foil pan.
Place the dish with all ingredients on the grill making sure it is still around 375°F (190°C).
Smoke the velveeta queso until it is completely melted and all of the ingredients are well combined, about 1 hour. Stir every 10 minutes to ensure cheese is melting evenly and doesn't burn.